Welcome!

News Feed Item

Probe Mines Announces First High-Grade Mineral Resource Estimate for Borden Gold Project, Ontario

TORONTO, ONTARIO -- (Marketwired) -- 06/10/14 -- Highlights:

--  High-Grade Underground constrained resource at 2.5 grams of gold per
    tonne ("g/t Au") cut-off:
    --  1.60 million ounces of gold averaging 5.39 g/t Au in the Indicated
        Resource category; and
    --  0.43 million ounces of gold averaging 4.37 g/t Au in the Inferred
        Resource category.

--  Open Pit-Constrained resource at 0.5 g/t Au cut-off:
    --  2.32 million ounces of gold averaging 1.03 g/t Au in the Indicated
        Resource category; and
    --  0.01 million ounces of gold averaging 0.80 g/t Au in the Inferred
        Resource category.

--  New Resource Estimate highlights the significant contribution of the U/G
    resource to the project.

Probe Mines Limited (TSX VENTURE: PRB) ("Probe" or the "Company") is pleased to announce that the Company has received the Updated Mineral Resource Estimate for its Borden gold deposit from Snowden Mining Industry Consultants ("Snowden"), which includes the first Resource Estimate to contain the High-Grade Underground (U/G) resource. The High-Grade U/G is estimated to contain a constrained Indicated Resource of 1.60 million ounces of gold averaging 5.39 g/t Au and an additional constrained Inferred Resource of 0.43 million ounces of gold averaging 4.37 g/t Au, at a 2.5 g/t Au cut-off grade. In addition, the deposit is estimated to contain an Open pit-constrained Resource of 2.32 million ounces of gold averaging 1.03 g/t Au, at a 0.5 g/t Au cut-off grade.

The Updated Resource Estimate is the most significant to date as it is the first to define a higher-grade U/G resource, in addition to the near-surface pit-constrained gold mineralization, within the Borden Gold Deposit. In all aspects, the Borden deposit has shown significant improvement over previous resource estimates while still remaining open for future expansion and improvement.

High-Grade Underground Constrained Resource Estimate

The Updated Resource Estimate was constrained within a high-grade zone ("HGZ") at a cut-off grade of 2.5 g/t Au. The cut-off grade selected represents a realistic estimate for any potential underground mining operations based on the size of the mineralized zone and possibility of employing bulk-underground mining methods. An image of the high grade zone-constrained Resource is available on the Company's website at: http://www.probemines.com/s/Borden_Lake.asp?ReportID=658146&_Type=Borden-Gold.

The following sensitivity table presents the Resource Estimate within the high grade zone at different cut-offs.

High-Grade Underground Constrained Indicated Mineral Resource Estimate Sensitivity Table 1,2,3,4,5

----------------------------------------------------------------------------
                     Cumulative Tonnage                     Cumulative Au oz
Cut-Off Au                         1,2  Average Au Grade                1,2
(g/t)                           (000's)            (g/t)             (000's)
----------------------------------------------------------------------------
3.5                               5,886             6.80               1,286
----------------------------------------------------------------------------
3.0                               7,222             6.14               1,426
----------------------------------------------------------------------------
2.5                               9,262             5.39               1,604
----------------------------------------------------------------------------
2.0                              12,985             4.48               1,870
----------------------------------------------------------------------------

High-Grade Underground Constrained Inferred Mineral Resource Estimate Sensitivity Table 1,2,3,4,5

----------------------------------------------------------------------------
                    Cumulative Tonnage                      Cumulative Au oz
Cut-Off Au                        1,2   Average Au Grade                1,2
(g/t)                          (000's)             (g/t)             (000's)
----------------------------------------------------------------------------
3.5                              1,521              5.79                 283
----------------------------------------------------------------------------
3.0                              2,125              5.06                 346
----------------------------------------------------------------------------
2.5                              3,034              4.37                 426
----------------------------------------------------------------------------
2.0                              4,317              3.73                 518
----------------------------------------------------------------------------

1.  Tonnes and Au ounces have been rounded to the nearest thousand
2.  Figures/numbers for resource tonnes and ounces may not sum due to
    rounding
3.  Cut-off grade was calculated with the following parameters:
    --  Gold price US$1,300/oz
    --  Exchange rate US$1.00= CDN$1.11
    --  Mining cost Cdn$50.00/tonne
    --  Processing and G&A cost Cdn$22.80/tonne
    --  Process Recovery 92%
4.  Variable specific gravity with an average in the mineralized zone of
    2.78
5.  An over-all grade capping of 100 g/t Au

Open Pit-Constrained Resource Estimate

The Updated Resource Estimate was constrained within a Whittle open-pit shell. The Open Pit-Constrained Resource Estimate is reported at a cut-off grade of 0.5 g/t Au. An image of the pit-constrained Resource is available on the Company's website at: http://www.probemines.com/s/Borden_Lake.asp?ReportID=658146&_Type=Borden-Gold.

