INTRODUCTION AND TERMS OF REFERENCE
This Technical Report and updated Resource Estimate (the “Technical Report”) prepared by P&E Mining Consultants Inc. (“P&E”) on the Star Diamond Project was undertaken at the request of Mr. George H. Read, P. Geo., Senior Vice President Exploration and Development, of Shore Gold Inc. (“Shore”) of Saskatoon, Saskatchewan, Canada.
Shore is a Canadian public company trading on the TSX and is incorporated under the Canada Business Corporations Act, with corporate offices located at:
300 – 224 4th Avenue South Saskatoon, Saskatchewan Canada S7K 5M5
Shore is engaged in the acquisition, exploration, development and production of diamond projects with specific focus in Saskatchewan and Alberta.
The Star Kimberlite is the main exploration focus of Shore’s Star Diamond Project and straddles a mineral disposition boundary between ground that is held 100 percent by Shore, and ground that is held by the Fort à la Corne (“FALC”) Joint Venture (“FALC-JV”), between Kensington Resources Ltd. (“Kensington”) (a wholly-owned subsidiary of Shore; 60 percent) and Newmont Mining Corporation of Canada Limited (“Newmont”) (40 percent). The Star Diamond Project is operated by Shore, and is being explored and developed as a single entity. For convenience, that portion of the Star Kimberlite which falls on the FALC-JV mineral dispositions is known as the Star West area, and, unless otherwise specified, the Star Kimberlite refers to kimberlite on both the Shore property and that of the FALC-JV.
The initial Mineral Resource Estimate for the Star Kimberlite was prepared by AMEC Americas Limited (“AMEC”) and filed on SEDAR as a report entitled “Shore Gold Inc., Star Diamond Project, Fort à la Corne, Saskatchewan, Canada, NI 43-101 Technical Report”, by Eggleston et al. (2008) dated June 9, 2008. The initial Resource Estimate for the Star Kimberlite was completed using the adiamond sampling database that was finalized by Shore on February 20, 2008.
The current report updates the initial Resource Estimate (the “AMEC 2008 Resource Estimate”) by utilizing the results of an expanded diamond sampling database that includes sampling data from additional Large Diameter Drilling (“LDD”) conducted subsequent to the 2008 resource estimate and additional carats recovered from audit processes. The P&E updated Resource Estimate (“P&E 2009 Resource Estimate”) contained in this report has an effective date of February 23, 2009.
P&E engaged A.C.A. Howe International Limited (“Howe”) to review and audit both Shore’s existing sample processing, handling and collection procedures and QA/QC protocols and Shore’s third party laboratory procedures/protocols for its Star and FALC-JV advanced exploration diamond projects. Howe has conducted a number of previous processing reviews as reported in Howe Report No’s 881 (March 16, 2005), 906 (March 15, 2007), and 913 (March 20, 2008) (www.sedar.com).
P&E Mining Consultants Inc. NI 43-101 Technical Report No 159 Shore Gold Inc. - Star Diamond Project Resource Estimate Update
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