Bison drills 2.43 m of 42.5 g/t Au at Central Manitoba

2008-07-21 11:04 ET - News Release

Mr. Lucas Ewart reports

BISON GOLD REPORTS 42.5GAU/T/2.43M IN DRILLING ON NEW TENE EAST DISCOVERY AT CENTRAL MANITOBA

Bison Gold Exploration Inc. is releasing results from its 2008 drill program on the Central Manitoba gold property located in the Bissett-Rice Lake belt in southeastern Manitoba. The Central Manitoba mine, which produced 160,000 ounces of gold during its 1927 to 1937 production period, remains the second largest producer in the belt, next to the recently reopened San Antonio mine at Bissett.

The 2008 drill program, which totals 3,242 metres, tested a variety of targets along the three-kilometre-long Central Manitoba shear zone structure. Previous smaller drill programs in 2006 and 2007, returned encouraging results from the Wentworth vein and Tene Deep zone. The 2008 program consisted of 16 drill holes which ranged individually from 62 metres to 452 metres in drill depth. Of these holes, six were step-outs extending the Wentworth vein along strike to the west, six were drilled between the Kitchener, Tene and Hope shafts along the Central Manitoba zone, three were drilled under the old mine workings, and one was a wildcat hole to the southeast along the prospective gabbro sill. Results on four of the 2008 holes, CM-08-1, CM-08-2, CM-08-3 and CM-08-6 were previously released (see the company's news release in Stockwatch on May 23, 2008).

Significant gold intersections were returned in holes CM-08-4, CM-08-6, CM-08-8, CM-08-9 and CM-08-10 from the 16-hole 2008 program. The remaining holes all intersected strong, locally quartz-veined, shear structures, with anomalous gold values, but grades in these other holes were generally less than one gram per tonne (g/t) gold over minable widths.

                         SIGNIFICANT INTERSECTIONS

Drill hole No.    Core interval (m)  Core width (m)  True width (m)  Au (g/t)

CM-08-4           190.92 to 193.35            2.43            0.83      42.5

and               206.85 to 209.89            3.04            1.74      10.0

CM-08-6             70.70 to 73.68            2.98            2.41       6.0

including           72.13 to 73.68            1.55            1.26      10.4

CM-08-8             21.57 to 22.79            1.22            0.86       4.3

CM-08-9             29.08 to 30.37            1.29            0.83       3.7

CM-08-10            38.22 to 40.14            1.92            0.66       6.1

Estimated true widths for the above intersections were calculated from the core angles of veins and schistosity as noted during core logging. The weighted average grades for drill hole CM-08-4 in the table on significant intersections include assays which were in excess of one ounce per ton gold (34.3 g/t gold) and are uncut for this calculation.

The most interesting results from this program were returned from hole CM-08-4, which was oriented at minus 55 degrees/015 degrees azimuth and designed to intersect the Tene mine structure at a depth of roughly 200 metres at a point about 100 metres east of the ends of the deep exploration drifts from the 1930s. This drill hole intersected 42.5 g/t gold across a core width of 2.43 metres at 190.92 to 193.35 metres and a second intersection of 10.0 g/t gold across 3.04 metres at 206.85 to 209.89 metres. These intersections, termed the Tene East zone, occur in sheared gabbro that is quartz-veined, and mineralized with chalcopyrite, pyrrhotite and local visible gold. It appears likely that this drill hole has intersected a southeast-plunging extension of the Tene mine veins or possible new en-echelon vein within the Central Manitoba structure.

Drill hole CM-08-6, which was reported in the company's May 23, 2008, news release in Stockwatch, intersected 6.0 g/t gold across 2.98 metres at 70.70 to 73.68 metres, including 10.4 g/t gold over 1.55 metres at 72.13 to 73.68 metres. This intersection, called the Tene West vein, is situated between the Tene mine and Wentworth vein, at a point roughly 100 metres west of the west end of the shallow stopes in the Tene mine. This drill hole was oriented at minus 50 degrees/015 degrees azimuth and designed to test westerly extension of the mine structure at roughly 50 metres depth.

Drill holes CM-08-8, CM-08-9 and CM-08-10 were all drilled from the same setup, at minus 45 degrees, minus 60 degrees and minus 72 degrees, respectively, toward an azimuth of 015 degrees, to test the westerly extension of the Wentworth vein. The Wentworth vein had previously been drilled in both the 2006 and 2007 programs. These holes in the 2008 program were collared at a point 40 metres west of holes CM-07-1, CM-07-2 and CM-07-3, which had intersected interesting gold values, including 15.5 g/t gold over a core width of 1.91 metres. Drill holes CM-08-8, CM-08-9 and CM-08-10 cut 4.3 g/t gold across 1.22 metres, 3.7 g/t gold over 1.29 metres and 6.1 g/t gold across a core width of 1.92 metres, respectively. Drill holes CM-08-11, CM-08-12 and CM-08-13 were drilled a farther 80 metres west of holes CM-08-8, CM-08-9 and CM-08-10, and intersected a strong, quartz-veined shear structure, but gold values were low. From the 2006, 2007 and 2008 drilling, the mineralized zone along the Wentworth vein appears to have a strike length of about 120 metres and is open at depth. Drilling to date along this vein has been very shallow and has not tested below about 50 metres depth.

"The 2008 drilling program was successful, both in extending the Wentworth vein and locating new exploration targets near the Tene mine," stated consulting geologist William Hood. "The discovery of coarse visible gold, and excellent grades in the new Tene East zone appears to be a different style of mineralization from the Wentworth and Tene West veins."

Bison Gold intends to undertake a follow-up drilling program on the Central Manitoba property to test both the new Tene East and Tene West discoveries, further delineate the Wentworth vein to depth, and drill under the old Ogama-Rockland gold mine, situated about five kilometres southwest of the Central Manitoba mine. The Ogama-Rockland mine produced 45,000 ounces of gold in its 1948-1951 production period and these veins are believed to extend well below the bottom of the mine workings at a depth of 200 metres.

"These drill results are an exciting development for Bison Gold," said Lucas Ewart, chief executive officer of Bison Gold. "Our systematic approach to exploring the Central Manitoba mine structure is proving successful and we feel we are on track for a significant discovery in this area. With our recent financing in place, we are prepared to move ahead aggressively with this work."

The Central Manitoba drilling program was completed under the supervision of William C. Hood, PGeo, a qualified person under NI 43-101. Drill core was sawed, with half sent to SGS Mineral Services in Red Lake and the other half retained for reference. Gold analysis was done by 50-gram fire assay with gravimetric finish. SGS maintains a quality control program with standards, blanks and duplicates. Blank check samples were inserted regularly and all blanks returned gold assays less than 0.03 g/t gold. W.C. Hood has reviewed this news release.

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