HLM DRILLS 154 METRES OF CONTINUOUS LITHIUM, TANTALUM AND RUBIDIUM MINERALIZATION ACROSS FIVE ADJOINING INTERNAL PEGMATITE ZONES ON THE PAK RARE METALS PROJECT, ONTARIO

Sudbury, Ontario – July 2, 2013- Houston Lake Mining Inc. (TSX.V: HLM), is a mining exploration company that is specialized in rare metals and is actively exploring for lithium (Li), tantalum (Ta), rubidium (Rb) and cesium (Cs) by focusing on its high grade, 100% owned and optioned PAK Rare Metals Project in northwestern Ontario, Canada. HLM is pleased to announce the results of the first drill hole from the Phase I, six-hole Diamond Drill Program on the Pakeagama Lake pegmatite, located on the 2,816 hectare (6,958 acre) PAK Rare Metals Project.

In March, 2013, HLM completed the Phase I drill program to follow-up high grade surface channel sampling results obtained during the Company’s 2012 summer program (see HLM news releases dated January 10, 2013, January 29, 2013 and April 25, 2013). The objectives of the drilling program were to (1) determine the presence, orientation, thickness and mineralogical zonation of the Pakeagama Lake pegmatite at depth, and (2) to refine the mineralogical characterization of these zones and better establish their Li, Ta, Rb, and Cs potential. Drill hole PL13-001 intersected five adjoining and steeply inclined pegmatite zones with the sequence as follows: Wall Zone (WZ), Central Intermediate Zone (CIZ), Lower Intermediate Zone (LIZ), Upper Intermediate Zone (UIZ), and LIZ. As displayed in Table I below, two zones display strong tantalum and rubidium values and two zones display high lithium grades. In addition to Table I, a plan map of the exposed Pakeagama Lake pegmatite with PL13-001’s drill-hole trace and sections highlighting results by elements can be seen in Figures I and II and are located at http://www.houstonlakemining.com/images/PL-13-Sections.png

  • 154.05 metres (m) wide mineralized drill-intercept in pegmatite averaging 1.22% Li2O, 111 ppm Ta205, and 0.41% Rb2O from 38.50 m to 192.55 m
  • Includes 72.55 m wide high-grade lithium zone averaging 1.96% Li2O, 106 ppm Ta205, and 0.33% Rb2O from 120.00 m to 192.55 m, and
  • A 58.50 m wide tantalum zone averaging 121 ppm Ta205 (including 265ppm over 5.00m), 0.57% Li2O, and 0.55% R2O was intersected from 38.50 m to 97.00 m.

Table I – Core Length/Drill-Hole Intercepts (Pakeagama Lake pegmatite)

Chart One

(1)
The intervals in Table I are drill intersection widths. There is currently insufficient data to determine the true thickness of the pegmatite.

n/a = Not applicable

The CIZ is a distinct, near-vertical, Ta and Rb-enriched pegmatite zone located in the upper portion of the drill hole and in contact with the Li-enriched LIZ. The CIZ consists of predominantly grey K-feldspar with varying degrees of minor lithian mica + quartz alteration. Locally, veinlets and patches of lepidolite occur which typically contain the highest Ta grades found to date. Drill hole PL-13-001 targeted the CIZ at depth (under the area sampled by channel 1R seen from press release January 29, 2013) and showed the zone persisted at depth with a similar width as on surface. Channel 01R which sampled a portion of the exposed zone averaged 192ppm Ta2O5/14metres. Drill hole PL-13-001 intersected149ppm Ta2O5 /24.3m (72.7-97.0m) including 206ppm/6.0m (76.0-82.0m). The zone at depth was overall, more mineralogically evolved and consistent than the exposed zone.

The LIZ comprises a substantial portion of the pegmatite in PL-13-001 and is considered an intermediate stage, near-vertical zone with significant Li and Rb content. The zone consists of mainly K-feldspar, Na-feldspar, quartz, “SQUI” and lithian muscovite. SQUI is a term used to describe an oriented spodumene + quartz intergrowth after primary lithian mineral petalite. The zone has undergone both plastic and brittle deformation. The UIZ represents a high-grade Li zone within the LIZ and is dominated by SQUI, with minor grey K-feldspar and primary white spodumene in quartz. Phosphate minerals and lithian mica are the common accessory minerals.

