THERE IS NO ONE MORE BLIND THAN THOSE WHO REFUSE TO SEE.

The latest Deadwood news was yawned at by the market place by investors who don't understand it or just plain lazy to see what is happening with Premium Exploration. The lithology reported by PEM of its Deadwood Zone was a peek into future core hole results that I expect are around the corner.Judging by the wording used by the company it is clear that PEM investors can expect to see stunning bonanza grades from the Quartz ores that mingle with the lower grade ores.I expect the holes in Deadwood will contain sections as high as 1 to 1.5 ounces per ton.The company has stated that drilling to date has confirmed structures that match the grab samples.The 54gt or one and three quarters ounces sample per ton will likely be reported in drill core.Grab samples don't get investors excited drill core does.

Such high grades embedded in low grade bulk tonnage will wake up this sleeping market in Premiums share price.There is little to no wate rock between the two typres of ores at Deadwood.That will change the mining economics of the DW zone and be a very attractive target for a major mining company.Del has stated that he thinks Deadwood to be 3 or 4 Fridays in size.This has been ignored by the market place.But for those who can not see I will spell it out for you.Expect some very high grades at some point in the Deadwood drilling.

The company has alerted shareholders with these statements:

Quartz Vein Altered Country Rock #972811 1.48 g/t Au
#972 816 19.37 g/t Au #972806 1.80 g/t Au #972812 0.61 g/t Au
#972 817 42.46 g/t Au #972807 0.05 g/t Au #972813 0.17 g/t Au
#972 818 54.05 g/t Au #972808 0.50 g/t Au #972814 0.81 g/t Au
#972 819 33.88 g/t Au #972809 0.09 g/t Au #972815 0.21 g/t Au
#972810 0.10 g/t Au #972820 0.97 g/t Au

-- Drilling on the patented claims within the northern part of the Deadwood
Zone has encountered similar alteration assemblages and sulphide
mineralisation to those seen in grab samples.

-- Deadwood drill-holes exhibit similar geological, structural, alteration,
and sulphide mineralisation characteristics of the Friday Zone located
12 km to the south, which hosts the current NI 43-101 compliant
resource.

-- Deadwood is one of several mineralised zones along the 30 km Orogrande
Shear Zone (OSZ) regional system; all mineralised zones are linked by
the 30 km geophysical anomaly with co-incident 16 km gold-in-soil
trends.



"Encountering Friday Zone material 12 km away within the Deadwood Zone, along with excellent outcrop results, and gold-in-soils, further suggests the potential for multiple gold deposits along the regional trend," stated Michael Ostenson, P.Geo., VP Exploration.

Grab samples (972816-972819) are taken from a quartz vein system along 50 meters of strike length and all returned +10 g/t Au results from the fire assay analyses. The balance of the grab samples are taken from sheared and altered country rock with up to 5% pyrite occurring as disseminated and in veinlets.

Widely spaced drill-holes are drilled along a 400 metre portion of the 12 km gold-in-soil anomaly that trends through the Deadwood and Buffalo Gulch Zones and correlates with the 30 km OSZ structure.

First pass drilling is designed to discover bulk tonnage style mineralisation associated with the OSZ structure. Alteration assemblages and sulphide mineralisation encountered in the first three drill-holes on the Deadwood patented claims (SD2011-1, 2, & 3), are similar to those seen in the surface grab samples reported in this release.

Large structures have been defined in the first three drill-holes and will be used as a guide to outline the size and geometry of the potential mineralised system. The structures are similar to those controlling mineralisation at the Friday-Petsite resource 12 km to the south. The structures at Friday-Petsite have been successfully used as the primary guiding feature for resource expansion.

High-Grade Vein Prospects - Secondary Target

The northern part of the Deadwood Zone is interpreted to comprise two types of gold bearing systems; an east-west high-grade quartz vein system, and a north-south disseminated lower-grade bulk tonnage system. Premium's primary focus is to define a bulk tonnage deposit.

The presence of the high-grade vein system has become a secondary drill target for Premium and the intersection of these two systems has the potential to host high-grade vein clusters within a large lower grade bulk tonnage deposit, thereby enhancing the overall grade.

