Claude Resources has successfully de-watered past the 16 level of the Madsen Mine shaft in Red Lake, Ontario.

Rehabilitation of the 16 level has started and two drill chambers are expected to be developed by the end of the first quarter of 2011.
De-watering past the 16th level is necessary for the company to target and drill extensions to the high grade 8 Zone and to test associated sub-parallel systems.

Phase I of the 8 Zone drill program, which was completed in 2009, targeted extensions to the 8 Zone with five successful holes.
Phase I tested and demonstrated down plunge continuity, with multiple high grade intercepts and visible gold.

Inclusive of three historic holes, the five holes contributed 185,000 inferred ounces of gold towards the National Instrument 43-101 resource calculation the Company announced in December of 2009.

Phase II of the program will include two underground drills targeting the 8 Zone Trend, which will focus on testing western strike, down plunge and up-plunge extensions as well as footwall targets sub-parallel to the 8 Zone.

If successful, this program will could add significantly to the Company’s current 1.23 million ounce National Instrument 43-101 resource estimate.

For the remainder of 2010, the company will continue to rehabilitate the 16th level.

Underground drilling is expected to begin near the end of the first quarter in 2011 and run throughout the year.
Claude will also continue to drill surface targets, such as the Austin East extension and Starratt-Olsen.

The 10,000 acre, Madsen project is 100% owned by Claude Resources and encompasses four past-producing mines.