13:00 UK: BoE, Ergebnis und Protokoll der Sitzung des geldpolitischen Rats Bank Rate PROGNOSE: 5,50% zuvor: 5,25% 13:00 TR: Türkische Zentralbank, Ergebnis der Sitzung des geldpolitischen Rats 14:30 US: Erstanträge Arbeitslosenhilfe (Woche) PROGNOSE: 225.000 zuvor: 220.000 14:30 US: Leistungsbilanz 2Q PROGNOSE: -222,50 Mrd USD 1. Quartal: -219,30 Mrd USD 14:30 US: Philadelphia-Fed-Index September PROGNOSE: 0,0 zuvor: +12,0 16:00 EU: Index Verbrauchervertrauen Eurozone (Vorabschätzung) September PROGNOSE: -16,4 zuvor: -16,0 16:00 US: Index der Frühindikatoren August PROGNOSE: -0,5% gg Vm zuvor: -0,4% gg Vm 16:00 US: Verkauf bestehender Häuser August PROGNOSE: +0,7% gg Vm zuvor: -2,2% gg Vm 23:15 US: EZB-Chefvolkswirt Lane, Rede bei Veranstaltung der New York University
International Tower Hill Mines believes that mineral deposit discovery is enhanced through the integrated work of a highly skilled geologic team and endeavors to cultivate and promote the discovery culture within its organization.
Corporate Overview
International Tower Hill Mines Ltd. ("ITH") possesses an expanding portfolio of Alaskan and Nevada based gold and base metal exploration projects. The majority of the Alaska projects were acquired from AngloGold Ashanti (U.S.A.) Exploration Inc. ("AngloGold") as part of a regional program divestment in which ITH acquired all of AngloGold's active exploration properties and assets in the region for a 19.99% equity interest in ITH at the transaction date. In addition, ITH hired key members of AngloGold's North American exploration team to manage its ongoing exploration activities.
The ITH business model offers considerable competitive advantages in the market place by leveraging the significant investment made by AngloGold in the region and properties with the flexibility and aggressiveness of a junior explorer and mine finder.
Corporate Vision
Become a leading Mining Company, supported by a culture of teamwork, innovation and integrity.
Strategy for Enhanced Corporate Performance:
Maintain majority ownership during critical, high value discovery and definition stage of the process
Seek alliances with major mining companies for the development of its deposits
Value creation through mineral deposit discovery
Achieving the first mover position by utilizing an aggressive exploration strategy that relies on a robust pipeline of quality projects linked to early drilling driven evaluations
Provide safe working environment
Fulfill employee's aspirations
Protect the environment
Respect cultural values and differences
Support local communities
Focus exploration activities in highly prospective, under explored terrain in countries and regions that offer security of tenure and support mineral deposit development
Corporate Standards
Environmental Management
Ability to implement an Environmental Management System
Capability to apply high standards of environmental performance
Safety
Ability to implement a Health and Safety Management System
Provide training
Create a safety culture
Expertise
Community Relations
Knowledge of local culture in different areas the Corporation operates
Adhering to all the laws and regulations applicable to its activities, being a good steward of the land and respecting the values and interests of the people and communities in the regions in which it works
June 10, 2009
International Tower Hill Mines Livengood Gold Project, Alaska Summer Drilling Program Commences
--------------------------------------------------------------------------------
Vancouver, B.C........International Tower Hill Mines Ltd. ("ITH" or the "Company") (TSXV: ITH, NYSE-A: THM, Frankfurt: IW9) is pleased to announce the start of the summer drilling program and outline of its second half 2009 program at its Livengood Gold Project, near Fairbanks, Alaska (Figure 1).
June 1, 2009: Summer drilling program has commenced and is scheduled to complete at least 35,000 metres of reverse circulation and diamond drilling over 5 months, utilizing 3 reverse circulation drill rigs and one deep hole core rig. The initial focus of the program will be the higher grade +1 g/t gold zone of the system. The program will also include a series of deep holes testing for deposit extension at depths of 300 -- 600 metres below known mineralized gold deposit. The Company will provide monthly drill result updates.
June, 2009: Completion of updated 43-101 resource estimate, which will include the results of the Winter 2009 drilling (~10,000 metres) representing 35 holes (all of which except one intercepted significant widths of greater than 0.8 g/t gold).
July, 2009: Anticipated completion of independent 43-101 Preliminary Economic Assessment of the Livengood deposit, based on the June, 2009 resource update.
August, 2009: Anticipated receipt of first deep hole results.
September, 2009: Anticipated receipt of initial results from New Discovery target testing. A total of four new discovery targets are planned to be drill tested, all of which are within the main 12.5 kilometre Livengood gold anomaly. In addition, first pass surface exploration will be conducted on other district scale targets along trend to the north-east.
October, 2009: Updated 43-101 resource estimate, including the results of the bulk of the Summer 2009 drill program (~25,000 metres) and the results of the ongoing metallurgical testing and the deep drilling.
November, 2009: Planned end of Summer 2009 drill program.
December, 2009: Anticipated receipt of permitting path summary from ongoing Alaska Large Mine Permitting program.
January-February, 2010: Anticipated receipt of final 2009 year end resource update (including all Summer 2009 drilling results) and commencement of Winter 2010 drilling program.
Figure 1: Livengood western area map illustrating the 2009 exploration/drilling focus areas.
Livengood Project Highlights
The new resource estimate (January, 2009), for the Livengood Deposit makes it one of the largest new gold discoveries made globally over the past decade, with 128.6 M/t at an average grade of 0.83 g/t (3.41M ounces gold) and inferred resource of 142.1 M/t at an average grade of 0.74 g/t (3.39M ounces gold), based on a cut off grade of 0.50 g/t gold.
Numerous holes on the edge of the current drill pattern and holes drilled as significant step outs (several hundred metres) have returned thick +1 g/t gold intervals -- indicating significant expansion potential for the higher-grade Core Zone of the deposit to the northeast, southwest and south.
Many of the holes completed in the second half of 2008 ended in significant mineralization, outlining the good potential for expanding the deposit at depth.
The current drilling at Livengood only covers about 2 square kilometres of the Main Gold Target, which is approximately 12 square kilometres in area, offering excellent district scale exploration potential.
Ongoing metallurgical studies continue to support the deposit's potential for heap leach gold recovery. Initial test work suggests that enhanced recoveries might be achieved with milling, and these results are now being followed up with a series of milling tests.
The geometry of the currently defined shallowly dipping, outcropping mineralized zone suggests a low strip, open pit mining potential.
The project has a favourable logistical location and no major permitting hurdles have been identified to date.
The Livengood project has a very favourable logistical location, being situated 110 road kilometres north of Fairbanks, Alaska along the paved all-weather Elliot Highway and the Trans Alaska Pipeline Corridor; and approximately 55 kilometres north of the Alaska State power grid and along the proposed Alaska natural gas pipeline route.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package, which is comprised primarily of fee land leased from the Alaska Mental Health Trust together with a number of smaller private mineral leases. The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003, with the project's first indicated resource estimate being announced in early 2008. The 2008 drilling program marked the first grid drilling resource definition campaign for the project and is only the initial step in what the Company envisions as a major exploration program to define what it anticipates is one of the world's larger new gold deposits.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of
INTERNATIONAL TOWER HILL MINES LTD.
(signed) Jeffrey A. Pontius
Jeffrey A. Pontius,
President and Chief Executive Officer
4.04M Ounces Gold Indicated and 3.6M Ounces Gold Inferred
Vancouver, B.C...International Tower Hill Mines Ltd. ("ITH" or the "Company") - (TSXV: ITH, NYSE-A: THM, Frankfurt: IW9) is pleased to announce the results of its independently prepared 2009 winter program mineral resource update estimate for the Money Knob deposit at its Livengood gold project near Fairbanks, Alaska (Tables 1-3). The independent study incorporates all the drilling in the 2009 winter program plus the previous drilling for an overall total of 189 diamond and reverse circulation holes (Figure 1). This new resource estimate will form the basis for the Company's initial Preliminary Economic Assessment which is scheduled to be completed July 2009.
The new resource estimate shows the expansion of the higher grade Core Zone of the deposit with a 20% increase in total ounces at the 0.7 g/t cut off (Table 2). The Core Zone area has an estimated indicated gold resource of 84.9 M/t at an average grade of 1.06 g/t gold (2.88M ounces) and an estimated inferred gold resource of 68.8 M/t at an average grade of 0.99 g/t gold (2.2M ounces), based on a cut off grade of 0.70 g/t gold.
At a 0.3 g/t gold cut off, the average grade of the overall deposit has increased by approximately 8% (Table 3) as most of the winter drilling was targeted on the higher grade Core Zone.
At a 0.5 g/t cutoff, the average grade of the overall deposit has increased by 5.4% (Table 2).
Mineralization remains open for expansion in all directions.
Four drills (3 reverse circulation and one core) are current operating on the summer drilling program of 45,000 metres and the next resource update is anticipated for October 2009.
The current drilling at Livengood only covers approximately 3 square kilometres of the Main Gold Target, which is approximately 12 square kilometres in area.
Ongoing metallurgical studies focusing on the potential milling of Livengood mineralization indicate that portions of the mineralization have an unusually high gravity concentration component, with an average of 77% of the gold reporting to just 15% of the material. Cyanide extraction tests also indicate that the mineralization would be amenable to heap leach treatment of low grade material.
The geometry of the currently defined shallowly dipping, outcropping ore zone suggests a low strip, open pit mining potential that could support a high production rate and economies of scale.
Figure 1: Distribution of 2008 and 2009 drill holes incorporated into the May 2009 mineral resource estimate.
The drilling incorporated into the new resource estimate was primarily from two areas of permafrost that are best accessed in the winter months and added an average of over 20,000 ounces of gold per hole to the resource (Figure 1). The generally higher grade intervals in the SW target area raised the overall grade of the resource by approximately 5.4%. The Summer 2009 drilling program began on June 1st and, to date, has completed 25 holes of the 120 holes planned (assays pending). A 3D image of the most recently released Livengood drill information can be viewed at: http://www.corebox.net/properties/livengood.
Jeff Pontius, President and CEO of ITH stated "This most recent resource expansion has now placed the Livengood project into a small and unique group of 100% owned junior deposits, with the potential to support a very large production profile. The increase in overall grade by 5.4% and the higher confidence level of the resource will have a significant impact on the current economic modelling. The overall size and configuration of the deposit and its favourable gold recovery characteristics continue to support the project's potential for large scale, low cost production with a significant starter pit component".
Livengood Project Highlights
The Company wishes to emphasize that the Livengood project has a very favourable logistical location, being situated 110 road kilometres north of Fairbanks, Alaska along the paved all weather Elliot Highway and the Trans Alaska Pipeline Corridor and approximately 55 kilometres north of the Alaska State power grid and along the proposed Alaska natural gas pipeline route.
As a comparison, the Fort Knox mine, one of North America's larger gold mines and located 80 kilometres to the southeast of Livengood, reported in their March 30, 2007 43-101 technical report a proven and probable resource estimate of 159Mt at an average grade of 0.53g/t gold (the current Livengood resource significantly exceeds Fort Knox at this time). The Fort Knox mine has announced that they are currently commissioning a large run of mine heap leach facility to augment their current milling operations, and estimates an average heap leach recovery of 61%. The Fort Knox mine reported 2007 gold production of 338,459 ounces at a life of mine cash cost of approximately USD 390/ounce. However, the Company cautions that this information with respect to the Fort Knox property and operations could not be verified by the Company and is not necessarily indicative of the mineralization on the Livengood Property or the potential production from, or cost of, any future mining of the Livengood Property.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package, which is primarily made up of fee land leased from the Alaska Mental Health Trust and a number of smaller private mineral leases. The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003, with the project's first indicated resource estimate being announced in early 2008. The 2009 drilling program is part of a series of drill initiatives marking the first grid drilling resource definition campaign for the project and is only the initial step in what the Company envisions as a major exploration program to define what it anticipates is one of the world's larger new gold deposits.
Updated Resource Estimate
On June 24 2009, Barnes Engineering Services, Inc. delivered the updated mineral resource estimate which will be incorporated into in the forthcoming report on the preliminary economic viability of the Livengood project. The updated resource estimate was prepared as at May 30, 2009 in accordance with the requirements of N.I. 43-101 and incorporates the data for all drilling through the end of May 2009.
The May 2009 indicated and inferred mineral resource estimate for the Livengood deposit covers an area of approximately 2.6 square kilometres and is based on 189 drill holes which have an average length of 252 metres and 11 trenches with an average length of 38 metres. Approximately one half of the total estimated area (1.6 square kilometres) contains 177 of the drillholes and, in this area, the geology has been modeled to represent the volumes of the different stratigraphic units on the property. Outside of the modeled area no identifiable stratigraphy has been recognized and, consequently, it has been modeled as a homogeneous mass. Statistically, each of the geological volumes was treated independently with individual kriging parameters developed.
The resource model for the deposit was developed using Multiple Indicator Kriging techniques. Indicator variogram modeling was done on 10 metre composites. The resource model and the variograms were heavily constrained by the lithological model developed by the Company. Statistical analysis showed this to be a reasonable and prudent approach to modeling. Spatial statistics indicate that the mineralization shows very reasonable continuity within the range of anticipated operational cutoffs. Bulk density was estimated on the basis of individual density measurements made on core samples and reverse circulation drill chips from each stratigraphic unit. In total, 95 measurements were used. An average density of 2.72 was used for the entire modeled volume, as the variability between units was small. The resource model, with blocks 15 x 15 by 10 metres, was estimated using nine indicator thresholds. A change-of-support correction was imposed on the model assuming 5 x 5 x 10 metre selectable mining units.
The geology of the holes around the margins of the currently drilled area indicates that the favourable host stratigraphy and alteration remain open laterally and at depth, thus indicating that the system could potentially be much larger than the current estimate.
