Golden Share Mining Corporation
TSX VENTURE : GSH

Golden Share Mining Corporation

May 04, 2010 09:00 ET

Golden Share Provides a First NI 43-101 Compliant Resource Estimate on Pistol Lake

MONTREAL, QUEBEC--(Marketwire - May 4, 2010) - Golden Share Mining Corporation (TSX VENTURE:GSH)("Golden Share") is pleased to provide a first resource estimate on its Pistol Lake property ("Pistol Lake"), Ontario, Canada.

A mandate was given to InnovExplo, a Val d'Or based geological and mining consulting group, to establish an up-to-date, NI 43-101 compliant resource calculation based on historical drilling data and recent work from the JF West Zone.

Based on InnovExplo's recommendation, a cut-off grade of 2.00 g/t Au was used, which results in an Inferred Resource of 851,000 metric tonnes grading 2.62 g/t Au for a total of 71,700 ounces of gold on the JF West zone. When a cut-off of 1.00 g/t Au is used, an Inferred Resource of 2,857,200 metric tonnes grading 1.64 g/t Au containing a total of 150,700 ounces of gold is obtained.

  Inferred Resource
Cut-Off grade Metric Grade Ounces
g/t Au Ton (t) g/t Au Au
1.00 2,857,200 1.64 150,699
2.00 851,000 2.62 71,685
3.00 290,800 3.59 33,587
4.00 89,100 4.65 13,338
5.00 37,400 5.78 6,937
* Notes: Golden Share owns a 100% option for the Pistol Lake property. Mineral Resources are not Mineral Reserves having demonstrated economic viability. Results are presented undiluted and in-situ. The estimate includes 7 gold-bearing zones and covers the Pistol Lake project area over 1,250 meters E-W, 500 meters N-S, and from an elevation of 0 to -150m. The cut-off grade must be re-evaluated in light of current market conditions (gold price, exchange rates and mining cost). InnovExplo is not aware of any environmental, permitting, legal, taxation, socio-political, marketing or other relevant issue that could materially affect the Mineral Resource estimate. Composites were taken on zones within the mineralized envelopes (composite = 1 meter). Calculations are based on metric units / Ounce (troy) = Metric tonne x Grade / 31.10348. The number of tonnes was rounded off to the closest hundred. All differences in totals are due to rounding.

Philippe Giaro, President and CEO, stated "This first NI 43-101 compliant resource on the JF West zone represents a key step in Golden Share's approach to developing overlooked gold belts. The Shebandowan belt is now delivering significant discoveries as exemplified by Alto Ventures' recent drill discovery of 4.88 g/t Au over 27.3 m and 1.12 g/t Au over 111.3 m on the East Coldstream property located 15 km west of Golden Share's Pistol Lake. The JF West zone is open in all directions, has never been tested below the 200m vertical level, shows higher grade shoots that have never been targeted systematically and alteration is very similar to that observed at East Coldstream. We are excited to be part of this area play, which fully validates our first mover opportunity approach."

The geological interpretation of the mineralized zones was entirely redone by Pierre-Luc Richard, P.Geo., and Carl Pelletier, P.Geo.,

See map: http://media3.marketwire.com/docs/Fig%201_Pistol%20Lake%204%20mai.pdf.

The geological model and current resource estimate demonstrate that the JF West contains at least seven (7) continuous mineralized lenses having a minimum width of 1.5 m and a length between 360 and 1,250 m.

See map: http://media3.marketwire.com/docs/Fig%202_Pistol%20Lake%204%20mai.pdf.

The geological continuity of each lens was determined from section to section using gold values, lithologies and alteration facies from 47 diamond drill holes.

The mineralized zones are characterized by intense alteration and the development of quartz veins and breccia zones in the hanging wall (HW1 zone) and in the footwall (FW1 to FW3 zones) of a geological structure consisting in a quartz feldspar porphyry hosted in mafic volcanic units. Three additional mineralized zones are hosted in the quartz feldspar porphyry (P1 to P3 zones).

