Fort A La Corne Joint Venture - Orion South Diamond results applied to new geological model



    Stock Symbol: SGF: TSX

    SASKATOON, March 19 /CNW/ - George H. Read, P. Geo., Senior Vice
President Exploration and Development, is pleased to announce revised and
restated diamond results for the Pense and Early Joli Fou (EJF) Kimberlites
within Orion South (140 and 141) originally sampled in 24 large diameter drill
(LDD) holes, drilled between September 2000 and November 2004. The Fort a la
Corne Joint Venture (FALC-JV) is currently operated by Shore Gold Inc. (Shore)
with a 60 percent interest and Newmont Mining Corporation of Canada Limited
(Newmont) has a 40 percent interest. These revised diamond results are
possible due to the updated geological model recently prepared by Shore and
Newmont geologists and announced in Shore News Release of March 2, 2007. The
recent geological model is based on significantly more core drilling (112
holes) than previous models (fewer than 50 holes). Detailed core logging has
been integrated with kimberlite whole rock geochemistry, downhole geophysics,
kimberlite density measurements and re-interpreted seismic data to accurately
map the internal structure of Orion South and define the geometry of the
boundaries between the contained kimberlite lithologies.
    Diamonds totaling 229.35 carats were recovered from the processing of
2,280.76 dry tonnes of kimberlite from the 24 LDD holes reported. The relative
positions of these Orion South LDD holes are shown on the Orion South LDD map
(Please see URL for map: http://files.newswire.ca/391/OrionSouthMap.pdf). The
total diamond recoveries from the Pense and Early Joli Fou (EJF1 and EJF2)
Kimberlites intersected in each LDD hole are listed in Table 1. The grade
range listed in Table 1 shows the range of diamond grades (in cpht) for
individual samples collected at various levels, throughout the kimberlite
intersection, down each LDD hole. The EJF1 and EJF2 lithologies are associated
with separate feeder vents, with EJF1 in the south (140) and EJF2 in the north
(141). These are Pense and EJF time equivalent kimberlites which have been
erupted synchronous with the deposition of the Pense and EJF sediments,
respectively, and, while the Pense and EJF Kimberlites in Orion South exhibit
many similarities to the Pense and EJF in Star, they are not exactly the same
kimberlite lithologies. All of these diamonds are commercial stones greater
than 1.50 millimetre - note that this is a higher cutoff than the
1.18 millimetre used for all Star diamond data. As a consequence of the
1.50 millimetre cutoff, 6 to 10 percent can be added to these diamond grades
in order to equate them to Star diamond grades. The four largest stones
originally recovered are: 10.53 carat light fancy yellow from 140-51 (EJF-2),
10.23 carat off white from 141-033 (Pense), 4.09 carat off white from 140-044
(EJF-2) and a 3.61 carat white from 140-030 (EJF-2). The detailed size and
colour statistics for individual stones are presently not available for this
Orion South LDD diamond parcel.

    Table 1: Kimberlite Lithology, Diamond Recoveries, Grade (carats per
hundred tonnes), Grade Range and Stones per Tonne for each LDD Hole (using
1.5 millimetre cutoff)

