St. Eugene Mining Corporation Limited
TSX VENTURE : SEM

St. Eugene Mining Corporation Limited

August 30, 2011 08:00 ET

St. Eugene's Drilling Results Expand Mineralization at Tartan Lake Gold Mine Project, Manitoba

TORONTO, ONTARIO--(Marketwire - Aug. 30, 2011) - St. Eugene Mining Corporation Limited (TSX VENTURE:SEM) –

THIS PRESS RELEASE, REQUIRED BY APPLICABLE CANADIAN LAWS, IS NOT FOR DISTRIBUTION TO U.S. NEWS SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN.

St. Eugene Mining Corporation Limited ("St. Eugene") announces that it has completed its Phase 1 surface drilling program on its 100% owned Tartan Lake Gold Mine Project ("Tartan"). All 19 holes in the drilling program (4,123 metres) intersected gold mineralization in shear zones, namely, shear zones with quartz-tourmaline-carbonate veins related to pyrite and chalcopyrite mineralization. The drilling successfully expanded the system at Tartan along strike by an additional 100 metres to the east and south. Significant results include:

  • 27.57 g/t Au over 0.69 m in hole TL-11-03
  • 29.60 g/t Au over 0.50 m in hole TL-11-05

To date, the Company has received assays from holes TL-11-01 to TL-11-05. The results from hole TL-11-01 was reported in a news release dated July 12, 2011.

The delineation and step-out drilling was carried out to test the areas between: (i) South and Southeast Zone, and areas to the south of the zones; (ii) Ruby Lake area; and (iii) the geophysical anomaly north of the Main Zone.

Jennifer Boyle, President and Chief Executive Officer of St. Eugene commented, "Our initial drill program on the Tartan Lake deposit successfully confirmed gold mineralization in the resource blocks identified by the previous operators. We are very pleased with the consistency and continuity of the mineralized vein structures and the high gold grades intersected. This new data will be combined with the historical drill results in an effort to update the NI 43-101 resource estimate and extend the mineralized zones."

Core logging and splitting is ongoing, and being prepared for shipment to TSL Laboratories Inc. ("TSL Labs"), an accredited laboratory, for assaying in Saskatoon, Saskatchewan. In addition to the results reported in the previous news release, selected assay results from those received to date are listed in Table 1.

Table 1. Selected assay results from the surface drilling program at Tartan lake Gold Mine, Flin Flon, Manitoba.
Hole ID Azimuth Dip From (m) To (m) Length Au (g/t)
TL-11-02 350 -50 3.00 3.95 0.95 1.68
23.47 24.56 1.09 2.87
TL-11-03 340 -50 29.44 30.34 0.90 1.47
50.57 51.35 0.78 2.35
162.00 165.47 3.47 3.16
including 164.62 165.47 0.85 5.01
167.32 169.73 2.41 2.47
including 169.18 169.73 0.55 2.19
171.75 174.50 1.88 11.82
including 171.75 172.41 0.66 3.64
172.41 172.94 0.53 2.45
172.94 173.63 0.69 27.57
186.86 187.66 0.80 19.75
TL-11-04 340 -46.5 55.95 56.60 0.65 18.55
TL-11-05 340 -50 25.50 27.40 1.90 12.67
including 25.50 26.00 0.50 29.60
including 26.00 26.81 0.81 17.32
*The reported length is core length.

St. Eugene anticipates receiving additional assay results from TSL Labs through to the end of September 2011. The drill core samples are split on the property, with half sent to TSL Labs. The samples are fire assayed with an AA and gravimetric finish. Rigorous QAQC procedure is implemented and check samples, blanks and standards are inserted into the sample stream. The core lengths are actual lengths as drilled and have not been adjusted for the true width of the mineralized zones. The sampling and preparation of the drill core is being conducted under the supervision of Dr. Tania Ilieva, P. Geo., who is the designated Qualified Person for the project.

A plan map of the Tartan Lake Gold Mine Project and a detailed map showing current drill collar locations can be viewed at St. Eugene's website www.steugenemining.ca.

Tania Ilieva, P.Geo., Vice President, Exploration, is the Qualified Person who has reviewed and approved the contents of this news release for and on behalf of St. Eugene.

CAUTION REGARDING FORWARD-LOOKING INFORMATION

This news release of St. Eugene contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause St. Eugene's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects," "plans," "anticipates," "believes," "intends," "estimates," "projects," "potential" and similar expressions, or that events or conditions "will," "would," "may," "could" or "should" occur. Forward-looking statements in this document include statements regarding St. Eugene's expectations regarding ownership, entitlements, drilling and exploration activities on properties in which St. Eugene has, or believes it has an interest. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from St. Eugene's expectations. St. Eugene undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change, unless otherwise required by law.

THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS, AND MAY NOT BE OFFERED OR SOLD IN THE UNITED STATES OR TO U.S. PERSONS UNLESS REGISTERED OR EXEMPT THEREFROM.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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