TORONTO, ONTARIO--(Marketwired - May 6, 2014) - Probe Mines Limited (TSX VENTURE:PRB) ("Probe" or the "Company")
Highlights:
- Summer Drilling program to commence on the Borden Gold project on May 13, 2014;
- Four drills focused on High-Grade Zone ("HGZ") infill drilling program
- Regional exploration and drilling planned for summer 2014, target generation in progress
Probe Mines Limited (TSX VENTURE:PRB) ("Probe" or the "Company") is pleased to announce an update on exploration plans for its Borden Gold Project located near Chapleau Ontario. Recent and previous drilling results indicate a robust high-grade gold system with significant potential for continued improvement in grade and size, which will be the focus of infill drilling in 2014. In addition to deposit-scale exploration, preliminary regional exploration programs have highlighted a number of areas for further drilling on the East Limb project to the east of Borden Gold during summer 2014.
Recent drilling results from the winter program between Sections 2100mSE and 2600mSE continue to indicate that the Borden gold zone is a robust gold system with the potential for grades at, or above, levels seen in previous drilling up to Section 2000mSE. The recent expansion between Sections 2100mSE and 2600mSE suggests that the gold mineralizing system is as good, or better, than that seen in previous limits owing to robust zones such as the 71.0 metres averaging 3.5 g/t gold ("Au") returned on Section 2400mSE in Hole BL14-611. A mineralized envelope of this scale has not been observed in previous drilling and indicates the presence of a strong gold system in the new expansion zone. In addition, it is expected that a second phase, or infill, program on this new segment will result in improved grades and delineation of the highest grade material in the core of the zone. This is typical of the HGZ drilling, and generally for the Borden Deposit, where some of the best mineralization has been found in the infill programs. The highest grades achieved to date, announced in Hole BL13-573 on Section 1850, were only identified in the third infill program on the HGZ (see News Release dated February 10, 2014). The first phase drilling typically allows the bracketing of the mineralized zone, while the infill drilling is used to more precisely define the high-grade gold mineralization. It's anticipated that a similar improvement in grade will be achieved for the recent expansion zone through infill drilling. As well, the mineralization appears to be leveling off as it extends to the southeast. This has had two effects: 1) it benefits the exploration and potential development of the deposit by reducing depths and simplifying logistics, thereby making drilling and development work less expensive; and 2) the recent winter expansion drilling program was targeting a predicted deeper zone and therefore undercut the mineralization in the initial holes. Although the initial holes still intersected mineralization, they were predominantly in the lower part of the zone in lower-grade material. Once it was determined that the zone had leveled off and was not as deep, the drill program was adjusted to target the high-grade core. This can be observed in a simple comparison of the recent drill results on Section 2200mSE with previous infill section 1850mSE (http://www.probemines.com/i/maps/HGZ_Image_05-06-14.jpg), which indicates that the highest-grade material is above the current level of drilling and only requires more infill to delineate. The recent 600 metres expansion confirmed that the same gold system and that the same grades and widths are expected, if not better.
Based on these positive results, the Company will continue its infill drill program with an initial focus on the HGZ. Although it is not possible to infill all the southeastern sections from drilling on land, we are confident that some infill in the new expansion zone is possible from land, between sections 2000mSE and 2200mSE. The 2014 program will commence in one week and will again utilize four drills. It is expected that the infill program will comprise over 40,000 metres of drilling during 2014.
In addition to drilling on the Borden Gold Deposit, the Company is planning a 5,000 metre exploration drilling program on its East Limb project, approximately 30 kilometres east of Borden. The program, expected to commence this summer, will target anomalies generated within the eastern extension of the Borden Belt. The Company has spent the past 12 months evaluating the East Limb project through airborne geophysical, soil geochemical and ground geophysical surveys, as well as geological mapping and prospecting, and has selected five preliminary areas for follow-up drilling. Field crews will continue to do reconnaissance-scale evaluation of the 350 square kilometer East Limb property in order to identify further areas for detailed exploration.
On the Borden Gold deposit development front, the Company is working on an updated resource estimate, expected before the end of the quarter, which will include all drilling completed to date and will provide the first estimate of the HGZ. The last resource estimate only included up to Section 1300mSE, and the expansion and infill drilling, in both the HGZ and lower grade bulk tonnage mineralization, is expected to improve the Resource significantly. The resource estimate will form the basis of a preliminary economic assessment ("PEA") which is in-progress, and expected to be released before the end of the year. As well, work is continuing on advanced metallurgy and the environmental baseline study, the latter which is now in its third year.
Dr. Yves Dessureault, Chief Operating Officer of Probe, states, "Progress has been encouraging and suggests that the HGZ is a large, continuous mineralized zone amenable to lower-cost bulk underground mining methods at reasonable cut-off grades. Later this year, the completion of a PEA will be a significant de-risking milestone for the project and create value for our shareholders."
Dr. David Palmer, President and CEO of Probe, comments, "The Winter Program really was a tremendous success, we found exactly the same indications of a strong, large, high-grade mineralized zone that we have seen in every first-pass drilling program that has been completed on the HGZ to date. We are confident that the HGZ will continue to expand and improve with the infill drilling. Since the discovery hole in 2010, the Borden Deposit, and particularly the HGZ, has always benefited and improved in grade with more drilling, and has now grown to over 3.7 kilometres in strike length."
About Probe Mines:
Probe Mines Limited is a Canadian precious metals exploration company whose key asset is the Borden Gold Zone in Ontario, Canada. As of January 31, 2014, the Company is well-positioned with approximately $29.4 million in treasury. The Company is actively exploring a significant new gold resource on its Borden Gold Zone near Chapleau, Ontario and has 100% interest in the Black Creek chromite deposit located in Northern Ontario. The Company's shares trade on the TSX Venture Exchange under the symbol PRB.
David Palmer, Ph.D., P.Geo., is the qualified person for all technical information in this release. To find out more about Probe Mines Limited, visit our website at www.probemines.com.
On behalf of Probe Mines Limited,
Dr. David Palmer, President & Chief Executive Officer
Forward-Looking Statements
Neither 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 News Release includes certain "forward-looking statements" which are not comprised of historical facts. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management's expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information.
Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans, statements regarding exploration results, potential mineralization, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate First Nations and other indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in the Company's public documents filed on SEDAR. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.
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