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Northgate Minerals Announces Positive Exploration Results from Fosterville and Stawell Gold Mines

Northgate Minerals Corporation (TSX: NGX, NYSE Amex: NXG) has reported positive exploration results from diamond drill programs at its Fosterville and Stawell Gold mines in Victoria, Australia.

Exploration Highlights:

         Phoenix Footwall

  • Drilling within the Footwall has intersected strong mineralization: hole UDE038 (6850 mN) intersected 5.4 grams per tonne ("g/t") gold over 24.9 metres ("m"), including 11.5 g/t over 5.6 m and 10.1 g/t over 4.3 m.
  • Hole UD756 (7360 mN) intersected 4.7 g/t over 6.3 m and 5.5 g/t over 18.6 m, including 8.1 g/t over 9.1 m.
  • These holes follow on assay results released previously: hole SPD547B (7000 mN) returned 6.3 g/t over 23.3 m and 4.6 g/t over 6.5 m.
  • Results from the Footwall indicate that there is potential to add new reserves close to the existing Phoenix underground development and to increase ounces per vertical metre immediately below the existing reserves.

          Phoenix Extension (6850 mN)

  • Hole UDE037 intersected 14.1 g/t over 4.7 m and hole UDE038 intersected 5.8 g/t over 5.0 m.
  • These holes follow on the assay results released previously: hole SPD527C (6950 mN) returned 6.5 g/t over 5.1 m and hole SPD526C (6900 mN) returned 12.2 g/t over 6.3 m.
  • Results indicate the potential for increasing the Phoenix Extension zone another 150 m south along strike and down plunge.
  • Stawell: in addition to the two new gold discoveries in previously untested areas (see press releases dated August 31 and November 1, 2010), drilling from Golden Gift 6 Lower ("GG6L") intersected high-grade mineralization, further enhancing the new GG6 reserve zone, with current average reserve grade of 6.3 g/t:

          Basalt Contact:

  • Hole MD-5338 returned 13.2 g/t over 4 m.
  • Hole MD-5281 contained several excellent intervals: 4.9 g/t over 16.4 m, including 7.1 g/t over 7.6 m and 15.9 g/t over 5.1 m.
  • Hole MD-5790 also contained several excellent intervals: 5.7 g/t over 5.2 m, including 13.0 g/t over 1.5 m; a second interval returned 5.8 g/t over 9.7 m, including 8.0 g/t over 3.0 m and 13.2 g/t over 1.5 m.


  • Hole MD-5281 returned 24.0 g/t over 10.6 m.
  • Hole MD-5481 returned 21.0 g/t gold over 3.1 m.

Ken Stowe, President and Chief Executive Officer, remarked, "The excellent results received to date represent a significant step towards achieving our goal of reserve and resource expansion at our Australian mines.  Drilling within the Phoenix Footwall and Extension down dip from the existing reserves is testing for the large scale continuity of the Phoenix Deposit, which has been the most productive orebody identified on the property to date, and while in its early stages, we are encouraged by the excellent results and the potential to add to reserves.  We also continue to be very excited on the progress that is being made at Stawell in identifying new areas on our mining lease, including two new gold bearing basalt domes and a potentially significant waterloo zone, as we look to make further extensions to the mine life."

2010 Diamond Drill Programs

Fosterville - Phoenix Footwall and Phoenix Extension

To date, three holes have been drilled totalling 1,590 m using underground drill platforms.

We are encouraged by results within the Phoenix Footwall, which has appreciable widths and grades and has the potential to be an ore shoot paralleling the known Phoenix orebody. A drill program is in progress in the area between 7200 mN and 7500 mN to determine the grade and continuity of this potential zone.

Drill results from the Phoenix Extension indicate the potential for extending the Phoenix orebody another 150 m south along strike and down plunge. A drill program is also progressing on section 6850 mN to potentially extend mineralization up dip of existing drill intersections.

Stawell - GG6L

Drilling within GG6L is ongoing, where there is potential to add to high-grade reserves similar to the 6.3 g/t reserve grade within GG6. The GG6L mineralized zone extends over 200 m along strike and over 180 m in vertical height at present. Since 2008, a total of 13 holes have been drilled into the GG6L scoping program. Seven of these holes intersected the high-grade basalt contact zone.

While the initial work in the GG6L zone has centered on the high grade basalt contact mineralization, the discovery of a potentially significant waterloo zone further east of the main basalt contact provides another high-grade area to focus on.  Potential for further upside at GG6L is promising. Multiple ore surfaces in the GG6L zone and extensions at depth, as well as the identification of the waterloo zone, all present excellent opportunities for additional ounces to be discovered in the GG6L zone.

The exploration team at Stawell has begun the interpretation of the drill intercepts for a GG6L resource estimate. Upon completion of the proposed 2011 drill program, it is expected that there will be 27 intercepts into the basalt contact zone at 50 m by 50 m spacing, which should be sufficient to initiate resource definition drilling in the zone with the focus on reserve conversion.

Qualified Persons
The program design, implementation, quality assurance/quality control and interpretation of the results from Fosterville are under the control of Northgate's geological staff, which includes of number of individuals, each of who are qualified persons as defined under NI 43-101. Supervision of the program is by Glenn Grayson (BSc Geology, MAusIMM), Northgate's Senior Exploration Geologist and Simon Hitchman (BSc Geology (Hons), MAusIMM, MAIG), Northgate's District Exploration Geologist at the Fosterville Gold Mine.

The program design, implementation, quality assurance/quality control and interpretation of the results from Stawell are under the control of Northgate's geological staff, which includes a number of individuals, each of who are qualified persons as defined under NI 43-101 and is supervised by Steve Harper, Senior Exploration Geologist (Australian Institute of Mining and Metallurgy). Mark Haydon (Australian Institute of Geoscientists), Stawell Gold Mine's Geology Manager, has supervised the preparation of the information that forms the basis of this release, and is responsible for the overall management of the program.

Source: Northgate Minerals Corporation

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