MAIN PROJECTS




Resource Highlights

Previous drilling totaling of 48 drill holes has produced a resource of 181 Million Tonnes @ 0.54 g/t for 3.269 Million Contained Ounces of Gold (NI 43-101).

ITH's 2008 drilling results released to date indicate significant expansion of this resource. Higher grades and thicker sections intersected this year include:
Hole ID Length (m) Gold Grade (g/t)
MK-RC-0001 65.54 1.56
MK-RC-0002 15.24 2.20
MK-RC-0005 32.01 1.63
MK-RC-0007 45.72 1.43
  59.43 1.99
MK-RC-0008 199.64 1.44
  140.21 1.00
MK-RC-0013 7.62 4.49
MK-RC-0017 6.10 1.01
MK-RC-0023 15.24 1.18
  57.91 2.51

ITH plans NI 43-101 update for Livengood at this seasons end.

Exploration Plan and Budget for 2008
The highly encouraging results from this work to date triggered a major expansion by ITH of the planned Livengood 2008 work program. Currently ITH is focused on doubling the overall resource, converting a large portion of the inferred resources to indicated and measured and gathering the data needed to complete a preliminary economic scoping study by the middle of 2009.

The 2008 Resource Definition Drill Program began in May and is expected to continue into December. ITH will utilize 2 RC drill rigs and 1 core rig operating 24 hours per day seven days per week to grid drill the Core Target area which covers an area approximately 2 km by 800 m, at nominal 75 m spacing. This program will test both the volcanic hosted and higher-grade sediment hosted targets within the main structural corridor. Third party studies are underway to forward these expansion goals and include a gold characterization study currently underway to better understand the gold occurrences and dissemination, an archeological study and an environmental base line study is part of ITH's proactive environmental stewardship plan.

The Company budgets a total of $7.5 million to complete this program to increase the Company's value.

Project Summary
The Livengood project contains a large, bulk-tonnage target that is related to 90 million year old monzonitic intrusions, similar in age to those that host the Fort Knox deposit. This bulk-mineable deposit lies in a logistically favorable area due to its proximity to Fairbanks and location along the Elliot Highway. ITH is taking the Livengood Project to the resource definition stage and released a Canadian National Instrument compliant resource report in February 2008.

Location
Livengood is located approximately 120 km northwest of Fairbanks, Alaska in the Tolovana Mining District within the Tintina Gold Belt. The primary target lies in the center of the historic Livengood Placer District which has produced in excess of 500,000 ounces of gold since 1914. The property can be accessed year-round by the all weather paved Elliot Highway and secondary roads. The property has the benefit of being along the industrial route used to service Prudhoe Bay's oil and gas fields and is within eye shot of the Alyeska Oil Pipeline, a very auspicious location.

Ownership
The property consists of 4,375 hectares (44 km2) of a Lease with the State of Alaska, Leases with individuals for State and Federal claims and a Lease with individuals for private lands. International Tower Hill Mines Ltd ("ITH") controls 100% of the property package which is subject to sliding scale royalty, land payments and work commitments.

Environmental and Cultural Concerns
The State of Alaska and Bureau of Land Management both provide transparent permitting processes which promote responsible modern exploration and mining techniques in Alaska. ITH is committed to the environment and community of Alaska and commissioned an archeological study and an environmental base line study of the property as part of the Company's proactive stewardship plan.

Property Background
The Livengood Property has been prospected, explored and placer mined by several companies and private individuals since the 1970s with 19 holes drilled prior to AngloGold Ashanti (U.S.A.) Exploration Inc. acquisition in 2003; which marked the first application of modern exploration techniques in the area. AngloGold drilled 12 RC and core holes defining and confirming the broad large-tonnage gold system. Studies conducted by the State of Alaska Division of Geological and Geophysical Surveys in 2004 defined the source area for the placer gold in the Livengood District as the target for the large bulk-tonnage system subsequently under deeper investigation by ITH.

ITH acquired Livengood from AngloGold in August of 2006, aggressively drilled the gold anomalies and in return discovered a significant ore body. ITH drilled 7 core holes in 2006 and 15 core holes in 2007 to produce the first resource estimation on the property of NI 43-101 Compliant 3.1 million ounces of contained gold and defined the Core Target area (Figure 1) within the original gold in soil anomaly. ITH's 2008 Resource Definition drilling program calls for step out and infill drilling of the Core Target area (Figure 1).


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Figure 1 Livengood project area with the surface gold anomaly shown with respect to the Core Target area currently under resource expansion drilling by the Company.


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Figure 2 Livengood's core zone will be drilled on nominal 75 m centers as part of the 140,000 m 2008 Resource Definition Program. This drilling targets the primary structural zone of the deposit identified to date.


Resource Definition Summary
In 2007 ITH delivered a NI 43-101 inferred resource of 188 Mt of material are present at an average grade of 0.54 g/t gold and 0.30 g/t silver for a total of 3.269 M oz of gold and 1.789 M oz of silver. Mineralization has not been closed off in any direction; there is expansion potential with just 20 percent of the Core Target area tested so far. This is a significant, new resource and the focus of ITH's 2008 Alaska program and budget.

