Golden Share Mining Corporation
TSX VENTURE : GSH

Golden Share Mining Corporation

March 05, 2012 09:15 ET

Golden Share Confirms One Kilometer Extension With Drill Intercept of 18.27 g/t Au Over 2.70 m at Band Ore

MONTREAL, QUEBEC--(Marketwire - March 5, 2012) -

Editors' Note: There is a map associated with this press release.

Golden Share Mining Corporation ("Golden Share" or the "Company")(TSX VENTURE:GSH) is pleased to provide the results from the remaining four holes of its five hole, first pass drilling program totalling 749 m executed on the Band Ore Main target of its Shebandowan Gold Project ("SGP") located in Northwestern Ontario, Canada.

Highlights:

- Hole BO-11-05 intercepted 18.27 g/t Au over 2.70 m in the Main South Zone about 1 kilometre to the west of the previously released 17.85 g/t Au over 2.70 m in hole BO-11-01 as reported in January 2012.

- The results of the Q4 2011 drilling on the Band Ore target have now been received and demonstrate the existence of four sub parallel zones with drill intercepts highlights of :

- Main South Zone :

  • BO-11-01 : 17.85 g/t Au over 2.70 m from 33.00 to 35.70 m

  • BO-11-05 : 18.27 g/t Au over 2.70 m from 117.60 to 120.30 m

  • BO-11-01 : 2.80 g/t Au over 5.50 m from 62.50 to 68.00 m

- Upper Main Zone :

  • BO-11-03 : 1.70 g/t Au over 10.80 m from 102.60 to 113.40 m

- All zones are open on strike and below 150 m vertical depth

- Potential to define +1Moz Au target size

- Located 500 m from Trans-Canada highway

For additional details on highlights, see attached figure or visit : http://www.goldenshare.ca.

President and Chief Executive Officer Philippe Giaro commented:

"The Band Ore Main Zone was historically modelled as a single mineralized zone with historical resources of 155,600 ounces of gold (705,790 tonnes at 6.86 g/t Au***) but these latest results strengthen our model that we are dealing with a series of sub parallel such zones. Four principal zones are recognized so far with numerous additional intercalated mineralized intercepts. Particularly encouraging is the new intercept of 18.27 g/t Au over 2.70 m about 1 kilometre to the west of our previously released drill hole BO-11-01 which yielded 17.85 g/t Au over 2.70 m. We have resumed drilling last week and the current Phase 2 drilling will target the extensions of these newly discovered mineralized zones as well as some key IP anomalies that can greatly enhance the size of this promising target.".

Additional observations include :

  • All zones appear to have a minimum strike length of 500 m with multi kilometer potential.
  • The gold mineralization is intimately associated to sericitized shear zones hosting quartz-chlorite-carbonate veins containing up to 25% pyrite and 1% chalcopyrite.
  • The key lithology is a greyish feldspar porphyry intrusive so far recognized over a 1.1 km strike length and a minimum width of 300 m.
  • One of the recent key findings is the confirmation that the gold mineralization is also present in the adjacent volcanics, thereby significantly opening up the potential of the Band Ore Main target.

As demonstrated by Golden Share's BO-11-01 (Main South Zone) and BO-11-03 (Upper Main Zone) intercepts, each zone may consist of several mineralized intervals further confirming the stacking theory of sub-parallel zones at the property scale. The following compilation table of drilling results highlights significant mineralized intervals above 0.45 g/t Au.

Band Ore Main Target DDH From To Length Au (g/t)
MAIN NORTH ZONE
Main North Zone BO-11-03 4.00 22.00 18.00 m 0.45
- Including BO-11-03 10.70 14.40 3.70 m 1.60
Lower Main North Zone BO-11-03 25.00 27.50 2.50 m 0.46
UPPER MAIN ZONE
Upper Main Zone BO-11-03 81.00 82.00 1.00 m 1.14
Upper Main Zone BO-11-03 102.60 113.40 10.80 m 1.70
- Including BO-11-03 102.00 104.00 2.00 m 3.27
- Including BO-11-03 112.70 113.40 0.70 m 13.60
MAIN ZONE
Main Zone BO-11-02 38.00 39.00 1.00 m 1.34
Main Zone BO-11-02 42.00 60.00 18.00 m 0.58
- Including BO-11-02 42.00 43.00 1.00 m 2.52
- Including BO-11-02 49.00 50.00 1.00 m 1.10
- Including BO-11-02 53.00 54.00 1.00 m 2.47
Main Zone BO-11-04 98.00 102.00 4.00 m 0.45
Main Zone BO-11-05 8.60 11.20 2.60 m 1.00
Lower Main Zone BO-11-05 55.40 56.70 1.30 m 0.68
Lower Main Zone BO-11-05 62.50 65.20 2.70 m 1.65
MAIN SOUTH ZONE
Main South Zone BO-11-01 33.00 35.70 2.70 m 17.85
- Including BO-11-01 33.00 34.00 1.00 m 47.70
Main South Zone BO-11-01 62.50 68.00 5.50 m 2.80
- Including BO-11-01 62.50 62.80 0.30 m 35.90
Main South Zone BO-11-01 73.00 74.70 1.70 m 1.39
Main South Zone BO-11-05 117.60 120.30 2.70 m 18.27
- Including BO-11-05 118.30 119.30 1.00 m 46.50
ISOLATED
BO-11-01 50.00 51.00 1.00 m 1.48
BO-11-02 18.90 22.00 3.10 m 0.54
BO-11-02 23.00 24.00 1.00 m 1.06
BO-11-02 67.90 68.50 0.60 m 1.02
BO-11-03 34.20 34.50 0.30 m 1.15
BO-11-03 134.00 135.00 1.00 m 1.20
BO-11-04 10.70 11.30 0.60 m 1.76

