Carlisle Goldfields Limited

TSX : CGJ
OTCQX : CGJCF


Carlisle Goldfields Limited

May 06, 2013 07:30 ET

Carlisle Announces Initial Gold Resource Estimate for Farley Lake Mine Project Indicated-610,000 Ozs at 3.21 g/t & Inferred-403,000 Ozs of at 2.87 g/t

TORONTO, ONTARIO--(Marketwired - May 6, 2013) - Carlisle Goldfields Limited ("Carlisle" or the "Company") (TSX:CGJ)(OTCQX:CGJCF) is pleased to announce its initial resource estimate for the Farley Lake Mine Project ("Farley Lake") totaling 610,000 ounces (ozs) of gold (Au) in the Indicated category grading 3.21 grams per tonne ("g/t") and 403,000 ozs of gold in the Inferred category grading 2.87 g/t.

Carlisle's President and CEO, Bruce Reid commented that: "We are pleased with the initial resource estimate from Farley Lake, especially the grade. This 2012 drill program has shown us the considerable potential that the Farley Lake Mine Project has. The Open Pit portion is estimated to a depth of only 200 metres from surface. Our initial resource including the underground portion was estimated to a depth of only 350 metres. We look to add to this resource with further drilling both along strike and at depth. We now have considerably more knowledge about the mineralized zones, and consequently have outlined numerous new targets for future drill programs."

Classification Cut-Off
Au g/t
Tonnes Au Grade
g/t
Contained
Au Ozs
Indicated
Within Open Pit Shell
0.4 5,895,000 3.21 608,000
Inferred
Within Open Pit Shell
0.4 3,601,000 2.41 279,000
Indicated
Outside Open Pit Shell
2.0 19,000 3.31 2,000
Inferred
Outside Open Pit Shell
2.0 763,000 5.05 124,000
Indicated Total 0.4 & 2.0 5,914,000 3.21 610,000
Inferred Total 0.4 & 2.0 4,364,000 2.87 403,000
  1. Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing, or other relevant issues.

  2. The quantity and grade of reported Inferred resources in this estimation are uncertain in nature and there has been insufficient exploration to define these Inferred resources as an Indicated or Measured mineral resource and it is uncertain if further exploration will result in upgrading them to the Indicated or Measured mineral resource category.

  3. The mineral resources in this press release were estimated using the inverse cubed grade interpolation method and the CIM Standards on Mineral Resources and Reserves, Definitions and Guidelines prepared by the CIM Standing Committee on Reserve Definitions adopted by CIM Council.

  4. The gold price used was the April 30, 2013 two-year trailing average of US$1,650/oz with a process recovery of 95%. The US$ exchange rate was $1.00.

  5. Process costs used were C$15/tonne and G&A was C$5/tonne. Underground mining costs were C$80/tonne. Open pit mining costs were $3.25/tonne for mineralized material, $2.50/tonne for waste rock and $1.75/tonne for overburden. Pit slopes were 50 degrees.

  6. The Company's initial resource estimate used Au cut-off grades of 0.4 g/t for the open pit material and 2.0 g/t for the underground (outside of the open pit shell) material.

The Farley Lake Resource was compiled from the 25 drill holes completed in the 2012 drill program (see Press Releases dated March 19th, 21th and 27th of 2013) as well as a number of historical drill holes from the extensive databank on the Farley Lake Mine Project completed in the 1990s. The 2012 drilling was focused along an 800 metre strike length around the two previously mined pits. Recent geophysics and historic drilling has indicated further mineralization potential along strike especially to the east.

Farley Lake Project Cross Section 10465E: http://media3.marketwire.com/docs/Farley_Lake_Project_Cross_Section_10465E.jpg

About Farley Lake Mine Project: The Farley Lake Mine Project is located approximately 35 km east of the Town of Lynn Lake. The Farley Lake Mine was put into production as two small open pits in 1997-99. 1,707,000 tonnes were mined at a grade of 4.23 g/t recovering 213,124 oz gold. Historical recoveries were over 90%. Historically, the project has been extensively tested with over 300 diamond drill core holes done primarily during the 1990's.

As noted in Carlisle's news release dated March 19, 2013, Carlisle commenced a 25 hole drill program on the project in June 2012 which was completed in December 2012. This deposit differs from the Company's other deposits in the Lynn Lake Camp as it is hosted in a Pre-Cambrian sedimentary iron formation. The iron formation in the Farley Lake area is approximately 6 km long by 600 m wide. (Milligan, 1960)

3D Model of Preliminary Pit Design: http://media3.marketwire.com/docs/3D_Model_of_Preliminary_Pit_Design.jpg

3D Model of Historically Mined Pits with Current and Historical Drilling: http://media3.marketwire.com/docs/3D_Model_of_Historically_Mined_Pits_with_Current_and_Historical_Drilling.jpg

Carlisle Goldfields Property Location Map: http://media3.marketwire.com/docs/Carlisle_Goldfields_Property_Location_Map.jpg

QA/QC

The mineral resource estimate on the Farley Lake Mine Project was undertaken by P&E Mining Consultants Inc. ("P&E") for Carlisle under the supervision of Eugene Puritch, P.Eng., President of P&E, who is a Qualified Person as defined by NI 43-101 with more than 30 years of experience in exploration and development of gold projects.

