TORONTO, ONTARIO–(Marketwired – Feb. 8, 2018) – Osisko Mining Inc. (TSX:OSK) (“Osisko” or the “Corporation”) is pleased to provide an update on the progress of exploration at its 100% possessed Windfall Lake, Urban Barry and Qué,villon gold projects located ter the Abitibi greenstone vuilnisbelt, Eeyou Istchee James Bay, Qué,bec.
Osisko has bot conducting fresh exploration and definition drilling at Windfall for 26 months, since late October 2015. Spil of the end of January 2018, Osisko has ended 518,000 metres of the planned 800,000 metres to complement the pre-existing 180,000 metres drilled at Windfall by previous operators.
The company is rapidly advancing the Windfall and Lynx deposits through a balance of resource delineation drilling and exploration drilling for extensions and fresh mineralized zones. Osisko has bot successful te the past two years at significantly expanding the known areas of mineralization ter the Windfall system and reinterpreting the geological monster of the Windfall deposit. Drilling overheen the past Eighteen months has bot directed by the evolving intrusion-related geological specimen, leading to the discovery of significant extensions of the previously known mineralized zones, and to the discovery of the fresh Lynx deposit, Wolf and Bobcat zones.
Osisko’s 2018 exploration budget for the Windfall/Lynx deposits, Urban Barry and Qué,villon project areas totals approximately $100 million. This budget includes resource estimation work, resource-oriented drilling, exploration ramp and underground bulk sampling of known mineralized zones, metallurgical work, permitting, PEA and feasibility studies, exploration drilling proximal to Windfall and Lynx, and exploration drilling on the greater Urban Barry and Qué,villon properties.
Windfall/Lynx: Initial Resource Estimation Planned for May 2018, PEA Planned for June 2018
Osisko’s initial resource for Windfall is scheduled to be released ter early May, a delay of six weeks from the previous Q1 2018 estimated completion, due to the slower than anticipated turnaround of assay gegevens. Osisko plans to have a Preliminary Economic Assessment ended ter June 2018 for the Windfall deposit subsequent to the release of the initial resource estimate.
The main Windfall deposit and the Lynx deposit (discovered by Osisko te early 2018) remain open to the NE and at depth, and surface exploration drilling is continuing. Freshly discovered extensions of the main Windfall deposit (Caribou Extension, Zone 27 Extension, Underdog Expansion), and part of the Lynx deposit and its sub zones below 350 metres depth and further northeast of section 3750E, will not be included te the May 2018 resource estimate, due to lack of adequate drill density. Infill drilling planned for the balance of 2018 will be focused on thesis areas, with the aim of including them ter a planned Q1 2019 feasibility explore.
The Corporation will proceed significant exploration drilling at Windfall and Lynx through the balance of 2018 spil it moves towards the feasibility probe, and will proceed drilling at the main Windfall and Lynx deposit to infill and extend the mineralized zones defined to date.
Windfall Exploration Ramp Progress
Dewatering of the historic exploration ramp wasgoed ended at the end of August 2018, and rehabilitation of the portal began te September. To date, 1,021 metres of rehabilitation have bot ended. The remaining areas of the pre-existing exploration ramp are non-essential and will be rehabilitated spil necessary.
The very first underground blast wasgoed ended te late October (see October 27, 2018 press release). Underground infrastructure ended to date includes 45 metres of development for powder and cap magazines and 48 metres of slashes and safety bays. Three electrical substations have bot installed spil well spil a water basin for future water treatment.
Fresh advance towards the Main Zone commenced ter late December, with 136 metres ended to date. The rate of advance is approximately 150 metres vanaf month. Bulk sampling te Zone 27, Caribou and Underdog is anticipated to occur te Q2 2018, Q3 2018 and Q4 2019 respectively.
Permits for the exploration ramp towards Lynx are anticipated te Q2 2018. Approximately 1,200 metres of exploration ramp extension are planned to reach Lynx. Bulk sampling ter Lynx is anticipated to occur ter Q1 2019.
