Osisko sketches out potential at Malartic

Data collected by Osisko Exploration (OSK-V) has outlined a gold mineralized system on its 100%-owned Canadian Malartic project.

Osisko says the property has the potential to host 100 million tonnes grading between 1-1.35 grams gold per tonne, or between 3.2 and 4.3 million contained ounces. (This estimate is not compliant with National Instrument 43-101 and is not considered a calculated resource).

The potential deposit is based on compilation of data from more than 5,000 historical surface and underground drill holes, as well as 22 holes completed by Osisko.

The deposit is an Archean porphyry gold system, consisting of a widespread shell of disseminated gold and pyrite mineralization hosted by diorite porphyry and altered metasediments.

Geological modelling of the deposit along 20 vertical sections spaced 60 metres apart indicates that the mineralized system is 1,200 metres in length by 350 in width, with a variable true thickness ranging from 60 to 270 metres. The model goes as much as 320 metres below surface.

Average grade of the mineralized body is estimated to lie between 1 gram per tonne and 1.35 grams, based on a weighted average of 1.17 grams gold from analyses of holes drilled by Osisko, and the application of a 15% margin of error.

The potential tonnage of about 100 million tonnes has been calculated assuming an average true thickness of 90 metres and an average rock density of 2.65 tonnes per cubic metre. The mineralized system is open to the west and south at depth.

Osisko believes that the Canadian Malartic project offers potential for a near- surface gold deposit located near existing infrastructure, which could ultimately be evaluated as an open-pit, bulk-tonnage operation.

Osisko will continue drilling until the end of this year, with the aim of calculating National Instrument 43-101-compliant, inferred gold resource by early 2006.