About the drilling program

The drilling is performed at high angle to the mineralized structures and the above intersections represent near true widths. Individual samples weighting 3kg on average have been taken from sawn half core at +/- 1 meter intervals in the mineralized zones with consideration of the geological contacts. A rigorous QA/QC program involves the random inclusion of mineralized standards, duplicates and blanks at the sample collection and preparation stage. The samples are shipped to the ALS laboratory in Thunder Bay, Ontario, for analysis by fire assay on 50g pulp samples. The sample preparation procedure involves the crushing of the entire 3kg sample followed by quartering to obtain a representative 250g sample which is entirely pulverized and out of which a 50g sample is isolated for analysis by fire assay. Samples suspected to contain visible gold or higher grade mineralization are assayed using the metallic sieve technique on a 1000g sample.

About the Shebandowan Gold Project (SGP)

The SGP is located 90 km west of Thunder Bay, north-western Ontario, in the Rainy River - Atikokan - Shebandowan emerging gold province where Osisko Mining Corporation is currently developing the 10.52 M oz Au Hammond Reef gold deposit 100 km to the West of the Company's project. The SGP is serviced by a railroad line, a high tension power line and the Trans-Canada highway all providing excellent infrastructure to the project.

Following completion of the recent transaction with Lake Shore Gold Corp. for the acquisition of the Band Ore property, Golden Share controls 25 km of strike length along the northern part of the Shebandowan belt highlighted by two advanced gold targets :

  • Pistol Lake JF's West zone : 150,699 oz Au Inferred Resource** (2,857,200 MT @ 1.64 g/t Au at 1.00 g/t Au cut off / NI 43-101 compliant).
  • Band Ore deposit : 251,271 oz Au in historical resources*** within two principal zones (706,000 tonnes at a grade of 6.86 g/t Au in the Main Zone and 616,000 tonnes at a grade of 4.83 g/t Au in the # 4 zone).

About Golden Share Mining Corporation

Golden Share Mining Corporation is a Canadian-based mining exploration company developing a promising portfolio of properties in the greenstone belts of eastern Canada, namely in the Val d'Or-Malartic, Red Lake and Shebandowan areas.

Lake Shore Gold Corp., a Canadian emerging gold producer, holds a strategic 27.2%* interest in Golden Share which is led by a technically focused management team strengthened by an experienced board of directors and a proven advisory board including successful geologists Roy Corrans and Sethu Raman as well as seasoned financier Anthony Frizelle.

Golden Share's development strategy involves advancing a well balanced portfolio of gold properties in a politically stable environment with a history of gold endowment through systematic exploration, resource definition and acquisitions. Highlights of the current portfolio include:

  • NI 43-101 and historical resources on Shebandowan Gold Play (150,699 oz Au Inferred** and 251,271 oz Au historical***),
  • Past producing high grade Au-Ag Berens River Mine to be redeveloped,

  • NI 43-101 compliant resources on Forsan (35,000 oz Au Inferred Resources****),

  • New discoveries in the Cadillac break environment.

* Lake Shore Gold Corp. acquired direct ownership of a total of 21.69 million common shares of Golden Share representing 19.9 per cent of the outstanding shares, as well as warrants to acquire an additional 10,845,000 common shares of Golden Share (representing 9 per cent of the outstanding shares on a partially diluted basis) at an exercise price of 20 cents per common share

** 2,857,200 MT @ 1.64 g/t Au at 1.00 g/t Au cut off

*** These estimates were executed prior to the introduction of National Instrument 43-101; hence they should be treated as historical data and therefore not be relied upon.

**** 536,500 MT @ 2.03 g/t Au at 1.00 g/t Au cut off

Golden Share's exploration programs are executed under the supervision of Mrs. Laurence Huss, M.Sc., P. Geo., a « Qualified Person » as defined in National Instrument 43-101, and Vice-president Exploration of Golden Share. Philippe Giaro, P.Geo., President and CEO of Golden Share and Qualified Person for Golden Share, has reviewed and approved the content of this release.

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

OR OUR FACEBOOK PAGE AT: http://www.facebook.com/people/Golden-Share/100001472712018

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