-- UPDATED GARRISON PROPERTY GOLD RESOURCE ESTIMATE (includes both Garrcon
and Jonpol deposits):
-- MEASURED 521,000 OZ GOLD AVERAGING 1.07 G/TONNE,
-- INDICATED 676,000 OZ GOLD AVERAGING 1.40 G/TONNE,
-- MEASURED + INDICATED 1,197,000 GOLD AU AVERAGING 1.24
G/TONNE
-- INFERRED 808,000 AU GOLD AVERAGING 3.19 G/TONNE
-- TIGHTENED RESOURCE CONSTRAINTS USING $US1250/TROY OZ GOLD PRICE AND
UPDATED DRILLING RESULTS
-- JONPOL HAS 237% INCREASE IN INDICATED GOLD OUNCES (150,000 TROY OZ GOLD)
-- JONPOL DEPOSIT REMAINS OPEN TO THE EAST, WEST AND AT DEPTH
-- GARRCON UNDERGROUND REMAINS OPEN AT DEPTH
-- GARRCON DEPOSIT RESOURCE IS BROKEN INTO WHITTLE MODELED PIT SHELL AND
UNDERGROUND BULK MINE RESOURCE
-- GARRCON - ALL CATAGORIES SHOWED INCREASED GRADE
-- UP TO 150,000 TONNE BULK SAMPLE FROM GARRCON TO BE MINED AND MILLED AT
AN OFFSITE TOLL MILL, AS A PART OF NORTHERN'S 2014 ADVANCED EXPLORATION
PROGRAM
Northern Gold Mining Inc. (TSX VENTURE:NGM) ("Northern Gold" or "the Company")
announces the results of an updated resource estimate for its Garrison Property
(Garrcon and Jonpol deposits). This NI 43-101 report, being independently
prepared by A.C.A. Howe International Limited ("Howe") of Toronto, Ontario, was
focused on tightening the model constraints to reflect current gold pricing and
the latest infill and step out drilling completed by the Company since the last
resource update announced on April 19, 2012. "Northern Gold's efforts have
continued to confirm a significant gold resource at Garrcon, with both an open
pit and underground potential. Geologic constraints from the infill drilling
provided tighter mineralized domains, as well as the delineation of waste
domains", according to Howe. A Whittle model pit shell was based on $US 1,250
per troy ounce gold pricing, 0.4 g/tonne block model cutoff, 55 degree pit wall
slope, a top cut of 112 g/tonne Au (high grade domains) and 114 g/tonne Au (low
grade domains) applied to individual (non-composited) assays, a resource
database utilizing primary assays only (except where historic core was relogged
and historic assays were duplicated, in which case the latter were used), domain
specific directional ellipsoidal searches were used for block grades, and mine
pit parameters developed in the 2011 PEA (Preliminary Economic Assessment, see
press release June 23, 2011). Material within this optimized pit, and
mineralization within 200 meters of surface have been categorized as open
pitable resources. The open pitable resource comprises 29,200,000 tonnes grading
1.12 g/tonne containing 1,047,000 ounces of gold (measured and indicated), and
an additional 1,700,000 tonnes grading 0.72 g/tonne containing 39,000 ounces of
gold (inferred); all in-pit resources have an approximate stripping ratio of
1.8:1 (waste to resource). This optimized pit shell was further used to define
those blocks below 200 metres, but outside of the pit shell and having a block
model cutoff of 1.5 g/tonne, as being an inferred underground resource of
5,10,000 tonnes averaging 3.49 g/tonne and containing 577,000 ounces of gold.
The full NI 43-101 Technical Report, along with plan and sections will be filed
on SEDAR within 45 days.
