Golden Share Mining Corporation
TSX VENTURE : GSH

Golden Share Mining Corporation

January 24, 2012 09:30 ET

Golden Share Cuts 17.85 g/t Au Over 2.70 m in First Hole at Band Ore in Shebandowan Belt

MONTREAL, QUEBEC--(Marketwire - Jan. 24, 2012) - Golden Share Mining Corporation ("Golden Share" or the "Company") (TSX VENTURE:GSH) is pleased to provide the first fall 2011 drilling results from the Band Ore Main Zone target of its Shebandowan Gold Project ("SGP") located in Northwestern Ontario, Canada.

Hole BO-11-01 is the first hole of a 5 hole first pass drilling program on the Band Ore Main Zone target. It was drilled to a depth of 188 m to confirm the extension of the Main South Zone ("MSZ") as previously defined in Golden Share's Main Zone compilation and trenching program (see news release dated October 4th 2011).

Three separate mineralized zones were encountered and reported the following grades :

  • 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

The MSZ mineralization is hosted in the Main Zone felsic intrusive body near its southern contact with the volcanics. It consists in moderately sheared, creamy colored, strongly silicified, sericitized and carbonatized intrusive hosting up to 5% disseminated pyrite with local pyrite bearing quartz veins up to 10 cm in individual width.

The MSZ is parallel to the Band Ore Main Zone and is located approximately 100 m to the south. It has only been very sporadically tested by previous operators. The MSZ is part of the Band Ore Main Zone system, a broad system of sub parallel mineralized shears zones, which has never been tested below a depth of 150 m. The principal one of these zones defined so far, the Band Ore Main Zone, contains shallow historical resources of 155,600 ounces of gold (705,790 tonnes at 6.86 g/t Au***).

The results of the ground geophysics performed in the fall of 2011 (see news release dated November 2nd 2011) have just been received. They are currently being interpreted with the new geological information obtained in Golden Share's recent drill program to refine geological modelling and upcoming drill targeting. Additional results will be provided shortly.

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., 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

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