A detailed description of the updated resource estimate and other pertinent geological information related to the Livengood project will be included in a NI 43-101 compliant preliminary economic assessment technical report being prepared for the Company by Mineral Resource Services Inc., Barnes Engineering Services, Inc. and Pennstrom Consulting Inc., which will be filed on SEDAR within 45 days of this news release.
Qualified Person and Quality Control/Quality Assurance
The work program at Livengood was designed and is supervised by Dr. Russell Myers, Vice President of Exploration, and Chris Puchner, Chief Geologist (CPG 07048), for ITH who are responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project log and track all samples prior to sealing and shipping to ALS Chemex for assay. ALS Chemex's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Finally, representative blind duplicate samples are forwarded to ALS Chemex and an ISO compliant third party laboratory for additional quality control.
Tracy Edward Barnes, P.E. of Barnes Engineering Services, Inc., a consulting mining engineer, is a Professional Engineer in the State of Colorado, US (No. 33381) and as such is acting as the Qualified Person, as defined in NI 43-101, for the resource modeling for the Livengood deposit. Mr. Barnes has a BS degree in Mining Engineering and more than 34 years of relevant mining engineering experience in operating, corporate and consulting environments. Mr. Barnes is also a SME Founding Registered Member. Both Mr. Barnes and Barnes Engineering Services, Inc. are independent of the Company under NI 43-101.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of
INTERNATIONAL TOWER HILL MINES LTD.
(signed) Jeffrey A. Pontius
Jeffrey A. Pontius,
President and Chief Executive Officer
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International Tower Hill Mines Ltd.
TSX VENTURE: ITH
NYSE Amex: THM
FRANKFURT: IW9
Jul 10, 2009 09:30 ETInternational Tower Hill Receives Share Ownership Top-Up Notice From AngloGold Ashanti
VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 10, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce that AngloGold Ashanti (U.S.A.) Exploration Inc., a subsidiary of AngloGold Ashanti Limited ("AngloGold"), has exercised its right to maintain its 13.2907% equity interest in the Company. AngloGold's equity interest had been diluted by virtue of the Company's issuance of shares since January 1, 2009, principally due to the exercise of 7,753,385 warrants, broker options and broker warrants in May.
As a consequence of AngloGold's election to exercise its "top-up" right, the Company will sell to AngloGold, on a private placement basis, an aggregate of 1,218,283 common shares at a price of CAD$2.68 per share (reflecting the closing price of the Company's common shares on the TSXV on July 9, 2009 of CAD$3.15 less the maximum discount (15%), as required by the provisions of the "top-up" right) for gross proceeds of CAD$3,264,998. The private placement is subject to execution of formal documentation and the acceptance for listing of the common shares to be issued by the TSXV and NYSE Amex. The common shares issued in the private placement will be subject to a hold period in Canada expiring 4 months plus one day after closing. The net proceeds from the private placement are anticipated to be used by the Company for continued work on the Livengood Gold project in Alaska, further work on its Alaska and Nevada mineral properties and general working capital.
The "top-up" provision, contained in the June 30, 2006 purchase agreement among AngloGold, the Company and Talon Gold Alaska, Inc. pursuant to which the Company acquired AngloGold's Alaskan assets (including the Company's flagship Livengood property), gives AngloGold the right, twice a year, to maintain its then current equity ownership percentage in the Company on an ongoing basis thereby avoiding dilution as a result of the issuance of shares by the Company in connection with property payments or warrant or option exercises. AngloGold also has a separate right to participate in any equity financings by the Company up to its then pre-financing percentage equity interest.
The common shares have not been and will not be registered under the U.S. Securities Act of 1933, as amended, (the "1933 Act"), or any state securities laws, may not be offered or sold in the United States absent registration under the 1933 Act and any applicable state securities laws or pursuant to an exemption therefrom and are being issued to AngloGold pursuant to exemptions from such registration requirements.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of INTERNATIONAL TOWER HILL MINES LTD.
Jeffrey A. Pontius, President and Chief Executive Officer
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 27E of the Exchange Act. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the anticipated completion of the private placement to AngloGold Ashanti (U.S.A.) Exploration Inc. and the proposed use of the proceeds of the financing by the Company, are forward-looking statements. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, risks associated with the timing and pricing of the private placement. Other risks and uncertainties are disclosed in the Company's annual report on Form 20-F filed with the United States Securities and Exchange Commission, and other information released by the Company and filed with the appropriate regulatory agencies. All of the Company's Canadian public disclosure filings may be accessed via www.sedar.com and its United States public disclosure filings may be accessed via www.sec.gov, and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties.
NR09-18
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this press release, which has been prepared by management.
- July, 2009: Anticipated completion of independent 43-101 Preliminary Economic Assessment of the Livengood deposit, based on the June, 2009 resource update.
- August, 2009: Anticipated receipt of first deep hole results. (!!!)
- September, 2009: Anticipated receipt of initial results from New Discovery target testing. A total of four new discovery targets are planned to be drill tested, all of which are within the main 12.5 kilometre Livengood gold anomaly. In addition, first pass surface exploration will be conducted on other district scale targets along trend to the north-east.
- October, 2009: Updated 43-101 resource estimate, including the results of the bulk of the Summer 2009 drill program (approx. 25,000 metres) and the results of the ongoing metallurgical testing and the deep drilling.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Jul 20, 2009 09:02 ETInternational Tower Hill Announces Results for First 16 Holes of Summer 2009 Drill Program at Livengood Gold Deposit, Alaska
Highlights Include:
VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 20, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") - (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce assay results for the first 16 holes of the 2009 summer drilling program at Livengood gold deposit, Alaska. Results demonstrate the continuity of mineralization at greater than 1 kilometre to the northeast and the extension of the deposit to the east of the main body of the current resource estimate area. Overall, seven of the sixteen holes reported have cumulative grade-thickness products in excess of 100 gram metres, many with mineralization starting at or near surface, establishing the bulk mining potential of these newly delineated areas. To date, 56 holes (16,300 metres) have been completed in the summer program and an additional 25,000 metres of drilling is planned for the remainder of the year.
Key assay results which confirm the continuation of mineralization for over one kilometre to the northeast from the Core Zone (Figure 1: http://media3.marketwire.com/docs/ith720f1.pdf) include: drill holes MK-RC-143 (30.5 metres @1.06g/t gold), MK-RC-145 (25.9 metres @0.91g/t gold), and MK-RC-155 (35.1 metres @1.59g/t gold and 53.3 metres @1.35g/t gold). Additional notable results in the northeast sector include: MK-RC-156 (170 cumulative gram metres) and MK-RC-158 (137 cumulative gram metres), both of which have mineralization starting at shallow depths (Table 1).
In the East sector, results from drill holes MK-RC-153 (69 cumulative gram metres) and MK-RC-157 (108 cumulative gram metres) reflect the continuity of mineralization as drilling steps eastward from the south end of the Core Zone. Current drilling has now extended the east zone mineralization over 225 metres to the east with all holes continuing to intersect significant alteration (assays pending).
Hole MK-09-34, the first 'deep' core hole designed to establish structural controls for the deep target below the Core Zone, intersected several zones of higher grade mineralization associated with NNW trending steeply dipping veins and a high concentration of dikes (22 metres @0.98g/t gold, 41 metres @1.17g/t gold and 48 metres @1.02g/t gold). Results confirmed the structural control for the deep target in this area which is currently being tested with several deep core holes.
In July Kappes, Cassiday and Associates of Reno were awarded the contract to undertake advanced metallurgical studies on the Livengood mineralization. Tests will include gravity and cyanide extraction studies on 6 tonnes of material representing 35 different mineralization types within the deposit. The results of this analysis are expected in Q4 of 2009.
The Preliminary Economic Assessment study is nearing completion and the final report is planned for release in August 2009.
Livengood Project Overview
The Livengood project has a very favourable logistical location, being situated 110 road kilometres north of Fairbanks, Alaska along the paved all-weather Elliott Highway, alongside both the Trans Alaska Pipeline and the proposed Alaska natural gas pipeline route, and approximately 55 kilometres north of the Interior Alaska power grid. ITH controls 100% of its 44 square kilometre Livengood land package that is primarily comprised of fee land leased from the Alaska Mental Health Trust and a number of smaller private mineral leases. The thick, shallowly dipping, outcropping gold deposit at Livengood has a favourable geometry for a low strip, bulk tonnage mining operation. Initial metallurgical data indicates the deposit is potentially amenable to some type of combined milling and heap leach system of gold recovery.
The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003. Resource definition drilling began in 2008 resulting in the delineation of a multi-million ounce resource. The winter 2009 drilling indicated that significant expansion potential still exists in the Southwest sector of the deposit, while the summer 2009 program is rapidly expanding the deposit in the Northeast and East sectors. The drilling continues to define one of the world's larger new gold deposits. In addition the Company is continuing its baseline environmental work ahead of major mine permitting efforts.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of INTERNATIONAL TOWER HILL MINES LTD.
Jeffrey A. Pontius, President and Chief Executive Officergemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
International Tower Hill Delineates Major New Zone of Gold Mineralization at Livengood Gold Project, Alaska
Highlights of the 10 holes in the new zone include:
47 metres @ 1.2g/t gold
41.2 metres @ 1.2g/t gold
131 metres @ 0.88g/t gold
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 5, 2009) -
International Tower Hill Mines Ltd. ("ITH" or the "Company") - (TSX
VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce new
results from the Company's 2009 summer drilling program which reveal
the presence of a second major zone of mineralization. Named the
"Sunshine Zone", the new zone is characterized by virtually continuous
mineralization from the surface to depths in excess of 250 metres in a
zone 100-150 metres wide and over 500 metres long (Figure 1). The
Sunshine Zone is open to the north and could develop into a major
resource expansion for the Livengood deposit.
Grid drilling has also continued to expand the East Zone sector of the
deposit. This zone has now been extended for over 300 metres to the
east. These results represent a dramatic expansion of the deposit from
the last resource estimate in June 2009 and are expected make a
significant impact on ongoing mining studies.
New Drill Results
New assays are available for 13 holes drilled in the East and Northeast
portions of the Livengood Project (Table 1, Figure 2). While each hole
encountered significant zones of mineralization, by far the most
important are the holes in the new Sunshine Zone where mineralization
begins near the surface and continues to depths in excess of 250 metres
(Figure 3). The mineralization is generally hosted in sandstones and
siltstones which are oxidized to depth, further enhancing the value of
this new area of the deposit. On average, each of the 10 holes in the
Sunshine Zone for which assays have been received has over a 200 metre
thickness of mineralization above a 0.25 g/t gold cutoff, indicating
this new discovery will have a major impact on the overall tonnage of
the deposit.
Table 1: Significant Intercepts(i) from New Livengood Drilling
From To Length GoldHole ID (metres) (metres) (metres) (g/t)
Area--------------------------------------------------------------------------------------------------------------------------------------------------------MK-RC-0159
99.1 126.5 27.4 0.77 NE
Livengood Project Highlights
- Ongoing drilling at the project continues to expand the deposit at a
rapid rate, with the current estimated resource only representing a
snapshot in time of what the Company believes is a growing resource
base. The latest resource estimate (June 2009) of 145.76 Mt indicated
at an average grade of 0.863 g/t gold (4.04 Moz) and 142.55 Mt inferred
at an average grade of 0.79 g/t gold (3.6 Moz), both at a 0.5 g/t gold
cutoff, makes it one of the largest new gold discoveries in North
America.
- The higher grade Core Zone in the deposit (indicated resources of
84.9 Mt at an average grade of 1.06 g/t gold and inferred resources of
68.8 Mt at an average grade of 0.99 g/t gold, based on a cut off grade
of 0.70 g/t gold) forms the base for a starter pit component as other
higher grade zones are developing in the SW, Sunshine and East zones of
the deposit.
- The current drilling at Livengood only covers about 30% of the Main
Gold Target, which is approximately 12 square kilometres in area.
- Ongoing metallurgical studies focusing on the mill potential indicate
that the mineralization has an unusually high gravity concentration
component with an average of 77% of the gold reporting to just 15% of
the material. This could offer a significant cost savings opportunity
for both capital and operating costs.
- The geometry of the currently defined shallowly dipping, outcropping
deposit has a low strip ratio amenable for low cost open pit mining
that could support a high production rate and economies of scale.
- No major permitting hurdles have been identified to date.
The Company wishes to emphasize that the Livengood project has a very
favourable logistical location, being situated 110 road kilometres
north of Fairbanks, Alaska along the paved all weather Elliott Highway
and the Trans Alaska Pipeline Corridor and approximately 55 kilometres
north of the Alaska State power grid and along the proposed Alaska
natural gas pipeline route.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package,
which is primarily made up of fee land leased from the Alaska Mental
Health Trust and a number of smaller private mineral leases. The
Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration
Inc., have been exploring the Livengood area since 2003, with the
project's first indicated resource estimate being announced in early
2008. The 2009 drilling program is part of a series of drill
initiatives which mark the first grid drilling resource definition
campaign for the project and is only the initial step in what the
Company envisions as a major long-term exploration program to define
one of the world's larger new gold deposits.
Geological Overview
The Livengood Deposit is hosted in a thrust interleaved sequence of
Proterozoic to Palaeozoic sedimentary and volcanic rocks.
Mineralization is related to a 90 million year old (Fort Knox age) dike
swarm that cuts through the thrust stack. Primary ore controls are a
combination of favourable lithologies and crosscutting structural
zones. In areas distal to the main structural zones the selective
development of disseminated mineralization in favourable host rocks is
the main ore control. Within the primary structural corridors all
lithologies can be pervasively altered and mineralized. Devonian
volcanic rocks and Cretaceous dikes represent the most favourable host
lithologies and are pervasively altered and mineralized throughout the
deposit. Two dominant structural controls are present: 1) the major
shallow south-dipping faults which host dikes and mineralization which
are related to the original fold-thrust architecture, and 2) steep NNW
trending linear zones which focus the higher-grade mineralization that
cuts across all lithologic boundaries. The net result is broad
flat-lying zones of stratabound mineralization around more vertically
continuous, higher grade core zones with a resulting lower strip ratio
for the overall deposit and higher grade areas that could be amenable
for starter pit production.
