Bear Lake Gold Provides Update on Larder Lake Property
Scott Wilson RPA issued a report to the Company and its Board of Directors dated November 2, 2009 (the "Report"). The Report confirms that there were inconsistencies regarding the Company's exploration data that compromise certain of the Company's prior reporting of certain exploration results in respect of the Bear Lake area of the Company's Larder Lake Property. The inconsistencies affect certain data disclosed during the period from November 27, 2008 to July 14, 2009, and also include three additional inconsistencies (hole NFX07-16, initially disclosed on December 20, 2007; hole NFX08-38, initially disclosed on June 4, 2008; and hole NFX08-49, initially disclosed September 4, 2008) identified in the Report.
The Company has determined that Mr. Bernard Boily, the Company's then Vice President Exploration and the "qualified person" (as such term is defined in National Instrument 43-101) who prepared and supervised the preparation of all relevant data and technical disclosure, altered certain assay certificates by manually changing the assay results prior to entering such results in the Company's exploration database in respect of the Bear Lake area of the Larder Lake Property (the "Database"). The Company has further determined that, in certain instances, Mr. Boily used certain assay results selectively at his discretion, when calculating the drill hole intercept averages resulting in a bias toward higher grades being disclosed in the press releases than were supported by all of the data in the original laboratory assay certificates. Based upon the Report, the Company has determined that the manipulation of Database data by Mr. Boily dates back to around November 27, 2008, and it is possible that it may also account for the three prior inconsistencies referred to above (hole NFX07-16, hole NFX08-38, and hole NFX08-49) but the Company cannot currently make a determinative statement on this. The Company has also determined that Mr. Boily acted alone and there is no evidence of anyone else having been involved, based on the completed investigation. As reported on July 21, 2009, the Company had suspended Mr. Boily pending the finalization/outcome of the Company's internal investigation. On November 3, 2009, immediately subsequent to making the determinations above, the Company sent to Mr. Boily a letter of termination in respect of his employment.
Restatement and Interpretation of Restated Exploration Results
The attached Table 1, Link to Restated_Table1. from the Report, shows the restated intercepts for the Bear Lake area of the Company's Larder Lake Property as at November 2, 2009 (the "Restated Exploration Results") and includes a comparison to the intercepts as originally released (all of which original results were previously withdrawn by the Company and should not be relied upon). The revised longitudinal sections, dated as at November 2, 2009, reflect the Restated Exploration Results. As indicated in Table 1, in some cases the Restated Exploration Results confirm the original results and, in other cases, they update and supersede the original and withdrawn results. Information in any way inconsistent with the Restated Exploration Results issued by the Company in any form, including, without limitation, in any of the Company's public disclosure documents, with respect to the Company's original exploration results and/or any information interpreting, relating to, or derived from any such original results, should not be relied upon.
The Restated Exploration Results in Table 1 include a total of 58 intercepts (excluding hole NFX08-49, which remains unresolved) within the Bear Lake area of the Larder Lake property. In summary of the 58 intercepts, 24 intercepts (41%) are affected by the unsupported assays while 34 intercepts (59%) are unaffected or have only minor changes and corrections. Of the 24 intercepts affected by unsupported assays, 7 retain a significant intercept after using verified data.
The Restated Exploration Results are based upon the original assay certificates from the Polymet Assay Laboratory in Cobalt, Ontario and the Laboratoire Expert Inc., in Rouyn-Noranda, Quebec. The Company has concluded that the original assay certificates are accurate.
As indicated in the Restated Exploration Results, the Bear Lake area of the Larder Lake Property clearly contains gold. The gold occurs within two types of mineralization, "Carbonate-type" mineralization and "Flow-type" mineralization.
"Carbonate-type" mineralization is characterized by extensive carbonate-silica alteration zones containing quartz and quartz-carbonate stockwork veining, minor sulfides and occasionally visible native gold. The presence of fuschite (green mica) is frequently observed in the core. The Carbonate-type mineralization and related alteration starts at 400m below surface and, based on corrected drill information to date, extends continuously to 1,200m below surface where the deepest intersection is recorded. The strike length of the mineralization and alteration varies from 135m at 400m below surface to over 400m at 1200m below surface, where it is still open to the east. The mineralization and alteration is still open at depth and to the east at depth. Although gold grades and intersection thicknesses vary greatly within the mineralized envelope, some outstanding gold values were intersected, such as those in hole NFX08-44 (13.3 g/t over 15.1m) at a depth of 700m from surface. The higher grade intersections appear to be flanked by lower grade intersections both to the east and west, suggesting the presence of higher and lower grade areas within the Carbonate-type mineralized envelope. Additional drilling is required to define the limits of the potential higher grade areas and investigate the possibility that additional higher grade areas might be found along strike and at depth, where the mineralization and alteration typically associated with the gold is still present.
