Osisko Metals Incorporated

Osisko Metals Incorporated

November 02, 2017 07:09 ET

Osisko Metals Announces Phase 1 Drill Program is Underway at the Mount Fronsac Project

MONTREAL, QUEBEC--(Marketwired - Nov. 2, 2017) -

Editors Note: There is a photo associated with this press release.

Osisko Metals Incorporated (the "Company" or "Osisko Metals") (TSX VENTURE:OM)(FRANKFURT:0B5) is pleased to announce that drilling at the Mount Fronsac project is underway. This maiden drill program is within the previously announced 50,000-metre program planned for the Bathurst Mining Camp ("BMC") that also includes the Gilmour South program (see news releases dated September 11 and October 19, 2017).

Mount Fronsac is one of the most recent discoveries in the BMC and the unclassified historical resource is listed in the New Brunswick Mineral Occurrence file ("NBMO") as hosting 1,260,000 tonnes grading 7.65% zinc, 2.18% lead and 40.3 g/t silver. The objective of the drill program is to increase and upgrade the historical resource to comply with NI43-101 standards. The first phase of drilling will include 25 holes with intercepts spaced at 50 to 100m apart for a total of 10,000m.

Jeff Hussey, President and CEO of Osisko Metals, commented: "The Mount Fronsac project remains largely unexplored. We strongly believe the property offers an excellent potential for resource expansion in the BMC. This is the second of three projects targeted for drilling this fall and will provide steady news flow into 2018."

About Mount Fronsac

The relatively high-grade Mount Fronsac deposit is hosted within 14 million tonnes of low-grade, pyritic semi-massive to massive sulfides that occur in an envelope of favorable alteration (quartz-sericite ± chlorite schist). The amount of lower grade sulphide mineralization is indicative of a significant mineralizing system which offers potential for additional high grade resources.

The higher-grade portion of the deposit has a north-south strike length of 525 metres and a down dip length of 600 metres. Thickness varies from 2 metres up to a maximum of 20 metres. The host rocks at Mount Fronsac North are contemporaneous and similar to the Brunswick Horizon in the BMC, which hosted the world-class former Brunswick No. 12 mine.

The Osisko Metals claim groups in the Mt. Fronsac area also contain several kilometres of favorably altered (variably sulphidic with quartz-sericite ± chlorite) Brunswick Horizon host rocks. There is potential for structural thickening in the area based on the regional interpretation of fold repetitions and faulting.

The NBMO files reference several other Pb-Zn mineralized massive sulphide occurrences in the area, including Devil's Elbow located 4 km west-northwest of Mt Fronsac. Devil's Elbow is host to an unclassified historic resource of 362,000 tonnes grading 1.2% Cu. The deposit is thought to be a feeder zone that typically underlies polymetallic massive sulphide bodies. To date, only minor Pb-Zn mineralization has been identified around Devil's Elbow.

About Osisko Metals

Osisko Metals is a Canadian exploration and development company creating value in the base metal markets with an emphasis on zinc. In 2017, the Company acquired over 50,000 hectares in the Bathurst Mining Camp ("BMC"). The objective is to develop a multi-deposit asset base that would feed a central concentrator. In parallel, Osisko Metals is monitoring several base metal oriented peers for projects hosting zinc, copper, and nickel for acquisition opportunities. In Québec, the Company acquired 42,000 hectares that cover 12 grass-root zinc targets that will be selectively advanced through exploration. Osisko Gold Royalties Ltd. (TSX/NYSE:OR) and Osisko Mining Inc. (TSX:OSK) are significant shareholders of the Company.

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.

Cautionary Note Regarding Forward-Looking Information

This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation based on expectations, estimates and projections as at the date of this news release. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, the use of proceeds of the Offering; the timing and ability of the Corporation, if at all, to obtain final approval of the Offering from the TSX Venture Exchange; an exemption being available under MI 61-101 and Policy 5.9 of the TSX Venture Exchange from the minority shareholder approval and valuation requirements for each related party transaction; objectives, goals or future plans; statements regarding exploration results and exploration plans. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, capital and operating costs varying significantly from estimates; the preliminary nature of metallurgical test results; delays in obtaining or failures to obtain required governmental, environmental or other project approvals; uncertainties relating to the availability and costs of financing needed in the future; changes in equity markets; inflation; fluctuations in commodity prices; delays in the development of projects; the other risks involved in the mineral exploration and development industry; and those risks set out in the Corporation's public documents filed on SEDAR at www.sedar.com. Although the Corporation believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Corporation disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

Neither the 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 news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

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