    
    -------------------------------------------------------------------------
                                                                      Stones
    LDD     Kimberlite Kimberlite   Total  Total  Grade   Grade Range    per
    Hole No. Lithology     Tonnes  Carats  Stones  Cpht      Cpht      Tonne
    -------------------------------------------------------------------------
    140-28       EJF-2      38.61    1.00    13    2.59     0.00-8.22   0.34
    -------------------------------------------------------------------------
    140-29       EJF-1      23.16    7.05    28   30.44    9.26-58.09   1.21
    -------------------------------------------------------------------------
    140-29       EJF-2      46.33    7.17    39   15.48    4.73-37.11   0.84
    -------------------------------------------------------------------------
    140-30       EJF-1      23.16    3.35    27   14.46    8.16-21.89   1.17
    -------------------------------------------------------------------------
    140-30       EJF-2      23.16    5.70    23   24.61    9.97-46.76   0.99
    -------------------------------------------------------------------------
    140-31       EJF-2      69.49    3.09    28    4.45    0.00-16.58   0.40
    -------------------------------------------------------------------------
    140-44       EJF-1      52.00    8.66    75   16.65   12.38-20.26   1.44
    -------------------------------------------------------------------------
    140-44       EJF-2      96.84   11.41    74   11.78    4.66-13.51   0.76
    -------------------------------------------------------------------------
    140-44       PENSE      34.93    0.96    10    2.75     2.39-3.11   0.29
    -------------------------------------------------------------------------
    140-45       EJF-1      61.42    3.87    40    6.30     2.24-9.42   0.65
    -------------------------------------------------------------------------
    140-45       EJF-2      96.04   11.54    94   12.02    1.35-21.68   0.98
    -------------------------------------------------------------------------
    140-49       EJF-1      34.09    2.35    21    6.89     5.03-8.65   0.62
    -------------------------------------------------------------------------
    140-49       EJF-2     114.55    8.27    79    7.22    3.67-10.69   0.69
    -------------------------------------------------------------------------
    140-51       EJF-1      34.78    1.57    10    4.51     3.13-5.89   0.29
    -------------------------------------------------------------------------
    140-51       EJF-2      95.55   15.90    45   16.64    0.78-71.07   0.47
    -------------------------------------------------------------------------
    140-51       PENSE      17.39    0.71    11    4.08     4.08-4.08   0.63
    -------------------------------------------------------------------------
    140-52       EJF-1      34.81    2.22    18    6.38     5.57-7.16   0.52
    -------------------------------------------------------------------------
    140-52       EJF-2      87.01   14.68    65   16.87    3.46-34.79   0.75
    -------------------------------------------------------------------------
    141-04       EJF-2      76.46   12.71   165   16.62    4.39-39.71   2.16
    -------------------------------------------------------------------------
    141-05       EJF-2      61.50    7.21    92   11.72    6.14-21.85   1.50
    -------------------------------------------------------------------------
    141-20       EJF-1      15.44    1.67    14   10.82   10.56-11.01   0.91
    -------------------------------------------------------------------------
    141-20       EJF-1 & 2   7.72    0.23     4    2.98     2.98-2.98   0.52
    -------------------------------------------------------------------------
    141-20       EJF-2      30.88    1.44    20    4.66     3.95-5.50   0.65
    -------------------------------------------------------------------------
    141-21       EJF-2      61.13    5.81    48    9.50    0.91-16.74   0.79
    -------------------------------------------------------------------------
    141-22       EJF-2      52.12    5.91    47   11.34    0.78-18.46   0.90
    -------------------------------------------------------------------------
    141-23       EJF-2      84.93    5.74    67    6.76    1.23-13.08   0.79
    -------------------------------------------------------------------------
    141-24       EJF-2      58.29    4.16    42    7.14    2.20-21.54   0.72
    -------------------------------------------------------------------------
    141-25       EJF-2      35.14    1.66    31    4.72    0.58-10.70   0.88
    -------------------------------------------------------------------------
    141-26       EJF-2      69.61    4.99    60    7.17    2.27-17.74   0.86
    -------------------------------------------------------------------------
    141-27       EJF-2      44.10    1.66    26    3.76     1.62-7.01   0.59
    -------------------------------------------------------------------------
    141-28       EJF-2      67.59    3.30    38    4.88    1.04-14.57   0.56
    -------------------------------------------------------------------------
    141-30       EJF-2     160.29   14.40   150    8.98    0.00-15.30   0.94
    -------------------------------------------------------------------------
    141-31       EJF-2     167.82   16.20   146    9.65    2.04-19.23   0.87
    -------------------------------------------------------------------------
    141-32       EJF-2     165.44   16.73   140   10.11    3.62-17.59   0.85
    -------------------------------------------------------------------------
    141-33       EJF-2       7.72    0.24     3    3.11     3.11-3.11   0.39
    -------------------------------------------------------------------------
    141-33       PENSE     131.26   15.79    36   12.03   0.00-134.24   0.27
    -------------------------------------------------------------------------
    TOTAL                2,280.76  229.35 1,829   10.06   0.00-134.24   0.80
    -------------------------------------------------------------------------
    

