The Granada Gold Property Is Becoming A Massive Project

From Rouyn-Noranda, Quebec:

Our visit to Rouyn-Noranda finally draws to a close today and what an experience this has been. We now have an even better appreciation for the scale and magnitude of Gold Bullion Development’s (GBB, TSX-V) Granada Gold Property and the LONG Bars Zone – this is quickly becoming a massive project but it’s in excellent hands with GENIVAR, one of the world’s leading geological and engineering firms. In addition, we’ve acquired a better knowledge of the local area and its rich mining history. As we mentioned yesterday, location is everything and Gold Bullion has that going for them in a big way.

In BMR’s view, the Granada Gold Property is unquestionably one of the most significant and important gold exploration plays in Canada right now with huge potential. In point form below are 20 major reasons why:

• Preliminary Block Model has outlined a potential (non-compliant) gold resource of 2.4 to 2.6 million ounces over a defined area with a strike length of 600 metres;
• Preliminary Block Model is open at depth (below 300 metres);
• Potential resource does NOT include east-northeast discovery area confirmed by GR-10-17 and other holes in Phase 1 drilling;
• Current strike length of the LONG Bars Zone is 1,100 metres;
• Mineralization is open in all directions at Granada;
• Publicly available information (Geology, Structure and Gold Mineralization on the Granada Eastern Extension Property, 1994) from the Quebec Ministry of Mines confirms that an east-west trending zone of shearing, alteration and quartz veining (with intrusions of syenitic feldspar porphyry) extends almost directly east of GR-10-17 for at least several kilometres – LONG Bars Zone strike length could be huge;
• Significant historical work at the “Aukeko” and “Austin-Rouyn” eastern extension properties (approximately 2.2 and 3.5 kilometres east of the Preliminary Block Model) dates back to the 1930’s with confirmed high grade showings as detailed in the above-mentioned report – there are numerous excellent and high priority targets going east, right on strike;
• Two rigs are drilling 24/7 on the Granada Property, one doing definition drilling within the Preliminary Block Model and the other handling exploratory drilling outside the Block Model;
• The current 20,000 metre drill program is expected to be followed by an even larger drill program with a preliminary 43-101 resource estimate by year-end;
• Gold Bullion’s total land package is 4,900 hectares – fairly flat and forested, all areas relatively easy to access;
• Mineralization is near-surface – company aiming for a major bulk tonnage, open-pit deposit with higher grade underground potential;
• Gold Bullion has already carried out a very large bulk sample (30,000 tonnes in 2007) which produced an average grade of 1.62 g/t Au;
• Favorable geology at Granada which is in a proven gold belt (“Cadillac Trend”) where numerous multi-million ounce deposits have been discovered;
• Property is surrounded by excellent infrastructure and is only 5 kilometres south of Rouyn-Noranda;
• Quebec is ranked as the #1 jurisdiction in the world for mining and exploration – politically safe and mining-friendly;
• GENIVAR, one of the world’s leading geological and engineering firms, is carrying out the Gold Bullion exploration program and has the ability to steer this project all the way to production;
• Gold Bullion stock is highly liquid with a powerful-looking chart, one of the best of any company on the CDNX;
• Management /directors have sold virtually no stock in the move from under a dime to this week’s new all-time high of 52 cents;
• Jordan Capital, which financed Gold Bullion at 7 cents last December, still has an incredible appetite for this stock and continues to accumulate aggressively with no selling;
• The company is beginning to tell its story in the United States and Europe.

BullMarketRun first started covering Gold Bullion last December when the stock was languishing at 7 cents. We did our homework on this one, prior to introducing it to our readers, as our research showed that indeed Granada did have tremendous exploration potential. In this business, though, you also need to be a little lucky and we admit we’ve been blessed with some good luck on this one too. The Coffin Brothers put out a buy recommendation on Gold Bullion in March and it’s our fervent belief that in the near future other newsletter writers and analysts will start covering this story. And when the masses begin discovering this company, look out.

Below is an interesting image one of our astute readers prepared and sent to us which is rather effective in demonstrating the blue sky potential of the Granada Property:

Reader: “I’ve overlaid the Block Model onto the Google Earth image and indicated the approximate site of hole #17. ‘Route des Pionniers’ can be seen on the right side. I’m not sure of the boundaries but it sure gives a good idea of the potential beyond the Block Model.

“The top section is the Google Earth view, the center is the Block Model, and the bottom section is the Block Model scaled down to align Pit #1 and Pit #2 with the satellite image.”

Editor’s note: “Route des Pionniers” is the road that leads from Bellecombe to Rouyn-Noranda. A little to the west (left) of that road is the “Aukeko Property” which is 2.2 kilometres from the Block Model. Just to the east (right) of that road is the “Austin-Rouyn Property” which is approximately 3.5 kilometres from the Block Model. Gold Bullion’s claims extend further east past “Austin-Rouyn” – exactly how far beyond we’re not 100% sure, but possibly a few more kilometres. The company’s claims also extend more to the south than shown in the satellite image.