Northgate Minerals Reports Significant Gold
Intersections at its Fosterville and Stawell Gold Mines
Northgate Minerals
Corporation) is pleased to report positive exploration results from diamond
drill programs at its Fosterville and Stawell Gold mines in Victoria, Australia.
Exploration Highlights
- Fosterville:
drilling below and down-plunge of the Phoenix Reserve block continues to
show promising results:
Phoenix
Footwall
- Drilling
within the Footwall has intersected strong mineralization: hole UDE038
(6850 mN) intersected 5.4 grams per tonne ("g/t") gold over 24.9 metres ("m"), including 11.5 g/t over 5.6 m
and 10.1 g/t over 4.3 m.
- Hole
UD756 (7360 mN) intersected 4.7 g/t over
6.3 m and 5.5 g/t over 18.6 m, including 8.1 g/t over
9.1 m.
- These
holes follow on assay results released previously: hole SPD547B
(7000 mN) returned 6.3 g/t over
23.3 m and 4.6 g/t over 6.5 m.
- Results
from the Footwall indicate that there is potential to add new reserves
close to the existing Phoenix underground development and to increase
ounces per vertical metre immediately below the
existing reserves.
Phoenix
Extension (6850 mN)
- Hole
UDE037 intersected 14.1 g/t over 4.7 m and hole UDE038 intersected
5.8 g/t over 5.0 m.
- These
holes follow on the assay results released previously: hole SPD527C
(6950 mN) returned 6.5 g/t over
5.1 m and hole SPD526C (6900 mN) returned
12.2 g/t over 6.3 m.
- Results
indicate the potential for increasing the Phoenix Extension zone another
150 m south along strike and down plunge.
- Stawell:
in addition to the two new gold discoveries in previously untested areas
(see press releases dated August 31 and November 1, 2010), drilling
from Golden Gift 6 Lower ("GG6L") intersected high-grade
mineralization, further enhancing the new GG6 reserve zone, with current
average reserve grade of 6.3 g/t:
Basalt Contact:
- Hole MD-5338 returned 13.2 g/t over
4 m.
- Hole
MD-5281 contained several excellent intervals: 4.9 g/t over 16.4 m,
including 7.1 g/t over 7.6 m and 15.9 g/t over 5.1 m.
- Hole
MD-5790 also contained several excellent intervals: 5.7 g/t over 5.2 m,
including 13.0 g/t over 1.5 m; a second interval returned 5.8 g/t
over 9.7 m, including 8.0 g/t over 3.0 m and 13.2 g/t over
1.5 m.
Waterloo:
- Hole MD-5281 returned 24.0 g/t over
10.6 m.
- Hole MD-5481 returned 21.0 g/t gold
over 3.1 m.
Ken Stowe, President and
Chief Executive Officer, remarked, "The excellent results received to date
represent a significant step towards achieving our goal of reserve and resource
expansion at our Australian mines. Drilling within the Phoenix Footwall
and Extension down dip from the existing reserves is testing for the large
scale continuity of the Phoenix Deposit, which has been the most productive orebody identified on the property
to date, and while in its early stages, we are encouraged by the excellent
results and the potential to add to reserves. We also continue to be very
excited on the progress that is being made at Stawell
in identifying new areas on our mining lease, including two new gold bearing
basalt domes and a potentially significant waterloo zone, as we look to make
further extensions to the mine life."
2010 Diamond Drill Programs
Fosterville - Phoenix Footwall and Phoenix
Extension
To date, three holes have
been drilled totalling 1,590 m using underground
drill platforms.
We are encouraged by
results within the Phoenix Footwall, which has appreciable widths and grades
and has the potential to be an ore shoot paralleling the known Phoenix orebody. A drill program is in progress in the area between
7200 mN and 7500 mN to
determine the grade and continuity of this potential zone.
Drill results from the
Phoenix Extension indicate the potential for extending the Phoenix orebody another 150 m south along strike and down plunge. A
drill program is also progressing on section 6850 mN
to potentially extend mineralization up dip of existing drill intersections.
