Osisko Mining Corporation

Osisko Mining Corporation

July 15, 2010 08:00 ET

Osisko Reports 0.82 g/t Au Over 197 Metres at Western Porphyry Zone

MONTREAL, QUEBEC--(Marketwire - July 15, 2010) - Osisko Mining Corporation ("Osisko") (TSX:OSK)(FRANKFURT:EWX) is pleased to announce initial results from the 2009-2010 definition drill program on the Western Porphyry Zone, located on Osisko's 100%-owned Amphi property immediately adjacent to the Canadian Malartic property, and approximately 1.8 km northwest of the crusher and the 55,000-tpd mill currently being constructed for the Canadian Malartic project. The 82-hole, 21,000-metre definition drilling program, presently being executed on a 50 by 50-metre grid, was started at the end of 2009 following encouraging preliminary results obtained in 2008 (see March 26, 2008 press release).

Results for the first twenty-five holes of the program are presented below. Highlights include 137.8 metres averaging 0.93 g/t Au (WP09-4009) and 197.2 metres averaging 0.82 g/t Au (WP10-4023):

Hole No. Section Az./dip From (m) To (m) Length Au g/t
WP09-4001 650E 218/55 155.5 200.0 44.5 0.64
WP09-4002 650E 218/55 58.0 97.0 39.0 0.65
WP09-4004 600E 218/58 169.4 193.0 23.6 1.71
And     254.0 312.0 58.0 0.65
WP09-4006 550E 218/55 84.0 122.5 38.5 0.50
And     218.0 236.0 18.0 1.66
WP09-4007 500E 38/55 46.5 114.8 68.3 0.72
And     417.5 426.5 9.0 1.21
WP09-4008 500E 218/55 26.5 81.1 54.6 0.94
And     155.6 227.8 72.2 0.59
WP09-4009 450E 38/55 9.2 147.0 137.8 0.93
And     178.5 199.5 21.0 0.51
WP09-4010 450E 218/55 6.9 32.0 25.1 0.93
WP09-4011 400E 218/60 31.0 52.0 21.0 0.68
And     98.0 143.0 45.0 0.74
And     189.0 194.0 4.5 6.59
WP09-4012 400E 218/48 48.0 49.5 1.5 16.20
And     103.5 127.5 24.0 1.91
WP09-4013 400E 38/59 93.5 120.5 27.0 1.16
And     144.5 164.0 19.5 1.35
WP09-4014 450E 218/55 35.5 37.0 1.5 12.05
WP10-4015 500E 218/55 92.5 181.0 88.5 0.59
WP10-4016 550E 218/53 38.5 75.0 36.5 0.72
WP10-4017 600E 218/48 240.0 241.9 1.9 5.50
WP10-4018 200E 218/55 153.0 193.5 40.5 1.01
And     237.0 238.5 1.50 9.62
WP10-4021 600E 218/60 275.7 325.5 49.8 0.67
WP10-4022 550E 218/55 86.4 145.0 58.6 1.01
including     86.4 87.4 1.0 15.20
And     255.0 305.5 50.5 0.64
WP10-4023 500E 218/55 47.0 244.2 197.2 0.82
WP10-4024 450E 218/59 14.3 110.5 96.2 0.80
And     266.0 267.5 1.5 15.95

Holes WP09-4003, WP09-4005, WP10-4019, WP10-4020 and WP10-4025 did not intersect significant mineralization.

Sean Roosen, President and CEO of Osisko, commented: "The positive results from Western Porphyry, in addition to what Golden Valley Mines and Osisko have already reported from the Jeffrey Zone to the east, suggest there is excellent potential to add new ounces at Malartic. These deposits will most likely add future feed to the mill and thereby extend the life of the milling complex." 

The drill data to date suggests the Western Porphyry Zone comprises a mineralized block 500 m long, 50 to 200 metres wide and 100 to 150 metres deep that is amenable to open-pit mining. The system is open at depth and further drill results of the 82-hole program will be issued as assays become available from the lab. Mineralization at Western Porphyry consists of fine disseminated/stockwork pyrite and gold in potassic and/or carbonate-altered porphyry and mafic/ultramafic volcanics. The porphyry-hosted mineralization is similar to that of the F Zone of the Canadian Malartic deposit. Occasional higher grade intersections (>4 g/t Au) are related to classic Abitibi vein-type mineralization cutting the host lithologies.

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 0.40 g/t Au over successive maximum intervals of 20 metres with an upper cut-off of 30 g/t Au where indicated. 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 Person who has reviewed this news release and is responsible for the technical information reported herein, including verification of the data disclosed including the sampling, analytical and test data underlying the technical information.

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. Although the Corporation believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, including, without limitation that all technical, economical and financial conditions will be met in order to put the Canadian Malartic Project into commercial production, 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, access to skilled consultants, mining development and mill production personnel, results of exploration and development activities, the Corporation's limited experience with production and development stage mining operations, uninsured risks, regulatory changes, defects in title, 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 market prices, 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
    Osisko Mining Corporation
    Sylvie Prud'homme
    Investor Relations
    Toll Free: 1-888-674-7563