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Introduction
Gold Reserve Inc. has a history in mining dating back to 1956 and was formed for the purpose of acquiring, exploring, and developing mining properties and placing them into production. The Company is incorporated under the laws of the Yukon Territory, Canada and is listed on the Toronto Stock Exchange and the NYSE Amex.
In 1992, the Company acquired and began developing what is now known as the Brisas gold and copper project, located in the historic Km 88 mining district of the State of Bolivar in southeastern Venezuela (the “Brisas Project”). The Brisas deposit, which is one of the largest undeveloped gold/copper deposits in the world, contains ore reserves of 10.2 million ounces of gold and 1.4 billion pounds of copper. From 1992 to 2009, the Company invested close to US $300 million in acquisition, land exploration, development, equipment, and engineering costs, which the Company believed developed the Brisas Project into a world class mining project. In May 2008, after the Company successfully developed the Brisas Project to the point of pre-construction, the Bolivarian Republic of Venezuela arbitrarily revoked the previous authorization to proceed with the Brisas Project, eliminating the Company’s ability to exploit the Brisas Project. On October 21, 2009 the Company filed a Request for Arbitration under the Additional Facility Rules of the International Centre for Settlement of Investment Disputes (“ICSID”) of the World Bank, in Washington D.C., against the Bolivarian Republic of Venezuela seeking compensation for the losses caused to the Company resulting from Venezuela’s violations of the Agreement between the Government of Canada and the Government of the Republic of Venezuela for the Promotion and Protection of Investments (“Canada-Venezuela Treaty”) in regard to the Company and its investments in Venezuela. The information regarding the Company’s Venezuelan properties contained herein should be considered in context of our October 21, 2009 news release "Gold Reserve Files International Arbitration Against Venezuelan Government."
Strategy
The Company's strategy is to diligently pursue its arbitration case against the Bolivarian Republic of Venezuela while continuing to pursue other opportunities, with the goal of progressing from an exploration company to a gold producer through the successful development of proven and probable reserves by making selective property and/or corporate acquisitions.
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