The surface gold geochemical anomaly at Livengood covers an area 6
kilometres long by 2 kilometres wide of which an area approximately 3
kilometres by 1.5 kilometres has been explored by drilling to date.
Surface exploration is ongoing as new targets are developed to the
northeast of the known mineralization.
Qualified Person and Quality Control/Quality Assurance
Jeffrey A. Pontius (CPG 11044), a qualified person as defined by
National Instrument 43-101, has supervised the preparation of the
scientific and technical information that forms the basis for this news
release and has approved the disclosure herein. Mr. Pontius is not
independent of ITH, as he is the President and CEO and holds common
shares and incentive stock options.
The work program at Livengood was designed and is supervised by Dr.
Russell Myers, Vice President, Exploration, and Chris Puchner, Chief
Geologist (CPG 07048), of the Company, who are responsible for all
aspects of the work, including the quality control/quality assurance
program. On-site personnel at the project photograph the core from each
individual borehole prior to preparing the split core. Duplicate
reverse circulation drill samples are collected with one split sent for
analysis. Representative chips are retained for geological logging.
On-site personnel at the project log and track all samples prior to
sealing and shipping. All sample shipments are sealed and shipped to
ALS Chemex in Fairbanks, Alaska for preparation and then on to ALS
Chemex in Vancouver, B.C. for assay. ALS Chemex's quality system
complies with the requirements for the International Standards ISO
9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are
monitored by the analysis of reagent blanks, reference material and
replicate samples. Quality control is further assured by the use of
international and in-house standards. Finally, representative blind
duplicate samples are forwarded to ALS Chemex and an ISO compliant
third party laboratory for additional quality control.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company,
focused in Alaska and Nevada, which controls a number of exploration
projects representing a spectrum of early stage to the advanced
multimillion ounce gold discovery at Livengood. ITH is committed to
building shareholder value through new discoveries while maintaining a
majority interest in its key holdings, thereby giving its shareholders
the maximum value for their investment.
On behalf of INTERNATIONAL TOWER HILL MINES LTD.
Jeffrey A. Pontius, President and Chief Executive Officergemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
New mineral zone discovered at Livengood this summer
By Patricia Liles
For the Journal
Cited by many as the bright spot in Alaska's mining industry this year, the Livengood gold exploration project in Interior Alaska continues to grow in size and level of activity.
In June, drill crews began working northeast of the main area where recent exploration activity has centered by prospector International Tower Hill Mines Ltd., a Vancouver, B.C., and Denver-based junior exploration company that acquired the Livengood property in 2006.
Assay results from that drilling early this summer resulted in the discovery of a new major-sized mineralized zone, called the Sunshine Zone, according to an Aug. 5 written release.
"It's going to be comparable to what we call the Core Zone, the heart of the first resource we've been working on," Jeff Pontius, president and chief executive officer of International Tower Hill Mines, said in an interview.
Significant about the Sunshine Zone is that gold mineralization is at or near the surface, resulting in a low stripping ratio and reduced mining costs. The mineralization is also oxidized to depth, which means a higher percentage of gold is expected to be recovered in the mining process and a lower-cost processing method, called heap leaching, can be used.
Drill results to date have provided wide intercepts of gold grades equal to or greater than the Core Zone, in an area up to 500 feet wide, 1,640 feet long and to depths of more than 800 feet, the company said.
Highlights of results from the first 10 holes drilled in the Sunshine Zone include a 154-foot interval averaging 0.038 ounces of gold per ton of rock and a 429-foot interval averaging 0.028 ounces of gold per ton of rock, according to the press release.
Open to the north, the Sunshine Zone could "develop into a major resource expansion for the Livengood deposit," the company said.
Current resource estimates at Livengood exceed 10 million ounces, calculated at a gold cutoff of 0.009 ounces of gold per ton of rock, according to a late June release.
"It's very good news from our standpoint," Pontius said. "It looks great and it will be helpful for the mine plan."
Initial results from the new Sunshine discovery have been so encouraging, International Tower postponed releasing this month a preliminary economic assessment study to include geologic information from the Sunshine Zone in the report.
Produced by independent consultants, the study applies a number of financial factors, including estimated capital costs, mining processes and market prices to the existing geologic resource to produce an economic analysis, Pontius said.
Three of the four drill rigs currently working on the project this summer have been focused on Sunshine to feed new geologic information into that economic assessment. The fourth drill rig is conducting reconnaissance exploration work on the Livengood claim block, Pontius said.
Current drilling at Livengood covers only about 30 percent of the main gold target, the company said.
Consultants also are conducting environmental baseline studies this summer, gathering information that will be required should Livengood advance to mine development and permitting stage.
This year, International Tower has budgeted $12 million for Livengood, which included an early year winter drilling program and the current drilling work that will continue through October.
Unlike many junior exploration companies, International Tower is well funded, announcing in late May it received $23.1 million Canadian through warrants, broker options and broker warrants, enough to carry the company for the next two years. In July, International Tower announced that major mining company AngloGold Ashanti exercised its right to maintain a 13.2 percent equity interest in the junior company, funneling another $3.2 million into the company.
"ITH should be able to continue to finance exploration and predevelopment studies in the future given the success that they have continued in their drilling program," said David Szumigala, senior minerals geologist at the Alaska Division of Geological and Geophysical Surveys and co-author of the Alaska Mineral Industry report. "Keeping financing is one indication that the investment community believes that there is a likelihood of the project moving forward towards development."gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
International Tower Hill Mines Ltd.
Aug 26, 2009 06:30 ET
International Tower Hill Closes AngloGold Ashanti Top Up Private Placement and Implements Shareholders Rights Plan
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 26, 2009) - International Tower Hill Mines Ltd. ("ITH" or "the Company") (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce the closing of the "top-up" private placement to AngloGold Ashanti (U.S.A.) Exploration Inc., an indirect subsidiary of AngloGold Ashanti Limited ("AngloGold"), effective August 25, 2009. As a consequence of the placement, AngloGold now holds 7,665,578 common shares, or approximately 13.2907% of the currently outstanding common shares. The Company has also implemented a Shareholders Rights Plan, effective immediately.
AngloGold Private Placement
The private placement to AngloGold consisted of 1,218,283 common shares at a price of CAD 2.68 per share (reflecting the closing price of the Company's common shares on the TSXV on July 9, 2009 less the maximum discount (15%), as required by the provisions of the "top-up" right) for gross proceeds of CAD 3,264,998. The common shares issued in the private placement will be subject to a hold period in Canada expiring on December 26, 2009. The net proceeds from the private placement are anticipated to be used by the Company for continued work on the Livengood Gold project in Alaska, further work on its Alaska and Nevada mineral properties and general working capital.
The common shares issued to AngloGold have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "1933 Act"), or any state securities laws, may not be offered or sold in the United States absent registration under the 1933 Act and any applicable state securities laws or pursuant to an exemption therefrom and were issued to AngloGold pursuant to exemptions from such registration requirements.
Resignation of Director
The Company announces that the designated AngloGold nominee on the ITH board, Mr. Benjamin Guenther, has resigned as a director of the Company, effective August 20, 2009, due to potential conflict of interest issues. AngloGold has advised the Company that it does not intend to nominate a replacement director. The Company would like to take this opportunity to thank Mr. Guenther for his significant contribution toward the development of the Livengood project over the past 3 years, and the directors and management of ITH wish him the best in his new role at AngloGold as head of North American projects.
Shareholder Rights Plan
The Company advises that its Board of Directors has approved the adoption of, and that it has now adopted, a Shareholder Rights Plan, effective immediately, subject to shareholder approval.
The purpose of the Shareholder Rights Plan is to provide shareholders and the Board with adequate time to consider and evaluate any unsolicited bid made for the Company, to provide the Board with adequate time to identify, develop and negotiate value-enhancing alternatives, if considered appropriate, to any such unsolicited bid, to encourage the fair treatment of shareholders in connection with any take-over bid for the Company and to ensure that any proposed transaction is in the best interests of the Company's shareholders.
The rights issued under the Shareholder Rights Plan will become exercisable only if a person, together with its affiliates, associates and joint actors, acquires or announces its intention to acquire beneficial ownership of shares which, when aggregated with its current holdings, total 20% or more of the Company's outstanding common shares (determined in the manner set out in the Shareholder Rights Plan), other than by a Permitted Bid. Permitted Bids must be made by way of a take-over bid circular prepared in compliance with applicable securities laws and, among other conditions, must remain open for 60 days. If a take-over bid does not meet the Permitted Bid requirements of the Shareholder Rights Plan, the rights will entitle shareholders, other than any shareholder or shareholders making the take-over bid, to purchase additional common shares of the Company at a substantial discount to the market price of the common shares at that time.
A copy of the Shareholder Rights Plan was provided to the TSX Venture Exchange (the "TSXV") on August 19, 2009. On August 21, 2009 the TSXV indicated that it had no objection to the adoption of the Shareholder Rights Plan subject to evidence of shareholder approval of the Shareholder Rights Plan within 6 months of the date of the Shareholder Rights Plan, and public disclosure of this news release. The Company will seek shareholder approval of the Shareholder Rights Plan at the annual general meeting of shareholders scheduled to be held on October 15, 2009. A copy of the Shareholder Rights Plan agreement will be filed on SEDAR today.
Resource Update Status
As a consequence of discovery of the new Sunshine Zone at the Company's Livengood project, the Company has delayed its planned Preliminary Economic Assessment (PEA) study until the information from new holes in this zone can be incorporated into the model. This new area of thick, deeply oxidized mineralization, which is continuing to expand rapidly, is the focus of the bulk of the current drilling on the project as it will have a significant impact on the resource estimate and mine design work. The Company is currently planning for a new resource estimate and PEA study to be completed by late third or early fourth quarter of this year.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of INTERNATIONAL TOWER HILL MINES LTD.
Jeffrey A. Pontius, President and Chief Executive Officergemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
East Zone: 75 metres @ 1.0g/t gold, 26 metres @ 2.8g/t gold and 23 metres @ 2.7g/t gold
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 27, 2009) - International Tower Hill Mines Ltd. ("ITH" or "the Company") - (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce the latest results from the Company's 2009 summer drilling program at its Livengood project, Alaska. These results continue to illustrate the significant expansion potential for higher grade mineralization, not only in the newly identified Sunshine Zone (51.8 metres @ 1.27 g/t gold), but also in the East Zone (25.9 metres @ 2.82 g/t gold), the Northwest Zone (12.2 metres @ 3.34 g/t gold) and the Core Zone (21.3 metres @ 6.28 g/t gold and 150.9 metres @ 1.56 g/t gold).
The latest assay results are projected to have a significant impact on resource expansion and mining economic studies. Mineralization in the expanding Sunshine Zone continues to be deeply oxidized and open to the north. The East Zone mineralization has extended the higher grades of the Core Zone to the east, thereby opening up significant potential for an expanding starter pit and to depth. The latest intercepts in the Northwest Zone are extending the higher grades to the west, although the intervals appear to be thinning. The new holes in the Core Zone were drilled across the strike and successfully confirmed grade and width while also expanding the zone to depth. Results from a total of 34 holes from the four areas are reported here (see Tables 1, 2, 3 & 4), while another 48 holes have been completed for which assays are pending.
New Core Zone Results
Drilling during the Summer 2009 season within the Core Zone was designed to target gaps in the existing drilling (MK-RC-182 and MK-RC-186) and to test the zone at depth. The infill drilling has continued to delineate broad zones of +1g/t gold material, with the identification of additional locally high grade (greater than 5g/t gold) zones similar to those encountered during 2007 and 2008. It appears that the Core Zone has a southerly plunge and that hole MK-09-36 was drilled below the main zone of high-grade mineralization.
Table 1: Significant New Intercepts(i) from the Core Zone
(i)Intercepts are calculated using 0.25g/t cutoff and maximum
3 metres of internal waste.
From To Length Gold
Hole ID (metres) (metres) (metres) (g/t)
-----------------------------------------------------
-----------------------------------------------------
MK-RC-0182 85.3 201.2 115.8 1.12
including 94.5 120.4 25.9 1.59
including 161.5 192.0 30.5 1.78
-----------------------------------------------------
MK-RC-0186 38.1 59.4 21.3 6.28
205.7 356.6 150.9 1.56
including 286.5 318.5 32.0 4.54
-----------------------------------------------------
MK-09-36 330.4 342.8 12.4 0.62
354.8 379.2 24.4 0.53
380.1 387.7 7.6 1.90
390.2 394.3 4.1 1.33
-----------------------------------------------------
Results from five holes in the new Sunshine Zone continue to delineate broad zones of mineralization (256 metres in MK-RC-0170, 259 metres in MK-RC-0174 and 245 metres in MK-RC-0222, see Table 2) starting from surface. This near surface oxidized gold mineralization could have a significant impact on the initial years and recovery of capital costs of any mine project developed at Livengood. Results are pending from a number of holes on the south, west and northern extensions of the Sunshine Zone. With current dimensions in excess of 450 metres by 250 metres and an average thickness of over 150 metres, the Sunshine Zone has the potential to add substantial ounces to the existing resource base.
Table 2: Significant New Intercepts(i) from the Sunshine Zone
(i)Intercepts are calculated using 0.25g/t cutoff and maximum 3m
internal waste.