"Flow-type" mineralization is characterized by pervasive silica-albite alteration with strong pyrite mineralization and gold. Occasionally, arsenopyrite and chalcopyrite are also recorded. The gold is finer grained than in Carbonate-type mineralization and not usually visible however, the gold grade generally correlates well with the percentage of sulphides present. Gold is also associated with small albite-rich dykes and intrusives. The "Flow-type" mineralization and related alteration starts at an approximate depth of 450m below surface and extends down to 825m below surface where the deepest significant intercept was located. The mineralization and alteration is partially open at depth where lower gold grade was intersected at a depth of 1200m from surface. The mineralization is still open to the east and west at depths between 600m and 825m below surface. Additional drilling is required to define the extent and gold grade of the Flow-type mineralization. Although gold grade and intersection thickness vary greatly within the mineralized envelope drilled to date, some outstanding gold values have been intersected, such as that in hole NFX07-11 (13.3 g/t over 6.0m) at a depth of 500m below surface. The higher-grades in Flow-type mineralization are bounded by lower grade intersections both to the east and west, suggesting the presence of higher and lower-grade areas within the Flow-type mineralizing envelope. A single Flow-type high-grade intercept near surface in hole NFX08-35 (18.3 g/t over 4.8m), suggests the possibility of small, higher-grade areas developing higher up in the Flow-type mineralizing envelope. Additional drilling is required to define the limits of the potential higher-grade areas and investigate the possibility that additional higher-grade areas might be found along strike and at depth, where the mineralization and alteration typically associated with the gold is still present.
Since March 2007, the Company has completed over 55,000 m of drilling at the Larder Lake Property.
Both the Flow-type and the Carbonate-type mineralization identified to date in the Bear Lake area show great strength of alteration and mineralization and remain prime exploration targets for the Company. The Restated Exploration Results confirm the Company's interpretation that in the Bear Lake area both high-grade and lower-grade areas occur within the large zones of mineralization and alteration. Based on the Restated Exploration Results, the Company believes that the Bear Lake area represents a significant gold discovery for the Company and that additional drilling is warranted to fully investigate the potential extent and grade of mineralization.
The Larder Lake Property is strategically located just a few kilometers west of, and along strike from, the historic Kerr Addison mine that produced some 11 million ounces of gold from similar types of mineralization to that at Bear Lake, and encompasses approximately 13 km of the prolific Kirkland-Larder-Cadillac Break, host to numerous gold deposits and mines. Aside from the Bear Lake area, the Larder Lake Property has potential for additional gold discoveries along the Kirkland-Larder-Cadillac Break.
Other Investigation Findings
Based upon the investigation completed, the Company has determined that there is no evidence of tampering with core or samples sent to the assay labs, other than potentially hole NFX08-49 which remains unresolved, and that the only evidence is of data tampering with assay certificates and the Database. The Report indicates that the inconsistencies in respect of hole NFX08-49 (announced September 4, 2008) remain unresolved and cannot be explained solely by either alteration of assay certificates or error. The Report indicates that re-drilling will be necessary in order to establish assay values for hole NFX08-49. All results in respect of hole NFX08-49 should continue to be disregarded until further notice.
A review of data in respect of the Fernland area of the Company's Larder Lake Property has not identified any issues.
Additional Exploration Results
Immediately prior to the suspension of activities on July 21, 2009, the Company had completed the drilling of three holes. Results from these three holes (BLG09-71B, BLG09-72A and BLG09-73) and from hole BLG09-67W are now available. Results from hole BLG09-67W are part of the data validated by Scott Wilson RPA and holes BLG09-71B, BLG09-72A and BLG09-73 were logged, sampled and assayed under the direct supervision of Scott Wilson RPA. All of these holes intersected Carbonate-type and Flow-type mineralization and hole BLG09-73 intersected 13.4 g/t over 1.4m of Flow-type mineralization at a vertical depth of 690m. Details of the mineralized intersections are presented in Table 1 and the intersections are included in the longitudinal sections attached.
Link to Fig.1. Link to Fig.2.
Activities at Larder Lake Property
In view of the Restated Exploration Results, the Company believes that the following activities are warranted: (1) the re-drilling of hole NFX08-49, (2) the recommencement of work toward a National Instrument 43-101 ("NI 43-101") compliant mineral resource estimate on the Bear Lake area of the Larder Lake Property and (3) the continued exploration of the Larder Lake Property.
