Stock Symbol: SGF: TSX
SASKATOON, Feb. 23, 2016 /CNW/ - George H. Read, P. Geo., Senior Vice President Exploration and Development of Shore Gold Inc. ("Shore" or the "Company") is pleased to announce that Shore has commenced an NQ core drilling program, consisting of up to twenty four holes and some 5,000 metres of drilling, on the Orion South and Star West Kimberlites located within the claims of the Fort a la Corne Joint Venture ("FALC-JV"). This core drilling is required to further expand the internal stratigraphy of the Orion South and Star Kimberlites extending and in-filling geological continuity from the successful program of 2015. The core drilling program is being conducted by Newmac Industries Ltd. of Prince Albert, Saskatchewan. In addition, Shore has contracted Larson Diamond Drilling of Martensville, Saskatchewan to drill up to four core holes, totaling up to 1,000 metres of drilling, in untested areas of the kimberlites K606 (2 holes) and K614 (2 holes) located within the Snowden claims of the FALC-JV. These four holes within the Snowden claims will provide a better understanding of the internal structure of these kimberlites. Shore geologists are responsible for the supervision of the drilling programs and subsequent detailed core logging.
Senior Vice President Exploration and Development, George Read, states: "The core drilling program on Star West and Orion South is an important extension to the 2015 core drilling program. The selected locations of these core holes augment the 100 metre grid drilling program already completed on the Orion South Kimberlite and previous drill programs on the Star Kimberlite and can assist in further extending the mineral resources and geological models of both the Star and Orion South Kimberlites. The Company intends to optimise the previous Feasibility Study with a revised mine plan, where new technology is applied to more efficiently remove the sand and clay of the overburden, in addition to the application of new technology in the processing plant. Preliminary calculations suggest that such an optimised Feasibility Study, with a new mine plan, can positively change the economic model for the Project by increasing the Mineral Resource estimate and reducing the pre-production capital costs and schedule to diamond production."
The Star-Orion South Diamond Project is located in central Saskatchewan some 60 kilometres east of the city of Prince Albert. The Project is in close proximity to established infrastructure, including paved highways and the electrical power grid, which provide significant advantages for future mine development. The Technical Report on the Revised Resource Estimate for the Star-Orion South Diamond Project dated November 9, 2015 provided an updated Mineral Resource Estimate for the Star and Orion South kimberlite deposits: Indicated Mineral Resource of 393 million tonnes containing 55.4 million carats of diamonds at a weighted average price of US$210 per carat. In addition to the Indicated Mineral Resource Estimate, the Star and Orion South Kimberlites include Inferred Resources containing 11.5 million carats.
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
This news release contains forward-looking statements as defined by certain securities laws, including the "safe harbour" provisions of Canadian securities legislation and the United States Private Securities Litigation Reform Act of 1995. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "expect", "plan", "intend", "forecast", "target", "project", "guidance", "may", "will", "should", "could", "estimate", "predict" or similar words suggesting future outcomes or language suggesting an outlook. In particular, statements regarding Shore's future operations, future exploration and development activities or other development plans constitute forward-looking statements. By their nature, statements referring to mineral reserves, mineral resources or TFFE constitute forward-looking statements.
Forward-looking statements in this press release include, but are not limited to statements with respect to the proposed core drilling program (including the number of holes to be drilled, the metres to be drilled, the timing of the drilling and the duration of the program) and Shore's objectives for the ensuing year including, the optimization of the feasibility study and the anticipated positive change in the economic model for the Project; the aim of Shore to undertake additional studies and the potential upgrading of the Feasibility Study.
These forward-looking statements are based on Shore's current beliefs as well as assumptions made by and information currently available to it and involve inherent risks and uncertainties, both general and specific.
Risks exist that forward-looking statements will not be achieved due to a number of factors including, but not limited to, developments in world diamond markets, changes in diamond prices, 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, development, closure, 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. Shore's anticipation of and success in managing the foregoing risks could cause actual results to differ materially from what is anticipated in such forward-looking statements.
Although management considers the assumptions contained in forward-looking statements to be reasonable based on information currently available to it, those assumptions may prove to be incorrect. When making decisions with respect to Shore, investors and others should not place undue reliance on these statements and should carefully consider the foregoing factors and other uncertainties and potential events. Unless required by applicable securities law, Shore does not undertake to update any forward-looking statement that is made herein.
SOURCE Shore Gold Inc.
For further information: firstname.lastname@example.org or (306) 664-2202, www.shoregold.com