2011 News Releases

Confederation announces significant high grade gold results from Newman Todd 343 g/t Gold Over 0.6 Metres and 11.1 g/t gold over 2.0 metres including 33.8 g/t Gold over 0.50 metres

Confederation Minerals Ltd. (“Confederation”) (TSX-V: CFM) is pleased to report bonanza grade gold results from the on-going drilling program at the Newman Todd property in the Red Lake Gold District, Ontario. The work is being funded and operated by Confederation pursuant to an option from Redstar Gold Corp. (TSX.V: RGC). To date, 49 drill holes totaling 19,000 metres have been completed in 2011. Drilling has focused on the Newman Todd Structure (NTS) where gold mineralization has been discovered over a strike length 1.6 kilometres. Confederation has sufficient funds to complete the current drill program and any presently planned drilling in 2012.

Highlights:

  • Hole NT-083 intersects a 14.30 metre wide zone with two high grade intercepts: 343 g/t gold over 0.60 metre and 33.80 g/t gold over 0.50 metre Hole NT-084 intersects 6.76 g/t gold over 3.0 metres including 13.90 g/t gold over 1.0 metre.
  • Hole NT-080 intersects 1.18 g/t gold over 32.0 metres including 10.91 g/t gold over 1.0 metre.


Hinge Zone Discovery
Latest results continue to highlight the high-grade potential of the “Hinge Zone” area of the NTS where 12 of 13 holes have returned high-grade intervals over a strike length of approximately 450 metres. The Hinge Zone is just one of many significant gold-bearing sectors discovered by the drilling completed to date by the joint venture along the NTS, which has a strike length of over 2 kilometers within the property.

This new high-grade discovery has many of the earmarks of the “High Grade Zone” (HGZ) in Goldcorp’s Red Lake mine located 27 kilometres to the southeast. These include a similar structural setting, open space quartz filling with native gold, gold associated with silica-sulphide replacement zones and broad zones of iron-carbonate alteration. Sections and initial 3D modeling can be found on the company’s web site (www.confederationmineralsltd.com). The web site also lists all significant drill results to date from the extensive drilling which has been carried out since January of 2011.

Lawrence Dick, Ph.D., President and CEO of Confederation states: “We are extremely excited with the continuous high-grade results being returned from the drilling of the entire Newman Todd Structure at the Newman Todd gold project. The new Hinge Zone discovery has very strong geological similarities to the High Grade Zone of the world-class Red Lake Mine, and is further validation that Newman Todd offers the potential for the definition of a very significant gold discovery. The 343 g/t gold intersection in hole NT-083 is the highest grade intercept from the project and one of the highest grade intersections in the Red Lake District outside of the main mine areas. This high grade interval is one of two intervals within a 14.3 metre wide zone which, including 10 metres of waste, averages 16.06 g/t Gold. Management is highly encouraged and focused on further development of the Hinge Zone and other areas of gold discovery with the ongoing program to unlock the potential of this emerging gold deposit. Our new results also show the existence of sub-parallel gold-bearing structures, further enhancing potential, and that gold-bearing zones at Newman Todd can attain very significant widths.