Table 1 Livengood Global Inferred Resource*

Cutoff

Tonnes

Au (g/t)

Ag (g/t)

Au ozs

Ag ozs

0.02

280,300,000

0.44

0.28

4,014,000

2,508,000

0.03

188,010,000

0.54

0.3

3,269,000

1,789,000

0.04

129,600,000

0.62

0.32

2,615,000

1,307,000

0.05

87,810,000

0.71

0.32

2,011,000

883,000

0.06

54,150,000

0.82

0.3

1,422,000

500,000

0.07

33,230,000

0.93

0.3

985,000

306,000

0.08

25,310,000

0.99

0.29

796,000

229,000

0.09

10,290,000

1.16

0.38

382,000

125,900

1.00

6,770,000

1.26

0.43

275,700

92,700

1.10

4,030,000

1.42

0.47

183,900

60,900

1.20

2,190,000

1.65

0.52

116,400

37,000

Mineral resources which are not mineral reserves do not have demonstrated economic viability. The estimate of mineral resources may be materially affected by environmental, permitting, legal, marketing, or other relevant issues.

Preliminary gold characterization results indicate very high, rapid cyanide extractions for the oxide and weakly oxidized ores (averaging 96.7%). The results of cyanide extraction tests carried out on selected samples are outlined in. Samples were selected to represent variations in the grade, degree of oxidation and alteration style. The results show that the gold is readily recovered from the oxidized and partially oxidized ore types with lower recoveries from un-oxidized ores. ITH has ordered further testing to determine the heap leach potential for the Livengood ore as well as additional testing of the un-oxidized ore to determine the optimum and most cost effective extraction method.

Table 2
Preliminary Cyanide Extraction Results*

Sample #

Ore Type

Average Grade (g/t)

% Cyanide Extraction*

1

Oxide Sediments

1.52

99.9%

2

Oxide Sediments High-grade

10.80

96.9%

3

Un-Oxidized Volcanic

1.52

59.7%

4

Oxide Sediments

1.39

99.9%

5

Un-Oxidized Volcanic

1.38

42.3%

6

Weakly Oxidized Volcanic

1.06

90.2%

1A

Volcanic Un-Oxidized

2.30

60.9%

* Samples were 300 gram bottle rolls with sample material crushed to ~200 mesh and sampled every 8-10 hours for a total of 48 hours

Mineralization and Deposit Type
Local mineralization consists of gold in multiple stages of quartz veins associated with variable amounts of pyrite, arsenopyrite, stibnite, and minor to trace amounts of other sulfides (Figure 3). Vein and disseminated mineralization are spatially and possibly genetically associated with dikes and sills of monzonite, diorite, and syenite composition and are hosted by sediments and volcanoclastic units. These host rocks consist of three, thrust-bound assemblages that include Devonian sediments and volcanics, Cambrian mafic rocks, and basement Paleozoic to Proterozoic sediments and volcanics. This entire sequence was intruded by a series of ~90 million year old dikes and sills (Fort Knox/Tintina Gold Belt age).


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Figure 3 Quartz-stibnite-arsenopyrite vein in albite altered crystal lithic tuff. This sample is from hole MK-08-18 at 134m depth.


Mineralization at Livengood is both stratigraphically and structurally controlled (Figure 4) and associated with a series of NW trending faults. Mineralization has been found in three styles; stratiform volcanic-hosted, stratiform sediment-hosted and intrusion-hosted. Gold occurs as native gold in association with pyrite, albitic alteration and quartz veining. Within the stratiform bodies higher grade zones (+1g/t Au) are developed along structural feeder zones. Geologically, the sediment-hosted mineralization displays strong similarities to the world-class gold deposits of Nevada.


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Figure 4 Cross section with simplified geology displayed at the PDAC 2008 Core Shack. Note that the Au ppm values, to the right of the hole trace, are greater when mineralized dikes (left of hole trace in red) coincide with the main volcanic unit. More figures can be seen by viewing the PDAC 2008 Presentation link on the ITH website.


Table 3
Summary of all Livengood Drill Holes in Core Target Area (as of July 23, 2008)*

