Lake Shore Gold Commences Advanced Underground Exploration Program at the Bell Creek Complex
Toronto, Ontario –(April 28, 2009) – Lake Shore Gold Corp. (TSX:LSG) (“Lake Shore Gold” or the “Company”) today announced that the Closure Plan for the Bell Creek Complex Advanced Underground Exploration Program (the “Advanced Exploration Program”) has been approved and filed by Ontario’s Ministry of Northern Development and Mines. With the receipt of all required permits, and the completion of an Exploration Agreement with local First Nations groups, the Company is commencing the Advanced Exploration Program at its wholly owned Bell Creek Complex, which is expected to lead to Lake Shore Gold’s second mining operation in the Timmins camp after its 100% owned Timmins Mine.The Advanced Exploration Program will involve re-establishing the Bell Creek shaft for access to the underground mine to the 300 metre level, and developing a ramp from surface to access Bell Creek and Vogel mineralization. The Bell Creek shaft work includes de-watering the mine workings and refurbishing the shaft and hoisting plant. The ramp will be collared at surface behind the Bell Creek Mill and will access mineralization at Bell Creek below the 300 metre level and will be driven approximately 1.5 kilometres across the contiguous Schumacher property to Vogel. The Company expects to begin bulk sampling at Bell Creek in the second quarter of next year and to commence bulk sampling at Vogel during the fourth quarter of 2010. The Bell Creek Complex work program is included in the Company’s previously announced capital expenditure forecast of $89.0 million for 2009.
Anthony (Tony) Makuch, President and CEO of Lake Shore Gold, commented: “Moving forward with the Advanced Exploration Program at the Bell Creek Complex is another significant step in growing Lake Shore Gold and realizing the value of our assets. The fact that we are now positioned to commence the Advanced Exploration Program is a testament to the diligence and hard work of our people and the cooperation and support of the Provincial Government, the City of Timmins, and the local First Nations groups. We believe the potential exists to establish a large-tonnage, long-life mining operation at the Bell Creek Complex. Bulk sampling is expected to be completed by the end of 2010 and, pending favourable results, we will then move the project forward towards production.”
Lake Shore Gold’s Bell Creek Complex is located approximately 20 kilometers east of the centre of Timmins and covers four square kilometers of strike length, all open at depth. The Complex comprises the historic Bell Creek Mine and Mill, which Lake Shore Gold acquired in December 2007, as well as the contiguous Schumacher and Vogel properties. Lake Shore Gold is the first company to assemble the three properties. The Bell Creek Mine has an existing shaft, which is flooded, that extends to a depth of 300 metres, as well as underground mine workings. Recent exploration drilling at Bell Creek has confirmed that the pattern of high-grade gold lenses outlined during previous mining extends at least 600 metres below the existing mine workings and 200 metres to both the east and west (see press release dated December 10, 2008). Additional exploration results from Bell Creek are pending.
About Lake Shore Gold
Lake Shore Gold Corp. is a mineral development and exploration company that is moving towards gold production through its 100%-owned Timmins Mine project, where the Company is sinking a shaft and driving a ramp to access shallow mineralization. The Timmins Mine project is located 18 kilometers west of Timmins, one of the world’s most productive mining camps having produced approximately 75 million ounces of gold over the last century. The wholly owned Bell Creek Mill, located just east of Timmins, has been refurbished to a capacity of 800 tonnes per day, and the Company is moving forward with a number of prospective exploration properties in the Timmins area and in other parts of Northern Ontario and Quebec. Lake Shore Gold’s common shares trade on the Toronto Stock Exchange under the symbol LSG.
Certain statements in this press release relating to the Company’s exploration activities, project expenditures, business plans and financial and operating performance are “forward-looking statements” within the meaning of securities legislation. The Company does not intend, and does not assume any obligation, to update these forward-looking statements. These forward-looking statements represent management’s best judgment based on current facts and assumptions that management considers reasonable, including that operating and capital plans will not be disrupted by issues such as mechanical failure, unavailability of parts, labour disturbances, interruption in transportation or utilities, or adverse weather conditions, that there are no material unanticipated variations in budgeted costs, that contractors will complete projects according to schedule, and that actual mineralization on properties will not be less than identified mineral reserves. The Company makes no representation that reasonable business people in possession of the same information would reach the same conclusions. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. In particular, fluctuations in the price of gold or in currency markets could prevent the Company from achieving its targets. Readers should not place undue reliance on forward-looking statements. More information about risks and uncertainties affecting the Company and its business is available in Lake Shore Gold’s most recent Annual Information Form and other regulatory filings which are posted on sedar at www.sedar.com.
There is no guarantee that information reported in this news release will lead to the establishment of an economically viable mining operation.
To view Figure 1 (Surface View) please click the link below
To view Figure 2 (Bell Creek Ramp Portal) please click the link below
To view Figure 3 (Ramp to Vogel) please click on the link below
For more information, please contact
Lake Shore Gold Corp.
President & CEO
Lake Shore Gold Corp.
Vice-President, Investor Relations