Shares Issued: 151,720,324
THUNDER BAY, ON, Dec. 16, 2013 /CNW/ - PREMIER GOLD MINES LIMITED ("Premier" or "The Company") (TSX:PG) is pleased to confirm that it has filed a technical report ("Report") prepared in accordance with Canadian Securities Administrators' National Instrument 43-101. The Report may be found on the Company website or under the Company's profile at www.sedar.com.
Highlights of the 2013 mineral resource estimate are summarized in Table 1 and include:
- Indicated resources of 3.24M ounces of gold
- Inferred resources of 3.78M ounces of gold
- New estimate includes a deeper pit when compared to previous estimates
The independent report, dated December 13, 2013, entitled "Technical Report and Mineral Resource Estimate for the Hardrock Deposit" was issued by InnovExplo Inc. of Val d'Or, Quebec. The Report provides detail to the disclosure contained in the Company's news release issued on December 19, 2013.
Table 1 Hardrock Deposit Mineral Resource Summary
|Cut-off Category|| Resource
|Tonnes (Mt)|| Gold (Au)
| Au Ounces
| Open Pit (O/P)
|| Indicated (I)
| Underground (U/G)
|| Indicated (I)
|| Total Indicated
- The Independent and Qualified Persons for the Mineral Resource Estimate, as defined by Regulation 43-101, are Carl Pelletier, PGeo, and Karine Brousseau, PEng (InnovExplo Inc), and the effective date of the estimate is September 23, 2013.
- Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.
- Results for the open pit resource potential are presented undiluted outside a Whittle-optimized pit shell, designed with a 30-metre buffer around lakes. Results for the underground resource potential are presented undiluted outside a Whittle-optimized pit shell, designed with a 30-metre buffer around lakes.
- The estimate includes 10 gold-bearing zones and a remaining undifferentiated envelope containing isolated gold intercepts.
- Resources were compiled at cut-off grades of 0.30, 0.40, 0.50, 0.60, 0.70, 0.80 and 0.90 g/t Au. The official In-pit resource potential is reported at a cut-off grade of 0.50 g/t Au. The official Underground resource potential is reported at a cut-off grade of 3.00 g/t Au.
- Cut-off grades must be re-evaluated in light of prevailing market conditions (gold price, exchange rate and mining cost).
- Density (g/cm3) data used is on a per zone basis (envelope: 2.77, porphyry: 2.74, S4_1: 2.78, S4_2: 2.78, IF_N_1: 3.00, IF_N_2: 2.85, IF_N_3: 2.85, I0: 2.93, IF_HL: 2.81, IF_HU: 2.81, Tenacity: 2.77)
- Grade interpolation was executed within the geological zones, using the grade of the adjacent material when assayed, or a value of zero when not assayed.
- High grade capping (g/t Au) was done raw assay data and established on a per zone basis (envelope: 70, porphyry: 70, S4_1: 20, S4_2: 20, IF_N_1: 40, IF_N_2: 40, IF_N_3: 40, I0: 2.5, IF_HL: 50, IF_HU: 50, Tenacity: 70).
- Compositing was done on drill hole sections falling within the mineralized zone envelopes (composite = 1.5 m).
- Resources were evaluated from drill hole using a 2-pass ID2 interpolation method in a block model (block size = 5 m x 5 m x 5 m).
- The inferred category is only defined within the areas where blocks were interpolated during pass 1 or pass 2.
- The indicated category is only defined in areas where the maximum distance to drill hole composites is less than 40 m and where the drilling density was deemed sufficient.
- Ounce (troy) = metric tonnes x grade / 31.10348. Calculations used metric units (metres, tonnes and g/t).
- The number of metric tonnes was rounded to the nearest hundred. Any discrepancies in the totals are due to rounding effects; rounding followed the recommendations in Regulation 43-101.
- InnovExplo is not aware of any known environmental, permitting, legal, title-related, taxation, socio-political, marketing or other relevant issue that could materially affect the Mineral Resource Estimate.
- Whittle parameters used (all amounts in Canadian dollars): Mining cost = $2.50/t, milling cost = $13.00/t; G&A = $3.00/t; gold price = $1,140/oz; mining recovery = 95%; mining dilution = 5%; milling recovery = 90%; pit slope 50°.
The Hardrock Project, a part of the Trans-Canada Property, is located 3 kilometres south of the town of Geraldton on the Trans-Canada Highway. The Hardrock Deposit, which resides on patented claims, is currently being evaluated by a Preliminary Economic Assessment (PEA) expected to be released during Q1 2014. Premier is well-financed to advance the Trans-Canada Property with a treasury of cash and securities that exceeds $75 million.
Stephen McGibbon, P. Geo., is the Qualified Person for the information contained in this press release and is a Qualified Person within the meaning of National Instrument 43-101.
Premier Gold Mines Limited is one of North America's leading exploration and development companies with a high-quality pipeline of gold projects focused in proven, safe and accessible mining jurisdictions in Canada and the United States.
The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.
SOURCE: Premier Gold Mines Limited
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