Eloro Resources Ltd.

Eloro Resources Ltd.

November 03, 2005 08:00 ET

Eloro Announces Update on Lemoyne North Property in James Bay Region

TORONTO, ONTARIO--(CCNMatthews - Nov. 3, 2005) - Eloro Resources Ltd. (TSX VENTURE:ELO) (the "Company" or "Eloro") is pleased to announce that that the initial phase of work undertaken on its 100% owned Lemoyne North property has been completed. The reconnaissance work on the Lemoyne North property consisted initially of a regional Beep Mat survey conducted during the month of August 2005. This survey was subsequently followed up with investigative prospecting and mapping of selected mineralized gold and copper showings found by previous operators. Highlights of past exploration work conducted on the Lemoyne North Property by previous exploration companies include:

Sample type Results
Rock sample 21.22 g/t Au, 38.3 g/t Ag, 4.04% Cu
Rock sample 65.42 g/t Au, 2.88% Cu
Rock sample 10.46 g/t Au, 3.1 g/t Ag
Rock sample 11.83 g/t Au, 2.4 g/t Ag
Source: MNRQ Files: GM 56197 Mines d'or Virginia 1996
GM 56161 Exploration Boréale 1998

All of the Lemoyne North property mineralized showings were re-sampled and in total, approximately 100 rock samples were collected during the month of October 2005. All of the samples have been submitted to the Bourlamaque Assay Lab, a Val d'Or based laboratory facility and the Company is waiting for assay results.

The Company's exploratory work has outlined the presence of bands of felsic volcanic units along with iron formations throughout the Lemoyne North property. Mineralization encountered within the recently collected grab samples consists of abundant pyrite and pyhrrotite and trace amounts of chalcopyrite, sphalerite and arsenopyrite.

The Lemoyne North property is located in the James Bay area of Quebec, immediately north and adjacent to Virginia Gold Mines Inc.'s Poste Lemoyne Property which hosts a mineral resource of 94,854 ounces at a grade of 14.50 g/t Au (National Instrument 43-101 published April 8, 2003. Source: Virginia Gold Mines Inc.'s website at www.virginia.qc.ca). On October 31, 2005 Virginia Gold Mines Inc. ("Virginia") announced the signing of an agreement with Globestar Mining Corporation ("Globestar") pursuant to which Virginia is to acquire Globestar's 50% interest in the Poste Lemoyne property against the issuance of 160,000 shares of Virginia to Globestar. Globestar retains a 1% Net Smelter Returns (N.S.R.). Virginia has been granted a buyback right to purchase half (0.5%) N.S.R. for a total payment of CDN$500,000 (for further details, please see Virginia's press release of October 31, 2005 available at their website).

Including the Lemoyne North property, Eloro has acquired eight properties in the James Bay region, consisting of 19,176 hectares in a highly prospective exploration camp.

The contents of this press release have been reviewed by Martin Bourgoin, B.Sc., P.Geo, a qualified person under the guidelines of National Instrument 43-101.

The TSX Venture Exchange Inc. has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Eloro Resources Ltd.
    Thomas G. Larsen
    (416) 868-9168
    Eloro Resources Ltd.
    Jorge Estepa
    Vice President
    (416) 868-9168
    (416) 361-1333 (FAX)