PREMIER GOLD MINES LIMITED (TSX:PG) is pleased to provide a summary of results from the Phase I drill campaign at the Company’s 100%-owned PQ-North Project in Northwestern Ontario. This program resulted in the discovery of two potentially significant gold-bearing horizons. Phase I drilling, testing only one of the four main targets on the property, was primarily aimed at confirming historic geological information.
To accommodate the significant early success of this exploration program, Premier has expanded the PQ-North budget to utilize two diamond drill rigs throughout the summer season. The Phase I discoveries are located along strike from Goldcorp’s multi-million ounce Musselwhite Mine and are highlighted by:
- High grade mineralization in two initial holes grading up to 10.24 grams per tonne gold (g/t Au) across 5.1 metres (m) discovered in an “Upper” iron formation within 100 metres of surface.
- The first holes drilled to test the PQ-limb of the main iron formation that hosts the primary gold zones at the adjacent Musselwhite Gold Mine returned assays of up to 10.25g/t Au across 1.8m and 20.65g/t Au across 1.0m.
These new intercepts are hosted within discreet biotite-garnet altered zones consisting of folded and laminated iron formation containing pyrite, pyrrhotite, chalcopyrite and rare visible gold. Considering the early stage of the exploration program, these discoveries have returned impressive intersections with grades and widths comparable to those at Musselwhite including a previously released 21.33g/t Au across 2.1m.
A presentation of the PQ-North Project can be viewed on Premier’s website www.premiergoldmines.com.
The following table summarizes significant Phase I drill results from holes that tested the Upper Iron Formation and PQ Limb mineralized zones:
|HOLE-ID||ZONE||NORTHING (utm)||EASTING (utm)||AZIMUTH (deg)||DIP (deg)||FROM-TO (m)||INTERVAL (m)||GRADE (g/tonne)||INTERVAL (ft)||GRADE (oz/t)|
** PQL - PQ Limb intersection UIF - Upper Iron Formation MA - Main Anticline
Phase II drilling will continue to evaluate the extent of these new discoveries, in addition to testing other priority targets on the Property. Premier’s top-ranked targets include a 400m wide magnetically disrupted zone (interpreted as a major structural break) that is expected to intersect the main PQ-Limb at depth, located along strike from, and within the same host rock as, the Musselwhite Gold Mine.
The PQ-North Project is located within Goldcorp’s Musselwhite Property holdings and is strategically located along the PQ-Limb of the key iron formation that is host to the majority of the ore zones at Musselwhite. In 2008 Musselwhite produced 210,500 ounces of gold at an average grade of 5.56g/t Au and is targeting some 235,000 ounces of production in 2009.
Premier previously announced that it had signed a Letter of Intent (LOI) with the North Caribou Lake First Nation (“NCLFN”) that paves the way for a major exploration program on the PQ-North Property in Northwestern Ontario. The LOI forms the basis of a cooperative relationship between Premier and NCLFN that will guide the early phase of exploration on the property, including line cutting, geophysics and diamond drilling, as well as lead to a Memorandum of Understanding (MOU).
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 assay results presented are from core samples 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. Presentations detailing the Company’s activities on its active projects are available on the Premier Gold Mines Limited website www.premiergoldmines.com.
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 projects are operated in joint venture with Red Lake Gold Mines, and another, adjacent to the Red Lake Gold Mines complex, is operated on a 100% basis. The company also owns a strategic project located on the main Musselwhite Gold Mine trend and is acquiring a 70% interest in the Hardrock Project, an advanced-stage gold project in the Geraldton area.