Golden Share Mining Corporation
TSX VENTURE : GSH

Golden Share Mining Corporation

December 08, 2010 09:15 ET

Golden Share Reports on Drill Target Generation for Malartic-Val d'Or Camp Properties

MONTREAL, QUEBEC--(Marketwire - Dec. 8, 2010) - Golden Share Mining Corporation ("Golden Share") (TSX VENTURE:GSH) is pleased to provide an update on drill target generation for its Malartic - Val d'Or properties in Northwestern Quebec, Canada.

Forsan Property

A 546 m follow-up diamond drilling program was executed in Q3 2010 and consisted in four holes, two confirmation holes on the Forsan Main Zone ("FMZ") and two holes on the Forsan East Zone ("FEZ").

Hole GSH-10-29 drilled to investigate the FEZ at greater depths identified a new mineralized zone hosting 15% quartz-pyrite-chalcopyrite tourmaline veins which returned 3.38 g/t Au over 3.70 m from 118.00 to 121.70 m including 6.62 g/t Au over 1.00 m. Additional points of interest comprise :

  • This new zone is located immediately below the 2009 discovery of hole GSH-09-18 which returned 56.86 g/t Au over 4.00 m from 42.00 to 46.00 m including 226.00 g/t Au over 1.00 m.
  • This new zone shows similar mineralization to the 2009 high grade FEZ discovery with an array of pyrite and chalcopyrite bearing quartz-tourmaline veins.
  • The new zone is part of a broader mineralized interval reporting 0.62 g/t Au over 25.70 m.

This latest finding is particularly significant in the light of the recently recognized viability of lower grade open-pit models in a high price gold environment and comes as an added bonus to the high grade mineralization already observed on the FEZ.

Work in progress and drill target generation

Golden Share contracted Insight Geophysics Inc. of Oakville, Ontario, to execute an Insight Section Array / Tuned Gradient Array induced polarisation and a resistivity survey over the FEZ. The survey is expected to be completed in December 2010 and drill target generation will follow in Q1 2011. The FEZ was discovered by Golden Share in 2008 600 m to the south west of the FMZ where the Company provided a first 35,000 oz Au Inferred Resource NI 43-101 compliant calculation in 2009*.

Malartic Lakeshore Property

Malartic Lakeshore straddles a 5 km segment of the Norbenite-Marbanite shear zone, a prolific splay of the world renowned Cadillac fault, host of the Kiena Mine currently operated by Wesdome and of the past producing Norlartic and Marban mines located 6 km to the east. Within this regional shear zone Golden Share previously defined the RLM prospect, a network of over 25 gold bearing veins yielding up to 90.88 g/t Au over 1.32 m in surface channel sampling. Initial drilling has intercepted high grade mineralization in a substantial numbers of holes and notably in ML-08-28 which returned 39.84 g/t Au over 1.60 m from 24.30 to 25.90 m.

Subsequent 2009 deeper drilling encountered similar mineralization in Zone 66 over a down hole length of 18 m from 423 to 441 m which comprise 75 % quartz veins up to 1.45 m in width containing up to 7% pyrite, chalcopyrite and galena. Zone 66 returned strongly anomalous gold values and a 0.70 m quartz vein containing 7% sufides assayed 2.88 g/t Au over 0.80 m in the hanging wall at a down hole depth of 396 m.

Work in progress and drill target generation

Golden Share has retained the services of SRK Consulting (Canada) Inc. (« SRK ») to review the geological data on the Malartic Lakeshore property. The scope of work includes structural geology investigations of stripped outcrop and available drill core to study the nature of the gold mineralization, its timing relationships relative to other geological features, and examine and collect minor scale structural features that will aid understanding the controls on and geometry of the gold mineralization. An initial site visit was conducted in early November 2010 and SRK plans to undertake the core investigations and 3D modelling work in January 2011 with the view of communicating the findings of this study by the end of January 2011.

Golden Share will use the conclusions of the SRK study to optimize drill target generation during Q1 2011 in preparation for the next phase of drilling.

About Forsan and Malartic Lakeshore

The Forsan and Malartic Lakeshore properties are both located in the prolific Malartic – Val d'Or gold mining camp of Northwestern Quebec (see figure: http://media3.marketwire.com/docs/Malartic_Gold_Camp_1208.pdf or visit : http://www.goldenshare.ca).

The Forsan property is situated at the south-eastern extremity of the Abitibi greenstone belt 6 km north-east of X-Ore's Chimo past producing mine and 10 km south-west of X-Ore's Croinor project. The property sits on the end of the prolific Cadillac break at the intersection with strongly developed north-east lineaments in a setting similar to that of the Val d'Or area.

The Malartic Lakeshore property is strategically located between Agnico Eagle's new Lapa mine, located 5 km to the west and Osisko's Canadian Malartic project is located 6 km due south. NioGold Mining Corporation (NOX : TSX-V) which holds ground adjoining Malartic Lakeshore, announced the signing of a definitive agreement with Aurizon Mines Ltd. on their Marban Block property in July 2010. Aurizon can earn up to 65% by, notably, spending up to $20 million in exploration expenditures over three years and delivering a feasibility study. NioGold's Marban property holds NI 43-101 compliant Indicated resources of 598,000 ounces gold plus Inferred resources of 361,000 ounces gold. 

* Based on InnovExplo's recommendation, a cut-off grade of 2.50 g/t Au was used, which results in an Inferred Resource of 132,000 metric tonnes grading 3.52 g/t Au for a total of 15,000 ounces of gold on the FMZ. When a cut-off of 1.00 g/t Au is used, an Inferred Resource of 536,500 metric tonnes grading 2.03 g/t Au containing a total of 35,000 ounces of gold is obtained. The full 43-101 technical Report is available on www.sedar.com.

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/#!/profile.php?id=100001472712018&v=wall

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