Drilling Crews Mobilized to Houston Lake Mining's West Cedartree Gold Project
Sudbury, Ontario CANADA, Jul 22, 2010 (Filing Services Canada via COMTEX News Network) --
Houston Lake Mining Inc. (HLM - TSX Venture)(HLKMF - OTCBB_Pink_Sheets), is an advanced exploration company which has prospected and strategically acquired contiguous gold properties in Northwestern Ontario with the objective of transitioning into production. HLM also seeks platinum group and rare metal deposits in Northwestern Ontario. HLM is pleased to announce that a 2,600 metre diamond drill program has begun today on the Company's 100% optioned Dubenski Property and the newly discovered Robertson Prospect on the 100% owned West Cedartree Property. The project is located near Kenora, Ontario. The goal of the Phase V drill program on the Dubenski Property is to explore the down dip and down plunge extensions of the mineralized gold zone, thereby extending the resource and exploration potential of these zones. The intention of the drilling on the potential new Robertson Gold Zone (announced July 22, 2010) is to test the host rocks and their gold carrying potential. Technical staff, drill crews and equipment have arrived on site and have just commenced the program.
"Our previous drilling campaigns on Dubenski have been very successful and allowed us to dramatically upgrade our resource estimate while only drilling to a maximum vertical depth of 130m," comments Trevor R. Walker, President. "Our new drill program will test Dubenski's geophysical indications and the recommendation of Watts Griffith and McQuat in 2007 to drill at depth. If successful these holes that are approximately 100-250m below past drilling will significantly impact the property's resource potential. By carefully planning of our drilling, we are hoping to reveal the potential of the Dubenski Gold Zone from this Phase V drill program. In addition, there couldn't be a nicer compliment to drilling deeper on a proven gold zone than potentially discovering a new one at the Robertson Prospect. Recent surface exploration at the Robertson Prospect has shown it to be a series of merging and cross-cutting auriferous shear zones coincident with an IP chargeability anomaly. Drilling of these mineralized shear zones is required to determine their geometry and resource potential."
Table 1. Selected Core Length Intercepts, Dubenski Shaft Zone, 2008-10 Programs,
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Hole Number/ From To Interval Au Interval Au
Inclination (m) (m) (m) g/mt (ft) oz/st
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DB-08-15 12.10 51.00 38.90 20.44 127.59 0.596
(-67 degrees)
Including 13.00 35.00 22.00 35.68 72.16 1.041
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DB-08-09 41.00 68.00 27.00 12.95 88.56 0.378
(-45 degrees)
Including 50.00 58.00 8.00 40.99 26.24 1.196
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DB-08-07 102.00 135.00 33.00 12.11 108.24 0.353
(-45 degrees)
Including 115.00 124.00 9.00 40.70 29.52 1.187
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DB-08-06 94.70 132.00 37.30 8.28 122.30 0.241
(-45 degrees)
Including 102.00 109.00 7.00 35.31 22.96 1.030
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DB-09-47
(-45 degrees) 73.10 112.00 38.90 2.79 127.59 0.081
Including 73.80 89.80 16.00 6.44 52.48 0.188
Including 81.00 89.25 8.25 10.89 27.06 0.318
Including 81.00 85.00 4.00 17.19 13.12 0.501
Including 82.00 83.00 1.00 35.25 3.28 1.028
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DB-10-70 66.50 85.50 19.00 9.99 62.34 0.291
(-45 degrees)
Including 66.50 69.60 3.10 57.28 0.17 1.671
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The above table illustrates highlights of the winter 2008/2009/2010 drill programs (see Company press releases dated May 1, 2008, April 20, 2009, and March 25, 2010). The holes were drilled at 45 degrees to 67 degrees. True widths are estimated to be 70.7 percent of the core lengths reported for the 45 degree and 39.1 percent of the 67 degree holes. A map of the drill holes and collar locations are included in the corporate presentation that is available for download on the Houston Lake Mining website at www.houstonlakemining.com.
About the Dubenski Property
The Dubenski property is one of eight contiguous properties comprising the Company's 100% owned and optioned 1,674 hectare (4,135 acre) West Cedartree Gold Project located near Kenora, Ontario. The project area encompasses three zones hosting gold resources at Angel Hill (NI 43-101 compliant), Dogpaw Lake No. 1 Vein (historic) and Dubenski Mineralized Zone (NI 43-101 compliant).
P&E Mining Consultants of Brampton, Ontario were contracted to prepare a NI 43-101 compliant Mineral Resource estimate for the Dubenski property (see press release dated November 5, 2009). The categorized Mineral Resources are:
Table 1. Dubenski Mineralized Zone Resource Estimate Utilizing Optimized Pit Shell
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INDICATED INFERRED
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Cut-Off Au g/t Tonnes Au g/t Au oz. Tonnes Au g/t Au oz.
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Pit 0.65 g/t 524,000 3.55 59,800 12,000 1.96 800
UG 2.5 g/t 27,000 3.26 2,900 10,000 3.32 1,000
TOTAL 551,000 3.53 62,700 22,000 2.57 1,800
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1. The updated resource for the Dubenski Mineralized Zone was estimated on the basis of the Oct 31/09 24 month trailing average Au price of US$895/oz and $US exchange rate of
.92. The open pit cut-off grade of 0.65 g/t Au was derived from $C2.50/tonne mining, C$15/tonne processing, C$5/tonne G&A and 95% process recovery. The open pit portion of the resource was defined in a 50 degree slope optimized pit shell. The underground cut-off grade of 2.5 g/t Au was derived from $55/tonne mining, C$15/tonne processing and C$5/tonne G&A and 95% process recovery.
2. Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, socio-political, marketing, or other relevant issues.
3. The quantity and grade of reported inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured mineral resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured mineral resource category.
4. The mineral resources in this press release were estimated using the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions and adopted by CIM Council December 11, 2005.
Due Diligence
All samples reported were shipped to TSL Laboratories, an ISO accredited facility, of Saskatoon, Saskatchewan. Samples were analyzed by fire assay utilizing a 50 gram charge. All samples were assayed with an AA finish and those samples assaying above 3 g/mt gold were retested utilizing a gravimetric finish. The samples were re-checked at a second qualified laboratory in keeping with the Company's standard due diligence procedures.
This news release was reviewed by Bryan McKay, P. Geo., who is the Qualified Person under the guidelines of the National Instrument 43-101.
About Houston Lake Mining Inc.
Houston Lake is an advanced, vertically integrated resource exploration company. The Company is actively exploring for gold, platinum group metal and rare metal deposits in Northwestern Ontario with a strategic focus on the West Cedartree gold project. Houston Lake's objective is to become a gold producer by surface mining its West Cedartree Gold Project and developing its 100% owned and optioned properties. The Company has a total of 42,497,638 common shares issued and outstanding. For additional information, please visit us at www.houstonlakemining.com.
Company Contacts
Houston Lake Mining
Trevor R. Walker, MBA
President
Tel: 705.897.7622
Fax: 705.897.7618
Forward-looking Statements
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at www.sedar.com.
Source: Houston Lake Mining Inc. (TSX-V: HLM) (Pink Sheets: HLKMF) https://www.houstonlakemining.com
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