OSISKO FILES PEA TECHNICAL REPORT FOR WINDFALL PROJECT

(Toronto, August 1, 2018)  Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) is pleased to announce the filing of an independent preliminary economic assessment technical report on its Windfall project, which has been prepared in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects. The technical report, entitled “Preliminary Economic Assessment of the Windfall Lake Project, Lebel-sur-Quévillon, Québec, Canada” and dated August 1, 2018 (effective date of July 12, 2018), has been prepared for Osisko by BBA Inc., InnovExplo Inc., Golder Associates Ltd., WSP Canada Inc. and SNC-Lavalin Stavibel Inc. (the “Windfall PEA“). The Windfall PEA is available on SEDAR (www.sedar.com) under Osisko’s issuer profile.

 

Osisko’s news release dated July 17, 2018 (entitled “Osisko Delivers Positive PEA for Windfall project”) summarized certain key results, assumptions and estimates contained in the Windfall PEA. The Corporation is pleased to report that there are no material differences between the key results, assumptions and estimates contained in the Windfall PEA and Osisko’s news release dated July 17, 2018.

 

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition. exploration. and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in northeast Ontario, including the Jonpol and Garrcon deposits on the Garrison property. The Corporation also holds interests and options in a number of additional properties in northern Québec and Ontario. 

 

Cautionary Statement Regarding Technical information

Readers are cautioned that the Windfall PEA is preliminary in nature and includes inferred mineral resources that are too speculative geologically to have economic considerations applied to them that would enable them to be categorize as mineral reserves. There is no certainty that the results, assumptions or estimates in the Windfall PEA will be realized. Mineral resources are not mineral reserves and do not have demonstrated economic viability.

For further information please contact:
John Burzynski
President and Chief Executive Officer
Telephone: (416) 363-8653

OSISKO INFILL DRILLING CONFIRMING HIGH-GRADE MINERALIZATION AT WINDFALL

68.5 g/t Au Over 9.8 Metres in Underdog
494 g/t Au Over 2.8 Metres in Lynx

(Toronto, July 25, 2018)  Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) is pleased to provide new infill drilling results from the ongoing drill definition and expansion program at its 100% owned Windfall Lake gold project located in the Abitibi greenstone belt, Urban Township, Eeyou Istchee James Bay, Québec. The 800,000 metre drill program commenced in late 2015. The program is now focussed on infill drilling within the main Windfall gold deposit and the adjacent Lynx deposit (located immediately NE of Windfall), and exploration and expansion drilling on main mineralized zones and with several deep holes in progress to investigate the down-plunge areas in and around the Underdog and Lynx zones.

 

Today’s results focus on infill drilling and include significant new analytical results from 70 intercepts from 33 drill holes and 5 wedges in the Lynx deposit and Underdog zone and include one wireframe extension intercept (Hole OSK-W-18-1593), one extension intercept in a zone not currently included in wireframes (OSK-W-18-1555), and one new intercept not related to any known mineralized zone (OSK-W-18-1461).

 

Osisko President & CEO John Burzynski noted:  “Today’s infill numbers on Lynx and Underdog show very positive and encouraging results as we continue to add drill holes and move more of our mineral resource from inferred to indicated.  This is the positive trend that we expected as we work towards completing the second half of our major drill program.  In context with last week’s Preliminary Economic Assessment (see Osisko news release dated July 17, 2018), we are confident that the work that we are doing today will only improve on the strength of the deposit as we move Windfall towards our anticipated feasibility study in 2019.”

 

Highlights from the new infill drilling results include 13 intervals with assays of >32 g/t Au (>1 oz/t Au) (uncut) including: 494 g/t Au over 2.8 metres  in OSK-W-18-1593; 68.5 g/t Au over 9.8 metres in OSK-W-18-1066-W1; 273 g/t Au over 2.2 metres and 109 g/t Au over 2.0 metres in OSK-W-18-1546; 145 g/t Au over 2.2 metres in OSK-W-18-1504; 46.4 g/t Au over 5.2 metres in OSK-W-18-1613; 39.3 g/t Au over 5.6 metres in OSK-W-18-1557. Maps showing hole locations and full analytical results are available at www.osiskomining.com.

 

Hole From (m) To
(m)
Interval (m) Au (g/t) Au (g/t) cut to 100 g/t  

Type

Corridor
OSK-W-17-1039 454.2 456.6 2.4 11.4 infill  
including 455.2 455.6 0.4 62.8  
OSK-W-18-909-W5 887.0 889.1 2.1 7.94   infill VNCR
including 887.0 887.8 0.8 20.7  
OSK-W-18-1066-W1 779.5 789.3 9.8 68.5 41.6 infill Underdog
including 783.6 784.0 0.4 94.3    
and 786.0 788.2 2.2 220 100  
  854.8 857.0 2.2 39.6 35.3 infill Underdog
including 855.4 856.1 0.7 114 100  
OSK-W-18-1336-W2 920.6 923.0 2.4 4.36 infill Underdog
including 920.6 921.0 0.4 17.8  
  1182.0 1184.0 2.0 4.55 infill Underdog
OSK-W-18-1426 640.0 642,0 2.0 12.1   infill Lynx
including 640.0 640.6 0.6 40.2  
  644.6 646.9 2.3 5.64   infill Lynx
including 644.6 645.0 0.4 24.2  
OSK-W-18-1461 782.0 784.3 2.3 16.9 new Lynx
including 783.5 784.3 0.8 38.1  
OSK-W-18-1464 277.0 279.7 2.7 4.52 infill Lynx
including 278.9 279.3 0.4 22.9  
  396.1 399.7 3.6 42.3 15.9 infill VNCR
including 397.5 398.0 0.5 290 100  
OSK-W-18-1492 311.6 314.7 3.1 18.9   infill Lynx
OSK-W-18-1496 422.8 425.0 2.2 10.1   infill Lynx
including 422.8 423.7 0.9 24.6  
OSK-W-18-1503 445.8 448.4 2.6 62.1 36.2 infill Lynx
including 446.8 447.8 1.0 160 93.0  
OSK-W-18-1504 228.8 231.0 2.2 145 19.4 infill Lynx
including 228.8 229.1 0.3 1019 100  
OSK-W-18-1516 43.7 46.8 3.1 13.5 10.7 infill Lynx
including 43.7 44.0 0.3 128 100  
62.5 65.4 2.9 13.4   infill Lynx
OSK-W-18-1522 304.8 308.0 3.2 17.6   infill Lynx
including 304.8 305.5 0.7 22.2  
and 307.5 308.0 0.5 77.9  
OSK-W-18-1529 284.3 287.0 2.7 4.27   infill Lynx
OSK-W-18-1531 398.0 400.3 2.3 10.2 infill Lynx
including 398.7 399.5 0.8 26.9  
  430.3 433.0 2.7 27.9 infill Lynx
including 430.3 430.9 0.6 53.7  
and 432.7 433,0 0.3 89.8  
449.0 453.3 4.3 4.34   infill Lynx
including 452.6 453.3 0.7 12.7  
OSK-W-18-1536 360.6 362.7 2.1 3.25 infill Lynx
OSK-W-18-1536-W1 278.8 281.3 2.5 23.7 21.7 infill Lynx
including 279.8 280.3 0.5 110 100  
  288.0 290.0 2.0 34.1 32 infill Lynx
including 289.4 290.0 0.6 107 100  
  316.7 318.7 2.0 5.96 infill Lynx 
OSK-W-18-1539 463.7 466.2 2.5 12.4   infill Lynx
including 465.6 466.2 0.6 46.8  
OSK-W-18-1540 375.5 377.5 2.0 7.0 infill VNCR
OSK-W-18-1546 232.6 235.3 2.7 4.13 infill Lynx
  254.1 256.9 2.8 29.9   infill Lynx
including 254.1 255.0 0.9 45.3  
  264.4 266.8 2.4 10.4   infill Lynx
including 266.3 266.8 0.5 44.7    
  273.1 275.2 2.1 3.79   infill Lynx
including 273.7 274.5 0.8 9.8  
  307.5 312.0 4.5 19.0   infill Lynx
including 309.5 310.2 0.7 96.8  
  327.1 329.1 2.0 109 50.5 infill Lynx
including 327.7 328.7 1.0 218 100  
  347.7 349.9 2.2 273 41.1 infill Lynx
including 348.0 348.9 0.9 668 100  
  352.6 355.2 2.6 8.66   infill Lynx
including 353.3 354.2 0.9 24.9  
OSK-W-18-1550 510.7 514.3 3.6 36.0 30.2 infill Lynx
including 510.7 511.9 1.2 104 86.8  
OSK-W-18-1551 234.4 236.8 2.4 34.0   infill Lynx
including 236.3 236.8 0.5 98.7  
OSK-W-18-1555 400.0 402.0 2.0 27.4   extension VNCR
including 400.6 401.6 1.0 51.0  
OSK-W-18-1557 279.0 284.6 5.6 39.3 22.3 infill Lynx
including 283.5 284.6 1.1 187 100  
OSK-W-18-1560 513.7 516.0 2.3 11.9   infill Lynx
including 513.7 514.5 0.8 32.8  
  521.6 524.0 2.4 26.1   infill Lynx
including 521.6 522.3 0.7 89.1  
OSK-W-18-1565 220.6 223.2 2.6 16.4 infill Lynx
including 220.6 221.2 0.6 68.5  
  285.5 291.7 6.2 6.49   infill Lynx
including 285.5 286.5 1.0 15.7  
and 291.2 291.7 0.5 31.6  
370.0 372.8 2.8 9.63   infill Lynx
including 370.0 370.8 0.8 32.4  
OSK-W-18-1569 390.7 393.1 2.4 10.3 infill Lynx
including 391.3 392.1 0.8 30.5  
OSK-W-18-1569-W1 428,0 430.4 2.4 20.9 18.8 infill Lynx
including 429.4 429.8 0.4 113 100  
OSK-W-18-1570 191.0 193.3 2.3 24.5 20.3 infill Lynx
including 192.9 193.3 0.4 124 100  
  305.0 307.0 2.0 10.7 infill Lynx
including 305.5 306.2 0.7 30.3  
OSK-W-18-1575 133.0 135.4 2.4 36.1   infill Lynx
including 133.7 134.5 0.8 64.1  
and 135.0 135.4 0.4 62.4  
142.0 144.0 2.0 7.35 infill Lynx
including 143.0 144.0 1.0 14.7  
OSK-W-18-1578 259.2 264.3 5.1 5.48 infill Lynx
including 264.0 264.3 0.3 59.9  
  279.5 282.1 2.6 3.59 infill Lynx
  294.4 296.6 2.2 3.39 infill Lynx
OSK-W-18-1579 115.0 117.0 2.0 4.07   infill Lynx
  120.2 122.5 2.3 4.09   infill Lynx
including 122.2 122.5 0.3 20.5  
OSK-W-18-1587 198.1 200.1 2,0 10,0 infill Lynx
including 199.1 200.1 1.0 18.8  
288.1 290.5 2.4 13.2 infill Lynx
including 289.1 289.5 0.4 77.7  
  322.5 328.6 6.1 5.01 infill VNCR
including 322.5 323.5 1.0 17.3  
OSK-W-18-1593 194.8 197.1 2.3 3.33 extension Lynx
including 195.2 195.8 0.6 12.5  
  228.1 230.9 2.8 494 13.2 infill Lynx
including 230.6 230.9 0.3 4590 100  
  354.5 257.0 2.5 6.63 infill VNCR
  364.9 367.3 2.4 3.19 infill VNCR
OSK-W-18-1608  510.1 513.4 3.3 17.2 infill Lynx
including 512.6 513.4 0.8 54.9  
OSK-W-18-1613 221.4 226.6 5.2 46.4 17.2 infill Lynx
including 221.4 222.2 0.8 290 100  
  333.0 335.1 2.1 6.58 infill Lynx
including 333.5 334.0 0.5 26.9  
OSK-W-18-1615 479.3 481.4 2.1 18.0 infill Lynx
including 479.8 480.4 0.6 60.5  
  494.5 496.6 2.1 12.7 infill Lynx
including 495.1 495.6 0.5 48.6  
OSK-W-18-1627 406.6 409.0 2.4 9.25 infill VNCR
  476.0 478.0 2.0 11.8 infill Lynx
including 476.9 477.5 0.6 38.1  

 

Notes: True widths are estimated at 65 – 80% of the reported core length interval.  See “Quality Control and Reporting Protocols” below.

Definitions: VNCR = Crustiform veins.

 

 

 

Hole Number Azimuth (°) Dip (°) Length (m) UTM E UTM N Section
OSK-W-17-1039 147 -49 513 453361 5435436 3725
OSK-W-18-909-W5 131 -55 1057 453683 5435677 4150
OSK-W-18-1066-W1 332 -56 1137 452488 5434436 2475
OSK-W-18-1336-W2 335 -61 1193 452616 5434449 2600
OSK-W-18-1426 136 -47 804 453451 5435564 3875
OSK-W-18-1460 143 -51 432 453468 5435347 3775
OSK-W-18-1461 133 -52 849 453307 5435499 3725
OSK-W-18-1464 334 -72 432 453465 5435044 3625
OSK-W-18-1492 333 -58 420 453437 5434906 3550
OSK-W-18-1496 143 -51 456 453316 5435371 3675
OSK-W-18-1503 132 -46 543 453427 5435420 3775
OSK-W-18-1504 330 -48 257 453412 5434904 3525
OSK-W-18-1516 331 -48 102 453223 5435011 3400
OSK-W-18-1522 331 -58 360 453412 5434904 3525
OSK-W-18-1529 334 -69 444 453458 5435016 3600
OSK-W-18-1531 148 -50 498 453381 5435437 3750
OSK-W-18-1536 337 -65 408 453427 5434976 3575
OSK-W-18-1536-W1 337 -65 417 453427 5434976 3575
OSK-W-18-1539 145 -52 536 453372 5435450 3750
OSK-W-18-1540 334 -57 441 453349 5434894 3450
OSK-W-18-1546 331 -55 411 453422 5434924 3550
OSK-W-18-1550 140 -52 606 453373 5435484 3775
OSK-W-18-1551 335 -53 291 453422 5434925 3550
OSK-W-18-1555 331 -60 423 453316 5434901 3425
OSK-W-18-1557 335 -52 374 453422 5434925 3550
OSK-W-18-1560 145 -53 564 453373 5435484 3775
OSK-W-18-1565 330 -57 426 453386 5434920 3500
OSK-W-18-1569 142 -46 522 453324 5435399 3675
OSK-W-18-1569-W1 142 -46 525 453324 5435399 3675
OSK-W-18-1570 331 -55 402 453365 5434933 3500
OSK-W-18-1575 330 -59 216 453357 5435008 3525
OSK-W-18-1578 331 -60 351 453450 5435010 3600
OSK-W-18-1579 331 -57 171 453312 5435017 3475
OSK-W-18-1587 332 -62 360 453450 5435010 3600
OSK-W-18-1593 329 -68 381 453490 5435062 3675
OSK-W-18-1608 146 -51 558 453328 5435467 3725
OSK-W-18-1613 141 -52 381 453199 5435178 3475
OSK-W-18-1615 149 -48 546 453328 5435467 3725
OSK-W-18-1627 141 -51 513 453228 5435374 3600

 

OSK-W-17-1039 intersected 11.4 g/t Au over 2.4 metres in Lynx. Mineralization consists of 5% pyrite and a quartz-tourmaline crustiform vein with local visible gold hosted in a moderately sericitized rhyolite.