From To Length Gold
Hole ID (metres) (metres) (metres) (g/t)
-----------------------------------------------------
-----------------------------------------------------
MK-RC-0170 13.7 59.4 45.7 0.82
including 24.4 35.1 10.7 1.09
including 41.2 47.2 6.1 1.86
79.3 204.2 125.0 0.88
including 88.4 105.2 16.8 1.71
including 120.4 135.6 15.2 1.67
including 153.9 166.1 12.2 1.47
208.8 242.3 33.5 0.78
249.9 301.8 51.8 1.11
including 281.9 301.8 19.8 1.61
-----------------------------------------------------
MK-RC-0174 1.5 21.3 19.8 0.61
56.4 242.3 185.9 0.57
including 182.9 234.7 51.8 0.91
248.4 321.6 73.2 0.71
-----------------------------------------------------
MK-RC-0188 0.0 10.7 10.7 0.64
21.3 36.6 15.2 0.57
41.2 91.4 50.3 1.03
including 54.9 67.1 12.2 2.26
164.6 175.3 10.7 1.36
230.1 239.3 9.2 0.77
-----------------------------------------------------
MK-RC-0211 0.0 27.4 27.4 0.63
32.0 62.5 30.5 0.63
342.9 359.7 16.8 0.84
-----------------------------------------------------
MK-RC-0222 3.1 9.1 6.1 1.00
12.2 15.2 3.1 0.94
29.0 105.2 76.2 0.79
including 77.7 88.4 10.7 1.46
109.7 173.7 64.0 0.80
193.6 245.4 51.8 1.27
including 202.7 211.8 9.2 3.00
281.9 292.6 10.7 0.54
315.5 324.6 9.1 0.86
330.7 339.9 9.1 0.58
373.4 388.6 15.2 0.62
-----------------------------------------------------
New Results from the East Zone
Drilling in the East zone has consistently produced +1g/t gold intercepts from multiple zones (Table 3). Drilling has confirmed the extension of mineralization over 225 metres to the east of the last resource estimate, representing a potentially significant expansion to the existing estimated resource base. Hole MK-RC-0172 represents a particularly interesting extension of the mineralization because it appears to open up a new zone of gold mineralization to the south of MK-RC-0173.
Table 3: Significant New Intercepts(i) from the East Zone.
(i)Intercepts are calculated using 0.25g/t cutoff and maximum
3m internal waste
From To Length Gold
Hole ID (metres) (metres) (metres) (g/t)
-----------------------------------------------------
-----------------------------------------------------
MK-RC-0168 109.7 184.4 74.7 0.67
-----------------------------------------------------
MK-RC-0172 224.0 298.7 74.7 0.99
including 271.3 298.7 27.4 1.81
-----------------------------------------------------
MK-RC-0173 no significant intercepts
-----------------------------------------------------
MK-RC-0176 132.6 182.9 50.3 0.72
including 169.2 176.8 7.6 1.22
-----------------------------------------------------
MK-RC-0178 187.5 205.7 18.3 0.75
-----------------------------------------------------
MK-RC-0181 109.7 125.0 15.2 1.45
including 109.7 117.4 7.6 2.55
176.8 202.7 25.9 2.82
including 185.9 192.0 6.1 9.37
-----------------------------------------------------
MK-RC-0183 135.6 147.8 12.2 1.84
170.7 193.6 22.9 2.75
210.3 260.6 50.3 0.72
including 230.1 240.8 10.7 1.34
-----------------------------------------------------
MK-RC-0189 51.8 70.1 18.3 1.49
including 57.9 68.6 10.7 2.25
141.7 161.5 19.8 1.27
including 147.8 153.9 6.1 3.14
179.8 211.8 32.0 0.83
216.4 234.7 18.3 0.53
-----------------------------------------------------
MK-RC-0192 189.0 219.5 30.5 0.97
including 190.5 201.2 10.7 1.65
224.0 242.3 18.3 0.95
246.9 300.5 53.6 0.58
including 291.1 300.5 9.4 1.04
-----------------------------------------------------
MK-RC-0194 126.5 138.7 12.2 0.67
160.0 181.4 21.3 0.80
189.0 205.7 16.8 0.50
234.7 245.4 10.7 1.19
-----------------------------------------------------
MK-RC-0214 157.0 172.2 15.2 0.72
-----------------------------------------------------
Other Results
Exploration in the Northeast, Far East and Northwest has been testing the margins of known mineralization and initial step-out targets. In the Northwest Zone, MK-RC-0197 returned 12.2 metres @ 3.34g/t gold, indicating that high-grade mineralization continues at the western edge of the deposit. In the Northeast, most of the widely spaced scout holes have encountered scattered mineralization but have yet to define a new coherent zone of mineralization. Once the central area of the Sunshine Zone has been delineated, drilling will be focussed on the delineation of NE-trending higher grade zone of mineralization extending out from the center of the zone and along the regional northeast - southwest mineralized trend (Figure 1).
Table 4: Significant New Assays from Northeast, Far East and Northwest Zones
(i)Intercepts are calculated using 0.25g/t cutoff and maximum 3m internal
waste
From To Length Gold
Hole ID (metres) (metres) (metres) (g/t) Area
------------------------------------------------------------
MK-RC-0177 97.5 111.3 13.7 0.97 Northeast
193.6 214.9 21.3 0.48
------------------------------------------------------------
MK-RC-0187 70.1 80.8 10.7 0.56 Northeast
123.4 135.6 12.2 0.55
259.1 268.2 9.1 0.56
------------------------------------------------------------
MK-RC-0190 254.5 259.1 4.6 0.99 Northeast
------------------------------------------------------------
MK-RC-0191 no significant intercepts Northeast
------------------------------------------------------------
MK-RC-0193 309.4 317.0 7.6 0.56 Northeast
------------------------------------------------------------
MK-RC-0195 56.4 64.0 7.6 1.58 Northeast
------------------------------------------------------------
MK-RC-0196 292.6 304.8 12.2 0.52 Northeast
------------------------------------------------------------
MK-RC-0199 103.6 115.8 12.2 0.48 Northeast
------------------------------------------------------------
MK-RC-0203 128.0 137.2 9.1 1.69 Northeast
184.4 196.6 12.2 0.78
------------------------------------------------------------
MK-RC-0198 no significant intercepts Far East
------------------------------------------------------------
MK-RC-0175 120.4 125.0 4.6 2.26 Northwest
------------------------------------------------------------
MK-RC-0179 0.0 6.1 6.1 2.17 Northwest
------------------------------------------------------------
MK-RC-0184 190.5 202.7 12.2 0.84 Northwest
------------------------------------------------------------
MK-RC-0197 62.5 74.7 12.2 3.34 Northwest
79.3 89.9 10.7 0.83
------------------------------------------------------------
MK-RC-0200 205.7 214.9 9.1 1.70 Northwest
------------------------------------------------------------
New Resource Estimate Update and Preliminary Economic Analysis
The discovery of the new Sunshine Zone and the significant expansion of the East Zone are anticipated to have a significant impact on numerous aspects of the Money Knob deposit and the Company is rapidly working to incorporate as much of this new drill data into its ongoing modeling effort as possible. The Company is currently planning for the new drill hole data from these new zones to be incorporated into an updated resource estimate for use in its initial Preliminary Economic Assessment study, presently anticipated to be completed by late third or early fourth quarter of this year.
Livengood Project Highlights
- Ongoing drilling at the project continues to expand the deposit at a rapid rate, with the current estimated resource only representing a snapshot in time of what the Company believes is a growing resource base. The latest resource estimate (June 2009) of 145.76 Mt indicated at an average grade of 0.863 g/t gold (4.04 Moz) and 142.55 Mt inferred at an average grade of 0.79 g/t gold (3.6 Moz), both at a 0.5g/t gold cutoff, makes it one of the largest new gold discoveries in North America.
- The higher grade Core Zone in the deposit (indicated resources of 84.9 Mt at an average grade of 1.06 g/t gold and inferred resources of 68.8 Mt at an average grade of 0.99 g/t gold, based on a cut off grade of 0.70 g/t gold) forms the base for a starter pit component as other higher grade zones are developing in the SW, Sunshine and East zones of the deposit.
- The current drilling at Livengood only covers about 30% of the Main Gold Target, which is approximately 12 square kilometres in area.
- Ongoing metallurgical studies focusing on the mill potential indicate that the mineralization has an unusually high gravity concentration component with an average of 77% of the gold reporting to just 15% of the material. This could offer a significant cost savings opportunity for both capital and operating costs.
- The geometry of the currently defined shallowly dipping, outcropping deposit has a low strip ratio amenable for low cost open pit mining that could support a high production rate and economies of scale.
- No major permitting hurdles have been identified to date.
The Company wishes to emphasize that the Livengood project has a very favourable logistical location, being situated 110 road kilometres north of Fairbanks, Alaska along the paved all weather Elliott Highway and the Trans Alaska Pipeline Corridor and approximately 55 kilometres north of the Alaska State power grid and along the proposed Alaska natural gas pipeline route.
At the request of the Company, internationally renowned geological consultant Dr. Richard Sillitoe recently visited the Livengood project. The results of his visit are summarized in a geological report dated June 21, 2009 and entitled "Geological Model and Potential of the Livengood Gold Prospect, Alaska". The report is not a "Technical Report", as defined in N.I. 43-101, but the complete report may be viewed at www.ithmines.com.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package, which is primarily made up of fee land leased from the Alaska Mental Health Trust and a number of smaller private mineral leases. The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003, with the project's first indicated resource estimate being announced in early 2008. The 2009 drilling program is part of a series of drill initiatives which mark the first grid drilling resource definition campaign for the project and is only the initial step in what the Company envisions as a major exploration program to define one of the world's larger new gold deposits.
Geological Overview
The Livengood Deposit is hosted in a thrust interleaved sequence of Proterozoic to Palaeozoic sedimentary and volcanic rocks. Mineralization is related to a 90 million year old (Fort Knox age) dike swarm that cuts through the thrust stack. Primary ore controls are a combination of favourable lithologies and crosscutting structural zones. In areas distal to the main structural zones the selective development of disseminated mineralization in favourable host rocks is the main ore control. Within the primary structural corridors all lithologies can be pervasively altered and mineralized. Devonian volcanic rocks and Cretaceous dikes represent the most favourable host lithologies and are pervasively altered and mineralized throughout the deposit. Two dominant structural controls are present: 1) the major shallow south-dipping faults which host dikes and mineralization which are related to the original fold-thrust architecture, and 2) steep NNW trending linear zones which focus the higher-grade mineralization that cuts across all lithologic boundaries. The net result is broad flat-lying zones of stratabound mineralization around more vertically continuous, higher grade core zones with a resulting lower strip ratio for the overall deposit and higher grade areas that could be amenable for starter pit production.
The surface gold geochemical anomaly at Livengood covers an area 6 kilometres long by 2 kilometres wide, of which an area approximately 3 kilometres by 1.5 kilometres has been explored by drilling to date. Surface exploration is ongoing as new targets are developed to the northeast of the known mineralization.
Qualified Person and Quality Control/Quality Assurance
Jeffrey A. Pontius (CPG 11044), a qualified person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information that forms the basis for this news release and has approved the disclosure herein. Mr. Pontius is not independent of ITH, as he is the President and CEO and holds common shares and incentive stock options.
The work program at Livengood was designed and is supervised by Dr. Russell Myers, Vice President, Exploration, and Chris Puchner, Chief Geologist (CPG 07048), of the Company, who are responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project photograph the core from each individual borehole prior to preparing the split core. Duplicate reverse circulation drill samples are collected with one split sent for analysis. Representative chips are retained for geological logging. On-site personnel at the project log and track all samples prior to sealing and shipping. All sample shipments are sealed and shipped to ALS Chemex in Fairbanks, Alaska for preparation and then on to ALS Chemex in Vancouver, B.C. for assay. ALS Chemex's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025: 1999. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Quality control is further assured by the use of international and in-house standards. Finally, representative blind duplicate samples are forwarded to ALS Chemex and an ISO compliant third party laboratory for additional quality control.
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On behalf of INTERNATIONAL TOWER HILL MINES LTD.
Jeffrey A. Pontius, President and Chief Executive Officer
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 27E of the Exchange Act. All statements, other than statements of historical fact, included herein including, without limitation, statements regarding the anticipated content, commencement and cost of exploration programs, anticipated exploration program results, the discovery and delineation of mineral deposits/resources/reserves, the potential for the expansion of the estimated resources at Livengood, the potential for any production at the Livengood project, the completion of the initial preliminary economic analysis of the Livengood project, the potential for higher grade mineralization to form the basis for a starter pit component in any production scenario, the potential low strip ratio of the Livengood deposit being amenable for low cost open pit mining that could support a high production rate and economies of scale, the potential for cost savings due to the high gravity concentration component of some of the Livengood mineralization, business and financing plans and business trends, are forward-looking statements.
Information concerning mineral resource estimates also may be deemed to be forward-looking statements in that it reflects a prediction of the mineralization that would be encountered if a mineral deposit were developed and mined. Although the Company believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, variations in the market price of any mineral products the Company may produce or plan to produce, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, the Company's inability to produce minerals from its properties successfully or profitably, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies, and other risks and uncertainties disclosed in the Company's Annual Information Form filed with certain securities commissions in Canada and the Company's annual report on Form 20-F filed with the United States Securities and Exchange Commission (the "SEC"), and other information released by the Company and filed with the appropriate regulatory agencies. All of the Company's Canadian public disclosure filings may be accessed via www.sedar.com and its United States public disclosure filings may be accessed via www.sec.gov, and readers are urged to review these materials, including the technical reports filed with respect to the Company's mineral properties.
Cautionary Note Regarding References to Resources and Reserves
National Instrument 43 101 - Standards of Disclosure for Mineral Projects ("NI 43-101") is a rule developed by the Canadian Securities Administrators which establishes standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. Unless otherwise indicated, all resource estimates contained in or incorporated by reference in this press release have been prepared in accordance with NI 43-101 and the guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum (the "CIM") Standards on Mineral Resource and Mineral Reserves, adopted by the CIM Council on November 14, 2004 (the "CIM Standards") as they may be amended from time to time by the CIM.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
International Tower Hill Mines Ltd.
