Osisko Mining Corporation

Osisko Mining Corporation

October 19, 2006 08:00 ET

Osisko Intersects 115 m Averaging 1.21 g/t Au at Canadian Malartic

MONTREAL, QUEBEC--(CCNMatthews - Oct. 19, 2006) - Osisko Exploration Ltd.(TSX VENTURE:OSK) (FRANKFURT:EWX) is pleased to announce new results from eight drill holes, part of the Phase Four and Five definition drilling program at its 100%-owned Canadian Malartic gold property. Significant new mineralized intercepts include 115.5m averaging 1.21 g/t Au (CM06-803) and 90.9m averaging 1.05 g/t Au(CM06-802). Higher-grade intercepts include 35.5m averaging 4.17 g/t Au (second intersection in CM06-802) and 55.6m averaging 2.28 g/t Au (CM06-804). Results from the new drill holes are tabled below:

Hole No. Section From To Length Au
(m) (m) (m) g/t

CM06-801 3730E 7.5 28.4 20.9 2.36

CM06-802 3730E 97.2 188.1 90.9 1.05
and 216.6 252.1 35.5 4.17
including 233.1 234.6 1.5 70.6

CM06-803 4338E 31.8 147.3 115.5 1.21
including 36.3 41.7 5.4 10.0

CM06-804 4155E 52.4 108.0 55.6 2.28
including 58.6 61.0 2.4 9.54

and 200.0 219.5 19.5 1.24

CM06-805 4215E 71.0 94.6 23.6 0.99

CM06-806 4400E 80.2 250.3 170.1 0.77
including 81.3 83.3 2.0 13.1

CM06-808 3730E 146.6 224.9 78.3 1.00

CM06-809 4215E 21.5 48.5 27.0 1.94

Hole CM06-801, collared at the north end of the deposit, tested the crown pillar over old mine workings. Drill holes CM06-802 and CM06-808 tested the northern edge of deposit on section 3730E. CM06-802 intersected higher-grade quartz stockworks at depth (35.5 metres @ 4.17 g/t Au) hosted in porphyry adjacent to old mine workings.

Hole CM06-803 added new mineralization to the deposit at its southern extremity: the south-dipping hole was inclined 65 degrees and collared from the same setup as previously reported vertical hole CM06-799 (110 metres @ 1.69 g/t Au). This portion of the main deposit has now been extended by the new drilling over a true width of 490 metres on section 4338E and remains open to the south.

Drill holes CM06-804 and CM06-805 were collared at the south end of grid and intersected the postulated mineralized shoot linking the A zone to the main deposit.

Drill hole CM06-806, collared at the northern edge of the deposit, was inclined under existing stopes parallel to the main mineralized zone. Drill hole CM06-809 was collared in the A zone, intersecting anticipated mineralization.

Drill holes CM06-807 and CM06-810 were collared on section 4580E in the Sladen Exension; assay results are pending.

The Phase Four and Five drill programs have been completed and the 12,000-metre Phase Six program on the Sladen Extension is progressing as planned. The Phase Six program is designed to define the eastern extension of the deposit to line 5000E.

The Company also wishes to announce that the Phase Seven and Eight drill programs have been approved by the Board. The 5,000-metre Phase Seven program is focused in the area of the A and S zones. The program will commence shortly and will test the southern extension of the deposit between lines 3850E and 4580E over an additional distance of approximately 150 metres. This program has been implemented as a result of the highly encouraging drill intersections obtained at the southern limit of the current grid area. Phase Eight drilling (15,000 metres) will focus on the western end of the grid, between lines 3260E and 3850E. This program comprises infill drilling on 60 metre-spaced lines, as well as detailed definition drilling that will include intervening 30 metre drill lines between sections 3260E and 3674E. The objective of the program is to obtain drill data that will allow the calculation of probable reserves on this portion of the deposit.

All NQ core assays were conducted using standard 50 g fire assaying-AA finish at ALS Chemex laboratories in Val d'Or, Quebec. Reported weighted averages were calculated using a minimum of 0.40 g/t Au over successive 20 metre intervals with no upper cut-off of individual assays. Mr. Robert Wares, P. Geo. and Executive Vice-President of Osisko, is the Qualified Person responsible for the technical information reported in this news release.

In other developments, the Board of Directors of the Company has amended the Company's Stock Option Plan (the "Plan"), increasing the maximum number of options that may be issued under the Plan from 5,000,000 to 5,550,000. The amendment to the Plan is subject to regulatory approval.

Contact Information

  • Osisko Exploration Ltd.
    John Burzynski
    Vice-President Corporate Development
    Osisko Exploration Ltd.
    Daniel Boase
    Investor Relations
    1-866-580-8891 (Toll Free)