Monday, October 26, 2009

BLAIR NORTH RC DRILLING COMMENCES:


􀂾 NORTHERN MINING AND SOUTHERN GOLD JOINT FUNDING ~480 METRE RC GOLD
DRILLING PROGRAMME ALONG COMMON BOUNDARY AT GEORGE’S REWARD
􀂾 ~1,500 METRE RC DRILLING PROGRAMME TO COMMENCE TO FOLLOW UP
SUCCESSFUL RAB AND SOIL PROGRAMMES
BLAIR NORTH PROSPECT E25/268, EAST KALGOORLIE PROJECT – WESTERN AUSTRALIA

(Northern Mining Ltd 90%, Balagundi Gold Pty Ltd 10%, right to earn to 24%)
Northern Mining Limited (ASX:NMI) has entered an agreement with Southern Gold (ASX:SAU) to jointly fund approximately 480 metres of reverse circulation (RC) drilling on the southern boundary of George’s Reward in the Southern Zone of NMI’s highly prospective Blair North Prospect. Previous drilling by NMI within 10 metres of the NMI and SAU boundary intersected 42 metres @ 2.7g/t Au from 32 metres depth. SAU has previously confirmed a zone of mineralisation of 33m @ 1.85g/t Au from 28 metres (including 11m @ 4.1g/t Au) immediately to the south of the tenement boundary (refer announcement released today to the ASX by SAU). The joint funded RC programme has commenced.
As well, NMI is due to commence a ~1,500m RC drilling programme to follow up the recent successful rotary air blast (RAB) drilling (results announced Tuesday 20 October 2009). The programme is designed to follow up the following:
􀂾 The recent RAB programme confirmed an extensive gold footprint measuring approximately 600m by 600m at the Northern Zone of the prospect. Gold is dispersed throughout a large palaeo-channel with several values over 1 g/t (including 16m @ 1.1g/t) and maximum values of 6.4 g/t. Anomalous gold was also encountered in weathered bedrock.
􀂾 A significant gold anomaly footprint has been identified from RC, diamond and RAB drilling at George’s Reward in the Southern Zone of the prospect. This anomaly contains coarse, free gold open to the north, south, west and at depth with along strike continuity of gold shoots.
Results of the RC programmes will be announced as they become available.
Alan Lockett
Executive Chairman

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