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Osisko Mining Corporation
("Osisko")(TSX:OSK
- News; FRANKFURT:EWX - News) and Golden Valley Mines
Ltd. (GZZ:TSX-V) are pleased to announce additional results from the 2010
drill program targeting the Jeffrey Zone on the Malartic CHL Property,
currently under option from Golden Valley Mines Ltd. and located immediately
east of Osisko's 100%-owned Canadian Malartic gold property.
Highlights from twenty-seven drill holes
include 72.5 metres averaging 2.02 g/t Au (CHL10-2247), 13.0 metres averaging
7.15 g/t Au (CHL10-2262), 92.0 metres averaging 0.77g/t Au (CHL10-2243) and
46.0 metres averaging 1.48 g/t Au (CHL10-2251). Assay results are summarized
in the table below:
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Hole No. Section From To Length Au
(m) (m) (m) g/t
CHL10-2243 7425E 152.5 164.0 11.5 0.85
And 189.0 281.0 92.0 0.77
CHL10-2244 7325E 22.0 73.0 51.0 0.99
CHL10-2245 7325E 17.0 87.0 70.0 0.42
CHL10-2246 7325E 14.3 40.0 25.7 1.14
And 84.0 102.5 18.5 0.85
CHL10-2247 7475E 30.5 103.0 72.5 2.02
including 82.0 83.5 1.5 10.80
CHL10-2248 7475E 23.5 40.0 16.5 0.92
CHL10-2249 7425E 75.0 106.5 31.5 1.52
And 140.0 171.5 31.5 0.93
CHL10-2250 7400E 70.1 94.5 24.4 0.65
And 120.0 132.5 12.5 0.83
And 156.5 187.9 31.4 0.70
And 209.0 210.5 1.5 9.37
CHL10-2251 7350E 20.0 66.0 46.0 1.48
including 20.0 21.7 1.7 15.15
And 97.5 109.5 12.0 1.20
CHL10-2252 7375E 35.0 59.0 24.0 0.80
CHL10-2253 7500E 112.7 157.2 44.5 0.51
CHL10-2255 7525E 110.5 138.1 27.6 0.63
CHL10-2256 7375E 96.0 137.0 41.0 0.51
CHL10-2258 7375E 31.5 67.5 36.0 0.85
And
CHL10-2259 7375E 19.0 97.0 78.0 0.89
including 22.0 23.5 1.5 15.80
CHL10-2260 7550E 109.2 147.4 38.2 2.20
including 144.5 147.4 2.9 22.54
CHL10-2261 7550E 87.2 99.0 11.8 1.25
CHL10-2262 7550E 69.7 95.2 25.5 0.62
And 116.5 129.5 13.0 7.15
including 126.3 129.5 3.2 26.64
CHL10-2264 7350E 20.5 81.0 60.5 0.73
CHL10-2265 7350E 11.2 33.5 22.3 0.71
CHL10-2266 7350E 81.5 94.0 12.5 1.67
CHL10-2267 7350E 37.0 64.0 27.0 2.04
including 62.5 64.0 1.5 25.5
CHL10-2268 7350E 146.0 223.5 77.5 0.63
CHL10-2269 7350E 51.0 68.0 17.0 1.43
And 156.5 197.4 40.9 0.52
And 230.5 250.0 19.5 1.70
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Drill holes CHL10-2254, CHL10-2258,
CHL10-2263 did not intersect significant mineralization. Definition drilling
on the Jeffrey Zone is based on a series of sections spaced at 25 metre
intervals over an east-west strike length of 400 metres and north-south
distance of 135 metres. The objective of the current program is to gather
sufficient drill information along strike and to depth to complete an initial
indicated resource calculation by the beginning of Q2 2011.
Mineralization at the Jeffrey Zone is
located along the southern limit of the Cadillac Break, where it consists of
disseminated pyrite-gold in potassic-altered quartz-feldspar porphyry dikes,
in contact with a predominately ultramafic flow sequence, and in subordinate
diorite-gabbro and sedimentary units. Narrower, higher-grade mineralization
is hosted in quartz veined (silicified) porphyry or talcose and
chlorite-altered ultramafic schists.
Continuity of steeply-dipping
mineralization is now well established along a strike length of 400 metres
(sections 7200E to 7600E), with a true width of 30 to 60 metres.