Figure 1: Fosterville Gold Mine Long Projection of Phoenix Extension
and Footwall
www.northgateminerals.com/Theme/Northgate/files/Releases/11-10F1.gif
Table 1: Assay Results from
Phoenix Extension and Footwall Drilling
Hole ID
|
From (m)
|
To (m)
|
Interval (m)
|
Gold Assay
(g/t)
|
Phoenix
Extension / Footwall
|
UDE037
|
446.5
|
451.2
|
4.7
|
14.1
|
Extension
|
UDE038
|
462.6
|
467.6
|
5.0
|
5.8
|
Extension
|
UDE038
|
500.7
|
525.6
|
24.9
|
5.4
|
Footwall
|
including
|
500.7
|
506.3
|
5.6
|
11.5
|
Footwall
|
and
|
516.1
|
520.4
|
4.3
|
10.1
|
Footwall
|
UD756
|
468.1
|
474.4
|
6.3
|
4.7
|
Footwall
|
UD756
|
478.0
|
496.6
|
18.6
|
5.5
|
Footwall
|
including
|
482.7
|
491.7
|
9.1
|
8.1
|
Footwall
|
Stawell - GG6L
Drilling within GG6L is
ongoing, where there is potential to add to high-grade reserves similar to the
6.3 g/t reserve grade within GG6. Assay results received to date are presented
in the following tables and have returned significant thicknesses of mineralization.
The GG6L mineralized zone extends over 200 m along strike and over
180 m in vertical height at present. Since 2008, a total of 13 holes have
been drilled into the GG6L scoping program. Seven of these holes intersected
the high-grade basalt contact zone.
While the initial work in
the GG6L zone has centered on the high grade basalt contact mineralization, the
discovery of a potentially significant waterloo zone further east of the main
basalt contact provides another high-grade area to focus on. Potential
for further upside at GG6L is promising. Multiple ore surfaces in the GG6L zone
and extensions at depth, as well as the identification of the waterloo zone,
all present excellent opportunities for additional ounces to be discovered in
the GG6L zone.
The exploration team at
Stawell has begun the interpretation of the drill intercepts for a GG6L
resource estimate. Upon completion of the proposed 2011 drill program, it is
expected that there will be 27 intercepts into the basalt contact zone at 50 m
by 50 m spacing, which should be sufficient to initiate resource
definition drilling in the zone with the focus on reserve conversion.
Figure 2: Stawell Gold Mine
Long Projection of GG6L
www.northgateminerals.com/Theme/Northgate/files/Releases/11-10F2.gif
Table 2: Assay Results from
GG6L Zone - Basalt Contact Zone Mineralization
Hole ID
|
From (m)
|
To (m)
|
Downhole
Interval (m)
|
Estimated
True Width
(m)
|
Grade
(g/t)
|
MD-5338
|
417.9
|
421.9
|
4.0
|
1.9
|
13.2
|
MD-5540
|
359.5
|
360.8
|
1.3
|
1.0
|
12.6
|
MD-5540W1
|
366.2
|
369.5
|
3.3
|
2.0
|
4.9
|
MD-5281
|
493.7
|
510.1
|
16.4
|
8.4
|
4.9
|
including
|
502.5
|
510.1
|
7.6
|
3.8
|
7.1
|
MD-5281
|
525.9
|
531
|
5.1
|
2.6
|
15.9
|
including
|
525.9
|
528.5
|
2.6
|
1.3
|
12.7
|
and
|
529.2
|
530.2
|
1.0
|
0.5
|
40.3
|
MD-5281
|
559.2
|
561.7
|
2.5
|
1.1
|
9.6
|
MD-5489
|
444.5
|
445
|
0.5
|
0.4
|
8.8
|
MD-5550
|
361.6
|
366.7
|
5.1
|
3.3
|
12.3
|
MD-5790
|
273.2
|
278.4
|
5.2
|
3.2
|
5.7
|
including
|