Carlisle's exploration programs are carried out under the supervision of Peter Karelse P.Geo., Vice-President of Exploration, who is also a Qualified Person as defined by NI 43-101 with more than 30 years of experience in gold exploration and development.

Samples were transported directly in secure containers from the Carlisle Goldfields site in Lynn Lake Manitoba, to the TSL Laboratories in Saskatoon, Saskatchewan. TSL, which is an accredited ISO/IEC 17025 lab, assayed the samples using standard fire assay methods with a gravimetric finish. Certified standards are placed in the sample stream at a rate of one standard per 20 samples. Certified blanks are placed in the sample stream at a rate of one blank every 40 samples.

All technical information contained in this news release has been reviewed and approved by Peter Karelse, P.Geo. and Eugene Puritch, P.Eng. of P&E, both Qualified Persons as defined under NI 43-101.

About Carlisle: Carlisle Goldfields Limited is a Canadian‐based gold exploration and development company, focused on development of its mining leases and claims in the Lynn Lake Greenstone Belt of Northern Manitoba, covering approximately 20,000 hectares which include the former MacLellan Gold mine and two other former producing gold mines as well as numerous other historically identified Gold Zones all within close distance of the town of Lynn Lake.

In March 2012 (see News Release dated March 13, 2012), Carlisle announced an updated Resource Estimate on its MacLellan Gold Project in Lynn Lake, Manitoba. This included Open Pit and Underground Resources in the Measured and Indicated Categories having increased to 32.4 million tonnes containing 2,018,100 ounces of AuEq at an average grade of 1.94 g/t AuEq (1.9 g/t Au and 4.4g/t Ag). The pit‐contained Measured and Indicated categories of 29.9 million tonnes contain 1.7 million ounces of AuEq at an average grade of 1.8g/t AuEq (1.7 g/t Au and 4.4g/t Ag). The current Measured and Indicated Categories represent 94% of this total resource estimate.

In September 2012 (see News Release dated September 24, 2012), Carlisle announced its initial Burnt Timber Project Inferred Resource estimate totaling 23,438,000 tonnes containing 780,500 ounces of gold ("Au") at an average grade of 1.04 grams per tonne ("g/t"). The Indicated Resource is estimated to be 1,021,000 tonnes containing 45,900 ounces of gold at an average grade of 1.40 g/t. The Company's new resource estimate used a 0.4 g/t cut off to a depth of 170 metres from surface.

In January 2013 (see News Release dated January 15, 2013), Carlisle announced its initial Linkwood Project Inferred Resource estimate totaling 21,004,000 tonnes containing 783,000 ounces of gold ("Au") at an average grade of 1.16 grams per tonne ("g/t"). The Indicated Resource is estimated to be 984,000 tonnes containing 37,000 ounces of gold at an average grade of 1.16 g/t. The Company's new resource estimate used a 0.4 g/t cut off to a depth of 160 metres from surface.

In March 2013 (see News Release dated March 07, 2013), Carlisle announced its initial Last Hope Project Inferred Resource estimate totaling 1,067,000 tonnes containing 182,000 ounces of gold ("Au") at an average grade of 5.75 grams per tonne ("g/t"). The Indicated Resource is estimated to be 201,000 tonnes containing 37,000 ounces of gold at an average grade of 5.75 g/t. The Company's new resource estimate used a 2.0 g/t cut off.

This press release shall not constitute an offer to sell or solicitation of an offer to buy the securities in any jurisdiction. The Company's shares and other securities have not been and will not be registered under the United States Securities Act of 1933 and may not be offered or sold in the United States absent an applicable exemption from the registration requirements.

Except for statements of historical fact contained herein, the information in this press release may constitute "forward-looking information" within the meaning of Canadian securities law. Other than statements of historical fact, all statements are "forward-Looking Statements", including the establishment and estimate of resources, that involve various known and unknown risks and uncertainties and other factors. There can be no assurance that such statements will prove accurate. Results and future events could differ materially from those anticipated in such statements. Readers of this press release are cautioned not to place undue reliance on these "forward-looking statements". Except as otherwise required by applicable securities statutes or regulation, Carlisle expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

Neither IIROC nor the TSX accepts responsibility for the adequacy or accuracy of this release.

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