There are at least 8 high-grade east-west vein systems along a 7 km segment of the +30 km OSZ within the Deadwood Zone with historically reported grades of over 1 oz/ton. A large portion of the Deadwood Zone is therefore potentially open to new discoveries.

Veins can be up to a few metres in width and laterally extensive. A number of these high-grade quartz veins have been historically mined. Historical mining exploited the shallow oxide portions of the veins, leaving the sulphide portion of the vein open to depth.

For a location map of the grab sample results, please click: http://bit.ly/DW_PatentedClaimsDrilling_Map.

The Deadwood Zone has several correlating features:

-- 12 km goldQuartz Vein Altered Country Rock #972811 1.48 g/t Au #972 816 19.37 g/t Au #972806 1.80 g/t Au #972812 0.61 g/t Au #972 817 42.46 g/t Au #972807 0.05 g/t Au #972813 0.17 g/t Au #972 818 54.05 g/t Au #972808 0.50 g/t Au #972814 0.81 g/t Au #972 819 33.88 g/t Au #972809 0.09 g/t Au #972815 0.21 g/t Au #972810 0.10 g/t Au #972820 0.97 g/t Au -- Drilling on the patented claims within the northern part of the Deadwood Zone has encountered similar alteration assemblages and sulphide mineralisation to those seen in grab samples. -- Deadwood drill-holes exhibit similar geological, structural, alteration, and sulphide mineralisation characteristics of the Friday Zone located 12 km to the south, which hosts the current NI 43-101 compliant resource. -- Deadwood is one of several mineralised zones along the 30 km Orogrande Shear Zone (OSZ) regional system; all mineralised zones are linked by the 30 km geophysical anomaly with co-incident 16 km gold-in-soil trends. "Encountering Friday Zone material 12 km away within the Deadwood Zone, along with excellent outcrop results, and gold-in-soils, further suggests the potential for multiple gold deposits along the regional trend," stated Michael Ostenson, P.Geo., VP Exploration.

Grab samples (972816-972819) are taken from a quartz vein system along 50 meters of strike length and all returned +10 g/t Au results from the fire assay analyses. The balance of the grab samples are taken from sheared and altered country rock with up to 5% pyrite occurring as disseminated and in veinlets.

Widely spaced drill-holes are drilled along a 400 metre portion of the 12 km gold-in-soil anomaly that trends through the Deadwood and Buffalo Gulch Zones and correlates with the 30 km OSZ structure.

First pass drilling is designed to discover bulk tonnage style mineralisation associated with the OSZ structure. Alteration assemblages and sulphide mineralisation encountered in the first three drill-holes on the Deadwood patented claims (SD2011-1, 2, & 3), are similar to those seen in the surface grab samples reported in this release.

Large structures have been defined in the first three drill-holes and will be used as a guide to outline the size and geometry of the potential mineralised system. The structures are similar to those controlling mineralisation at the Friday-Petsite resource 12 km to the south. The structures at Friday-Petsite have been successfully used as the primary guiding feature for resource expansion.

High-Grade Vein Prospects - Secondary Target

The northern part of the Deadwood Zone is interpreted to comprise two types of gold bearing systems; an east-west high-grade quartz vein system, and a north-south disseminated lower-grade bulk tonnage system. Premium's primary focus is to define a bulk tonnage deposit.

The presence of the high-grade vein system has become a secondary drill target for Premium and the intersection of these two systems has the potential to host high-grade vein clusters within a large lower grade bulk tonnage deposit, thereby enhancing the overall grade.

There are at least 8 high-grade east-west vein systems along a 7 km segment of the +30 km OSZ within the Deadwood Zone with historically reported grades of over 1 oz/ton. A large portion of the Deadwood Zone is therefore potentially open to new discoveries.

Veins can be up to a few metres in width and laterally extensive. A number of these high-grade quartz veins have been historically mined. Historical mining exploited the shallow oxide portions of the veins, leaving the sulphide portion of the vein open to depth.

For a location map of the grab sample results, please click: http://bit.ly/DW_PatentedClaimsDrilling_Map.

The Deadwood Zone has several correlating features:

--  12 km gold      
      
      
      
James