Comstock Mining Completes Phase One Drilling at Spring Valley

VIRGINIA CITY, Nev., May 9, 2012  /PRNewswire/ -- Comstock Mining Inc. ("Comstock Mining" or "the Company") (NYSE Amex: LODE) announced the successful completion of the initial phase of drilling in its Spring Valley exploration target.  The Spring Valley drilling began on January 24, 2012, and was completed on March 22, 2012.  

As previously announced, the initial Spring Valley drilling was designed as a follow up of the Company's successful 2009 Spring Valley discovery and to verify the continuity of the Dayton geological model southward, beyond State Route 341, into this predominantly unexplored area. Two drill rigs were used in this initial phase, completing14 reverse circulation (RC) holes, totaling 10,235 feet, and two core holes totaling 1,627 feet.

See graphic map of the Spring Valley Phase One Significant Mineralization Hits here:
http://www.comstockmining.com/news/press-releases/251-wednesday-may-9-2012

Assay results have been received for all of the RC drilling, showing that all 14 RC holes encountered intervals of significant mineralization (gold grades greater than 0.010 ounces per ton or silver grades greater than 0.100 ounces per ton, and length of at least ten feet). 

Of special interest is hole SV12-05, which encountered a total of 215 feet of significant mineralization in three zones: 90 feet grading 0.027 ounces of gold and 0.148 ounces of silver per ton, 30 feet grading 0.028 ounces of gold and 0.050 ounces of silver per ton, and 95 feet grading 0.041 ounces of gold and 0.093 ounces of silver per ton.  Also of note are hole SV12-07, with 180 feet of significant mineralization in seven zones, and hole SV12-11, which encountered 100 feet of significant mineralization in six zones, including 35 feet grading 0.181 ounces of gold and 0.250 ounces of silver per ton.

"Our initial drilling supports extending the geological model that we developed at the Dayton Resource Area," said Larry Martin, Comstock Mining Vice President of Exploration and Mine Development.  "We are especially encouraged that one of our featured drill holes, in the northern-most drill fence, intersected multiple zones of significant mineralization targeted specifically from the knowledge derived from our 2011 geophysical survey."

Significant Mineralized Intervals, Deeper, Silver Only Mineralization Persists

A sample from each five-foot interval in each drill hole has been sent for analysis to American Assay Labs, of Reno, Nevada, a certified independent laboratory.  Assay results have been received to date for all 14 of the RC holes in the program.  Many of the holes encountered the deeper, silver-only mineralization that was first noted in the results of the 2010-2011 Dayton drilling program.

See table of drill results here:
http://www.comstockmining.com/news/press-releases/251-wednesday-may-9-2012

"We are not surprised at these excellent results.  Our structural assessment of the geology suggests a connection from Dayton, south into Spring Valley, and we are just beginning to prove these southerly extensions," stated Mr. Corrado De Gasperis, Comstock Mining's Chief Executive Officer.

Ongoing Drilling Programs

The Spring Valley drilling was the first phase of the Company's 18-month 2012-2013, exploration program.  With completion of the Spring Valley phase one drilling, two reverse-circulation rigs and two core rigs moved to the Lucerne Resource Area.  Geotechnical and definition drilling in the Lucerne will provide information required to optimize and extend the life of the Lucerne mine, currently preparing for production startup.

The 2012-2013 drilling program will then continue with three significant objectives: 1) Step-out and infill drilling in the East-Side of the Lucerne Resource Area; 2) Infill drilling in the Dayton Resource Area; and 3) Exploration drilling on high priority targets, including further drilling in Spring Valley.

About Comstock Mining Inc.

Comstock Mining Inc. is a Nevada-based gold and silver mining company with extensive, contiguous property in the Comstock District.  The Company began acquiring properties in the Comstock District in 2003.  Since then, the Company has consolidated a significant portion of the Comstock District, amassed the single largest known repository of historical and current geological data on the Comstock region, secured permits, built an infrastructure and brought the exploration project into test mining production.  The Company continues acquiring additional properties in the district, expanding its footprint and creating opportunities for exploration and mining.  The goal of its strategic plan is to deliver stockholder value by validating qualified resources (at least measured and indicated) and reserves (probable and proven) of 3,250,000 gold equivalent ounces in 2013, and commencing commercial mining and processing operations with annual production rates of 20,000 gold equivalent ounces.

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SOURCE Comstock Mining Inc.