First Mining Finance Corp.
TSX : FF
OTCQX : FFMGF
FRANKFURT : FMG

First Mining Finance Corp.

July 27, 2017 07:00 ET

First Mining Finance intersects 1.39 g/t gold over 202 metres, including 43.28 g/t gold over 2 metres, at Goldlund Infill Drilling Program

VANCOUVER, BRITISH COLUMBIA--(Marketwired - July 27, 2017) - First Mining Finance Corp. (TSX:FF)(OTCQX:FFMGF)(FRANKFURT:FMG) ("First Mining" or the "Company") is pleased to announce the sixth set of assay results, comprising 14 drill holes (Tables 1 and 2) from its Phase 1, 24,300 metre diamond drill infill program on its 100% owned Goldlund Gold Project ("Goldlund"), located near the town of Sioux Lookout in northwestern Ontario, Canada.

Highlights:

  • Hole GL-17-106 intersected 202.0 metres of 1.39 grams per tonne gold
    • Including 2.0 metres of 43.28 grams per tonne gold
  • Hole GL-17-053 intersected 179.0 metres of 1.13 grams per tonne gold
    • Including 2.0 metres of 12.07 grams per tonne gold
  • Hole GL-17-065 intersected 90.0 metres of 1.32 grams per tonne gold
    • Including 2.0 metres of 11.82 grams per tonne gold
  • Hole GL-17-107 intersected 134.0 metres of 0.91 grams per tonne gold
    • Including 2.0 metres of 13.92 grams per tonne gold

Note: Assaying for the Goldlund 2017 drill program is being done by SGS at their laboratories in Red Lake, ONT, and Burnaby, BC. Reported widths are drilled core lengths; true widths are unknown at this time. Assay values are uncut.

The primary goal of the 2017 drilling campaign at Goldlund is to upgrade Inferred resources into the Measured and Indicated categories, with the majority of the drilling focused on Zone 7 and Zone 1 (Figures 1 and 2), and to gain further knowledge of the geology and gold mineralization in preparation for a Phase 2 drilling program. The Phase 1 drilling program, comprising 100 holes (24,300 metres), was completed at the end of May and the remaining assay results from the Phase 1 program will continue to be released in batches as they are received.

Since the commencement in January of the Phase 1 drilling program, the Company has issued five press releases (on April 25, May 2, May 24, June 20 and July 10, 2017) comprising a total of 60 drill hole results. With today's latest press release, the Company has now released the results for 74 drill holes from the Phase 1 program, of which 69 drill holes contain significant intervals of gold mineralization, a 93% success rate.

Commenting on the results, Patrick Donnelly, President of First Mining stated, "As our drilling program continues at Goldlund we keep hitting very encouraging intersections of gold mineralization which supports our view that the Goldlund project is amenable to bulk mining methods. Furthermore, once we complete the Phase 2 drilling campaign currently underway at Goldlund, and receive the remaining assay results, we will commence work on a new NI 43-101 mineral resource estimate for Goldlund."

In addition, Keith Neumeyer, the Chairman of First Mining, stated, "The latest results from the Goldlund program reaffirm our decision to move forward in drilling and de-risking this asset which we believe will add organic value to the Company and our shareholders. I look forward to seeing the Phase 2 drilling results later this year as it will move the focus away from infill drilling and towards pure exploration targets at this large project. This has the potential to provide further upside to future project economics and I continue to gain confidence that Goldlund will become one of our flagship assets."

Table 1. Drill Hole Assay Results from Goldlund

Assaying for the 2017 Goldlund drill program is being done by SGS at their laboratories in Red Lake, Ontario, and Burnaby, BC. Prepared samples are analyzed for gold by either Bulk Leach Extractable Gold (BLEG) assay techniques or by lead fusion fire assay with an atomic absorption spectrometry (AAS) finish. Multi-element analysis on the mineralized zones is also being undertaken by two-acid aqua regia digestion with ICP-MS and AES finish.

