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TORONTO, ONTARIO--(Marketwire - March 4, 2011) - Lake Shore Gold Corp.
(TSX:LSG) ("Lake Shore Gold" or the "Company")
today announced results from 6 drill holes (3,035 metres)
from the 730 Level at the Thunder Creek Project with 4 holes (1,060 metres) being collared underground and 2 holes
(1,975 metres) on surface. The holes are part
of a continuing drill program to define the overall geometry and grade
of the Porphyry and Rusk Zones near the 730 elevation in order to
complete an initial National Instrument 43-101 compliant resource
estimate.
Tony Makuch, President and CEO of Lake Shore
Gold, commented: "Today's results are very exciting as they
provide confirmation that we are dealing with a very special gold
deposit at Thunder Creek which is already meeting and exceeding our
original expectations in terms of size and grades. With today's drill holes we have now recorded very wide
intersections with high-grade sections from multiple directions. Given
the location of some of the intercepts they also demonstrate the
potential to expand the zones, which supports our belief that what we
may have is one very large mineralized system that runs along the
Timmins Mine, Thunder Creek and 144 trend. We
are continuing our aggressive drill program at Thunder Creek with five
drills currently active in support of our efforts to establish an
initial National Instrument 43-101 resource later this year. In
addition, we are also developing two hanging wall drifts and will use
these drifts to drill for extensions between the 300 and 730 levels and
to a depth of 1,500 metres. The potential to
extend the mineralization to depth is excellent as both the Rusk and
Porphyry zones remain open and the size of the porphyry stock increases
the deeper it goes."
Three of the new holes drilled from underground (730-005,730-008 and
730-009) were collared near the east edge of the Porphyry Zone and one hole (650-004b) was collared on the west side of the
new access drift from the Timmins Mine. Significant results from the
new holes collared east of the zones are 75.14 gpt
over 18.60m, including 284.19 gpt over 4.60m,
and 3.30 gpt over 76.70m within a broader
intercept of 11.53 gpt over 147.30m. 730-005
and 730-009 were drilled in a westerly direction at horizontal and
minus 25 degree angles, respectively, and 730-008 was drilled at a
horizontal angle in a southerly direction. The midpoint of the new
intersection in 730-009 is approximately 12 metres
below the intersection in TC-09-68B, with the two holes being nearly
perpendicular in direction. TC-09-68B was the original discovery hole
for the Porphyry Zone and graded 12.75 gpt
over 83.40m (see press release dated June 24, 2009).
Results from 650-004b, which was drilled from the same cut out as the
previously reported underground hole 650-001, which intersected 4.91 gpt over 99.60m (see press release dated November
24, 2010) were also positive and included 3.11 gpt
over 95.70m. 650-004b passed approximately 25 metres
below 650-001 and strongly confirms the drill results from that initial
underground hole.
Observations to date indicate that mineralization near the 730 Level
occurs within a broad envelope containing lenses of higher grade
material throughout. The overall envelope covers the entire width of
the Rusk and Porphyry zones and measures approximately 175 metres long and 100 metres
wide. High grade material in the Porphyry Zone seems closely associated
with swarms of quartz veining along with local visible gold, while high
grades in the Rusk Zone are associated with strongly folded, altered
and pyritic zones of pyroxenite. Of interest,
drilling from the 730 level has now been completed across the
mineralized envelope in a variety of directions and obtained high
grades over significant widths from each.
Significant results from surface drilling included 5.92 gpt over 9.90m in TC09-69h and 4.67 gpt over 6.40m in TC09-69j from the Rusk Zone.
These holes were drilled near the present west limit of the Rusk Zone,
approximately 100 metres above the 730 Level
and continue to show strong potential to expand the zone in this
direction.
Drilling is continuing at the Thunder Creek project with 5 drills,
including two drills near the 300 Level, two drills near the 730 Level
and one drill on surface. Work is also continuing with the development
of hanging wall drifts on the 300 and 730 levels in order to allow
better drill coverage in areas between the 300 and 730 levels and to an
eventual depth of 1,500 metres. The deepest
holes to test the zone to date are at a vertical depth of 1,000 metres and indicate the Rusk and Porphyry zones are
open to depth and that the Porphyry stock hosting the Porphyry zone is
increasing in size.
Quality Control
The Company's Qualified Person ("QP") for the drilling being
completed on the Thunder Creek property is Dean Crick, P. Geo. As QP,
he has prepared or supervised the preparation of the scientific or
technical information and has verified the data disclosed in this press
release. Mr. Crick is an employee of Lake Shore Gold.
Lake Shore Gold has a quality control program to ensure best practices
in the sampling and analysis of all drill core.
