Manicouagan Minerals Inc.
TSX VENTURE : MAM

Manicouagan Minerals Inc.

October 19, 2010 11:00 ET

Mishkeegogamang Ojibway Nation and Manicouagan Minerals Sign Exploration Memorandum of Understanding

Joint News Release

THUNDER BAY, ONTARIO--(Marketwire - Oct. 19, 2010) - Chief Connie Gray-McKay of the Mishkeegogamang Ojibway Nation and Joseph Baylis, CEO Manicouagan Minerals Inc. (TSX VENTURE:MAM), today signed an Exploration Memorandum of Understanding committing to an ongoing relationship between the First Nation and Manicouagan with respect to the company's exploration activities on its Pickle Lake properties.

In April 2009, Manicouagan acquired the right to earn up to 70% interest in three claim groups known as the Dorothy-Dobie Lake, Kasagiminnis and Pickle Lake East properties. Since then, Manicouagan has developed a strategic land position in the Pickle Lake area of over 132 square kilometres in this proven, but under-explored gold mining camp. All of these properties lie within the prolific Uchi Geological Sub-province, which hosts the gold mining camps of Pickle Lake, Red Lake and Rice Lake.

The MOU establishes the foundation for a positive and mutually beneficial relationship between Mishkeegogamang Ojibway Nation and Manicouagan. These measures include training and employment, ongoing communication, and other benefits. Manicouagan has also agreed to retain a Mishkeegogamang business to provide community relations services. In addition, the First Nation and the Company have agreed to negotiate an Impact Benefit Agreement should an exploration project advance to the operational stage.

"This agreement is another significant step in our efforts to participate in the economy of our traditional lands." said Chief Gray-McKay, "By entering this agreement, Manicouagan has demonstrated the level of respect for our people and our lands that we expect from all resource companies operating on our traditional lands. We look forward to working cooperatively with Manicouagan Minerals and wish them every success with their continued exploration activities." 

Joseph Baylis, President and CEO of Manicouagan Minerals said "We look at this Exploration Agreement as a first important step in what we hope will be a long and mutually beneficial relationship with Mishkeegogamang Ojibway Nation. Our Board and our shareholders understand that a positive and ongoing relationship with First Nations, in whose traditional territories we are operating, is consistent with our company values in addition to making excellent business sense. We very much look forward to working with Mishkeegogamang as our exploration activities proceed." 

David Masakeyash, who acted as a head negotiator for the First Nation of this MOU commented, "With this MOU and the joint commitment to enter an Impact Benefit Agreement if an exploration project moves to the operations stage, the company's future success is now important to us and we will support them as they move forward."

Manicouagan has also agreed to issue, subject to regulatory approval, 250,000 warrants to the Mishkeegogamang Ojibway Nation having an exercise price of $0.15 cents and a term of five years.

About Manicouagan

Manicouagan Minerals Inc. is a Canadian based exploration company focused on advancing its gold projects in the Pickle Lake Gold Belt, Ontario. Manicouagan also has a pipeline of commodity projects including the Brabant Lake Zinc deposit in Saskatchewan, together with the Mouchalagane Nickel/Copper/PGE project and the HPM/Forgues Nickel/Copper/Cobalt project, both in Quebec.

Additional information about Manicouagan and its exploration projects can be found at www.manicouaganminerals.com.

Une traduction française de ce communiqué de presse est disponible à www.manicouaganminerals.com.

All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results and future plans and objectives of the Company, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations are exploration risks detailed herein and from time to time in the filings made by the Company with securities regulators.

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

  • Mishkeegogamang First Nation
    Chief Connie Gray-McKay
    807-928-2414
    or
    Mishkeegogamang First Nation
    General Delivery
    Osnaburgh, ON P0V 2H0
    or
    Manicouagan Minerals Inc.
    Joseph Baylis
    President and Chief Executive Officer
    (416) 542-3980
    or
    Manicouagan Minerals Inc.
    Andreas Curkovic
    Investor Relations
    (416) 577-9927
    investorrelations@manicouaganminerals.com
    or
    Manicouagan Minerals Inc.
    133 Richmond Street West, Suite 501
    Toronto ON M5H 2L3
    www.manicouaganminerals.com