 

OSK-W-18-909-W5 intersected 7.94 g/t Au over 2.1 metres in Lynx. Mineralization consists of trace disseminated pyrite with a crustiform vein hosted in a chlorite, silica, carbonate and fuchsite altered and foliated gabbro.

 

OSK-W-18-1066-W1 intersected 68.5 g/t Au over 9.8 metres and 39.6 g/t Au over 2.2 metres in Underdog. The first interval contains local visible gold, up to 15% pyrite and 1% chalcopyrite in pervasive silica flooding patches in a strongly silicified and sericitized porphyric felsic dike with local fuchsite. The second interval contains local visible gold, 2% pyrite in ptygmatic veins, trace chalcopyrite stringers and cluster with pervasive silica flooding, and trace disseminated pyrite in a sericitized and strongly silicified porphyritic dike.

 

OSK-W-18-1336-W2 intersected 4.36 g/t Au over 2.4 metres and 4.55 g/t Au over 2.0 metres in Underdog. The first interval contains 5% pyrite-tourmaline stringers, 3% pyrite clusters and 2% coarse grained pyrite in volcanic fragments in a sericitized fragmental felsic dike. The second interval contains trace disseminated pyrite and cluster in a sericite, chlorite, and carbonate altered porphyritic felsic dike.

 

OSK-W-18-1426 intersected 12.1 g/t Au over 2.0 metres and 5.64 g/t Au over 2.3 metres in Lynx. Mineralization is composed of up to 15% interstitial and disseminated pyrite with moderate silica flooding at the contact between a locally sericitized and fuchsitized gabbro and a porphyritic felsic intrusion.

 

OSK-W-18-1461 intersected 16.9 g/t Au over 2.3 metres in Lynx. Mineralization consists of local visible gold and up to 15% pyrite in silica flooding, hosted in a silicified and sericitized rhyolite at contact with a gabbro. This intersect is located 50 metres northwest of hole OSK-W-17-958 which returned 5.74 g/t Au over 5.0 metres (previously reported October 3rd, 2017) and is outside the current Lynx resource wireframes.

 

OSK-W-18-1464 intersected 4.52 g/t Au over 2.7 metres and 42.3 g/t Au over 3.6 metres in Lynx.  The first interval is composed of 3% disseminated pyrite, 3% pyrite stringers and local visible gold in a stockwork of smoky quartz veinlets in a sericitized fragmental felsic dike at the contact with a gabbro. The second interval contains local visible gold and up to 10% disseminated pyrite in a crustiform quartz-ankerite ± tourmaline veinlet in a strongly carbonate and chlorite altered gabbro.

 

OSK-W-18-1492 intersected 18.9 g/t Au over 3.1 metres in Lynx. Mineralization consists of local visible gold, 2% disseminated pyrite and trace sphalerite in silica flooding and trace pyrite stringers in quartz or carbonate-quartz veins hosted in a moderately sericitized and silicified felsic porphyritic intrusion.

 

OSK-W-18-1496 intersected 10.1 g/t Au over 2.2 metres in Lynx. Mineralization consists of 4% pyrite as stringers or in patches with quartz-carbonates veins hosted in a moderately sericitized, weak silica and fuchsite altered gabbro.

 

OSK-W-18-1503 intersected 62.1 g/t Au over 2.6 metres in Lynx. Mineralization consists of local visible gold and 2% disseminated pyrite with pervasive silica flooding in a foliated rhyolite with moderate silica and sericite alteration.

 

OSK-W-18-1504 intersected 145 g/t Au over 2.2 metres in Lynx. Mineralization consists of local visible gold in fracture filling in pervasive silica flooding hosted in a silicified, sericitized and slightly fuchsitized gabbro.

 

OSK-W-18-1516 intersected 13.5 g/t Au over 3.1 metres and 13.4 g/t Au over 2.9 metres in Lynx. The first interval contains local visible gold and up to 7% disseminated pyrite in a smoky quartz-carbonate vein hosted at a silicified contact between a rhyolite and a gabbro. The second interval contains up to 9% pyrite stringers and disseminated and local visible gold in pervasive silica flooding. Both intervals are hosted in a strongly silicified fragmental felsic intrusion with intrusive, volcanic, tourmaline and pyrite fragments.

 

OSK-W-18-1522 intersected 17.6 g/t Au over 3.2 metres in Lynx. Mineralization consists of trace visible gold with up 5% pyrite tourmaline stringers, trace pyrite-sphalerite stringer with pervasive silica flooding in a silicified and sericitized rhyolite.

 

OSK-W-18-1529 intersected 4.27 g/t Au over 2.7 metres in Lynx. Mineralization consists of 3% pyrite stringers and 2% pyrite in quartz-tourmaline veins hosted in a moderate chlorite, sericite, carbonate altered fragmental felsic dike.

 

OSK-W-18-1531 intersected 10.2 g/t Au over 2.3 metres, 27.9 g/t Au over 2.7 metres and 4.34 g/t Au over 4.3 metres in Lynx. Mineralization in the first two intervals consists of local visible gold and up to 20% pyrite in pervasive silica flooding hosted in a sericitized and silicified fragmental felsic dike. The last interval contains up to 10% pyrite in crustiform veins in pervasive silica flooding and a quartz-tourmaline vein hosted in a silicified and sericitized gabbro.

 

OSK-W-18-1536 intersected 3.25 g/t Au over 2.1 metres in Lynx.  Mineralization consists of up to 10% disseminated pyrite with quartz veins in a sericite, silica, chlorite altered and bleached gabbro with local fuschite.

 

OSK-W-18-1536-W1 intersected 23.7 g/t Au over 2.5 metres, 34.1 g/t Au over 2.0 metres in Lynx and 5.86 g/t Au over 2.0 metres in a vein. The first and second intervals contain up to 10% disseminated pyrite and local visible gold in a strongly silicified porphyritic felsic intrusive or rhyolite. The vein contains 1% pyrite clusters, trace pyrite-tourmaline stringers and 20% quartz veining in a strongly chloritized, moderately sericitized and bleached gabbro.

 

OSK-W-18-1539 intersected 12.4 g/t Au over 2.5 metres in Lynx.  Mineralization consists of local visible gold, up to 3% pyrite-tourmaline stringers and 4% disseminated or clustered pyrite at the silicified, sericitized and bleached contact between a porphyritic felsic dike and a rhyolite.

 

OSK-W-18-1540 intersected 7.07 g/t Au over 2.0 metres in Lynx. Mineralization consists of trace pyrite in a crustiform quartz-carbonate vein in a strongly silicified and sericitized porphyritic felsic dike.

 

OSK-W-18-1546 intersected multiple zones of mineralization in the Lynx Corridor:  4.13 g/t Au over 2.7 metres, 29.9 g/t Au over 2.8 metres, 10.4 g/t Au over 2.4 metres, 3.79 g/t Au over 2.1 metres, 19.0 g/t Au over 4.5 metres, 109 g/t Au over 2.0 metres, 273 g/t Au over 2.2 metres and 8.66 g/t Au over 2.6 metres. The first interval contains 2% disseminated pyrite in a silicified rhyolite at contact with a sheared and faulted gabbro. The second interval contains local visible gold and up to 10% disseminated pyrite at the contact between a silicified porphyritic dike and a rhyolite. The third and fourth intervals contain 3% disseminated pyrite in a strongly sericitized rhyolite. The fifth interval contains local visible gold, 3% disseminated pyrite and 2% pyrite-tourmaline stringers at a silicified contact between a rhyolite and a gabbro. The sixth interval contains 7% disseminated and stringer pyrite in a silicified gabbro with a crustiform vein. The seventh interval contains local visible gold, up to 5% disseminated pyrite and 3% pyrite stringers with crustiform veins hosted in a silicified gabbro. The eighth interval contains local visible gold and 2% disseminated pyrite in a chlorite, fuchsite and bleached altered gabbro with pervasive silica flooding.

 

OSK-W-18-1550 intersected 36.0 g/t Au over 3.6 metres in Lynx. The interval contains local visible gold, 10% pyrite and trace sphalerite in pervasive silica flooding and ptygmatic tourmaline veins within a sericite and fuchsite altered rhyolite.

 

OSK-W-18-1551 intersected 34.0 g/t Au over 2.4 metres in Lynx. Mineralization contains up to 1% pyrite stringers with quartz clusters in a silicified rhyolite.

 

OSK-W-18-1555 intersected 27.4 g/t Au over 2.0 metres in Lynx. Mineralization contains up to 15% disseminated and stringer pyrite in a crustiform quartz-carbonate vein hosted in a silicified and fuchsite altered gabbro. This hole extends a crustiform vein corridor 25 metres toward south-west from OSK-W-17-803, which returned 6.38 g/t Au over 2.3 metres (previously reported May, 24th, 2017).

 

OSK-W-18-1557 intersected 39.3 g/t Au over 5.6 metres in Lynx. Mineralization is composed of up to 8% fine pyrite stringers and clusters and quartz-tourmaline veins at the silicified contact between a rhyolite and a fragmental felsic dike.

 

OSK-W-18-1560 intersected 11.9 g/t Au over 2.3 metres and 26.1 g/t Au over 2.4 metres. Mineralization is composed of local visible gold, up to 3% pyrite stringers, and 2% pyrite-tourmaline veinlets with strong pervasive silica alteration hosted in moderate bleached gabbro.

 

OSK-W-18-1565 intersected 16.4 g/t Au over 2.6 metres, 6.49 g/t Au over 6.2 metres and 9.63 g/t Au over 2.8 metres in Lynx.  The first interval contains local visible gold and 3% disseminated pyrite at the strongly silicified contact between rhyolite and felsic dike. The second interval contains local visible gold and 3% disseminated pyrite in a strongly silicified rhyolite. The third interval contains up 5% disseminated pyrite with quartz-carbonate veins in a silicified gabbro.

 

OSK-W-18-1569 intersected 10.3 g/t Au over 2.4 metres in Lynx. Mineralization is composed of up to 5% pyrite stringers with pervasive silica flooding and moderate fuchsite alteration in a fragmental felsic unit.

 

OSK-W-18-1569-W1 intersected 20.9 g/t Au over 2.4 metres in Lynx. Mineralization is composed of local visible gold and 1% pyrite with dismembered quartz-carbonate veins, 2% pyrite stringers, 2% pyrite in pervasive silica flooding and ptygmatic tourmaline veins and 2% pyrite cluster in a sericitized and silicified rhyolite.

 

OSK-W-18-1570 intersected 24.5 g/t Au over 2.3 metres and 10.7 g/t Au over 2.0 metres in Lynx. The first interval contains local visible gold and 3% pyrite with pervasive silica flooding hosted in a sericitized and silicified porphyritic felsic dike. The second interval contains local visible gold with ptygmatic tourmaline veins and quartz clusters and 5% pyrite with pervasive silica flooding in a strongly silicified rhyolite.

 

OSK-W-18-1575 intersected 36.1 g/t Au over 2.4 metres and 7.35 g/t Au over 2.0 metres in Lynx The first interval contains up to 2% disseminated pyrite and 1% chalcopyrite in breccia textured quartz veins hosted in a sericitized rhyolite. The second interval contains 2% pyrite stringers, 1% disseminated pyrite in a chloritized and moderately bleached gabbro.

 

OSK-W-18-1578 intersected 5.48 g/t Au over 5.1 metres, 3.59 g/t Au over 2.6 metres and 3.39 g/t Au over 2.2 metres in Lynx. Mineralization consists of up to 5% disseminated pyrite with pervasive silica alteration and moderate sericite alteration hosted in a fragmental felsic intrusive unit, porphyritic felsic dike or rhyolite.

 

OSK-W-18-1579 intersected 4.07 g/t Au over 2.0 metres and 4.09 g/t Au over 2.3 metres in Lynx. Mineralization consists of local visible gold, up to 1% disseminated pyrite in pervasive silica flooding and traces of pyrite fragments within in a sericitized fragmental dike.

 

OSK-W-18-1587 intersected 10.0 g/t Au over 2.0 metres, 13.2 g/t Au over 2.4 metre and 5.01 g/t Au over 6.0 metres in Lynx. The first interval contains 5% pyrite in pervasive silica flooding and quartz-tourmaline veins in a strongly sericitized and silicified gabbro. The second interval contains local visible gold and 10% disseminated pyrite is strongly silicified rhyolite.

 

OSK-W-18-1593 intersected multiple intercepts in Lynx:  3.33 g/t Au over 2.3 metres, 494 g/t Au over 2.8 metres, 6.63 g/t Au over 2.5 metres and 3.19 g/t Au over 2.4 metres. The first interval contains 1% pyrite cluster in pervasive chlorite-fuchsite altered gabbro injected by quartz veinlets. The second interval contains a 3 cm wide gold stringer within a silica altered band and pyrite stringers at the contact with a gabbro xenolith and fragmental felsic unit. This high-grade interval extends Lynx resource wireframe 305 approximately 10 meters vertically and is 30 metres vertically above OSK-W-17-1098 (42.8 g/t Au over 2.3 metres, previously reported June, 7th, 2018). The third and fourth intervals are composed of 5% to locally 20% quartz-tourmaline veins, trace disseminated or stringer pyrite in a strongly silicified and moderately chloritized gabbro.

 

OSK-W-18-1608 intersected 7.2 g/t Au over 3.3 metres in Lynx. Mineralization consists of up to 3% disseminated pyrite and 10% disseminated pyrite in two quartz-tourmaline-ankerite veins in a gabbro with strong pervasive silica alteration and moderate sericite-fuchsite alteration.

 

OSK-W-18-1613 intersected 46.4 g/t Au over 5.2 metres and 6.58 g/t Au over 2.1 metres in Lynx. Mineralization consists of up to 7% pyrite and 2% sphalerite with pervasive silica flooding in a strongly silicified fragmental felsic dike with local fuchsite.

 

OSK-W-18-1615 intersected 18.0 g/t Au over 2.1 metres and 12.7 g/t Au over 2.1 metres in Lynx. The first interval contains local visible gold with 10% disseminated and stringer pyrite with pervasive silica flooding in a sericitized gabbro. The second interval contains 3% disseminated pyrite at the strongly sericitized and moderately silicified contact between a gabbro and porphyritic felsic dike.