274.7
|
276.2
|
1.5
|
0.9
|
13.0
|
MD-5790
|
345.3
|
355.0
|
9.7
|
6.8
|
5.8
|
including
|
347.7
|
350.65
|
3.0
|
2.0
|
8.0
|
and
|
353.5
|
355.0
|
1.5
|
1.0
|
13.2
|
Table 3: Assay Results from
GG6L Zone - Stockwork Zone Mineralization
Hole ID
|
From (m)
|
To (m)
|
Downhole
Interval (m)
|
Estimated
True Width
(m)
|
Grade (g/t)
|
MD-5282
|
476.1
|
477.3
|
1.2
|
0.8
|
5.2
|
MD-5282
|
485.2
|
486.9
|
1.7
|
0.9
|
5.4
|
MD-5481
|
418.8
|
420.2
|
1.4
|
1.1
|
5.9
|
MD-5489
|
437.5
|
441.2
|
3.7
|
2.8
|
2.7
|
MD-5550
|
351
|
354.4
|
3.4
|
2.7
|
9.0
|
Table 4: Assay Results from
GG6L Zone - Waterloo Zone Mineralization
Hole ID
|
From (m)
|
To (m)
|
Downhole
Interval (m)
|
Estimated
True Width
(m)
|
Gold (g/t)
|
MD-5281
|
535
|
545.6
|
10.6
|
5.6
|
24.0
|
MD-5282
|
512.4
|
516.2
|
3.8
|
2.0
|
9.6
|
MD-5481
|
439.3
|
442.4
|
3.1
|
2.9
|
21.0
|
Appendix 1: Phoenix
Extension and Footwall Drill Hole Collar Locations
Hole ID
|
Northing
|
Easting
|
Elevation
|
Collar
Azimuth
|
Collar Dip
|
Depth (m)
|
UDE037
|
6,750
|
1,680
|
4,845
|
347.0
|
-77
|
509.9
|
UDE038
|
6,750
|
1,680
|
4,845
|
329.0
|
-80
|
546.1
|
UDE756
|
7,378
|
1,680
|
4,943
|
234.0
|
-86
|
533.5
|
Appendix 2: GG6L Drill Hole
Collar Locations
Hole ID
|
Easting
|
Northing
|
Elevation
|
Collar
Azimuth
|
Collar Dip
|
Depth (m)
|
MD-5281
|
659031.19
|
898049.14
|
-1273.30
|
49.0
|
-66.0
|
620.6
|
MD-5282
|
659030.6
|
898049.4
|
-1273.3
|
30.0
|
-69.0
|
569.8
|
MD-5338
|
659030.66
|
898049.45
|
-1273.31
|
20.0
|
-68.0
|
491.9
|
MD-5481
|
659069.54
|
897967.75
|
-1331.47
|
29.6
|
-56.0
|
575.3
|
MD-5489
|
659069.87
|
897967.56
|
-1331.47
|
38.6
|
-54.7
|
689.5
|
MD-5540
|
658943.88
|
898035.33
|
-1357.67
|
28.3
|
-60.4
|
503.7
|
MD-5540W1
|
658943.88
|
898035.33
|
-1357.67
|
31.5
|
-58.2
|
560.7
|
MD-5550
|
659013.54
|
898004.4
|
-1355.52
|
60.0
|
-45.5
|
491.5
|
MD-5580
|
659014.1
|
898002.7
|
-1355.9
|
63.0
|
-47.7
|
677.6
|
MD-5599
|
659014.1
|
898002.7
|
-1355.9
|
71.0
|
-47.5
|
746.6
|
MD-5790
|
659009.3
|
898044.8
|
-1442.37
|
14.5
|
-58.0
|
404.6
|
* * * * * *
Quality Control -
Analyses and Sample Location
The quality assurance/quality control and other
analytical and testing procedures for sample analysis and drill hole survey
methodology were those reported in the Canadian National Instrument 43-101
Standards of Disclosure for Mineral Projects ("NI 43-101")
compliant Technical Report filed on SEDAR (www.sedar.com) on October 22, 2008.
Qualified Persons
The program design, implementation, quality assurance/quality control and
interpretation of the results from Fosterville are under the control of
Northgate's geological staff, which includes of number of individuals, each of
who are qualified persons as defined under NI 43-101. Supervision of the
program is by Glenn Grayson (BSc Geology, MAusIMM), Northgate's Senior Exploration
Geologist and Simon Hitchman (BSc Geology (Hons), MAusIMM, MAIG), Northgate's
District Exploration Geologist at the Fosterville Gold Mine.