    Senior Vice President Exploration and Development, George Read, states:
"These revised LDD results confirm the significant macrodiamond (greater than
1.0 millimetre) populations associated with the three dominant kimberlite
lithologies (Pense, EJF1 and EJF2) of Orion South. Kimberlites sampled in
these LDD holes have produced large attractive diamonds and significant
grades. The size frequency distributions for the Pense, EJF1 and EJF2 diamond
populations indicate they are coarse, similar to the EJF and Cantuar
populations seen in the Star Kimberlite. In spite of limited diamond data, the
Pense appears to have the coarsest diamond size frequency distribution,
followed by EJF1 and EJF2. All three kimberlite lithologies (Pense, EJF1 and
EJF2) contain significant breccia units, which based on information from Star,
are known to host particularly coarse diamond populations. The four largest
diamonds, recovered from LDD samples in Orion South, were from kimberlite
breccia. The presence of large, attractive diamonds in Orion South will have a
positive impact on the economics of a potential future diamond mine. As a
result of these revised Orion South LDD macrodiamond results, consideration of
an underground bulk sampling program to recover a large parcel of diamonds
(greater than 3,000 carats) for valuation purposes, has commenced."

    Table 2: Large Diameter Drill Holes, Kimberlite Intersections (metres)
and Hole Diameters (inches)

    
    -------------------------------------------------------------------------
                                                           Total     LDD Hole
    LDD         Kimberlite    Kimberlite   Kimberlite    Kimberlite  Diameter
    Hole No.    Lithology    From (metres) To (metres)    (metres)   (inches)
    -------------------------------------------------------------------------
    140-28        EJF-2           154          214           60           24
    -------------------------------------------------------------------------
    140-29        EJF-1           178          214           36           24
    -------------------------------------------------------------------------
    140-29        EJF-2           106          178           72           24
    -------------------------------------------------------------------------
    140-30        EJF-1           166          202           36           24
    -------------------------------------------------------------------------
    140-30        EJF-2           130          166           36           24
    -------------------------------------------------------------------------
    140-31        EJF-2           154          262          108           24
    -------------------------------------------------------------------------
    140-44        EJF-1           166          201           35           36
    -------------------------------------------------------------------------
    140-44        EJF-2            99          166           67           36
    -------------------------------------------------------------------------
    140-44        PENSE           201          225           24           36
    -------------------------------------------------------------------------
    140-45        EJF-1           166          196           30           36
    -------------------------------------------------------------------------
    140-45        EJF-2            99          166           67           36
    -------------------------------------------------------------------------
    140-49        EJF-1           178          201           23           36
    -------------------------------------------------------------------------
    140-49        EJF-2            99          178           79           36
    -------------------------------------------------------------------------
    140-51        EJF-1           166          190           24           36
    -------------------------------------------------------------------------
    140-51        EJF-2           100          166           66           36
    -------------------------------------------------------------------------
    140-51        PENSE           190          202           12           36
    -------------------------------------------------------------------------
    140-52        EJF-1           166          190           24           36
    -------------------------------------------------------------------------
    140-52        EJF-2           105          166           61           36
    -------------------------------------------------------------------------
    141-04        EJF-2           150          269          119           24
    -------------------------------------------------------------------------
    141-05        EJF-2           150          245           95           24
    -------------------------------------------------------------------------
    141-20        EJF-1           214          238           24           24
    -------------------------------------------------------------------------
    141-20        EJF-1 & 2       202          214           12           24
    -------------------------------------------------------------------------
    141-20        EJF-2           154          202           48           24
    -------------------------------------------------------------------------
    141-21        EJF-2           150          245           95           24
    -------------------------------------------------------------------------
    141-22        EJF-2           150          231           81           24
    -------------------------------------------------------------------------
    141-23        EJF-2           129          261          132           24
    -------------------------------------------------------------------------
    141-24        EJF-2           141          231           90           24
    -------------------------------------------------------------------------
    141-25        EJF-2           152          206           54           24
    -------------------------------------------------------------------------
    141-26        EJF-2           128          236          108           24
    -------------------------------------------------------------------------
    141-27        EJF-2           151          219           68           24
    -------------------------------------------------------------------------
    141-28        EJF-2           126          231          105           24
    -------------------------------------------------------------------------
    141-30        EJF-2           154          264          110           36
    -------------------------------------------------------------------------
    141-31        EJF-2           154          269          115           36
    -------------------------------------------------------------------------
    141-32        EJF-2           153          268          115           36
    -------------------------------------------------------------------------
    141-33        EJF-2           142          154           12           24
    -------------------------------------------------------------------------
    141-33        PENSE           154          358          204           24
    -------------------------------------------------------------------------
    TOTAL                                                 2,447
    -------------------------------------------------------------------------
    

