Return to index October 4, 2011

DISCOVERY OF OUTCROP GOLD SHOWINGS ON AU33 WEST BY DIOS AND OSISKO

DIOS EXPLORATION reports the discovery of outcropping gold mineralized occurrences (up to 3.79 g/t gold) in tonalite rocks on the AU33 WEST GOLD PROPERTY, James Bay, Quebec. The property is currently optioned to OSISKO MINING CORPORATION.

Highlights :


3 mineralized outcropping area were discovered and could explain some of the gold in till anomalies  and the occurrence of goldbearing glacial boulders.

-  6 outcrop rock samples returned values greater than 1.5 g/t gold.  Mineralization is disseminated  (no quartz veins) suggesting a large bulk tonnage « gold porphyry » type mineralization potential.


First results of the several week July field campaign returned :

 

Sample

 Gold (g/t)

X_NAD83ZONE18

Y_NAD83ZONE18

86391177

3.79

415200.8966

5782296.967

86391028

2.,71

415720.8783

5781190.974

86391161

2.66

414434.9222

5781260.972

86391160

2.04

414434.9222

5781262.972

86391338

1.765

414484.9199

5780042.98

86391400

1.575

414597.916

5779921.98

86391314

0.804

420132.7282

5782512.968

86391344

0.673

414476.9202

5780026.98

86391026

0.539

415941.8709

5781470.972

86391027

0.535

415710.8786

5781190.97

                     


A second one-month field campaign during October will target a 3 by 3 kilometer area, including a detailed geological survey, detailed outcrop sampling and soil geochemistry (and possible stripping).

A porphyry gold type deposit is looked for on AU33 WEST, in the Opinaca-Eastmain emerging gold district, also hosting the worldclass-multi-million ounce Éléonore gold deposit. The property comprises 519 mining cells covering 26,660 hectares.

Following the execution of an option and joint venture agreement in July, OSISKO was granted the option to earn a 51 percent participating interest in the property by incurring expenditures totaling $ 5,000,000 and making cash payments totaling $ 700,000 during a five year period. OSISKO was granted a second option to earn up to a 9 percent additional participating interest by incurring $ 9,000,000 of additional expenditures during a period of five years. OSISKO was granted a third option to earn an additional 10 percent participating interest by solely funding a feasibility study.

Samples were assayed by Au-AA 24 at ALS-Chemex with blank and duplicate inserts for quality control. Scan ME-ICP41 assays on forty samples greater than 0.057 ppm are pending.