Bear Lake Gold Ltd.

Bear Lake Gold Ltd.

March 27, 2009 08:30 ET

Bear Lake Gold Update on the Unity Project in Central Idaho

LONGUEUIL, QUEBEC--(Marketwire - March 27, 2009) - Bear Lake Gold Ltd. ("Bear Lake Gold") (TSX VENTURE:BLG) is pleased to report results from its 2008 drilling program carried out on its Unity Project located in central Idaho.

Five holes totalling 1,018 meters were completed. Holes UN-5 and UN-3 respectively intersected quartz veins yielding 4.6 g/t gold, 27.4 g/t silver over 0.9 meter and 0.1 g/t gold, 13.0 g/t silver over 0.4 meter. Results showed that the geology of the mine area is more complex than first anticipated. Faulting and mafic dykes were frequently observed in the five holes drilled during the 2008 campaign. Consequently, only two of the holes drilled (UN-3 and UN-5) intersected significant quartz veins, both at 100 meters below surface. Holes UN-1 and UN-2 also confirmed the presence of gold and silver mineralization in the fault zone.

Following the new geological and structural interpretation carried out after the completion of the 2008 drilling program, it became obvious that the quartz veins cut in holes UN-3 and UN-5 were not related to the main gold-rich veins system but rather to a secondary system, parallel to the main gold-rich veins and historically much lower grade. "Although we missed the main gold-rich veins with our drilling, we confirmed the presence of gold-bearing veins away from the old workings", said Francois Viens, President and CEO of Bear Lake Gold. "We now have a better understanding of the local geology and we intend to prepare a follow-up drilling program targeting the gold-rich veins at depth, once the required surface drilling permits are delivered and funds for the program become available."

TABLE 1 - Unity Assay Results
Hole no. From To Core Length Au Ag Comments
(m) (m) (m) (g/t) (g/t)
UN-1 160.0 178.9 18.9 0.3 12.0 Fault zone
(Little Giant)
UN-2 304.8 329.2 24.4 0.2 12.0 Fault zone (Rescue)
UN-3 90.5 90.9 0.4 0.1 13.0 Quartz vein
UN-4 (abandon)
UN-5 95.1 96.0 0.9 4.6 27.4 Quartz vein

All holes drilled in 2008 targeted the lateral and down-dip extensions of two of the richest and very extensive (up to 2km long) gold veins, namely the Little Giant and Rescue. These veins are locally very high-grade and are reported to have yielded grades of up to several hundred ounces of gold per tonne. However, production grades were generally recorded at 30 to 150 grams per tonne (1 to 5 ounces per ton) according to historic information (John C. Reed, 1937; Geology and Ore Deposits of the Warren Mining District, Idaho County, Idaho).

Unity Property

Bear Lake Gold, through its wholly-owned US subsidiary, Walker Lane Gold LLC, can earn a 60% joint venture interest from Unity GoldSilver Mines Inc. by spending US$1.0 million in exploration and development work on the property and by completing a positive feasibility study on or before November 30, 2010. The property located near the town of Warren in central Idaho consists of 8 patented claims and 76 leased (staked) claims covering 460 hectares. To date, historic workings identified 41 different gold-bearing quartz veins on the property, of which the Rescue, the Little Giant and the Charity are three of the better-known veins and supplied most of the reported historic gold production. These veins are still open laterally and down-dip and, with successful exploration and limited development work, their extensions could potentially be mined again from an existing 1,600m long adit.

Over 1.2 million ounces of gold was historically produced from the Warren area which includes the Unity Mine , both from underground and alluvial operations. (John C. Reed, 1937; Geology and Ore Deposits of the Warren Mining District, Idaho County, Idaho). Bear Lake Gold believes that additional drilling is warranted at Unity and that there is still excellent potential to develop resources both in the previously mined veins and in veins that are yet to be explored by diamond drilling.

Quality Assurance and Control

As part of its QA/QC program, Bear Lake Gold carried out check assays on the gold intersections with no significant discrepancies found in the assay results. The assays reported are the uncut average grades of all determinations from the same samples. The analytical method for gold is one (1) assay-ton fire assay, with gravimetric finish on all samples. All assays reporting over 2 g/t gold are automatically re-checked using the rejects. Assaying was done at Chris Christopherson Inc. in Kellogg, Idaho. The quality control process includes inserting blank samples and certified standards within each batch sent to the laboratory.

Qualified Person

The technical content of the information contained in this news release was reviewed and approved by Mr. Bernard Boily, P. Geo., and Bear Lake Gold's Vice President of Exploration. Mr. Boily is responsible for supervising the drilling program and is a qualified person under National Instrument 43-101.

Forward-looking Statements

This news release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that Bear Lake Gold believes, expects or anticipates will or may occur in the future, are forward-looking statements. These forward-looking statements reflect the current internal projections, expectations or beliefs of management of Bear Lake Gold based on information currently available to them. Forward-looking statements are subject to a number of known and unknown risks and uncertainties beyond Bear Lake Gold's control including uncertainties related to availability of funds to complete the exploration and development of its projects, potential mineralization, exploration results, completion of work program, resource estimation and availability of equipment necessary for the drilling program and future plans and objectives of the Company. Resource exploration, development and operations are highly speculative, characterized by a number of significant risks, which even a combination of careful evaluation, experience and knowledge may not eliminate, including, among other things, unprofitable efforts resulting not only from the failure to discover mineral resources but from finding mineral deposits which, though present, are insufficient in quantity and quality to return a profit from production. There can be no assurance that such statements will prove to be accurate and actual results could differ materially from those suggested by these forward-looking statements for various reasons discussed from time to time in filings made by the Company with securities regulatory authorities. This cautionary statement qualifies all forward-looking statements herein. Accordingly, readers should not place undue reliance on forward-looking statements. Bear Lake Gold undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.

"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."

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