GBM Gold Quarterly Report

Media Release
27 July 2016
QUARTERLY REPORT TO SHAREHOLDERS

HIGHLIGHTS
Tenement transfers to GBM for the Bendigo tenements were approved by

the Minister for Economic Development, Jobs, Transport and Resources on
9 May 2016.
GBM secured the purchase on 17 May 2016 with the payment of $1.1
million to Unity, the first deferred bond payment of four deferred bond
payments totalling $5.908 million over a three-year period to repay cash
provided by Unity to meet the rehabilitation obligations at Bendigo.
A clean-up of the Kangaroo Flat Gold Processing Plant to recover gold
remaining in the mill has been completed. A 62 ounce (1.94kg) gold dore
bar was produced.
GBM plans to excavate the coarse sand dam at the Kangaroo Flat Mine
Site, wash the sand and recover the gold. It is planned to sell the sand
product into the local market. The gold will be recovered in the Kangaroo
Flat gold processing plant.
GBM is completing the approvals processes for the development of an
open pit mine at Harvest Home. The pit will encompass and extend the
existing bulk sample pit. Approximately 44,000 tonnes of ore at an
estimated grade of 2.46g/t will be excavated in the next phase of the
operation.
GBM Gold Limited (ASX: GBM) (GBM Gold or Company) is pleased to

announce that it has completed the purchase of the Bendigo Goldfield from Unity
Mining Limited. Bendigo is Australias second richest historical goldfield after
Kalgoorlies Golden Mile, having produced approximately 22 million ounces of
gold.
1. Mining and Exploration
GBM Gold is actively working towards developing mining projects in Central
Victorias proven gold mining areas (Figure 1).
Work during the June Quarter focused on:
Completion of the purchase of the Bendigo Gold Project
Progressing exploration and mining work plans for the Harvest Home
Project.
Clean up of the Kangaroo Flat Gold Processing Plant
Progressing planning for the processing of the Kangaroo Flat Sand Dams
Rehabilitation of the Fiddlers Creek mine site
Exploration on the Queens Birthday tenement
Figure 1: GBM Gold Projects

2. Activities Planned for the September Quarter
Bendigo
Planning for production from the coarse sand dam at Kangaroo Flat
Geological analysis of exploration targets in the Bendigo Goldfield
Woodvale Evaporation Ponds 6 and 7, planning for rehabilitation
Harvest Home
Exploration work plan approvals
Mining work plan approvals
Queens Birthday
Reporting on Year 1 exploration
Wilson Hill
Reporting on Year 1 exploration
Fiddlers Creek
Await approval of exploration licence.
Avoca / Beavis
Complete the sale of the project
3. Corporate
GBM Gold Limited reached agreement with Unity Mining Limited in September
2015 to purchase the Bendigo Gold Project. Steps completing the transaction
achieved during the quarter were:
Tenement transfers for the Bendigo mining and exploration tenements

approved by the Department of Economic Development, Jobs, Transport
and Resources (DEDJTR).
GBM Gold completed the transaction on 17 May 2016 by making a
payment of $1.1 million to Unity Mining, the first deferred bond payment
of four deferred bond payments totalling $5.908 million over a three-year
period to repay cash provided by Unity to meet the rehabilitation
obligations at Bendigo.
With the purchase of the Bendigo Goldfield a strategic review of tenements was
undertaken. The Beavis Alluvial Project was identified as a non-core business
and the project has been put up for sale complete with freehold land. Silver
Bright International Development Limited committed to invest an additional
$800,000 in GBM to bring its total investment to $2 million. The funds were
received by GBM on 4 July 2016.
4. Company Mineral Tenement Portfolio
The mineral tenement portfolio of the GBM Gold Group as at 30 June2016 is:
Name
Teneme
nt
Tenure Type
Status
GBM
Group
Interest
Bendigo Goldfield
Greater Bendigo
MIN 5344
Mining Licence
Granted
100%
Whip & Jersey
MIN 4878
Mining Licence
Granted
100%
Woodvale
MIN 5364
Mining Licence
Granted
100%
Bendigo Urban
EL 3327
Exploration Licence
Granted
100%
West Bendigo
EL 5035
Exploration Licence
Granted
100%
Goldsborough Corridor Project (north east of Dunolly, Victoria)

Harvest Home
MIN 5510
Mining Licence
Granted
50%*
Queens
Birthday
EL 5528
Exploration Licence
Granted
100%
Granted
100%
Wilson Hill Project (west of Bendigo, Victoria)

Wilson Hill
EL 5527
Exploration Licence
Fiddlers Creek Project (south east of Avoca, Victoria)

Fiddlers Creek
EL006155
Exploration Licence
Pending
0%
Avoca Project (south east of Avoca, Victoria)

Avoca
EL 4936
Exploration Licence
Granted
100%
Beavis
WA 1395
Work Authority
Granted
100%
*Joint Venture with Truelight Mining Pty Ltd
GBMs beneficial interests in any joint venture agreements did not change during
the quarter.
About GBM Gold Ltd (ASX: GBM)
GBM Gold is a gold focused mining and exploration company with mining and
exploration assets located one of Australias most significant gold producing
regions; the Central Victorian Goldfields.
GBM has purchased the Bendigo Goldfield, Australias second largest goldfield.
The Company is targeting low cost projects to develop long term sustainable
mining to fund the Companys growth. Recent work has centred on the Harvest
Home deposit located north-east of Dunolly in the Golden Triangle area of Central
Victoria. Harvest Home, in which GBM has a 50% equity interest, and the
adjacent Queens Birthday will continue to be developed together with tailings
projects on the Bendigo Goldfield.
For further information, please visit www.gbmgold.com.au
For further information, please contact:
Rod North, Managing Director,
Bourse Communications Pty Ltd
T: (03) 9510 8309, M: 0408 670 706,
E: [email protected]

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Media Release

QUARTERLY REPORT TO SHAREHOLDERS

Tenement transfers to GBM for the Bendigo tenements were approved by

GBM Gold Limited (ASX: GBM) (GBM Gold or Company) is pleased to

Figure 1: GBM Gold Projects

Tenement transfers for the Bendigo mining and exploration tenements

Whip & Jersey

Goldsborough Corridor Project (north east of Dunolly, Victoria)

Wilson Hill Project (west of Bendigo, Victoria)

Fiddlers Creek Project (south east of Avoca, Victoria)

Avoca Project (south east of Avoca, Victoria)

*Joint Venture with Truelight Mining Pty Ltd

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