Gold River Trend Property (Exploration)

The Gold River Property was acquired through the business combination agreement with West Timmins Mining Inc. in November 2009. The property is located about 3 kilometres south of Timmins West Mine and consists of 125 exploration covering approximately 4,864 hectares. On February 22, 2012 Lake Shore Gold announced an updated National Instrument 43-101 resource that nearly tripled total ounces and doubled the grade from the previous estimate to 117,400 ounces (690,000 tonnes @ 5.29 gpt) in the Indicated category and 1,027,800 ounces (5,273,000 tonnes @ 6.06 gpt) in the Inferred category.

 

The Gold River Trend covers an area of approximately 5 kilometres, including an east-west trending deformation and alteration zone traced for over 2.5 kilometres. The Gold River Trend varies from 50 to 200 metres in width and is dominated by strongly sheared and hydrothermally altered sedimentary and volcanic rocks which have been intruded by lenses of porphyry.


Resources⁽¹⁾



Drilling to date at Gold River has been mainly focused within 400 metres from surface. Based on limited drilling below that level, a high-grade was discovered in the East Deposit containing 310,900 ounces at an average grade of 9.81 gpt. Drilling in early 2012 successfully extended the mineralization in the high-grade core to depth and to the west. Given the limited drilling on the property, particularly to depth, and the fact that the high-grade core in the East Deposit is open and has already been extended, the exploration potential of the Gold River Trend property is considered excellent.