Queenston Mining Inc.
TSX : QMI
FRANKFURT : QMI
BERLIN : QMI

Queenston Mining Inc.

December 16, 2008 09:13 ET

Queenston's Deep Drilling Intersects Thick High-Grade Zone at Upper Beaver 30.3 g/t (0.88 oz/ton) Au With 1.0% Cu Over 20.8 m (68.2ft)

TORONTO, ONTARIO--(Marketwire - Dec. 16, 2008) - QUEENSTON MINING INC. (TSX:QMI)(FRANKFURT:QMI)(STUTTGART:QMI)(BERLIN:QMI) ("Queenston" or "the Company") announces results from the deep exploration, diamond drilling program in progress at the 100% owned Upper Beaver property located in Kirkland Lake, Ontario. The drilling has intersected significant gold-copper values in the mineralized corridor below the NI 43-101 mineral resource announced in September (see news release dated September 22, 2008) that outlined 375,000 oz. of gold in the indicated category plus 262,800 oz. in the inferred category.



Highlight from the recent drilling:

- Hole UB08-139: 30.3 g/t (0.88 oz/ton) Au with 1.0 % Cu over 20.8 m
(68.2 ft) in the Porphyry Zone including 69.5 g/t (2.03 oz/ton) Au with
0.4% Cu over 3.8m (12.5 ft) and 51.5 g/t (1.50 oz/ton) Au with 2.6% Cu
over 7.0 m (23.0 ft)


Charles Page, Queenston President and CEO, said, "We are excited that the results of the deep drilling program at Upper Beaver confirm the potential for additional economic gold-copper mineralization below the recently announced mineral resource. Drill hole UB08-139 is the best intersection ever reported to date on the property. Encountering a wide interval of high-grade values at a vertical depth of -1000 m is most favourable and represents a significant extension to the deposit. The drilling program continues and the growing resource at Upper Beaver supports our strategy of advancing four, 100% owned gold deposits in the Kirkland Lake camp towards production supported by a central mill."



Table of assay results:

---------------------------------------------------------------------------
Hole # Dip Az From To Interval Esti- Cu Au Zone
(deg- (deg- (m) (m) (m) mated (%) (gt)
rees) rees) True
Width
(m)
---------------------------------------------------------------------------
North
UB08-137 -78 139 771.0 773.1 2.0 1.4 - 6.7 Contact
---------------------------------------------------------------------------
871.6 880.1 7.5 5.3 - 3.0 Porphyry
---------------------------------------------------------------------------
Upper
including 872.6 873.6 1.0 0.7 - 9.7 Porphyry
---------------------------------------------------------------------------
Lower
and 877.9 879.0 1.1 0.8 - 6.0 Porphyry
---------------------------------------------------------------------------
North
UB08-138 -73 140 761.5 762.3 0.8 0.6 - 19.2 Contact
---------------------------------------------------------------------------
830.2 893.0 53.7 37.6 - 1.2 Porphyry
---------------------------------------------------------------------------
Upper
including 845.2 846.0 0.8 0.6 - 10.5 Porphyry
---------------------------------------------------------------------------
Lower
and 867.8 872.1 4.3 3.0 - 4.9 Porphyry
---------------------------------------------------------------------------
Lower
and 868.9 870.0 1.1 0.8 - 13.3 Porphyry
---------------------------------------------------------------------------
Syenite
996.2 1005.5 9.3 6.5 0.9 2.4 Breccia
---------------------------------------------------------------------------
Syenite
including 1000.4 1004.4 4.0 2.8 1.6 1.8 Breccia
---------------------------------------------------------------------------
UB08-139 -81 139 986.5 1007.3 20.8 14.6 1.0 30.3 Porphyry
---------------------------------------------------------------------------
Upper
including 986.5 990.3 3.8 2.7 0.4 69.5 Porphyry
---------------------------------------------------------------------------
Lower
and 1000.3 1007.3 7.0 4.9 2.6 51.5 Porphyry
---------------------------------------------------------------------------


On September 22, 2008 the Company reported a NI 43-101 mineral resource at Upper Beaver comprising total indicated resources of 1,373,500 t grading 8.5 g/t Au (375,000 oz.) (9.7 g/t Au uncapped (427,900 oz.)) with 0.43% Cu and total inferred resources of 1,061,300 t grading 7.7 g/t Au (262,800 oz.) (8.5 g/t Au uncapped (291,300 oz.)) with 0.39% Cu. The mineral resource was completed by Watts, Griffis and McOuat Limited of Toronto under the supervision of independent qualified person Michael W. Kociumbas, P.Geo.