ITH-V: $3.40
Target: $7.50
Recommendation: Buy
Risk Rating: Speculative
Sillitoe places Livengood gold system in context; AngloGold Board seat relinquished after equity top-up
(all figures in C$, unless noted)
Company Profile
International Tower Hill (ITH) is an Alaska-focused mineral exploration company created when AngloGold Ashanti (AngloGold) sold and optioned out its Alaska gold assets in mid-2006. ITH’s flagship asset is its 100%-owned Livengood gold project, where it has documented a 43-101 indicated and inferred resource of 5.08moz of gold (0.7 g/t gold cutoff).
· ITH continues to expand the footprint of its 100%-owned Livengood gold system 110km north of Fairbanks, Alaska, U.S. In a series of disclosure items, assay results were released yesterday from 34 drill holes, the AngloGold Ashanti equity top-up was closed and the company released a geological report on the Livengood project by Richard Sillitoe.
· Latest drill results continue to sketch-in the new Sunshine Zone and test the Core Zone to depth – The new Sunshine Zone now has assays from 12 holes completed with 13 holes pending. Highlights include two holes returning average grades of 0.82 g/t and 0.98 g/t gold in the highly oxidized top 100 metres. The Core Zone was tested to depth for higher grade feeder-type gold mineralization, and one hole yielded a significant interval of 4.54 g/t gold over 32.0 metres.
· AngloGold Ashanti repositions itself – AngloGold Ashanti now owns 13.29% of ITH after exercising its top-up right to purchase ITH shares, and it has relinquished its Board seat due to a potential conflict of interest. AngloGold will undoubtedly closely monitor developments at Livengood, as the gold system size and jurisdiction location are attractive.
· Richard Sillitoe brings to bear key geological insights – ITH has made public a non-43-101 consulting report by respected geological consultant Richard Sillitoe. This report outlines the potential mineralization controls of an intrusive-related gold system. The report suggests that the Core Zone is linked to: 1) a deep hypothetical basement fault; 2) felsic dykes; 3) reduced alkaline rocks; and 4) the Sunshine Zone via fault offset.
· Numerous catalysts over the next six months – We expect: 1) an updated resource estimation as early as in October 2009; 2) additional metallurgy in November 2009; 3) a preliminary economic assessment in Q1/10; and 4) assay results throughout 2H/09. Given the developments with AngloGold ownership and dropping its Board seat, we would conclude that ITH is gearing up to sell the company and that AngloGold is a potential suitor.
· Valuation and recommendation – We continue to recommend ITH as a BUY, given the 121% implied return to our target price of $7.50. Our sum-of-the-parts NAV is underpinned by our 5% DCF model, with a conceptual 60ktpd open-pit / milling operation where we derive a 0.5x operating NAV of $440.8 million.
Michael Gray
Mining Exploration Analyst
Genuity Capital Markets
604-694-6961 Michael.Gray@genuitycm.comgemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Dundee’s Trading Call: Drilling results and a scoping study should help drive ITH’s share price in the next several months.
The company should continue to produce assay results from its ongoing drill program. The results have expanded gold zones beyond the boundaries of the existing resource. Further expansion of gold zones should help boost the share price.
The preliminary economic assessment expected later this year should help answer questions about the viability of a mining project at Livengood. If the economics of the project appear robust, takeover speculation could pick up, and this should give the share price further support.
The News: Drilling further expands gold zones at Livengood. On August 27, International Tower Hill released drilling results from its Livengood gold project in central Alaska.
The holes tested a variety of areas within mineralized zones and at the margins of the known deposit. Figure 1 shows a map of the project with drill hole locations.
Three drill holes within the Core Zone encountered long intervals of gold mineralization, typical of this deposit. Ten of 11 holes drilled in the East Zone encountered gold stretching over long intervals. Five holes within the Sunshine Zone also hit broad gold-bearing intervals, starting from surface.
Exploration holes testing for mineralization beyond the margins of the resource to the northeast and northwest encountered gold mineralization, although the mineralized intercepts are narrower than those in the centre of the deposit.
On August 26, International Tower Hill announced that AngloGold Ashanti Limited (AU-N: US$39.27) had completed its previously announced top-up private placement.
The placement consisted of 1,218,283 shares, priced at $2.68 per share, for proceeds of $3.265 million. Following the private placement, AngloGold owns 7,665,578 ITH shares, representing 13.29% of the shares outstanding.
ITH also announced that Benjamin Guenther, who was AngloGold’s nominee on the ITH board, had resigned as a director, due to potential conflict of interest issues. He will assume the role of head of North American projects at AngloGold. (nach oben gefallen )
In addition, AngloGold announced that its board had approved the adoption of a shareholder rights plan. The plan is effective immediately and is subject to shareholder approval. The plan has terms similar to rights plans adopted by other Canadian publicly listed companies, and it serves to protect against an unsolicited bid for the company.
Implications: The drill results expand mineralized zones, likely adding ounces to the project. The participation by AngloGold signals that Livengood is getting attention from the majors. Drilling continues to expand on the already sizeable gold resource at Livengood. The most recent drill holes have increased the Sunshine and East zones, which should add significantly to future resource estimates.
Although mineralization appears to be open to the northeast and northwest, the somewhat narrower intercepts in those areas suggest that mineralization may be tapering off. Further drilling is needed to determine if these are the margins of the mineralized zones.
AngloGold’s involvement is an encouraging sign. AngoGold had not previously chosen to participate in financings or top up its position. This recent reversal signals that AngloGold has an increased interest in ITH’s.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Sep 02, 2009 09:00 ET
International Tower Hill Begins Drilling at Coffee Dome Project, Alaska
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 2, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce that drilling has begun to test the "UAF Target" at its Coffee Dome Project, Alaska. The initial phase of the program will include 1,000 metres of diamond drilling, which the Company anticipates will be completed near the end of October. This will be the first drilling carried out at Coffee Dome, a major new, Alaskan, road accessible, gold discovery that lies just 17 kilometres from the Fort Knox Mine. The drilling will be testing one of three surface gold targets developed by Company geologists from the initial soil sampling and trenching program. The drilling will be targeting high-grade vein style mineralization similar to that discovered in surface trenches immediately to the south (Table 1) that have returned grades up to 168 g/t gold (see NR07-31).
UAF Target
The UAF target is focused along a projected northwest trending structural zone which appears to be steeply dipping to the south (Figure 1). The target is a coincident resistivity and high-grade gold in soil anomaly. The main UAF target as currently defined is 500 metres by 250 metres. The initial drilling will test the width and depth of the mineralized zone and establish the nature of the structural control on the mineralization.
Yep! Good results at Coffee Dome will force Kinross to bid for ITH, if Anglo hasn't already done so by then. The Livingood scoping study, which will be out in (maybe) 3-6 weeks is likely to bring a bid from Anglo anyway. I say that as Anglo just pulled their rep. from ITH's board of directors for "a potential conflict of interest." In other words, they can't have a member on ITH's board if they make a public offer to take out ITH.
Kinross needs another major project in the Livingood/Coffee Dome area as their Ft. Knox project has little life left in it. They can easily shift plant and workers to handle one or both of these properties, and do so faster and more cheaply than other companies can move in to develop them.
Given that Coffee Dome is supposed to be similar to LIvingood, and that Livingood is shaping up to be one of the largest single gold finds in a decade, we should have a bidding war shaping up between Anglo and Kinross, if not with others.
End result? I expect ITH to be gone by the end of the year, unless rounds of bidding are still going on.
What I'd like to see from that, aside from lots of dollars per share, is the spin off to a new company which will hold the remaining ITH properties (with shares to present shareholders).
...expecting a marvelous Christmas for ITH shareholders.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Comparable Enterprise Value/Oz of Gold Equivalent Resource EV/oz
Company Name Ticker Resource
Andean Resources Ltd. AND $230
Osisko Mining Corp. OSK $131
Comaplex Minerals Corp. CMF $86
NovaGold Resources Inc. NG $49
Guyana Goldfields Inc. GUY $44
Gabriel Resources Inc. GBU $42
Keegan Resources Inc. KGN $39
Anatolia Minerals Development Ltd. ANO $38
Detour Gold Corp. DGC $37
Canplats Resources Corp. CPQ $23
Rainy River Resources Ltd. RR $24
Inter-Citic Minerals Inc. ICI $19
Brett Resources Inc. BBR $17
Andina Minerals Inc. ADM $13
Greystar Resources Ltd. GSL $8
Crystallex International Corp. KRY $6
Average $50
North American Average (US$/oz) $52
International Tower Hill Mines Ltd. ITH $26
Meine Lieblingstabelle noch zu ITH
(Salman Partners vom 29.09.2009)
Hebelgesetz der (Gold-) Explorer:
Der Hebel auf den Rohstoff (Gold )
sind (Gold-)Produzenten, der Hebel
auf (Gold-)Produzenten sind (Gold-) Explorer.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
International Tower Hill Mines Ltd. (ITH-T): Initiating Coverage With An Overweight Rating; Living Large And "Livengood" In The Largest State Of The Union
Heather Douglas | Metals and Mining | Gold & Precious Metals | 416.815.3108 | hdouglas@tweisel.com
Rating: Overweight
Currency: Canadian Dollar
Executive Summary
Recommendation: We are initiating research coverage of International Tower Hill Mines Ltd. (ITH-TSX, THM-NYSE A) with an Overweight rating and 12-month price target of C$6.50. Our price target is based on a target multiple of 0.85x P/NAV (using a 10%-DCF) at a gold price of $1,100/oz.
The Company: ITH is a gold exploration company, whose primary asset is 100% of the Livengood project near Fairbanks, Alaska. Since its acquisition in 2006, the company has defined and grown a significant gold resource, and is now preparing a preliminary economic assessment (PEA). The most recent update delineated an indicated and inferred resource of 7.6 million ounces. Grades are relatively low (0.8 g/t), but the deposit is shallow dipping and wide and has a low strip ratio (approximately 1:1). At the end of May, cash balances totaled C$32.5 million and shares outstanding were 56.5 million. Major shareholders include Tocqueville Asset Management (14%) and AngloGold Ashanti (13%).
Investment Thesis: Livengood is one of the largest gold resources not controlled by a senior gold producer that is in an attractive mining jurisdiction with access to infrastructure. The resource is expected to grow, incorporating recent drilling in the Sunshine and Northeast zones. ITH shares are trading at a P/NAV at spot gold of 0.68x, in line with the developer average.
Forecasts: Our conceptual model assumes a combined heap leach/milling open pit operation, treating 80,000 tpd. The preferred development scenario is still evolving and will depend on ongoing metallurgical work. We assume an initial mineable reserve of 7.7 million ounces, capex of $750 million, life of mine costs of about $450/oz, and a start-up in 2013.
Upcoming Milestones and Potential Catalysts: Revised resource estimate (October 2009), PEA - heap leach (November 2009), and metallurgical update (December 2009).gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Vancouver - Three years ago International Tower Hill Mines (ITH-V) started its first drill program at the Livengood project, a modest 2,500-metre program designed to follow up on interesting gold intercepts by predecessor AngloGold Ashanti (AU-N, AGG-A).
Now, 83,200 metres of drilling later, Tower Hill has increased the gold resource at Livengood for the fourth time since its initial resource in February 2008, bringing the total gold count above 12 million ounces. ...
http://www.northernminer.com/gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
International Tower Hill Mines Ltd. (ITH – TSX - Cdn$5.94; Target Cdn$9.25; SPEC. BUY) – 57.7 M Shares Outstanding
ITH reports an overall resource increase of 64% - company looking even more attractive as an acquisition target - target
price increased to Cdn$9.25 per share!
Yesterday, International Tower Hill Mines Ltd. (ITH) released an updated resource estimate for its 100%-owned Livengood
project in Alaska. The company reported an overall increase in resources at its Money Knob deposit of 64%, to 12.5 million
ounces of gold, based on 83,200 meters of drilling over 308 holes, covering approximately 3.5 square kilometers. Most of
the increase in the new resource estimate comes from the recently identified Sunshine and Northeast Zones (a considerable
portion of the resources in these two zones runs from surface to depths of more than 170 meters). At the Money Knob
deposit, roughly 60% of the ore appears to have some form of oxidation and will form the basis of an initial mining-heap
leach study expected to be completed before year-end.
Category
Tonnes
(millions)
Gold Grade
(g/t)
Ounces of Gold
(millions)
% Change in Ounces
from Previous Resource
Indicated 297 0.85 8.1 102.5%
Previous 146 0.86 4.0 -
Inferred 164 0.84 4.4 22.2%
Previous 143 0.79 3.6 -
(Using a 0.5 g/t gold cutoff)
The Livengood project continues to operate with 4 drill rigs on site and is expected to drill an additional 25 holes by the end
of the 2009 drill program, including step-out drilling outside the Sunshine and Northeast zones and scout drilling around the
deposit. The company expects to release a further updated resource estimate in Q1 2010, which would include the 25 holes
yet to be completed as well as 37 drill holes with pending assays. ITH expects to release a Preliminary Economic
Assessment of the Money Knob deposit, including oxide resources from the Sunshine and Northeast zones, concentrating
on the heap leach portion of the deposit. This should be boosted in early 2010 with the completion of the metallurgical
studies, including a study which examines the incorporation of a milling scenario to process the high-grade ore.
The full detailed NI 43-101 technical report will be filed on SEDAR within 45 days of the date of this news release. This
current released data from this report indicated that “The geology of the holes around the margins of the currently drilled
area indicates that the favourable host stratigraphy and alteration remain open laterally and at depth, thus indicating that the
system could potentially be much larger than the current estimate.”