It should be noted that, in addition to the re-distribution of ounces from previous pit-constrained models to the new underground constrained resource, the parameters chosen for this updated pit-constrained resource are more conservative than parameters used in previous updates. This results in a more robust overall mineral resource with a focus on higher-grade material at the expense of lower-grade open pit material. Consequently, the pit-constrained resource now contains fewer ounces.

The following sensitivity table presents the Resource Estimate for mineralization falling within the Whittle pit shell, assuming a gold price of US$1,300/oz and a variable metallurgical recovery as per the press release of June 10th, 2014 (further assumptions noted at the end of the table).

Open Pit-Constrained Indicated Mineral Resource Estimate Sensitivity Table 6,7,8,9,10

----------------------------------------------------------------------------
                      Cumulative Tonnage      Average Au    Cumulative Au oz
Cut-Off Au                          6,7            Grade               6,7
(g/t)                            (000's)           (g/t)             (000's)
----------------------------------------------------------------------------
1.5                               10,647            1.97                 676
----------------------------------------------------------------------------
1.0                               27,901            1.50               1,349
----------------------------------------------------------------------------
0.5                               70,301            1.03               2,322
----------------------------------------------------------------------------

Open Pit-Constrained Inferred Mineral Resource Estimate Sensitivity Table 6,7,8,9,10

----------------------------------------------------------------------------
                      Cumulative Tonnage      Average Au    Cumulative Au oz
Cut-Off Au                          6,7            Grade                6,7
(g/t)                            (000's)           (g/t)             (000's)
----------------------------------------------------------------------------
1.5                                   16            1.67                   1
----------------------------------------------------------------------------
1.0                                   55            1.40                   2
----------------------------------------------------------------------------
0.5                                  247            0.80                   6
----------------------------------------------------------------------------

6.  Tonnes and Au ounces have been rounded to the nearest thousand
7.  Figures/numbers for resource tonnes and ounces may not sum due to
    rounding
8.  In the pit optimization, the following parameters were utilized:
    --  Gold price US$1,300/oz
    --  Exchange rate US$1.00= CDN$1.11
    --  Average Mining cost Cdn$2.20/tonne
    --  Processing and G&A cost Cdn$17.37/tonne
    --  Process Recovery: variable
    --  Pit Slopes 48 degrees
9.  Variable specific gravity in the mineralized zone with an average of
    2.78
10. An over-all grade capping of 100 g/t Au

All resources reported in this updated Resource Estimate are from mineral claims owned or operated by Probe Mines, which includes the Joint Venture ("JV") property consisting of three private patented mineral claims in which Probe is currently earning a 50% interest. The Updated Resource Estimate does not include any potential gold resource(s) on claims or property in which Probe does not hold an interest or has the ability to earn an interest.

Dr. David Palmer, President of Probe, states "The change in this deposit since the last Resource Estimate in January 2013 has been nothing short of remarkable. We are extremely pleased with the results of the current Resource Estimate as it demonstrates a better than expected gold resource within the HGZ. We strongly feel that this deposit now represents a possible stand-alone underground operation, with the added potential of continued expansion through further exploration drilling. During 2014 we will be focused on advancing the project into development starting with the completion of a PEA before the end of the year".

Yves Dessureault, Probe's COO, comments "The robust nature of the HGZ definitely suggests that the project is rapidly advancing towards a development scenario. We would like to maintain the momentum of the project through 2014 and, in addition to the PEA, we will be working on more advanced studies to facilitate the project timeline, including metallurgical, geotechnical, and environmental programs, as well as community initiatives".