 

OSK-W-18-1627 intersected 9.25 g/t Au over 2.4 metres and 11.8 g/t Au over 2.0 metres in Lynx.  Mineralization consists of 3% disseminated or stringer pyrite in association with quartz-carbonate crustiform veins and up 1% ptygmatic tourmaline veinlets in slightly fuchsite-altered gabbro.

 

Qualified Person

The scientific and technical content of this news release has been reviewed and approved by Mr. Louis Grenier, M.Sc.A., P.Geo. (OGQ 800), Project Manager of the Windfall Lake gold project, who is a “qualified person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

 

Quality Control and Reporting Protocols

True widths determinations are estimated at 65-80% of the reported core length intervals for most of the zones. Assays are uncut except where indicated. Intercepts occur within geological confines of major zones but have not been correlated to individual vein domains at this time. Reported intervals include minimum weighted averages of 3.0 g/t Au diluted over core lengths of at least 2.0 metres. All NQ core assays reported were obtained by either 1-kilogram screen fire assay or standard 50-gram fire-assaying-AA finish or gravimetric finish at (i) ALS Laboratories in Val d’Or, Québec, Thunder Bay, Ontario, Sudbury, Ontario or Vancouver, British Colombia, or (ii) Bureau Veritas in Timmins, Ontario. The 1-kilogram screen assay method is selected by the geologist when samples contain coarse gold or present a higher percentage of pyrite than surrounding intervals. Selected samples are also analyzed for multi-elements, including silver, using an Aqua Regia-ICP-AES method at ALS Laboratories. Drill program design, Quality Assurance/Quality Control (“QA/QC”) and interpretation of results is performed by qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices. Standards and blanks are included with every 20 samples for QA/QC purposes by the Corporation as well as the lab. Approximately 5% of sample pulps are sent to secondary laboratories for check assay.

 

About the Windfall Lake Gold Deposit

The Windfall Lake gold deposit is located between Val-d’Or and Chibougamau in the Abitibi region of Québec, Canada. The mineral resource defined by Osisko, as disclosed in the Windfall Lake Technical Report (as defined below), comprises 2,382,000 tonnes at 7.85 g/t Au (601,000 ounces) in the indicated mineral resource category and 10,605,000 tonnes at 6.70 g/t Au (2,284,000 ounces) in the inferred mineral resource category. For details regarding the key assumptions, parameters and methods used to estimate the mineral resources presented in respect of the Windfall Lake gold project, please see the technical report entitled “Technical Report and Mineral Resource Estimate for the Windfall Lake Project, Windfall Lake and Urban-Barry Properties” and dated June 12, 2018 (effective date of May 14, 2018), which has been prepared by InnovExplo Inc. from Val-d’Or, Québec (the “Windfall Lake Technical Report”). The Windfall Lake Technical Report is available on Osisko’s website at www.osiskomining.com and on SEDAR under Osisko’s issuer profile at www.sedar.com). The Windfall Lake gold deposit is currently one of the highest grade resource-stage gold projects in Canada. Mineralization occurs in four principal zones: Lynx, Zone 27, Caribou, and Underdog. All zones comprise sub-vertical lenses following intrusive porphyry contacts plunging to the northeast. The deposit is well defined from surface to a depth of 900 metres and remains open along strike and at depth. Mineralization has been identified only 30 metres from surface in some areas and as deep as 1,200 metres in others, with significant potential to extend mineralization down-plunge and at depth.

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall Lake gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in 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 in a number of additional properties in northern Québec and Ontario.

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 as at the date of this news release. The information in this news release about the Windfall Lake gold deposit being one of the highest grade resource-stage gold projects in Canada; the current focus of the current 800,000 metre drill program; the significance of the Windfall Lake Technical Report; the significance and assumptions in the preliminary economic assessment prepared in respect of the Windfall and Osborne-Bell deposits as disclosed news release of Osisko dated July 17, 2018; the expectation that the mineral resource grade will be higher than the inferred resource grade; the expectation that the indicated mineral resource grade will be higher than the inferred mineral resource grade; the significance of new results from the ongoing drill program at the Windfall Lake gold project and the adjacent Lynx deposit, including the new infill drill results from the ongoing drill definition and expansion program at Windfall Lake; the significance of assay results presented in this news release; the type of drilling included in the drill program (definition, expansion and exploration drilling in and around the main Windfall Lake gold deposit and the adjacent Lynx deposit, with several deep holes in progress to investigate the down-plunge areas in and around the Underdog and Lynx zones); potential mineralization; the potential to extend mineralization up and down-plunge and at depth at the Windfall Lake gold deposit; the ability to realize upon any mineralization in a manner that is economic; the ability to complete any proposed exploration activities and the results of such activities, including the continuity or extension of any mineralization; 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 performance (often but not always using phrases such as “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 actions, 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 was made, involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Osisko to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management’s geological modelling; the ability of Osisko to complete further exploration activities, including drilling; property interests in the Windfall Lake gold project; the ability of the Corporation to obtain required approvals and complete transactions on terms announced; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

 

For further information please contact:

John Burzynski
President and Chief Executive Officer
Telephone: (416) 363-8653

 

OSISKO DELIVERS POSITIVE PEA FOR WINDFALL PROJECT

After-Tax IRR of 33%, NPV C$413M, Capex C$397M
Year 1 Gold Production of 248,000 Ounces

(Toronto, July 17, 2018)  Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) is pleased to announce positive results from the independent Preliminary Economic Assessment (“PEA”) prepared in accordance with National Instrument 43-101 at its 100% owned Windfall Deposit located in the Abitibi greenstone belt, Urban Township, Eeyou Istchee James Bay, Québec, 115 kilometres from the town of Lebel-sur-Quevillon and its 100% owned Osborne-Bell Deposit, located 17 kilometres northwest of the town of Lebel-sur-Quévillon, Québec. The PEA provides a base case assessment of developing both the Windfall and Osborne-Bell deposits as underground ramp-access mines with a central gold processing mill in Lebel-sur-Quévillon, Québec.

 

John Burzynski, President and CEO commented: “Today’s PEA results are excellent with a robust after-tax Internal Rate of Return (“IRR”) of 33% and after-tax Net Present Value (“NPV”) of C$413 M, based only on our initial mineral resource estimate at Windfall with its conservative grade estimate. This is a very strong start to a project that is growing as inferred resources are being converted to higher-grade indicated resources by the ongoing drill program, with optimized mining methods and with the ongoing exploration success at Windfall. The PEA envisions commencing the project with a 3200 tonne per day (“tpd”) long hole mining approach, focused on extracting large panels with minimum widths of 3.5 metres to 4.0 metres and minimum height of 20 metres. While this study focuses only on the larger zones of mineralization, further detailed modelling using adaptive mining methods will be applied to subsequent studies to capture the bulk of the May 14, 2018 resource, including narrow high-grade zones in the Lynx Zone which were not included in this study. The down plunge extensions of Underdog, Lynx, Zone 27, the recently discovered Bobcat Zone, and the recently announced Triple 8 discovery were not included in this study, as mineral resource definition drilling in these areas is still in progress. These areas are expected to be included in the feasibility work in 2019. Osisko’s PEA outlines the strong potential base-case for significant and profitable new gold production in Quebec, and we anticipate that these great initial numbers will only get better as we progress with our large definition and exploration drilling program at Windfall.”

 

      PEA Highlights*

Base Case

Gold price US$1,300/oz, Silver price US$17.00/oz, Exchange rate C$1.00 = US$0.78, 5% discount rate

IRR after taxes and mining duties 32.7%
NPV after taxes and mining duties C$413.2 million
Pre-Production Construction costs (including C$51.8 M contingency) C$397.3 million
Peak-year payable production 248,000 oz (year 1)
Average LOM payable production 218,000 oz
Net gold payable recovery 92.4%
Average diluted gold grade 6.7 g/t Au
Life of mine (LOM) 8.1 years
Total mineralized material mined 8,914,000 tonnes
Contained gold in mined resource 1,915,000 oz
Payable gold LOM 1,769,000 oz
Payable silver LOM 557,000 oz
All-in Sustaining Costs net of by-product credits and royalties over LOM US$704.00/oz
Estimated All-in cost (CAPEX plus OPEX) US$879.00/oz
Total unit operating cost C$126.47/ tonne milled
Gross revenue C$2.96 billion
Operating cash flow C$1.12 billion
Mine start-up/Full production Q2 2022/Q3 2022
NPV before taxes and mining duties C$625.4 million
IRR before taxes and mining duties 39.7%

 

*Cautionary Statement: The reader is advised that the PEA summarized in this press release is intended to provide only an initial, high-level review of the project potential and design options. The PEA mine plan and economic model include numerous assumptions and the use of Inferred resources. Inferred resources are considered to be too speculative to be used in an economic analysis except as allowed for by Canadian Securities Administrators’ National Instrument 43-101 in PEA studies. There is no guarantee that Inferred resources can be converted to Indicated or Measured resources, and as such, there is no guarantee the project economics described herein will be achieved.

 

The study was prepared by BBA Inc. under the supervision of Mr. Mathieu Savard, P. Geo., Vice President Exploration of Osisko, and Project Manager for Osisko Mining Ms. Kim-Quyên Nguyên, P. Eng., MBA and the Osisko Group technical team and included contributions from the geological and engineering teams at InnvoExplo Inc, Golder Asssociates Ltd, BBA Inc., WSP Canada Inc. and SNC-Lavalin Stavibel Inc.

 

The realized Project would have a significant impact in the James Bay region, with the potential of generating over C$2.96 billion of gross revenue and contributing approximately 350 permanent, well remunerated jobs during the production phase and an average of 480 construction personnel during construction period.

 

Table 1: PEA Summary

 

Total Material Mined (Tonnes) 8,914,000
Average Diluted Gold Grade (g/t Au) 6.7
Total Gold Contained (oz) 1,915,000
Total Gold Produced (oz) 1,770,000
Total Gold Payable (oz) 1,769,000
Gold Payable Recovery(%) 92.4
Average Annual Gold Produced (gold oz per year) 218,000
Total Initial Capital Cost (C$M) 397.3
Sustaining Capital (C$M) 371.1
Site Restoration Cost net of salvage Value (C$M) 40.6
Unit Operating Cost (per tonne milled):  
     Mining (C$) 63.82
     Mineralized Material Transportation (C$) 14.26
     Processing (C$) 26.89
     Tailing & Water Management (C$) 3.59
     General & Administration (C$) 17.93
Total Unit Operating Costs (per tonne milled) (C$) 126.47

 

 

Opportunities to Enhance Value

 

Windfall has a high potential for mineral resource expansion as the Main Zone, Lynx, and Underdog deposits are open down plunge and down-dip, and new zones are still being discovered. Future mine modelling using adaptive mining methods to capture additional mineable resources in narrower mineralized zones, and metallurgical test work is planned to optimize the gold and silver recoveries. Trade-off studies will also be performed to determine the best overall economic processing and dewatering methods. Mining sequence/development scheduling and trade-off studies on mine infrastructures will be further optimized leading to increasingly attractive economics. These opportunities will be captured in a Feasibility study.

 

 

Table 2: Summary Economics (US$1,300/oz gold)

 

After-Tax NPV (C$M) 413.2
After-Tax IRR 32.7%
After-Tax Payback (Years) 3.9
LOM NSR Revenue (C$M) 2,948.2
Total LOM Operating Cash Flow (C$M) 1,119.9
Total LOM Pre-Tax Cash Flow (C$M) 954.2
Average Annual Pre-Tax Cash Flow (C$M) 116.3
LOM Income Taxes (C$M) 340.8
Total LOM After-Tax Free Cash Flow (C$M) 613.4
Average Annual After-Tax Free Cash Flow (C$M) 74.8
Discount Rate (%) 5.0
Pre-Tax NPV (C$M) 625.4
Pre-Tax IRR 39.7%
Pre-Tax Payback (Years) 3.7

 

 

Table 3: All-In Sustaining Cost

 

Mining Cost (C$M) 565.1
Processing Cost (C$M) 238.1
Tailing & Water Management (C$M) 31.8
General & Administrative (C$M) 126.2
Mineralized Material Transportation (C$M) 158.7
Refining & Smelting (C$M) 11.7
Royalties (C$M) 65.1
By-Product Silver Credit ($M) (12.1)
Adjusted Operating Costs 1,184.6
Sustaining (C$M) 371.1
Closure cost net of salvage value (C$M) 40.6
Total 1,596.2
All-in Sustaining Cost (C$/oz)** 902.5
All-in Sustaining Cost (US$/oz)** 704.0

 

** All-in Sustaining Costs are presented as defined by the World Gold Council (“WGC”) less Corporate G&A

Table 4: Sensitivities (base case in bold)

 

Gold Price US$/oz $1,100 $1,200 $1,250 $1,300 $1,400 $1,500 $1,600
Pre-Tax NPV 5% (C$M) 304.0 464.7 545.0 625.4 786.1 946.8 1,107.6
After-Tax NPV 5% (C$M) 75.8 244.5 328.9 413.2 581.9 750.6 919.3
Pre-Tax IRR 23.4% 31.7% 35.8% 39.7% 47.3% 54.7% 62.0%
After-Tax IRR 11.1% 22.6% 27.8% 32.7% 42.0% 50.9% 59.4%
Pre-Tax Payback (Years) 4.9 4.2 3.9 3.7 3.4 3.2 3.0
After-Tax Payback (Years) 5.9 4.7 4.2 3.9 3.5 3.1 2.9

 

Table 4: Sensitivities (base case in bold)

 

FX: US$:C$1.00 0.90 0.85 0.80 0.78 0.70 0.65 0.60
Pre-Tax NPV 5% (C$M) 346.7 453.3 573.2 625.4 864.3 1,043.4 1,252.4
After-Tax NPV 5% (C$M) 120.7 232.5 358.4 413.2 663.9 852.0 1,071.4
Pre-Tax IRR 25.6% 31.2% 37.1% 39.7% 51.0% 59.2% 68.6%
After-Tax IRR 14.4% 21.9% 29.6% 32.7% 46.4% 56.1% 66.9%
Pre-Tax Payback (Years) 4.7 4.2 3.9 3.7 3.3 3.0 2.8
After-Tax Payback (Years) 5.5 4.7 4.1 3.9 3.3 3.0 2.8

 

 

PEA Details

 

The independent PEA was prepared through the collaboration of the following firms: BBA Inc. (Montréal, QC), InnovExplo Inc. (Val D’Or, QC), Golder Associates Ltd (Montréal, QC), WSP Canada Inc. (Val d’Or, QC) and SNC-Lavalin Stavibel Inc. (Val D’Or, QC). These firms provided mineral resource estimates, design parameter and cost estimates for mine operations, process facilities, major equipment selection, waste and tailings storage, reclamation, permitting, and operating and capital expenditures. Table 5 summarizes the contributors and their area of responsibility:

 

Table 5: Consulting Firm and Area of Responsibility

 

Consulting Firm Area of Responsibility
BBA Inc

–        Metallurgical test work development and analysis,

–        Mass balance,

–        Process plant design;

–        Process plant capital costs and operating costs;

–        Electrical and IT infrastructure design and costs (supply and on-site);

–        Material transport and General and administration operating costs;

–        Financial Analysis and overall NI 43-101 integration.

