VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 28, 2008) - Goldsource Mines Inc. (the "Company") (TSX VENTURE:GXS) wishes to make the following statements regarding the intercepts of coal disclosed in its news release dated April 22, 2008. The Company cautions against placing undue reliance on the visual observations set out below with respect to the coal until the results of the analytical work underway have been announced.
- The coal intercepts were encountered in two core holes that were drilled as part of the Company's ongoing exploration program for diamondiferous kimberlites. The holes are located on the Border property approximately 50 kilometres north of Hudson Bay, Saskatchewan. The property is accessible by highway and railway which transverse the area of interest.
- The Company believes that the coal encountered in the drill holes is of Cretaceous age. The coal is black and moderately hard and therefore judged by visual characteristics to be either sub-bituminous or bituminous in rank rather than lignite. The Company knows of no record of occurrences of lignite coal in Cretaceous aged rock formations in Saskatchewan. A picture of a portion of one of the coal intercepts and representative photos of select samples are attached.
- The top 22.6 metres of the coal seam appears consistent in both holes with few visible partings (less than 0.1 metres). The lower 4.5 to 11.6 metres is mixed coal and sandy/silty partings. The stratigraphy over-lying (glacial till and mudstones) the top of the seam is also consistent between drill holes and there is only about 1.6 metres difference in the elevations of the tops of the seam although the holes are 1.64 kilometres apart. The depth from surface to the top of coal seam is approximately 80 metres. It is initially assumed that the coal seam is the same in both holes and although the deposit appears to be of low complexity as defined by Paper 88-21 of the Geological Survey of Canada for the standardized reporting of coal reserves and resources in Canada, additional drilling will be needed to confirm this.
- The proximate analyses (ash, fixed carbon, moisture, thermal energy, etc.), rank of the coal, sulphur content and the coal's coking characteristics, if any, will be determined by the analysis of 47 core samples submitted to a certified laboratory in Calgary, Alberta. The results are expected prior to the end of the week and will be released by the Company once they have been compiled and integrated with all other data available to the Company. The Company has retained half of the sampled core for future work.
- The Company has made application for coal permits covering the area of interest in accordance with the Coal Disposition Act of Saskatchewan. The time frame for granting of the permits is dependent upon regulatory requirements to process the applications.
- The Company has engaged Fugro Airborne Services who completed an airborne geophysical survey of the area in 2006 for diamond exploration to re-process the 5,700 line kilometres of EM geophysical data that is available to the Company in an effort to delineate the aerial extent and the thickness of the coal seam.
- Depending on the results of the coal analysis and systematic compilation of all available data, the Company plans on further drilling at the Border property after spring breakup and road restrictions are lifted in the area of interest.
- Mr. Drever, President of Goldsource Mines Inc., and Mr. Fier, CPG, P.Eng., who is a consultant and Qualified Person for the Company, both have extensive experience in the exploration and evaluation of coal deposits in Canada, USA and South America.
The Qualified Person for Goldsource is N. Eric Fier, CPG, P.Eng., who has reviewed and approved this news release.
This news release contains forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds; the timing and content of work programs; results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of coal permits and mineral property titles; project cost overruns or unanticipated costs and expenses, fluctuations in product prices; currency fluctuations; and general market and industry conditions. Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
On Behalf of the Board of Directors of Goldsource Mines Inc.
J. Scott Drever, President
To view attached images please click on the following link: http://media3.marketwire.com/docs/gxs0428.pdf
FOR FURTHER INFORMATION PLEASE CONTACT:
Goldsource Mines Inc.
(604) 691-1761 (FAX)