Qualified Persons, Data Verification and Quality Assurance/Quality Control
The Restated Exploration Results were prepared by Dr. William E. Roscoe, P.Eng., of Scott Wilson Roscoe Postle and Associates ("Scott Wilson RPA"). Dr. Roscoe is a "qualified person" within the meaning of that term under NI 43-101 and is independent of the Company. The data, including sampling and analytical data underlying the Restated Exploration Results, was validated by Scott Wilson RPA, based upon original laboratory assay certificates collected directly from the assay laboratory, examination of split core on site, duplicate samples sent for assay, re-assaying sample rejects and other independent verification procedures. The description below of the quality assurance and quality control ("QA/QC") programme has been reviewed by and verified by Scott Wilson RPA, which notes that the programme is in keeping with industry practice.
The descriptions of the geology, mineralization, longitudinal sections and other interpretation contained in this press release were prepared by and under the supervision of Francois Viens, President and CEO of the Company. Mr. Viens is a "qualified person" within the meaning of that term under NI 43-101.
As part of its QA/QC program, the Company carried out check assays on the high-grade intersections, with no significant discrepancies found in the assay results. The assays reported are the uncut average grades of all determinations from the same samples. The analytical method for gold is one (1) assay-ton fire assay, with gravimetric finish on all samples. All assays reporting over 2 g/t gold were automatically re-checked using the rejects. Assaying was done at Polymet Assay Laboratory in Cobalt, Ontario and Laboratoire Expert Inc., in Rouyn-Noranda, Quebec. The quality control process included inserting blank samples and certified standards within each batch sent to the laboratory. Rejects from samples grading above 2g/t gold and randomly-selected rejects from samples below 2g/t gold were also sent to another certified laboratory as part of the Company's quality control procedures.
Samples from Scott Wilson RPA's check sampling program and the samples from holes BLG09-71B, BLG09-72A and BLG09-73 taken under Scott Wilson RPA's supervision were sent to SGS Mineral Services (SGS) in Don Mills, Ontario for assaying. SGS is accredited to the ISO 17025 Standard for gold by Certificate number 456. Fire assays with ICP finish were performed on fifty gram charges (SGS lab code FAM 505). Samples returning values greater than 10 g/t Au were re-assayed with a gravimetric finish (SGS lab code FAG 505). Duplicate pulps were assayed for every tenth sample. Blanks and Certified Reference Materials were inserted into the sample stream at a rate of about one QC sample per ten samples.
Forward-looking Statements
This news release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future, are forward-looking statements. These forward-looking statements reflect the current internal projections, expectations or beliefs of management of the Company based on information currently available to them. Forward-looking statements are subject to a number of known and unknown risks and uncertainties beyond the Company's control, including uncertainties related to potential mineralization, exploration results, any plan to complete a resource estimate for the Larder Lake Property, and future plans and objectives of the Company. Resource exploration, development and operations are highly speculative, characterized by a number of significant risks, which even a combination of careful evaluation, experience and knowledge may not eliminate, including, among other things, unprofitable efforts resulting not only from the failure to discover mineral resources but from finding mineral deposits which, though present, are insufficient in quantity and quality to return a profit from production. There can be no guarantee that the Company will define mineral resources at the Larder Lake Property or that any mineral resources defined at the Larder Lake Property, if any, will be feasible for economic development. There can be no assurance that such statements will prove to be accurate and actual results could differ materially from those suggested by these forward-looking statements for various reasons discussed from time to time in filings made by the companies with securities regulatory authorities. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
"Neither 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."
For further information, please contact:
Francois Viens, President and CEO
Bear Lake Gold Ltd.
Tel: 450-677-2172
Fax: 450-677-2601
Carole Plante, General Counsel and Corporate Secretary
Tel: 450-677-2065
Bear Lake Gold reports proposed class action
"Neither 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."
For further information, please contact:
Francois Viens
President and CEO
Bear Lake Gold Ltd.
Tel: 450-677-2172
Fax: 450-677-2601
Carole Plante
General Counsel and Corporate Secretary
Bear Lake Gold Ltd.