InnovExplo Inc

–        Historical data review;

–        Current and historical geology, exploration, drilling;

–        Sample preparation and QA/QC, and data verification;

–        Geological modelling and mineral resource estimate;

–        Underground mine design, underground infrastructure, ventilation, production scheduling, underground capital costs and operating costs.

Golder Associates Ltd

–        Waste rock, tailings, and ore a geochemical characterization;

–        Water treatment plant design, capital and operating costs;

–        Surface tailings, ore and waste rock management facility designs and costs, excluding reclamation;

–        Surface water management infrastructure design and costs, excluding reclamation;

–        Site wide water balance;

–        Rock mass characterization and rock mechanics input to underground mine design and ground control;

–        Hydrogeology and groundwater quality input to environmental studies;

–        Hydrogeology input to underground mine design;

–        Geotechnical input for the surface infrastructure design

WSP Canada Inc.

–        Environmental studies, permitting and closure costs;

–        Regulatory context, social considerations, and anticipated environmental issues;

–        Ore handling system from underground mine to mine site surface, design and costs;

–        Design and costs of surface infrastructure for Windfall Lake and Osborne-Bell sites including on-site roads;

–        Electrical and IT infrastructure design and costs for Windfall Lake and Osborne Bell sites;

–        Off-site access road to Osborne-Bell and Windfall Lake sites evaluation and costs.

SNC-Lavalin

–        Plant site surface infrastructures design and costs;

–        Site utilities design and costs;

–        Access road from Plant pad to tailings pond road design and costs.

 

 

Resource Estimate

 

The PEA is based on an Indicated and Inferred mineral resource estimates completed by independent Qualified Persons Judith St-Laurent (P.Geo., B.Sc.) of InnovExplo Inc for the WindfallDeposit (Table 6) and Pierre-Luc Richard (P.Geo., M.Sc ) of BBA Inc. (InnovExplo at the time of the mineral resource estimate) for the Osborne-Bell Deposit (Table 7). This mineral estimate consists of an Indicated Resource and an Inferred Resource using a base cut-off of 3 g/t Au.

 

Table 6: Windfall Deposit Mineral Resource Estimate (1)

 

Zone Indicated Inferred
Tonnes Grade (g/t) Au Ounces Tonnes Grade (g/t) Au Ounces
Lynx 1,254,000 7.51 303,000 2,257,000 7.48 543,000
Zone 27 628,000 8.69 175,000 852,000 7.28 199,000
Caribou 318,000 7.12 73,000 2,767,000 5.80 516,000
Underdog 147,000 9.00 43,000 4,380,000 6.77 953,000
Other 34,000 6.58 7,000 348,000 6.37 71,000
Total 2,382,000 7.85 601,000 10,605,000 6.70 2,284,000

 

 

Table 7: Osborne-Bell Deposit Inferred Mineral Resource Estimate (2)

 

Cut-off grade Tonnes Grade (g/t) Au Ounces
> 6.00 g/t Au 883,000 9.77 277,000
> 5.00 g/t Au 1,273,000 8.44 346,000
> 4.00 g/t Au 1,816,000 7.26 424,000
> 3.50 g/t Au 2,156,000 6.70 465,000
> 3.00 g/t Au 2,587,000 6.13 510,000
> 2.50 g/t Au 3,166,000 5.51 560,000

 

Resources estimate notes and resource modeling notes, are shown in a further section. Silver has not been assayed and estimated for both deposits.

 

Capital and Operating Cost Summary

 

Table 8: Capital Cost Summary*

 

Capital Costs (C$M) Pre-production Sustaining Total
Mining 72.7 309.0 381.6
Mineral Processing Plant 107.6 107.6
Mine Surface Facilities 23.5 24.5 47.9
Plant Site Infrastructure 19.2 2.1 21.3
Tailings and Water Management 48.9 35.5 84.4
Indirects 73.7 73.7
Site Restoration (net of salvage value) 40.6 40.6
Subtotal 345.5 411.7 757.2
Contingency 51.8 51.8
Total Capital Costs 397.3 411.7 809.0
Production Revenue NSR** 19.9 2,928.3 2,948.2

 

CAPEX per Oz (US$/oz) 356.8
OPEX per Oz (US$/oz) 522.4
All-In Cost per Oz (US$/oz) 879.2

 

*Totals may differ due to rounding. **The Company anticipates having pre-production revenues during development.

 

 

Table 9: Operating Cost Summary

 

Operating Costs C$/t Milled
     Mining 63.82
     Mineralized Material Transportation 14.26
     Processing 26.89
     Tailing & Water Management 3.59
     General & Administration 17.93
Total Operating Costs 126.47

 

 

 

Mining

 

The Windfall Project will consist of the simultaneous exploitation of two separate deposits: Windfall and Osborne-Bell. The overall strategy is to have production from Osborne-Bell complement the production from Windfall to achieve a total production rate of 3,200 tonnes per day (“tpd”).

The Windfall Project is located 115 km east of Lebel-sur-Quévillon in the James Bay region of Québec. The mineral resources used in the mine plan are contained in three different zones (Lynx, Main and Underdog) over a length of 2,300 metres and span from surface down to a depth of approximately 1,200 metres. Each zone is characterized by multiple tabular panels which mainly trend ENE and dip vertically to sub-vertically. The mining method selected is long-hole with longitudinal retreat on panels with minimum dimensions of 20 (length) x 20 (height) metres and minimum thicknesses of 3.5 to 4.0 metres. Mineralized material will be extracted using a fleet of 14 tonne load-haul-dumps (“LHDs”) and 50 tonne haul trucks using a ramp at a rate of 2600 tpd.

The Osborne-Bell deposit is located 17 km northwest of Lebel-sur-Quévillon in the James Bay region of Québec. The mineral resources used in the mine plan are contained in three zones (East, Centre and West) over a length of 1,300 metres and span from surface down to a depth of approximately 520 metres. Each zone is characterized by multiple lenses which mainly trend northwest-southeast and plunge vertically to sub-vertically to the north. The main mining method selected is long-hole with longitudinal retreat. Mineralized material will be extracted using a fleet of 7 tonne LHDs and 45 tonne haul trucks using a ramp at a rate of 600 tpd.

Mineralized material from Windfall and Osborne-Bell mine sites will be transported to the process plant. Transport will be performed by a contractor.

 

Processing

A total of 3,200 tpd ROM will be processed at the Lebel-sur-Quévillon Plant site. The processing plant consists of a jaw crusher, mineralized material reclaim system and storage (2,100 t live capacity), a primary SAG mill (22’ x 11’) and a secondary Ball Mill (15’ x 27’) in close circuit with cyclones producing a product of P80= 45 microns. A portion of the cyclone underflow will be fed to the gravity circuit with intensive leach. Cyclone overflow will be fed to an eight (8) tanks carbon-in–leach (“CIL”) circuit (40 hr retention time), followed by cyanide destruction and tailings disposal. A six (6) t carbon per day processing adsorption-desorption-recovery (“ADR”) circuit and gold room recover the gold and produce doré. The plant also includes a reagent preparation area and two process water circuits (cyanide bearing and cyanide-free) to service the entire plant.

Gold and silver metal would be recovered. The process plant would produce doré bars, and the payable gold recovery is estimated to average 92.4% and 68.9% for silver over the LOM.

The process plant would also include a wet laboratory, mill offices, a mill dry, a first aid office and a maintenance shop.

 

Surface infrastructure and indirects

The Windfall Project comprises two different mining sites and one plant site. Windfall mine site will be 115 km east of the Plant site and Osborne-Bell mine site will be 23 km northwest from the Plant site. As previously stated all sites are located in the James Bay region of Québec.

The Windfall Project envisions construction or upgrade of the following key surface infrastructure items: Windfall and Osborne-Bell Mine sites access, Lebel-sur-Quévillon Process Plant, on-site control gate and parking area, overhead transmission line from Lebel-sur-Quévillon to the Plant site, 120 kV Plant site substation fed from the Hydro-Québec grid, Osborne-Bell main electrical substation (25 kV), Process Plant maintenance shop, administration building, service building, pumping station for fresh water, drinking water and fire protection at Plant site, wastewater treatment at Plant site, surface tailings management facility at Plant site, Windfall Mining complex comprising the mine dry, offices, cafeteria, fitness room and dormitory, Osborne-Bell site dry, office, warehouse and truck shop, water treatment plants and overburden stockpiles on all sites, and waste rock stockpiles on Windfall and Osborne-Bell Mine sites. Several key infrastructures such as power plant, waste water treatment and 13.8 kV overhead transmission lines are already in place at the Windfall Mine site.

Indirect costs such as owner’s costs, engineering, procurement and construction management, temporary facilities for construction and other related items are estimated at $73.7 million. An additional $51.8 million has been budgeted as contingency for specific direct and indirect costs.

 

Environment and Restauration

The Project is subject to both the provincial and federal Environmental Assessment (“EA”) processes. The Windfall Mine site is located on territory governed by the James Bay and Northern Québec Agreement (“JBNQA”), subject to the Environmental and Social Impact Assessment (“ESIA”) and review process. All mining projects located in the JBNQA territory are subject to the Environment Quality Act (“EQA”) and the JBNQA. Since the processing rate of the Plant exceeds 2,000 tpd, the processing plant will be subject to the Quebec provincial southern permitting regime requiring that consultation on the project is done by the Bureau des audiences publiques sur l’environnement (“BAPE”). The Project is subject to a federal EA, triggered by construction and operation of a new gold mine, other than a placer mine, with an ore production capacity of 600 tpd or more.

Environmental baseline data collection has been initiated for the two mine site areas and the plant site. All the collected baseline data will inform the ESIA, which is currently underway. The environmental baseline studies will also support the on-going permitting process and the future permit applications, once the EA approvals have been received.

In addition to provincial and federal EA approvals, the Project will require several approvals, permits and authorizations prior to start-up and throughout all stages of the Project. Requests for these approvals will be initiated following the receipt of the EA approvals. The Project must also comply with any other terms and conditions associated with the authorization issued by the provincial and federal regulations.

A closure and rehabilitation plan for the sites has been developed in accordance with the Mining Act of Québec. Sites restoration costs were estimated at $58.8 million, less $18.3 million of equipment salvage value, resulting in a restoration cost (net of salvage value) of $40.6M. The sites restoration cost estimate for the Windfall Project is based on returning the site to a satisfactory state that mainly includes eliminating all unacceptable risks to the health and the safety of persons, dismantling of the buildings and infrastructure erected for the operations of the mines and processing plant, the restoration of the tailings management facilities and waste rock stockpiles. This cost estimate includes the cost of sites restoration as well as post-closure monitoring. In accordance with the regulations, the Corporation intends to post a bond as a guarantee for the sites restorations cost.

Stakeholder engagement

 

Osisko has taken a proactive approach toward stakeholder consultation, holding more than 70 meetings since 2015. Three First Nation communities have a potential interest in the Windfall Lake and Osborne Bell: the Cree First Nation of Waswanipi, the Lac-Simon Anishinabeg First Nation and the Atikamekw First Nation of Obedjiwan. The communities of Lebel-sur-Quévillon, Senneterre and Chibougamau are also in close proximity to the project. Consultation on the project with Aboriginal and non-Aboriginal communities was initiated in 2015 and has continued with frequent notifications on project activities, meetings, open house presentations and employment and contracting opportunities.

 

Concerns raised by communities include land disturbance, water quality, impacts to wildlife and the cumulative effects of all projects in the area. Osisko is committed to continuing the dialogue with potentially affected communities through the environmental assessment process.

 

Both the Aboriginal and non-Aboriginal communities have expressed strong support for the project. Their main interest in the project is to maximize the economic benefits for local communities – specifically with a focus on employment and entrepreneurial opportunities throughout the phases of the project. In 2017 approximately 80 First Nations’ community members worked at the Windfall site and Osisko spent over $20 Million dollars in the purchase of goods and services from First Nations and local suppliers and contractors.

 

Royalties

 

A 2.5% NSR on all metals produced from the Windfall Project has been applied. There is no royalty on the Osborne-Bell deposit.

 

Notes

(1) Mineral Resource Estimates notes for Windfall Lake Deposit

  1. The independent qualified person for the 2018 MRE, as defined by NI 43 101, is Judith St-Laurent, P. Geo, of InnovExplo Inc. The effective date of the estimate is May 5, 2018.
  2. The Windfall mineral resource estimate is compliant with CIM standards and guidelines for reporting mineral resources and reserves.
  3. Resources are presented undiluted and in situ and are considered to have reasonable prospects for economic extraction.
  4. The mineral resource estimate encompasses a total of 124 tabular, subvertical gold-bearing domains each defined by individual wireframes with a minimum true thickness of 2.0 m.
  5. Samples were composited within the mineralization domains into 2.0 m length composites. A value of zero grade was applied in cases of core not assayed.
  6. High grade capping was done on composite data, and established using a statistical analysis on a per-zone basis for gold. Capping varied from 15 g/t Au to 75 g/t Au and was applied using a four-step capping strategy where capping values decreased as interpolation distances increased.
  7. Density values were applied on the following lithological basis (t/m3): mafic volcanic host rocks varied from 2.78 to 2.86; felsic volcanic host rocks varied from 2.76 to 2.77; porphyries varied from 2.70 to 2.83.
  8. OK based interpolation was used for the estimation of all zones of the Windfall gold deposit except for the Underdog zone where an ID2 interpolation was preferred due to the larger drill spacing and smaller density of drill holes informing the mineralization wireframes. All estimates are based on a block dimension of 5 m NE, 2 m NW and 5 m height and estimation parameters determined by variography.
  9. Estimates use metric units (metre, tonne and g/t). Metal contents are presented in troy ounce (metric tonne x grade / 31.10348).
  10. InnovExplo is not aware of any known environmental, permitting, legal, title-related, taxation, socio-political or marketing issues, or any other relevant issue not reported in the technical report, that could materially affect the mineral resource estimate.
  11. These mineral resources are not mineral reserves as they do not have demonstrated economic viability. The quantity and grade of reported Inferred resources in this MRE are uncertain in nature and there has been insufficient exploration to define these Inferred resources as Indicated or Measured, and it is uncertain if further exploration will result in upgrading them to these categories.
  12. The number of metric tons and ounces was rounded to the nearest unit. Any discrepancies in the totals are due to rounding effects; rounding followed the recommendations in Form 43 101F1.

