More than $6.1 million in exploration completed
ROXMARK UPDATES PREMIER GOLD�S
PROGRESS
ON GERALDTON
PROJECT
Toronto, Ontario, September 24, 2008. Roxmark
Mines Limited (TSXV � RMK) today provided an update on the status of the joint venture agreement
with Premier Gold Mines Limited (TSX- PG) in which Premier has
nearly more than doubled minimum required exploration expenditures over the
past 12 months.
In September 2007, a letter of intent
was signed with Premier to explore and earn interest in certain gold properties
(known as the Geraldton Project) held by Roxmark in the Geraldton Camp of the
Beardmore-Geraldton Greenstone Belt of Northwestern Ontario.
Under the terms of the
agreement, Premier, as operator of the joint venture, can earn a 51% interest
in the Geraldton Project over four-year period by incurring $7 million in
expenditures (including a firm commitment of $2.5 million in the first 12
months) to advance highly prospective gold properties and by making cash
advances and issuing shares of Premier to Roxmark.
Over the past year, Premier
has carried out an extensive drilling program using up to three drill rigs to
complete 91 holes totaling more than 34,000 metres of
diamond drilling, in addition to a geological and geophysical surveys. Expenditures
to date on the Project are in excess of $6.1 million and Roxmark has received
$200,000 in cash advances (out of the proposed $500,000) and 200,000 shares of
Premier (out of proposed 250,000) valued at approximately $480,000.
Immediately after
completing the earn�in period by completing $7 million in expenditures, Premier
will have the right to increase its interest to 70%, carrying Roxmark at 30%,
by making additional cash advances of $250,000 and issuing to Roxmark
additional 150,000 shares of Premier. This would make a total $750,000 of cash
advances and 400,000 shares of Premier, valued at about $960,000, based on the
current share price.
The Geraldton Project is
located in the heart of the Beardmore-Geraldton Greenstone Belt, a promising
high-grade gold district that has seen relatively little exploration over the
past several decades. The Project area covers several kilometres of some
of the most strategic ground in the region and is host to past-producing mines
and numerous exploration targets in a district that has more than 4.1 million
ounces of historic gold production.
Drilling has been carried
out on the Magnet Mine property and on the Little Long Lac Mine Property. Drilling
results were announced in several news releases dated January 22, 24 and 25,
March 3, April 1 and 16, May 6, 27 and 29 and June 26, 2008.
Little Long Lac
Mine Property
Drilling on the Little Long
Lac Property has intersected multiple, near surface, mineralized vein zones,
including a minimum of six potentially important vein zones: The Kailey
Zone, Main Zone, the No.9, No.10 Vein Zones and two new zones, named No.11 and
No.12 Vein Zones.
The newly discovered Kailey
Zones are a bulk tonnage resource proximal to the north and parallel to the
historic Little Long Lac Gold Mine. Drilling in the Kailey Zone has identified
parallel horizons K1 North and K2 South and has cut off the horizon to the east
with mineralization remaining open primarily down plunge to the west. Intersections
were previously reported in the range of 0.63 to up to 7.07 g. Au/t.
It is anticipated that a
NI43-101 report will be completed shortly on the resource for this project.
In addition to the Kailey
zone, high-grade gold mineralization occurring in several parallel vein zones
is being tested in an area located approximately 300 metres to the
southeast. The primary target of these veins is the No.9 and No.10 Vein
Zones, which continue to provide consistently significant results as high as 254.8 g.
