Claude Resources Ramps up 8 Zone Drilling at Madsen
SASKATOON, SK, April 12 /CNW/ --
'19,500 metre Underground Program Scheduled for 2011'
Toronto Stock Exchange
Trading symbol - CRJ
AMEX - CGR
SASKATOON, SK, April 12 /CNW/ - Claude Resources Inc. (TSX: CRJ) (AMEX: CGR) announces that it has launched Phase II Underground drilling at its 100
percent owned Madsen exploration property at Red Lake, Ontario.
The initial underground drill targets include the plunge and strike
extensions of the 8 Zone as well as conceptual targets associated with
the 8 Zone Trend. Phase I drilling successfully intercepted high grade
gold mineralization down plunge of historic stopes within the 8 Zone as
well as confirmed the development of a sub-parallel footwall target.
The results suggest that the 8 Zone structure may be improving with
depth as demonstrated by the two deepest intercepts to date returning
feet 0.75 oz/ton over 25.92 feet and 0.71 oz/ton over 11.45 feet (see
October 14(th), 2009 press release, 'Claude Resources Inc. Completes Phase I Drilling at Madsen Project,
Red Lake, Ontario').
Phase II drilling includes 19,500 metres (64,000 feet) in 25 to 30 holes
and is anticipated to continue through to the end of 2011. Dewatering
and rehabilitation of the Madsen Gold Mine is on-going with water
levels currently 70 feet above the 17(th) level. Drilling initiated in early April with a single rig on the 16(th) level, 2,450 feet below surface, with a second platform and drill rig
to be established on the level during the second quarter.
'Our success in intercepting high grade gold during Phase I of the
underground program supports our belief in the potential of the 8 Zone
system and the Madsen property. The 8 Zone Trend has all the
characteristics of high grade Red Lake systems and has seen limited
exploration. Phase II underground drilling has the potential to
significantly grow our existing resource base at the fully-permitted
and infrastructure-rich Madsen property,' stated Brian Skanderbeg,
Vice-President Exploration, Claude Resources Inc.
The 8 Zone ore lense was discovered in 1969 and mined between the 22(nd) and 27(th) levels through to mine closure in 1976. Phase I underground drilling
demonstrated the 8 Zone is a series of high-grade, quartz-vein systems
and silicification associated with a complexly-folded package of mafic
and ultramafic lithologies. The system remains open in all directions
and shows strong similarities to high grade mineralization
characteristic of the Red Lake Belt.
The Madsen Gold Mine, located in the town of Madsen, is approximately 10
kilometres from the town of Red Lake, Ontario and is in one of the
highest grade gold districts in the world. The Madsen Mine was the
third largest gold producer in the Red Lake camp behind the Campbell
and Dickenson Mines with a total of 2.45 million ounces of gold
produced over its 38 year mine life. The property currently hosts a
National Instrument 43-101 compliant Indicated Resource of 928,000
ounces at 8.93 g/tonne and an Inferred Resource of 297,000 ounces at
11.74 g/tonne (see December 7(th), 2009 press release, 'Claude Resources Inc. Reports Independent NI 43-101 Resource at Madsen
Mine').
In addition to Phase II underground exploration at the Madsen Project,
Claude continues to focus on expanding the production profile and
resource base at the Seabee Operation and advancement of its 65 percent
owned Amisk Gold Project in northeastern Saskatchewan.
A Madsen property location map and longitudinal section are available on
Claude's website www.clauderesources.com.
Brian Skanderbeg, P.Geo. and M.Sc., Claude's Vice-President Exploration,
is the Qualified Person who has reviewed and approved this news
release.
Claude Resources Inc. is a public company based in Saskatoon,
Saskatchewan, whose shares trade on the Toronto Stock Exchange
(TSX-CRJ) and the NYSE Amex (NYSE Amex-CGR). Claude is a gold
exploration and mining company with an asset base located entirely in
Canada. Since 1991, Claude has produced over 930,000 ounces of gold
from its Seabee mining operation in northeastern Saskatchewan. The
Company also owns 100 percent of the 10,000 acre Madsen property in the
prolific Red Lake gold camp of northwestern Ontario and has a 65
percent working interest in the Amisk Gold Project in northeastern
Saskatchewan.
Cautionary Note Regarding Forward-Looking Information
This document contains certain forward-looking statements relating but
not limited to the Company's expectations, intentions, plans and
beliefs. Forward-looking information can often be identified by
forward-looking words such as 'anticipate', 'believe', 'expect',
'goal', 'plan', 'intent', 'estimate', 'may' and 'will' or similar words
suggesting future outcomes or other expectations, beliefs, plans,
objectives, assumptions, intentions or statements about future events
or performance. Forward-looking information may include reserve and
resource estimates, estimates of future production, unit costs, costs
of capital projects and timing of commencement of operations, and is
based on current expectations that involve a number of business risks
and uncertainties. Factors that could cause actual results to differ
materially from any forward-looking statement include, but are not
limited to, failure to establish estimated resources and reserves, the
grade and recovery of mined ore varying from estimates, capital and
operating costs varying significantly from estimates, delays in
obtaining or failures to obtain required governmental, environmental or
other project approvals, inflation, changes in exchange rates,
fluctuations in commodity prices, delays in the development of projects
and other factors. Forward-looking statements are subject to risks,
uncertainties and other factors that could cause actual results to
differ materially from expected results.
Potential shareholders and prospective investors should be aware that
these statements are subject to known and unknown risks, uncertainties
and other factors that could cause actual results to differ materially
from those suggested by the forward-looking statements. Shareholders
are cautioned not to place undue reliance on forward-looking
information. By its nature, forward-looking information involves
numerous assumptions, inherent risks and uncertainties, both general
and specific, that contribute to the possibility that the predictions,
forecasts, projections and various future events will not occur. Claude
Resources undertakes no obligation to update publicly or otherwise
revise any forward-looking information whether as a result of new
information, future events or other such factors which affect this
information, except as required by law.
Cautionary note to U.S. investors concerning resource estimate: The resource estimates in this document were prepared in accordance
with National Instrument 43-101, adopted by the Canadian Securities
Administrators. The requirements of National Instrument 43-101 differ
significantly from the requirements of the United States Securities and
Exchange Commission (the 'SEC'). In this document, we use the terms
'measured', 'indicated' and 'inferred' resources. Although these terms
are recognized and required in Canada, the SEC does not recognize them.
The SEC permits U.S. mining companies, in their filings with the SEC,
to disclose only those mineral deposits that constitute 'reserves'.
Under United States standards, mineralization may not be classified as
a reserve unless the determination has been made that the
mineralization could be economically and legally extracted at the time
the determination is made. United States investors should not assume
that all or any portion of a measured or indicated resource will ever
be converted into 'reserves'. Further, 'inferred resources' have a
great amount of uncertainty as to their existence and whether they can
be mined economically or legally, and United States investors should
not assume that 'inferred resources' exist or can be legally or
economically mined, or that they will ever be upgraded to a higher
category.
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Neil McMillan, President & CEO
Phone: (306) 668-7505
Brian Skanderbeg, P.Geo, Vice President, Exploration
Phone: (306) 668-7505
Email: ir@clauderesources.com
Website: www.clauderesources.com