 

(2) Mineral Resource Estimates notes for Osborne-Bell Deposit

  1. The independent and qualified person for the mineral resource estimate, as defined by NI 43‑101, is Pierre-Luc Richard, P.Geo. (BBA), and the effective date of the estimate is March 2, 2018.
  2. These mineral resources are not mineral reserves as they do not have demonstrated economic viability. The quantity and grade of reported Inferred resources in this MRE are uncertain in nature and there has been insufficient exploration to define these Inferred resources as Indicated or Measured, and it is uncertain if further exploration will result in upgrading them to these categories.
  3. Resources are presented undiluted and in situ for an underground scenario and are considered to have reasonable prospects for economic extraction.
  4. The estimate encompasses nine gold-bearing zones each defined by individual wireframes with a minimum true thickness of 2 m.
  5. High-grade capping was done on composite data and established on a per zone basis for gold. It varies from 25 g/t to 55 g/t.
  6. Density values were applied on the following lithological basis (g/cm3): volcanic rocks = 2.80; late barren dikes and Beehler stock = 2.78; Zebra felsic unit = 2.72.
  7. Grade model resource estimation was evaluated from drill hole data using an Ordinary Kriging interpolation method on a block model using a block size of 2.5 m x 2.5 m x 2.5 m.
  8. The estimate is reported at 3.00 g/t Au cut-off. The cut-off grade was calculated using the following parameters: mining cost = CAD80; processing cost = CAD40; G&A = CAD10; gold price = USD1,300/oz; CAD:USD exchange rate = 1.29 (1-year trailing average). The cut-off grade should be re-evaluated in light of future prevailing market conditions (metal prices, exchange rate, mining cost, etc.).
  9. The mineral resource estimate presented herein is categorized as inferred mineral resource. The inferred mineral resource category is only defined within the areas where drill spacing is less than 100 m and shows reasonable geological and grade continuity.
  10. The mineral resource estimate was prepared using GEOVIA GEMS 6.8. The estimate is based on 931 surface DDH. A minimum true thickness of 2.0 m was applied, using the grade of the adjacent material when assayed, or a value of zero when not assayed.
  11. Calculations used metric units (metre, tonne, gram per tonne). Metal contents are presented in troy ounces (tonne x grade / 31.10348).
  12. The number of metric tons was rounded to the nearest thousand. Any discrepancies in the totals are due to rounding errors.
  13. CIM definitions and guidelines for mineral resources have been followed.
  14. The author is not aware of any known environmental, permitting, legal, title-related, taxation, socio-political or marketing issues, or any other relevant issue not reported in this Technical Report, that could materially affect the mineral resource estimate.

 

Independent Qualified Persons

This PEA was prepared for Osisko by BBA Inc and other industry consultants, all Qualitied Persons (QP) under National Instrument 43-101. The QPs have reviewed and approved the content of this press release. Independent QPs include:

  • Colin Hardie, P.Eng., Jorge Torrealba, P.Eng., Pierre-Luc Richard, P. Geo. (BBA)
  • Patrick Frenette, P.Eng., Judith St-Laurent, P. Geo. (InnovExplo)
  • Anne-Marie Dagenais, P. Eng., Michael BrattyP. Eng., Paul Palmer, P. Eng. (Golder)
  • Eric Poirier, P. Eng., Simon Latulippe, P.Eng. (WSP)
  • Luc Gaulin, P. Eng. (SNC-Lavalin Stavibel)

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition. exploration. and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in northeast Ontario, including the Jonpol and Garrcon deposits on the Garrison property. The Corporation also holds interests and options in a number of additional properties in northern Quebec and Ontario. 

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 as at the date of this news release. The information in this news release about the Windfall gold deposit being one of the highest grade resource-stage gold projects in Canada; the current 800,000 metre drill program; the significance of new results from the ongoing drill program at the Windfall gold project; the significance of assay results presented in this press release; the type of drilling included in the drill program (definition. expansion and exploration drilling in and around the main Windfall gold deposit and the adjacent Lynx deposit, and exploration drilling on the greater deposit and Urban-Barry project area); potential mineralization; the potential to extend mineralization up and down-plunge and at depth at the Windfall gold deposit; the ability to realize upon any mineralization in a manner that is economic; the ability to complete any proposed exploration activities and the results of such activities, including the continuity or extension of any mineralization; 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 performance (often but not always using phrases such as “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 actions, 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 was made, involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Osisko to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management’s geological modelling; the ability of Osisko to complete further exploration activities, including drilling; property interests in the Windfall gold project; the ability of the Corporation to obtain required approvals and complete transactions on terms announced; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

 

For further information please contact:
John Burzynski. President and Chief Executive Officer
Telephone: (416) 363-8653

 

OSISKO DEEP DRILLING GOLD DISCOVERY AT WINDFALL NEW WIDE HIGH-GRADE TRIPLE 8 ZONE 20.4 g/t Au over 28.3 Metres Including 44.5 g/t over 10.0 Metres, 81.1 g/t over 4.0 Metres

(Toronto, July 11, 2018)  Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) is pleased to announce the discovery of a new wide zone of high-grade gold mineralization at depth, at its 100% owned Windfall Lake gold project located in the Abitibi greenstone belt, Urban Township, Eeyou Istchee James Bay, Québec.

 

In May 2018 Osisko commenced two deep exploration drill holes (“Deep Underdog” and “Deep Lynx”) to investigate the potential for depth extensions of the Lynx and Underdog mineralized zones, as well as to further test the intrusion-related geological model for the Windfall deposit.  Both holes are still in progress and are advancing towards their primary targets in the outer shell of the porphyry intrusion, at depths of approximately 2500 metres from surface.

 

The new “Triple 8 Zone”, open in all directions, was discovered in the Deep Underdog hole, DDH OSK-W-18-1603.  Triple 8 is an unanticipated zone of mineralization intersected at approximately 1500 metres downhole, in the planned 2500 metre deep hole.  Triple 8 does not correlate with any known zone and is approximately 660 metres east from the closest known mineralized intercept in the Underdog Zone.  Maps and sections showing the location of the drill hole and the new mineralized zone are provided on the Corporation’s website.  The new discovery zone falls well outside the area of the recently announced mineral resource estimate for the Windfall gold deposit (see Osisko news release dated May 14th, 2018:  “Osisko Releases Its First Mineral Resource for the Windfall Gold Deposit”).

 

Osisko President and CEO John Burzynski commented:  “This spectacular new discovery is further proof of concept that the Windfall mineralized system has the potential for world-class grade and scale.  This deep hole confirms management’s view that there is significant high-grade gold mineralization at depth, and it underscores what our geological model has been indicating from the beginning:  there is a lot of room for Windfall to grow.  We are beginning to see increasing intensity in the key alteration and sulfide mineralization as we progress deeper towards what we believe may be the main mineralized centre of the intrusive system.  The Triple 8 Zone is over 600 metres distant from any previously known intersection of gold mineralization at Windfall.  The original target for this hole is the down-plunge depth extension of the Underdog Zone, which we continue to drill towards a further 750 metres downhole.  We believe we have a tiger by the tail.”

 

The Triple 8 Zone appears to be sub-vertical and was encountered between 1491.3 meters to 1519.6 metres downhole, at a vertical depth of 1025 metres. True thickness is estimated at 20 metres. Mineralization consists of up to 30% disseminated pyrite and pyrite stringers with local visible gold. The mineralization is hosted in altered andesite, with locally pervasive grey silicification and sericitization.  Triple 8 is followed by 9 metres (downhole) of chlorite-biotite and garnet alteration, a higher-temperature alteration assemblage than what has been encountered in mineralized zones at Windfall to date.  This appears to be a new style of mineralization at Windfall, as mineralizing fluids followed flow contacts inside the andesite host rather than felsic intrusive contacts (no intrusion is directly associated with this Triple 8 intersection). The zone also contains minor, chalcopyrite, pyrrhotite, arsenopyrite and anomalous molybdenum and zinc values.  A number of mineralized sub-zones were also encountered in the hanging wall and the footwall of the new mineralized zone, with assays pending.

 

Today’s results include the currently available significant analytical results from the new discovery zone only, as the drill hole is still in progress.  Maps showing the drill hole location and analytical results are available at www.osiskomining.com.

 

Hole No. From

(m)

To

(m)

Interval

(m)

Au (g/t)

uncut

Au (g/t)

cut to

100 g/t

Mineralized Area
OSK-W-18-1603 1491.3 1519.6 28.3 20.4 17.7 Triple 8
including 1501.0 1511.0 10.0 44.5 36.9
including 1501.0 1505.0 4.0 81.1 62.0
   
individual interval 1491.3 1492.0 0.7 4.29   Triple 8
  1492.0 1492.6 0.6 63.1  
  1492.6 1493.6 1.0 1.69  
  1493.6 1494.2 0.6 9.08  
  1494.2 1495.0 0.8 2.25  
  1495.0 1496.0 1.0 4.33  
  1496.0 1497.0 1.0 11.7  
  1497.0 1498.0 1.0 1.90  
  1498.0 1499.0 1.0 3.06  
  1499.0 1500.0 1.0 2.54  
  1500.0 1501.0 1.0 4.28  
  1501.0 1501.5 0.5 43.5  
  1501.5 1502.0 0.5 15.5  
  1502.0 1502.9 0.9 83.4  
  1502.9 1503.5 0.6 227 100
  1503.5 1504.5 1.0 42.5  
  1504.5 1505.0 0.5 82.1  
  1505.0 1505.8 0.8 16.2  
  1505.8 1506.3 0.5 52.9  
  1506.3 1507.2 0.9 4.13  
  1507.2 1507.9 0.7 19.4  
  1507.9 1508.5 0.6 19.2  
  1508.5 1509.4 0.9 7.16  
  1509.4 1510.1 0.7 8.90  
  1510.1 1510.4 0.3 100 100
  1510.4 1511.0 0.6 15.9  
  1511.0 1511.8 0.8 5.87  
  1511.8 1512.6 0.8 5.50  
  1512.6 1513.6 1.0 9.11  
  1513.6 1514.3 0.7 9.03  
  1514.3 1514.8 0.5 3.21  
  1514.8 1515.1 0.3 9.08  
  1515.1 1515.8 0.7 6.29  
  1515.8 1516.4 0.6 6.30  
  1516.4 1516.9 0.5 5.11  
  1516.9 1518.2 1.3 6.88  
  1518.2 1518.6 0.4 5.08  
  1518.6 1519.6 1.0 4.75  

 

Notes:  True widths are estimated at 65 – 80% of the reported core length interval.  See “Quality Control” below.

 

 

Hole Number Azimuth (°) Dip (°) Length (m) UTM E UTM N Section
OSK-W-18-1603 35 -80 In Progress 453340 5434543 3275

 

 

OSK-W-18-1603 Mineralization is hosted in a pervasive altered andesite and is subdivided into two distinct intervals. The first interval from 1491.3 metres to 1501.0 metres contains up to 10% disseminated pyrite and stringers, 1% pyrrhotite in nodules, trace chalcopyrite replacing pyrite and local trace arsenopyrite.  In the second interval mineralization is hosted in strong pervasive silica alteration and moderate sericite alteration, containing up to 30% pyrite stringers, up to 8% disseminated pyrite, pyrrhotite patches, trace chalcopyrite and local visible gold occurs within the silica alteration and as fracture filling.

 

Qualified Person

The scientific and technical content of this news release has been reviewed, prepared and approved by Mr. Louis Grenier, M.Sc.A., P.Geo. (OGQ 800), Project Manager of the Windfall Lake gold project, who is a “qualified person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

 

Quality Control and Reporting Protocols

True width determination for the Triple 8 Zone is currently undetermined but is estimated at 65-80% of the reported core length interval. Assays are uncut except where indicated. Intercepts occur within geological confines of a major zone but have not been correlated to individual vein domain at this time. All NQ core assays reported were obtained by either 1-kilogram screen fire assay or standard 50-gram fire-assaying-AA finish or gravimetric finish at (i) ALS Laboratories in Val d’Or, Québec, Thunder Bay, Ontario, Sudbury, Ontario or Vancouver, British Colombia, or (ii) Bureau Veritas in Timmins, Ontario. The 1-kilogram screen assay method is selected by the geologist when samples contain coarse gold or present a higher percentage of pyrite than surrounding intervals. Selected samples are also analyzed for multi-elements, including silver, using an Aqua Regia-ICP-AES method at ALS Laboratories. Drill program design, Quality Assurance/Quality Control (“QA/QC”) and interpretation of results are performed by a “qualified person” employing a QA/QC program consistent with NI 43-101 and industry best practices. Standards and blanks are included with every 20 samples for QA/QC purposes by the Corporation as well as the lab. Approximately 5% of sample pulps are sent to secondary laboratories for check assay.

 

About the Windfall Lake Gold Deposit

The Windfall Lake gold deposit is located between Val-d’Or and Chibougamau in the Abitibi region of Québec, Canada. The mineral resource defined by Osisko comprises 2,382,000 tonnes at 7.85 g/t Au (601,000 ounces) in the indicated category and 10,605,000 tonnes at 6.70 g/t Au (2,284,000 ounces) in the inferred category. See the technical report, entitled “Technical Report and Mineral Resource Estimate for the Windfall Lake Project, Windfall Lake and Urban-Barry Properties” and dated June 12, 2018 (effective date of May 14, 2018), which has been prepared by InnovExplo Inc. from Vald’Or, Québec, and is available on SEDAR (www.sedar.com) under Osisko’s issuer profile. The Windfall Lake gold deposit is currently one of the highest grade resource-stage gold projects in Canada. Mineralization occurs in four principal zones: Lynx, Zone 27, Caribou, and Underdog. All zones comprise sub-vertical lenses following intrusive porphyry contacts plunging to the northeast. The deposit is well defined from surface to a depth of 900 metres and remains open along strike and at depth. Mineralization has been identified only 30 metres from surface in some areas and as deep as 1,200 metres in others, with significant potential to extend mineralization down-plunge and at depth.

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall Lake gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in 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 in a number of additional properties in northern Quebec and Ontario.

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 as at the date of this news release. The information in this news release about the Windfall Lake gold deposit being one of the highest grade resource-stage gold projects in Canada; the discovery, grade, mineralization and potential of the Triple 8 Zone, if any; the significance of the deep exploration drill holes, if any; the progress of the two deep drill holes; the openness of the Triple 8 Zone; the correlation with the Triple 8 Zone with any known zone; the significance of management’s geological modelling and interpretation of interim drill results; the significance of new results from the ongoing drill program at the Windfall Lake gold project; the significance of assay results presented in this news release; the type of drilling included in the drill program (definition, expansion and exploration drilling in and around the main Windfall Lake gold deposit and the adjacent Lynx deposit, and exploration drilling on the greater deposit and Urban-Barry project area); potential mineralization; the potential to extend mineralization up and down-plunge and at depth at the Windfall Lake gold deposit; the ability to realize upon any mineralization in a manner that is economic; the ability to complete any proposed exploration activities and the results of such activities, including the continuity or extension of any mineralization; 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 performance (often but not always using phrases such as “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 actions, 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. While this forward-looking information is based on reasonable assumptions and estimates of management as of the date hereof, such forward-looking information inherently involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Osisko to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management’s geological modelling; the ability of Osisko to complete further exploration activities, including drilling; property interests in the Windfall Lake gold project; the ability of the Corporation to obtain required approvals and complete transactions on terms announced; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

 

For further information please contact:

John Burzynski. President and Chief Executive Officer

Telephone: (416) 363-8653

 

OSISKO MINING ANNOUNCES RESULTS OF ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS

Toronto, Ontario (June 29, 2018) – Osisko Mining Inc. (TSX:OSK) (the “Corporation“) is pleased to announce the results of its annual and special meeting of shareholders (the “Meeting“) held earlier today.

