IDM Mining Announces 2016 Red Mountain Work Program and Welcomes Premier Gold as a Shareholder
VANCOUVER, BRITISH COLUMBIA--(Marketwired - May 4, 2016) - IDM Mining Ltd. (TSX VENTURE:IDM) ("IDM" or the "Company") is pleased to announce the 2016 drilling program, along with engineering and environmental studies planned for the Red Mountain Gold Project ("Red Mountain" or the "Project"), located in northwest British Columbia near the town of Stewart. Additionally, IDM wishes to announce that Premier Gold Mines Ltd. (TSX:PG), a leading North America-focused exploration and development company, participated in the Company's recently completed private placement, acquiring 9.43% of IDM on a partially diluted basis.
Rob McLeod, President and CEO, stated, "Our upcoming program will target extensions and upgrade current resources of the wide, high-grade gold mineralization at Red Mountain, as well as complete detailed engineering and environmental work for inclusion in our Feasibility Study and Environmental Assessment Application. Also, we welcome Premier Gold as a significant shareholder; we look forward to working with them, as we advance Red Mountain to a potential construction decision in 2017."
2016 Red Mountain Program
The Company has planned an infill and step-out underground core drilling program using two rigs. Step-out holes will be completed along strike and down-dip from existing resources, primarily at the JW Zone, as well as to upgrade inferred and indicated resources in the JW zone and AV zone, respectively. This drilling will also gather additional material for metallurgical testwork, as well as geotechnical and hydrological data. The program is expected to total approximately 5,120 meters of drilling in 36 holes, pending receipt of all necessary approvals. Prior to drilling, IDM will rehabilitate and dewater the production sized decline that was driven by previous operators.
IDM will also complete a comprehensive surface program of mapping and sampling, including targeting new areas of the 17,000 hectare property that have recently been exposed by rapid glacial melt. In conjunction with relogging and additional sampling of historic drill core, the objective of the surface program will be to identify new drill targets within the widespread alteration and mineralizing system at Red Mountain.
Additionally, the Company will complete extensive, detailed engineering and environmental work on the Project. This will include a geotechnical drilling program at the proposed Bromley Humps tailings management facility, mill, and ore stockpile location. Further detailed engineering and survey work will be completed along the road and proposed powerline right-of-way, as well as planning for surface facilities. Ongoing hydrological and environmental studies will also be completed in support of the Environmental Assessment Application.
IDM intends to fully consult with the Nisga'a Nation (Nisga'a), who hold Treaty rights in the Project area, regarding the proposed activities. IDM has shared detailed, technical information with Nisga'a representatives and looks forward to discussing the proposed activities with Nisga'a during the permitting process. IDM is committed to engaging with Nisga'a and supporting Nisga'a's full participation in the environmental and regulatory reviews of the Project, as well as in the employment and business opportunities related to the Project and the proposed 2016 work programs.
Premier Gold Investment
The Company welcomes Premier Gold's investment of 14.25 million common units, representing 6.49% of IDM's common shares, and 9.43% on a partially diluted basis, in the private placement completed by the Company on April 27th 2016. Premier Gold is a well-respected gold exploration and development company, with significant, advanced projects in world-class mining districts in Ontario and Nevada. Premier Gold will be in production later in 2016 with their first operation at the South Arturo mine at the northern extent of the Carlin Trend, Nevada.
QUALIFIED PERSON
Technical Aspects of this News Release have been reviewed and approved by Robert McLeod, P.Geo, President and CEO of IDM Mining Ltd., and Qualified Person as defined by NI 43-101.
ABOUT RED MOUNTAIN
IDM Mining is currently earning an option to acquire a 100% interest in the 17,125 hectare Red Mountain property, located 18 kilometers northeast of Stewart, BC. Numerous gold and silver deposits and exploration prospects have been identified by IDM and previous operators over a 15 km by 4 km trend of strong alteration and mineralized prospects. Since discovery in 1989, in excess of $45 million has been spent on the Project including a production-sized underground ramp.
ABOUT IDM MINING LTD.
IDM Mining Ltd. is a mineral exploration and development company based in Vancouver, BC, Canada. The Company's current exploration and development activities are focused on precious metals in British Columbia and Yukon with a primary focus on the high grade underground Red Mountain Project which has entered the BC and Canadian environmental assessment process. Further information can be found on the Company's website at www.IDMmining.com.
ON BEHALF OF THE BOARD of IDM Mining Ltd.
Robert McLeod, President, CEO and Director
"Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."
Forward-Looking Statements: Some statements in this news release contain forward-looking information or forward-looking statements for the purposes of applicable securities laws. These statements include, among others, statements with respect to the proposed exploration and development activities and their timing and expected results, resource estimates and potential mineralization, the Company's plan to complete an Environmental Assessment Application and a feasibility study and a potential construction decision. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others and in addition to those described elsewhere in this release, timing and success of future exploration and development activities, exploration and development risks, delays in obtaining or inability to obtain required government or other regulatory approvals, permits or financing, the risk of unexpected variations in mineral resources, grade or recovery rates, of failure of plant, equipment or processes to operate as anticipated, of accidents, labor disputes, and unanticipated delays in completing other development activities, the risk that estimated costs will be higher than anticipated and the risk that the proposed mine plan and recoveries will not be achieved, equipment breakdowns and bad weather, the timing and success of future exploration and development activities, exploration and development risks, mineral resources are not as estimated, title matters, third party consents, operating hazards, metal prices, political and economic factors, competitive factors and general economic conditions. In making the forward-looking statements, the Company has applied several material assumptions including, but not limited to, the assumptions that: required regulatory approval, permits and financing will be obtained; the proposed exploration and development will proceed as planned; with respect to mineral resource estimates, the key assumptions and parameters on which such estimates are based; that the proposed mine plan and recoveries will be achieved, that capital costs and sustaining costs will be as estimated, and that no unforeseen accident, fire, ground instability, flooding, labor disruption, equipment failure, metallurgical, environmental or other events that could delay or increase the cost of exploration or development will occur, and market fundamentals will result in sustained metals and minerals prices. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.
Contact
IDM Mining Ltd.
Robert McLeod
604-681-5672 direct
604-617-0616 cell
rm@idmmining.com
www.IDMmining.com