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FEASIBILITY STUDY NEARING COMPLETION
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Stock Symbol: SGF: TSX
SASKATOON, Feb. 3 /CNW/ - George H. Read, P. Geo., Senior Vice President
Exploration & Development, is pleased to announce that Shore Gold Inc.
("Shore") has approved a budget of $12.5 million, including $4.4
million for the Fort a la Corne Joint Venture (FALC-JV). The budget
enables Shore to focus on the completion of a final Feasibility Study
on the Star-Orion South Diamond Project, and provides for on-going site
administration, reclamation, care and maintenance, as well as site
power design and engineering costs and general working capital
purposes.
The final Feasibility Study is anticipated to be completed in the second
quarter of 2011. Upon completion and due consideration of the study,
Shore will be in a position to make a production decision and, if
positive, determine a development plan for the Star-Orion South Diamond
Project. The budget allows Shore to continue with the Environmental
Impact Assessment process, including continued public engagement and
consultation.
Newmont Mining Corporation of Canada Limited ("Newmont") has elected not
to participate in the 2011 budget. The parties have agreed that
Newmont's interest in the FALC-JV (Shore 66 percent, Newmont 34
percent) will continue to dilute through completion of the final
Feasibility Study.
Senior Vice President Exploration and Development, George Read, states:
"This budget allows Shore to focus its 2011 activities on the work
required to complete the Feasibility Study and consider a production
decision, in furtherance of our goal to establish Saskatchewan's first
diamond mine."
Shore is a Canadian based corporation engaged in the acquisition,
exploration and development of mineral properties. Shares of the
Company trade on the TSX Exchange under the trading symbol "SGF".
Caution Regarding Forward-looking Statements
This news release contains forward-looking statements as defined by
certain securities laws, including the "safe harbour" provisions of
Canadian securities legislation and the United States Private
Securities Litigation Reform Act of 1995. Forward-looking information
is often, but not always, identified by the use of words such as
"anticipate", "believe", "expect", "plan", "intend", "forecast",
"target", "project", "guidance", "may", "will", "should", "could",
"estimate", "predict" or similar words suggesting future outcomes or
language suggesting an outlook. In particular, statements regarding
Shore's future operations, future exploration and development
activities or other development plans constitute forward-looking
statements.
Forward-looking statements in this press release include, but are not
limited to, the anticipated timing of the completion of the feasibility
study and following production decision and development plan.
These forward-looking statements are based on Shore's current beliefs as
well as assumptions made by and information currently available to it
and involve inherent risks and uncertainties, both general and
specific. Risks exist that forward-looking statements will not be
achieved due to a number of factors including, but not limited to, the
ability of the provincial and federal governments to undertake the
required review, the impact of the public consultation period
associated with the Environmental Impact Assessment process, changes
in exploration, development or mining plans due to exploration results
and changing budget priorities of Shore or its joint venture partners,
the effects of competition in the markets in which Shore operates, the
impact of changes in the laws and regulations regulating mining
exploration and development, judicial or regulatory judgments and legal
proceedings, operational and infrastructure risks and the additional
risks described in Shore's most recently filed Annual Information Form,
annual and interim MD&A. Shore's anticipation of and success in
managing the foregoing risks could cause actual results to differ
materially from what is anticipated in such forward-looking statements.
Although management considers the assumptions contained in
forward-looking statements to be reasonable based on information
currently available to it, those assumptions may prove to be incorrect.
When making decisions with respect to Shore, investors and others
should not place undue reliance on these statements and should
carefully consider the foregoing factors and other uncertainties and
potential events. Unless required by applicable securities law, Shore
does not undertake to update any forward-looking statement that is made
herein.
For further information:
Joseph Dickson, Investor Relations Manager at (306) 667-3505 and http://www.shoregold.com/">www.shoregold.com
