PINE EAST, SASKATCHEWAN
Pine East Property - "Don’s Lake"
The conceptual target here is a deposit similar to that being mined at the Seabee mine of Claude Resources Inc. (“Claude”), i.e. a high grade vein-type gold deposit. The Don's Lake zone, which is a surface exposure of a high grade gold vein-type mineralized zone, has been the target of historic drilling.
History of Exploration at Don's Lake
In 1986, Shane Resources carried out work on the property. A cut-line grid with spacing between lines of 100m and stations at 25 m intervals along the lines was established. A VLF-EM survey was done on the grid, and about 20% of the grid was mapped geologically. These data were evaluated, and 9 areas were proposed for further exploration work.
In 1987, Placer Dome optioned the property from Shane Resources, and carried out geochemical soil sampling and geological mapping on the grid. Placer Dome also sampled tills on a property to the south of the Don’s Lake Zone claim. Analysis of gold grains in those bulk till samples outlined a dispersion train of gold grains which was traced up-ice onto the property.
In 1996, Shane carried out prospecting, stripping and trenching, which resulted in the discovery of several gold showings. Later in 1996, Shane drilled nine holes to test some of the showings. Subsequent work on behalf of Shane has been done by Claude in contemplation of a joint venture between them. In 2000, Claude re-evaluated the showing discovered by Shane, and did more prospecting, which resulted in the discovery of several new gold showings.
In 2002 and 2003, Claude drilled 1551.2 meters in nine holes to test some of the showings previously found. In the winter of 2006 and 2007, Claude drilled 8056 meters in 29 holes in and around the Don's Lake showing, bringing their total to 38 holes. These holes outlined a mineralized zone trending east southeasterly from the eastern end of Don's Lake. A number of intervals with potentially ore grade gold intersection of possible mineable widths were intersected, over a strike length of about 80 meters to 100 meters.
Highlights of Don's Lake
11 holes drilled (1800 m), with 7 of the 11 holes returning greater than 1 g/t gold including vein and shear zone intersections such as 2.35 g/t gold over 6.6 m core length (SH02-02), 1.89 g/t over 9.45 m core length, including a high grade zone of 6.03 g/t over 1.4 m core length (SH03-08) and 44.07 g/t over 0.6 m core length (SH03-11).
28 holes drilled (7938 m) with excellent gold mineralization intersected in a number of drill holes. Highlighted intersections for the 2006/2007 drilling are provided in the table below:
From ( m)
Drilling during 2006 and 2007 by Claude Resources on behalf of Shane intersected gold mineralization in most of the 28 drill holes. In a number of holes, multiple parallel silicified shear and quartz vein zones were intersected within metavolcanic and sedimentary rocks trending west-northwest over a minimum strike length of 600 m. Gold mineralization is associated with pyrite, pyrrhotite, chalcopyrite in silicified and quartz vein stockwork zones. Visible gold is common. Mineralization has been intersected beneath and southeast of Don’s Lake and is open in all directions, including west, east and down dip of the known mineralization.
The Seabee Gold Operation consists of two producing mines the Seabee Gold Mine and the new Santoy 8 Gold Mine opened in 2010. The Seabee Gold Mine is 5 kilometers west of the Don’s Lake zone where Claude commenced commercial production in December 1991. The Don’s Lake zone is also adjacent to Claude’s Santoy 8 mine which is approximately 9 kilometers east. During 2009, a total of 247,641 tonnes of ore was milled, grading 6.17 grams per tonne and producing 46,827 ounces of gold. Since start-up, the Seabee Operation has produced approximately 930,000 ounces of gold. Over the previous five year period the Company achieved average annual production at Seabee of 45,680 produced ounces, or an average of 11,420 produced ounces per quarter.
All 2011 field and office exploration programs are conducted under the supervision of Mr. Michael Dufresne, M.Sc., P.Geol., a principal of APEX Geoscience Ltd. and a Qualified Person under National Instrument 43-101. Mr. Dufresne has reviewed and approved the technical content of this news release.