A total of 153,895,912 common shares of the Corporation were represented at the Meeting, representing approximately 74.02% of the total number of common shares of the Corporation issued and outstanding.

All matters presented for approval at the Meeting were duly authorized and approved, as follows:

  1. election of all seven management nominees to the board of directors of the Corporation;
  2. appointment of PricewaterhouseCoopers LLP as auditors of the Corporation for the ensuing year and authorization of the directors to fix their remuneration;
  3. approval of new general By-Law No. 1 of the Corporation concerning, among other things, certain governance and advance notice provisions, and repeal the former By-law No. 1 of the Corporation; and
  4. approval of the Stock Option Plan of the Corporation and the unallocated rights, options and other entitlements thereunder.

Detailed voting results regarding the election of directors are as follows:

Name Voted For
(#)
Voted For
(%)
Voted Withhold
(#)
Voted Withhold
(%)
John Burzynski 122,333,644 82.45% 26,044,997 17.55%
Jose Vizquerra 122,260,450 82.40% 26,118,191 17.60%
Sean Roosen 123,540,551 82.26% 26,643,390 17.74%
Patrick F.N. Anderson 129,469,156 86.20% 20,719,297 13.80%
Keith McKay 131,140,228 87.32% 19,048,225 12.68%
Amy Satov 113,304,851 85.44% 19,301,492 14.56%
Bernardo Alvarez Calderon 131,083,885 87.28% 19,104,568 12.72%

Further details on the above matters, including the report of voting results thereon, are set out in the Corporation meeting materials, which are available on SEDAR under the issuer profile of the Corporation at www.sedar.com.

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall Lake gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in 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 in a number of additional properties in northern Québec and Ontario. Osisko continues to be well financed with approximately $150 million in cash and investments as of March 31, 2018.

For further information on the Corporation please contact:

John Burzynski
President & Chief Executive Officer
Tel: (416) 848-9504

ANNUAL AND SPECIAL MEETING OF SHAREHOLDERS of OSISKO MINING INC. (the “Corporation”)

June 29, 2017
REPORT OF VOTING RESULTS
National Instrument 51-102 – Continuous Disclosure Obligations(Section 11.3)

MATTERS VOTED UPON
    Vote By Show of Hands:
  Outcome of Vote Votes For Votes Withheld
  1.  The appointment of PricewaterhouseCoopers LLP, as auditor of the Corporation for the ensuing year and authorizing the directors to fix their remuneration
Carried 153,668,890 (99.87%) 201,440 (0.13%)
Votes By Ballot:
Outcome of Vote Votes For Votes Withheld
  1. The election of the following nominees as directors of the Corporation for the ensuing year or until their successors are duly elected or appointed:
John Burzynski Elected 122,333,644 (82.45%) 26,044,997 (17.55%)
Jose Vizquerra Elected 122,260,450 (82.40%) 26,118,191 (17.60%)
Sean Roosen Elected 123,540,551 (82.26%) 26,643,390 (17.74%)
Patrick F.N. Anderson Elected 129,469,156 (86.20%) 20,719,297 (13.80%)
Keith McKay Elected 131,140,228 (87.32%) 19,048,225 (12.68%)
Amy Satov Elected 113,304,851 (85.44%) 19,301,492 (14.56%)
Bernardo Alvarez Calderon Elected 131,083,885 (87.28%) 19,104,568 (12.72%)
  Vote By Show of Hands:
  Outcome of Vote Votes For Votes Against
  1. The approval of new general By-Law No. 1 of the Corporation concerning, among other things, certain governance and advance notice provisions, and  repeal the former By-Law No. 1 of the Corporation
Carried 148,874,517 (99.14%) 1,288,354 (0.86%)
  Vote By Ballot:
  Outcome of Vote Votes For Votes Against
  1. The approval of the stock option plan of the Corporation and the unallocated rights, options and other entitlements thereunder
Carried 104,515,061 (69.59%) 45,673,392 (30.41%)

 

Osisko Mining Announces Additional Corporate Governance Changes in Advance of Upcoming Shareholders’ Meeting

TORONTO, June 24, 2018 (GLOBE NEWSWIRE) — Osisko Mining Inc (TSX:OSK) (“Osisko” or the “Corporation”) today announces

certain additional corporate governance changes on account of recommendations made by Institutional Shareholder Services and Glass, Lewis & Co. in the course of their review of the matters to be voted on at the upcoming annual and special meeting of shareholders of Osisko to be held on June 29, 2018 (the “Meeting”).

Election of Directors

The policies of Institutional Shareholder Services require the board of directors of Osisko to be comprised of a majority of non-independent directors, applying their criteria of non-independence. As such, the following three directors, who are considered by Institutional Shareholder Services to be non-independent, will not be standing for re-election at the Meeting: Mr. Robert Wares, Mr. Murray John and Mr. David Christie. These three individuals will form part of a scientific, technical and financial advisory committee to provide ongoing services to the board of directors of Osisko. Mr. Robert Wares will continue in his role with the Corporation as Executive Vice-President of Exploration and Resource Development.

At the Meeting, shareholders of Osisko will be asked to vote FOR the following seven directors, the majority of which are considered to be independent by Institutional Shareholder Services and Glass, Lewis & Co.: Mr. John Burzynski, Mr. José Vizquerra, Mr. Sean Roosen, Mr. Patrick F.N. Anderson, Mr. Keith McKay, Ms. Amy Satov and Mr. Bernardo Alvarez Calderon.

The lead independent director after the Meeting is anticipated to be Mr. Patrick F.N. Anderson.

Shareholders are encouraged to vote well in advance of the proxy voting deadline at 10:00 a.m. (Toronto Time) on June 27, 2018.

CONTACT INFORMATION:
John Burzynski
President & Chief Executive Officer
(416) 363-8653

Shareholders who have questions or have not received their proxy or voting instruction form may contact the Corporation’s Proxy
Solicitation Agent:

Laurel Hill Advisory Group
Toll free: 1-877-452-7184 or 416-304-0211 (Collect outside North America)
Email: assistance@laurelhill.com

Osisko Mining Announces Corporate Governance Changes in Advance of Upcoming Shareholders’ Meeting

TORONTO, June 22, 2018 (GLOBE NEWSWIRE) — Osisko Mining Inc. (TSX:OSK) (“Osisko” or the “Corporation”) today announces certain corporate governance changes on account of recommendations made by Institutional Shareholder Services in the course of their review of the matters to be voted on at the upcoming annual and special meeting of shareholders of Osisko to be held on June 29, 2018 (the “Meeting”).

In particular, the stock option plan of the Corporation (the “Stock Option Plan”) and certain other equity incentive amendments are being made or clarified as follows:

  • All awards under the Stock Option Plan (and all other forms of equity compensation) are subject to Osisko’s “Policy on Recoupment of Incentive Compensation” adopted on April 27, 2017 (the “Clawback Policy”). The Clawback Policy has no restrictions relating to when awards were granted. The full text of the Clawback Policy is available for review by shareholders on Corporation’s website at https://www.osiskomining.com/.
  • Consistent with evolving corporate governance best practices in Canada, the 500,000 options awarded to Mr. John Burzynski, Chief Executive Officer of Osisko, on January 11, 2018, with an exercise price of $3.46, have been amended to vest in equal tranches over a five-year period. These 500,000 options were scheduled to vest (or, in part, have vested) in three equal tranches on January 11, 2018, 2019 and 2020, and have been amended to vest in five equal tranches on January 11, 2019, 2020, 2021, 2022 and 2023.
  • Consistent with seeking greater alignment between stock performance and Chief Executive Officer total compensation, Mr. Burzynski, Chief Executive Officer of Osisko, is being awarded 25,000 restricted share units in consideration of the option amendments described above. These 25,000 restricted share units cliff vest after three years, and are subject to the achievement of performance-based criteria relating to asset development, financial performance, shareholder returns and sustainability.

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 as at the date of this news release. Any statement that involves predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or performance (often, but not always, using phrases such as “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 actions, 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. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

CONTACT INFORMATION:
John Burzynski
President & Chief Executive Officer
(416) 363-8653

Shareholders who have questions or have not received their proxy or voting instruction form may contact the Corporation’s Proxy Solicitation Agent:

Laurel Hill Advisory Group
Toll free: 1-877-452-7184 or 416-304-0211 (Collect outside North America)
Email: assistance@laurelhill.com

OSISKO FILES NI 43-101 TECHNICAL REPORT FOR ITS MINERAL RESOURCE ESTIMATE ON THE WINDFALL LAKE PROJECT

(Toronto, June 12, 2018) Osisko Mining Inc. (OSK:TSX, “Osisko” or the “Corporation”) announces the filing of an independent technical report in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) on its 100% owned Windfall gold deposit, located in the Abitibi greenstone belt, Urban Township, Eeyou Istchee James Bay, Québec. The technical report, titled “Technical Report and Mineral Resource Estimate for the Windfall Lake Project, Windfall Lake and Urban-Barry Properties” and dated June 12, 2018 (effective date of May 14, 2018), has been prepared by InnovExplo Inc. from Val-d’Or, Québec, and is available on SEDAR (www.sedar.com) under Osisko’s issuer profile.

 

About the Windfall Lake Gold Deposit

The Windfall Lake gold deposit is located between Val-d’Or and Chibougamau in the Abitibi region of Québec, Canada. The mineral resource defined by Osisko comprises 2,382,000 tonnes at 7.85 g/t Au (601,000 ounces) in the indicated mineral resource category and 10,605,000 tonnes at 6.70 g/t Au (2,284,000 ounces) in the inferred mineral resource category. The Windfall Lake gold deposit is currently one of the highest grade resource-stage gold projects in Canada. Mineralization occurs in four principal zones: Lynx, Zone 27, Caribou, and Underdog. All zones comprise sub-vertical lenses following intrusive porphyry contacts plunging to the northeast. The deposit is well defined from surface to a depth of 900 metres and remains open along strike and at depth. Mineralization has been identified only 30 metres from surface in some areas and as deep as 1,200 metres in others, with significant potential to extend mineralization down-plunge and at depth.

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall Lake gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in 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 in a number of additional properties in northern Québec and Ontario.  Osisko continues to be well financed with approximately $150 million in cash and investments as of March 31, 2018.

 

Qualified Person
The scientific and technical content in this press release has been reviewed and approved by Mr. Mathieu Savard, P.Geo (OGQ #510), Vice President Exploration (Québec) of Osisko, who is a “qualified person” within the meaning of NI 43-101.

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 as at the date of this news release. The information in this news release about the Windfall Lake gold deposit being one of the highest grade resource-stage gold projects in Canada; the significance of the mineral resource estimate published by the Corporation on May 14, 2018 in respect of the Windfall Lake gold deposit; the significance of new results from the ongoing drill program at the Windfall Lake gold project; the type of drilling included in the drill program (definition, expansion and exploration drilling in and around the main Windfall Lake gold deposit and the adjacent Lynx deposit, and exploration drilling on the greater deposit and Urban-Barry project area); potential mineralization; the potential to extend mineralization up and down-plunge and at depth at the Windfall Lake gold deposit; the ability to realize upon any mineralization in a manner that is economic; the ability to complete any proposed exploration activities and the results of such activities, including the continuity or extension of any mineralization; 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 performance (often but not always using phrases such as “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 actions, 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 was made, involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Osisko to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management’s geological modelling; the ability of Osisko to complete further exploration activities, including drilling; property interests in the Windfall Lake gold project; the ability of the Corporation to obtain required approvals and complete transactions on terms announced; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

 

For further information please contact:

John Burzynski. President and Chief Executive Officer

Telephone: (416) 363-8653

OSISKO INTERSECTS 20.0 g/t Au OVER 8.7 METRES AT WINDFALL

High-Grade Infill Hits in Underdog and Zone 27 and 14.4 g/t Au over 11.1 metres in Bobcat

(Toronto, June 12, 2018)  Osisko Mining Inc. (OSK:TSX. “Osisko” or the “Corporation”) is pleased to provide new results from the ongoing drill program at its 100% owned Windfall Lake gold project located in the Abitibi greenstone belt, Urban Township, Eeyou Istchee James Bay, Québec. The 800,000 metre drill program commenced in late 2015 is now focussed on infill drilling within the main Windfall gold deposit and the adjacent Lynx deposit (located immediately NE of Windfall).  Exploration and expansion drilling is also continuing at Windfall with several deep holes in progress to investigate the down-plunge areas in and around the Underdog and Lynx zones.

 

Today’s results include significant new analytical results from 74 intercepts in 35 drill holes and 8 wedges focused on infill drilling in the Windfall deposit are presented below.

 

Highlights from the new results include: 20.0 g/t Au over 8.7 metres  and 22.5 g/t Au over 4.6 metres in OSK-W-18-747-W1; 14.4 g/t Au over 11.1 metres in OSK-W-18-1472; 69.6 g/t Au over 2.0 metres in OSK-W-17-903; 19.3 g/t Au over 5.9 metres in OSK-W-18-1532; 19.0 g/t Au over 5.9 metres in OSK-W-17-1184; 10.8 g/t Au over 9.1 metres in OSK-W-17-1125-W3; 19.6 g/t Au over 4.0 metres in OSK-W-18-1336-W2. Maps showing hole locations and full analytical results are available at www.osiskomining.com.

