Pele Reactivates Highland Gold Project

TORONTO - Pele Mountain Resources Inc. reported that it has reactivated its Highland Gold Project in response to a robust gold market. The Company initiated detailed data compilation, supported by field work during the fall of 2008, and in the upcoming field season, is planning follow up exploration with the objective of outlining near-term mineable resources. Pele Mountain President and CEO Al Shefsky stated, With three operating mill facilities nearby and outstanding local infrastructure, we believe there is excellent potential to rapidly develop revenue generating operations at Highland. We intend to activate this second front to realize value from our gold assets without compromising our primary focus, which is continuing to advance our Eco Ridge Mine uranium project at Elliot Lake toward development and production.
The Highland Project, covering more than 10,000 hectares, is located in the Michipicoten Greenstone Belt, approximately 100 kilometres to the southeast of Hemlo in Northern Ontario. The Michipicoten Belt, where Richmont Mines Inc. is operating the Island Gold Mine and milling complex, is also home to several past producing gold mines, including the one-million ounce plus Renabie Mine. Over the past 12 years, Pele has consolidated fragmented mining claims covering favorable geology through acquisitions and staking and has now accumulated one of the largest mining claim holdings in the area. The property covers shear-hosted gold occurrences, mainly quartz veins commonly containing visible gold, along the Goudreau-Localsh Deformation Zone (GLDZ) within intensely deformed and altered Archean metavolcanic, metasedimentary, and intrusive rocks. Eighteen (18) gold occurrences, two of which have historic underground workings (Murphy, Kozak) and two of which have seen surface bulk sampling (Markes, A zone), have been found to date on the property. At East Highland, a number of gold occurrences occur along 4 to 5 kilometre wide parallel zones along the GLDZ, representing the hanging wall (north) and footwall (south). North Zone occurrences include the Markes North, McCall, Laughlin, and zones on the Highland property and the Cline Shaft No. 2, Pine, Morrison and Kremzar Mine occurrences on adjacent properties to the west. South Zone occurrences include the Markes, B, and E zones on the Highland property and the Cline, Edwards, Island, and Magino mines on adjacent properties to the west
In late-2008, a 40 metre-wide, rhyolite hosted, sheared, silicified, and sericitized, gold mineralized zone, the Lone Ranger occurrence, was discovered in an under-explored area of the property. A single composite chip sample across the 40 metres gave a gold assay of 0.49 g/t Au. The zone has been traced along strike for more than 3 kilometres. This new discovery will be a focus of exploration in the upcoming field season.
The company’s address is 2200 Yonge Street, Suite 905 Toronto, ON M4S 2C6, 416-368-7224, fax: 416-368-7230.