"Northern Gold continues to progress its plans to develop a producing gold mine
on its Garrison property, by de-risking the project. The updated Garrcon
resource, despite significantly tightening the model constraints, showed
increased grades in all three resource categories. This continues to demonstrate
the robust nature of the deposit and its viability as an open pit mine, and an
underground opportunity with unbounded depth potential. Plans, budgets and Mine
Closure Plans (permits) are being prepared in support of mining and offsite toll
milling of up to 150,000 tonnes from the Garrcon surface outcrop (see press
release dated January 16, 2014). This "proof of concept" testing will provide
valuable mining and milling "real world" data. Upon successful completion of the
bulk sample testing a Feasibility Report will be prepared in the fall.", said
Martin Shefsky, interim President & CEO of Northern Gold.
2014 Total Garrison Property Mineral Resource Estimate (Garrcon and Jonpol)
----------------------------------------------------------------------------
Au Grade Au
Domain Category Cut Off Tonnes (g/tonne) (troy oz)
----------------------------------------------------------------------------
Garrcon Measured 0.4 15,100,000 1.07 521,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon Indicated 0.4 14,100,000 1.16 526,000
----------------------------------------------------------------------------
Jonpol Indicated 3.0 872,000 5.34 150,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon and Total
Jonpol Indicated 3.0/0.4 14,972,000 1.40 676,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Measured +
Garrcon Indicated 0.4 29,200,000 1.12 1,047,000
----------------------------------------------------------------------------
Garrcon and Measured +
Jonpol Indicated 3.0/0.4 30,072,000 1.24 1,197,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon Inferred 0.4/1.5 6,800,000 2.80 616,000
----------------------------------------------------------------------------
Jonpol Inferred 3.0 1,073,000 5.56 192,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon and Total
Jonpol Inferred 3.0/1.5/0.4 7,873,000 3.19 808,000
----------------------------------------------------------------------------
This is a summary table for the Garrison Property (Garrcon and Jonpol deposits).
Mineral resources are not mineral reserves and by definition do not demonstrate
economic viability. This mineral resource estimate includes inferred mineral
resources that are normally considered too speculative geologically to have
economic considerations applied to them that would enable them to be categorized
as mineral reserves. There is also no certainty that these inferred mineral
resources will be converted to the measured and indicated resource categories
through further drilling, or into mineral reserves, once economic considerations
are applied.
For this NI 43-101 resource update (as compared to the 2012 resource update)
Howe reviewed the entire assay data set (the initial resource estimate as filed
on SEDAR November 5, 2010, and the PEA filed on August 8, 2011, as well as the
drill data listed in the June 5, 2012 SEDAR filling for the last resource
update, and finally the latest infill and step out drilling including 54
historic drill holes (1985 to 2007), 256 Northern Gold drill holes and 18 drill
hole extensions (2009 - 2012 - up to GAR-12-270) and determined that utilizing
primary assays (except where historic assays are duplicated by Northern Gold new
core logging and assay, in which as the latter is used), limits the potential
for the introduction of systematic bias and the artificial 'smoothing' of assay
grades by averaging. A top-cut of 112 g/tonne Au (high grade domains) and 114
g/tonne Au (low grade domains) was then applied to individual (non-composited)
assays. Howe increased the block model cut-off grade from 0.3 g/tonne to 0.4
g/tonne. Based on Howe's statistical review (4,076 measurements) of ongoing
specific gravity (SG) testing by Northern Gold, the average SG was increased
slightly from 2.79 g/cm3 to 2.80 g/cm3 for the mineralized resource blocks. The
new drilling (both in-fill and step-out) confirmed the uniformity of the
mineralization, as well as identified "defined waste blocks"; all domain
modeling is constrained by interpreted geology. Howe's domains were subjected to
individual geostatistic review, which resulted in domain specific directional
ellipsoidal searches used to estimate block grades (as opposed to
omni-directional search in the previous two resource updates). The majority of
these ellipsoidal searches are approximately 2:2:1 (x:z:y).