Hole ID Total Length (m) Length Mineralized (m) * Average Gold Grade (g/t) Mineralized Section % of Hole Mineralized
MK-04-01 109.73 13.71 1.63 12%
MK-04-02 305.71 77.55 0.75 25%
MK-04-03 208.79 103.72 0.69 50%
MK-04-04 137.77 22.62 0.61 16%
MK-06-05 305.1 41.6 0.69 14%
MK-06-06 205.44 16.54 0.7 8%
MK-06-07 276.45 127.14 1.44 46%
MK-06-08 288.34 44.02 0.83 15%
MK-07-12 282.85 41.89 1.07 15%
MK-07-13 351.13 162.93 0.63 46%
MK-07-14 44.81 16.06 0.56 36%
MK-07-15 281.64 133.09 1.07 47%
MK-07-16 332.84 74.03 0.58 22%
MK-07-17 421.84 93.48 0.65 22%
MK-07-18 301.14 141.18 2.01 47%
MK-07-19 436.17 168.09 0.61 39%
MK-07-20 244.3 149.94 0.88 61%
MK-07-21 309.98 128.31 0.76 41%
MK-07-22 382.83 144.92 0.74 38%
MK-07-23 290.17 154.84 0.77 53%
MK-07-24 372.16 76.4 0.6 21%
MK-07-25 330.4 25.91 0.65 8%
BAF-1 213.4 68.5 0.74 32%
BAF-2 152.4 24.4 0.48 16%
BAF-3 150.9 32.2 0.62 21%
BAF-4 216.4 108.3 0.58 50%
BAF-5 189.9 50.3 0.43 26%
BAF-6 134.1 70.1 0.53 52%
BAF-7 304.8 190.2 0.96 62%
BAF-8 152.4 65.8 0.8 43%
MK-RC-0001 321.56 121.92 1.14 38%
MK-RC-0002 335.28 135.65 0.86 40%
MK-RC-0003 222.50 65.57 0.47 29%
MK-RC-0004 274.32 150.88 0.56 55%
MK-RC-0005 269.75 74.69 0.91 28%
MK-RC-0006 353.57 178.32 0.71 50%
MK-RC-0007 286.51 160.04 1.32 56%
MK-RC-0008 213.36 202.69 1.42 95%
MK-RC-0009 246.89 135.63 0.58 55%
MK-RC-0010 240.79 57.92 0.73 24%
MK-RC-0011 225.55 184.41 0.91 82%
MK-RC-0012 307.85 188.98 0.60 61%
MK-RC-0013 225.55 88.39 1.07 39%
MK-RC-0014 217.93 15.25 0.46 7%
MK-RC-0015 195.07 30.48 0.39 16%
MK-RC-0017 297.18 123.45 0.61 42%
MK-RC-0018 252.98 80.77 0.57 32%
MK-RC-0020 213.36 97.51 0.56 46%
MK-RC-0021 213.36 62.48 0.59 29%
MK-RC-0023 288.04 170.68 1.44 59%
* Intervals included in sum have <3m of internal waste & cutoff grade of 0.25 g/t gold.


Table 4
2008 Significant Drill Intercepts with in the Core Target Area as of July 23, 2008.

Hole ID From (m) To (m) Length (m) Gold Grade (g/t)
         
MK-RC-0001 138.68 204.22 65.54 1.56
MK-RC-0002 134.11 149.35 15.24 2.20
  153.92 167.64 13.72 1.38
  271.27 333.76 62.49 0.60
MK-RC-0003 115.82 140.21 24.39 0.62
MK-RC-0004 0.00 62.48 62.48 0.47
  102.11 108.20 6.09 0.83
  112.78 132.59 19.81 0.82
MK-RC-0005 1.52 33.53 32.01 1.63
MK-RC-0006 15.24 35.03 19.81 0.98
  214.88 259.08 44.20 0.67
  289.56 315.47 25.91 0.62
  330.71 350.52 19.81 0.81
MK-RC-0007 25.91 71.63 45.72 1.43
  128.02 187.45 59.43 1.99
MK-RC-0008 10.67 210.31 199.64 1.44
MK-RC-0009 62.48 100.58 38.10 0.58
  109.73 128.02 18.29 0.72
  170.69 193.55 22.86 0.54
MK-RC-0010 146.30 172.21 25.91 0.78
MK-RC-0011 7.62 36.58 28.96 0.44
  65.53 205.74 140.21 1.00
MK-RC-0012 99.06 126.49 27.43 0.79
  138.68 274.32 135.64 0.56
MK-RC-0013 115.82 123.44 7.62 4.49
  131.06 195.07 64.01 0.74
MK-RC-0014 181.36 185.93 4.57 0.71
MK-RC-0017 60.96 67.06 6.10 1.01
  102.11 155.45 53.34 0.73
MK-RC-0018 71.63 82.30 10.67 0.45
  111.25 118.87 7.62 0.98
  137.16 146.30 9.14 0.88
MK-RC-0020 0.00 24.38 24.38 0.53
  76.20 91.44 15.24 0.72
  140.21 172.21 32.00 0.62
MK-RC-0021 4.57 24.38 19.81 0.60
  118.87 129.54 10.67 0.65
  146.30 156.97 10.67 0.88
MK-RC-0023 74.68 89.92 15.24 1.18
  114.30 181.36 67.06 0.95
  196.60 254.51 57.91 2.51
Lillian Structure Trench Results
MK-08-TR01 0.00 16.61 16.61 0.64
MK-08-TR02 0.00 18.29 18.29 0.90
* Intercepts calculated using 0.25g/t gold cut-off.


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Figure 5 Livengood drill hole plan map of the Core Target area as of July 23, 2008.
 

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