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

First Mining Finance Corp.

June 20, 2017 07:00 ET

First Mining Finance Releases Fourth Set of Assay Results from its Goldlund Infill Drilling Program

12 of 12 drill holes intersect significant gold mineralization

VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 20, 2017) - First Mining Finance Corp. (TSX VENTURE:FF)(OTCQX:FFMGF)(FRANKFURT:FMG) is pleased to announce the fourth set of assay results from its 28,500 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-17-005 intersected 313 metres of 0.81 grams per tonne gold
    • Including 2.0 metres of 42.15 grams per tonne gold
  • Hole GL-17-028 intersected 94 metres of 0.97 grams per tonne gold
    • Including 2.0 metres of 14.64 grams per tonne gold
  • Hole GL-17-060 intersected 14.0 metres of 6.05 grams per tonne gold
    • Including 2.0 metres of 38.54 grams per tonne gold
  • Hole GL-17-029 intersected 10.0 metres of 4.11 grams per tonne gold
    • Including 2.0 metres of 10.66 grams per tonne gold

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

The 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 (Figure 1), and to gain further knowledge of the geology and gold mineralization in preparation for Phase 2 drilling. 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. The Phase 2 program, which will include step-out exploration drilling, is expected to commence by the end of July 2017.

Since the commencement of drilling last January at Goldlund the Company has previously issued three press releases (April 25, 2017, May 2, 2017 and May 24, 2017) comprising a total of 37 drill hole results. With this latest press release, the Company has now released the results for 49 drill holes of which 46 drill holes contain significant intervals of gold mineralization, a gold mineralization success rate of 94%.

Commenting on the results, Patrick Donnelly, President of First Mining stated, "When we originally acquired Goldlund, we knew it was an asset with significant potential for unlocking further value. With 46 out of 49 drill holes so far containing significant gold mineralization, we're confirming that Goldlund is one of our flagship projects."

In addition, Keith Neumeyer, the Chairman of First Mining, stated, "It is very nice to see that the drill results being announced today remain consistent with our expectations that we felt existed prior to our decision to acquire the Goldlund project. The 100 holes drilled in Phase 1 will lead us to a much better understanding of the mineralized systems at Goldlund and will assist us in planning an exciting Phase 2 program."

Table 1. Drill Hole Assay Results from Goldlund

Hole ID From (m) To (m) Length (m) Au g/t
GL-17-004 94 100 6 0.38
GL-17-004 and 124 130 6 1.09
inc 128 130 2 2.89
and 162 164 2 1.49
GL-17-005 24 337 313 0.81
inc 24 28 4 4.44
and inc 38 42 4 2.30
and inc 72 74 2 6.65
and inc 82 84 2 1.55
and inc 103.5 104 0.5 13.57
and inc 112 124 12 1.47
and inc 120 120.5 0.5 15.83
and inc 150 156 6 5.43
and inc 154 156 2 12.67
GL-17-005 and inc 216 218 2 15.48
and inc 262 266 4 1.23
and inc 270 272 2 42.15
and inc 290 291 1 1.97
and 441 605 164 0.42
inc 461 463 2 1.17
and inc 475 477 2 1.36
and inc 545 575 30 1.44
and inc 555 569 14 2.19
and inc 567 569 2 8.07
and inc 571 573 2 2.68
and inc 599 601 2 3.86
GL-17-006 108 132 24 0.44
inc 114 120 6 1.03
and inc 130 132 2 1.32
and 182 212 30 0.52
GL-17-006 inc 182 186 4 2.67
and 242 244 2 1.99
and 270 272 2 1.07
and 282 298 16 0.47
inc 296 298 2 1.64
and 312 324 12 0.45
GL-17-027 GL-17-027 58 64 6 3.68
inc 58 60 2 8.87
GL-17-028 150 162 12 0.98
inc 150 152 2 2.10
and inc 154 156 2 2.13
and 170 176 6 0.48
and 188 282 94 0.97
GL-17-028 inc 188 190 2 4.65
and inc 200 202 2 12.00
and inc 226 228 2 14.64
and inc 234 236 2 2.73
and inc 252 254 2 2.48
and inc 270 272 2 1.37
and inc 280 282 2 1.14
GL-17-029 212 222 10 4.11
inc 212 214 2 10.66
GL-17-029 and inc 220 222 2 9.76
and 240 248 8 1.28
inc 244 248 4 2.15
and 306 310 4 2.18
GL-17-036 136 150 14 1.44
inc 136 138 2 8.55
and 196 232 36 0.55
GL-17-036 inc 208 210 2 2.66
and inc 212 216 4 1.51
and inc 230 232 2 1.29
and 382 386 4 1.65
inc 382 384 2 2.48
GL-17-037 197 235 38 0.36
inc 197 199 2 1.86
GL-17-037 and inc 211 213 2 1.84
and inc 233 235 2 1.38
GL-17-045 24 102 78 1.96
inc 38 50 12 10.81
and inc 38 40 2 61.37
GL-17-045 and inc 68 72 4 1.02
and inc 76 78 2 1.40
and inc 92 94 2 4.44
and 148 150 2 3.94
GL-17-057 10 44 34 0.68
inc 10 12 2 1.20
and inc 14 16 2 1.41
GL-17-057 and inc 18 20 2 1.30
and inc 36 38 2 1.81
and inc 42 44 2 1.42
and 62 66 4 0.81
and 126 128 2 1.47
GL-17-060 46 60 14 6.05
inc 46 48 2 38.54
GL-17-060 and 82 152 70 0.50
inc 88 94 6 1.93
and inc 88 90 2 4.07
and inc 115 116.5 1.5 1.51
GL-17-061 38 40 2 1.32
GL-17-061 and 130 132 2 0.92
and 154 156 2 2.54
and 178 182 4 1.04

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.

To view Figure 1. Plan Map, please visit the following link: http://media3.marketwire.com/docs/Figure1Map_FirstMining.pdf

Table 2. Drill Hole Locations

Hole ID Azimuth º Dip º Length (m) UTM East UTM North Section
GL-17-004 0 -90 257 545702 5527213 545700E
GL-17-005 180 -80 656 545702 5527213 545700E
GL-17-006 0 -90 326 545701 5527191 545700E
GL-17-027 180 -90 218 545801 5527238 545800E
GL-17-028 180 -77 299 545801 5527238 545800E
GL-17-029 0 -90 320 545800 5527187 545800E
GL-17-036 180 -80 548 545600 5527157 545600E
GL-17-037 0 -90 365 545600 5527136 545600E
GL-17-045 180 -80 302 545549 5527193 545550E
GL-17-057 180 -80 233 545501 5527190 545500E
GL-17-060 0 -90 278 545503 5527143 545500E
GL-17-061 0 -90 269 545501 5527105 545500E

To view Figure 2. Cross-Section through the Goldlund Project, please visit the following link: http://media3.marketwire.com/docs/Figure2Map_FirstMining.pdf

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-17-30 to GL-17-37.

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 has been filed on SEDAR 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, 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 Company's anticipated timing of the completion of the current Phase 1 drilling program at the Goldlund project; the potential results of the remainder of the Phase 1 drilling program and the timing of the dissemination of such results by the Company; plans relating to a Phase 2 drilling program at the Goldlund project and the anticipated timing of such a program; 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.

Neither the 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

  • 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