As detailed above, the Whittle model pit shell (optimized pit) was based on a
0.4 g/tonne Block model cutoff grade and optimized for $US 1,250/troy oz gold,
55 degree pit wall slope, and utilized the 2011 PEA pit mine parameters. The
resultant resource estimate for the conceptual open pit has a waste to resource
strip ratio of 1.8:1 (about 10% lower than the 2011 PEA of 2.0:1). The block
cut-off grade for inferred underground (greater than 200 m depth outside of the
optimized pit shell) was 1.5 g/tonne. Note that mineral resource tonnes quoted
are not diluted.
2014 Garrcon Mineral Resource Estimate Update
----------------------------------------------------------------------------
Au Grade Au
Category Cut-off Tonnes g/tonne troy oz
----------------------------------------------------------------------------
Open Pitable Resource
(US$1250/oz pit shell; 55 degrees pit slope).
----------------------------------------------------------------------------
Measured 0.4 15,100,000 1.07 521,000
----------------------------------------------------------------------------
Indicated 0.4 14,100,000 1.16 526,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Measured + Indicated 0.4 29,200,000 1.12 1,047,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Inferred 0.4 1,700,000 0.72 39,000
----------------------------------------------------------------------------
Underground Resource
----------------------------------------------------------------------------
Inferred 1.5 5,100,000 3.49 577,000
----------------------------------------------------------------------------
Total Open Pitable and Underground Resource
----------------------------------------------------------------------------
Measured + Indicated 0.4 29,200,000 1.12 1,047,000
----------------------------------------------------------------------------
Inferred 0.4, 1.5 6,800,000 2.80 616,000
----------------------------------------------------------------------------
Notes on 2014 Garrcon Mineral Resource Estimate:
1. Mineral Resources are calculated with commercial mining software. Drill
holes traces showing lithology and gold grade were reviewed in plan and
cross section.
2. The resource estimate has been prepared by Leon McGarry, B.Sc., P.Geo.,
ACA Howe Geologist.
3. Cut-off grade for mineralised zone interpretation is 0.1 g/tonne.
4. Block cut-off grade for potential open pitable Mineral Resources is 0.4
g/tonne. Block cut-off grade for potential underground (greater than 200
m depth) Mineral Resources is 1.5 g/tonne.
5. Top-cuts of 112 g/tonne Au (high grade domains) and 114 g/tonne Au (low
grade domains) applied to individual (non-composited) assays.
6. Gold price for the purpose of the resource estimate is $US 1250 per troy
ounce.
7. Zones extend up to 100 metres down-dip from the last intercept. Along
strike, zones extend halfway to the next cross-section.
8. Minimum width is 5 metres, though in no place is the zone that narrow.
9. A specific gravity (bulk density) value of 2.8 is applied to all blocks
- a representative value based on 4,076 measurements.
10. Wireframe constrained block model grade interpolation has been
undertaken using Ordinary Kriging (OK).
11. Measured mineral resources are defined where three holes are used to
estimate block grades and the average distance to samples was 36 metres
or less. Indicated mineral resources are defined where three holes are
used to estimate block grades and the average distance to samples was 73
metres or less.
12. Mineral Resource tonnes quoted are not diluted.
13. No mineral reserves are identified.
14. Tonnes and ounces have been rounded to reflect the relative accuracy of
the mineral resource estimate; therefore numbers may not total
correctly.
15. Mineral resources are not mineral reserves and by definition do not
demonstrate economic viability. This mineral resource estimate includes
inferred mineral resources that are normally considered too speculative
geologically to have economic considerations applied to them that would
enable them to be categorized as mineral reserves. There is also no
certainty that these inferred mineral resources will be converted to the
measured and indicated resource categories through further drilling, or
into mineral reserves, once economic considerations are applied.
16. 1 troy ounce equals 31.10348 grams.
17. The volume/tonnes of volumetrically insignificant historical underground
exploration workings have not been subtracted from this mineral resource
Jonpol Deposit Mineral Resources
This is the first "new" Jonpol deposit resource update for Northern Gold since
the property was acquired from Val Gold in 2009, and the historic NI 43-101
technical report on the 1996-1999 Hillsborough Resources and Valgold 2005-2007
work was filed on SEDAR on October 29, 2009. In addition to new drilling
completed by the Company (66 holes and 9 drill hole extensions (2011-2013)) the
biggest change to the resource update was the use of geologically interpreted 3D
wireframe block model grade interpolation that has been undertaken using
Ordinary Kriging (OK). Domain specific directional ellipsoidal searches are used
to estimate block grades, as opposed to the simple 2D longitudinal polygons.
