High River Gold : High River Announces Updated Reserve and Resource Estimates for Berezitovy and Burkina Faso Properties

TORONTO, ONTARIO--(Marketwire - April 24, 2012) - High River Gold Mines Ltd. (TSX:HRG) ("High River" or the "Company") today reported the results of the recently completed mineral reserve and resource estimates prepared for Berezitovy and High River's properties in Burkina Faso. Nord Gold N.V., High River's controlling shareholder, had updated "competent person reports" prepared for such properties by Wardell Armstrong International ("WAI"), which included updated mineral reserve and resource estimates. WAI is currently preparing technical reports compliant with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101") in respect of such estimates. The Company expects to file the completed reports in forty-five days. The mineral resources and reserves have been estimated and classified according to the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (2004). The "qualified person" in charge of the preparation of the technical reports is Dr. Phil Newall, BSc (ARSM), PhD (ACSM), CEng, FIMMM, Director with WAI.

Highlights

The updated reserves and resources estimates as of January 1, 2012 for:

• Berezitovy mine in Russia 
  • 18,351 kilotonnes of ore, with 1.63 g/t of gold grade resulting in 963 koz of proven and probable gold reserves; 21,148 kilotonnes of ore, with 1.58 g/t gold grade resulting in 1,076 koz of measured and indicated gold resources; 6,208 kilotonnes of ore, with 1.24 g/t gold grade resulting in 247 koz of inferred gold resources

• Taparko-Bouroum mine including Nairy, Baola, F12, Welcome Stranger, Yeou and Ankouma in Burkina Faso
  • 7,190 kilotonnes of ore, with 2.72 g/t of gold grade resulting in 629 koz of proven and probable gold reserves; 9,468 kilotonnes of ore, with 2.48 g/t of gold grade resulting in 756 koz of  indicated gold resources; 8,654 kilotonnes of ore, with 1.87 g/t of gold grade resulting in 520 koz of inferred gold resources

• Bissa development project, including Bouly, Gougré, Liliga, Bissa Sud and Zinigma in Burkina Faso
  • 30,611 kilotonnes of ore, with 1.83 g/t of gold grade resulting in 1,803 koz of proven and probable gold reserves; 75,834 kilotonnes of ore, with 1.23 g/t of gold grade resulting in 2,991 koz of measured and indicated gold resources; 63,332 kilotonnes of ore, with 0.95 g/t of gold grade resulting in 1,938 koz of inferred gold resources

• Labola project
  • 1,231 kilotonnes of ore, with 1.22 g/t of gold grade resulting in 48,136 oz of inferred gold resources 

Note: Mineral resources are reported inclusive of any reserves.

Mineral Resource/Reserve Estimates

Mineral resources and reserves have been estimated and classified according to the Australian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (2004) (the "JORC Code"). The JORC Code is an acceptable foreign code under NI 43-101.

Berezitovy

The Berezitovy resource model has been derived from geostatistical studies. Key drillhole spacings for the allocation of measured resources were 30m x 30m (along-strike x down-dip) and 60m x 60m for indicated resources. The extent of inferred resources was limited to 120m but contained within the defined mineralised zones.

The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the un-mined, in-situ resources are shown in the table for three different cut-off grade levels: 0.3g/t, 0.5g/t and 0.7g/t Au.

Taparko

The criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of indicated resources were 20m x 20m (along strike and down dip). Key drillhole spacings for the allocation of inferred resources were 80m x 80m (along strike and down dip).

The final block models were cut against the topographic/pit surveys dated January 1, 2012 and used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources for all resources are shown in the table below for four different cut-off grade levels: 0.5, 1.0, 1.5 and 2.0g/t Au.

F12 and Welcome Stranger

The criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of indicated resources at F12 were 20m x 20m (along-strike x down-dip). Inferred resources were allocated to blocks within the mineralised zone wireframes within 50m of a composite sample. All of the modelled resources at Welcome Stranger were classified as inferred due to high very short scale variability between paired holes.