    The evaluation of the Orion Kimberlite Cluster within the FALC-JV, with a
budget of approximately $66.5 million, is now the largest work program
outlined for any of the Fort a la Corne kimberlites. Senior Vice President
Exploration and Development, George Read, Professional Geoscientist in the
Provinces of Saskatchewan and British Columbia, is the Qualified Person
responsible for the verification and quality assurance of analytical results.
Shore is a Canadian based corporation engaged in the acquisition, exploration
and development of mineral properties. Shares of the Company trade on the TSX
Exchange under the trading symbol "SGF".

    Caution Regarding Forward-Looking Statements

    From time to time, Shore makes written or oral forward-looking statements
within the meaning of certain securities laws, including the "safe harbour"
provisions of the Ontario Securities Act and the United States Private
Securities Litigation Reform Act of 1995. Shore may make such statements in
this press release, in other filings with Canadian regulators or the United
States Securities and Exchange Commission, in reports to shareholders or in
other communications. These forward-looking statements include, among others,
statements with respect to Shore's objectives for the ensuing year, our medium
and long-term goals, and strategies to achieve those objectives and goals, as
well as statements with respect to our beliefs, plans, objectives,
expectations, anticipations, estimates and intentions. The words "may,"
"could," "should," "would," "suspect," "outlook," "believe," "plan,"
"anticipate," "estimate," "expect," "intend," and words and expressions of
similar import are intended to identify forward-looking statements. In
particular, statements regarding Shore's future operations, future exploration
and development activities or the anticipated results of Shore's
pre-feasibility study or other development plans contain forward-looking
statements.
    All forward-looking statements and information are based on Shore's
current beliefs as well as assumptions made by and information currently
available to Shore concerning anticipated financial performance, business
prospects, strategies, regulatory developments, development plans,
exploration, development and mining activities and commitments. Although
management considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.
    By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, and risks exist that
predictions, forecasts, projections and other forward-looking statements will
not be achieved. We caution readers not to place undue reliance on these
statements as a number of important factors could cause the actual results to
differ materially from the beliefs, plans, objectives, expectations,
anticipations, estimates and intentions expressed in such forward-looking
statements. These factors include, but are not limited to, developments in
world diamond markets, changes in diamond valuations, risks relating to
fluctuations in the Canadian dollar and other currencies relative to the US
dollar, changes in exploration, development or mining plans due to exploration
results and changing budget priorities of Shore or its joint venture partners;
the effects of competition in the markets in which Shore operates; the impact
of changes in the laws and regulations regulating mining exploration and
development; judicial or regulatory judgments and legal proceedings;
operational and infrastructure risks and the additional risks described in
Shore's most recently filed Annual Information Form, annual and interim MD&A
and short form prospectus, and Shore's anticipation of and success in managing
the foregoing risks.
    Shore cautions that the foregoing list of factors that may affect future
results is not exhaustive. When relying on our forward-looking statements to
make decisions with respect to Shore, investors and others should carefully
consider the foregoing factors and other uncertainties and potential events.
Shore does not undertake to update any forward-looking statement, whether
written or oral, that may be made from time to time by Shore or on our behalf.




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For further information: Adam Buchanan, Manager, Investor and Community
Relations at (306) 667-3503


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