Metals Morning Note October 14, 2009
8
COMPANYNEWS (CONTINUED)
International Tower Hill Mines Ltd. (cont…)
Valuation
We had previously assumed, in our valuation, much of the June 2009 resource estimate in the Inferred category would be
upgraded into the Indicated category. As the new resource in the Indicated category is greater than our previous assumption
of roughly 7.6 million ounces, our NAV increases to Cdn$6.95 per share, from Cdn$6.41 per share previously. As we
continue to target a comparable EV/In-situ resource of approximately US$50 per ounce, we arrive at a potential value of
Cdn$11.45 per share using this second methodology.
We continue to value the shares of ITH by applying an equally weighted average of (5%-discounted) Net Asset Value and
comparable EV/In-situ resource ounce. Using these methods, we arrive at a target price of Cdn$9.25 per share (rounded
from Cdn$9.20 per share), up from Cdn$7.00 per share previously. We believe that given the company’s continued drilling
success and larger than expected resource estimate at this stage of drilling, ITH should receive more attention from
companies looking to grow their asset base in a mining friendly area. We maintain our SPECULATIVE BUY
recommendation.
Analyst Coverage: Haytham Hodaly
Share Price and Salman Partners Investment Recommendation History (Cdn$)
Date Target Rec. Analyst
Septmeber 29, 2009 $7.00 SPECULATIVE BUY Haytham Hodaly
$1.00
$3.00
$5.00
$7.00
$9.00
Oct-07 Feb-08 Jun-08 Oct-08 Feb-09 Jun-09
October 14, 2009 Metals Morning Note
9
COMPANYNEWS (CONTINUED)
International Tower Hill Mines Ltd. (cont…)
Summary – International Tower Hill Mines Ltd.
All figures in US$ unless otherwise noted.
Share Price (Cdn$) $5.94 Recommendation SPEC. BUY Major Holders (% of shares O/S):
Shares O/S (M) 57.7 Target Price (Cdn$) $9.25 AngloGold Ashanti 13.6%
Shares Diluted (M) 63.6 Potential Return 55.7% Tocqueville Asset 11.4%
Market Cap, O/S (Cdn$ M) $342.6 Dividend Rate - Cardero Resource 7.6%
Cash (M, est.) & R.C. & STI $35.8 Dividend Yield - Tockqueville 3.6%
Working Capital (M) $33.6 One-Year Avg. Daily Volume 144,251 Mgmt & Insiders 5.2%
Long-Term Debt (M) -
Adjusted Market Capitalization (M) $685.2
Precious Metals Assets (M) $408.5 31-May EPS Y/Y
Non Gold Assets (M) $9.3 Y-E Q1 Q2 Q3 Q4 FY Change
NAVPS (Cdn$) $6.95 Fiscal Year ended May 31st -
Gold Equiv. Reserves (P&P, M ozs) 0.0 2009A $(0.02) $(0.07) $(0.03) $(0.05) $(0.18)
Gold Equiv. Resources (P&P&M&I, M ozs) 8.1 2010F $(0.01) $(0.01) $(0.01) $(0.02) $(0.06) nmf
Gold Equiv. Resources (all categories, M ozs) 12.5 2011F $(0.02) $(0.02) $(0.02) $(0.02) $(0.07) nmf
Valuation Methodology: - Equally weighted average of EV/In-situ oz and Discounted NAV(5%)
Operating Forecasts - May 31 year-end 2009A 2010F 2011F 2012F 2013F 2014F
Commodity Price Assumptions (Fiscal Year estimates)
Gold (US$/oz) $874.81 $990.23 $950.00 $875.00 $762.50 $700.00
Silver (US$/oz) $12.91 $15.50 $14.25 $13.19 $12.38 $12.00
Foreign Exchange Forecast (C$/US$) $1.17 $1.09 $1.03 $1.00 $1.05 $1.08
Sales (Company's Share)
Gold Sales (ozs) 0 0 0 0 0 258,074
Silver Sales (ozs) 0 0 0 0 0 20,630
Total Gold Equivalent Sales (ozs - Company's Share) 0 0 0 0 0 258,428
Total Gold Equivalent Cash Costs (US$/oz) n/a n/a n/a n/a n/a $230.13
Total Gold Equivalent Production Costs (US$/oz) n/a n/a n/a n/a n/a $250.85
Financial Forecasts ($ millions, except per share data) 2009A 2010F 2011F 2012F 2013F 2014F
Net Revenue $0.0 $0.0 $0.0 $0.0 $0.0 $178.4
Cost of Sales $0.0 $0.0 $0.0 $0.0 $0.0 $57.9
Royalties & Prod'n Taxes $0.00 $0.00 $0.00 $0.00 $0.0 -$5.4
Exploration Expenses $0.11 $0.00 $0.00 $0.00 $0.0 $0.0
General and Administrative Expenses & SBC $6.06 $4.00 $4.00 $4.00 $4.0 $4.0
Other Expenses excluding interest Expense $2.1 $0.0 $0.0 $0.0 $0.0 $0.0
Interest Income -$0.1 -$0.7 -$0.1 $0.0 $0.0 -$0.1
EBITDA -$8.19 -$3.31 -$3.86 -$4.00 -$4.00 $121.95
Interest Expense $0.0 $0.0 $0.0 $0.0 $0.0 $15.4
Reclamation $0.0 $0.0 $0.0 $0.0 $0.0 $0.6
Total DDA $0.0 $0.0 $0.0 $0.0 $0.0 $32.0
EBT -$8.2 -$3.3 -$3.9 -$4.0 -$4.0 -$4.0
Income Tax $0.0 $0.0 $0.0 $0.0 $0.0 $0.0
Net Earnings -$8.2 -$3.3 -$3.9 -$4.0 -$4.0 $74.0
Shares O/S, M 45.1 57.7 57.7 57.7 57.7 57.7
EPS ($0.18) ($0.06) ($0.07) ($0.07) ($0.07) $1.28
Cash Flow from Operations (before changes in working capital) -$2.6 -$3.3 -$3.9 -$4.0 -$4.0 $106.0
CFPS (CF from Operations before changes in working capital) ($0.06) ($0.06) ($0.07) ($0.07) ($0.07) $1.84
Capex $0.0 $11.0 $11.7 $93.6 $175.0 $95.4
Free Cash Flow (before changes in working capital) ($2.58) ($14.34) ($15.59) ($97.58) ($179.00) $10.59
FCFPS ($0.06) ($0.25) ($0.27) ($1.69) ($3.10) $0.18
Current Valuation Multiples 2009A 2010F 2011F 2012F 2013F 2014F
P/EPS nmf nmf nmf nmf nmf 4.5x
P/CFPS nmf nmf nmf nmf nmf 3.1x
P/NAV
Adjusted Market Cap./oz of gold equivalent reserve (P&P)
Adjusted Market Cap./oz of gold equivalent resource (P&P&M&I)
Adjusted Market Cap./oz of gold equivalent resource (all categories)
Source: Company reports and Salman Partners Inc. estimates. 2009A 2010F 2011F 2012F 2013F 2014F
Sensitivities
For each US$50 per ounce change in our gold price, EPS n/a n/a n/a n/a n/a $0.23
For each US$50 per ounce change in our gold price, CFPS n/a n/a n/a n/a n/a $0.23
For each US$50 per ounce change in our gold price, NAVPS at a D.R = 5.00%
Note: Numbers in this table may differ from other tables in this report due to rounding
Source: Company reports and Salman Partners Inc.gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Nov 02, 2009 06:00 ETInternational Tower Hill Continues to Expand the Livengood Gold Project, Alaska
Highlights:
Sunshine Zone - 117m @ 1.2 g/t gold,
Northeast Zone - 114m @ 0.9 g/t gold,
Money Knob Zone - 104m @ 1.0 g/t gold
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 2, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") - (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce assay results for 31 new drill holes at its Livengood project, Alaska. The new results continue to expand the deposit on multiple fronts and confirm thick zones of mineralization including: The Sunshine Zone (MK-RC-0267: 117 metres @ 1.2 g/t gold), The Northeast Zone (MK-RC-0261: 114 metres @ 0.9 g/t gold) and The Money Knob Zone (MK-RC-0262: 104 metres @ 1.0 g/t gold).
Results have now been released for 168 of the 207 holes completed in 2009 (65,000 metres), with assays for 39 drill holes pending. The first phase of the 2010 drilling campaign is scheduled to commence at the beginning of February, 2010 with four drill rigs. The 2010 program is currently planned to complete 50,000 metres of resource expansion and infill drilling.
The first Preliminary Economic Assessment (PEA) for the Livengood deposit, which will focus on the heap leach option, is currently underway using the present (October 2009) resource model. The results from this initial study are anticipated later this quarter. A new resource estimate is scheduled to be completed when all the remaining assay results have been released. This 2009 year-end resource estimate is anticipated to be completed in the first quarter of 2010. Ongoing metallurgical testing for the addition of a milling circuit should be completed by the end of 2009 for integration into an updated PEA evaluating the combined milling/heap leach option, which is scheduled to be finished late in the first quarter of 2010.
New Sunshine Zone Results
The six new Sunshine Zone holes reported in Table 1 demonstrate the continuity of mineralization in the south and eastern part of the Zone (Figure 1). To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/1102ithm_figure1.jpg. Hole MK-RC-267 (117 metres @ 1.2 g/t gold) demonstrates the depth continuity to the south and hole MK-RC-254 (41 metres @ 1.1 g/t gold) shows the mineralized zone remains open to the southeast.
These new results continue to highlight the significant expansion potential of this large new area of the deposit, which has excellent continuity to depths of at least 250 metres with oxidation extending to 170+ metres in depth. These characteristics magnify the economic potential of the Sunshine Zone, given the apparent low strip ratio in a broad range of oxidation where gold recoveries are anticipated to be better.
New Northeast Zone Results
Assay results from several holes continue to delineate this prolific new zone of mineralization to the northeast of the Sunshine Zone (Table 2). Mineralization in this zone is characterized by numerous intervals from 10-30 metres thick that coalesce in some areas, as demonstrated by hole MK-RC-0216 (114 metres @ 0.9 g/t gold).
Money Knob Area
In the central part of the deposit a significant new zone of mineralization is developing on the eastern side of Money Knob hill, where MK-RC-0262 returned 104 metres @ 1.0 g/t gold. Several of the pending drill holes in this area display strong alteration, characteristic of the higher grade gold zones.
Other Results
Significant gold intercepts have been returned from other areas of the deposit (Table 4). In the Northeast Zone holes MK-RC-245 and MK-RC-248 both returned significant mineralization along the faulted contact between the Cambrian mafic rocks and the Devonian sediments. This structure has a steep dip and could be the focus of a new zone of mineralization some 600 metres beyond the currently defined deposit.
Table 1: Significant New Intercepts(i) from the Sunshine Zone
(i)Intercepts are calculated using 0.25g/t cutoff and maximum 3 metresinternal waste. Cumulative gram metres is sum of the grade thicknessproducts for all intercepts including many which are not reported here.
From To Length Gold Hole ID (metres) (metres) (metres) (g/t)---------------------------------------------------------------------------- MK-RC-0246 hole lost and redrilled as 249
MK-RC-0247 73.15 79.25 6.10 0.86 114.30 124.97 10.67 0.65 173.74 184.40 10.66 0.68 236.22 242.32 6.10 1.19 248.41 257.56 9.15 0.74 262.13 271.27 9.14 0.68
MK-RC-0249 97.54 103.63 6.09 0.97 123.44 128.02 4.58 1.72 138.68 152.40 13.72 1.02 172.21 182.88 10.67 0.90 214.88 219.46 4.58 1.00 368.81 402.34 33.53 0.52
MK-RC-0251 188.98 198.12 9.14 0.85 210.31 219.46 9.15 0.59
MK-RC-0253 39.62 42.67 3.05 1.49 103.63 114.30 10.67 0.66 includes 105.16 109.73 4.57 1.06 124.97 132.59 7.62 0.87 265.18 278.89 13.71 0.56
MK-RC-0254 28.96 35.05 6.09 0.79 106.68 117.35 10.67 1.15 129.54 132.59 3.05 3.17 204.22 214.88 10.66 0.81 300.23 303.28 3.05 1.77 327.66 368.81 41.15 1.12 includes 327.66 341.38 13.72 2.00 373.38 385.57 12.19 1.09 399.29 422.15 22.86 0.54
MK-RC-0258 32.00 36.58 4.58 1.39 47.24 60.96 13.72 0.65 131.06 147.83 16.77 0.62 164.59 178.31 13.72 0.63 201.17 208.79 7.62 0.68
MK-RC-0267 74.68 131.06 56.38 0.62 includes 97.54 100.58 3.04 2.27 includes 112.78 117.35 4.57 1.19 172.21 188.98 16.77 0.59 225.55 342.90 117.35 1.17 includes 233.17 240.79 7.62 1.31 includes 252.98 265.18 12.20 1.68 includes 271.27 275.84 4.57 2.94 includes 284.99 288.04 3.05 1.69 includes 294.13 323.09 28.96 1.59 includes 329.18 338.33 9.15 1.27
Table 2: Significant New Intercepts(i) from the Northeast Zone
(i)Intercepts are calculated using 0.25g/t cutoff and maximum 3 metresinternal waste. A cumulative gram metre is the sum of the grade thicknessproducts for all intercepts including many which are not reported here.
