Nuinsco Resources Limited

Nuinsco Resources Limited

November 15, 2010 09:17 ET

Nuinsco Updates Olympian Status, Activities at Other Projects

Second Program to Begin in Egypt Next Week; Drilling Progressing at Prairie Lake and Diabase

TORONTO, ONTARIO--(Marketwire - Nov. 15, 2010) - Nuinsco Resources Limited ("Nuinsco" or "the Company") (TSX:NWI) ( today announced that drill results from its Olympian Gold Project in Ontario's Lake of the Woods region are not sufficiently prospective to justify further expenditure at this time. As a result, the Company will not make further payments on the Olympian option agreements, but instead focus on its other exploration projects in Canada, Egypt and Turkey.

Exploration on the Triggs portion of the Olympian Project comprised line cutting, magnetic and I.P. geophysics, stripping and washing, channel sampling, mapping, prospecting and 1164m of diamond drilling in twelve drill holes. All work was conducted between late winter and late summer in an aggressive program to evaluate the potential of the area. Although the results demonstrate that the local environment is endowed with gold, the levels of gold mineralization obtained from the current program do not reflect the spectacular gold mineralization obtained from the historic Triggs Showing where sampling by Company geologists provided assays up to 341.81g/t Au (but including several other multi-gram samples – see news release dated 2 June 2010).

Results obtained from the exploration program demonstrate the presence of shear hosted quartz veins and rusty sulphide mineralization, observed discontinuously over several hundred metres along strike from the Triggs showing as well as quartz veining in sheared rock elsewhere on the property. Visible gold was observed in hand specimens and in drill cores and provided an assay of 20.77g/t Au over 30cm in a quartz vein (between 17.73m and 18.03m in DDH NO-10-01) and 33.0g/t Au from a grab sample obtained from a sheared rock near to the historic Triggs workings. Assays up to 2.77g/t Au were obtained from quartz veining at surface with other low anomalous values obtained from similar mineralization. 

"Our objective was to quickly evaluate the viability of the Olympian project to determine if we wanted to move forward prior to additional option payments being made," said Paul Jones, President. "Given the results obtained from work at Triggs-Olympian to date and the outstanding quality of our other projects: Bukari and Umm Samra gold concessions in Egypt; the Canadian Diabase Peninsula uranium project and the Prairie Lake rare metals project, all of which are being actively explored; along with the Berta and Elmalaan projects in Turkey – the decision was made to allocate our resources elsewhere and return the Triggs portion of the Olympian project to the optionors."

Priority Programs

The first diamond drill hole of the minimum 3,500m program at the Prairie Lake rare metals project is now complete and, as previously announced, a minimum 2,000m drill program has begun at the Diabase Uranium Project in Saskatchewan's Athabasca Basin. A second field exploration program at the Bukari and Umm Samra gold concessions in Egypt's Eastern Desert is scheduled to begin next week.

About Nuinsco Resources Limited

Nuinsco is a growth-oriented, multi-commodity mineral exploration and development company that is focused on gold, rare metals, uranium, copper and zinc exploration in world-class mineralized belts in Canada, Turkey and Egypt. In addition to its property holdings, Nuinsco owns common shares in Gold Hawk Resources Inc. (TSX VENTURE:GHK), Coventry Resources Limited (ASX:CVY) and Victory Nickel Inc. (TSX:NI). Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.

All samples from the Olympian Project were securely shipped to AGAT Laboratories of Mississauga, Ontario for metallics screen analyses with a traditional fire assay with ICP finish for gold, and testing for copper and silver content by aqua regia geochemical methods. Paul Jones, P.Geo., President of Nuinsco, is a QP for the Company under NI 43-101 and has reviewed and approved the contents of this press release.

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FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements." All statements, other than statements of historic fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "seek," "anticipate," "believe," "plan," "estimate," "expect," and "intend" and statements that an event or result "may," "will," "can," "should," "could," or "might" occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from government authorities, and other development and operating risks. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.

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