First Mining Finance Corp. ("First Mining" or the "Company") (TSX VENTURE:FF)(OTCQX:FFMGF) is pleased to announce it has commenced a metallurgical drilling program at its wholly-owned Springpole Gold Project ("Springpole"), located in northern Ontario, Canada.
This program will be comprised of up to four drill holes totaling approximately 1,500 metres of drilling to acquire material for metallurgical testing. The intent of the metallurgical testing program is to determine the optimal grind size and processing flow sheet so as to maximize metallurgical recoveries. The results from this metallurgical testing program are expected to be incorporated into a new Preliminary Economic Assessment ("PEA") for Springpole which is expected to be released in the first half of 2017.
Keith Neumeyer, Chairman of First Mining stated, "We are very excited to have commenced this first step towards adding value to certain key assets in our portfolio such as Springpole. Going forward we intend to undertake additional drill programs, resource estimates and economic studies, as well as other activities intended to enhance the value of the assets we have accumulated over the past year and a half."
Springpole is one of the largest undeveloped gold projects in Canada that has to date had approximately $74 million invested over the past 20 years. The project area covers over 32,000 hectares in northwestern Ontario, approximately 110 kilometres from the Township of Red Lake. The project hosts an NI 43-101 compliant Indicated Resource of 128.2 million tonnes (mt) grading 1.07 grams per tonne (g/t) gold (Au) and 5.7 g/t silver (Ag), containing 4,410,000 ounces (oz.) Au and 23,800,000 oz. Ag. In addition the project hosts an Inferred Resource of 25.7 Mt grading 0.83 g/t Au and 3.2 g/t Ag, containing 690,000 oz. Au and 2,700,000 oz. Ag.