Assays have been completed at both ALS Chemex
(TC200 series holes) and LSG - Bell Creek lab (TC300 series holes);
both labs use a standard fire assay with a 30-gram aliquot. For samples
that return a value greater than 10 grams (ALS Chemex)
and 20 grams (Bell Creek) per tonne gold,
another pulp is taken and fire assayed with a gravimetric finish.
Mineralized sections of the Porphyry Zone are analyzed using the "metallics" or screen fire assay technique.
BQTK size drill core is saw cut and half the drill core is sampled in
standard intervals. The remaining half of the core is stored in a
secure location. The drill core is transported in security-sealed bags
to either the Bell Creek lab for preparation and analysis or to the ALS
Chemex Prep Lab located in Timmins, Ontario.
The pulps from core that is sent to the ALS Chemex
Prep Lab are then shipped to ALS Chemex Assay
Laboratory in Vancouver, BC. ALS Chemex is a
fully certified laboratory with ISOIEC 17025 certification. The LSG -
Bell Creek lab conducts in-house analysis of mill, underground and
drill core samples and is not an ISOIEC 17025 certified laboratory.
About Lake Shore Gold Corp.
Lake Shore Gold is a rapidly growing mining company with a vision to
become a mid-tier gold producer through the successful exploration,
development and operation of its properties in the Abitibi Greenstone
belt in Northern Ontario and Quebec, starting with its strong base in
Timmins, Ontario. In Timmins, the Company is in commercial production
at the Timmins Mine, has intersected underground, and is developing
along, mineralization at the adjacent Thunder Creek deposit and is advancing
an underground advanced exploration program at its Bell Creek Mine.
Mine production is delivered to the Company's mill (also located in
Timmins), which has been refurbished and currently has an operating
capacity of 2,000 tonnes per day. The Company
continues to invest aggressively in exploration in the Timmins Camp and
in its other properties in Northern Ontario and Quebec, and owns a
large and prospective land position in Mexico. The Company's common
shares trade on the TSX under the symbol LSG.
Forward-looking Statements
Certain statements in this press release relating to the Company's
exploration activities, potential for increasing resources, project
expenditures and business plans are "forward-looking
statements" within the meaning of securities legislation. The
Company does not intend, and does not assume any obligation, to update
these forward-looking statements. These forward-looking statements
represent management's best judgment based on current facts and
assumptions that management considers reasonable, including that
operating and capital plans will not be disrupted by issues such as
mechanical failure, unavailability of parts, labour
disturbances, interruption in transportation or utilities, or adverse
weather conditions, that there are no material unanticipated variations
in budgeted costs, that contractors will complete projects according to
schedule, and that actual mineralization on properties will not be less
than identified mineral reserves. The Company makes no representation that
reasonable business people in possession of the same information would
reach the same conclusions. Forward-looking statements involve known
and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking statements. In
particular, fluctuations in the price of gold or in currency markets
could prevent the Company from achieving its targets. Readers should
not place undue reliance on forward-looking statements. More
information about risks and uncertainties affecting the Company and its
business is available in Lake Shore Gold's most recent Annual
Information Form and other regulatory filings which are posted on sedar at www.sedar.com.
There is no guarantee that drill results reported in this news release
will lead to the identification of a deposit that can be mined economically,
and further work is required to identify resources and reserves.
Table 1 - Thunder Creek - Significant new assay results ---------------------------------------------------------------------------- Hole From To Assay Length Comments ---------------------------------------------------------------------------- Number (m) (m) (gpt) (m) ---------------------------------------------------------------------------- TC650-004b 363.10 458.80 3.11 95.70 Porphyry including 372.55 407.20 4.53 34.65 Porphyry TC730-005 0.00 113.50 2.96 113.50 Porphyry including 1.00 64.50 3.41 63.50 Porphyry TC730-008 0.00 57.00 4.69 57.00 Porphyry including 1.00 34.40 7.46 33.40 Porphyry TC730-009 7.10 154.40 11.53 147.30 Porphyry including 7.10 25.70 75.14 18.60 Porphyry including 21.10 25.70 284.19 4.60 Porphyry including 25.70 102.40 3.30 76.70 TC09-69h 753.10 763.00 5.92 9.90 Rusk including 753.70 757.90 10.56 4.20 TC09-69j 734.20 740.60 4.67 6.40 Rusk including 738.20 740.60 6.36 2.40 ---------------------------------------------------------------------------- Notes: 1) Assays are reported uncut. 2) True widths are not reported at this time.
To view Figure 1 - Plan View, please visit the
following link: http://media3.marketwire.com/docs/lsg34r_fig_1.pdf.
To view Figure 2 - 3D View, please visit the following link: http://media3.marketwire.com/docs/lsg_fig_2.pdf.
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