Queenston Mining Inc.
TSX : QMI
FRANKFURT : QMI

Queenston Mining Inc.

October 07, 2010 09:00 ET

Queenston Reports 17.88 g/t Au Over 11.9 m From Drilling at the Amalgamated Kirkland Gold Deposit

TORONTO, ONTARIO--(Marketwire - Oct. 7, 2010) - QUEENSTON MINING INC. (TSX:QMI)(FRANKFURT:QMI) ("Queenston" or "the Company") announces drill results from the first 14 holes (7,980 m) on its 100% owned Amalgamated Kirkland (AK) property located in Teck Township, Kirkland Lake Ontario. The drilling program is providing information to both verify previous drilling results and complete a National Instrument ("NI") 43-101 resource on the AK gold deposit.

Significant assay results are summarized below and presented in Table 1. Location of the drill holes are outlined on the longitudinal section accompanying this news release and available on the Company's website (www.queenston.ca).

Highlights:

  • 17.88 g/t Au over 11.9 m in hole AKC10-04
  • 5.35 g/t Au over 14.5 m in hole AKC10-52C
  • 3.00 g/t Au over 25.1 m in hole AKC10-13 
  • 5.79 g/t Au over 5.4 m in hole AKC10-12
  • 4.58 g/t Au over 6.4 m and 15.79 g/t Au over 1.2 m in hole AKC10-11

Charles Page, Queenston President and CEO, said, "The first phase of drilling on the AK deposit has begun to both confirm the historic results as well expand the mineralization towards surface and to depth. We are impressed with the intersection in hole ACK10-04 that assayed 17.88 grams of gold per tonne over a core length of 11.9 meters at a vertical depth of approximately 300 meters. This is the most continuous interval of high-grade mineralization reported to date in the deposit and indicates the potential for additional high-grade lenses. Drilling continues with two rigs and the Company plans to report a new mineral resource in the first quarter of 2011. As part of the program, drilling will also explore below and along strike of the existing limits of the deposit."

The AK property is owned 100% by Queenston and comprises 22 claim units located in the south-central portion of Teck Township. The property hosts the AK gold deposit discovered by Battle Mountain in 1989 and is strategically located adjacent to the Macassa Mine and the SMC gold deposit operated by Kirkland Lake Gold Inc.

In 1990 Queenston formed a joint venture with Battle Mountain Canada who completed geophysics, trenching and diamond drilling that led to the discovery of the AK gold deposit. In 1993 Cyprus Canada optioned the property, completed further diamond drilling and outlined a mineral resource of 1,800,000 t grading 5.5 g/t Au including 1,300,000 t grading 6.8 g/t. In 1996 Queenston regained full title to the property and formed a joint venture with Franco Nevada Mining Corporation who later merged to form Newmont Mining Corporation. In 1997 an updated inferred resource was calculated totalling 2,639,338 t grading 4.46 g/t Au. In 2002 Queenston purchased Newmont's interest in the property and from 2003-05 completed further diamond drilling. Both historic resource calculations should not be relied upon as they were not prepared in accordance with NI 43-101 and have not been verified by a Qualified Person ("QP") under the Instrument.

The AK deposit consists of lode-style gold mineralization hosted by altered and pyritic Timiskaming volcanic rocks. The deposit strikes at 070 degrees, dips steeply south and exhibits a westerly plunge of 50 degrees. Gold mineralization is developed in zones related to two structures, the Battle Mountain Zone ("BMZ") and the Cyprus Zone ("CZ"). Mineralization in the CZ is characterized by cream to blue-grey coloured, brecciated and "wormy", quartz-ankerite veins and stockwork which contain up to 10% fine-grained pyrite and locally, lesser amounts of galena, chalcopyrite, sphalerite, molybdenite and visible gold. The BMZ is found within a quartz-ankerite-sericite-pyrite alteration assemblage which hosts zones of very strong ankerite veining and pervasive silica flooding with minor pyrite.

