Queenston Mining Inc.
TSX : QMI
FRANKFURT : QMI

Queenston Mining Inc.

January 13, 2011 12:33 ET

Queenston Reports 5.0 g/t Au Over 21.3 m, 4.4 g/t Au Over 18.7 m and 1.6 g/t Au Over 64.3 m at Bidgood-Kirkland East Project

TORONTO, ONTARIO--(Marketwire - Jan. 13, 2011) - QUEENSTON MINING INC. (TSX:QMI)(FRANKFURT:QMI) ("the Company") is pleased to announce results from an additional 35 diamond drill holes (7,796 m) completed on the 100% owned Bidgood property located in Lebel Township, Kirkland Lake, Ontario.

Results are reported for holes that targeted the potential for both open pit and narrow high-grade mineralization on the North and South zones within the Bidgood Mine sequence located on the eastern portion of the property. To date, 63 holes (12,090 m) have been reported as part of a first phase 23,000 m program (Note: the holes have not been drilled in numerical order).

Highlights from the new holes:

South Zones

  • 5.0 g/t Au over 21.3 m (including 11.7 g/t Au over 7.2 m) in hole BG10‐10
  • 4.4 g/t Au over 18.7 m (including 74.6 g/t Au over 0.6 m) in hole BG10‐15
  • 3.1 g/t Au over 14.1 m (including 14.7 g/t Au over 1.7 m) in hole BG10-92
  • 2.2 g/t Au over 33.0 m (including 4.3 g/t Au over 12.2 m) in hole BG10-94
  • 1.6 g/t Au over 64.3 m (including 63.5 g/t Au over 0.6 m) in hole BG10‐14
  • 1.5 g/t Au over 40.8 m (including 3.0 g/t Au over 16.3 m) in hole BG10‐76
  • 1.8 g/t Au over 36.5 m (including 3.5 g/t Au over 14.8 m) in hole BG10-16
  • 1.4 g/t Au over 23.3 m (including 2.4 g/t Au over 7.8 m) in hole BG10-01
  • 1.4 g/t Au over 22.0 m in hole BG10-77
  • 1.2 g/t Au over 15.1 m and 1.0 g/t Au over 20.2 m in hole BG10-08
  • 0.8 g/t Au over 72.8 m (including 2.2 g/t Au over 10.8 m) in hole BG10-78

North Zones

  • 80.3 g/t Au over 0.85 m (with VG) and 1.1 g/t Au over 40.9 m in hole BG10‐04
  • 5.3 g/t Au over 6.75 m (including 15.9 g/t Au over 1.5 m) in hole BG10-52
  • 23.1 g/t Au over 0.9 m and 1.1 g/t Au over 11.9 m in hole BG10-38
  • 1.1 g/t Au over 39.4 m in hole BG10-18C

Charles E. Page, President and CEO of Queenston said, "The new drilling results strongly demonstrate the continuity and consistency of the multiple gold zones within and beyond the limits of the previous mine workings. The structural corridor that hosts the mine sequence remains open and drilling will begin to step out to the east and west. The Bidgood property has the potential to provide an additional source of feed towards the Company's strategy to establish a central milling facility in Gauthier Township and process material from the 100% owned Upper Beaver, Upper Canada, McBean and Anoki gold deposits. An initial NI 43-101 mineral resource has been commissioned on the Bidgood property targeting the South Zones and Boundary Zone."

Significant assay results from the new holes are shown in Table 1 and the location of the holes is outlined in Figure 1 accompanying this news release and also available on the Company's website (www.queenston.ca). Previous drill hole results from the Bidgood property can be found in press releases dated June 10th, July 7th and September 23rd, 2010 and available at the Company's website.

The 3,100‐acre Bidgood property hosts the past‐producing Bidgood Mine that historically produced 165,000 oz of gold from 1934‐51 at a recovered grade of 9.2 g/t. The current drilling program, employing two diamond drill rigs is focused along the Bidgood Mine gold corridor which has not been effectively explored since the mine shut down. The current program is targeting the numerous vein systems that remain open above, below and along trend of the mine footprint. At the North Zones, near the Bidgood #2 shaft, the drilling is targeting primarily narrow, high-grade mineralization. The South Zones located in the vicinity of the Moffat Hall shaft, display the potential for both high-grade and low-grade near surface mineralization with the potential for developing an open-pit resource.

South Zones 

The two southern‐most veins, mined from the 46 m to 91 m levels of the Bidgood Mine in the vicinity of the Moffat Hall shaft, have been drilled at 10-20 m centres. To date 43 holes have targeted this area, with results returned from 30. The mineralization remains open in all directions and displays excellent continuity.