Furthermore a cut-off grade for mineralized zone interpretation of 3 g/tonne of
gold over a minimum width of 1.5 metres was used in the new resource, verses a
cut-off grade for zone interpretation of approximately 0.5 g/tonne of gold in
the previous report. Unfortunately many of the historic holes lacked a downhole
survey and have had to be assumed to have no deviation.
This has resulted in an indicated resource estimate with a 344% increase in
resource tonnes (872,000 vs 253,100), but a 2.43 g/t decrease in grade (due to
the change in the block model cutoff, and minimum mining width), and a 237%
increase in gold ounces (150,000 oz Au vs 63,200 oz Au, a 86,800 oz increase).
The inferred resource tonnage estimate decreased by 482,800 tonnes, but the
average grade increased by 0.63 g/tonne to 5.56 g/tonne, resulting in a slight
decrease in gold ounces (-54,540 ounces gold) to 192,000 ounces gold.
2014 Jonpol Underground Mineral Resource Estimate Update
-------------------------------------------------------------------------
Au Grade Au
Zone Cut-off Tonnes (g/tonne) (troy oz)
-------------------------------------------------------------------------
Indicated
-------------------------------------------------------------------------
JD Zone 3.0 9,000 3.21 1,000
-------------------------------------------------------------------------
JP Zone(i) 3.0 411,000 4.93 65,000
-------------------------------------------------------------------------
RP Zone 3.0 97,000 4.63 14,000
-------------------------------------------------------------------------
East Zone 3.0 355,000 6.04 69,000
-------------------------------------------------------------------------
Total Indicated 3.0 872,000 5.34 150,000
-------------------------------------------------------------------------
Inferred
-------------------------------------------------------------------------
JD Zone 3.0 199,000 6.87 44,000
-------------------------------------------------------------------------
JP Zone(i) 3.0 212,000 4.49 31,000
-------------------------------------------------------------------------
RP Zone 3.0 61,000 4.32 8,000
-------------------------------------------------------------------------
East Zone 3.0 601,000 5.63 109,000
-------------------------------------------------------------------------
Total Inferred 3.0 1,073,000 5.56 192,000
-------------------------------------------------------------------------
(i) Historic bulk sample tonnages and contained gold are discounted from the
JP Zone estimate (see note 16).
Notes on 2014 Jonpol Mineral Resource Estimate:
1. Mineral Resources are calculated with commercial mining software. Drill
holes traces showing lithology and gold grade were reviewed in plan and
cross section.
2. The resource estimate has been prepared by Leon McGarry, B.Sc., P.Geo.,
ACA Howe Geologist.
3. Mineralised zone interpretation based on a minimum grade of 3 g/tonne Au
over a minimum true width of 1.5 metres.
4. Block cut-off grade for potential underground Mineral Resources is 3
g/tonne.
5. Top cut of 100 g/tonne Au applied to non-composited assays in the East
Zone. No top-cut applied in other zones. In zones other than the East
Zone, assay database grade distributions are not skewed by erratic high
values and assays are generally well constrained by wireframes and drill
hole distribution. In ACA Howe's opinion the use of a top cut will not
significantly affect the results in these zones.
6. Gold price for the purpose of the resource estimate is $US 1250 per troy
ounce.
7. Zones extend up to 50 metres down-dip from the last intercept. Along
strike, zones extend halfway to the next cross-section.
8. A default average specific gravity (bulk density) value of 2.8 has been
used.
9. Wireframe constrained block model grade interpolation has been
undertaken using Ordinary Kriging (OK).
