Osisko and Clifton Star Intersect 70 Metres Averaging 1.94 g/t Au at Duparquet
MONTREAL, QUEBEC -- (Marketwire) -- 11/02/10 -- Osisko Mining Corporation (TSX: OSK)(FRANKFURT: EWX) and Clifton Star Resources Inc (TSX VENTURE: CFO)(FRANKFURT: C3T) are pleased to announce results from thirty-five additional holes from the 2010 drill program at the Duparquet Project, located in the Abitibi region of Quebec. Significant intersections from the new drill holes on the Beattie property include 49.3 metres averaging 2.05 g/t Au (BD10-267), 70.5 metres averaging 1.94 g/t Au and 96 metres averaging 1.21 g/t Au (separate intersections in BD10-282), 73.5 metres averaging 1.70 g/t Au (BD10-286), and 132 metres averaging 0.94 g/t Au (BD10-281). A narrower but very high grade intersection of 7.5 meters averaging 69.18 g/t Au (2.22 ounces gold per tonne) was encountered in BD10-284. Assay results are summarized in the table below:
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Hole No. Section Az./dip From (m) To (m) Length (m) Au g/t
BD10-267 630800E 5/63 81.5 130.8 49.3 2.05
BD10-271 630600E 0/60 389.0 394.5 5.5 1.78
BD10-274 630400E 180/70 264.5 279.5 15.0 1.18
BD10-275 630400E 180/78 227.5 245.0 17.5 1.37
BD10-276 630400E 0/60 362.0 387.5 25.5 1.91
And 422.0 423.5 1.5 16.15
BD10-277 630600E 0/60 12.0 23.0 11.0 1.23
BD10-279 630600E 180/68 139.0 166.0 27.0 0.80
And 383.7 407.0 23.3 1.18
BD10-280 630400E 0/60 400.0 438.9 38.9 1.16
BD10-281 630400E 180/60 8.0 140.0 132.0 0.94
And 197.0 210.5 13.5 3.19
BD10-282 630200E 0/60 47.0 143.0 96.0 1.21
And 317.0 387.5 70.5 1.94
including 363.5 365.0 1.5 11.35
BD10-283 630200E 183/61 83.0 104.0 21.0 0.73
BD10-284 630500E 0.57 155.5 163.0 7.5 69.18
including 158.5 160.0 1.5 341.00
And 386.5 406.0 19.5 1.22
BD10-286 630100E 0/58 72.5 146.0 73.5 1.70
BD10-289 630300E 0/65 341.0 373.4 32.4 2.14
BD10-291 630500E 181/48 201.0 245.5 44.5 1.18
BD10-294 630500E 181/54 178.0 190.0 12.0 1.09
BD10-295 630300E 0/60 317.9 346.5 28.6 2.40
BD10-298 630400E 0/60 77.5 131.0 53.5 1.67
BD10-300 630100E 183/59 24.5 56.0 31.5 1.74
BD10-301 630100E 180/68 42.0 79.0 37.0 1.70
And 110.5 130.0 19.5 0.92
BD10-302 630200E 2/61 123.5 180.5 57.0 1.03
And 206.0 226.1 20.1 0.91
And 382.1 428.0 45.9 1.27
And 458.0 464.0 6.0 2.73
BD10-303 630200E 2/69 102.0 133.5 31.5 0.85
And 154.5 183.0 28.5 1.59
And 217.5 247.5 30.0 1.19
BD10-304 630200E 2/78 69.0 81.5 12.5 1.24
And 194.0 236.0 42.0 1.76
BD10-306 630400E 0/58 309.5 350.0 40.5 1.76
BD10-308 630600E 0/69 2.5 25.5 23.0 1.00
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Drill holes BD10-285, BD10-287, BD10-288, BD10-292, BD10-296, BD10-297, BD10-299, BD10-305, BD10-307 and BD10-309 did not intersect significant mineralization. These holes tested the margins to underground stopes, or alternatively surrounding basalts and sediments, all separate from the known mineralized zones. Results for holes BD10-251, BD10-261, BD10-278, BD10-290 and BD10-293 are pending.
Drilling has focused on three properties: Beattie, Donchester and Duquesne, for an overall 2010 drilling campaign of 122,800 metres that is now completed. The Phase I drill program comprised 69,800 metres of drilling on the Beattie property with a total of 219 holes. The Phase Two drilling program of 20,300 metres comprised 69 holes on the Duquesne property, and the Phase Three program of 32,700 metres on the Donchester Property and Central Duparquet comprised a total of 96 holes.
Osisko has the right to acquire a 50% interest in the Duparquet project in consideration for (1) total exploration expenditures of $70 million from 2010 to 2013, and (2) extending loans to Clifton to fund option payments on the property of $8.5 million for 24 months and $22.5 million for 36 months. These loans would carry interest at 5% and can be converted into stock at Clifton's choice. Osisko had also extended a $6 million credit line to Clifton, to be drawn prior to January 1, 2010, which was not utilized.
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 0.60 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. The true widths are estimated at approximately 50% to 75% of the core lengths reported above, with the exceptions of BD10-263 and BD10-264, which were fan holes drilled sub-parallel to dip of the mineralized zone.
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 Osisko and Clifton (collectively the 'Parties') expect 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, the commencement of commercial production. Although the Parties believe 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 warrant further development of the Duparquet Project, 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 personnel, results of exploration and development activities, the Parties' 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 Osisko's most recent Annual Information Form and in Clifton's most recent Management Discussion and Analysis filed on SEDAR, which also provide additional general assumptions in connection with these statements. The Parties caution that the foregoing list of important factors is not exhaustive. Investors and others who base themselves on the Parties' forward-looking statements should carefully consider the above factors as well as the uncertainties they represent and the risk they entail. The Parties believe 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.
Contacts:
Osisko Mining Corporation
John Burzynski
Vice-President Corporate Development
514-735-7131
www.osisko.com
Clifton Star Resources
Harry Miller
President
425-453-0355
hmiller@cliftonstarresources.com
www.cliftonstarresources.com