The drill hole favorably showed that the large exposure of granite on surface (see Figures I and II located at http://www.houstonlakemining.com/images/PL-13-Sections.png) does not persist at depth and appears to be a large xenolith (granite raft). The length of continuous pegmatite intersected with PL-13-001 indicates that the pegmatite appears to be increasing in width towards the southeast.

The Pakeagama Lake pegmatite does not currently have a resource calculation, but the tantalum and rubidium mineralogy of the lepidolite-bearing CIZ, and SQUI as the as the dominant lithium mineral assemblage in the UIZ and LIZ compare favourably to the tantalum, rubidium and lithium ore zones at the Tanco Mine. The Tanco Mine is located in southeastern Manitoba and was a lithium mineral concentrate producer from 1986 until operations were suspended in 2009. Tanco was also a tantalum mineral concentrate producer until March 2013 when operation of this circuit ceased.

“We are pleased to have successfully completed the field work for what was a very exciting Phase I drill program.” said Trevor R. Walker, President of HLM. “These first drill-hole results from the Pakeagama Lake pegmatite display the potential for it to become a leading high grade, multi-element, large tonnage exploration target for rare metals in North America. HLM anxiously awaits the pending analytical results for the five remaining drill holes and we look forward to releasing them once they are received and interpreted for our shareholders”.

Table II – Collar Locations for Diamond Drill Hole (DDH)

Chart Two

Due Diligence
All scientific and technical information in this release has been reviewed and approved by Peter J. Vanstone, P.Geo., the qualified person (QP) under the definitions established by National Instrument 43-101. Under HLM’s QA/QC procedures, the diamond drill contract specified NQ-sized drill core providing a 47.6 mm diameter sample. The drill holes were oriented perpendicular to the strike of the pegmatite and drilled continuously across it. Sample security and chain of custody started with the removal of core from the core tube and boxing of drill core at the drill site. The boxed core remained under the custody of the drill contractor until it was transported from the drill to the secure on-site Core Shack facility by either the drill contractor or one of the Company’s designated personnel. At the on-site Core Shack, core boxes were opened and inspected to ensure correct boxing and labelling of the core by the drill contractor, photographed and then re-closed. The core was stored securely until moved into the Core Shack for processing. The company geologists logged the core, and then marked and tagged it for sampling and splitting. Each core sample was assigned a tag with a unique identifying number. Sample lengths are typically one meter, but can be less depending on zone mineralogy and boundaries. The Core was then re-closed and shipped to the company’s off-site core splitting facility in Sudbury, Ontario. Core marked for splitting was split using a diamond core saw with a mounted jig to assure the core was cut lengthwise into equal halves. Half of the core was sent to an analytical laboratory for quantitative analysis of select elements. The remaining half of the core is retained and incorporated into HLM’s secure, off-site core library.

All samples were assayed by an ISO accredited laboratory. Sample blanks along with tantalum, lithium, rubidium and cesium certified reference material was routinely inserted into the sample stream in accordance with industry recommended practices. Field duplicate samples were also taken in accordance with industry recommended practices.

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About Frontier Lithium Inc.
HLM’s goal is to become a fully integrated lithium, rubidium and tantalum producer with development of the PAK Lithium Project in Ontario, Canada. Based on the PAK deposit’s high-purity, technical-grade spodumene, a relatively lower capital requirement to enter in to the lithium supply market is possible by firstly becoming a technical-grade lithium concentrate supplier. HLM is focused on a staged approach to indirectly participate in the burgeoning lithium battery industry by taking advantage of the disruptive change to market fundamentals by targeting the ceramic-glass industry (industrial users). Currently, the glass/ceramics segment is the second largest in total lithium demand whereby supply pressure is taking place due to the threat of lithium battery growth.

Company Contact Information
Trevor R. Walker, President
2736 Belisle Drive
Val Caron, ON.
P3N 1B3 CANADA
T.+001 705.897.7622
F.+001 705.897.7618

Forward-looking Statements
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. 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 future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects are forward-looking statements. 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 or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, 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 those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on the Company, Investors should review the Company’s registered filings what are available at http://www.sedar.com

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