The program design,
implementation, quality assurance/quality control and interpretation of the
results from Stawell are under the control of Northgate's geological staff,
which includes a number of individuals, each of who are qualified persons as
defined under NI 43-101 and is supervised by Steve Harper, Senior
Exploration Geologist (Australian Institute of Mining and Metallurgy). Mark
Haydon (Australian Institute of Geoscientists), Stawell Gold Mine's Geology
Manager, has supervised the preparation of the information that forms the basis
of this release, and is responsible for the overall management of the program.
* * * * * * *
Note to Investors:
The terms "Qualified Person", "Mineral Reserve",
"Proven Mineral Reserve", "Probable Mineral Reserve",
"Mineral Resource", "Measured Mineral Resource",
"Indicated Mineral Resource", and "Inferred Mineral
Resource" used in this news release are defined in accordance with NI
43-101.
* * * * * * *
Northgate Minerals
Corporation is a
gold and copper producer with mining operations, development projects and
exploration properties in Canada and Australia. Our vision is to be the
leading intermediate gold producer by identifying, acquiring, developing and
operating profitable, long-life mining properties.
Cautionary Note
Regarding Forward-Looking Statements and Information:
This Northgate press release contains "forward-looking information",
as such term is defined in applicable Canadian securities legislation and
"forward-looking statements" within the meaning of the United States
Private Securities Litigation Reform Act of 1995, concerning Northgate's future
financial or operating performance and other statements that express
management's expectations or estimates of future developments, circumstances or
results. Generally, forward-looking information can be identified by the use of
forward-looking terminology such as "expects", "believes",
"anticipates", "budget", "scheduled",
"estimates", "forecasts", "intends",
"plans" and variations of such words and phrases, or by statements
that certain actions, events or results "may", "will",
"could", "would" or "might" "be taken",
"occur" or "be achieved". Forward-looking information is
based on a number of assumptions and estimates that, while considered reasonable
by management based on the business and markets in which Northgate operates,
are inherently subject to significant operational, economic and competitive
uncertainties and contingencies. Northgate cautions that forward-looking
information involves known and unknown risks, uncertainties and other factors
that may cause Northgate's actual results, performance or achievements to be
materially different from those expressed or implied by such information,
including, but not limited to gold and copper price volatility; fluctuations in
foreign exchange rates and interest rates; the impact of any hedging
activities; discrepancies between actual and estimated production, between
actual and estimated reserves and resources or between actual and estimated
metallurgical recoveries; costs of production; capital expenditure
requirements; the costs and timing of construction and development of new
deposits; and the success of exploration and permitting activities. In
addition, the factors described or referred to in the section entitled
"Risk Factors" in Northgate's Annual Information Form for the year
ended December 31, 2009 or under the heading "Risks and
Uncertainties" in Northgate's 2009 Annual Report, both of which are
available on the SEDAR website at www.sedar.com, should be reviewed in conjunction with
the information found in this press release. Although Northgate has attempted
to identify important factors that could cause actual results, performance or
achievements to differ materially from those contained in forward-looking
information, there can be other factors that cause results, performance or
achievements not to be as anticipated, estimated or intended. There can be no
assurance that such information will prove to be accurate or that management's
expectations or estimates of future developments, circumstances or results will
materialize. Accordingly, readers should not place undue reliance on
forward-looking information. The forward-looking information in this press
release is made as of the date of this press release, and Northgate disclaims
any intention or obligation to update or revise such information, except as
required by applicable law.
Cautionary Note to US
Investors Regarding Mineral Reporting Standards:
Northgate prepares its disclosure in accordance with the requirements of securities
laws in effect in Canada, which differ from the requirements of U.S. securities
laws. Terms relating to mineral resources in this press release are defined in
accordance with National Instrument 43-101-Standards of Disclosure for Mineral
Projects under the guidelines set out in the Canadian Institute of Mining,
Metallurgy, and Petroleum Standards on Mineral Resources and Mineral Reserves.
The Securities and Exchange Commission (the "SEC") permits mining
companies, in their filings with the SEC, to disclose only those mineral
deposits that a company can economically and legally extract or produce. The
Company uses certain terms, such as, "measured mineral resources"
"indicated mineral resources", "inferred mineral resources"
and "probable mineral reserves", that the SEC does not recognize
(these terms may be used in this press release and are included in the
Company's public filings which have been filed with securities commissions or
similar authorities in Canada).