An alternatives assessment, considering environmental, technical, social and economic factors, has bot finished on the location of the potential processing plant for the Windfall Project. The preferred option for the location of the potential processing plant is te the municipality of Lebel-sur-Qué,villon (partially on the former Domtar webpagina) and ter the territory of Eeyou Istchee James Bay, Qué,bec. The acquisition of approximately 560 hectares of property is expected to be finalized te Q1 2018. The proximity to a stable workforce and existing infrastructure, including power and water supply with available capacity were significant components ter the evaluation.
Osborne-Bell: Initial Resource Estimation Planned for April 2018
Osisko commenced fresh drilling at the Osborne-Bell deposit with two equipments ter early December 2018. Re-evaluation of the approximately 200,000 metres of historical drilling results from previous operators and the addition of fresh information from Osisko’s drilling will be used to produce an initial resource, anticipated to be released ter early April 2018. Osborne-Bell is located approximately 20 kilometres northwest of the town of Lebel-sur-Qué,villon.
Exploration Planned for Fox and Black Dog
A review of the exploration work conducted by Osisko ter 2018 and 2018 at the Fox and Black Dog discoveries, within the setting of the evolving geological prototype for the main Windfall deposit is presently under way. Fresh exploration drilling is planned for the two areas ter H2 2018.
Exploration on the Urban Barry Block
Osisko has ended base line exploration programs on the Urban Barry block including airborne geophysics, ground geophysics, geological mapping and sampling and basal till sampling, developing a significant number of targets (overheen 100). Osisko intends to include exploration drilling on priority targets developed by thesis base line programs te the course of 2018 work.
Osisko acquired the Qué,villon Block ter early 2018, and commenced the collection of base line exploration gegevens including airborne geophysics, geological mapping and sampling, and basal till sampling. The continuing work is approximately one-third finish, with several significant exploration targets already developed from both historical drilling and the fresh information collected. Osisko intends to include exploration drilling on priority targets developed by thesis programs ter the course of 2018 work.
Voorzitter and CEO of Osisko John Burzynski commented: “Wij have bot moving the Windfall project forward at a very quick tempo since our very first work commenced te late 2015. Wij have added significant shareholder value through our substantial drilling and exploration programs at Windfall, with the discovery of the Lynx deposit and fresh previously unknown extensions of the main Windfall zones. Wij project to proceed the prompt rhythm of work on all of our projects ter 2018 with overheen 20 active drills, and are impatiently anticipating the release of our very first resource estimate for Windfall-Lynx te early May. Wij will prepare a Preliminary Economic Assessment for Windfall-Lynx for June 2018 following the anticipated resource estimate, and will proceed our exploration of the deposits through surface drilling and the progression of the exploration ramp, with the aim of moving to a feasibility probe for Windfall ter early 2019. Property-wide exploration on our handelsbank of existing targets will also resume te 2018, with the purpose of adding fresh discoveries to our growing inventory of “drill bit success” at Windfall. Wij will have another very busy year, with an exploration budget of approximately $100 million, and will proceed to be the most active explorer ter Qué,bec ter what wij believe is a fresh developing mining camp.”
About the Windfall Lake Gold Deposit
The Windfall Lake gold deposit is located inbetween Val-d’Or and Chibougamau te the Abitibi region of Qué,bec, Canada. The mineral resource defined by the previous technicus comprises Two,762,000 tonnes at 8.42 g/t Au (748.000 ounces) ter the indicated category and Trio,512,000 tonnes at 7.62 g/t Au (860,000 ounces) te the inferred category (sourced from a technical report dated June Ten, 2015 entitled “Preliminary Economic Assessment of the Windfall Lake Gold Property, Qué,bec, Canada” with an effective date of April 28, 2015, ready te accordance with NI 43-101). The Windfall Lake gold deposit is presently one of the highest-grade resource-stage gold projects ter Canada. The bulk of the mineralization occurs ter the Main Zone, a southwest/northeast trending zone of stacked mineralized lenses, measuring approximately 600 metres broad and at least 1,400 metres long. The deposit is well defined from surface to a depth of 500 metres and remains open along strike and at depth. Mineralization has bot identified only 30 metres from surface ter some areas and spil deep spil 870 metres ter others, with significant potential to extend mineralization up and down-plunge and at depth.
Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties te Canada. Osisko holds a 100% ter the high-grade Windfall Lake gold deposit located inbetween Val-d’Or and Chibougamau ter Qué,bec and holds a 100% undivided rente ter a large area of claims ter the surrounding Urban Barry area and nearby Qué,villon area (overheen Three,300 square kilometres), a 100% rente te the Marban project located ter the heart of Qué,bec’s prolific Abitibi gold mining district, and properties te the Larder Lake Mining Division te northeast Ontario, including the Jonpol and Garrcon deposits on the Garrison property, the Buffonta past producing mine and the Gold Pike mine property. The Corporation also holds interests and options ter a number of extra properties ter northern Qué,bec and Ontario. Osisko proceeds to be well financed with approximately $190 million ter metselspecie and investments spil of the end of Q4 2018.
Cautionary Note Regarding Forward-Looking Information
This news release contains “forward-looking information” within the meaning of the applicable Canadian securities legislation that is based on expectations, estimates, projections and interpretations spil at the date of this news release. The information ter this news release about the timing and capability (if at all) of Osisko to prepare a Preliminary Economic Assessment and initial resource estimate for the Windfall deposit, the timing and capability (if at all) of Osisko to prepare a feasibility probe for the Windfall deposit, Osisko’s exploration budget for 2018, the advancement of the Windfall and Lynx deposits through drilling and exploration initiatives, the expansion of the previously known mineralized zones and the discovery of the fresh Lynx deposit, and Wolf and Bobcat zones, continued exploration and drilling at the Windfall and Lynx deposits and any extension of the mineralized zones, the continued advancement, and rate of advancement, of the exploration ramp, the timing and capability (if at all) of Osisko to obtain permits for the exploration ramp towards Lynx, the capability of the Windfall Lake gold project to be one of the highest-grade resource stage gold projects ter Canada, the significance of drill results from the ongoing drill program at the Windfall Lake gold project, the timing and capability (if at all) of Osisko to finish extra property acquisitions ter Lebel-sur-Qué,villon, the benefits of a potential processing plant ter Lebel-sur-Qué,villon, the timing and capability (if at all) of Osisko to prepare an initial resource estimate te respect of the Osborne-Bell deposit, exploration planned at the Fox and Black Dog discoveries, proposed exploration work at the Urban Barry block, proposed exploration work on the Qué,villon block, the continued rapid rhythm of our work te 2018, our capability to sustain and add shareholder value, Osisko’s capability (if at all) to develop into a mining camp, the type of drilling included te the drill program, potential mineralization, the capability to realize upon any mineralization te a manner that is economic, the capability to accomplish any proposed exploration activities and the results of such activities, and any other information herein that is not a historical fact may be “forward-looking information”.
Any statement that involves discussions with respect to predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or spectacle (often but not always using phrases such spil “expects”, or “does not expect”, “is expected”, “interpreted”, “management’s view”, “anticipates” or “does not anticipate”, “plans”, “budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such words and phrases or stating that certain deeds, events or results “may” or “could”, “would”, “might” or “will” be taken to occur or be achieved) are not statements of historical fact and may be forward-looking information and are intended to identify forward-looking information. This forward-looking information is based on reasonable assumptions and estimates of management of the Corporation at the time it wasgoed made. This forward-looking information involves known and unknown risks, uncertainties and other factors which may cause the actual results, spectacle or achievements to be materially different from any results, spectacle or achievements voiced or implied by such forward-looking information. Such factors include, among others, risks relating to the capability of exploration activities to accurately predict mineralization, errors te management’s geological modelling, delays te the turnaround of assay gegevens, lack of adequate drill density, Osisko’s timing and capability (if at all) to accomplish further exploration activities, including drilling, property interests ter the Windfall Lake gold project and Osborne-Bell gold deposit, the results of exploration activities, risks relating to mining activities, the global economic climate, metal prices, dilution, environmental risks, and community and non-governmental deeds. Albeit the forward-looking information contained te this news release is based upon what management believes, or believed at the time, to be reasonable assumptions, Osisko cannot assure shareholders and prospective purchasers of securities of the Corporation that actual results will be consistent with such forward-looking information, spil there may be other factors that cause results not to be spil anticipated, estimated or intended, and neither Osisko strafgevangenis any other person assumes responsibility for the accuracy and completeness of any such forward-looking information. Osisko does not undertake, and assumes no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect fresh events or circumstances, except spil may be required by law.