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ROUYN-NORANDA, QUEBEC--(Marketwire - Nov. 12, 2012) - Pershimco Resources Inc. (the "Corporation" or "Pershimco") (News - Market indicators)(FRANKFURT:BIZ) is pleased to provide an update on its ongoing exploration activities completed on the Corporation's Courville Gold project in Abitibi, Canada. The Courville Gold Project is being developed through a Joint Venture with Osisko Mining Corporation ("Osisko"). Based on the positive results returned by the Phase 1 program, Osisko will now commence Phase 2 of the Joint Venture Agreement. The follow-up work program is currently being planned by the exploration team at the Courville Gold Project.
Work completed during Phase 1 of the Joint Venture consisted of the completion of:
- 1296.5 line kilometer Airborne magnetic and TDEM survey;
- 52 line kilometer ground Induced Polarization (IP) chargeability and resistivity geophysics survey; and
- 6,154 meter Diamond drilling program.
The drilling program completed consisted of 24 holes totalling 6,154 m. Of the 24 drill holes, 15 were completed in the northern portion (Jolin) and 9 were completed in the southern portion of the property (Esteville). Highlights of the drilling program are listed in Table 1 below which shows two drill holes (PO12-020 and PO12-024) intersected at significant gold mineralization in the Esteville block. Of particular significance are the results from PO12-020 which returned an intercept close to surface.
Table 1: New Gold results from Courville Gold Project
|DRILL HOLE NO.
Both drill holes PO12-020 and PO12-024 were targeting IP chargeability anomalies identified by the ground geophysics program completed. Refer to Figure 1 for drill hole location plan. These drill holes are part of the first phase of work completed by Osisko under the terms outlined in the press release dated October 11, 2011.
Alain Bureau, P.Eng, Pershimco's President and CEO commented: "We are very pleased with the development of the Courville Gold Project. These encouraging drill results validate the initial phase of work completed under the Joint Venture Agreement with Osisko in addition to validating our team's exploration model indicating that the area has significant potential. We are also very pleased Osisko has confirmed its continued participation in the project based on these results and will now commence Phase 2 of the agreement".
Courville Gold Project, a transaction of over $40 M with Osisko
In October 2011, Pershimco received final approval from the TSX Venture Exchange in connection with the Joint Venture Agreement with Osisko on the Courville Gold Project. Under the terms of the Agreement, Osisko can earn a 51% interest in the joint venture by investing $20 million in exploration over a 5-year period. Pershimco also grants to Osisko a second option to earn an additional 19% interest, on or before the seventh anniversary of the Agreement, either by spending an additional $19 million dollars in exploration expenditures or by funding completion of a feasibility study. Osisko will act as operator during the earn-in period and thereafter if Osisko exercises and completes the additional option. Osisko also subscribed to common shares of the capital stock of Pershimco for a total amount of $CAN1.5 million based on a subscription price of $1.00 per common share. Furthermore, Osisko will issue to Pershimco 76,000 common shares of Osisko.
Quality Assurance / Quality Control ("QA/QC")
Osisko follows strict QA-QC protocol measures in keeping with industry standards and regulatory reporting requirements. All assays reported above were obtained by standard 50-g fire assay with AA or gravimetric finish (method Au-AA24) and a multi-element package applied to selected samples (method ME-ICP 41) at the ALS Chemex laboratories in Val-d'Or, Québec.
Information of scientific and/or technical nature present in this press release have been reviewed and approved by Mr. Carl Corriveau P.Geo. of Osisko Mining Corporation and Mr. Mathieu Piché, Ph.D., geologist for Pershimco. Mr. Corriveau and Mr. Piché are Qualified Persons as defined by National Instrument 43-101.
About Pershimco Resources Inc.
Pershimco Resources Inc. is a Canadian-based resources and exploration company listed on the TSX Venture Exchange and the Frankfurt Exchange. The Corporation holds several mining properties in Canada and South America, including the extraction permitted Cerro Quema advanced project in Panama and the Courville Gold Project, in the Val-d'Or Gold Mining Camp, being explored in partnership with Osisko Mining Corporation. The Corporation is managed by skilled and reputable people with extensive mining, exploration and development experience. The Pershimco Team and its investors are the key to its success.
The Corporation's documents are available on www.sedar.com.
Please visit the Corporation's website at www.pershimco.ca.
Figure 1 is available at the following address : http://media3.marketwire.com/docs/Localisation-Forages-Courville.pdf