Premier-Roxmark - New Results at Kailey Zone Highlighted by Significant Increase in Gold Grades and Widths
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PREMIER GOLD MINES LIMITED (TSX:PG) is pleased
to announce that drilling has intersected the best results to-date in
the recently discovered Kailey Zone at the Geraldton Project in
Drilling has now identified that two broad
parallel horizons exist within the Kailey Zone and that these converge
as drilling traces the horizons to the east.
Importantly, in this
area gold grades are up to 50% higher and widths have increased by 100%
over the “best” previous reported results.
Higher-grade gold mineralization, and increased widths to the east, mark recent developments within the Kailey Zone (bulk tonnage zone). Recent results include 39.64g/t Au (1.16 oz/ton) across 2.0 metres contained within a wider zone of mineralization which returned 5.87g/t Au across 16.0 metres, and 42.97g/t Au (1.25 oz/ton) across 1.0 meter contained within a wider zone of mineralization which returned 2.01g/t Au across 101.0 metres.
As drilling continues to delineate the Kailey
Zone horizon, higher-grade vein style mineralization has been
intersected within the wider stinger zone. This setting, of
higher-grade vein mineralization within a broad stringer zone, is
consistent with the Main Zone mined at the historic Little Long Lac Gold
Mine from which more than 600,000 ounces of gold was produced during
the period 1934-53 at an average grade of 11.66g/t Au. The Kailey zone
is located approximately 50 metres to the north of, and parallel to, the
Main Zone. These intersections are consistent with the company’s
belief that higher grade “shoots” could exist within the near-surface,
open pit style, gold mineralization that marks this new discovery.
Of particular significance, drilling has now identified that parallel horizons exist within the Kailey Zone (K1 — North & K2 — South) which has implications for increased tonnage potential within this horizon. These horizons have now been traced over a strike length of 450 meters, to depths of up to 200 metres, and remains open in all directions. The following table provides a complete summary of recent assay results received from drilling the Kailey Zone:
|Hole-ID||Section||From||To||Length (m)||Zone||AU (g/t)||AU (opt)|
|PLL08023||1100E — 4+25N||93.0||113.0||20.0 (66 ft)||K1 (North)||1.31||0.038|
|PLL08025||1150E — 4+10N||74.0||102.0||28.0 (92 ft)||K1 (North)||1.36||0.040|
|PLL08026||1100E — 3+75N||157,0||173.0||16.0 (52 ft)||K1 (North)||5.87||0.171|
||Incl.||170.0||172.0||2.0 (6.6 ft)||K1 (North)||39.64||1.156|
|PLL08027||1100E — 3+75N||53.0||81.0||28.0 (92 ft)||K2 (South)||1.25||0.036|
||219.0||233.0||14.0 (46 ft)||K1 (North)||1.02||0.030|
|PLL08029||1350E — 3+50N||9.0||110.0||101.0 (331 ft)||K1-K2||2.01||0.059|
||Incl.||9.0||82.0||73.0 (240 ft)||K1-K2||2.45||0.071|
||Incl.||32.0||33.0||1.0 (3.3 ft)||K1-K2||42.97||1.253|
|PLL08030||1350E — 3+25N||43.0||146.0||103.0 (338 ft)||K1-K2||1.43||0.042|
||Incl.||47.0||48.0||1.0 (3.3 ft)||K1-K2||10.47||0.305|
|PLL08032||1350E — 3+25N||52.0||163.0||111 (364 ft)||K1-K2||1.18||0.034|
Premier holds the option to acquire up to a 70%
interest in the Geraldton Project from Roxmark Mines Limited (TSX-V:RMK)
by making cash and share payments to Roxmark, and performing
exploration on the Project. The current drilling is part of an ongoing
minimum $2.5 Million exploration program aimed at confirming Premier’s
belief that previously untested sub-parallel mineralized faults occur
proximal to the historic Little Long Lac Gold Mine. A systematic drill
program is being carried out at Little Long Lac in an effort to build
gold resources in the Kailey, and also in the No.9, No.10, and No.11
The “Geraldton Project” is located in the heart of the Beardmore-Geraldton greenstone belt, a highly prospective high-grade gold district that has seen relatively little exploration over the past several decades. The Project area covers approximately 10 kilometres of some of the most prospective geology in the region and is host to three past-producing mines and numerous exploration targets in a district that has seen historic production of more than 4.1 Million ounces of gold. Several slides of the Little Long Lac area can be viewed on the Premier Gold Mines Limited website, www.premiergoldmines.com.
In addition to the Geraldton Project, Premier holds
several additional highly prospective projects located in proven gold
districts that are currently being explored by diamond drilling. In Red
Lake, drilling continues at the Rahill-Bonanza Project, a joint venture
with Red Lake Gold Mines Limited, where several 3 key target areas are
being tested — Wilmar, Bonanza, and the deep mine target. Ongoing
drilling at the Santa Teresa Project in Mexico, a joint venture between
Premier and Sutter Gold Mining Inc. (TSX-V:SGM), has intersected
numerous mineralized quartz vein zones along strike the past-producing
Princessa Gold Mine (Historical data indicates that mined grades within
the district average better than 1.00 ounce gold per ton). Assays from
the first several holes are expected to be released in the near future.
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. Core from Geraldton is sent to Accurassay 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 fully 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. A strategic project is also located on the main Musselwhite Gold Mine trend.
For further information, please contact:
Ewan Downie, President & CEO
Web Site: http://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.