10. Indicated mineral resources are defined where the mineralized zones
exhibited good continuity between drill holes on section and along
strike and are informed by 3 or more holes spaced less than 50 metres
apart.
11. Mineral Resource tonnes quoted are not diluted.
12. No Measured Resources or Mineral Reserves of any category are
identified.
13. Tonnes and ounces have been rounded to reflect the relative accuracy of
the mineral resource estimate; therefore numbers may not total
correctly.
14. Mineral resources are not mineral reserves and by definition do not
demonstrate economic viability. This mineral resource estimate includes
inferred mineral resources that are normally considered too speculative
geologically to have economic considerations applied to them that would
enable them to be categorized as mineral reserves. There is also no
certainty that these inferred mineral resources will be converted to the
measured and indicated resource categories through further drilling, or
into mineral reserves, once economic considerations are applied.
15. 1 troy ounce equals 31.10348 grams.
16. A bulk-sampling program on 4 sub-levels in the central part of the JP
Zone was completed in 1996-97 with a total of approximately 50,640
tonnes extracted, which produced 13,564 ounces of gold for an average
recovered grade of 8.3 grams of gold per tonne. This is comparable to a
polygon some 80m in the along strike direction and 30m down dip believed
to be centred on the position of the bulk sample, that outlines 78,400
tonnes at a grade of 5.3 for some 13,550 ounces of gold which has been
discounted from the resource.
The Company has prepared an Advanced Exploration Closure Plan to dewater and
rehabilitate the Jonpol decline. However at this time the economics of such an
undertaking appear risky and the Company has chosen to focus its efforts on
moving its Garrcon open pit forward, as noted above. The Jonpol remains
strategically important to the Company as its mineralization remains open along
strike (East - West) as well as at depth. Metallurgical testing done in 2013
(see press release of September 26, 2013) indicates that the only refractory ore
is in the immediate area of the Shaft Zone. The recently acquired Lac Properties
property to the west provides an opportunity to add significantly to this
updated Jonpol resource. In addition the existing decline may provide
exceptional access for not only the Jonpol vein deposit, but the Garrcon
underground, the 903 Zone (to the south of the Jonpol shaft), and mineralized
metasediments that are just now being explored between these two areas (see
Hastings channel sample press release dated February 10, 2014).
To provide further information and continuity between the previous resource
estimates prepared on the Garrison property and this updated resource, the
following tables provide more detailed information:
Comparison of 2014 Garrcon/Jonpol Resource Estimates to 2012 Garrcon and
2009 Jonpol Resource Estimates
-----------------------------------------------------------------------
2012 Garrcon
and 2009 Jonpol Resource
-----------------------------------------------------------------------
Au Grade
Domain Category Cut Off Tonnes (g/t) Ounces Au
-----------------------------------------------------------------------
Garrcon Measured 0.3 17,640,000 1.06 604,000
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Garrcon Indicated 0.3 20,830,000 1.00 668,000
-----------------------------------------------------------------------
Jonpol Indicated -- 253,100 7.77 63,200
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Garrcon and Jonpol Total Ind 0.3/-- 21,083,000 1.08 731,000
-----------------------------------------------------------------------
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Garrcon Mea+Ind 38,470,000 1.03 1,272,000
-----------------------------------------------------------------------
Garrcon and Jonpol Mea+Ind 0.3/-- 38,723,000 1.07 1,335,000
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Garrcon Inferred 0.3 15,780,000 0.72 367,000
-----------------------------------------------------------------------
Jonpol Inferred -- 1,555,800 4.93 246,540
-----------------------------------------------------------------------
-----------------------------------------------------------------------
Garrcon and Jonpol Total Inf 0.3/-- 17,336,000 1.09 614,000
-----------------------------------------------------------------------
----------------------------------------------------------------------------
2014 Garrcon Open Pit and Underground
(Pit Shell: $1,250 per Oz Au, 55 degrees
Slope)
and 2014 Jonpol Underground Resource
----------------------------------------------------------------------------
