Eastmain Resources Inc.

Eastmain Resources Inc.

March 22, 2011 12:58 ET

Quebec Approves Northern Plan Investment-Route 167 Extension to Provide Road Access to Eastmain Mine Property

TORONTO, ONTARIO--(Marketwire - March 22, 2011) - Eastmain Resources Inc. (TSX:ER) is pleased to announce that the Government of Quebec will begin construction of Route 167 extension (also known as the Otish Mountain Road) this summer as part of the Northern Plan initiative to make this vast territory accessible for the development of mining and tourism. The Route 167 North Extension will provide permanent year-round access to the Eastmain Mine property by way of the communities of Chibougamau and Misstissini.

The Northern Plan includes extending Route 167 from the northeast end of Misstissini Lake 260 kilometres north to the Trans-Taiga road leading to the La Grande hydroelectric complex. Extending the road to the Otish Mountains alone entails an investment of nearly $280 million over the next five years. The Quebec Government cited that the mining potential of this area is huge and diverse, including: diamonds (Stornoway); uranium (Strateco); copper/molybdenum (Western Troy) and gold (Eastmain). Current access to the area is restricted to a winter "ice" road, originally constructed in the early 1990's to haul concentrate from the Eastmain Mine to mills located in Chibougamau.

"The approval of the Northern Plan Investment and the extension of Route 167 enhances the likelihood of the Eastmain Mine once again becoming a producing gold deposit in the future. This infrastructure is vital for the development of mines in this district and it will greatly facilitate mineral exploration. As with our Eau Claire gold deposit, having road access upgrades these projects beyond just ounces in the ground to a possible production scenario", according to Don Robinson, Eastmain's President & CEO. "Cost savings with this infrastructure will be tremendous, for example last year 500 drums of fuel were mobilized to the mine property by airplane at transportation costs alone of over $400 per drum."

A 15,000-metre drill program has been proposed for the Eastmain Mine project to test the depth extension of the known gold zones and explore the 10-kilometre-long mine trend. The program is expected to begin in the second quarter of 2011.

Dr. Donald J. Robinson P.Geo, is the Qualified Person for the information contained in this press release and is a Qualified Person within the meaning of National Instrument 43-101.

About Eastmain Resources Inc. (TSX:ER)

Eastmain is a Canadian gold exploration company with 100% interest in the Eau Claire and Eastmain gold deposits. The Corporation has $22.5 Million in working capital and holds a pipeline of exploration projects within the James Bay District, including the Éléonore South property. Eastmain has allocated $10 million for gold exploration in Québec in 2011, including 46,000 metres of drilling.

Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Eastmain, including, but not limited to the impact of general economic conditions, industry conditions, dependence upon regulatory approvals and the availability of financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

Contact Information

  • Eastmain Resources Inc.
    Dr. Donald J. Robinson
    (519) 940-4870
    (519) 940-4871 (FAX)
    Eastmain Resources Inc.
    Catherine Butella
    Exploration Manager
    (519) 940-4870
    (519) 940-4871 (FAX)