The updated resource estimate, which meets the guidelines for reporting mineral exploration programs as set out in National Instrument 43-101, was based on over 224,000 drilled metres and over 168,000 assayed meters, that tested the gold horizon along approximately 3,700 metres (m) of strike length and to a vertical depth of over 650 metres at spacings of between 25 to 100 metres. The Underground and Open-Pit Constrained Resources were modeled on 5 m x 5 m x 5 m block size. Mineralization of the Borden Gold Zone is comprised of a volcano-metasedimentary horizon containing a thick, continuous and consistent zone of gold-bearing disseminated sulphide mineralization. The deposit still remains open in all directions.

Mineral resources do not have demonstrated economic viability but from the CIM definition must demonstrate reasonable prospects for eventual economic extraction. CIM defines Mineral Resource as:

"A Mineral Resource is a concentration or occurrence of solid material of economic interest in or on the Earth's crust in such form, grade or quality and quantity that there are reasonable prospects for eventual economic extraction. The location, quantity, grade or quality, continuity and other geological characteristics of a Mineral Resource are known, estimated or interpreted from specific geological evidence and knowledge, including sampling."

The estimate of mineral resources may also be materially affected by other relevant factors or issues. There is no guarantee that the project will be placed into production. BBA Inc, the lead consultant for the Borden Gold project, is currently in the process of completing the NI 43-101 Technical Report for which Snowden is currently completing their relevant sections which will be filed on Sedar within 45 days of this release.

The mineral resource estimate was generated using Ordinary Kriging. The mineralized material was classified into the Indicated or Inferred mineral resource category on the basis of a combination of the following factors: (a) confidence in the geological and mineralization continuity, (b) the position of blocks in relation to the range of influence as defined by the variography and (c) the search ellipse ranges.

Yves Dessureault, Ph.D., P.Eng., is the Qualified Person for Probe Mines. The contents of this news release have been reviewed and approved by Independent Qualified Persons Walter Allan Dzick, P.Geo., of Snowden.

About Probe Mines:

Probe Mines Limited is a Canadian precious metals exploration company whose key asset is the Borden Gold Zone in Ontario, Canada. As of January 31, 2014, the Company is well-positioned with approximately $29.4 million in treasury. The Company is actively exploring a significant new gold resource on its Borden Gold Zone near Chapleau, Ontario and has 100% interest in the Black Creek chromite deposit located in Northern Ontario. The Company's shares trade on the TSX Venture Exchange under the symbol PRB.

On behalf of Probe Mines Limited,

Dr. David Palmer, President & Chief Executive Officer

Forward-Looking Statements

Neither 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. This News Release includes certain "forward-looking statements" which are not comprised of historical facts. Forward-looking statements include estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as "believes", "anticipates", "expects", "estimates", "may", "could", "would", "will", or "plan". Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to the Company, the Company provides no assurance that actual results will meet management's expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans, statements regarding exploration results, potential mineralization, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate First Nations and other indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in the Company's public documents filed on SEDAR.

Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

Shares Issued: 76,374,727

Contacts:
Probe Mines Limited
Karen Willoughby
Director of Corporate Communications
(866) 936-6766
[email protected]