Tel: 450-677-2065
Fax: 450-677-2601
Bear Lake Gold Provides Update About Larder Lake Property Operations and Investigation
As stated in its July 21, 2009 press release, the Company retained Scott Wilson Roscoe Postle Associates ("Scott Wilson RPA") to lead the technical investigation. Scott Wilson RPA has commenced its investigation, which will include a review of the history of communication of assay results, the history of entering of assay results into the database and past processes for data verification, an overall review of the Company's past QA/QC protocols and a review of past protocols relating to sampling, sample security, handing and transportation of samples to and from the laboratories. The investigation is expected to involve a comprehensive review of assay certificates, site visits and visits to laboratories. The investigation will also include a review of drill core logs and photographs, independent sampling of core and, if necessary, reassaying of rejects, pulps and core and re-drilling some selected intervals. Scott Wilson will also review, verify and, if possible, validate a sample database and examine the drill hole data to determine which information can be used to direct future exploration at the Larder Lake Property. At this time the Company is unable to determine how long the technical investigation by Scott Wilson will take or when further information regarding this investigation will be available.
As previously reported, the Company has also retained Stikeman Elliott LLP to provide legal advice to the board and the Company, and has appointed a special committee of the board of directors to oversee all aspects of the investigation.
The Company's investigation continues to proceed as quickly as possible and the Company will provide additional information as soon as practicable.
It is the Company's understanding that the TSX Venture Exchange will consider a resumption in trading in the Company's shares now that the Company has issued an update on the status of the investigation and operations at its Larder Lake Property.
Forward-looking Statements
This news release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future, are forward-looking statements. These forward-looking statements reflect the current internal projections, expectations or beliefs of management of the Company based on information currently available to them. Forward-looking statements are subject to a number of known and unknown risks and uncertainties beyond the Company's control, including uncertainties related to the outcome of the investigation referred to herein, potential mineralization, exploration results, completion of work program, and future plans and objectives of the Company. Resource exploration, development and operations are highly speculative, characterized by a number of significant risks, which even a combination of careful evaluation, experience and knowledge may not eliminate, including, among other things, unprofitable efforts resulting not only from the failure to discover mineral resources but from finding mineral deposits which, though present, are insufficient in quantity and quality to return a profit from production. There can be no assurance that such statements will prove to be accurate and actual results could differ materially from those suggested by these forward-looking statements for various reasons discussed from time to time in filings made by the companies with securities regulatory authorities. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
"Neither 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."
For further information, please contact:
Francois Viens, President and CEO
Bear Lake Gold Ltd.
Tel: 450-677-2172
Fax: 450-677-2601
Carole Plante, General Counsel and Corporate Secretary
Tel: 450-677-2065
Evie Sheppard, Legal Counsel
Tel: 450-677-2296
Bear Lake Gold Announces Data Inconsistencies that may Compromise Prior Technical Disclosure related to the Larder Lake Property
The Company said that the inconsistencies appear to involve core drilled to evaluate the Larder Lake Property and the validity and reporting of assay data related thereto, potentially affecting a significant portion of the database for the Bear Lake zone of the Larder Lake Property. Upon learning of these matters, the Company immediately commenced an investigation, both internally and externally with the assistance of InnovExplo Inc., which investigation has been proceeding expeditiously. Given the nature of these matters, the Company has retained Scott Wilson Roscoe Postle Associates to lead the technical investigation and Stikeman Elliott LLP to lead the legal aspects of the investigation and to advise the Board.
The Company said that although it is too early in the investigation to determine precisely the effect of the inconsistencies, based upon the results of the investigation to date it appears that the data inconsistencies are of a serious nature and the Company believes that the reporting of corrected assay results may result in significant reductions of gold values for some of the previously announced drilling intercepts.
Based upon what the Company has learned to date, the Company's Vice President Exploration, who has also been the Company's internal qualified person in respect of the technical content of the Company's public disclosure about its exploration program at the Larder Lake Property, has been suspended pending the finalization/outcome of the Company's complete internal investigation.
The Company's Chairman, David Fennell, said "The Board and I are deeply concerned about what we have learned and we are working with our independent advisors to ascertain as quickly as possible exactly the nature, scope and effect of the inconsistencies."
The Board has established a Technical Committee comprised of Messrs Fennell, Stephen Quin and Alex Horvath, to supervise the investigation, review internal technical procedures and make recommendations to the Board. The investigation will address, among other things, the extent of the time frame over which the inconsistencies occurred.
At this time the Company is not aware of any inconsistencies with respect to any of its projects other than the Larder Lake Property. The Company will review the data with respect to its other projects.
It is the Company's understanding that trading in the Company's shares will remain halted as the Exchange reviews this matter and the Company provides additional clarification to the Exchange on the status of its internal and external investigations.
The Company is investigating as quickly as possible and will provide additional information as soon as practicable.