Table 1 - Assay Results

Hole # From (m) To (m) Interval (m) Au (g/t) Zone
AKC10-01 456.00 457.00 1.00 6.31 CZ
AKC10-02       NSV Not Reached
AKC10-03 719.50 720.50 1.00 1.68 CZ
AKC10-04 417.30 429.20 11.90 17.88 CZ
AKC10-05       NSV  
AKC10-06 474.30 477.10 2.80 5.11 CZ
  506.00 507.15 1.15 0.50 BMZ
AKC10-07 506.70 508.00 1.30 2.51 CZ
  542.90 544.60 1.70 1.24 BMZ
  554.70 555.40 0.70 3.02 BMZ
AKC10-08       NSV  
AKC10-09 444.60 449.00 4.40 1.09 BMZ
  466.25 466.75 0.50 1.85 CZ
AKC10-10       NSV Not Reached
AKC10-10A 411.00 412.00 1.00 0.73 BMZ
AKC10-11 349.50 350.50 1.00 1.65 CZ/BMZ
  366.10 372.50 6.40 4.58 CZ/BMZ
  375.00 376.15 1.15 15.79 CZ/BMZ
  411.00 412.00 1.00 5.18 New
AKC10-12 447.00 482.40 5.40 5.79 CZ
including 478.25 482.40 4.15 7.01 CZ
  490.00 491.00 1.00 2.47 New
  602.75 604.70 1.95 10.63 New
AKC10-13 389.00 414.10 25.10 3.00 CZ
including 389.50 399.00 9.50 5.56 CZ
including 392.00 398.50 6.50 6.83 CZ
  403.80 406.30 2.50 4.63 CZ
  408.80 409.80 1.00 5.04 CZ
AKC10-52C 583.35 597.70 14.45 5.35 CZ
including 585.25 587.25 2.00 8.30 CZ
including 589.50 596.00 6.50 6.11 CZ

NOTE: All intervals are reported in core length. True widths have not been determine but are estimated at 65-80% of the core length based on drill-hole intercepts and interpreted orientations of lithologies. Assays are uncut.

Quality Control

The design of the Queenston's drilling programs, Quality Assurance/Quality Control and interpretation of results is under the control of Queenston's geological staff including qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices. The AK project is supervised by David Gamble P.Geo., a consultant to Queenston. A detailed review of Queenston's QA/QC procedures is filed in the 2009 Annual Information Form on SEDAR. The drill core is logged and split with half-core samples shipped to Swastika Laboratories of Swastika, Ontario and analyzed employing the appropriate gold fire assaying technique. For QA/QC purposes the Company as well as the lab submits standards and blanks every 25 samples. Approximately 5% of sample rejects and/or pulps will be sent to other laboratories for check assaying.

This news release was reviewed by Queenston's Vice President Exploration, William McGuinty, P. Geo.

About Queenston

Queenston controls a significant land package in the Kirkland Lake gold camp now containing 30 properties, totalling approximately 19,000 hectares. The Company's strategy is to return to producer status through the development of five 100% owned gold projects including the Upper Beaver, Upper Canada, McBean, Anoki and Bidgood. The Company is also carrying out deep exploration targeting the new South Mine Complex with joint venture partner Kirkland Lake Gold Inc. on three joint venture properties in Teck Township adjacent to the Macassa Mine. Queenston has $40 million in cash and has a 2010 exploration budget of $16 million, employing up to 15 diamond drill rigs on 8 individual properties.

Forward Looking Statements

Except for historical information this News Release may contain certain "forward looking statements". These statements may involve a number of known and unknown risks and uncertainties and other factors that may cause the actual results, level of activity and performance to be materially different from the Company's expectations and projections. A more detailed discussion of the risks is available in the "Annual Information Form" filed by the Company on SEDAR at www.sedar.com.

Contact Information

  • Queenston Mining Inc.
    Charles E. Page, P. Geo.
    President and CEO
    (416) 364-0001 (ext. 224)
    or
    Queenston Mining Inc.
    Hugh D. Harbinson
    Chairman
    (416) 364-0001 (ext. 225)
    or
    Queenston Mining Inc.
    Andreas Curkovic
    Investor Relations
    (416) 577-9927
    Info@queenston.ca
    www.queenston.ca