Homestake Resource Corporation: 2012 Drilling Program

Homestake Resource Corporation: 2012 Drilling Program Completed at
Homestake Ridge, Project Transitions to Agnico-Eagle 
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 11/22/12 -- Homestake
Resource Corporation (TSX VENTURE:HSR)(FRANKFURT:B6IH) ("Homestake")
has completed 13 diamond holes during the 2012 exploration season for
a total of 4,743 metres at its Homestake Ridge project, located in
Northwest British Columbia. The program consisted of two phases, with
the second phase being funded by Agnico-Eagle Mines Limited
("Agnico-Eagle"). The first phase was conducted at the South Reef
target, which is located approximately 800 m to the southwest of, and
on a parallel mineralized trend to, the project's current resource
inventory at the Main Homestake deposit and the Homestake Silver
deposit. The second phase tested shallow, on-strike projections of
the South Reef target as well as several other targets on the
property. 
Homestake was the operator for the 2012 season and planning is
underway to transfer operatorship of the property to Agnico-Eagle in
January, as agreed to in the Option Agreement between the parties.
Agnico-Eagle is required to spend $3.5 million in 2013 on exploration
and development work on the property as part of this Option
Agreement. 
South Reef Phase I Drilling 
Five drill holes, totaling 1,248 metres, were completed on the South
Reef deposit and previously announced highlights include:  


 
--  a 4.0m interval averaging 11.4g/t gold and 3.7g/t silver from drill hole
    HR12-243; and 
--  a 2.9m interval averaging 5.9g/t gold and 2.0g/t silver, which includes
    a 0.5m interval averaging 16.3g/t gold and 4.6g/t silver from drill hole
    HR12-240. 

 
The new holes offset three holes drilled in 2011 that tested a 75m
strike-length of the South Reef deposit and returned high-grade gold
from all three holes, including a 3.1m interval averaging 30.8g/t
gold and 3.3g/t silver within an 8.7m interval averaging 11.3g/t gold
and 1.6g/t silver from drill hole HR11-232 (see NR-14-11). Estimated
true thicknesses were not calculated for the reported intervals due
to uncertainty in correlating mineral intercepts with surface
exposures; however, it is likely that the mineralization is
sub-vertical. 
South Reef Phase II Drilling 
Phas
e II drilling consisted of eight core holes, totaling 3,495m at
an approximate cost of the $1.8 million which was funded by
Agnico-Eagle under the Option Agreement (see NR-04-12). All assay
results are expected to be received by early January and will be
reported at that time. 
The combined 2012 Phase I and Phase II budgets totaled approximately
$2.5 million. Agnico-Eagle has the option to spend an additional $8.5
million by December 31, 2014 to earn a 51% interest in the Homestake
Ridge Project and a total of $25.3 million by 2016 to earn a 65%
interest of the project, with the additional option to arrange 100%
of capital expenditure funding of the project to earn an additional
5% for a total 70% working interest (see NR-04-12). 
About Homestake 
Homestake owns a 100 percent interest in the Homestake Ridge project,
which is located in a prolific mineral belt in northwestern British
Columbia. The project is being advanced as a potential high-grade
underground mining operation with a current NI43-101 compliant
Indicated Resource, at a 3.0g/t AuEq cut-off, of 191,000oz gold and
1,350,000oz silver (215,500oz AuEq) plus an Inferred Resource of
530,000oz gold and 13,470,000oz silver (775,900oz AuEq)(1). Two
deposits have been delineated to date, with a third, South Reef,
discovered late in 2011. Multiple exploration targets remain to be
tested on the large 2585 hectare property. Agnico-Eagle has an option
to fund exploration and development costs of $25.3 million over a
5-year period to earn a 65% interest in the property. Homestake also
holds an option to acquire a 100% interest in the
623-square-kilometre Kinskuch project located adjacent to, and to the
southeast of, Homestake's Homestake Ridge project. Homestake holds a
9.76 percent interest in Bravada Gold Corporation (TSX VENTURE:BVA),
which is exploring and developing numerous gold/silver projects in
Nevada. 
Robert Macdonald (P.Geo) is the Qualified Person as defined by
National Instrument 43-101 for the Homestake Ridge project and has
reviewed and approved the technical contents of this release.  
ON BEHALF OF THE BOARD 
Joseph A. Kizis, Jr., President and Director 


 
1.  The current estimate was prepared by Roscoe Postle Associates Inc.
    (RPA). Mineral Resources on the Main Homestake deposit were estimated
    previously in 2010 using a block model constrained by 3D wireframes of
    the mineralized zones. Mineral Resources on the Homestake Silver deposit
    were estimated in 2011 using a block model constrained by pierce points
    projected to 2D surfaces. The Main Homestake block model comprised an
    array of blocks measuring 5 m x 5 m x 5 m, with grades for Au, Ag, and
    Cu interpolated using ID3 weighting. The Homestake Silver block model
    comprised an array of blocks measuring 10 m x 10 m. At a 3.0g/t AuEq
    cut-off, the models identified an indicated resource of 888,000 tonnes
    averaging 6.7g/t Au, 47.2g/t Ag and 0.15% Cu and a cumulative inferred
    resource of 4,060,000 tonnes averaging 4.3g/t Au, 158g/t Ag. 

 
This news release may contain forward-looking statements including
but not limited to comments regarding the timing and content of
upcoming work programs, geological interpretations, receipt of
property titles, potential mineral recovery processes, etc.
Forward-looking statements address future events and conditions and
therefore involve inherent risks and uncertainties. Actual results
may differ materially from those currently anticipated in such
statements. These statements are based on a number of assumptions,
including, but not limited to, assumptions regarding general economic
conditions, interest rates, commodity markets, regulatory and
governmental approvals for the company's projects, and the
availability of financing for the company's development projects on
reasonable terms. Factors that could cause actual results to differ
materially from those in forward looking statements include market
prices, exploitation and exploration successes, the timing and
receipt of government and regulatory approvals, and continued
availability of capital and financing and general economic, market or
business conditions. Homestake Resource Corporation does not assume
any obligation to update or revise its forward-looking statements,
whether as a result of new information, future events or otherwise,
except to the extent required by applicable law. 
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 release. 
Contacts:
Homestake Resource Corporation
Liana Shahinian
1-888-456-1112 or 604-641-2773
liana@mnxltd.com
www.homestakeresource.com
 
 
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