Pele’s Highland gold properties are located about 100 kilometres southeast of Hemlo along the Michipicoten Greenstone Belt (“MGB”), home to several past producing gold mines including the Renabie Mine (more than one-million ounces) and where Richmont Mines Inc. is now operating the Island Gold Mine. The Highland properties include shear-hosted gold occurrences associated with quartz veins that commonly contain visible gold.

While the important historical gold mines of the MGB were high-grade, narrow-vein, underground operations, at today’s higher gold price, lower-grade, open-pit deposits are also becoming economically attractive. At the nearby Magino Mine, Prodigy Gold Inc. has reported an Indicated Resource of nearly two million ounces of gold within wide zones of lower grade mineralization at a past-producing underground mine.

The Highland gold properties have excellent geologic potential for the discovery of high-grade narrow-vein deposits similar to Island and lower-grade high tonnage deposits similar to Magino.

Pele recently announced that it is developing plans to separate its Eco Ridge Rare Earths and Uranium Project from the gold properties held in Pele Gold Corporation, including the Highland projects, as a means of providing value to its shareholders. In advance of the proposed separation, Pele is updating the NI 43-101 Technical Report for its Highland Gold projects in preparation for an active field season. Following receipt of the updated Technical Report, Pele will announce plans to pursue its recommendations, building upon the considerable history of field work and drilling at Highland with two primary objectives:

• Outline mineable resources within the shear-hosted, narrow-vein, high-grade mineralization similar to what has been historically mined in the area.
• Establish higher-tonnage, lower-grade deposit(s) similar to the Magino Mine and elsewhere at many of the major gold camps of Northern Ontario.

At the East Highland Project, Pele has received updated engineering plans for the extraction of a high-grade, near-surface bulk sample at the ‘A’ zone and has discovered widespread stockwork quartz veining that includes visble gold at the Lone Ranger zone.

At the West Highland Project, past drilling and sampling has returned high-grade gold at numerous showings, including the Springbank, Farquhar, Talisker, and Bowmore zones near the southern contact of the Gutcher Lake Stock (“GLS”). Pele also sampled high-grade gold, silver and base metals along the northern contact of the GLS and at the historic Kozak occurrence.