Au Grade
Domain Category Cut Off Tonnes (g/t) Ounces Au
----------------------------------------------------------------------------
Garrcon Measured 0.4 15,100,000 1.07 521,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon Indicated 0.4 14,100,000 1.16 526,000
----------------------------------------------------------------------------
Jonpol Indicated 3.0 872,000 5.34 150,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon and Jonpol Total Ind 3.0/0.4 14,972,000 1.40 676,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon Mea+Ind 0.4 29,200,000 1.12 1,047,000
----------------------------------------------------------------------------
Garrcon and Jonpol Mea+Ind 3.0/0.4 30,072,000 1.24 1,197,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon Inferred 0.4/1.5 6,800,000 2.80 616,000
----------------------------------------------------------------------------
Jonpol Inferred 3.0 1,073,000 5.56 192,000
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Garrcon and Jonpol Total Inf 3.0/1.5/0.4 7,873,000 3.19 808,000
----------------------------------------------------------------------------
------------------------------------------------------------------------
Change
------------------------------------------------------------------------
Domain Category Tonnes Au Grade (g/t) Ounces Au
------------------------------------------------------------------------
Garrcon Measured - 2,540,000 0.01 - 83,000
------------------------------------------------------------------------
------------------------------------------------------------------------
Garrcon Indicated - 6,730,000 0.16 - 142,000
------------------------------------------------------------------------
Jonpol Indicated 618,900 -2.43 86,800
------------------------------------------------------------------------
------------------------------------------------------------------------
Garrcon and Jonpol Total Ind -6,111,000 0.32 -55,000
------------------------------------------------------------------------
------------------------------------------------------------------------
------------------------------------------------------------------------
Garrcon Mea+Ind - 9,270,000 0.09 - 225,000
------------------------------------------------------------------------
Garrcon and Jonpol Mea+Ind -8,651,000 0.17 -138,000
------------------------------------------------------------------------
------------------------------------------------------------------------
Garrcon Inferred - 8,980,000 2.08 249,000
------------------------------------------------------------------------
Jonpol Inferred -482,800 0.63 -54,540
------------------------------------------------------------------------
------------------------------------------------------------------------
Garrcon and Jonpol Total Inf -9,463,000 2.10 194,000
------------------------------------------------------------------------
Summary of Changes in Garrcon Mineral Resource Estimate Parameters and
Methodology
----------------------------------------------------------------------------
2012 Mineral Resource Estimate 2014 Mineral Resource Estimate
(Hannon, Roy and Trinder, 2012)
----------------------------------------------------------------------------
Resource drill hole database Resource drillhole database includes:
included: - 54 historic drill holes (1985 to
- 54 historic drill holes (1985 to 2007)
2007) - 256 Northern Gold drill holes and 18
- 167 Northern Gold drill holes and drill hole extensions (2009 - 2012 - up
15 drill hole extensions (2009 - to GAR-12-270)
2011 - up to GAR-11-180)
----------------------------------------------------------------------------
Resource assay database utilized Resource assay database utilizes
averaged duplicate and replicate primary assays except where historic
assays assays are duplicated by Northern Gold
assays in which case the latter are
used.
----------------------------------------------------------------------------
Gold price of $US 1500 per troy oz Gold price of $US 1250 per troy oz (the
lower of 3 year trailing average and
spot price)
----------------------------------------------------------------------------
No top-cut grade was used Top-cuts of 112 g/tonne Au (high grade
domains) and 114 g/tonne Au (low grade
domains) applied to individual (non-
composited) assays
----------------------------------------------------------------------------
Cut-off grade for mineralised zone No change
interpretation was 0.1 g/tonne
----------------------------------------------------------------------------
Omni-directional spherical search Domain specific directional ellipsoidal
used to estimate block grades searches used to estimate block grades.