In the current program, 10 holes are planned to extend the Upper Beaver mineral resource below a depth of 800 m. To date, three holes (3,533 m) have been completed all intersecting significant mineralization in the eastern portion of the Porphyry Zone. The Porphyry Zone is the largest gold-copper body of the deposit containing over 80% of the mineral resource (942,600 t grading 9.6 g/t Au (10.9 g/t uncapped) indicated and 859,200 t grading 8.3 g/t Au (9.2 g/t uncapped).

Hole UB08-139 intersected the Porphyry Zone at a vertical depth of 1000 m and approximately 200 m below the mineral resource (a 3-D model of the Porphyry Zone is attached and can be viewed on the Company's website at www.queenston.ca). This hole intersected a broad, high-grade zone of mineralization assaying 30.3 g/t Au with 1% Cu over a core length of 20.8 m which is considered the best intersection encountered to date. Within this intersection are two sub-zones containing visible gold, the Upper Porphyry Zone assaying 69.5 g/t Au with 0.4% Cu over 3.8 m and the Lower Porphyry Zone assaying 51.5 g/t Au with 2.6% Cu over 7.0 m. Hole UB08-137 was completed approximately 150 m above UB08-139 and intersected the Lower Porphyry Zone assaying 3.0 g/t Au over 7.5 m including a 0.7 m interval assaying 9.7 g/t. Hole UB08-138, drilled 100 m above UB08-137, intersected a thick Porphyry Zone intersection assaying 1.2 g/t Au over 53.7 m including an Upper Porphyry Zone interval of 0.8 m assaying 10.5 g/t Au and a Lower Zone interval of 4.3 m assaying 4.9 g/t Au.

Previous hole UB08-135, announced in a news release dated September 22, 2008, was the first hole to encounter significant mineralization below the mineral resource. This hole targeted a deep, Quantec Geoscience, Titan-24 anomaly and intersected 2.7 g/t Au with 0.8% Cu over a core length of 4.8 m and provided encouragement to initiate the current program. Hole UB08-136, targeting another Titan 24 anomaly east of the Upper Beaver resource, intersected a separate alteration corridor that returned an interval assaying 1.4 g/t Au over 7.4 m including 6.6 g/t Au over 1.1 m.

The deep drilling program continues with the next series of holes targeting the Porphyry Zone west of the diabase dyke. Metallurgical testing on a composite of the Upper Beaver mineralization is near completion and preliminary results indicate a 96% recovery of gold and 96% recovery of copper from gravity/floatation methods. The test work was completed by SGS Mineral Services Inc. under the supervision of the Company's consultant Peter Godbehere, B.Sc., A.R.S.M.A preliminary economic assessment of the Upper Beaver project will be initiated early in the new year.

Wayne Benham, P. Geo. planned and supervised the Upper Beaver drilling program employing a QA/QC program consistent with NI 43-101 and industry best practices. 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 are sent to a second lab, Laboratoire Expert Inc. of Rouyn Noranda for check assaying.

About Queenston

Queenston has assembled significant land packages in proven Canadian mining camps and its strategy is to return to producer status. The first step is in progress through the advancement of its primary gold assets in Kirkland Lake, Ontario (Upper Beaver, McBean, Anoki and Upper Canada) and in Cadillac, Quebec (Ironwood) towards NI 43-101 resource status. In the western portion of the Kirkland Gold camp, Queenston is carrying out deep exploration targeting the new South Mine Complex with joint venture partner Kirkland Lake Gold Inc. on the South Claims property and on its 100% owned AK property. Queenston is well financed with working capital of $18 million and maintains interests in 18 contiguous properties in the Kirkland Lake camp totaling approximately 14,000 hectares in 900 mineral claims.

This news release was reviewed by Queenston's Chief Geologist and qualified person Wayne Benham, P. Geo.

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
    Email: Info@queenston.ca
    Website: www.queenston.ca