Au/t (7.44 opt) over 0.3m and 60.88
g. Au/t (1.78 opt) over 1.0m. The
following table provides a complete summary of results received from this area:
Hole-ID
|
Section
|
From
|
To
|
Length (m)
|
Zone
|
AU (g/t)
|
AU (opt)
|
PLL07001
|
1400E � 0+00
|
105.0
|
106.0
|
1.0 (3.3 ft)
|
11 (New)
|
60.88
|
1.78
|
|
|
168.0
|
169.0
|
1.0 (3.3 ft)
|
10a (New)
|
45.32
|
1.32
|
|
|
189.0
|
190.9
|
1.9 (6.2 ft)
|
10
|
8.70
|
0.25
|
|
|
288.3
|
289.8
|
1.5 (4.9 ft)
|
9
|
11.43
|
0.33
|
PLL07002
|
1500E � 0+25N
|
120.5
|
120.8
|
0.3 (1.0 ft)
|
10
|
254.79
|
7.44
|
|
|
256.8
|
260.0
|
3.2 (10.5 ft)
|
9
|
2.36
|
0.07
|
PLL07003
|
1400E � 0+50N
|
150.0
|
152.0
|
2.0 (6.6 ft)
|
10
|
6.95
|
0.20
|
|
|
193.3
|
194.3
|
1.0 (3.3 ft)
|
9
|
3.28
|
0.10
|
PLL07004
|
1500E � 0+50N
|
26.0
|
27.0
|
1.0 (3.3 ft)
|
(New)
|
5.24
|
0.15
|
PLL07005
|
1400E � 0+50S
|
143.0
|
146.0
|
3.0 (9.8 ft)
|
11 (New)
|
4.60
|
0.13
|
|
|
354.0
|
358.5
|
4.5 (14.8 ft)
|
9
|
5.81
|
0.17
|
PLL07006
|
1500E � 0+25S
|
101.0
|
102.0
|
1.0 (3.3 ft)
|
11 (New)
|
7.81
|
0.23
|
|
|
188.0
|
189.0
|
1.0 (3.3 ft)
|
10
|
4.58
|
0.13
|
PLL07007
|
1600E � 0+50N
|
94.4
|
95.4
|
1.0 (3.3 ft)
|
11 (New)
|
15.04
|
0.44
|
PLL07008
|
1650E � 1+00S
|
47.5
|
48.0
|
0.5 (1.6 ft)
|
(New)
|
2.11
|
0.06
|
PLL08011
|
1450E � 0+00
|
250.0
|
251.0
|
1.0 (3.3 ft)
|
10
|
15.00
|
0.44
|
|
|
318.0
|
320.5
|
2.5 (8.2 ft)
|
9
|
11.72
|
0.34
|
PLL08013
|
1375E � 1+15S
|
427.0
|
428.3
|
1.3 (4.3 ft)
|
10
|
12.84
|
0.37
|
PLL08020
|
1375E � 1+00S
|
335.0
|
338.0
|
3.0 (9.8 ft)
|
10
|
3.61
|
0.11
|
|
|
418.0
|
421.0
|
3.0 (9.8 ft)
|
9
|
8.19
|
0.24
|
The Little Long Lac Main Zone saw the production of more than 600,000 ounces of
gold during the period 1934-53 at an average grade of 11.66 g. Au/t.
Magnet Mine Property
Drilling on the Magnet Mine was directed to test the
Benedict (North and South) zone, The �Stan� Target and the newly discovered
high-grade zone named the �Highway� Zone. The zones remain open in all
directions. The latest results from drilling at the Magnet Gold Mine were
announced on April 1, 2008 outlining a discovery of Highway Zone that has
returned numerous significant intersections including 67.08 g.
Au/t across 2.0m. The Highway Zone is located approximately 110 metres under the
Trans-Canada Highway, immediately south of the historic Magnet Gold Mine.
Drilling on the Benedict Zone intersected gold mineralization including 10.22 g.
Au/t (0.30 opt) over 2.5m and 8.14
g. Au/t (0.23 opt) over 2.0m. The Magnet
Mine is serviced with a shaft and winze to 2,640 feet. The
property is equipped with a headframe, production hoist, compressors,
generator, hydro substation and other equipmen t and facilities.
Stephen McGibbon, P.Geo. is the Qualified Person for information on Project
drilling results contained in this news release and is a Qualified Person
within the meaning of National Instrument 43-101. Core from Geraldton is 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.
Beardmore Developments
In its Beardmore Camp, Roxmark has completed its second diamond drilling
program for the year, delineating gold mineralization in the Nortoba-Tyson
property and plans to announce results as soon as assays are completed. A
43-101-compliant report on resources at the Northern Empire Mine is close to
being completed and will also be issued soon.
The Beardmore Camp is situated near the Town of Beardmore, approximately 200 km northeast of Thunder
Bay and is serviced by the Trans-Canada Highway. Accessibility of all
Roxmark properties in both Beardmore and Geraldton Camps is a strong cost and
logistical advantage.
About Roxmark Mines
Roxmark Mines Limited is the leader in gold and molybdenum exploration and
development in the historically significant Geraldton-Beardmore area of
Northwest Ontario. In recent years, Roxmark has generated cash flow from
bulk-sampled gold and molybdenum processed at its 200 TPD (expandable to 500
TPD) fully-permitted mill and has the advantage of infrastructure from six
formerly highly productive gold mines located on its properties. These
mines previously produced nearly two million ounces of gold from high-grade ore
but were closed primarily due to dramatically lower gold prices at the time and
to boundary issues, since eliminated.
Further information is
available on the Company's website at www.roxmark.com and on SEDAR under the Company's
profile at www.sedar.com.