Mineralization is more sporadic further east between sections 7600E and
8100E. Mineralization has been traced to a depth of 200 metres on most
sections, where it remains open at depth. The western extremity of the
Jeffrey Zone (section 7200E) lies 1000 metres east of the eastern limit of
the Barnat extension (see October 14, 2010 press release), and most of the
intervening kilometre has yet to be drilled.
All NQ core assays reported above were
obtained by standard 50 g fire assaying-AA finish or gravimetric finish at
ALS Chemex laboratories in Val d'Or, Quebec. Reported drill core weighted
averages were calculated using a minimum of 0.40 g/t Au over successive
intervals of 20 metres. The lengths of mineralized intervals of less than 20
metres were minimized, and an upper cut-off of 30 g/t Au was applied to
individual assays where indicated. Intersected drifts or lost core within
mineralized intersections were incorporated as blank intervals.
Osisko follows strict QA-QC protocol
measures in keeping with industry standards and regulatory reporting
requirements. Mr. Robert Wares, P. Geo. and Executive Vice-President of
Osisko, and Mr. Francois Bouchard, P. Geo., are the Qualified Persons who has
reviewed this news release and are responsible for the technical information
reported herein, including verification of the data disclosed including the
sampling, analytical and test data underlying the technical information.
Osisko has the right to acquire a 70%
interest in the Malartic CHL Property in consideration for $150,000 in cash
payments over a four year period (total amount paid) and by completing a
minimum $2,000,000 in exploration work over a four year period (funds
currently expended). Upon earning its 70% interest, Golden Valley will
maintain a free-carried interest of 30% to production.
Cautionary Notes Concerning Estimates of
Mineral Resources
This news release uses the terms
measured, indicated and inferred resources as a relative measure of the level
of confidence in the resource estimate. Readers are cautioned that mineral
resources are not economic mineral reserves and that the economic viability
of resources that are not mineral reserves has not been demonstrated. In
addition, inferred resources are considered too geologically speculative to
have any economic considerations applied to them. It cannot be assumed that
all or any part of an inferred mineral resource will ever be upgraded to a
higher category. Under Canadian rules, estimates of inferred mineral
resources may not form the basis of feasibility or pre-feasibility studies or
economic studies except for Preliminary Assessment as defined under NI
43-101. Readers are cautioned not to assume that that further work on the
stated resources will lead to mineral reserves that can be mined
economically.
Forward-Looking Statements
Certain statements contained in this
press release may be deemed "forward-looking statements". All
statements in this release, other than statements of historical fact, that
address events or developments that Osisko expects to occur, are forward
looking statements. Forward looking statements are statements that are not
historical facts and are generally, but not always, identified by the words
"expects", "plans", "anticipates",
"believes", "intends", "estimates",
"projects", "potential", "scheduled" and
similar expressions, or that events or conditions "will",
"would", "may", "could" or "should"
occur including, without limitation, the commencement of commercial production.
Although Osisko believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, including, without
limitation, that all technical, economical and financial conditions will be
met in order to warrant further development of the project, such statements
are not guarantees of future performance and actual results may differ
materially from those in forward looking statements. Factors that could cause
the actual results to differ materially from those in forward-looking
statements include gold prices, access to skilled consultants, mining
development personnel, results of exploration and development activities,
Osisko's limited experience with production and development stage mining
operations, uninsured risks, regulatory changes, defects in title,
availability of personnel, materials and equipment, timeliness of government
approvals, actual performance of facilities, equipment and processes relative
to specifications and expectations, unanticipated environmental impacts on
operations market prices, continued availability of capital and financing and
general economic, market or business conditions. These factors are discussed
in greater detail in Osisko's most recent Annual Information Form and in the
most recent Management Discussion and Analysis filed on SEDAR, which also
provide additional general assumptions in connection with these statements.
Osisko cautions that the foregoing list of important factors is not
exhaustive. Investors and others who base themselves on forward-looking
statements should carefully consider the above factors as well as the
uncertainties they represent and the risk they entail. Osisko believes that
the expectations reflected in those forward-looking statements are
reasonable, but no assurance can be given that these expectations will prove
to be correct and such forward-looking statements included in this press
release should not be unduly relied upon. These statements speak only as of
the date of this press release.
Contact:
Vice-President Corporate Development
John Burzynski
416-363-8653
www.osisko.com |
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