Premier provides Hardrock exploration update

Open Pit drilling includes 5.27 g/t Au across 22.5 metres

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THUNDER BAY, ON, July 30, 2013 /CNW/ - PREMIER GOLD MINES LIMITED (News - Market indicators) is pleased to provide an update for the Company's 100%- owned Hardrock Project, which forms part of the Company's Trans-Canada Property located in Northwestern Ontario. The program consists of confirmation and expansion drilling in the vicinity of known mineralized horizons, condemnation drilling in the vicinity of the prospective pit at Hardrock, and testing previously undrilled areas in the immediate vicinity of the primary deposit.

The 2013 drill program is expected to contain some 120,000 metres of drilling with eight drill rigs.  To date, this program has achieved numerous successes including the discovery of a parallel gold-bearing horizon within the conceptual open pit shell, confirmed the potential to extend several gold zones, and returned high-grade results within several horizons.  New highlight intercepts include:

• High grade intercepts within narrow vein zones drilled to upgrade resources in the deeper portion of the conceptual pit shell include 62.54 grams per tonne gold (g/t Au) across 3.0 metres (m) in hole MM420 within the Fortune Zone and 95.32 g/t Au across 2.0 m within the NLC-Zone in hole HR180.
  
  
• Additional results from a new zone(s) discovered (North Wall Zone) to the north of the primary resource area in the condemnation program include 3.70 g/t Au across 22.0 m in hole HR161; and 2.30 g/t Au across 21.0 m and 2.13 g/t across 15.0 m in hole HR180.
  
  
• The potential to expand several horizons has been confirmed in step out holes including the SP Zone within the conceptual open pit resource area (See figure 1 below) - intercepts include 5.27 g/t Au across 22.5 m in hole MM429 and 1.96 g/t Au across 42.8 m in hole MM380.

Work is underway to update the gold resource at Hardrock in advance of completing a Preliminary Economic Assessment (PEA) that is expected to be completed in H2-2013. A separate PEA for the Brookbank deposit is also being conducted.  The Hardrock PEA is assessing potential open pit, underground, and combined scenarios.

"Drilling continues to expand on several horizons at Hardrock and is confirming strong continuity of mineralization within a potentially larger pit shell" stated Stephen McGibbon, Executive Vice-President of Premier.  "This year's substantial drill program will aid in firming up resources for future feasibility studies".

Open Pit Drilling

The open pit drilling is designed to upgrade resources in addition to testing for extensions of the known mineralized zones.  This drilling has resulted in the extension to several horizons, most notably the SP and F Zone lenses.

Recent drilling in hole MM429 within the SP Zone suggests the potential to add near-surface resources with the deepest hole drilled on the section having returned 5.27g/t Au across 22.50 m (See figure 1 below).  Additional drilling will test for further extensions.

Table 1 provides a summary of highlight results from the open pit drilling and Appendix 1 provides a full table of results.  Results for holes MM358-MM429 (61 holes) are included with 23 having assays pending and 2 holes having no significant values (less than 0.5 g/t Au).

Table 1: New Assay Results from the Hardrock pit area

* True widths estimated at 60-70% of intercept       * Assays as presented are un-cut       NSV - No Significant results       X - No zone assigned

Condemnation Drilling

Several drills are actively testing an area to the north of the primary zones that had previously received little to no drilling.  This drilling has resulted in the recent discovery of the North Wall and several holes have been extended to intersect mineralization in the vicinity of the known resource - confirming appreciable grades within several horizons.  Initial results from the North Wall Zone (see press release dated May 21, 2013) include intercepts of 132.32 g/t Au across 3.9 m (3.86 oz/t gold across 12.8 feet) in hole HR155; and 13.96 g/t Au across 6.0 m and 1.52 g/t across 17.0 m in hole HR157. New results in the North Wall Zone include 3.70 g/t Au across 22.0 m and 2.30 g/t Au across 21.0 m.  These new horizons remain open for expansion and ongoing drilling is testing the potential of this new area.

Table 2 provides a summary of highlight new drill results from the condemnation program.

Table 2: New Assay Results from the Hardrock pit area

* True widths estimated at 60-70% of intercept       * Assays as presented are un-cut

Hardrock is one of four gold deposits that make up the Trans-Canada Property.  The four deposits have both open pit and underground potential and comprise a multi-million ounce gold resource (technical report filed February 1, 2013). The Hardrock Deposit is the largest of the four deposits and is the focus of the current drill program.  The Trans-Canada Property benefits from development advantages with the Trans-Canada Highway, Trans-Canada Pipeline, and major power lines running through, or in close proximity to, the Project sites.  Significant services and a skilled labour pool exist with several communities located in close proximity.

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 Activation Laboratories, an accredited mineral analysis laboratory in Ancaster, Ontario, for preparation and analysis utilizing both fire assay and screen metallic methods.

Premier Gold Mines Limited is one of North America's leading exploration and development companies with a high-quality pipeline of gold projects focused in proven, safe and accessible mining jurisdictions in Canada and the United States.  The Company is fully financed with a portfolio of advanced-stage assets in world class gold mining districts such as Red Lake and Geraldton in Ontario and the most prolific gold trends in Nevada.

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.

Appendix 1 - full table of significant assays

SOURCE Premier Gold Mines Limited

Image with caption: "Figure 1: Section 4775E - Open Pit Drilling (CNW Group/Premier Gold Mines Limited)". Image available at: http://photos.newswire.ca/images/download/20130730_C2293_PHOTO_EN_29373.jpg

Ewan Downie
President & CEO
Phone: 807-346-1390
Fax: 807-346-0100
e-mail: Info@premiergoldmines.com
Web Site: www.premiergoldmines.com