From To Length Gold Hole ID (metres) (metres) (metres) (g/t)---------------------------------------------------------------------------- MK-09-41 59.28 72.27 12.99 0.83 100.53 107.90 7.37 0.65 116.74 126.55 9.81 1.81 includes 119.02 126.55 7.53 2.31 214.73 225.32 10.59 3.38
MK-RC-0243 0.00 18.29 18.29 0.97 includes 7.62 13.72 6.10 1.58 36.58 48.77 12.19 0.68 67.06 73.15 6.09 0.93 79.25 91.44 12.19 0.52 144.78 147.83 3.05 3.06 163.07 193.55 30.48 0.58 207.26 214.88 7.62 0.77 262.13 280.42 18.29 0.59
MK-RC-0255 32.00 45.72 13.72 0.95
MK-RC-0260 73.15 80.77 7.62 0.89 88.39 109.73 21.34 1.43 includes 97.54 103.63 6.09 3.93 114.30 124.97 10.67 1.58 310.90 320.04 9.14 0.73 335.28 339.85 4.57 1.07
MK-RC-0261 163.07 169.16 6.09 2.89 175.26 190.50 15.24 0.60 202.69 271.27 68.58 0.61 includes 240.79 248.41 7.62 1.49 275.84 390.14 114.30 0.86 includes 281.94 292.61 10.67 2.21 includes 307.85 312.42 4.57 1.69 includes 332.23 338.33 6.10 1.95 includes 353.57 358.14 4.57 1.25 includes 377.95 384.05 6.10 1.85
MK-RC-0263 28.96 39.62 10.66 0.83 44.20 59.44 15.24 0.51 205.74 237.74 32.00 0.53 243.84 272.80 28.96 0.74 includes 251.46 254.51 3.05 4.33 292.61 300.23 7.62 1.10
MK-RC-0265 106.68 112.78 6.10 0.74 187.45 193.55 6.10 1.11 243.84 257.56 13.72 0.74 274.32 281.94 7.62 0.76
MK-RC-0266 51.82 57.91 6.09 0.78 83.82 92.96 9.14 0.80 144.78 156.97 12.19 0.63 196.60 214.88 18.28 0.54 219.46 245.36 25.90 1.02 262.13 275.84 13.71 0.69 283.46 312.42 28.96 0.68 includes 283.46 286.51 3.05 2.50 316.99 355.09 38.10 0.75 includes 316.99 321.56 4.57 2.14 359.66 365.76 6.10 1.07
MK-RC-0268 268.22 272.80 4.58 2.26
MK-RC-0271 219.46 246.89 27.43 0.97
Table 3: New Assays from the Money Knob Zone
From To Length Gold Hole ID (metres) (metres) (metres) (g/t)---------------------------------------------------------------------------- MK-RC-0259 68.58 74.68 6.10 1.23 111.25 126.49 15.24 0.50 147.83 169.16 21.33 0.81 172.21 179.83 7.62 0.95 220.98 239.27 18.29 0.51
MK-RC-0262 131.06 234.70 103.64 0.99 includes 131.06 140.21 9.15 1.84 includes 146.30 150.88 4.58 1.97 includes 182.88 185.93 3.05 2.26 includes 210.31 219.46 9.15 1.70 includes 224.03 233.17 9.14 1.35 252.98 268.22 15.24 0.51
MK-RC-0264 394.72 405.38 10.66 0.48
Table 4: New Assays from Other Sectors of the Deposit
From To Length Gold Hole ID (metres) (metres) (metres) (g/t) Area----------------------------------------------------------------------------
MK-09-40 212.14 227.08 14.94 0.50 236.03 272.80 36.77 0.60 322.39 330.27 7.88 1.63 includes 327.05 329.49 2.44 4.30 354.79 376.49 21.70 1.12 Core Zone includes 371.61 374.60 2.99 3.88 389.59 420.01 30.42 0.68 includes 394.56 397.03 2.47 2.16 435.25 442.53 7.28 0.84 454.46 480.13 25.67 0.70---------------------------------------------------------------------------- MK-RC-0230 41.15 57.91 16.76 0.61 includes 47.24 50.29 3.05 1.51 East Zone 86.87 99.06 12.19 0.59---------------------------------------------------------------------------- MK-RC-0245 376.43 381.00 4.57 1.11 390.14 391.67 1.53 7.06
MK-RC-0248 367.28 371.86 4.58 1.40 Far East
MK-RC-0252 333.76 338.33 4.57 0.72---------------------------------------------------------------------------- MK-RC-0232 217.93 220.98 3.05 0.78
MK-RC-0235 15.24 39.62 24.38 0.50
MK-RC-0238 27.43 39.62 12.19 0.96 Southwest (southern includes 35.05 39.62 4.57 1.67 step-out) MK-RC-0241 131.06 134.11 3.05 1.53 242.32 269.75 27.43 0.53----------------------------------------------------------------------------
Livengood Project Highlights
- Ongoing drilling at the project continues to expand the deposit at a rapid rate, with the current estimated resource only representing a snapshot in time of what the Company believes will be a rapidly expanding resource base. The latest resource estimate (October 2009) of 296.8 Mt indicated at an average grade of 0.85 g/t gold (8.09 Moz) and 64.2 Mt inferred at an average grade of 0.84 g/t gold (4.4 Moz), both at a 0.5g/t gold cutoff, makes it one of the largest new gold discoveries in North America.
- The Core and Sunshine Zones together account for most of the higher grade mineralization (indicated resources of 157.9 Mt at an average grade of 1.07 g/t gold and inferred resources of 78.0 Mt at an average grade of 1.11 g/t gold, based on a cut off grade of 0.70 g/t gold) and will form the base for a starter pit design work.
- Ongoing metallurgical studies focusing on the mill potential indicate that the mineralization has an unusually high gravity concentration component with an average of 77% of the gold reporting to just 15% of the material. This could offer a significant cost savings opportunity for both capital and operating costs.
- The geometry of the currently defined shallowly dipping, outcropping deposit has a low strip ratio amenable to low cost open pit mining which could support a high production rate and economies of scale.
- No major permitting hurdles have been identified to date.
The Company wishes to emphasize that the Livengood project has a very favourable logistical location, situated 110 road kilometres north of Fairbanks, Alaska along the paved, all weather Elliott Highway, the Trans Alaska Pipeline Corridor, and the proposed Alaska natural gas pipeline route. The terminus of the Alaska State power grid lies approximately 55 kilometres to the south.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package, which is primarily made up of fee land leased from the Alaska Mental Health Trust and a number of smaller private mineral leases. The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003, with the project's first indicated resource estimate being announced in early 2008. The 2009 drilling program is part of a series of drill initiatives which mark the first grid drilling resource definition campaign for the project and is only the initial step in what the Company envisions as a major long-term exploration program to define one of the world's larger new gold deposits.
Geological Overview
The Livengood Deposit is hosted in a thrust-interleaved sequence of Proterozoic to Palaeozoic sedimentary and volcanic rocks. Mineralization is related to a 90 million year old (Fort Knox age) dike swarm that cuts through the thrust stack. Primary ore controls are a combination of favourable lithologies and crosscutting structural zones. In areas distal to the main structural zones the selective development of disseminated mineralization in favourable host rocks is the main ore control. Within the primary structural corridors all lithologies can be pervasively altered and mineralized. Devonian volcanic rocks and Cretaceous dikes represent the most favourable host lithologies and are pervasively altered and mineralized throughout the deposit. Two dominant structural controls are present: 1) the major shallow south-dipping faults which host dikes and mineralization which are related to dilatent movement on structures of the original fold-thrust architecture during post-thrusting relaxation, and 2) steep NNW trending linear zones which focus the higher-grade mineralization which cuts across all lithologic boundaries. The net result is broad flat-lying zones of stratabound mineralization around more vertically continuous, higher grade core zones with a resulting lower strip ratio for the overall deposit and higher grade areas that could be amenable for starter pit production.
The surface gold geochemical anomaly at Livengood covers an area 6 kilometres long by 2 kilometres wide, of which an area approximately 3 kilometres by 1.5 kilometres has been explored by drilling to date. Surface exploration is ongoing as new targets are developed to the northeast of the known mineralization.
At the recently discovered Northeast Zone, drill results continue to define this new area of mineralization located to the northeast of the Sunshine Zone. The highlight from the zone includes hole MK-RC-0216, which intersected 0.9 g/t Au over 114 meters.
At Money Knob hill, a considerable new zone of mineralization has been identified in the eastern portion, including hole MK-RC-0262 (104 meters @ 1.0 g/t Au). Management also indicated that some of the pending drill results exhibited strong alterations which are associated with high-grade gold zones.
The company remains well positioned with roughly Cdn$32.5 million in cash and cash equivalents and working capital of Cdn$32.5 million (as at the end of the company’s 2009 fiscal year, May 31, 2009) with which to easily fund its 2010 drilling program as well as its other corporate requirements.
Near-term Catalysts
•
ITH also reported drill results from other areas that have displayed significant mineralization, with the potential for a new zone of mineralization approximately 600 meters from the current defined resource. The company expects to report the final 39 drill holes from the 65,000-meter 2009 drill program shortly.
•
Work on a Preliminary Economic Assessment (PEA), based on the October 2009 resource estimate, focusing on a heap leach scenario, continues, with the results expected to be released sometime this quarter.
•
A year-end resource estimate is expected to be released in Q1 2010, following the release of the remaining drill results from the 2009 drill program. We forecast the year-end resource estimate could grow to at least 14 million ounces, with the potential to expand further, given the success demonstrated by the drill results mentioned above. At this point, we estimate that the year-end resource update could also see an increase in grade as the most recent drill results show grades that are closer to 1.0 g/t Au.
•
The 2010 drill program is expected to begin in February 2010, consisting of at least 50,000 meters of drilling, with four drill rigs.
•
Further metallurgical tests assessing a milling scenario should be completed by year-end. These results will then be combined into an updated PEA assessing the combination of a mill and a heap leach operation. The updated PEA is expected to be completed late in Q1 2010.
Valuation
We have taken the opportunity to update our valuation for our recently revised commodity price assumptions, presented in the table below.
Commodity Assumptions2008A2009F2010F2011F2012FLong-TermGold (US$/oz)$872$967$1,100$1,050$950$800Previous$936$1,000$925$825$700Silver (US$/oz)$14.99$14.70$17.50$16.50$14.50$13.00Previous$13.92$15.75$13.50$12.75$12.00
METMALOSR MNIONRGN NINOGT EN OTE
NOVEMBER 3, 2009
In addition, we have also revised our capital costs estimate towards the upper end of our previously concluded range of capital costs (to US$950M from US$800M previously, before sustaining capital) for a combined heap leach and mill scenario. After incorporating these revised commodity prices, our NAV increases to Cdn$10.38 per share, up from Cdn$6.95 per share previously. Based on our estimate of 14 million ounces at the next resource update, we continue to target a comparable EV/In-situ resource of approximately US$50 per ounce to arrive at a potential value of Cdn$12.62 per share.
We continue to value the shares of ITH by applying an equally weighted average of (5%-discounted) Net Asset Value and comparable EV/In-situ resource ounce. Applying these methods, we arrive at our new target price of Cdn$11.50 per share, up from Cdn$9.25 per share previously. Despite the speculative nature of exploration companies such as this, we believe the company is advancing a world class deposit in a friendly mining jurisdiction, with strong catalysts in the near-term likely to result in significant share price appreciation. We have upgraded our recommendation to a TOP PICK, from SPECULATIVE BUY, based on the recent pullback and our positive outlook for the company fundamentals, as well as our positive near-term commodity outlook. ...gemäß § 34 WpHG darf der Autor zu jederzeit Short- oder Long-Positionen in der/den behandelte(n) Aktie(n) halten.
Nov 12, 2009 06:00 ET International Tower Hill Continues to Expand Livengood Gold Project, Alaska
Highlights:
Sunshine Zone - 134 metres @ 1.0 g/t gold
Money Knob Zone - 29 metres @ 3.5 g/t gold
Northwest Zone - 15 metres @ 3.7 g/t gold
Southwest Zone - 44 metres @ 1.5 g/t gold
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 12, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") - (TSX VENTURE:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce assay results for 17 new drill holes in proximity to the Money Knob gold deposit at Livengood project, Alaska. The new results continue to expand the eastern half of the deposit, which includes the Sunshine, Northeast, Money Knob and Southwest Zones. In addition, significant new mineralization was discovered in the Northwest Zone (MK-RC-0279 - 15 metres @ 3.7 g/t gold and MK-RC-0281 - 23 metres @ 0.9 g/t gold) extending the deposit 500 metres to the west. This will be a new prospective area for resource expansion in 2010 (Figure 1).
Four new holes in the Northeast Zone returned cumulative grade thicknesses of greater than 80 metres exceeding 1 gram gold per tonne (Table 1). Both holes MK-RC-0272 and MK-RC-0275 have returned greater than 1 g/t gold starting near surface, thereby potentially expanding the starter pit area of the deposit (Table 1).
Sunshine Zone Results
Three new holes from the Sunshine Zone returned cumulative thicknesses of greater than 90 metres exceeding 1 gram gold (Table 2). Hole MK-RC-0269 (165 cumulative metres with greater than 1 gram gold) extends the Sunshine zone to the southwest of any previously reported results. MK-09-42 (91 cumulative metres of greater than 1 gram gold) and MK-RC-270 (136 cumulative metres of greater than 1 gram gold) fill a gap in the center of the zone, which should upgrade the overall Sunshine Zone resource.
Southwest Zone Results
Two new holes from the Southwest Zone continue to delineate more mineralization in this emerging higher grade area of the deposit (Table 3). The intercept of 44 metres @ 1.5 g/t gold in hole MK-RC-0278 confirms and expands the higher grade zones intersected in the winter drilling program from earlier this year (Winter 2009 program). This area is scheduled to be the focus of the next phase of drilling to commence early February 2010 with 4 drill rigs.
Northwest Zone Expansion
In 1997 Placer Dome Inc. drilled one shallow hole (TL-14, 120 metres deep) approximately 600 metres west of the currently defined Money Knob deposit (Figure 1) that historically was reported to contain gold mineralization. Three follow up holes were drilled by ITH during the Summer 2009 drill program to determine the extent of the TL-14 mineralization. These holes confirmed the presence of a significant new zone of higher grade gold mineralization highlighted by hole MK-RC-0279 (15 metres @ 3.7 g/t gold & 7.6 metres @ 1.7 g/t gold), opening up a new area for resource expansion in 2010.
