High River Gold Mines Ltd.
TSX : HRG

High River Gold Mines Ltd.

April 17, 2007 19:55 ET

High River Gold Discovers New Gold Zone at Bissa

TORONTO, ONTARIO--(CCNMatthews - April 17, 2007) - High River Gold Mines Ltd. ("High River" or the "Company") (TSX:HRG) is pleased to report exciting results from diamond drilling on the Gougre target area, one of 12 designated drill target areas on the Company's Bissa permits currently being explored (see press release dated September 14, 2006). The Company believes that the Gougre Main Zone represents a potentially important new zone of gold mineralization which has the potential to add to the existing resources on the Bissa Project (see section titled Background below). Two holes from previous drilling had intersected the zone but were incorrectly interpreted. The new zone is in a new environment of gold mineralization not controlled by the Sabce Deformation Corridor and is located approximately 10 kilometres from the Bissa resources area.



Highlights of initial drilling include the following gold assay results:

DD Hole: GGGC07-006 4.76 g/t over 13 metres
DD Hole: GGGC07-008 3.83 g/t over 9 metres
GGGC07-008 1.37 g/t over 40 metres
DD Hole: GGGC07-011 2.85 g/t over 13 metres
DD Hole: GGGC07-003 2.42 g/t over 17 metres
DD Hole: GGGC07-012 2.17 g/t over 23 metres
DD Hole: GGGC07-009 1.93 g/t over 12 metres
DD Hole: GGGC07-014 1.47 g/t over 18 metres


Summary/Interpretation of Drill Assay Results

In 2007, High River drilled 13 diamond drill holes, totalling 1,276 metres, on Gougre (holes 2 to 14 as shown on resistivity map: http://file.ccnmatthews.com/release/1.jpg and chargeability map http://file.ccnmatthews.com/release/2.jpg.

Nine of these holes (holes 3, 9, 4, 5, 11, 6, 12, 8, 14) tested the Gougre Main Zone, a significant zone of pervasive alteration and gold mineralization, over a NW-SE strike length of 300 metres, which follows strong coincident chargeability and resistivity anomalies. To view a longitudinal section please follow this link: http://file.ccnmatthews.com/release/3.jpg. The zone is open in both directions along strike and at depth. (The drilling tested the zone to a maximum vertical depth of 80 metres in hole 8.) The strong geophysical anomalism continues off the small test survey area along strike to the southeast, and also indicates that there may be other similar prospective targets in the immediate area.

The gold mineralization is associated with an alteration assemblage which consists of strong pervasive silicification and fine-grained disseminated pyrite hosted in massive to weakly deformed basalt metamorphosed to upper greenschist or lower amphibolite grade, in all probability in the thermal aureole of a nearby granodiorite intrusion. Occasional smearing of native gold along late pyrite and epidote bearing fractures has been observed. This mineralized zone does not appear to follow regional structure and is perhaps spatially related to the granodiorite contact to the southwest.

Two other zones were tested:

Holes 7 and 13 tested a portion of a separate northeast trending shear zone with similar style alteration, which trends towards a significant artisanal mining site. These holes encountered narrow intersections of gold mineralization. Hole 2 was drilled on a north trending alteration zone 650 metres north of Gougre, not fully testing the occurrences at this location as it encountered gold mineralization immediately upon entering bedrock.

Significant Drill Assay Results

All holes were drilled at an azimuth of N180 degrees, except for holes 2, 7, 8 and 14 which were drilled at an azimuth of N105, and holes 8 (N140) and 14 (N230). All holes were drilled at an inclination of -45 degrees. At present, insufficient drilling has been carried out to determine the true width of the drill intersections.



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Sampling
Interval (m)
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Drill Core Length Average gold grade Gold
Hole No. Method From To (m) (g/t)
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GGGC07-002 DD 0.9 6.1 5.2 0.68
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GGGC07-003 DD 34.0 51.2 17.2 2.42
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GGGC07-004 DD 67.0 76.2 9.2 2.01
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GGGC07-005 DD 83.0 86.3 3.3 2.49
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DD 97.0 103.6 6.6 2.47
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GGGC07-006 DD 60.0 73.0 13.0 4.76
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Including 68.10 70.70 2.6 14.19
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GGGC07-007 DD 12.35 13.2 .85 1.07
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GGGC07-008 DD 26.6 35.2 8.6 3.83
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DD 50.5 63.8 13.3 0.87
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DD 95.0 135.0 40.0 1.37
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GGGC07-009 DD 57.0 69.1 12.1 1.93
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DD 73.05 76.8 3.75 1.5
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GGGC07-010 DD No Significant Results
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GGGC07-011 DD 40.0 53.0 13.0 2.85
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GGGC07-012 DD 83.0 106.0 23.0 2.17
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GGGC07-013 DD 23.0 24.0 1.0 1.0
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GGGC07-014 DD 97.75 115.4 17.65 1.47
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Plans for the Next Phase of Drilling

Follow-up chargeability and resistivity surveys will be undertaken to track the mineralized alteration zone to the southeast of hole 14, and to assist in the spotting of new holes. Also, additional drilling will be carried out to extend the zone northwest of hole 10, as this barren hole was collared in the footwall rocks observed below the mineralization in adjacent holes 3 and 9, thus missing the zone.

