TORONTO, ONTARIO--(Marketwire - June 13, 2011) - St. Eugene Mining Corporation Limited (News - Market indicators) ("St. Eugene" or the "Company") is pleased to announce the commencement of its Phase 1 Drilling Program of up to 4,000 meters at its 100 percent owned Tartan Lake Gold Mine Project, located 25 km East of Flin Flon, Manitoba. Most of the historic exploration and drilling at the Tartan Lake Mine Project concentrated in the vicinity of the mine, however, new targets were recently identified throughout the property from the Company's airborne survey (see news release May 24, 2011), some of which will be tested during this Phase I drilling campaign. The last core drilling on the property took place in 2005-2006,which was an 8-hole follow up drilling campaign on the west side of the deposit that resulted in gold mineralization in each hole (Dong, 2007 "Claude Resources Inc., Diamond Drilling on the Tartan Lake Property, CB 10112 and W47271).
Jennifer Boyle, Chief Executive Officer, states: "There is excellent potential to discover additional mineralized zones within the shear, both along strike and at depth, particularly because of: (i) the presence of broad shear zones many kilometers long situated north-east of the main deposit; (ii) the number of new targets identified from the recent geophysical airborne survey; and (iii) the ability to de-water the mine and drill the mineralized envelope below the existing mine development".
The initial focus of this Phase I drilling campaign is expected to target the plunge and strike extensions of the Main, South and South-East Zone Trend. Additionally, conceptual step-out targets located on a network of shear structures known as the West-Baseline Zone and the East-Baseline Zone, situated 100 meters to 220 meters south of the South and South-East Zone shear structure, will be given priority.
Channel sampling and trenching completed in 1994-1995 in these zones by Ganges Exploration Inc. successfully intercepted anastomosing shear zones with some high grade gold mineralization on the surface. The Company's objective for the step out drilling described above is therefore to confirm the gold mineralization down plunge of shear zones within the West-Baseline Zone and the East-Baseline Zone. The historic results from the surface and underground drilling of the Main Zone suggest that the gold mineralization within the shear structures improves with depth.
St. Eugene also expects that this Phase I drilling campaign will test four of the new anomalies located north-east of the existing mine. Results from the recent airborne geophysical survey suggests a conjugate of 2 significant shear zones containing 10-12 conductors in a complexly folded and sheared package of intermediate and mafic rocks and metasediments, intersected by a series of potentially high-grade, gold bearing quartz vein systems.
In addition to this Phase I drilling campaign, the Company is preparing for the dewatering and rehabilitation of the Tartan Lake Gold Mine down to the bottom of the 6th level decline (340 meters). Mineral resources are outlined to a depth of 580 meters, which is 280 meters below the present mine development. The system remains open in all directions and shows strong similarities to the high grade mineralization that is characteristic of the Flin Flon Greenstone Belt, and accordingly, underground drilling from the 340 meter level will initiate Phase II of the exploration Program, designed to verify the high-grade gold mineralization at depth in the Main Zone.
A Tartan Lake Property location map and longitudinal section will be available on St. Eugene's website.
Dr. Ilieva, P. Geo., is the Qualified Person who has reviewed and approved the contents of this news release.
CAUTION REGARDING FORWARD-LOOKING INFORMATION
This news release of St. Eugene contains statements that constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause St. Eugene's actual results, performance or achievements, or developments in the industry to differ materially from the anticipated results, performance or achievements expressed or implied by such 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. Forward-looking statements in this document include statements regarding St. Eugene's expectations regarding ownership, entitlements, drilling and exploration activities on properties in which St. Eugene has, or believes it has an interest. There can be no assurance that such statements will prove to be accurate. Actual results and future events could differ materially from those anticipated in such statements, and readers are cautioned not to place undue reliance on these forward-looking statements. Any factor could cause actual results to differ materially from St. Eugene's expectations. St. Eugene undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change, unless otherwise required by law.
Neither the 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. 