Other Results
Infill drilling in the Money Knob area continues to return positive results, including MK-RC-0280 with 29 metres @ 3.5 g/t gold (Table 5). Step out drilling in the southern part of the Far East Zone failed to identify significant mineralization.
Table 1: Significant New Intercepts(i) from the Northeast Zone(i) Intercepts are calculated using a 0.25g/t cutoff and a maximum of 3 metres of internal waste. Cumulative gram metres is sum of the grade thickness products for all intercepts including many which are not reported here.
From To Length Gold CumulativeHole ID (metres) (metres) (metres) (g/t) Grade Thickness--------------------------------------------------------------------------MK-RC-0272 77.72 80.77 3.05 4.00 112 146.30 150.88 4.58 2.37 188.98 195.07 6.09 1.93 286.51 301.75 15.24 0.52 304.80 321.56 16.76 0.69 338.33 352.04 13.71 0.68MK-RC-0273 32.00 47.24 15.24 1.58 89 includes 39.62 47.24 7.62 2.70 76.20 80.77 4.57 1.28 114.30 131.06 16.76 0.56 230.12 243.84 13.72 0.50 306.32 335.28 28.96 0.58MK-RC-0274 166.12 170.69 4.57 1.16 84MK-RC-0275 6.10 10.67 4.57 1.27 108 32.00 39.62 7.62 1.12 59.44 64.01 4.57 1.10 68.58 80.77 12.19 0.58 86.87 118.87 32.00 0.52 123.44 131.06 7.62 1.29 173.74 176.78 3.04 2.31 230.12 256.03 25.91 0.52 272.80 289.56 16.76 0.63 includes 284.99 289.56 4.57 1.35
Table 2: Significant New Intercepts(i) from the Sunshine Zone(i) Intercepts are calculated using a 0.25g/t cutoff and a maximum of 3 metres of internal waste. Cumulative gram metres is sum of the grade thickness products for all intercepts including many which are not reported here.
From To Length Gold CumulativeHole ID (metres) (metres) (metres) (g/t) Grade Thickness--------------------------------------------------------------------------MK-09-42 79.65 95.94 16.29 0.57 91 98.45 108.20 9.75 0.59 261.52 301.14 39.62 0.62 includes 273.71 277.70 3.99 1.66 307.11 330.10 22.99 0.58MK-RC-0269 105.16 123.44 18.28 0.51 165 126.49 134.11 7.62 0.67 204.22 210.31 6.09 0.94 214.88 262.13 47.25 0.67 268.22 298.70 30.48 1.12 includes 272.80 278.89 6.09 1.82 includes 291.08 294.13 3.05 3.10 318.52 326.14 7.62 3.15 330.71 355.09 24.38 0.77 includes 349.00 352.04 3.04 1.74MK-RC-0270 18.29 152.40 134.11 0.97 136 includes 60.96 73.15 12.19 1.60 includes 80.77 85.34 4.57 2.55 includes 126.49 141.73 15.24 2.03
Table 3: Significant New Intercepts(i) from the Southwest Zone(i) Intercepts are calculated using a 0.25g/t cutoff and a maximum of 3 metres of internal waste. Cumulative gram metres is sum of the grade thickness products for all intercepts including many which are not reported here.
From To Length Gold CumulativeHole ID (metres) (metres) (metres) (g/t) Grade Thickness(i)-------------------------------------------------------------------------MK-RC-0276 77.72 99.06 21.34 0.59 61 111.25 120.40 9.15 0.67 135.64 152.40 16.76 0.61 219.46 262.13 42.67 0.58 includes 251.46 259.08 7.62 1.00MK-RC-0278 94.49 97.54 3.05 2.82 101 137.16 152.40 15.24 0.66 170.69 214.88 44.19 1.50 includes 173.74 176.78 3.04 5.37 includes 181.36 185.93 4.57 4.45 includes 190.50 202.69 12.19 1.57 228.60 243.84 15.24 0.58
Table 4: Significant New Intercepts(i) from the Northwest Zone(i) Intercepts are calculated using a 0.25g/t cutoff and a maximum of 3 metres of internal waste. Cumulative gram metres is sum of the grade thickness products for all intercepts including many which are not reported here.
From To Length Gold CumulativeHole ID (metres) (metres) (metres) (g/t) Grade Thickness--------------------------------------------------------------------------MK-RC-0279 70.10 85.34 15.24 3.70 114 92.96 97.54 4.58 1.12 103.63 111.25 7.62 1.67 240.79 248.41 7.62 0.83MK-RC-0281 144.78 158.50 13.72 0.53 38 163.07 185.93 22.86 0.86MK-RC-0283 126.49 138.68 12.19 0.54 14
Table 5: Significant New Intercepts(i) from Other Areas(i) Intercepts are calculated using a 0.25g/t cutoff and a maximum of 3 metres of internal waste. Cumulative gram metres is sum of the grade thickness products for all intercepts including many which are not reported here.
Cumulative From To Length Gold GradeHole ID (metres) (metres) (metres) (g/t) Thickness Zone--------------------------------------------------------------------MK-RC-0280 137.16 147.83 10.67 1.45 147 Money Knob 173.74 202.69 28.95 3.51 207.26 217.93 10.67 1.40MK-RC-0286 179.83 198.12 18.29 0.66 29 213.36 222.50 9.14 0.60--------------------------------------------------------------------MK-09-38 Hole lost before hitting target Core Zone--------------------------------------------------------------------MK-RC-0277 No significant intercepts Far EastMK-RC-0282 No significant intercepts--------------------------------------------------------------------
Livengood Project Highlights
- Ongoing drilling at the project continues to expand the deposit at a rapid rate, with the current estimated resource only representing a snapshot in time of what the Company believes is a growing resource base. The latest resource estimate (October 2009) of 296.8 Mt indicated at an average grade of 0.85 g/t gold (8.09 Moz) and 64.2 Mt inferred at an average grade of 0.84 g/t gold (4.4 Moz), both at a 0.5g/t gold cutoff, makes it one of the largest new gold discoveries in North America.
- The Core and Sunshine Zones together account for most of the higher grade mineralization (indicated resources of 157.9 Mt at an average grade of 1.07 g/t gold and inferred resources of 78.0 Mt at an average grade of 1.11 g/t gold, based on a cut off grade of 0.70 g/t gold) and will form the base for a starter pit.
- Ongoing metallurgical studies focusing on the mill potential indicate that the mineralization has an unusually high gravity concentration component with an average of 77% of the gold reporting to just 15% of the material. This could offer a significant cost savings opportunity for both capital and operating costs.
- The geometry of the currently defined shallowly dipping, outcropping deposit has a low strip ratio amenable to low cost open pit mining which could support a high production rate and economies of scale.
- No major permitting hurdles have been identified to date.
The Company wishes to emphasize that the Livengood project has a very favourable logistical location, being situated 110 road kilometres north of Fairbanks, Alaska along the paved, all weather Elliott Highway, the Trans Alaska Pipeline Corridor, and the proposed Alaska natural gas pipeline route. The terminus of the Alaska State power grid lies approximately 55 kilometres to the south.
Project Background
ITH controls 100% of its 44 square kilometre Livengood land package, which is primarily made up of fee land leased from the Alaska Mental Health Trust and a number of smaller private mineral leases. The Company and its predecessor, AngloGold Ashanti (U.S.A.) Exploration Inc., have been exploring the Livengood area since 2003, with the project's first indicated resource estimate being announced in early 2008. The 2009 drilling program is part of a series of drill initiatives which mark the first grid drilling resource definition campaign for the project and is only the initial step in what the Company envisions as a major long-term exploration program to define one of the world's larger new gold deposits.
Nov 30, 2009 09:50 ET International Tower Hill Mines Ltd. Positive Preliminary Economic Assessment Results, Heap Leach Phase, Livengood Gold Project, Alaska
Life of project annual gold production - 459,000 ounces/year for 12.6 years
VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 30, 2009) - International Tower Hill Mines Ltd. ("ITH" or the "Company") (TSX:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce the results of the independently prepared Preliminary Economic Assessment (PEA) for the Livengood gold project, Alaska. The heap leach PEA produces a robust economic analysis for the project, yielding a life of project annual gold production of 459,000 recovered ounces of gold for 12.6 years, at a 0.78:1 strip ratio, producing a pre-tax NPV(5%) of US $440M, with an IRR of 14.6% using a US $850 per ounce gold price (Table 1, Figure 1) (to view Figure 1 please click on: http://media3.marketwire.com/docs/ith1130.jpg). The study also shows the deposit has a considerable leverage to gold price, with a pre-tax NPV(5%) of US $1.291B and an IRR of 30.3% at a US $1,050 per ounce gold price (Table 2).
Importantly, the current PEA covers only the heap leach, oxide component of the October 2009 estimated resources, with approximately 40% of the deposit (un-oxidized mineralization) excluded pending the addition of a milling circuit. The current milling metallurgical test work suggests that high gold recoveries can be obtained from all ore types utilizing an initial gravity concentration circuit followed by standard CIL processing of the tails. A second PEA on a joint mill - heap leach operation with an updated resource estimate (addition of data from 70 drill holes) is anticipated for release in the first quarter of 2010.
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Mar 04, 2010 14:27 ET International Tower Hill Signs LOI to Form Production Joint Venture on Terra Project, Alaska
VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 4, 2010) - International Tower Hill Mines Ltd. ("ITH" or the "Company") (TSX:ITH)(NYSE Amex:THM)(FRANKFURT:IW9) is pleased to announce that it has signed a letter of intent to enter into a joint venture with American Mining Corporation ("AMC"), a private Nevada corporation, on ITH's high grade Terra Gold Project in Alaska. Pursuant to the LOI, an Alaskan subsidiary of AMC ("Subco") and Raven Gold Alaska Inc. ("Raven"), a subsidiary of ITH, will form a joint venture (the "JV") with the aim of developing the Terra Project to production. It is anticipated that AMC, as operator, will commence a project development program in June 2010.
Terra Project - Background
The Terra Gold Project is located in the Hartman Mining District of Western Alaska and hosts a current 43-101 compliant inferred resource of 428,000 tonnes at a grade of 12.2 g/t gold (168,000 contained ounces) and a grade of 23.1 g/t silver (318,000 contained ounces), at a cutoff grade of 5 g/t gold, in a vein system which remains open (see NR 08-04).
The Terra Project consists of 235 State of Alaska unpatented lode mining claims currently held 100% by the Company plus an additional 5 unpatented lode mining claims held under lease (subject to a 3% to 4% NSR royalty to the lessor, dependent upon the gold price). The property is centered on an 8 kilometre long trend of high-grade vein occurrences which have returned numerous surface rock samples and drill intersection in excess of 50 g/t gold. The bulk of the Company's past drilling has focused on only a 400 metre long section of one of the vein systems (Ben's Vein) discovered to date. This drilling has outlined the resource noted above, which is over an average width of 2.3 metres, utilizing 20 HQ diamond holes.
AMC Earn-in and Joint Venture Structure
The initial interests of Subco and Raven in the JV will be 51% and 49% respectively. Raven's initial contribution to the JV will be its interest in the Terra Project, including all related data and property facilities. Subco's initial contribution to the JV will be funding for the JV totalling USD 6,000,000 over three years (USD 1,000,000 in 2010). Of these expenditures, USD 100,000 will be paid to the Company in each of the first and second years to partially reimburse the Company for the cost of constructing the existing camp facility at Terra. As consideration for the Company causing Raven to enter into the JV, AMC will pay the Company USD 300,000, and issue 750,000 common shares of AMC, over the same three-year period (USD 50,000 and 250,000 shares in 2010). If Subco fails to make its full initial contribution, or AMC fails to make all required payments and share issuances to the Company, over such three-year period, then the JV will terminate and Subco will not retain any residual interest in the Terra project.
In addition, the JV has granted Raven a sliding scale NSR royalty of between 0.5% and 5% (depending upon the gold price) on all precious metal production from the property and a 1% NSR royalty on all base metal production. The royalty to Raven is in addition to the current royalty payable to the underlying lessor.
Upon having completed its initial contribution, Subco will have the option to increase its JV interest by 29% (to 80% total) by providing a subsequent contribution of an additional USD 3,050,000 in funding in the fourth year. In addition, AMC will be required to pay the Company an additional USD 150,000 and issue an additional 150,000 common shares. Should Raven's interest be diluted below 10% as a consequence of it not funding its proportionate share of JV expenditures following AMC's having completed its initial contribution (and subsequent contribution, if applicable), Raven's JV interest will be converted to an additional 1% property wide NSR royalty on all metals produced, for an aggregate NSR royalty to Raven of 1.5% to 6% (depending upon the gold price) on precious metals and 2% on base metals).
Formation of the JV is subject to the settlement and execution of a formal agreement and the completion by AMC of due diligence on the Terra project, both to be completed on or before May 19, 2010 (subject to extension by agreement).
Jeff Pontius, the President and CEO of ITH, stated, "The joint venture with AMC will significantly benefit ITH shareholders by partnering with an experienced and highly capable underground development group such as AMC. This joint venture, along with our recently announced Chisna joint venture, continues to position the Company's non-Livengood assets as strategic building blocks for our Raven Gold initiative, in which we plan to build a company with significant exposure to partner funded, non-operator, gold-silver production via royalty and/or carried interest agreements."
About International Tower Hill Mines Ltd.
International Tower Hill Mines Ltd. is a resource exploration company, focused in Alaska and Nevada, which controls a number of exploration projects representing a spectrum of early stage to the advanced multimillion ounce gold discovery at Livengood. ITH is committed to building shareholder value through new discoveries while maintaining a majority interest in its key holdings, thereby giving its shareholders the maximum value for their investment.
On Behalf of
International Tower Hill Mines Ltd.
(Signed) Jeffrey A. Pontius
Jeffrey A. Pontius,
President and Chief Executive Officer
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