Golden Share Mining Corporation
TSX VENTURE : GSH

Golden Share Mining Corporation

February 20, 2012 09:30 ET

Golden Share Confirms Zone No4 Mineralization in Shebandowan Belt

MONTRÉAL, QUÉBEC--(Marketwire - Feb. 20, 2012) - Golden Share Mining Corporation ("Golden Share" or the "Company")(TSX VENTURE:GSH) is pleased to provide the results from hole BO-11-09 drilled on Zone No4 of its Shebandowan Gold Project ("SGP") located in Northwestern Ontario, Canada.

Zone No4 lies at the eastern end of the SGP and was discovered by Mattagami Lake Explorations in 1981 by systematic testing of IP anomalies on the property. It is located 800 meters southwest of the Main Zone and consists of sheared and altered felsic to intermediate pyroclastics. Historical resources were calculated by Noranda to be 616,000 tonnes at a grade of 4.83 g/t Au and 7.71 g/t Ag.

Zone No4 is located in a swampy area with no outcrops and Golden Share's 2011 work therefore essentially consisted in historical data compilation. Hole BO-11-09 was drilled to a depth of 443 m to verify the historical information and the following mineralized intervals were obtained :

- 0.89 g/t Au over 18.00 m from 66.00 to 84.00 m (including 2.86 g/t Au over 4.00 m)

- 1.98 g/t Au over 1.00 m from 98.00 to 99.00 m

- 1.38 g/t Au over 1.00 m from 266.00 to 267.00 m

The central part of the principal mineralized zone is observed over 18 meters and is hosted in an intermediate ash tuff containing 20% centimeter size quartz veins with up to 5% tourmaline and 2% pyrite. These observations are consistent with the reported historical information.

The significance of Zone No4 lies in Golden Share's emerging model for the Band Ore area which suggests the stacking of sub-parallel zones at the property scale. This is supported by recent results on the Band Ore Main South Zone, located approximately 100 m to the south of the Band Ore Main Zone and 700 m to the northwest of Zone No4, where Golden Share recently announced the following positive drill results :

- 17.85 g/t Au over 2.70 m from 33.00 to 35.70 m (including 47.70 g/t Au over 1.00 m)

- 2.80 g/t Au over 5.50 m from 62.50 to 68.00 m (including 35.90 g/t Au over 0.30 m)

- 1.39 g/t Au over 1.70 m from 73.00 to 74.70 m

Additional results are pending on the Band Ore Main target and a follow-up phase of diamond drilling is expected to begin rapidly.

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.

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., an 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 Project (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

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.

Contact Information