The final block models were used as a basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the tables below for four different cut-off grade levels: 0.5, 0.6, 0.8 and 1.0g/t Au.

Nairy

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of indicated resources were 40m x 40m (along strike x down dip) and for inferred resources were 80m x 80m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Baola

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of indicated resources were 40m x 40m (along strike x down dip) and for inferred resources were 80m x 80m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Yeou

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of inferred resources were 40m x 50m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Ankouma

Criteria for defining resource categories were derived from the sample spacing. Key drillhole spacings for the allocation of Inferred resources were 40m x 40m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.5g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Bissa

Criteria for defining resource categories were also derived from the geostatistical studies. Key drillhole spacings for the allocation of measured resources were 20m x 20m (along strike and down dip), forindicated resources were 40m x 40m (along strike and down dip), for inferred resources were 80m x 80m (along strike and down dip).

The final block model was used as the basis for resource evaluation. A summary of the results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.3g/t, 0.5g/t, 1.0g/t and 1.5g/t.

As a continuation of mineral resource modelling at Bissa, WAI has undertaken a pit optimisation using the Mineral Resource Block Model prepared by WAI. The model was depleted to contain only those mineral resources that have not been extracted as of 01 January 2012. WAI used NPV Scheduler® software for the optimisation applying the conceptual financial and technical parameters shown in the following table.

The results of the WAI pit optimisation as calculated by NPV Scheduler® are presented in the table below.

Bouly

Criteria for defining resource categories were derived from geostatistical studies. Key drillhole spacings for the allocation of indicated resources were based on a sample spacing of less than 80m x 35m along and across strike and with a minimum of 8 samples required from a minimum of 2 drillholes. Inferred resources were those resources which were estimated but did not fulfil the criteria for indicated classification. The grades in the final resource block model were derived from drill hole sample composites based on Ordinary Kriging for Au. The following table shows the WAI resource estimate for Bouly, dated 01 January 2012.

Gougre

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of indicated resources were 40m x 40m (along strike and down dip) and for inferred resources, 80m x 80m (along strike and down dip). No measured resources were assigned at Gougre.

The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.5g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

As a continuation of mineral resource modelling of the Gougré deposit, WAI has undertaken a pit optimisation using the mineral resource Block Model prepared by WAI and updated in January 2012. The model was depleted to contain only those mineral resources that have not been extracted as of 01 January 2012. WAI used NPV Scheduler® software for the optimisation, applying the conceptual financial and technical parameters provided in the below table.

The results of the WAI pit optimisation and subsequent ore reserve estimate are presented in the table below. Only the measured and indicated mineral resources were utilised in the optimisation. The table also includes a mining schedule for the Gougre deposit.

Liliga

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of inferred resources were 80m x 80m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Bissa Sud

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of inferred resources were 80m x 80m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.4g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Zinigma

Criteria for defining resource categories were derived from the geostatistical studies. Key drillhole spacings for the allocation of inferred resources were 66m x 55m (along-strike x down-dip). The final block model was used as the basis for resource evaluation. Summary results of the evaluation of the in-situ resources are shown in the table below, for four different cut-off grade levels: 0.5g/t, 1.0g/t, 1.5g/t and 2.0g/t Au.

Labola

Estimated resources for the Labola deposit were classified as inferred resources due to the limited sampling density, uncertainties regarding QA/QC and lack of data regarding dry density measurements. The grades in the final resource block model were derived from all drilling sample composites and were based on the IDW3 estimate. The mineral resource estimate is shown in the table below.

Data Verification

Dr. Phil Newall is a "qualified person" as defined by NI 43-101 and as a qualified person completed the verification of data on which the above mineral reserve and resource estimates were based. This verification included an assessment of QA/QC data, sample preparation and assay methodologies, core recoveries, density data, data inputs, survey data and validation of historic exploration data used in the estimate. Data were validated by using field checks, statistical methods and evaluating written protocols.

High River has implemented QA/QC procedures at all projects to ensure best industry practice in sampling and analysis of the drill core samples.

