Gold and GemStone Mining Inc. to commence alluvial mining operations in the Nimikoro diamond and gold mining concession, Kono District, Sierra Leone
DRAPER, UT–(Marketwire – Jun 5, 2012) – Gold and GemStone Mining Inc. (OTCQB: GGSM) (OTCBB: GGSM), an exploration and development stage mining Company, has today announced that it will channel initial resources towards its Project Nimikoro in the Kono District of Sierra Leone, West Africa.
The Company has been undertaking extensive analysis of the existing claims and is committed to further geological studies before the planned commencement of operations in Q3 2012.
Project Nimikoro comprises a total of 125 acres of prime alluvial mining territory with historical geological data reporting the incidence of diamonds is between 50 to 75 Carats per hundred tonnes (Cpht) with Gold also present at levels between 50 to 85 Grams per hundred tonnes (Gpht).
GGSM's Chief Marketing Officer Timothy Cocker comments; "All at GGSM are very excited to finally begin our diamond and gold mining operations in Sierra Leone and very much look forward to the coming months. I believe there is significant blue-sky potential to enhance the existing geological data to support the rapid expansion of our production capabilities through joint venture agreement with GGSL." Mr. Cocker added, "GGSM will prove its production capabilities in the Nimikoro Chiefdom, helping the company to secure additional financing to allow considerable further investment programmes in the local mining communities of the Nimiyama, Nimikoro and Sandoh Chiefdoms."
Charmaine King, GGSM's CEO, having returned from Sierra Leone where she was overseeing the establishment of local operations, commented, "Having spent a week as a guest of Mr. Tucker and the elders of the Nimikoro Chiefdom, I am convinced that GGSM has the necessary high level local support, knowledge and contacts to implement a successful production strategy for its current claims in the Kono District." She continues, "I have seen first hand the high quality gemstone diamonds and gold that have already been extracted from the mining concessions surrounding the GGSM claims in recent times and am very excited about the initiation of GGSM's mining activities in the region."
Production figures compiled in 2008 by GGSM's local mining partner show a potential mining output of 1,935 Carats per month from each of the three existing concessions, along with up to 6,773 grams per month of high quality gold with purity levels as high as 96.4%.
Tom Tucker, CEO of GGSL, states, "Having now established GGSL my attention is solely focused on implementing and maintaining effective local operations to help ensure a steady production stream of diamonds and gold for GGSM." He continues, "The joint venture with GGSM provides the opportunity to implement a sustainable investment programme to help generate much needed income sources for the local communities in the Kono district, which represents an extremely important factor to GGSM's management team."
GGSM is dedicated to implement a strong social investment strategy in Sierra Leone and is in the process of finalising its plans to roll out local investment schemes into the areas under current production in the Nimiyama, Nimikoro and Sandoh Chiefdoms to help create local employment opportunities and encourage social development.
About Gold and GemStone Mining Inc.
Gold and GemStone Mining, Inc. is an exploration stage company that will engage in the acquisition, exploration, and development of Diamond and Gold properties around the world. Integral to our plan is to form strategic alliances and joint ventures with gold and diamond mining companies.
FORWARD-LOOKING STATEMENTS: "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements relating to the company's business activities and other statements in this press release are forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Such statements are based on current expectations about the Company's business. Words such as expects, anticipates, intends, plans, believes, estimates and similar words and expressions are intended to identify such forward-looking statements. These statements involve risks that are difficult to evaluate. Actual results can vary from descriptions herein due to many factors including changes in metal prices and business conditions; changes in laws and regulations; problems encountered in exploration and obtaining permits; changes in the competitive environment; technological advances; shortages of skilled workers, drill rigs and equipment; the need for additional capital and other risks listed in the Company's Securities and Exchange Commission filings under "risk factors" and elsewhere. Forward-looking statements speak only as of the date they were made. The Company does not undertake any obligation to update forward-looking statements.