Osisko Mining Corporation

Osisko Mining Corporation

January 25, 2008 07:53 ET

Osisko Widens Extension at South Barnat Zone

MONTREAL, QUEBEC--(Marketwire - Jan. 25, 2008) - Osisko Exploration Ltd. (TSX VENTURE:OSK)(FRANKFURT:EWX) is pleased to announce that new mineralization has been intersected in DDH CM07-2030, a scissor hole collared 135 metres south of previously reported DDH CM07-2008, where significant mineralization was intersected in an extension to the South Barnat Zone (see October 23, 2007 press release). The new hole (DDH CM07-2030) intersected 1.89 g/t Au over 111.2 metres. It was inclined 50 degrees to the north towards DDH CM07-2008 (which was inclined 45 degrees to the south), along the same section. The table below outlines detailed intercepts from both holes:

Hole No. From (m) To (m) Length (m) Au g/t
CM07-2030 56.5 167.7 111.2 1.89
including 129.0 132.0 3.0 6.96
including 163.0 167.7 4.7 7.15
CM07-2008(i) 9.8 113.5 103.7 1.91
including 71.7 77.4 5.7 12.37
(i) previously reported

These two holes define a vertical cross-section in which mineralization is located to the north and south of the old Barnat and East Malartic mine workings, largely along the southern edge of the Cadillac fault. The gold mineralization is hosted both in silicified greywackes of the Pontiac Group south of the fault contact and in schistose, carbonated ultramafic rocks and porphyry dykes to the north of the fault contact. The mineralized section defined by these holes occurs along the southeastern strike extension of the South Barnat Zone (initially drill defined by Osisko in 2006 with a series of 5 holes over a strike length of 230 metres). The new drill intersections and further compilation of historical data suggest a true mineralized width of approximately 100 metres along this new extension, and the current minimum strike length of the South Barnat Zone is now 600 metres. Gold mineralization in the South Barnat Zone remains open at depth and to the east along the north and south walls of the past-producing East Malartic mine.

The South Barnat Zone is a separate mineralized zone located approximately 1200 metres northeast of the center of the Canadian Malartic deposit. These significant new results have prompted Osisko management to initiate a definition drill program along the South Barnat zone on 25 metre section spacings. Detailed design of the program and void modeling of the South Barnat, as well as portion of the East Malartic mine workings, will begin immediately. The new program is estimated to comprise a minimum of 50,000 metres of core drilling.

All NQ core assays reported above were obtained by 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 maximum intervals of 20 metres with no upper cut-off of individual assays.

Osisko Exploration Ltd. is currently evaluating the Canadian Malartic gold deposit and adjacent areas for a large-scale open pit, bulk-tonnage mining operation. The Company is well-funded with approximately $180 million on hand and is carrying out an aggressive definition drilling and exploration campaign. An updated NI 43-101 compliant, inferred gold resource estimate on the main Canadian Malartic deposit was released on July 5, 2007 and the full report is available on SEDAR.

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.

Contact Information

  • Osisko Exploration Ltd.
    John Burzynski
    Vice-President Corporate Development
    Osisko Exploration Ltd.
    Daniel Boase
    Investor Relations
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