SOURCE: Houston Lake Mining Inc.

February 01, 2007 00:01 ET

Houston Lake Mining Initiates Winter Drilling Program on the West Cedartree Gold Project

SUDBURY, ON -- (MARKET WIRE) -- February 1, 2007 -- Houston Lake Mining Inc. (TSX-V: HLM) (the "Company") is pleased to announce that field crews are currently being mobilized to initiate a $1,095,050 exploration program on the Company's 100% owned and 100% optioned 1310 hectare (3236 acre) West Cedartree Gold Project. The project is located near Sioux Narrows in the Kenora Mining District of Ontario. The winter portion of the exploration program involves 2500m (8200ft) of delineation drilling, re-logging and sampling of 6,656m (21,831ft.) of core from historic drilling as well as IP geophysical surveying. The 2500m drill program and geophysical survey are expected to begin on or about February 15th.

The bulk of this exploration effort will focus on the recently 100% optioned Dogpaw Lake Gold Property ("DPL") which forms part of the West Cedartree Gold Project. The purpose of the 2500m (8200ft) delineation drill program is to bring the near surface portion of the historic Dogpaw Lake Vein No. 1 gold resource up to modern NI 43-101 standards. To this end Houston Lake has upgraded the road access into the property, set up a core logging and core storage facility on site and established a local geological office. The Company's exploration team have located, recovered and racked approximately 6,656m (21,831ft) of drill core from two previous drill programs. This drill core will be re-logged and audited as part of the resource evaluation. The winter program is expected to complete the 100% earn in of the DLP, Dogpaw West and Gold Sun properties by spring of 2007.

Magnetic surveys carried out this fall have confirmed the continuity of the package of rocks hosting the Angel Hill and McLennan Gold Zones onto and across the DLP. The 30 line-km (18 line-mile) IP survey would seek to extend the two gold zones northward onto the Dogpaw Lake and Dogpaw West properties.

President & CEO, E. Grayme Anthony, commented: "We are truly excited about the potential of the West Cedartree Gold Project. We recently completed our property acquisition strategy in the area and now control the full six kilometre (3.6 mile) strike length of the key rocks hosting the McLennan, Angel Hill and Dogpaw No. 1 Vein gold trends.

"With nearly $1.3 million raised in recent financings Houston Lake is well positioned to be aggressive in 2007. Our strategic focus continues to be the identification of sufficient gold resources to justify a mill on site. Upgrading the historic gold resource on the Dogpaw Lake Property is an important step in achieving this objective and at the same time a 100% earn in of this valuable property asset is realized."

Houston Lake has recently received the results of the Acid Generation Test and has forwarded them to Channel Technical Services to advance the mine permitting process.

Independent Consulting Geologist Dean R. Cutting, P. Geo., is the Qualified Person for the project under the guidelines of NI 43-101 and has reviewed this press release in its entirety.

About the Dogpaw Lake Property

The Dogpaw Lake Gold Property has an extensive exploration history dating back to the 1940s. Four main gold zones and ten documented gold occurrences have been discovered thus far on the property. An historic mineral resource estimate of 59,240 short tons grading 0.45 oz/st Au was calculated in the No. 1 Zone in 1944 by Noranda Minerals. A mineral resource inventory of 18,219 short tons grading 0.26 oz/st to a depth of 150ft was computed by Nuinsco Resources Limited in 1988. A 500 short ton bulk sample was taken in 1995 and assayed 0.21 oz/st Au.

Houston Lake had previously optioned the Dogpaw Lake Gold Property in 1996-7 and conducted an IP geophysical survey in 1997. Three sub parallel northeasterly trending IP zones gave chargeability responses over a total strike length of 3.5km (2.17 miles). A 41 hole, 4,323m (14,180ft) diamond drill program was also completed in 1997.

Table 1. Highlights of the 1997 Drill Program

Drill Hole No. Gold (g/mt Au)  Intercept(m)  Gold (oz/st Au)  Intercept(ft)
DP-97-01          12.66            3.69          0.369            12.10
DP-97-03          36.44            8.00          1.063            26.24
DP-97-05          30.98            1.45          0.904             4.76
DP-97-16          11.66            1.70          0.340             5.58
DP-97-22           8.45            1.75          0.246             5.74
DP-97-34           6.34            2.13          0.185             6.99
DP-97-38           6.17            4.90          0.180            16.07
The tonnages, grades, assays and other technical data are taken from historical records prior to the implementation of NI 43-101. While the data are believed to have been acquired, processed and disclosed by persons believed to be technically competent, it is unverifiable at present. The data source for the Dogpaw Lake gold property is largely provided by assessment records and prior work conducted by Houston Lake.

A qualified person as defined under NI 43-101 has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves. Houston Lake is not treating the historical estimates as current mineral resources or mineral reserves as defined in NI 43-101 and the historical estimate should not be relied upon.

About Houston Lake Mining Inc.

Houston Lake's objective in the short term is to become a gold producer by surface mining our West Cedartree gold project and apply the profits towards the development of our 100% owned and optioned northwestern Ontario properties. The Company has a total of 23,480,234 common shares issued and outstanding. For additional information, we invite you to visit us at

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company's registered filings what are available at

Contact Information

  • Company Contacts:

    A. Schwab & Associates
    Investor Relations
    1-800-537-4099 (toll-free)
    Email Contact

    E. Grayme Anthony B.Sc., P. Geo., FGAC, MBA
    President & CEO
    Tel: (705) 897-7622
    Fax: (705) 897-7618
    Email Contact