The majority approximate 2:2:1 (x:z:y)
----------------------------------------------------------------------------
Ordinary block kriging ("OBK") used No change
for estimating block grades
----------------------------------------------------------------------------
A specific gravity (bulk density) A specific gravity (bulk density) value
value of 2.79 was applied to all of 2.80 applied to all blocks - a
blocks - a representative value representative value based on 4,076
based on 1,174 measurements measurements
----------------------------------------------------------------------------
Resource Reporting Resource Reporting
- Resource blocks shallower than - Block cut-off grade for potential
200 meters and deeper than 200 m open pitable Mineral Resources is 0.4
were reported separately. g/tonne. Optimised pit based on
- Block cut-off grade for defining $1250/oz gold, 55 degree pit wall slope
Mineral Resources at all depths was and 2011 PEA pit mining parameters.
0.3 g/tonne - Block cut-off grade for potential
- Waste to Resource ratio within underground (greater than 200 m depth
the 2011 Mineral Resource and PEA outside pit shell) Mineral Resources is
optimised pit (45 degree pit wall) 1.5 g/tonne.
approximately 2:1 (incorporates a - Waste to Resource ratio within the
0.15 heap leach cut-off) Note that 2014 optimised pit approximately 1.8:1
this is not the 2012 resource - no
optimised pit in 2012 report
----------------------------------------------------------------------------
Resource Classification Resource Classification
- Measured mineral resources were - Measured resources were defined where
defined where three holes were used the average sample distance was less
to estimate block grades and the than, or equal to, approximately 35
average distance to samples was 25 metres. At least twelve samples from
metres or less. three holes (minimum two samples from
- Indicated mineral resources were each hole) were required for this
defined where three holes were used category.
to estimate block grades and the - Indicated resources were identified
average distance to samples was 40 where the average sample distance was
metres or less (based on approximately 70 metres or less. At
variography). least eight samples from two holes
(minimum two from each hole) were
required for this category.
- Inferred resources were defined
within two metres of at least two
samples from one hole.
----------------------------------------------------------------------------
Summary of Changes in Jonpol Mineral Resource Estimate Parameters and
Methodology
----------------------------------------------------------------------------
2009 Mineral Resource Estimate 2014 Mineral Resource Estimate
(George, 2009)
----------------------------------------------------------------------------
Resource drill hole database Resource drillhole database includes:
included: - 283 historic drill holes (1985 to
- 283 historic drill holes (1985 to 2007)
2007) - 66 Northern Gold drill holes and 9
- 0 Northern Gold drill holes drill hole extensions (2011 - 2013)
----------------------------------------------------------------------------
Resource assay database utilized Resource assay database utilizes
averaged duplicate and replicate primary assays except where historic
assays assays are duplicated by Northern Gold
assays in which case the latter are
used.
----------------------------------------------------------------------------
n/a Gold price of $US 1250 per troy oz (the
lower of 3 year trailing average and
spot price)
----------------------------------------------------------------------------
No top-cut grade was used Top cut of 100 g/tonne Au applied to
non-composited assays in the East Zone.
No top-cut applied in other zones.
----------------------------------------------------------------------------
Cut-off grade for mineralised zone Cut-off grade for mineralised zone
interpretation was approximately interpretation is 3 g/tonne of gold
0.5 g/tonne of gold over a minimum width of 1.5 metres
----------------------------------------------------------------------------
2D polygonal longitudinal section 3D wireframe constrained block model
resource estimation grade interpolation has been undertaken
using Ordinary Kriging (OK). Domain
specific directional ellipsoidal
searches used to estimate block grades.
----------------------------------------------------------------------------
A specific gravity (bulk density) No change
value of 2.8 was applied to
polygons.
