Premier Gold Announces Property Swap with Goldcorp

Premier Gold Mines (TSX:PG) announced that it has agreed to a property swap with Goldcorp Inc. (TSX:G,NYSE:GG). Under the agreement, Premier will raise its interest in the Hasaga property to 100 percent, while Goldcorp will receive Premier’s 35-percent participating interest in the East Bay property and its 100-percent interest in the PQ-North property.

For Premier, highlights of the transaction include:

• Strategically-located proximal to the Balmer-Confederation unconformity, recognized as an important geologic feature in multi-million ounce past and currently-producing Red Lake area mines.
• The Hasaga and Gold Shore Mines, which produced some 240,000 ounces of gold from 1936 to 1952, remain open at depth.
• Limited shallow drilling suggests the potential to target mineralization amenable to open pit mining methods with broad intercepts in excess of 1.0 g/t Au.
• The Hasaga Property is proximal to significant infrastructure, including nearby roads, power lines and gold mills.

Ewan Downie, president and CEO of Premier, commented:

The Hasaga property acquisition is consistent with our strategy to acquire assets in mine-friendly jurisdictions with proximity to infrastructure. This transaction streamlines our asset portfolio while increasing our flexibility to explore and develop core regional interests. The Hasaga Property has seen only limited exploration since the mine was closed in the early 1950′s and reminds me of the opportunity we saw when acquiring the Company’s Hardrock Property in 2008.

Click here to read the full Premier Gold Mines (TSX:PG) press release.