Previous drill hole BG10‐27 intersected 2.0 g/t Au over 22.3 m. Follow-up holes intersected:

  • 4.4 g/t Au over 18.7 m (including 74.6 g/t Au over 0.6 m) in hole BG10-15, 12 m to the east
  • 1.8 g/t Au over 36.5 m (including 3.5 g/t Au over 14.8 m) in hole BG10-16, 30 m to the east
  • 1.6 g/t Au over 64.3 m (including 63.5 g/t Au over 0.6 m) in hole BG10-14, 20 m to the west
  • 5.0 g/t Au over 21.3 m (including 11.7 g/t Au over 7.2 m) in hole BG10-10, 35 m to the west

Previous drill hole BG10‐22 intersected 12.2 g/t Au over 11.5 m including 2.0 m grading 25.8 g/t containing visible gold. Follow-up holes intersected:

  • 0.8 g/t Au over 72.8 m (including 2.2 g/t Au over 10.8 m) in hole BG10-78, 24 m to the east
  • 1.1 g/t Au over 20.2 m in hole BG10-8, 32 m to the east
  • 1.5 g/t Au over 40.8 m (including 3.0 g/t Au over 16.3 m) in hole BG10‐76, 25 m to the west
  • 3.1 g/t Au over 14.1 m (including 14.7 g/t Au over 1.7 m) in hole BG10-92, 38 m to the west
  • 1.9 g/t Au over 59.5 m (including 3.47 g/t Au over 18.6 m) in previous hole BG10‐58, 30 m up-dip

Holes BG10-77 and BG10-01 returned 1.4 g/t Au over 22.0 m and 1.4 g/t Au over 23.3 m) respectively, bracketing previous hole BG10-28 (1.15 g/t Au over 51.5 m) 40 m to the southwest 40 m to the southwest.

Mineralization has now been traced for 100 metres horizontally and 150 metres vertically in this area of the deposit, with a plunge to the east. The mineralization remains open to depth and to the east.

North Zones

On the North Zones, previous hole BG10-03 returned 19.5 g/t Au over 5.2 m, including 107.0 g/t Au over 0.8 m from a strongly-mineralized new zone located 150 m northeast of the Bidgood shaft. Follow-up drilling at 30 m centres returned 5.8 g/t Au over 0.9 m (BG10-20), 5.7 g/t Au over 0.7 m (BG10-18C) within a broad 39.4 m zone averaging 1.1 g/t Au), and 5.69 g/t Au over 1.3 m (BG10-04) within 1.1 g/t Au over 40.9 m.

The two drills continue to operate at Bidgood in 2011. One rig will follow-up on the successful recent drilling of the Boundary zone, located 1,000 metres east of Bidgood, targeting the Perreault and Robert Zones where previously reported intersections include 2.1 g/t Au over 20.0 m (hole BZ09-04), 1.1 g/t Au over 29.6 m (hole BZ09-08) and 1.7 g/t Au over 17.6 m (hole BZ09-15). The second rig will follow-up on a 1.6 km long porphyry-hosted gold-copper, quartz-stockwork zone that was discovered in 2009, west of the Bidgood Mine.