----------------------------------------------------------------------------
Resource Reporting Resource Reporting
- No cut-off grade applied to - Block cut-off grade for potential
underground polygonal resources underground Mineral Resources is 3
- Historic bulk sample tonnages and g/tonne.
contained gold were not discounted - Historic bulk sample tonnages and
from the JP Zone estimate contained gold are discounted from the
JP Zone estimate
----------------------------------------------------------------------------
Resource Classification Resource Classification
- Indicated mineral resources were - Zones extend up to 50 metres down-dip
defined by a 15 metre radius of from the last intercept. Along strike,
influence around a drill hole zones extended halfway to the next
pierce-point or half the distance cross-section.
to the adjacent drill hole pierce- - Indicated mineral resources are
point whichever the lesser. defined where the mineralized zones
- Inferred mineral resources were exhibit good continuity between drill
defined by a 25 metre radius of holes on section and along strike and
influence around a drill hole are informed by 3 or more holes spaced
pierce-point or half the distance less than 50 metres apart.
to the adjacent drill hole pierce- - Inferred resources are defined where
point whichever the lesser. continuity of zones less well defined
----------------------------------------------------------------------------
The Garrison property mineral resource update information presented in this
release has been reviewed and approved by Mr. Ian Trinder, M.Sc, P.Geo., and Mr.
Leon McGarry, B.Sc., P.Geo., of A.C.A. Howe International Ltd. of Toronto,
Ontario. Mr. McGarry and Mr. Trinder are Independent Qualified Persons as
defined under NI 43-101 regulations.
The technical aspects of this press release have been reviewed and approved by
Michael Gross M.S. P. Geo., Northern Gold Mining, Inc. consultant, who is the
"Qualified Person" as defined by NI 43-101 for this project.
About Northern Gold
Northern Gold is a TSXV-listed gold company based in Toronto, Ontario. The
Company's main focus is the exploration and development of its prospective
mineral properties at the Golden Bear Project in the Larder Lake Mining
Division, northeastern Ontario. Northern Gold has a portfolio of advanced
exploration projects, including the Jonpol and Garrcon Deposits and the Buffonta
Property. Recent transactions, including the amalgamation with Victory Gold
Mines Inc. and acquisition of the Lac Minerals Property add to the Company's
regional consolidation strategy along the Destor-Porcupine Fault Zone.
CAUTIONARY STATEMENT: Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
No stock exchange, securities commission or other regulatory authority has
approved or disapproved of the information contained herein. This news release
contains forward-looking information which is not comprised of historical facts.
Forward-looking statements are characterized by words such as "plan", "expect",
"project", "intend", "believe", "anticipate", "estimate" and other similar
words, or statements that certain events or conditions "may" or "will" occur.
Forward-looking information involves risks, uncertainties and other factors that
could cause actual events, results, performance, prospects and opportunities to
differ materially from those expressed or implied by such forward-looking
information. Forward-looking information in this news release includes, but is
not limited to, Northern Gold's strategic partnership and issuances of
securities, and is based on, among other things, the opinions and assumptions of
management considered reasonable as of the date of this news release. Factors
that could cause actual results to differ materially from such forward-looking
information include, but are not limited to, delays in obtaining or failures to
obtain required regulatory approvals, changes in equity markets, fluctuations in
commodity prices, and other risks involved in the mineral exploration and
development industry, including those risks set out in Northern Gold's public
documents filed on SEDAR. Although Northern Gold believes that the assumptions
and factors used in preparing the forward-looking information in this news
release are reasonable, undue reliance should not be placed on such information,
which only applies as of the date of this news release, and no assurance can be
given that such events will occur in the disclosed time frames or at all.
Northern Gold disclaims any intention or obligation to update or revise any
forward-looking information, whether as a result of new information, future
events or otherwise, other than as required by law.
FOR FURTHER INFORMATION PLEASE CONTACT:
Northern Gold Mining Inc.
Martin Shefsky
Interim President & Chief Executive Officer
647.297.8793
mshefsky@northerngold.ca
Northern Gold Mining Inc.
Eric Szustak
Manager, Business Development
905.330.7948
eszustak@northerngold.ca
www.northerngold.ca
Northern Gold Mining Inc. (TSXV:NGM)
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Von Jun 2024 bis Jul 2024
Northern Gold Mining Inc. (TSXV:NGM)
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Von Jul 2023 bis Jul 2024
