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VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/17/13 -- Homestake Resource Corporation (TSX VENTURE: HSR)(FRANKFURT: B6IH) reported today final assay results from 2012 Phase II drilling on the Homestake Ridge project, located in northwest British Columbia. Funding for the $1.8 million Phase II drilling program was provided by Agnico Eagle Mines Limited (Agnico-Eagle) under an option agreement to fund exploration and development costs of $25.3 million over a five year period to earn 65% interest in the property. AEM has assumed project management for the 2013 exploration season.
The drill results are from the remaining 10 of 13 diamond drill holes, totaling 4,250 metres, that were completed on the project during the 2012 exploration season; results from three holes were previously reported (NR-05-12). The holes tested a 600 metre strike-length of the South Reef structure, as well as three other targets on the property. Highlights include:
-- a 3.0 metre interval averaging 5.4g/t gold, 3.2g/t silver and 0.26% copper which includes an 0.8 metre interval averaging 14.4g/t gold, 5.4g/t silver and 0.42% copper from drill hole HR12-242; and-- a 5.8 metre interval averaging 2.3g/t gold, 7.4g/t silver, 0.13% copper and 3.0% zinc which includes a 0.6 metre interval averaging 12.2g/t gold, 22.0g/t silver, 0.5% copper and 21.9% zinc from hole HR12-248.
The newly reported holes are offsets to holes previously reported from South Reef during the 2011 and 2012 exploration seasons. Those holes include a 4.0 metre interval averaging 11.4g/t gold and 3.7g/t silver from drill hole HR12-243 (see NR-05-12) and a 3.1 metre interval averaging 30.8g/t gold and 3.3g/t silver within an 8.7 metre interval averaging 11.3g/t gold and 1.6g/t silver from drill hole HR11-232 (see NR-14-11). Estimated true thickness of the mineralized intervals is generally 70% to 85% of down hole thickness and is reported in the accompanying table.
Geological modeling indicates that drilling results in 2012 have increased the size of the high-grade mineralized zone to approximately 250 metres along strike and 250 metres down dip before ending in, or being offset by, a major fault structure. Mineralization is open along strike to the northwest, where it projects beyond the extent of previous drilling in the Fox Reef zone. In addition, the modeling has identified several prospective targets to the southeast of the newly defined South Reef deposit. Mineralization identified in the South Reef deposit has not yet been incorporated into the most-current mineral resource estimate for the project and will be accretive thereto.
The South Reef deposit occurs along the eastern margin of a strong IP geophysical anomaly that can be traced through much of the central part of the Homestake Ridge property. High-grade gold-quartz veins occur within broad zones of strongly anomalous gold mineralization (e.g. 75.9m averaging 0.5g/t Au in hole HR12-248) associated with disseminated pyrite and strongly chloritic host rocks that can be traced for the entire 600 metres of the tested strike-length. Thick intervals of anomalous silver (e.g. 60.0m averaging 1.9g/t Ag in HR12-249 and 11.6m averaging 16.6g/t Ag in HR12-251) mineralization were identified in several holes that tested to the east of the Vanguard Fault. These intervals appear to be closely associated with host rocks and styles of mineralization identified in the Homestake Silver deposits, indicating a potential proximity to additional gold/silver deposits or the extension of the Homestake Silver deposit to the southeast on the property. A Plan Map of the drill hole distribution is available at www.homestakeresource.com.
Table: Select Composited Assays from Homestake Ridge Project 2012---------------------------------------------------------------------------- Inter- Tr Az Dip Depth From To val Thck. Au Ag CuHole # Deg Deg (m) (m) (m) (m) (m)(g/t)(g/t)(ppm) Comments----------------------------------------------------------------------------HR12-241 225.0 -54.0 239.9 188.1 189.7 1.6 1.2 1.9 2.7 NSV 48.7m of 0.15g/t Au (160.1 to 207.8m)----------------------------------------------------------------------------HR12-242 234.0 -71.0 300.8 14.8 17.8 3.0 1.6 5.4 3.2 2576 29.0m of 0.3g/t (179.5 to 207.4m)inc. 17.0 17.8 0.8 0.4 14.4 5.4 4176----------------------------------------------------------------------------HR12-244 215.0 -44.5 319.1 221.5 242.4 20.9 17.9 0.4 0.6 44inc. 240.5 242.4 1.9 1.6 2.3 1.5 231----------------------------------------------------------------------------HR12-245 224.0 -45.0 386.2 319.9 365.6 45.7 39.5 0.3 1.8 NSVinc. 346.9 348.1 1.3 1.1 3.5 1.3 NSV----------------------------------------------------------------------------HR12-246 223.0 -45.0 535.5 11.8 17.7 6.0 5.1 0.6 0.3 113----------------------------------------------------------------------------HR12-247 223.0 -45.0 411.3 31.4 105.4 74.0 64.0 0.3 0.6 53inc. 89.1 96.8 7.7 6.7 0.7 1.0 13and 208.0 218.5 10.5 0.2 1.2 NSV East of Vanguard Fault----------------------------------------------------------------------------HR12-248 223.0 -60.0 468.5 47.0 122.9 75.9 53.6 0.5 2.0 118 0.2% Zninc. 107.5 113.2 5.8 4.1 2.3 7.4 1269 3.0% Zninc. 111.5 112.0 0.6 0.4 12.2 22.0 5165 21.9% Znand 363.6 446.6 83.0 UNK 0.0 1.4 NSV East of Vanguard Fault----------------------------------------------------------------------------HR12-249 223.0 -45.0 349.6 208.0 263.0 55.0 UNK 0.1 1.9 NSV East of Vanguard Fault----------------------------------------------------------------------------HR12-250 223.0 -45.0 502.0 NSV----------------------------------------------------------------------------HR12-251 222.0 -45.0 523.3 328.9 340.5 11.6 UNK 0.0 16.6 NSV East of Vanguard Faultinc. 328.9 337.9 9.0 UNK 0.0 19.7 NSV 1g/t Ag over 81.3m (69.3 to 150.6m)----------------------------------------------------------------------------HR12-239 202.0 -52.0 285.6 216.0 254.3 38.3 28.1 0.7 1.5 NSV Previously Released (NR-05-12)inc. 239.8 245.5 5.7 4.2 2.6 2.2 NSVinc. 239.8 240.4 0.6 0.4 16.1 6.7 NSV----------------------------------------------------------------------------HR12-240 231.0 -47.0 282.6 205.4 208.3 2.9 2.4 5.9 2.0 NSV Previously Released (NR-05-12)inc. 206.4 206.8 0.5 0.4 16.3 4.5 NSV----------------------------------------------------------------------------HR12-243 194.0 -44.0 139.3 101.9 105.9 4.0 3.0 11.5 3.7 615 Previously Released (NR-05-12)inc. 101.9 104.9 3.0 2.2 14.9 4.2 516----------------------------------------------------------------------------Analyzed by FA-ES/AA for gold and ICP-MS by Acme Labs, Vancouver BC; Samplesgreater than 10g/t Au re-assayed with FA-Grav - check assays are pending;Silver overlimits (greater than 100g/t Ag) re-assayed with FA-Grav.
