Fort a la Corne joint venture: Taurus kimberlite cluster large diameter drilling diamond grade results



    Stock Symbol: SGF: TSX

    SASKATOON, June 4 /CNW/ - George H. Read, P. Geo., Senior Vice President
Exploration and Development, is pleased to announce the diamond grade results
for the large diameter drilling ("LDD") mini-bulk sampling of the K150, K118
and K122 portions of the Taurus Kimberlite Cluster ("T-K150", "T-K118" and
"T-K122", respectively) within the Fort a la Corne Joint Venture ("FALC-JV":
60 percent Shore Gold Inc. ("Shore") and 40 percent Newmont Mining Corporation
of Canada Limited ("Newmont")). The relative positions of T-K150, T-K118 and
T-K122 are illustrated on a map available on the Company website:
www.shoregold.com. The results for each principal kimberlite unit sampled by
the LDD mini-bulk sampling are shown in Tables 1, 2 and 3.

    
    Table 1 T-K122 Diamond Results from LDD Mini-bulk Samples

    -------------------------------------------------------------------------
                 Number           Processed                          Largest
    Kimberlite    of   Kimberlite   Dry     Total    Total    Grade    Stone
    Unit         Holes   Metres    Tonnes   Carats   Stones   (cpht) (Carats)
    -------------------------------------------------------------------------
    EJF1 Inner        9    1,134      610       69      590       11     7.99
    -------------------------------------------------------------------------
    EJF1 Outer        4      321      461       30      343        7     1.00
    -------------------------------------------------------------------------
    EJF2              5       77       82        3       27        3     0.57
    -------------------------------------------------------------------------
    Total                  1,532    1,153      102      960        9
    -------------------------------------------------------------------------

    Table 2 T-K118 Diamond Results from LDD Mini-bulk Samples

    -------------------------------------------------------------------------
                 Number           Processed                          Largest
    Kimberlite    of   Kimberlite   Dry     Total    Total    Grade    Stone
    Unit         Holes   Metres    Tonnes   Carats   Stones   (cpht) (Carats)
    -------------------------------------------------------------------------
    EJF3 Inner        3      307      464       61      721       13     2.27
    -------------------------------------------------------------------------
    EJF3 Outer        2      168      269       30      307       11     3.42
    -------------------------------------------------------------------------
    EJF2              2      107      156        8      104        5     0.84
    -------------------------------------------------------------------------
    Total                    582      889       99    1,132       11
    -------------------------------------------------------------------------

    Table 3 T-K150 Diamond Results from LDD Mini-bulk Samples

    -------------------------------------------------------------------------
                 Number           Processed                          Largest
    Kimberlite    of   Kimberlite   Dry     Total    Total    Grade    Stone
    Unit         Holes   Metres    Tonnes   Carats   Stones   (cpht) (Carats)
    -------------------------------------------------------------------------
    EJF1 Inner        4      400      498       58      545       12     2.85
    -------------------------------------------------------------------------
    EJF1 Outer        1      103      126       10      126        8     0.82
    -------------------------------------------------------------------------
    EJF2              1       38       53        3       27        6     0.42
    -------------------------------------------------------------------------
    Total                    542      677       71      698       10
    -------------------------------------------------------------------------

    Table Notes
      -  Kimberlite Units: EJF: Early Joli Fou and LJF: Late Joli Fou
      -  EJF Inner and Outer based on geology and discussed below
      -  EJF1, EJF2 and EJF3 are sub-units within the stratigraphically
         defined EJF
      -  Grade is calculated as Total Carats divided by Processed Dry Tonnes
      -  Diamonds reported with a 1.18 millimetre square mesh screen bottom
         cut-off
    

    The Taurus Kimberlite Cluster ("Taurus") is one of the largest diamond
bearing kimberlites in the world, with a surface area totaling some 880
hectares situated within claims of the FALC-JV. The map available on the
Company website shows the limited extent of core drilling and LDD on Taurus.
The re-logging of archival core from Taurus has identified substantial
intersections of high interest, coarse grained macrocrystic kimberlite breccia
that has the potential to host significant diamond populations, particularly
in T-K122, T-K118 and T-K150 (See SGF News Release February 25, 2008).
Kimberlites T-K122, T-K118 and T-K150 were targeted with a limited 15 hole LDD
program in late 2008 to investigate the presence of macro diamonds in these
large bodies. While an initial geological model is currently in preparation
for Taurus, examination of the internal geology, determined from core
drilling, has confirmed extensive areas of EJF Inner Kimberlite Units (see
below) within T-K122, T-K118 and T-K150 (See map). No underground bulk
sampling has been undertaken to date in Taurus.
    It is Shore's assertion that diamond loss and diamond breakage occur
(particularly of the large stones) in the case of the LDD mini-bulk samples.
In addition, on-site testing has shown that diamond breakage increases as
kimberlite competency (hardness) increases. Therefore, Shore believes both the
diamond grade ("cpht" - calculated as Total Carats divided by Theoretical
Tonnes) and average price ($/carat) are underestimated for the LDD mini-bulk
samples. Shore contends that the simplest method of diamond grade
determination for the LDD mini-bulk samples, which accounts for diamond
breakage and loss, is the use of the processed tonnes, as opposed to the
theoretical tonnes (calculated from callipered hole volumes and density
measurements). This has been confirmed to Shore's satisfaction by the LDD
diamond grade reconciliation with UG grade for the Star Kimberlite that was
recently presented in SGF News Release of April 21, 2009. A more detailed
discussion of these methods is available in the technical presentation "Large
Diameter Drilling Grade Adjustment Factors for Resource Estimation in FALC
Kimberlites", which is available on the Company website at: www.shoregold.com.
    The EJF Inner and Outer Kimberlite Units have been identified by Shore
based on detailed kimberlite geology recorded from core logging and diamond
size data derived from LDD. Core logging information is combined with whole
rock geochemistry data, geophysical and density measurements to identify the
constituent kimberlite lithologies within T-K150, T-K118 and T-K122 and their
volcanological features that form the craters on these individual kimberlites
within the Taurus Cluster. The EJF Inner Kimberlite Unit represents coarser
grained EJF kimberlite and the EJF Outer Kimberlite Unit includes finer
grained EJF kimberlite. LDD mini-bulk samples have shown that higher grades
and larger diamonds are found within the EJF Inner Kimberlite Unit.
    Senior Vice President Exploration and Development, George Read, states:
"These results show that the T-K122, T-K118 and T-K150 portions of Taurus
contain extensive volumes of diamond bearing EJF Inner Kimberlite Units. These
EJF Inner Kimberlite Units have been defined using limited drill data and are
all open to extension in at least one direction with additional drilling. The
diamond grades (11-13 cpht) and size of the largest stones (7.99, 2.27 and
2.85 carats) of the EJF Inner Kimberlite Units from limited sampling confirm
Taurus as a target for future detailed exploration and evaluation."
    LDD samples were processed through the on-site DMS plant and final
diamond recovery was completed by SGS Lakefield on Flowsort X-ray and grease
table concentrates.
    Newmont did not participate in the preparation, supervision or review of
the work associated with this exercise and takes no responsibility for the
content or information included in this press release.
    Senior Vice President Exploration and Development, George Read,
Professional Geoscientist in the Provinces of Saskatchewan and British
Columbia, is Shore's 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 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.
Unless otherwise required by applicable securities legislation, 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.





For further information:

For further information: Joseph Dickson, Investor Relations Manager at
(306) 667-3505 and www.shoregold.com


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