Table 1 (continued). Drill Hole Assay Results from Goldlund

Hole ID From
(m)
To
(m)
Length
(m)
Au g/t
GL-17-065 204.0 294.0 90.0 1.32
inc 214.0 226.0 12.0 2.59
GL-17-065 and inc 220.0 222.0 2.0 7.22
and inc 262.0 284.0 22.0 3.00
and inc 266.0 268.0 2.0 11.82
GL-17-067 3.8 16.0 12.2 0.73
inc 12.0 16.0 4.0 1.64
GL-17-067 and inc 38.0 40.0 2.0 1.92
and 94.0 96.0 2.0 1.39
and 104.0 106.0 2.0 1.43
GL-17-076 GL-17-076 46.0 54.0 8.0 3.44
inc 46.0 48.0 2.0 12.40
GL-17-077 32.0 68.0 36.0 0.46
inc 32.0 34.0 2.0 2.08
GL-17-077 and inc 66.0 68.0 2.0 1.99
and 104.0 xc106.0 2.0 1.87
and 124.0 126.0 2.0 1.82
and 134.0 136.0 2.0 1.32
GL-17-106 66.0 268.0 202.0 1.39
inc 76.0 80.0 4.0 2.25
and inc 178.0 194.0 16.0 6.66
GL-17-106 and inc 188.0 190.0 2.0 43.28
and inc 226.0 268.0 42.0 3.21
and inc 242.0 244.0 2.0 13.51
and inc 262.0 264.0 2.0 13.88
GL-17-107 82.0 216.0 134.0 0.91
inc 82.0 98.0 16.0 1.38
and inc 82.0 84.0 2.0 8.82
GL-17-107 and inc 114.0 122.0 8.0 4.21
and inc 118.0 120.0 2.0 13.92
and inc 176.0 182.0 6.0 2.40
and inc 192.0 194.0 2.0 9.17
and inc 212.0 214.0 2.0 4.85
GL-17-108 38.0 40.0 2.0 1.02
and 110.0 112.0 2.0 3.87
GL-17-108 and 146.0 156.0 10.0 0.71
and 266.0 326.0 60.0 0.39
inc 296.0 298.0 2.0 4.13
and inc 322.0 326.0 4.0 1.34
GL-17-113 GL-17-113 no significant mineralisation

Assaying for the 2017 Goldlund drill program is being done by SGS at their laboratories in Red Lake, Ontario, and Burnaby, BC. Prepared samples are analyzed for gold by either Bulk Leach Extractable Gold (BLEG) assay techniques or by lead fusion fire assay with an atomic absorption spectrometry (AAS) finish. Multi-element analysis on the mineralized zones is also being undertaken by two-acid aqua regia digestion with ICP-MS and AES finish.

Figure 1. Plan Map: http://www.marketwire.com/library/20170726-1099887-F1gr.jpg

Table 2. Drill Hole Locations

Hole ID Azimuth
°
Dip
°
Length
(m)
UTM
East
UTM
North
Section
GL-17-039 180 -80 327.6 545850 5527265 545850E
GL-17-040 0 -90 173.0 545849 5527246 545850E
GL-17-050 0 -90 144.0 545950 5527285 545950E
GL-17-051 180 -80 341.0 545951 5527284 545950E
GL-17-052 0 -90 257.0 545951 5527265 545950E
GL-17-053 0 -90 299.0 545952 5527245 545950E
GL-17-065 0 -90 341.0 546000 5527245 546000E
GL-17-067 0 -90 206.0 546050 5527295 546050E
GL-17-076 0 -90 176.0 546100 5527315 546100E
GL-17-077 0 -90 206.0 546100 5527295 546100E
GL-17-106 180 -80 302.0 545900 5527275 546100E
GL-17-107 180 -90 269.0 545901 5527254 545900E
GL-17-108 180 -80 328.5 545901 5527254 545900E
GL-17-113 0 -90 89.0 545900 5527275 545900E

Figure 2. Cross-Section through the Goldlund Project: http://www.marketwire.com/library/20170726-1099887-F2gr.jpg

Gold observed during the current drilling program at Goldlund occurs both as fine disseminations in quartz vein stockworks and as more discrete larger grains up to 2 mm spatially associated with pyrite in the quartz veins. Calaverite, a gold telluride mineral, has been noted occasionally in higher grade intervals on fracture surfaces in the quartz veins. Higher grade gold distribution in the granodiorite dike is often, but not always, associated with zones of

more intense quartz stockworking and potassic alteration. Figure 2 above displays a cross- section of the geology and gold mineralization with drill holes GL-17-042, GL-17-106 to GL-17- 108, and GL-17-113.

QA/QC Procedures

The QA/QC program for the 2017 drilling program at Goldlund consists of the submission of duplicate samples and the insertion of certified reference materials and blanks at regular intervals. These are inserted at a rate of one standard for every 20 samples (5% of total) and one blank for every 30 samples (3% of total). The standards used in the 2017 program consist of 5 different gold grades ranging from 1 to 9 g/t, and are sourced from CDN Resource Laboratories in Langley, BC. Blanks have been sourced locally from barren granitic material.