Probe Mines Limited
Patrick Langlois
Vice President, Corporate Development
(416) 777-6703
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
With tough new regulations coming to Europe on data privacy in May 2018, Calligo will explain why in reality the effect is global and transforms how you consider critical data. EU GDPR fundamentally rewrites the rules for cloud, Big Data and IoT. In his session at 21st Cloud Expo, Adam Ryan, Vice President and General Manager EMEA at Calligo, examined the regulations and provided insight on how it affects technology, challenges the established rules and will usher in new levels of diligence arou...
Nordstrom is transforming the way that they do business and the cloud is the key to enabling speed and hyper personalized customer experiences. In his session at 21st Cloud Expo, Ken Schow, VP of Engineering at Nordstrom, discussed some of the key learnings and common pitfalls of large enterprises moving to the cloud. This includes strategies around choosing a cloud provider(s), architecture, and lessons learned. In addition, he covered some of the best practices for structured team migration an...
As you move to the cloud, your network should be efficient, secure, and easy to manage. An enterprise adopting a hybrid or public cloud needs systems and tools that provide: Agility: ability to deliver applications and services faster, even in complex hybrid environments Easier manageability: enable reliable connectivity with complete oversight as the data center network evolves Greater efficiency: eliminate wasted effort while reducing errors and optimize asset utilization Security: imple...
Mobile device usage has increased exponentially during the past several years, as consumers rely on handhelds for everything from news and weather to banking and purchases. What can we expect in the next few years? The way in which we interact with our devices will fundamentally change, as businesses leverage Artificial Intelligence. We already see this taking shape as businesses leverage AI for cost savings and customer responsiveness. This trend will continue, as AI is used for more sophistica...
No hype cycles or predictions of a gazillion things here. IoT is here. You get it. You know your business and have great ideas for a business transformation strategy. What comes next? Time to make it happen. In his session at @ThingsExpo, Jay Mason, an Associate Partner of Analytics, IoT & Cybersecurity at M&S Consulting, presented a step-by-step plan to develop your technology implementation strategy. He also discussed the evaluation of communication standards and IoT messaging protocols, data...
Companies are harnessing data in ways we once associated with science fiction. Analysts have access to a plethora of visualization and reporting tools, but considering the vast amount of data businesses collect and limitations of CPUs, end users are forced to design their structures and systems with limitations. Until now. As the cloud toolkit to analyze data has evolved, GPUs have stepped in to massively parallel SQL, visualization and machine learning.
The 22nd International Cloud Expo | 1st DXWorld Expo has announced that its Call for Papers is open. Cloud Expo | DXWorld Expo, to be held June 5-7, 2018, at the Javits Center in New York, NY, brings together Cloud Computing, Digital Transformation, Big Data, Internet of Things, DevOps, Machine Learning and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding busin...
Modern software design has fundamentally changed how we manage applications, causing many to turn to containers as the new virtual machine for resource management. As container adoption grows beyond stateless applications to stateful workloads, the need for persistent storage is foundational - something customers routinely cite as a top pain point. In his session at @DevOpsSummit at 21st Cloud Expo, Bill Borsari, Head of Systems Engineering at Datera, explored how organizations can reap the bene...
In his Opening Keynote at 21st Cloud Expo, John Considine, General Manager of IBM Cloud Infrastructure, led attendees through the exciting evolution of the cloud. He looked at this major disruption from the perspective of technology, business models, and what this means for enterprises of all sizes. John Considine is General Manager of Cloud Infrastructure Services at IBM. In that role he is responsible for leading IBM’s public cloud infrastructure including strategy, development, and offering m...
Kubernetes is an open source system for automating deployment, scaling, and management of containerized applications. Kubernetes was originally built by Google, leveraging years of experience with managing container workloads, and is now a Cloud Native Compute Foundation (CNCF) project. Kubernetes has been widely adopted by the community, supported on all major public and private cloud providers, and is gaining rapid adoption in enterprises. However, Kubernetes may seem intimidating and complex ...
In his session at 21st Cloud Expo, Michael Burley, a Senior Business Development Executive in IT Services at NetApp, described how NetApp designed a three-year program of work to migrate 25PB of a major telco's enterprise data to a new STaaS platform, and then secured a long-term contract to manage and operate the platform. This significant program blended the best of NetApp’s solutions and services capabilities to enable this telco’s successful adoption of private cloud storage and launching ...
In a recent survey, Sumo Logic surveyed 1,500 customers who employ cloud services such as Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP). According to the survey, a quarter of the respondents have already deployed Docker containers and nearly as many (23 percent) are employing the AWS Lambda serverless computing framework. It’s clear: serverless is here to stay. The adoption does come with some needed changes, within both application development and operations. Tha...
In his general session at 21st Cloud Expo, Greg Dumas, Calligo’s Vice President and G.M. of US operations, discussed the new Global Data Protection Regulation and how Calligo can help business stay compliant in digitally globalized world. Greg Dumas is Calligo's Vice President and G.M. of US operations. Calligo is an established service provider that provides an innovative platform for trusted cloud solutions. Calligo’s customers are typically most concerned about GDPR compliance, application p...
Digital transformation is about embracing digital technologies into a company's culture to better connect with its customers, automate processes, create better tools, enter new markets, etc. Such a transformation requires continuous orchestration across teams and an environment based on open collaboration and daily experiments. In his session at 21st Cloud Expo, Alex Casalboni, Technical (Cloud) Evangelist at Cloud Academy, explored and discussed the most urgent unsolved challenges to achieve f...
You know you need the cloud, but you’re hesitant to simply dump everything at Amazon since you know that not all workloads are suitable for cloud. You know that you want the kind of ease of use and scalability that you get with public cloud, but your applications are architected in a way that makes the public cloud a non-starter. You’re looking at private cloud solutions based on hyperconverged infrastructure, but you’re concerned with the limits inherent in those technologies.