Sterling



In 2010 underground development provided access to the western edge of the 3220 level of the 144 zone. The 3220 level was driven east along the footwall of the 144 zone breccia to confirm gold grades and provide samples for further metallurgical testing. Gold grades from face and wall sampling of the 3220 level exceeded expectations and averaged 4.11 g/t gold over 368.5 feet, including several higher grade assays up to 16.46 g/t.

Extension of the underground drifts will provide additional samples to further characterize the gold mineralization, information on the limits of the 144 Zone and access for additional exploration drilling. The underground development is being completed to confirm mining methods, complete further metallurgical testing and to define a reserve sufficient to justify reopening of the Sterling gold mine.

An approved operations plan and bonding to permit the restart of mining and heap leach operations are in place with the State of Nevada and the Bureau of Land Management.

Mineral Resource/Measured and Indicated Estimate* [43-101 Technical Report Feb 2006]:
46,344 troy ounces from 214,554 short tons of ore
with an average grade of 0.216 ounces per ton (7.41 g/t) gold

The Sterling gold property and mine is located 185 kilometres northwest of Las Vegas, Nevada. Total land claims, which include Sterling, Tungsten Canyon, Fluorspar Canyon and Mary-Goldspar, comprise 683 lode mining claims encompassing 5,454 hectares (13,477 acres).

Sterling Mine History:
The Sterling mine operated both as an underground and open pit mine from 1980-2000 producing 194,996 troy ounces from 941,341 short tons of ore with an average grade of 0.217 ounces per ton (7.44 g/t) gold. Exploration by Imperial in 2001 realized the discovery of a deep high grade gold zone located south of the historic Sterling mine workings. The 144 zone is in an entirely new setting similar to the structurally controlled sediment-hosted, disseminated gold deposits in the Carlin trend. Permitting for the construction of an underground ramp to access the 144 zone was obtained in 2006. The 1,021 metre decline was completed in 2007, followed by two exploration drifts off the main decline below the 144 zone. Exploration in 2009 focused on further delineation and expansion of the 144 zone and further underground development for additional underground drill stations.

For additional information, refer to the Company's Quarter Reports, Annual Information Form, or 43-101 Technical Report February 2006 [www.sedar.com].  

*refer to cautionary note