Northern Star Resources advises that drilling at its Paulsens gold mine in Western Australia has returned an intersection of 0.8 m at 12,178 grams per metric ton (g/mt) gold (1.27%). The intersection is believed to contain one of the highest grades ever recorded in the Australian gold mining industry. The spectacular result was part of an overall diamond drill hole intersection of 5.6 m at 1,713 gpt. The results will form part of the maiden resource estimate for Paulsens’ Voyager 2 lode, which is scheduled for release next year.

As far as recent major discoveries, Ramelius Resources reported in 2007 that it had intersected 16 m at 482 g/mt, including 1 m at 6,770 g/mt, at its Wattle Dam gold mine in Western Australia. Goldstar Resources reported an intersection of 0.35 m at 5,604 g/mt at its Walhalla gold project in Victoria in 2006. In 2007, Barra Resources intersected 0.21 m at 10,300 g/mt at its Burbanks mine near Coolgardie. This was part of a 4.69 m intersection at 462 g/mt. Dominion Mining unveiled a host of spectacular results at its Challenger gold mine in South Australia in 2008, including 1.8 m at 1,079 g/mt.

In addition to the maiden resource estimate for Voyager 2, Northern Star is also preparing a resource upgrade on the Voyager 1 lode, which has supplied all the ore mined by the company at Paulsens to date. The upgraded Voyager 1 resource estimate will underpin a revised mine plan, including increased production, cash flow and mine life projections, for Paulsens. This new mine plan will play a pivotal role in Northern Star’s strategy to grow annual production from 80,000 oz currently to 200,000 oz. About half of this total output will flow from an expanded mill at Paulsens, with the rest being produced at the Ashburton sulphide project.

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