Orsa Ventures Corp.

Orsa Ventures Corp.

July 19, 2011 07:00 ET

Orsa Options Ashby Property, Nevada, from Bridgeport Ventures

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 19, 2011) - Orsa Ventures Corp. ("Orsa" or the "Company") (TSX VENTURE:ORN) is pleased to announce that it has entered into an option agreement (the "Option Agreement") with Bridgeport Ventures Inc. ("Bridgeport") whereby Orsa can earn up to a 51% interest in Bridgeport's Ashby gold property in Nevada (the "Ashby Property") through phased exploration expenditures, cash payments and share issuances.

The Ashby Property

The Ashby Mine is credited with reported production of 9,000 ounces of gold between 1934 and 1937. During the 1980's and 1990's, additional small scale mining removed several hundred ounces per year. Gold was produced from ten steeply dipping, inclined shafts from over several hundred metres of underground workings. Historic workings trace mineralization over a strike length of 650 metres on the north portion of the Ashby Property and in the south over 150 metres.

Mineralization occurs in a series of gold-bearing quartz veins carrying free gold, pyrite and minor silver. The workings have been mapped and sampled in some detail. Rock sampling near old workings has demonstrated the presence of gold mineralization (up to 24 gpt Au) as well as copper (up to 0.99% Cu) and lesser silver (up to 3.4 gpt Ag) mineralization.

While intrusive rocks have not been mapped at surface, a previous drill hole intercepted gold-bearing, altered, iron-oxide stained quartz monzonite 120 metres below the surface. Previous drilling also established the downward continuity of alteration associated with gold mineralization.

Approximately 900 metres east of the vein system, there are outcrops of strongly altered and bleached rock containing abundant barite and, locally, copper oxides and phosphates. To the southwest of the main gold zone there are numerous structurally controlled zones of quartz veining with associated gold values and copper mineralization. A previous IP-resistivity survey has shown a modest IP anomaly between the copper and gold zones and a strong resistivity anomaly west of the gold structure.

The style and intensity of the alteration zone associated with known gold occurrences suggests that there is potential to discover a larger mineralized system on the Ashby Property.

Three of the 16 claims comprising the Ashby Property are subject to a 2% net smelter returns royalty.

The Option Agreement

Pursuant to the terms of the Option Agreement, Orsa has the option (the "First Option") to earn up to a 49% interest in the Ashby Property by:

  1. issuing to Bridgeport or its nominee an aggregate of 100,000 common shares of Orsa within three business days of receipt by Orsa of the approval of the TSX Venture Exchange to the Option Agreement;
  1. incurring an aggregate of $150,000 of exploration expenditures on the Ashby Property within one year of the date of the Option Agreeement; and
  1. incurring $300,000 of cumulative exploration expenditures on the Ashby Property within two years of the date of the Option Agreement.

If Orsa exercises the First Option and acquires a 49% interest in the Ashby Property, it will have the option (the "Second Option") to acquire a further 2% interest in the Ashby Property (for an aggregate 51% interest) by paying Bridgeport $100,000 in cash and issuing to Bridgeport common shares having an aggregate value of $100,000 within a 90 day period.

Following the exercise of the First Option, and if applicable, the Second Option, Orsa and Bridgeport will form a joint venture for further exploration and development of the Ashby Property. If Orsa has exercised the Second Option, it will hold a 51% interest in the joint venture and will be the operator of the joint venture. If Orsa has not exercised the Second Option, Orsa will hold a 49% interest in the joint venture and Bridgeport will become the operator.

The Option Agreement remains subject to the approval of the TSX Venture Exchange.

Orsa Ventures Corp. is a junior company focused on the exploration for, and development of, gold-silver-copper properties in the Americas.

On behalf of the Board of Directors,

Linda Thorstad, President and Chief Executive Officer

Linda Thorstad, P. Geo., a Qualified Person as defined by National Instrument 43-101 and President and Chief Executive Officer of the Company, has read and approved the technical information in this news release.

This news release contains forward-looking statements that are based on the Company's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur, and include, without limitation, statements regarding the Company's plans with respect to the exploration and development of its projects. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. 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, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. 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.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Orsa Ventures Corp.
    Linda Thorstad
    President and Chief Executive Officer
    604.669.4776 (FAX)