Table of results from nine recently completed holes

Hole
From (m)
To (m)
Gold (g/t)
Width (m)
Section
NT-078
240.00
261.00
1.18
21.00
1900
NT-078
including
246.00
251.00
3.51
5.00
1900
NT-078
and including
246.00
247.00
8.01
1.00
1900
NT-079
387.00
394.00
1.00
7.00
2300
NT-079
410.00
411.00
4.78
1.00
2300
NT-080
132.00
157.00
1.35
25.00
1900
NT-080
including
132.00
133.00
5.69
1.00
1900
NT-080
and including
154.00
156.00
5.91
2.00
1900
NT-080
and including
155.00
156.00
8.94
1.00
1900
NT-080
and including
175.00
207.00
1.18
32.00
1900
NT-080
including
181.00
182.00
10.91
1.00
1900
NT-080
and including
186.00
187.00
7.24
1.00
1900
NT-081
103.00
104.00
7.44
1.00
1950
NT-081
255.00
260.00
2.51
5.00
1950
NT-082
161.00
170.00
1.95
9.00
2350
NT-082
and including
169.00
170.00
5.98
1.00
2350
NT-082
and including
182.00
183.00
6.37
1.00
2350
NT-082
and including
289.50
304.50
1.01
15.00
2350
NT-083
251.70
252.30
343.00
0.60
1950
NT-083
and
264.00
267.00
11.10
2.00
1950
NT-083
including
265.50
266.00
33.80
0.50
1950
NT-084
242.00
257.00
2.49
15.00
2150
NT-084
including
246.50
254.00
4.06
7.50
2150
NT-084
and including
251.00
254.00
6.76
3.00
2150
NT-084
and including
251.00
252.00
13.90
1.00
2150
NT-084
372.00
373.00
6.99
1.00
2150
NT-085
315.00
335.00
1.66
20.00
2100
NT-085
including
323.50
324.00
7.52
0.50
2100
NT-085
and including
325.50
326.00
9.17
0.50
2100
NT-085
and including
334.00
335.00
7.16
1.00
2100
NT-085
357.00
358.00
9.08
1.00
2100

* Width is calculated as core length and does not imply true width of the zone. Weighted average gold intervals apply a 0.25 g/t lower cut-off. Internal dilution within reported intervals does not exceed core lengths of two metres unless otherwise indicated.

** Cross sections are spaced 25 metres apart across the entire NTS, Section 1375 marks the centre of the Heath Bull Zone.

Discussion of Results
Geological mapping and geophysics has defined a broad warp or fold of the NTS that has been termed the Hinge Zone within a much larger strike length of gold mineralization. Initial 3D modeling within the Hinge Zone indicates multiple, northwest dipping gold zones that show continuity across a 450 metre section of the Hinge Zone and remain open at depth. In addition to modeling the high-grade gold intervals within the NTS, the company is also beginning to model the wide zones of lower grade gold mineralization often associated with the high grade gold intercepts. In addition to the high-grade results, the latest results include 32 metres of 1.18 g/t and 25 metres of 1.35 g/t gold.

Exploration work at the Newman Todd project is funded by Confederation pursuant to an option from Redstar. Confederation can earn a 50% interest in the project by spending $5.0 million in exploration by November 2013, and an additional 20% by producing a Preliminary Economic Assessment (PEA) by November 2016. During the earn-in period, Confederation is the operator of the project.

Core samples from the program were cut in half, using a diamond cutting saw, and were sent to Activation Laboratories Ltd. in Red Lake Ontario, an accredited mineral analysis laboratory, for analysis. All samples were analyzed for gold using standard Fire Assay-AA techniques. Samples returning over 3.0 g/t gold were analyzed utilizing standard Fire Assay-Gravimetric methods. Certified gold reference standards, blanks and field duplicates were routinely inserted into the sample stream, as part of Confederation's quality control/quality assurance program.

Bob Singh P.Geo is the qualified person as defined by National Instrument 43-101 and has reviewed this news release. Mr. Singh has been engaged through a third party service provider by Confederation to manage the project, and is also the Canadian Exploration Manager for Redstar Gold Corp.

About Confederation Minerals Ltd.
Confederation Minerals Ltd. is a British Columbia based company engaged in the business of acquisition, exploration and development of mineral properties. Its objective is to locate and develop economic precious and base metals properties of merit. Confederation Minerals Ltd. holds an option agreement to acquire up to 70% of the Newman Todd project in the Red Lake Mining District of Northern Ontario as well as 100% ownership in two other properties in the Red Lake Mining District of Ontario.

On Behalf of the Board,
Confederation Minerals Ltd.

“Lawrence Dick”

Lawrence A.Dick, Ph.D., P.Geo
President, CEO, and Director


CORPORATE INQUIRIES
Confederation Minerals Ltd.
Suite 1980, 1075 West Georgia Street
Vancouver, B.C.
Lawrence Dick, President
604.688.9588
This email address is being protected from spambots. You need JavaScript enabled to view it.
www.confederationmineralsltd.com


Forward-Looking Information
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Confederation Minerals Ltd. (the "Company") expects to occur are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.