Premier Expands High-Grade Open Pit Potential at Hardrock

March 11th, 2009
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PREMIER GOLD MINES LIMITED (TSX:PG) is pleased to announce that additional drill results from drilling in the EP-Zone target at the Hardrock Project in Northwestern Ontario. This drilling continues to identify significant near-surface mineralization contained within multiple zones at the EP-Zone which has been identified as a potential high-grade open pit target in the vicinity of the historic North Zone, from which 2.97 Million tonnes of ore was mined at a grade of 7.54 g/t Au.

Initial drilling has identified 3 sub-zones within the EP target consisting of the South Limb, North Limb and HGV horizons. Significant mineralization has now been intersected over a strike length of 300 meters and remains open in all directions. Highlights to-date include 7.65 g/t Au across 7.8 metres (m) in hole EP020 from the eastern-most section tested, 3.60 g/t Au across 10.0 m in the South Limb, and 8.60 g/t Au across 7.5 m in the North Limb.

The current program is expected to consist of more than 50,000 metres of definition and exploration drilling. The following tables demonstrate the potential of the EP-Zone, highlighting mineralization within each horizon. These results demonstrate continuity and grade within the EP-Zone, supporting management’s belief that historic and new results will be utilized in a NI43-101 compliant resource calculation which is expected to be completed in Q4 2009.

South Limb

Drilling in the South Limb, mineralization south of the historic mine workings, has returned numerous broad intercepts of significant gold mineralization including:

Hole No. Grid
Coordinates (m)
Dip/Azimuth
(Degrees)
Intersection
From-to (m)
Int.
(m)
Int.
(ft)
Au
(g/t)
Au
(oz/ton)
Zone
EP010 504943
5503100
-45/360 34.00-46.80 12.80 50.0 0.70 0.02 SL
EP011 505051
5503090
-50/360
Incl.
33.80-42.60
41.30-42.60
8.80
1.30
28.9
4.3
3.60
19.70
0.10
0.57
SL
SL
EP012 505052
5503063
-65/360 44.70-55.20
72.10-75.90
10.50
3.80
34.4
12.5
0.93
1.80
0.03
0.05
SL
SL
EP013 504941
5503032
-50/360 52.50-64.50 12.00 39.4 1.60 0.05 SL
EP016 505100
5503078
-45/360
Incl.
45.00-55.00
45.00-47.00
10.00
2.00
32.8
6.6
3.60
7.43
0.10
0.22
SL
SL
EP017 505099
5503030
-45/360 92.80-95.00 2.20 7.2 6.28 0.18 SL
EP020 505149
5503080
-45/360
Incl.
73.20-81.00
78.00-81.00
7.80
3.00
25.6
9.8
7.65
19.29
0.22
0.56
SL
SL

* True widths estimated at approximately 70% of intersection widths


North Limb

Drilling in the North Limb has returned the following intercepts of significant gold mineralization within the EP-Zone north of the historic mine workings:

Hole No. Grid
Coordinates (m)
Dip/Azimuth
(Degrees)
Intersection
From-to (m)
Int.
(m)
Int.
(ft)
Au
(g/t)
Au
(oz/ton)
Zone
EP014 505052
5503178
-50/180 42.50-59.20 16.70 54.8 1.25 0.04 NL
EP015 505051
5503203
-50/180 Incl. 50.50-63.50
94.50-98.50
115.00-122.50
121.00-122.50
13.00
4.00
7.50
1.50
42.7
13.1
24.6
4.9
1.18
1.87
8.60
39.30
0.03
0.05
0.25
1.15
NL
NL
NL
NL
EP018 505100
5503205
-45/180 68.50-73.00 4.50 14.8 0.62 0.02 NL
EP019 505149
5503129
-45/360


NSV
NL
EP021 504948
5503189
-50/180
Incl.
8.90-17.90
15.40-17.90
9.00
2.50
29.5
8.2
3.07
8.06
0.09
0.23
NL
NL
EP022 504948
5503213
-50/180 Incl. 52.00-61.00
85.00-96.40
92.20-94.70
103.00-106.20
9.00
10.80
2.50
3.20
29.5
37.4
8.2
10.5
2.62
4.34
10.01
1.08
0.08
0.13
0.29
0.03
NL
NL
NL
NL

* True widths estimated at approximately 70% of intersection widths ** NSV — No significant assay values


The Hardrock Project is operated under a joint venture with Roxmark Mines Limited (TSX-V:RMK) (Premier earning a 70% interest). The Hardrock Project is host to several past-producing mines which collectively produced more than 2.0 Million ounces of gold from the same deposits to relatively shallow depths of approximately 2000 feet (600 metres) from 1938-1968. The mined zones remained open at depth at the time mining ceased and developed historical resources were left in place within the existing mine workings (a qualified person has not done sufficient work to verify the historical resource, the company is not treating the historical resource as a current resource and the historical resource should not be relied upon). Importantly, the Hardrock Project has the potential for defining several styles of mineralization capable of hosting resources, with grades and widths similar to many of Ontario’s major gold mines including:
  1. Open pit-style mineralization with grades exceeding 1.5 g/t Au (Timmins, Hemlo)
  2. Broad zones of mineralization with grades averaging 5.0+ g/t Au (Musselwhite)
  3. Narrow vein zones with higher gold grades often exceeding 7.0g/t (Red Lake, Pickle Lake)
Initial drilling with four drills is focusing on delineating both open pit and underground resources with the goal of defining a multi-million ounce gold resource that can be moved quickly towards development ( See references to historical resources above.). The Project offers development advantages with the Trans-Canada Highway, Trans-Canada Pipeline, and major power lines running through the center of the property. Significant potential exists for developing resources in several areas including: 1) Open pit-style mineralization at the site of the original discovery where a resource containing several hundred thousand ounces of gold was partially drilled off by previous operators; 2) Several newer high-grade discoveries have been made throughout this large property package that have received little to no follow-up; 3) Resource blocks reported to remain within the mine workings; and, 4) The main mined zones which remain open below the 600m Level.
Stephen McGibbon, P. Geo., is the Qualified Person for the information contained in this press release and is a Qualified Person within the meaning of National Instrument 43-101. The GH results are from core samples sent to Activation Laboratories, an accredited mineral analysis laboratory in Thunder Bay, Ontario, for preparation and analysis utilizing both fire assay and screen metallic methods.

Premier Gold Mines Limited is a well financed Canadian-based mineral exploration and development company with several projects and deposits in Northwestern Ontario and a joint venture in Mexico. In the Red Lake gold mining camp, two of these are operated in joint venture with Red Lake Gold Mines. The company also owns a strategic project located on the main Musselwhite Gold Mine trend and recently acquired mineral properties in Geraldton area from Barrick Gold.

For further information, please contact:
Ewan Downie, President & CEO Phone: 807-346-1390 Fax: 807-346-0100
e-mail: Info@premiergoldmines.com Web Site: www.premiergoldmines.com

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company’s expectations and projections.