The current resource estimate is based on a small number of drill holes and as a result, the current Mineral Resource Estimate can only be classified as Inferred Resources. A fixed density of 2.70 g/cm³ was used. High grade capping was done on the raw data and established at 10 g/t Au. The sections were generated using Gemcom software version 6.2.1. Each lens was linked in three dimensions to form 3D solids.

The observations during the resource calculation led InnovExplo to believe that the mineral potential of the property has not yet been fully evaluated by diamond drilling. Given the spatial distribution of the known mineralized lenses, it is very likely that additional zones could be present, particularly at depth. The Inferred Resources are contained in seven (7) main lenses in close proximity (5 to 25 m), which is a positive factor for future potential mining operations. Additional in-fill and extension drilling will therefore rapidly increase the resource base as well as move some of the resources in the indicated category.

The Pistol Lake property is accessible by road and located in the Shebandowan greenstone belt, a classic Archean sequence exhibiting strong similarities to the Hemlo, Timmins, Kirkland Lake and Val d'Or gold camps both in geological and tectonic evolution. Golden Share considers that the Shebandowan greenstone belt represents an overlooked gold belt which is starting to get recognition.

See map: http://media3.marketwire.com/docs/Fig%203_Pistol%20Lake%204%20mai.pdf.

The JF West zone is part of a continuum of ancient mines, mineral deposits and advanced prospects forming a 50 km long belt and comprise from west to east :

Ardeen Mine

  • Pele Mountain (GEM:TSXV) – up to 100% option to Coventry Resources.
  • The Ardeen Mine was Ontario's first gold mine (1870).
  • December 2009 : drill intercept of 27 g/t Au over 11.6 m.

Snodgrass deposit

  • 100% Moss Lake Gold Mines (55% Wesdome / WDO:TSX).
  • NI 43-101 compliant Inferred resource of 1,510,000 oz Au (50,9 Mt @ 0.93 g/t Au).

East Coldstream deposit

  • Alto Ventures (ATV:TSXV) – 70% option to Foundation Resources Inc (FDN:TSXV).
  • Historical resources of 234,000 oz Au.
  • March 2010 : drill intercepts of 4.88 g/t Au over 27.3 m and 1.12 g/t Au over 111.3 m.

JF West zone – Pistol Lake property

  • 100% Golden Share (GSH:TSXV).
  • April 2010 : NI 43-101 compliant Inferred resource of 71,700 oz Au (851,000 Mt @ 2.62 g/t Au at 2.00 g/t Au cut off).

Swamp River deposit

  • 100% West Timmins Mining Inc. (WTM:TSXV).
  • Historical resources of 251,300 oz Au.

Strong similarities are exhibited by the above gold occurrences, notably the presence of quartz-carbonate veins along east-north-east ductile shear zones and the ubiquitous presence of late stage felsic intrusions. Wide spread intense hematization, characteristic of the JF West Zone, is also observed at East Coldstream.

The 2010 Mineral Resource Estimate was performed using all available results by Pierre-Luc Richard, B.Sc., P.Geo., and Carl Pelletier, B.Sc., P.Geo., both independent Qualified Persons as defined in National Instrument 43-101. The work performed on the Pistol Lake property in 2008 and 2009 has been executed under the supervision of Mrs. Laurence Huss, M.Sc., P. Geo., and Golden Share's Vice-President Exploration. This press release has been reviewed by all parties and the technical report for this resource estimate will be filed on SEDAR within 45 days.

Philippe Giaro, P.Geo., President and CEO of Golden Share Mining Corporation and Qualified Person for Golden Share, has reviewed and approved the content of this release. 

FOR MORE INFORMATION, CONSULT http://www.goldenshare.ca

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Golden Share Mining Corporation
    Philippe Giaro, President & CEO
    32-473-52-30-29
    phgiaro@skynet.be
    or
    Golden Share Mining Corporation
    Denis Tremblay, Vice-President
    1-514-866-4224
    info@goldenshare.ca