Table 1. Significant New Drill Results
               
HOLE # AZIMUTH DIP ZONE FROM (m) TO (m) Interval (m) Gold (g/t)
BG10-01 129.2 -45 SOUTH 37.9 39.1 1.2 2.08
        68.5 73.2 4.7 1.01
        135 158.3 23.3 1.4
      including 135 142.8 7.8 2.36
BG10-02 121.4 -58 SOUTH 45.3 46.7 1.4 1.13
        75.3 77.7 2.4 1.3
        89.4 90 0.6 1.23
        102.6 103.3 0.7 2.13
        155 159.1 4.1 1.45
      including 158 158.5 0.5 5.8
        184.3 188.5 4.2 3.31
      including 185.7 187 1.3 7.47
BG10-04 95 -71 NORTH 19.55 20.4 0.85 80.26 VG
        66 68.9 2.9 2.15
        338.6 379.5 40.9 1.14
      including 338.6 344.5 5.9 3.11
      and 375.55 376.8 1.25 5.69
BG10-05 75.1 -65 NORTH 285 292.9 7.9 2.82
      including 288 289 1 5.18
      and 292.1 292.9 0.8 8.4
        439.45 455.2 15.75 0.79
      including 442 445 3 1.36
BG10-06 133.8 -54 SOUTH 75.3 76.3 1 1.2
        78.5 79.1 0.6 1.41
        84.7 85.5 0.8 1.3
        87.7 90 2.3 3.34
      including 89.4 90 0.6 11.42
        94.4 95 0.6 1.03
        183.5 185.5 2 1.35
BG10-07 56.5 -61.7 NORTH 5.15 7.1 1.95 1.8
        70.15 71.2 1.05 8.13
        243 245.05 2.05 5.86
      including 244.2 245.05 0.85 12.79
        282 282.95 0.95 1.78
BG10-08 102.5 -50 SOUTH 59.2 74.3 15.1 1.17
      including 59.2 60.7 1.5 4.4
        136.6 211.5 74.9 0.51
      including 136.6 140.4 3.8 1.29
      and 175.5 176.2 0.7 2.88
      and 191.3 211.5 20.2 1.01
      including 198.5 199.4 0.9 5.28
      and 208.1 209.8 1.7 5.74
        238.8 239.6 0.8 11.42
BG10-09 188.7 -54 SOUTH 8.6 14.5 5.9 1.62
      including 8.6 9.3 0.7 7.37
        47.8 48.8 1 1.61
        63.5 64.1 0.6 2.23
BG10-10 140.4 -78 SOUTH 11.9 33.2 21.3 4.95
      including 24 31.2 7.2 11.7
      including 24 25.7 1.7 14.4
      and 30.4 31.2 0.8 46.8
        46.9 47.6 0.7 1.89
        50.77 51.5 0.73 1.03
        78 78.6 0.6 2.54
        80 80.7 0.7 2.37
        100.2 100.8 0.6 4.05
BG10-14 178.8 -63 SOUTH 5.6 69.9 64.3 1.61
      including 7.8 9.6 1.8 5.38
      and 12.6 13.2 0.6 63.53
      and 24.9 25.7 0.8 5.73
      and 31.3 32 0.7 6.58
BG10-15 90.8 -51 SOUTH 9.9 28.6 18.7 4.38
      including 24.5 26 1.5 38.2
      including 24.5 25.1 0.6 74.60 VG
BG10-16 76.1 -42 SOUTH 11.8 48.3 36.5 1.77
      including 11.8 26.6 14.8 3.46
      including 11.8 18.5 6.7 5.4
      including 16 18.5 2.5 11.09
      including 25.8 26.6 0.8 10.32
      and 26.6 36 9.4 0.14
      and 38.3 48.3 10 1.21
      including 46.8 48.3 1.5 5.82
BG10-17 92.2 -66 NORTH 22.8 23.65 0.85 3.7
        27.9 28.65 0.75 3.84
        61.8 63.3 1.5 2.5
        304.65 305.25 0.6 2.26
        322.5 323.25 1.25 1.23
        334.5 335.3 0.8 3.81
        337.5 342.5 5 0.71
        349.95 350.7 0.75 5.73
BG10-18C 94.2 -65 NORTH 63.5 67.6 4.1 1.19
        71.9 72.6 0.7 1.65
        122.5 124.9 2.4 1.18
        282.7 283.5 0.8 1.34
        326.85 367.8 39.4 1.09
      including 332.6 333.3 0.7 5.73
BG10-20 112.9 -66 NORTH 26.5 27.3 0.8 5.93
        44.25 48.1 3.85 1.35
        55.9 60 4.1 2.43
        142.7 143.4 0.7 1.51
        195.3 195.8 0.5 2.64
        290.9 291.55 0.65 1.38
        294 294.85 0.85 5.76
        384 384.7 0.7 3.05
BG10-23 320.5 -42 SOUTH 28.1 35 6.9 3.36
      including 32.7 33.3 0.6 21.74
        48.2 49.1 0.9 2.02
BG10-26 178 -60 SOUTH 15 47.25 32.25 0.48
      including 15.7 16.6 0.9 4.49
      and 45.65 47.25 1.6 6.1
      including 46.5 47.25 0.75 11.93
BG10-29 176 -59 NORTH 26.8 27.8 1 1.85
        74.2 75.7 1.5 1.2
        78 78.7 0.7 2.5
BG10-32 117.6 -64 NORTH 124.95 130.2 5.25 1.39
      including 125.6 126.75 1.15 3.6
BG10-36 98.6 -65 NORTH 198.9 200.45 1.55 3.11
        208.15 211.15 3 1.06
        214.9 219 4.1 1.3
        232.1 234 1.9 1.02
        237.7 239.65 1.95 2.28
        254 256.3 2.3 2.37
        264.5 265.1 0.6 3.33
        283.05 284 0.95 3.74
        348.6 349.6 1 1.37
BG10-38 80 -62 NORTH 166.4 167.7 1.3 1.17
        169.9 181.8 11.9 1.14
        198.3 203.9 5.6 PENDING
        342 342.9 0.9 23.14
        416.35 417.4 1.05 1.34
BG10-49 102.4 -47 NORTH 161.5 163 1.5 1.75
        165.2 166.95 1.75 2.9
        177.8 183 5.2 1.31
BG10-52 169.6 -46.5   18.95 25.7 6.75 5.26
      including 21 22.5 1.5 15.94
        90.7 91.5 0.8 1.23
        108.5 109.25 0.75 4.56
BG10-70 120 -59 SOUTH 28.5 30 1.5 2.02
        36.5 39 2.5 1.27
BG10-72 113 -44 SOUTH 33.25 34.35 1.1 1.27
        43.5 45.2 1.7 4.53
        113.2 114 0.8 1.47
        119.45 186.6 67.15 0.58
      including 119.45 122.3 2.85 1.99
      and 131.65 136.6 4.95 1.01
      and 155.9 159.25 3.35 0.92
      and 169.5 171 1.5 4.15
      and 173.5 174.6 1.1 1.2
      and 176.75 179.5 2.75 1.18
      and 184 186.6 2.6 0.77
BG10-76 134 -45 SOUTH 114.6 155.35 40.75 1.5
      including 114.6 123.4 8.8 1
      and 126.95 133 6.05 0.47
      and 139.05 155.35 16.3 2.99
      including 148.3 149.55 1.25 6.31
      and 154.6 155.35 0.75 5.11
        175.8 180 4.2 1.33
BG10-77 135.5 -45 SOUTH 36 39.3 3.3 0.96
        61.65 63.1 1.45 3.35
        137 159 22 1.35
      including 140 141.6 1.6 4.94
        174.9 175.6 0.7 1
BG10-78 105.6 -47.2 SOUTH 41.7 49.3 7.6 1.95
      including 47.1 48.4 1.3 4.18
        121 193.8 72.8 0.79
      including 121 133 12 1.19
      and 159.7 193.8 34.1 1.04
      including 183 193.8 10.8 2.19
      and 187.3 188 0.7 12.79
        203.5 204.6 1.1 2.64
        207 208.2 1.2 1.75
BG10-90 117.8 -48.5 SOUTH 31.5 33.2 1.7 1.2
        53.75 60.25 6.5 0.91
BG10-92 131.8 -57 SOUTH 44 46.7 2.7 1.15
        49.1 49.7 0.6 1.68
        70.5 71 0.5 1.92
        76.7 77.45 0.75 1.44
        110.5 111.4 0.9 1.71
        155.1 156.8 1.7 1.36
        158 160.2 2.2 1.02
        168.6 182.7 14.1 3.1
      including 173.9 175.6 1.7 14.72
BG10-93 142.9 -51 SOUTH 61.4 61.9 0.5 9.67
        77.3 84.9 7.6 0.82
      SOUTH 186.9 188.2 1.3 1.71
BG10-94 124.5 -51 SOUTH 64.1 64.7 0.6 1.58
        70.6 72.6 2 2.27
        130.8 163.8 33 2.21
      including 146.4 158.6 12.2 4.31
      including 156.7 157.5 0.8 22.53
        217.5 218.6 1.1 3.76
BG10-101 103.7 -61 SOUTH 64.5 65.2 0.7 2.54
        69.7 73.2 3.5 0.88
        86.1 94 7.9 2.04
        102.9 103.9 1 1.54
        213.8 215.7 1.9 1.26
        220 225 5 1.32
        289.4 291 1.6 1
        294.6 295.2 0.6 2.09