 

Hole No. From (m) To (m) Interval (m) Au (g/t) uncut Au (g/t) cut to 100 g/t Mineralized Area
OSK-EAG-12-314 836.7 838.8 2.1 4.60 Underdog
OSK-EAG-13-477 805.9 808.0 2.1 9.19 Underdog
including 806.0 807.0 1.0 19.1
  1058.0 1066.0 8.0 9.31 Underdog
including 1060.0 1060.7 0.7 24.3
and 1065.0 1066.0 1.0 37.1
OSK-W-17-778 1221.0 1223.8 2.8 4.52 Underdog
  1232.0 1234.5 2.5 11.3 Underdog
including 1234.0 1234.5 0.5 55.2
  1322.0 1324.3 2.3 9.61 Underdog
including 1323.0 1323.6 0.6 34.1
OSK-W-17-903 554.0 556.0 2.0 69.6 35.6 Zone 27
including 554.9 555.6 0.7 197 100
OSK-W-17-1056 35.0 37.0 2.0 35.5 20.4 Zone 27
including 35.0 35.4 0.4 176 100
OSK-W-17-1125-W3 486.0 495.1 9.1 10.8 Caribou
including 489.0 489.4 0.4 100
OSK-W-17-1184 113.8 119.7 5.9 19.0 15.1 Zone 27
including 116.4 117.0 0.6 139 100
OSK-W-17-1202 849.3 855.0 5.7 10.1 Zone 27
OSK-W-17-1239 390.0 392.0 2.0 33.2 29.5 Zone 27
including 390.0 390.5 0.5 115 100
OSK-W-18-747-W1 666.2 669.8 3.6 4.75 Underdog
  683.0 685.0 2.0 12.2 Underdog
including 683.0 683.6 0.6 24.2
  714.0 716.2 2.2 7.64 Underdog
  721.3 730.0 8.7 20.0 19.7 Underdog
including 725.9 728.0 2.1 64.4 63.1
including 726.5 727.1 0.6 105 100
  819.0 821.0 2.0 11.9 Underdog
including 819.0 820.0 1.0 23.8
  932.0 936.6 4.6 22.5 20.6 Underdog
including 932.0 933.2 1.2 78.9 71.7
OSK-W-18-762-W1 902.0 904.5 2.5 8.70 Underdog
including 904.0 904.5 0.5 19.9
OSK-W-18-1066-W1 683.9 685.8 1.9 26.0 Underdog
including 683.9 684.6 0.7 70.4
  760.0 762.0 2.0 6.6 Underdog
including 760.0 761.0 1.0 13.0
  769.0 774.0 5.0 4.79 Underdog
including 769.0 770.0 1.0 16.1
OSK-W-18-1336-W2 1132.0 1136.0 4.0 19.6 13.6 Underdog
including 1134.7 1135.1 0.4 160 100
OSK-W-18-1402-W3 954.0 956.0 2.0 4.03 Underdog
  1144.0 1146.0 2.0 6.57 Underdog
including 1145.2 1145.6 0.4 30.6
OSK-W-18-1430-W1 1103.0 1105.0 2.0 26.0 20.4 Underdog
including 1104.0 1104.4 0.4 128 100
OSK-W-18-1431-W2 854.4 856.5 2.1 11.3 Underdog
including 854.9 855.5 0.6 37.8
OSK-W-18-1434 752.0 754.0 2.0 4.76 Underdog
including 752.7 753.3 0.6 15.1
OSK-W-18-1448 324.0 326.0 2.0 6.89 Caribou
OSK-W-18-1449 48.4 51.2 2.8 3.71 Bobcat
OSK-W-18-1463 81.0 83.0 2.0 14.6 Zone 27
including 81.6 82.6 1.0 28.4
  101.8 112.2 10.4 3.24 Zone 27
including 101.8 102.5 0.7 17.3
OSK-W-18-1465 152.0 154.3 2.3 3.24 Bobcat
including 152.0 152.6 0.6 12.0
OSK-W-18-1466 129.2 131.2 2.0 4.26 Zone 27
including 130.7 131.2 0.5 14.3
OSK-W-18-1468 46.7 50.0 3.3 10.3 Caribou
including 47.2 47.5 0.3 27.2
OSK-W-18-1471 144.0 146.0 2.0 14.9  
OSK-W-18-1472 45.0 56.1 11.1 14.4 Bobcat
including 50.4 53.0 2.6 38.4
OSK-W-18-1473 46.7 49.6 2.9 11.9 Caribou
  373.0 375.3 2.3 3.87 Zone 27
OSK-W-18-1476 230.7 233.0 2.3 3.05 Zone 27
including 230.7 231.0 0.3 12.6
  251.0 253.0 2.0 6.38 Zone 27
including 252.0 252.4 0.4 30.1
OSK-W-18-1490 34.7 37.3 2.6 7.34 Bobcat
including 35.7 36.3 0.6 19.2
OSK-W-18-1494 110.4 112.4 2.0 14.8 Bobcat
including 110.9 111.6 0.7 36.5
  190.7 192.9 2.2 5.71 Bobcat
including 191.4 192.5 1.1 11.0
OSK-W-18-1497 288.0 295.0 7.0 10.0 Zone 27
including 292.0 292.8 0.8 46.9
305.0 311.0 6.0 8.53 Zone 27
including 310.4 311.0 0.6 42.3
OSK-W-18-1498 272.0 274.0 2.0 5.91 Zone 27
  351.0 353.0 2.0 3.58 Zone 27
OSK-W-18-1499 38.5 41.0 2.5 10.8 Caribou
including 38.5 39.0 0.5 39.8
  330.0 335.0 5.0 7.38 Zone 27
including 333.7 334.4 0.7 17.7
  336.5 338.6 2.1 3.02 Zone 27
OSK-W-18-1501 112.8 114.7 1.9 37.4 26.3 Bobcat
including 113.9 114.4 0.5 142 100
OSK-W-18-1505 78.9 81.0 2.1 17.0 Caribou
including 79.5 80.5 1.0 34.7
  88.0 90.4 2.4 4.50 Caribou
OSK-W-18-1506 208.9 211.0 2.1 6.11 Caribou
OSK-W-18-1509 47.7 53.3 5.6 4.27 Bobcat
including 51.5 51.9 0.4 28.6
  213.3 215.5 2.2 5.05 Bobcat
including 214.4 214.8 0.4 26.1
OSK-W-18-1510 360.2 362.4 2.2 4.81 Zone 27
OSK-W-18-1517 131.0 133.4 2.4 3.60 Caribou
  263.0 265.6 2.6 4.34 Zone 27
  290.0 292.0 2.0 5.72 Zone 27
OSK-W-18-1518 112.0 114.6 2.6 3.57 Caribou
  117.0 121.0 4.0 6.95 Caribou
including 118.7 120.0 1.3 11.4
  288.4 291.0 2.6 20.6 Caribou
including 288.4 289.0 0.6 86.1
  332.0 334.0 2.0 5.87 Zone 27
OSK-W-18-1526 329.0 331.0 2.0 7.32 Zone 27
including 330.0 331.0 1.0 14.4
  335.0 337.0 2.0 3.15 Zone 27
including 335.6 336.0 0.4 12.3
OSK-W-18-1532 85.0 87.0 2.0 15.7 Caribou
including 86.3 87.0 0.7 44.6
  177.3 179.7 2.4 19.7 13 Caribou
including 177.3 177.6 0.3 154 100
  271.0 273.1 2.1 3.19 Caribou
  357.7 363.6 5.9 19.3 11 Zone 27
including 358.2 358.7 0.5 198 100
OSK-W-18-1543 219.4 222.6 3.2 4.97 Zone 27
including 222.3 222.6 0.3 45.0
OSK-W-18-1552 260.0 262.0 2.0 7.31 Zone 27
including 260.0 261.0 1.0 14.1
  283.0 287.5 4.5 6.29 Zone 27
including 283.0 284.0 1.0 14.7

 

 

Notes:   True widths are estimated at 65 – 80% of the reported core length interval.  See “Quality Control” below.

 

 

 

Hole Number Azimuth (°) Dip (°) Length (m) UTM E UTM N Section
OSK-EAG-12-314 330 -59 1062 452534 5434589 2600
OSK-EAG-13-477 330 -61 1194 452401 5434431 2400
OSK-W-17-778 331 -58 1362 452689 5434338 2600
OSK-W-17-903 329 -56 801 452539 5434692 2650
OSK-W-17-1056 150 -46 120 452003 5434746 2225
OSK-W-17-1125-W3 331 -58 1086 452563 5434570 2625
OSK-W-17-1184 320 -51 210 452068 5434617 2200
OSK-W-17-1202 328 -52 932 452975 5434580 2975
OSK-W-17-1239 326 -53 939 452417 5434558 2475
OSK-W-18-747-W1 331 -57 1032 452449 5434488 2475
OSK-W-18-762-W1 332 -56 1299 452730 5434409 2675
OSK-W-18-1066-W1 332 -56 1137 452488 5434436 2475
OSK-W-18-1336-W2 335 -61 1193 452616 5434449 2600
OSK-W-18-1402-W3 330 -59 1182 452616 5434449 2600
OSK-W-18-1430-W1 339 -60 1125 452318 5434380 2300
OSK-W-18-1431-W2 337 -62 1140 452287 5434336 2250
OSK-W-18-1434 335 -55 1026 452452 5434496 2475
OSK-W-18-1448 333 -52 483 452688 5434808 2850
OSK-W-18-1449 145 -48 603 452901 5435120 3175
OSK-W-18-1463 161 -45 135 451928 5434746 2150
OSK-W-18-1465 330 -50 166 452661 5434807 2825
OSK-W-18-1466 345 -47 300 451979 5434531 2075
OSK-W-18-1468 328 -55 66 452250 5434593 2350
OSK-W-18-1471 146 -45 147 451896 5434763 2125
OSK-W-18-1472 146 -47 300 452626 5434902 2825
OSK-W-18-1473 329 -55 387 452250 5434593 2350
OSK-W-18-1476 334 -46 294 452015 5434501 2100
OSK-W-18-1490 334 -55 129 452750 5434857 2925
OSK-W-18-1494 332 -50 231 452834 5434895 3000
OSK-W-18-1497 331 -52 363 452350 5434664 2475
OSK-W-18-1498 323 -61 384 452234 5434594 2350
OSK-W-18-1499 326 -52 378 452312 5434630 2425
OSK-W-18-1501 140 -51 291 452919 5435023 3150
OSK-W-18-1505 328 -45 342 452350 5434661 2475
OSK-W-18-1506 329 -53 417 452366 5434643 2475
OSK-W-18-1509 329 -51 228 452907 5434997 3125
OSK-W-18-1510 325 -58 405 452279 5434572 2375
OSK-W-18-1517 330 -49 348 452385 5434672 2500
OSK-W-18-1518 330 -54 393 452266 5434569 2350
OSK-W-18-1526 330 -51 369 452297 5434598 2400
OSK-W-18-1532 328 -61 426 452271 5434610 2375
OSK-W-18-1543 327 -52 294 452251 5434639 2375
OSK-W-18-1552 332 -52 366 452308 5434640 2425

 

 

OSK-EAG-12-314 intersected 4.60 g/t Au over 2.1 metres in Underdog. Mineralization contains 5% pyrite and a clustered quartz vein with local visible gold within a fragmental porphyritic felsic unit with moderate sericitization.

 

OSK-EAG-13-477 intersected 9.19 g/t Au over 2.1 metres and 9.31 g/t Au over 8.0 metres in Underdog. The first interval is composed of 40% pyrite in pervasive silica flooding with tourmaline in a porphyritic felsic dike. The second interval is composed of up to 5% pyrite tourmaline stringers with 1% chalcopyrite at a sericitized and silicified contact between two porphyritic felsic dikes.

 

OSK-W-17-778 intersected 4.52 g/t Au over 2.8 metres, 11.3 g/t Au over 2.5 metres and 9.61 g/t Au over 2.3 metres in Underdog. Mineralization contains up to 3% pyrite stringers,10% pyrite in pervasive silica flooding and local visible gold. The host is a porphyritic felsic dike with moderate silica and sericite alteration.

 

OSK-W-17-903 intersected 69.6 g/t Au over 2.0 metres in Zone 27. Mineralization contains up to 10% pyrite stringers and 5% disseminated pyrite in a bleached andesite with moderate silica and sericite alteration.

 

OSK-W-17-1056 intersected 35.5 g/t Au over 2.0 metres in Zone 27. Mineralization contains 1% disseminated pyrite and quartz tourmaline veins in a slightly sericitized and silicified rhyolite.

 

OSK-W-17-1125-W3 intersected 10.8 g/t Au over 9.1 metres in Caribou.  Mineralization contains 5% pyrite stringers and 10% pyrite with pervasive silica flooding in a bleached felsic dike.

 

OSK-W-17-1184 intersected 19.0 g/t Au over 5.9 metres in Zone 27. Mineralization contains up to 13% pyrite stringers and clusters at the contact between a gabbro with strong fuchsite alteration and a sericitized porphyritic felsic dike.

 

OSK-W-17-1202 intersected 10.1 g/t Au over 5.7 metres in Zone 27. Mineralization contains up to 15% pyrite in pervasive silica flooding, 10% pyrite-tourmaline stringers, 2% disseminated pyrite and traces of chalcopyrite within a porphyritic felsic dike with silica and sericite alteration.

 

OSK-W-17-1239 intersected 33.2 g/t Au over 2.0 metres in Zone 27. Mineralization contains up to 30% pyrite stringers and 2% pyrite-tourmaline stringers hosted in a bleached andesite.

 

OSK-W-18-747-W1 intersected six intervals in Underdog: 4.75 g/t Au over 3.6 metres, 12.2 g/t Au over 2.0 metres, 7.64 g/t Au over 2.2 metres, 20.0 g/t Au over 8.7 metres , 11.9 g/t Au over 2.0 metres and 22.5 g/t Au over 4.6 metres. Mineralization of all the intervals contains up to 20% disseminated pyrite or in stringers with pervasive silica flooding and local visible gold within strongly silicified and sericitized porphyritic felsic dikes.

 

OSK-W-18-762-W1 intersected 8.70 g/t Au over 2.5 metres in Underdog.  Mineralization contains trace disseminated and clustered pyrite hosted in a porphyritic felsic dike with moderate sericitization and weak silicification.

 

OSK-W-18-1066-W1 intersected  26.0 g/t Au over 1.9 metres, 6.6 g/t Au over 2.0 metres and 4.79 g/t Au over 5.0 metres in Underdog. Mineralization of all three intervals is composed of 1% disseminated and stringer pyrite in moderately sericitized porphyritic felsic dikes.

 

OSK-W-18-1336-W2 intersected 19.6 g/t Au over 4.0 metres in Underdog. Mineralization is composed of up to 5% pyrite in pervasive silica flooding and 1% pyrite stringers in a porphyritic felsic dike with moderate sericite, silica and chlorite alteration.

 

OSK-W-18-1402-W3 intersected 4.03 g/t Au over 2.0 metres and 6.57 g/t Au over 2.0 metres in Underdog. The first interval contains up to 5% pyrite-stringers and 1% disseminated pyrite in a bleached porphyritic felsic dike with moderate sericitization and chloritization and weak silicification. The second interval contains 1% pyrite stringers, 2% disseminated pyrite, and local visible gold in pervasive silica flooding at the contact with carbonate veinlets. The host is porphyritic felsic dike with moderate sericite and silica alteration.

 

OSK-W-18-1430-W1 intersected 26.0 g/t Au over 2.0 metres in Underdog.  Mineralization contains 5% disseminated pyrite and trace disseminated chalcopyrite in a strongly chloritized andesite with weak sericitization and silicification.

 

OSK-W-18-1431-W2 intersected 11.3 g/t Au over 2.1 metres in Underdog. Mineralization contains up to 3% pyrite stringers, 1% pyrite in ptygmatic tourmaline veins, and local visible gold in a porphyritic felsic dike with moderate sericite, silica and carbonate and fuchsite alteration.

