Business
Gold Bullion announces signing of custom milling agreement with IAMGOLD - Westwood Mill and the filing of its request for Certificate of Authorization
VANCOUVER , July 14, 2014 /CNW/ - Gold Bullion Development Corp. (TSXV: GBB) (OTCPINK: G...
About this update from Granada Gold Mine Inc.
[{"type":"text","content":"\n\n\nVANCOUVER, July 14, 2014 /CNW/ - Gold Bullion Development Corp. (TSXV:\n GBB) (OTCPINK: GBBFF) (the \"Company\" or \"Gold Bullion\") announces it\n has signed a custom milling agreement with IAMGOLD to process ore from\n the Granada gold property at their Westwood Mill facilities.  The\n officers of both companies have approved this agreement.\n\n\nThis agreement is a win-win situation for both companies where Gold\n Bullion will be able to minimize its initial capital investment and\n IAMGOLD will be able to utilize some of the excess mill capacity at\n Westwood, which is expected to reduce its overall processing costs.\n\n\nThe signing of this agreement is a significant milestone for the Company\n and its shareholders as an efficient, direct, well-defined path to\n commercial gold production using Granada ore via implementation of the\n \"rolling start\" concept.\n\n\nThe agreement provides for and delineates the terms as follows:\n\n\n\nReceipt of Gold Bullion ore from the Granada project to be processed in\n 50,000 to 70,000 tonne batches three times per calendar year at the\n Westwood site. The annual target is set at 192,000 tonnes. The\n agreement anticipates that gold doré bars will be poured at the IAMGOLD\n mill, then transported by secure service to the Royal Canadian Mint for\n refining, with the finished product then sold as bullion to Scotia\n Mocatta, a division of Scotiabank Global Banking and Markets (Bank of\n Nova Scotia).\n\n\n\n\nAn initial three-year term with access to additional milling years\n subject to CAPEX investment in the mill by Gold Bullion.\n\n\n\n\nContract commencement is subject to the following:\n\n\n\nGold Bullion obtaining its Certificate of Authorization from the proper\n Quebec authorities for open pit mining operations at Granada;\n\n\nIAMGOLD obtaining its Certificate of Authorization from the proper\n Quebec authorities for the processing of Gold Bullion's ore at their\n Westwood site;\n\n\nCertain CAPEX and OPEX deposit payments prepaid by Gold Bullion due when\n both Certificates of Authorization have been granted.\n\n\n\n\n\nThe Gold Bullion Operations team first goal is to ship a trial-milling\n batch of 30,000 tonnes for milling in October 2014 prior to winter\n freeze up. Subsequent milling will continue in April 2015.\n\n\n\nThe gold produced will be sold at Roy...