NEWS Release...RED LAKE!!! awesomePREMIER INTERSECTS HIGH-GRADE GOLD AT RED LAKE JOINT VENTURE PROJECT MULTIPLE INTERCEPTS INCLUDE 46.15 g/t Au ACROSS 4.5 METRES
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THUNDER BAY, ON, May 18 /CNW/ - PREMIER GOLD MINES LIMITED (TSX:PG) is pleased to announce that follow-up drilling at the "Wilmar 2E Zone" target within the Rahill-Bonanza Project has intersected multiple high-grade gold intercepts with composite assay results as high as 46.15 grams per tonne gold (g/t Au) across 4.5 metres (m) or 1.35 ounces per short ton (oz/t) across 14.8 feet (ft). Drill hole PG11090 was drilled to test the down-plunge potential of the Wilmar 2E Zone and, when combined with drilling completed late in 2010, indicates excellent potential to define high-grade gold resources proximal to the historic Wilmar Mine.
The Wilmar Mine is located in the eastern part of the Rahill-Bonanza Project (PG:49%, 51%RLGM) which is strategically located in the heart of the prolific Red Lake gold mining district and is being explored by joint venture partner Red Lake Gold Mines Limited ("RLGM"), a partnership between Goldcorp Inc and Goldcorp Canada Ltd. Wilmar was developed via a drift that links it with the nearby Cochenour Mine infrastructure being rehabilitated by Goldcorp for the development of the nearby Cochenour Project. Past-production at Wilmar, over a period of four years, resulted in 203,256 tons of ore being mined at an average grade of 0.30 oz/ton Au (10.3g/t Au). The deposit remained open at depth when the mine shutdown and previous drilling performed down-dip of the mine workings by the joint venture in 2007 returned numerous significant intersections including 18.1 g/t Au over 2.0 m and 14.2g/t Au over 5.0 m.
Late in 2010, hole PG10082 was drilled to test the down-plunge extension of the historically mined 2E Zone at the Wilmar Mine. This intercept, approximately 250 metres down-plunge of the historic workings, intersected bonanza grade gold with 68.87 g/t Au across 3.5 m (2.01 oz/t across 11.5 ft uncut) including 207.43 g/t Au across 1.15 m (6.06 oz/t across 3.8 ft). The first follow-up hole completed in 2011 (PG11090) has returned multiple high-grade intercepts mid-way between PG10082 and the mine workings. The 2E Zone remains open for expansion. Significant results include:
- 42.59 g/t Au across 1.5 m (1.33 oz/t across 4.9 ft) from 715.0-716.5 metres
- 46.15 g/t Au across 4.5 m (1.35 oz/t across 14.8 ft) from 719.0-723.5 metres
- 12.77 g/t Au across 4.5 m (0.37 oz/t across 14.8 ft) from 744.5-749.0 metres
The Rahill-Bonanza Project is host to several deposits having historical and NI43-101 compliant mineral resources including the past-producing Wilmar Mine. The Property covers approximately 4.5 kilometres of the main Red Lake "Mine Trend" between the world class Red Lake Gold Mines complex to the east, and the Cochenour Project to the west. An underground tram to link the two operations is currently under construction, and will provide an excellent exploration platform from which to drill test at depth several kilometres of some of the highest-potential untested ground in the Red Lake gold camp. The Rahill-Bonanza Project represents the last piece of the main mine horizon in Red Lake not 100% owned by Goldcorp.
"The grade of early results in the Wilmar 2E Zone reminds me of my initial experience with the High-Grade Zone at the nearby Red Lake Gold Mines complex." said Stephen McGibbon, Executive Vice-President and Chief Operating Officer of Premier. "This zone is open for expansion and limited drilling has been completed in this area. We believe that the potential to define significant high-grade resources in this area are high".
Table 1 - Rahill-Bonanza JV Results
| | | | | | | | | | |
| Hole-ID | UTM
Coordinates
(m) NAD 27 | Dip/Azimuth
(degrees) | From (m) | To (m) | Interval (m) | Grade
(g/tonne) | Interval (ft) | Grade
(oz/ton) | Zone |
| PG10082* |
5656669 N
443922 E | | 757 | 760.5 | 3.5 | 68.87 | 11.5 | 2.01 | Wilmar 2E |
| including | -77/330 | 759.35 | 760.5 | 1.15 | 207.43 | 3.8 | 6.06 |
| PG11090 | 5656609 N
444119 E | | 644.0 | 645.0 | 1.0 | 6.17 | 3.3 | 0.18 | Wilmar 2E |
| | 715.0 | 716.5 | 1.5 | 42.59 | 4.9 | 1.24 | Wilmar 2E |
| -67/312 | 719.0 | 723.5 | 4.5 | 46.15 | 14.8 | 1.35 | Wilmar 2E |
| | 731.5 | 732.5 | 1.0 | 7.43 | 3.3 | 0.22 | Wilmar 2E |
| | 744.5 | 749.0 | 4.5 | 12.77 | 14.8 | 0.37 | Wilmar 2E |
* - Previously released hole
* True widths are estimated to be between 40% and 70% of intersection width
Drilling completed from the ice of Red Lake in 2011 tested several other targets including testing for extensions of the West Granodiorite Zone, a bulk tonnage target, to define controls of mineralization within the recently identified PG70 Zone, and drilling the Footwall Zone on the East Bay Joint Venture Project (PG 35%). The PG70 Zone is located several hundred metres to the west of the Wilmar Mine and likely represents the on-strike extension of mineralization, suggesting a southwesterly plunge to the gold zones. Additional results from drilling on the East Bay Joint Venture Project are expected in the near future where drilling is testing a high-grade vein zone along the East Bay ultramafic trend. Impressive high-grade gold has been intersected in the recently discovered Footwall Zone over a strike length of 400 metres with assays that include 56.54 g/t Au across 0.9m (1.65 oz/ton across 3.0 ft), 44.82 g/t Au across 1.5m (1.31 oz/ton across 4.9 ft), and 297.61 g/t Au across 1.0 m (8.68 oz/ton across 3.3 feet) (see press release dated April 21, 2011).
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. Assay results 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.
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 are operated in joint venture with Red Lake Gold Mines. The company also owns strategic projects located in the heart of the Carlin Trend, Nevada, on the main Musselwhite Gold Mine trend, and holds a 70% interest in the Hardrock Project.
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.