 

OSK-W-18-1434 intersected 4.76 g/t Au over 2.0 metres in Underdog. Mineralization contains up to 2% disseminated pyrite, traces of chalcopyrite, 2% pyrite in pervasive silica flooding, 1% pyrite in carbonate veinlets, and 1% pyrite tourmaline stringers. The host is a fragmental felsic dike with strong silica and sericite alteration.

 

OSK-W-18-1448 intersected 6.89 g/t Au over 2.0 metres in Caribou extension. Mineralization contains 1% pyrite in tourmaline ptygmatic veins in a rhyolite with moderate sericite and fuchsite alteration and weak silicification.

 

OSK-W-18-1449 intersected 3.71 g/t Au over 2.8 metres in Bobcat. Mineralization contains 1% pyrite clusters with quartz-tourmaline veins at a sericitized contact between a porphyritic felsic dike and a fragmental felsic dike.

 

OSK-W-18-1463 intersected 14.6 g/t Au over 2.0 metres and 3.24 g/t Au over 10.4 metres in Zone 27.  The first interval contains up to 2% pyrite-tourmaline stringers and 5% pyrite in pervasive silica flooding hosted in foliated porphyritic felsic dike with strong sericite and moderate silica alteration. The second interval is composed of 1% pyrite-tourmaline stringers and 2% pyrite clusters in a sericitized and chloritized porphyritic felsic dike.

 

OSK-W-18-1465 intersected 3.24 g/t Au over 2.3 metres in Bobcat. Mineralization contains up to 7% pyrite with pervasive silica flooding hosted in a moderately silicified and sericitized rhyolite.

 

OSK-W-18-1466 intersected 4.26 g/t Au over 2.0 metres in Zone 27. Mineralization contains two 30-centimetre massive pyrite bands within a porphyritic felsic intrusion with moderate sericitization and patchy silica alteration.

 

OSK-W-18-1468 intersected 10.3 g/t Au over 3.3 metres in Caribou. Mineralization contains 3% pyrite stringers and a 30-centimetre wide massive pyrite zone hosted in a silicified and sericitized rhyolite.

 

OSK-W-18-1471 intersected 14.9 g/t Au over 2.0 metres not related to any known zone.  Mineralization contains 3% pyrite clusters and trace pyrite-tourmaline stringers in a chloritized and slightly sericitized rhyolite.

 

OSK-W-18-1472 intersected 14.4 g/t Au over 11.1 metres in Bobcat. Mineralization contains 5% pyrite associated with 10-centimetre crustiform veins, 1% pyrite-tourmaline stringers and local visible gold in a moderately sericitized and silicified rhyolite in contact with a felsic porphyritic intrusion with moderate silica and sericite alteration.

 

OSK-W-18-1473 intersected 11.9 g/t Au over 2.9 metres in Caribou and 3.87 g/t Au over 2.3 metres in Zone 27. The first interval contains 10% pyrite stringers, one 15-centimetre-wide zone of massive pyrite, and one 7-centimetre wide pyrite-tourmaline stringer hosted in a silicified and sericitized rhyolite near a fault. The second interval contains up to 5% ptygmatic pyrite-tourmaline stringers hosted in a sericitized felsic porphyritic intrusion and a fuchsitized gabbro.

 

OSK-W-18-1476 intersected 3.05 g/t Au over 2.3 metres and 6.38 g/t Au over 2.0 metres in Zone 27.  Mineralization contains up to 5% pyrite stringers and trace sphalerite in quartz veins hosted in a moderately sericitized and silicified rhyolite injected by a felsic porphyritic dike. The second interval contains 5% pyrite stringers in a moderately sericitized felsic porphyritic dike.

 

OSK-W-18-1490 intersected 7.34 g/t Au over 2.6 metres in Bobcat.  Mineralization contains up to 10% interstitial pyrite and pyrite stringers, 3% pyrite in tourmaline ptygmatic veinlets, and 1% disseminated pyrite hosted within a sericitized and bleached gabbro in contact with a sericitized felsic porphyritic dike.

 

OSK-W-18-1494 intersected 14.8 g/t Au over 2.0 metres and 5.71 g/t Au over 2.2 metres in Bobcat.  Mineralization contains local visible gold and 3% pyrite associated with folded and massive crustiform veins, 5% pyrite stringers and 5% disseminated pyrite within a strongly sericitized and bleached gabbro.

 

OSK-W-18-1497 intersected 10.0 g/t Au over 7.0 metres and 8.53 g/t Au over 6.0 metres in Zone 27.  The first interval contains up to 3% pyrite stringers in a bleached andesite at the contact with a felsic porphyritic dike with 7% pyrite, 3% sphalerite and trace chalcopyrite in pervasive silica flooding. The second interval contains up to 5% disseminated pyrite and 3% pyrite stringers at the contact between a strongly sericitized felsic porphyritic intrusion and andesite.

 

OSK-W-18-1498 intersected 5.91 g/t Au over 2.0 metres and 3.58 g/t Au over 2.0 metres in Zone 27. Mineralization contains up to 10% pyrite stringers in a porphyritic felsic dike with moderate sericite and chlorite alteration and weak silicification.

 

OSK-W-18-1499 intersected 10.8 g/t Au over 2.5 metres in Caribou and 7.38 g/t Au over 5.0 metres and 3.02 g/t Au over 2.1 metres in Zone 27. The first interval in Caribou contains 2% disseminated pyrite in a foliated rhyolite with moderate sericite, chlorite and carbonate alteration and weak silicification. The second and third intervals in Zone 27 contain up to 25% disseminated pyrite, 15% pyrite-tourmaline stringers and clusters within smoky silica-tourmaline-chlorite and sericitized felsic porphyritic intrusion.

 

OSK-W-18-1501 intersected 37.4 g/t Au over 1.9 metres in Bobcat.  Mineralization contains local visible gold, 1% pyrite in crustiform veins, 10% pyrite clusters and trace disseminated pyrite in a sericitized rhyolite.

 

OSK-W-18-1505 intersected  17.0 g/t Au over 2.1 metres and 4.5 g/t Au over 2.4 metres in Caribou. Mineralization contains up to 10% pyrite stringers with 30% pervasive silica flooding within a rhyolite with moderate sericite alteration.

 

OSK-W-18-1506 intersected 6.11 g/t Au over 2.1 metres in Caribou. Mineralization contains up to 30% pyrite in a 10 centimetres-wide stringer hosted in a sericitized and silicified rhyolite.

 

OSK-W-18-1509 intersected 4.27 g/t Au over 5.6 metres and 5.05 g/t Au over 2.2 metres in Bobcat.  The first interval contains 5% interstitial pyrite within chlorite-silica hydrothermal breccia, 40% dismembered crustiform veins and fuchsite fragments hosted in a sericitized rhyolite. The second interval contains up to 5% pyrite within a dismembered quartz-carbonate vein and 3% pyrite stringers hosted in a weakly sheared, fuchsite and sericite altered gabbro.

 

OSK-W-18-1510 intersected 4.81 g/t Au over 2.2 metres in Zone 27. Mineralization contains massive pyrite over 1.5 metres with trace tourmaline in ptygmatic veinlets including 8% disseminated pyrite and stringers hosted in bleached and silicified andesite.

 

OSK-W-18-1517 intersected 3.60 g/t Au over 2.4 metres in Caribou, and 4.34 g/t Au over 2.6 metres and 5.72 g/t Au over 2.0 metres in Zone 27. The first interval in Caribou contains up to 10% pyrite stringers, 1% pyrite clusters, trace tourmaline stringers with pervasive silica flooding within a sericitized and silicified porphyritic felsic dike. The second and third intervals in Zone 27 contain up to 25% semi-massive pyrite, 10% pyrite stringers with traces of tourmaline hosted in a sericitized porphyritic felsic dike.

 

OSK-W-18-1518 intersected 3.57 g/t Au over 2.6 metres, 6.95 g/t Au over 4.0 metres, 20.6 g/t Au over 2.6 metres in Caribou and 5.87 g/t au over 2.0 metres in Zone 27.  Intervals form Caribou contain 3% pyrite stringers and up to 50% semi-massive pyrite associated with tourmaline ptygmatic and quartz-tourmaline veinlets in a sericitized porphyritic felsic dike or a sericitized andesite. The interval in Zone 27 contains 3% pyrite stringers or clusters within a bleached andesite injected by a felsic dike.

 

OSK-W-18-1526 intersected 7.32 g/t Au over 2.0 metres and 3.15 g/t Au over 2.0 metres in Zone 27. Mineralization contains up to 2% pyrite stringers and local visible gold hosted in a bleached fragmental andesite.

 

OSK-W-18-1532 intersected 15.7 g/t Au over 2.0 metres, 19.7 g/t Au over 2.4 metres and 3.19 g/t Au over 2.1 metres in Caribou and 19.3 g/t Au over 5.9 metres in Zone 27. The first and second intervals contain local visible gold, traces pyrite stringers and clusters, locally up to 40% pyrite and 3% chalcopyrite with ptygmatic tourmaline veinlets hosted in a rhyolite. The third interval is composed of 2% pyrite-chalcopyrite stringers in a bleached andesite at the contact with silicified porphyritic dike with 20% pyrite-tourmaline centimetric bands and local visible gold. The interval form Zone 27 contains up to 7% pyrite and 5% pyrite with ptygmatic tourmaline vein hosted in a sericitized andesite.

 

OSK-W-18-1543 intersected 4.97 g/t Au over 3.2 metres in Zone 27. Mineralization contains up to 4% pyrite stringers, 15% semi-massive pyrite over two 30-centimetres interval, trace tourmaline ptygmatic veinlet and trace chalcopyrite hosted in a sericitized and silicified felsic porphyritic intrusion.

 

OSK-W-18-1552 intersected 7.31 g/t Au over 2.0 metres and 6.29 g/t Au over 4.5 metres in Zone 27. The first interval contains up to 4% pyrite clusters in an andesite with moderate silica, sericite and carbonate alteration. The second interval contains 1% pyrite in folded smoky quartz veins and 10% pyrite stringers hosted in a moderate sericitized and silicified porphyritic dike with locally 15% semi-massive pyrite (two 30-centimetres intervals), trace tourmaline ptygmatic veinlet and trace chalcopyrite.

 

Qualified Person

The scientific and technical content of this news release has been reviewed, prepared and approved by Mr. Louis Grenier, M.Sc.A., P.Geo. (OGQ 800), Project Manager of the Windfall Lake gold project, who is a “qualified person” as defined by National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”).

 

Quality Control and Reporting Protocols

True widths determinations are estimated at 65-80% of the reported core length intervals for most of the zones. Assays are uncut except where indicated. Intercepts occur within geological confines of major zones but have not been correlated to individual vein domains at this time. Reported intervals include minimum weighted averages of 3.0 g/t Au diluted over core lengths of at least 2.0 metres. All NQ core assays reported were obtained by either 1-kilogram screen fire assay or standard 50-gram fire-assaying-AA finish or gravimetric finish at (i) ALS Laboratories in Val d’Or, Québec, Thunder Bay, Ontario, Sudbury, Ontario or Vancouver, British Colombia, or (ii) Bureau Veritas in Timmins, Ontario. The 1-kilogram screen assay method is selected by the geologist when samples contain coarse gold or present a higher percentage of pyrite than surrounding intervals. Selected samples are also analyzed for multi-elements, including silver, using an Aqua Regia-ICP-AES method at ALS Laboratories. Drill program design, Quality Assurance/Quality Control (“QA/QC”) and interpretation of results is performed by qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices. Standards and blanks are included with every 20 samples for QA/QC purposes by the Corporation as well as the lab. Approximately 5% of sample pulps are sent to secondary laboratories for check assay.

 

About the Windfall Lake Gold Deposit

The Windfall Lake gold deposit is located between Val-d’Or and Chibougamau in the Abitibi region of Québec, Canada. The mineral resource defined by Osisko, as disclosed in a press release disseminated by the Corporation on May 14, 2018, comprises 2,382,000 tonnes at 7.85 g/t Au (601,000 ounces) in the indicated mineral resource category and 10,605,000 tonnes at 6.70 g/t Au (2,284,000 ounces) in the inferred mineral resource category (see press release entitled “Osisko Releases Its First Mineral Resource Estimate for Windfall Gold Deposit” dated May 14, 2018, which is available on Osisko’s website at www.osiskomining.com and on SEDAR under Osisko’s issuer profile at www.sedar.com). The Windfall Lake gold deposit is currently one of the highest grade resource-stage gold projects in Canada. Mineralization occurs in four principal zones: Lynx, Zone 27, Caribou, and Underdog. All zones comprise sub-vertical lenses following intrusive porphyry contacts plunging to the northeast. The deposit is well defined from surface to a depth of 900 metres and remains open along strike and at depth. Mineralization has been identified only 30 metres from surface in some areas and as deep as 1,200 metres in others, with significant potential to extend mineralization down-plunge and at depth.

About Osisko Mining Inc.

Osisko is a mineral exploration company focused on the acquisition, exploration, and development of precious metal resource properties in Canada. Osisko holds a 100% in the high-grade Windfall Lake gold deposit located between Val-d’Or and Chibougamau in Québec and holds a 100% undivided interest in a large area of claims in the surrounding Urban Barry area and nearby Quevillon area (over 3,300 square kilometres), a 100% interest in the Marban project located in the heart of Québec’s prolific Abitibi gold mining district, and properties in the Larder Lake Mining Division in 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 in a number of additional properties in northern Québec and Ontario.  Osisko continues to be well financed with approximately $150 million in cash and investments as of March 31, 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 as at the date of this news release. The information in this news release about the Windfall Lake gold deposit being one of the highest grade resource-stage gold projects in Canada; the current 800,000 metre drill program; the significance of the mineral resource estimate published by the Corporation on May 14, 2018 in respect of the Windfall Lake gold deposit; the significance of new results from the ongoing drill program at the Windfall Lake gold project, including in respect of the Lynx deposit; the significance of assay results presented in this press release; the type of drilling included in the drill program (definition, expansion and exploration drilling in and around the main Windfall Lake gold deposit and the adjacent Lynx deposit, and exploration drilling on the greater deposit and Urban-Barry project area); potential mineralization; the potential to extend mineralization up and down-plunge and at depth at the Windfall Lake gold deposit; the ability to realize upon any mineralization in a manner that is economic; the ability to complete any proposed exploration activities and the results of such activities, including the continuity or extension of any mineralization; 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 performance (often but not always using phrases such as “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 actions, 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 was made, involves known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Osisko to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management’s geological modelling; the ability of Osisko to complete further exploration activities, including drilling; property interests in the Windfall Lake gold project; the ability of the Corporation to obtain required approvals and complete transactions on terms announced; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in 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, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Osisko nor 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 new events or circumstances, except as may be required by law.

 

For further information please contact:

John Burzynski. President and Chief Executive Officer

Telephone: (416) 363-8653