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STERLING
MINING COMPANY
SUNSHINE MINE Division
THE
PAST AND THE FUTURE OF SILVER
Post Office Box 117
Kellogg, Idaho 83837
(208) 783-0655
For Immediate Release:
December 12, 2005
Wallace, Idaho – December
12, 2005 – (BUSINESS WIRE) – Sterling Mining Company (OTC: SRLM)
announced today that it is installing utilities in the Silver Summit –
Polaris Tunnel to commence a multi-hole underground diamond drill program
aimed at increasing resources in the Company’s Sunshine Mine property
in Idaho. This program will
initially consist of 3,000-4,000
feet of diamond drilling into the Yankee Girl Vein
which is some 2,000
feet south of the Sunshine Vein. The target area
underlies geophysical anomalies identified in 2003 and 2004 and has had
minimal exploration due to property positions which existed until Sunshine
purchased the Silver Summit (Consolidated Silver) property in 1995. Drilling in this location has been made
possible by rehabilitation work completed earlier in the year in the Silver
Summit and Silver Dollar Tunnels.
“The initiation of
the underground exploration program is a significant part of our overall mine
plan to return to long- term sustained production, our principal objective.
For decades the district focused on “deeper is
better" and, while generally correct, the reality is that some of
district’s historical bonanza grades were found in relatively shallow
ground,” said Mike McLean, Sterling’s mine manager and former
manager of the Sunshine mine.
Sterling has been
expanding its position around the Sunshine mine and in the district
generally. This has resulted in the Sunshine Mine not being constrained as it
was historically by intervening land positions; thus, we have in our mine
planning and land exploration, territory the former operator was not able to
effectively integrate into their activities, Mr. McLean said.
In addition to
categorizing and evaluating historical reserves, Sterling’s Chief Geologist, Jeff Moe,
is analyzing and modeling vein projections and
extensions throughout the mine. The next area targeted for drilling in 2006
is the eastern projection of the Sunshine Vein on the Polaris Mine 1000 Level. This
is directly east of what was the heart of
production for the Polaris Mining Company in the 1930’s and early
1940’s. Limited by historic property boundaries and ownerships,
comprehensive exploration of this area was never pursued. Ores identified in
the upper levels of the mine could be developed quickly with rubber-tired LHD
(load-haul-dump) equipment and mined at a lower cost than anywhere else in
the district.
Mr. McLean also
noted that investigation of conditions underground in September and October
revealed that 3100 and 3000 Levels were in excellent condition, as were the
adjacent ramp systems in the West Chance and Sunshine production areas.
Current lower mine planning is focused on development to replace the No. 3
Shaft portion of the primary ventilation exhaust system between 3100 and 2700
Levels. This development is also being designed to access historic Sunshine
reserves around No. 4 Shaft, explore unmined ground
adjacent to No. 3 Shaft and create access to explore 2900 Level and above.
Sterling Mining Company controls the
legendary Sunshine Mine, the richest silver mine in American history with
more than 360 million ounces of production over the past century. The Company
also holds several properties in Mexico, including the Baroness
Tailings Project in the Zacatecas silver district, which is in production.
Sterling stock trades on the OTC Market Exchange under the symbol
"SRLM". Please visit the Sterling
website at www.sterlingmining.com for more
information.
Certain statements
contained in this press release are "forward looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on beliefs of
management as well as assumptions made by and information currently available
to management. Forward-looking statements are subject to risks, uncertainties
and other factors that could cause actual results to differ materially from
expected results.
For more information contact :
Sterling Mining Company
Raymond De Motte, (208) 666-4070
www.sterlingmining.com
Investor
Relations Contacts:
Cavalcanti Hume Funfer
Inc. (CHF Inc.)
Olav Svela, Vice President & Account Manager,
Tel: (416) 868-1079 ext: 242
olav@chfir.com
If you would
like to receive press releases via email contact Alison Tullis at Alison@chfir.com. and specify “Sterling
press releases” in the subject line.
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