Background

Gougre is located approximately 10 kilometres south of the currently defined Bissa Resources which contains National Instrument 43-101 compliant resources as follows:



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Tonnes Grade (g/t) Ounces
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Measured 753,000 3.39 81,980
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Indicated 11,253,000 1.60 580,270
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Total Measured & Indicated 12,006,000 1.72 662,250
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Inferred 16,394,000 1.29 679,470
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This current resource estimate was based on drilling carried out over only a six kilometre section of the 35 kilometre strike length of the Sabce Deformation Corridor. During 2006, High River completed a comprehensive surface exploration programme, which included soil sampling on 100 metre centres over the entire length of the Sabce Deformation Corridor and adjacent structures. Based on this work, 12 target areas, along and adjacent to the Sabce Deformation Corridor, were identified for drilling (to view a map of the Bissa Group Permits, showing the Bissa Resource Area and 12 Target Areas, including Gougre, please follow this link: http://www.ccnmatthews.com/docs/bissa%20link4.pdf. A US $10 million exploration and delineation drill programme, US $2 million per quarter, began in November 2006. The objective of this programme is to expand the National Instrument 43-101 resource on the Bissa Group Permits to over 2 million ounces of gold.

Past work on Gougre included ground and airborne geophysics, soil geochemical sampling, rock sampling, reverse circulation and diamond drill ("DD") holes by the Samantenga Joint Venture, led by Randgold Resources Ltd., from 1995 to 2002. In 2004, Jilbey Gold Exploration Ltd. excavated 3 short trenches and drilled one DD hole (GGGC04-001) which intersected 4.13 grams per tonne gold over 16.35 metres. Subsequent geological mapping by High River confirmed a new interpretation of the data, indicating a different orientation of the gold zones (northwest striking and steeply northeast dipping), and hence a misinterpretation by the operators of the previous drilling.

Quality Assurance and Quality Control

The HQ drill core is transported to a secure facility where it is photographed, logged and then halved using a diamond saw. All samples are taken by High River personnel, placed in sealed bags and stored in a guarded storage facility until they are transported to analytical laboratory staff for delivery to the laboratory. Sample bags remain closed until final delivery to the laboratory.

All assays for gold from samples collected by High River were conducted at the Abilab Afrique de l'Ouest SARL ("Abilab") laboratory located in Ouagadougou, Burkina Faso. Check assaying on a selected suite of samples is planned to be performed at the ALS-Chemex Laboratory in Vancouver, British Columbia. Upon receipt by Abilab, samples are organized in numerical order and subdivided in batches of fifty samples. Three internal quality control sample types are inserted by High River: blanks, standard reference material ("SRM") and assayed pulps. Rock samples are crushed (-10 mesh) with a jaw crusher. A 250 to 300-gram sub-sample is collected and pulverized (90% passing -150 mesh). Rock samples are assayed for gold by fire assay with an atomic absorption finish on a 50 gram subsample. Samples assaying greater or equal to 5 g/t gold were systematically re-assayed (from the same pulp) with a gravimetric finish. Assay results are submitted by Abilab digitally, inspected by a database manager and conditioned for proper entry into the assay database.

Qualified Persons

Mr. Driffield Cameron, P.Geo., Vice President, Exploration of High River is the designated Qualified Person for the Bissa project and has reviewed this press release.

About High River

High River is currently constructing two open-pit gold mines which are scheduled to commence production in 2007, the Taparko-Bouroum Project in Burkina Faso (June) and the Berezitovy Project in Russia (August/September). Annual gold production from Taparko-Bouroum is planned at 100,000 ounces in year one increasing to over 140,000 ounces in the third year of operation, and annual production from Berezitovy will exceed 100,000 ounces. Combined with gold production from High River's 85%-owned Russian subsidiary, OJSC Buryatzoloto, High River's attributable gold production is expected to be exceed 200,000 ounces in 2007, and 300,000 ounces in 2008. In addition, the Company has two advanced exploration projects, the Bissa Gold Project in Burkina Faso and the world-class Prognoz Silver Project in Russia. These projects are expected to significantly add to the Company's production profile in the future.

FORWARD LOOKING STATEMENTS

This press release contains forward-looking statements based on current expectations. These forward-looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected. Risk and uncertainties about the Company's business are more fully discussed in the Management's Discussion and Analysis published in the Company's Annual Report and in the Annual Information Form.

Contact Information

  • High River Gold Mines Ltd.
    Dan Hrushewsky
    Vice President Investor Relations
    (416) 947-1440
    (416) 360-0010 (FAX)
    Email: info@hrg.ca
    Website: www.hrg.ca