Mining Explorers 2011: Sumitomo Metal Mining Pogo LLC

President: Nori Ushirone

Pogo General Manager: Chris Kennedy

Pogo Chief Geologist: Paul Jensen

Looking beyond just replacing the more than 1,000 ounces of gold per day that it is recovering at its Pogo Mine, Sumitomo Metal Mining Pogo LLC – a partnership held 85 percent Sumitomo Metal Mining Co. Ltd. and 15 percent by Sumitomo Corp. – is seeking out other gold and silver deposits in Interior Alaska. This regional exploration was underscored by the gold-silver-antimony mineralization cut by the Japanese firms at their Stone Boy project about 60 kilometers (40 miles) west of Pogo. From 2008 through 2010 the Pogo Mine owners drilled 29 holes in the Naosi prospect of Stone Boy, 27 of these intersected quartz veins mineralized with gold, silver and antimony. This drilling is highlighted by a 7.92-meter intercept in hole DH-35 that averages 7.8 grams per metric ton gold, 19.7 g/t silver and 0.1 percent antimony; and DH-55 which intersected 22.83 meters grading 4.2 g/t gold, 48 g/t silver and 0.17 percent antimony. Sumitomo Metal Mining reports its drilling cut two zones dubbed N-1 and N-2. DH-53 cut two distinctive zones – a 1.22-meter intercept averaging 4.3 g/t gold, only about 2 g/t silver and nor reported antimony; and a second 0.91-meter section with 2.3 g/t gold, 1,065 g/t silver and 7.37 percent antimony. The quartz veins are thought to be gently dipping to the west and extend over 1,500 meters in the strike direction and over 500 meters in the dipping, and are assumed to consist of more than two quartz veins with a thickness of around one to five meters each. Millrock Resources Inc. is reporting a gold-bearing structure with a similar strike and orientation at the Wolf prospect of its Uncle Sam project about 2,000 meters to the northwest. WLF-002, the best of four holes reported by the junior in July, cut 11.46 meters averaging 4.86 g/t gold. Sumitomo Metal Mining said its ongoing exploration at the Naosi prospect involves tracing the mineralization in extensions and parallel veins, infill drilling to confirm the resource and regional surveys seeking similar prospects in the area.

At the Pogo property the Sumitomo partnership completed around 23,000 meters of drilling in 2011, the vast majority of which was surface drilling. In March the privately held company reported that production at Pogo averaged 2,467 metric tons per day in 2010. Out of the 900,585 metric tons of ore milled, 383,434 troy ounces of gold was produced at a cost of US$449 per ounce. Sumitomo Metal Mining Pogo said its exploration program focused on surface and underground drilling in the immediate mine area. A total of 21,632 meters of road-based and helicopter-supported surface drilling in 76 holes was completed. Additionally, the company completed 1,737 meters of underground drilling in 10 holes. Aerial photography, LIDAR and geophysical surveys and soil sampling of the Pogo property and adjacent ground were also part of the exploration program. The project owner said Pogo’s current mine-life extends to 2017.

P.O. Box 145

Delta Junction, Alaska USA 99737

Tel (Mine): 907-895-2500 • Tel (Corporate): 81-3-3436-7705

www.smm.co.jp/E/