The Berezitovy mine has its own dedicated onsite core storage shed and preparation facility. All sample analysis at Berezitovy is undertaken in the on-site laboratory (process plant) which is adequate for the level of prospecting work. The laboratory uses a range of Standard Reference standards supplied by Rocklabs. The standard ore sample assays 1.65ppm Au (tolerance +/- 0.08ppm Au) and the tailings sample assays 0.71ppm Au (tolerance +/- 0.03ppm Au).

At Taparko mine, core from all mineralized intersections is stored in well-organized racks at the mine. For the Bissa development project, High River has a dedicated facility in the town of Kongoussi which includes core storage and sample preparation.

The primary analytical laboratory used by High River for the Taparko, Bouroum, Bissa and the other projects in Burkina Faso is Abilab in Ouagadougou. The Abilab laboratories do not have recognised accreditation, but are part of the ALS Laboratory Group and implement quality assurance and quality control measures generally meeting international industry standards. Reverse circulation and core pulp samples were also submitted to ALS Chemex, Sudbury and SGS, Ouagadougou laboratories for check assaying. High River partly relied on the laboratory internal quality control measures, and also implemented strict external quality control measures consisting of inserting an appropriate frequency of control samples (blanks, field standards and certified reference standards).

Assay data for the Bouly project was acquired from the BIGS Global Laboratory in Ouagadougou in 2010. The SGS Laboratory in Ougadougou was used for external quality control. High River has a written procedure for collecting, handling, labelling and assaying drilling samples, which conforms to industry best practice. High River's internal quality control procedures specify use of field duplicates, blanks and certified reference standards to measure any bias in sampling or assaying.

None of the laboratories contracted by High River for sample analyses has any relationship to, or interest in, High River or any of its projects.

Qualified Person

Dr. Phil Newall, BSc (ARSM), PhD (ACSM), CEng, FIMMM, Director with WAI is the qualified person responsible for supervising the preparation of this press release and the scientific and technical information contained in this press release. Dr. Newall is independent of High River.

Cautionary Note

The grades presented in the above tables are not meant to imply recoverable gold. Mineral resources and reserves have been estimated and classified according to the JORC Code. High River is not aware of any known environmental, permitting, legal, title, taxation, socio-economic, marketing or other relevant issues that could potentially affect the estimate of mineral resources or reserves. The mineral resources and reserves may be affected by subsequent assessments of mining, environmental, processing, permitting, taxation, socio-economic and other factors.

About High River

High River is an unhedged gold company with interests in producing mines, development and advanced exploration projects in Russia and Burkina Faso. Two underground mines, Zun-Holba and Irokinda, are situated in the Lake Baikal region of Russia. Two open pit gold mines, Berezitovy in Russia and Taparko-Bouroum in Burkina Faso, are also in production. Finally, High River has a 90% interest in a development project, the Bissa gold project in Burkina Faso, and a 50% interest in an advanced exploration project with NI 43-101 compliant resource estimates, the Prognoz silver project in Russia.

This release contains forward-looking statements. Wherever possible, words such as "intends", "expects", "scheduled", "estimates", "anticipates", "believes", and similar expressions or statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, have been used to identify these forward-looking statements. Although the forward-looking statements contained in this release reflect management's current beliefs based upon information currently available to management and based upon what management believes to be reasonable assumptions, High River cannot be certain that actual results will be consistent with these forward-looking statements. A number of factors could cause events and achievements to differ materially from the results expressed or implied in the forward-looking statements. These factors should be considered carefully and prospective investors should not place undue reliance on the forward-looking statements. Forward-looking statements necessarily involve significant known and unknown risks, assumptions and uncertainties that may cause High River's actual results, events, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Although High River has attempted to identify important risks and factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors and risks that cause actions, events or results not to be anticipated, estimated or intended, including those risk factors discussed in the Company's 2011 Annual Information Form. There can be no assurance that the forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, prospective investors should not place undue reliance on forward-looking statements. Any forward-looking statements are made as of the date of this release, and High River assumes no obligation to update or revise them to reflect new events or circumstances, unless otherwise required by law.