Osisko Mining Corporation

Osisko Mining Corporation

September 08, 2011 08:00 ET

Osisko Intersects 1.23 g/t Au Over 172 Metres at Barnat Extension

MONTREAL, QUEBEC--(Marketwire - Sept. 8, 2011) - Osisko Mining Corporation ("Osisko") (TSX:OSK)(FRANKFURT:EWX) is pleased to announce results from the spring and summer 2011 drill program at the Canadian Malartic and the Malartic CHL properties, located adjacent to Osisko's 100%-owned Canadian Malartic gold mine.

The drill program was focused on the Barnat Extension (Mammoth) area and intersected new mineralization, located either within or immediately outside the currently designed engineered pit over the eastern portion of the Barnat deposit. All of these mineralized intersections were drilled after the publication of the latest resource/reserve estimate (see March 31, 2011 press release) and are therefore not included in the current gold inventory. Highlights include 172.5 metres averaging 1.23 g/t Au, 126.5 metres averaging 1.70 g/t Au and 111.5 metres averaging 1.24 g/t Au, as well as higher grade intersections such as 3.2 metres averaging 42.05 g/t Au (uncut). Assay results for significant intersections are summarized in the table below:

Hole No. Section From (m) To (m) Length (m) Au g/t Au g/t
(uncut) (cut)
BA11-3999 6150E 103.5 276.0 172.5 1.23
including 204.0 204.8 0.8 12.20
BA11-4000 6150E 120.0 246.5 126.5 1.70
BA11-4501 6150E 197.0 293.0 96.0 1.83
BA11-4502 6125E 139.0 235.5 96.5 1.27
BA11-4503 6175E 139.0 264.0 125.0 1.83
BA11-4504 6175E 97.5 152.5 55.0 1.06
BA11-4507 6125E 111.5 150.5 39.0 2.05
BA11-4514 6125E 73.6 105.2 31.6 1.29
BA11-4516 6375E 43.0 154.5 111.5 1.24
BA11-4517 6325E 115.0 151.0 36.0 6.19
including 119.3 121.0 1.7 28.50
BA11-4518 6325E 172.4 175.6 3.2 42.05 25.00
And 243.0 300.0 57.0 1.79
BA11-4521 6325E 78.0 111.0 33.0 1.46
CHL11-2374 6500E 83.6 96.8 13.2 0.78 ---
CHL11-2375 6525E 64.7 89.9 25.2 1.67 ---
CHL11-2376 6500E 94.5 105.5 11.0 1.39 ---
CHL11-2377 6500E 84.0 119.3 35.3 1.11
CHL11-2378 6475E 83.3 116.0 32.7 0.99 ---
CHL11-2379 6450E 65.4 82.6 17.2 0.98
CHL11-2380 6450E 88.8 103.3 14.5 1.12 ---
CHL11-2381 6425E 65.5 91.0 25.5 1.50 ---
including 76.5 78.0 1.50 10.50 ---

BA-series holes are located on the Canadian Malartic property and CHL-series holes are located on the Malartic CHL property. The drill results indicate mineralization from the Barnat Zone extends further east of the eastern limit of the current pit design, towards the Jeffrey Zone on the Malartic CHL property.

The resource estimate on the Jeffrey Zone, calculated from data of the 2009-2010 definition drill program, is approaching completion and results will be disclosed before the end of the third quarter 2011. Abitibi Royalties Inc. owns a 30% free-carried interest in the Malartic CHL property.

All NQ core assays reported above were obtained by standard 50 g fire assaying-AA finish or gravimetric finish at ALS Chemex laboratories in Val d'Or, Quebec. Reported drill core weighted averages were calculated using a minimum of 0.35 g/t Au over successive intervals of 20 metres. The lengths of mineralized intervals of less than 20 metres were minimized, and an upper cut-off of 30 g/t Au was applied to individual assays where indicated. Intervals containing individual assays that are greater than six times the average of the interval are included separately. Intersected drifts or lost core within mineralized intersections were incorporated as blank intervals.

Osisko follows strict QA-QC protocol measures in keeping with industry standards and regulatory reporting requirements. Mr. Robert Wares, P. Geo. and Executive Vice-President of Osisko is the Qualified Persons who has reviewed this news release and is responsible for the technical information reported herein, including verification of the data disclosed.

Cautionary Notes Concerning Estimates of Mineral Resources

This news release uses the terms measured, indicated and inferred resources as a relative measure of the level of confidence in the resource estimate. Readers are cautioned that mineral resources are not economic mineral reserves and that the economic viability of resources that are not mineral reserves has not been demonstrated. In addition, inferred resources are considered too geologically speculative to have any economic considerations applied to them. It cannot be assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies or economic studies except for Preliminary Assessment as defined under NI 43-101. Readers are cautioned not to assume that that further work on the stated resources will lead to mineral reserves that can be mined economically.

Forward-Looking Statements

Certain statements contained in this press release, may be deemed "forward-looking statements". All statements in this release, other than statements of historical fact, that address events or developments that the Corporation expects to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential", «scheduled» and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur, including, without limitation, increasing of throughput at the mill to achieve design capacity, improving mill feed grade, maintaining recovery rates, increasing gold production and developing the Barnat gold deposit. Although the Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, including, without limitation that the diligent ongoing optimizing of its operations will be achieved and will, accordingly, improve its operating performance, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include gold prices, the Corporation's limited experience with production and development stage mining operations, uninsured risks, regulatory changes or sanctions, defects in titles, availability of personnel, materials and equipment, timeliness of government approvals, actual performance of facilities, equipment and processes relative to specifications and expectations, unanticipated environmental impacts on operations costs, continued availability of capital and financing and general economic, market or business conditions. These factors are discussed in greater detail in the Corporation's most recent Annual Information Form filed on SEDAR, which also provides additional general assumptions in connection with these statements. The Corporation cautions that the foregoing list of important factors is not exhaustive. Investors and others who base themselves on the Corporation's forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. The Corporation believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this press release should not be unduly relied upon. These statements speak only as of the date of this press release.

Contact Information

  • Osisko Mining Corporation
    John Burzynski
    Vice-President Corporate Development
    (416) 363-8653

    Osisko Mining Corporation
    Sylvie Prud'homme
    Director of Investor Relations
    (514) 735-7131
    Toll Free: 1-888-674-7563