NOTES: The mineralized intervals reported in this news release represent core lengths. True width where it has been determined in the South Zone is 50-99% of the core lengths (except hole BG10-101 at 42%). Two holes BG10-18 and -80 reported no significant values as they were stopped short of target. VG means the occurrence of visible gold. Mineralization generally consists of 10‐90% coarse disseminated pyrite, 1‐20% chalcopyrite hosted in an altered, silicified, iron‐rich diorite and porphyry along the Bidgood gold structure. The mineralization mined at Bidgood generally strikes northeast – southwest and appears to dip vertical to 69°north locally.

Qualified Person and QA/QC Program

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 National Instrument ("NI") 43‐101 and industry best practices. Mr. Michael Sutton, P.Geo., Senior Geologist is the designated Qualified Person pursuant to NI 43‐101 (Standards of Disclosure for Mineral Projects) of the Canadian Securities Administrators and is responsible for the verification and quality assurance of the technical content of this news release. 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 Polymet Labs of Cobalt, 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 approximately every 25 samples and after significant samples. Approximately 5‐10% of sample rejects and/or pulps are sent to other laboratories for check assaying and quarter‐core sampling is also undertaken. As a further check on high-grade zones the core is quartered and a sample split is sent for assay.

About Queenston

Queenston is a Canadian mineral exploration and development company with a primary focus on its holdings in the historic Kirkland Lake gold camp that comprises 200 km². The Company has recently entered into a strategic alliance with Agnico-Eagle Mines Limited with the objective of advancing its key, 100% owned gold projects (Upper Beaver, Upper Canada, McBean, Anoki and Bidgood) at the Kirkland East project towards feasibility and ultimately production. The Company has working capital of over $80 million, no debt and a 2011 exploration budget of $26 million.

Queenston's Cautionary Note Regarding NI 43‐101 and 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
    or
    Ann (Gibbs) Baines
    ann@anngibbspr.com