Forward-looking Statements
This news release contains certain "forward-looking statements". All statements, other than statements of historical fact, that address activities, events or developments that Bear Lake believes, expects or anticipates will or may occur in the future, are forward-looking statements. These forward-looking statements reflect the current internal projections, expectations or beliefs of management of Bear Lake based on information currently available to them. Forward-looking statements are subject to a number of known and unknown risks and uncertainties beyond Bear Lake's control, including uncertainties related to the outcome of the investigation referred to herein, potential mineralization, exploration results, completion of work program, and availability of equipment necessary for the drilling program and future plans and objectives of the companies. Resource exploration, development and operations are highly speculative, characterized by a number of significant risks, which even a combination of careful evaluation, experience and knowledge may not eliminate, including, among other things, unprofitable efforts resulting not only from the failure to discover mineral resources but from finding mineral deposits which, though present, are insufficient in quantity and quality to return a profit from production. There can be no assurance that such statements will prove to be accurate and actual results could differ materially from those suggested by these forward-looking statements for various reasons discussed from time to time in filings made by the companies with securities regulatory authorities. All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. Bear Lake undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
"Neither 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."
For further information, please contact:
Carole Plante, Corporate Secretary
Bear Lake Gold Ltd.
Tel: 450-677-2065
Fax: 450-677-2601
Evie Sheppard, Legal Counsel
Bear Lake Gold Ltd.
Tel: 450-677-2296
Fax: 450-677-2601
Bear Lake Gold Annonces Closing Of $2.5 Million Bought Deal Private Placement
June 4, 2009. Longueuil, Québec -- Bear Lake Gold Ltd. (TSX-V: BLG) ("Bear Lake Gold" or the "Company") is pleased to announce that is has completed its previously announced bought deal private placement for gross proceeds of $2,500,000 (the "Offering"). A total of 7,575,758 units (the "Units") at $0.33 per Unit have been issued. Each Unit issued consists of one common share of Bear Lake Gold and one-half of one common share purchase warrant, with each whole warrant exercisable to acquire one common share at $0.40 per share until June 4, 2011, subject to the Company's right to accelerate the expiry of the warrants if the closing price of the common shares on the TSX Venture Exchange ("TSXV") exceeds $0.50 for twenty consecutive trading days at any time after four months and one day from closing of the Offering.
Primary Capital Inc., Dundee Securities Corporation and PI Financial Corp. (collectively, the "Agents") acted as agents for the Offering. At closing, the Agents received a total cash commission of $175,000 and non-transferable broker warrants entitling the Agents to purchase up to 530,303 Units of the Company at a price of $0.33 per Unit until June 4, 2011. Each Unit issuable upon exercise of the broker warrants will have the same terms as the Units of the Offering.
Net proceeds from the sale of the Units will be used to continue drilling and complete a NI 43-101 resource estimate at the Larder Lake project, to finance the work program at the Hope Bay project in Nunavut, and for general working capital purposes.
All securities issued in connection with the Offering including the broker warrants are subject to a hold period that expires October 5, 2009 and may not be traded except as permitted under applicable securities legislation and the policies of the TSXV.
About Bear Lake Gold
Bear Lake Gold is engaged in the exploration of gold and precious mineral properties in North
America. Additional information about the Company is available on the Company's website at
www.bearlakegold.com and on SEDAR at www.sedar.ca.
This news release does not constitute an offer to sell or a solicitation of an offer to sell any of securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.
Cautionary Statement regarding Forward-Looking Information
Certain statements contained in this press release constitute "forward looking information" under the provisions of Canadian securities laws. Such statements include statements regarding the Company's plans for its exploration program at Hope Bay and its plans to calculate a NI 43-101 resource at Larder Lake. Such statements reflect the Company's views as at the date of this press release and are subject to certain risks, uncertainties and assumptions, and undue reliance should not be placed on such statements. Many factors, known and unknown, could cause actual results to be materially different from those expressed or implied by the forward looking statements. The Company does not intend, and does not assume any obligation, to update this forward-looking information, except as required by law. Accordingly, readers are advised not to place undue reliance on forward-looking information.
Neither 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.
For further information please contact:
BEAR LAKE GOLD LTD.
Francois Viens
Chief Executive Officer
Telephone:450- 677-1009
Facsimile: 450- 677-2601
Email: fviens@bearlakegold.com
Gerri Paxton
Manager, Investor Relations
Tel: 450-677-2054
Facsimile: 450- 677-2601
Email: gpaxton@bearlakegold.com