Field duplicates from quartered core, as well as 'coarse' or 'pulp' duplicates taken from coarse reject material or pulverized splits, are also submitted at regular intervals with an insertion rate of 4% for field duplicates and 4% for coarse or pulp duplicates. Additional selected duplicates are being submitted for screened metallic fire assay analysis and to an umpire lab for check assaying. SGS also undertake their own internal coarse and pulp duplicate analysis to ensure proper sample preparation and equipment calibration.

Dr. Chris Osterman, P.Geo., CEO of First Mining, is the "qualified person" for the purposes of National Instrument 43-101 Standards of Disclosure for Mineral Projects and he has reviewed and approved the scientific and technical disclosure contained in this news release.

ABOUT THE GOLDLUND PROJECT

The Goldlund deposit is situated within a land package of approximately 280 square kilometres (28,000 hectares) referred to as the Goldlund Gold Project. The Property has a strike-length of over 50 kilometres in the Wabigoon Subprovince. Goldlund is an Archean lode-gold project located in northwestern Ontario, approximately 60 kilometres from the township of Dryden. The claims that make up the land package cover the historic Goldlund and Windward mines.

On January 9, 2017, the Company announced an initial mineral resource estimate for Goldlund. At a 0.4 g/t Au cut-off grade, the Goldlund deposit contains pit constrained Indicated Resources of 9.3 million tonnes at 1.87 grams per tonne or 560,000 ounces of gold. At a 0.4 g/t Au cut-off grade, the Goldlund deposit contains pit constrained Inferred Resources of 40.9 million tonnes at 1.33 grams per tonne or 1,750,000 ounces of gold. The technical report for this resource estimate is available under the Company's SEDAR profile at www.sedar.com, and is also available on the Company's website at www.firstminingfinance.com.

ABOUT FIRST MINING FINANCE CORP.

First Mining is a mineral property holding company whose principal business activity is to acquire high quality mineral assets with a focus in the Americas. The Company currently holds a portfolio of 25 mineral assets in Canada, Mexico and the United States with a focus on gold. Ultimately, the goal is to continue to increase its portfolio of mineral assets through acquisitions that are expected to be comprised of gold, silver, copper, lead, zinc and nickel.

For further information, please visit our website at www.firstminingfinance.com.

ON BEHALF OF FIRST MINING FINANCE CORP.

Keith Neumeyer, Chairman

Cautionary Note Regarding Forward-Looking Statements

This news release includes certain "forward-looking information" and "forward-looking statements"(collectively "forward-looking statements") within the meaning of applicable Canadian and

United States securities legislation including the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, included herein, without limitation, statements relating the future operating or financial performance of the Company, are forward-looking statements.

Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved.

Forward-looking statements in this news release relate to, among other things: the potential results of the remainder of the Company's Phase 1 drilling program at Goldlund and the timing of the dissemination of such results by the Company; the views of the Company that the Goldlund project is amenable to bulk mining methods, completion of the Phase 2 drilling program, preparation of a new 43-101 mineral resource estimate for the Goldlund project and the timing for the completion of such a resource estimate, the potential for the Phase 1 and Phase 2 drilling programs to provide further upside to future project economics at the Goldlund project; any upgrade to, or expansion of, the resources on the Goldlund project; and the potential for further value to be unlocked at the project. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements reflect the beliefs, opinions and projections on the date the statements are made and are based upon a number of assumptions and estimates that, while considered reasonable by the respective parties, are inherently subject to significant business, economic, competitive, political and social uncertainties and contingencies.

Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward- looking statements and the parties have made assumptions and estimates based on or related to many of these factors. Such factors include, without limitation, the results of future exploration efforts at the Goldlund project; management's discretion to refocus its exploration efforts; fluctuations in the spot and forward price of gold, silver, base metals or certain other commodities; fluctuations in the currency markets (such as the Canadian dollar versus the U.S. dollar); changes in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding); the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development; and title to properties. Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these times. Except as required by law, First Mining does not assume any obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should they change, except as required by law.

Contact Information

  • First Mining Finance Corp.
    Patrick Donnelly
    President
    604-639-8854

    First Mining Finance Corp.
    Derek Iwanaka
    Vice President, Investor Relations
    604-639-8824
    www.firstminingfinance.com