MONTREAL, QUEBEC--(Marketwired - April 18, 2013) - Midland Exploration Inc. ("Midland") (TSX VENTURE:MD) is pleased to report that Agnico-Eagle Mines Limited ("Agnico-Eagle") will begin an underground drilling campaign at the Lapa mine, where certain drill holes will be extended onto the Maritime-Cadillac property, in combination with a diamond drilling program from surface on the Maritime-Cadillac property. The Maritime-Cadillac property is contiguous to the Lapa gold mine property (2.1 million tonnes in proven and probable reserves at a gold grade of 6.0 grams per tonne, for 395,000 ounces of gold), in commercial production since May 2009.
First underground drilling program
Agnico-Eagle has excavated an exploration drift at 1,000 metres depth on its Lapa property, extending southeast to the northern limit of the Maritime-Cadillac property. This exploration drift will serve as a starting point to drill a series of holes designed to test the potential extension of the gold corridor defined by the previous surface drilling on the Maritime Cadillac property. The previous drilling intersected several gold zones including values up to 1.7 g/t Au over 46.4 metres including 21.1 g/t Au over 1.2 metres (Hole 141-11-31), 1.7 g/t Au over 37.85 metres including 2.3 g/t Au over 24.0 metres and 12.6 g/t Au over 1.5 metre (Hole 141-10-23) and 1.1 g/t Au over 25.9 metres (Hole 141-09-21).
Further drilling in the Dyke West Zone
In conjunction with this underground drilling program, a drilling campaign will also be undertaken from the surface, to follow up on and test a high-grade intersection obtained in the Dyke West Zone in drill hole 141-10-26. The latter returned a grade of 8.6 g/t Au over 5.5 metres, from 383.1 to 388.6 metres depth, including an interval at 13.8 g/t Au over 3.0 metres. The surface program will involve more than 1,000 metres to test at depth the extension of that favorable zone.
The Maritime Cadillac property is well located in the eastern part of the Cadillac mining camp, south of the Lapa gold mine. The presence of significant lithological contacts (Pontiac-Piché-Cadillac) within the Cadillac-Larder Lake deformation zone provides excellent potential for the development of lode gold or disseminated gold deposits.
A surface plan and a longitudinal section showing these recent intersections and planned drill holes are available on Midland's website.
Terms of the Exploration Agreement
On June 1, 2009, Agnico-Eagle acquired a 50% undivided interest in the Maritime-Cadillac property. They paid $100,000 and completed $1,000,000 of exploration work from fiscal 2006 to fiscal 2009. They also have the option to increase its undivided interest in the property from 50% to 65% over a period of 4 years, by financing a bankable feasibility study or by solely assuming all mining operations on the Maritime Cadillac Property, earning a 1% additional interest for every $1,000,000 spent on the property (up to 15% by spending $15 million). Agnico-Eagle is currently exercising its option to increase its interest in the project by solely funding ongoing exploration expenditures on the project.
About Midland
Midland targets the excellent mineral potential of Quebec to make the discovery of new world-class deposits of gold, base metals and rare earth elements. Midland is proud to count on reputable partners such as Agnico-Eagle Mines Limited, Osisko Mining Corporation, Maudore Minerals Limited, Japan Oil, Gas and Metals National Corporation and SOQUEM Inc. Midland prefers to work in partnership and intends to quickly conclude additional agreements in regard to newly acquired properties. Management is currently reviewing other opportunities and projects to build up the Company portfolio and generate shareholder value.
This press release was prepared by Mario Masson, VP Midland Exploration and Qualified Person as defined by NI 43-101. For further information, please consult Midland's website.
This press release may contain forward-looking statements that are subject to known and unknown risks and uncertainties that could cause actual results to vary materially from targeted results. Such risks and uncertainties include those described in Midland's periodic reports including the annual report or in the filings made by Midland from time to time with securities regulatory authorities.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact Information:
450 420-5977
450 420-5978 (FAX)
info@midlandexploration.com
www.midlandexploration.com