Hi Charles,thanks for the information,today the trio confirmed what
we allready knew,about the staking of 475 claims inside the zone.
NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS
FOR: VIRGINIA GOLD MINES INC.
ME SYMBOL: VIA
AND S.E.M. VIOR INC.
ME SYMBOL: VIO
AND EXPLORATION AZIMUT INC.
ME SYMBOL: AZM
NOVEMBER 6, 1996
Virginia - Vior - Azimut: Major Ground Acquisition Near
the Quebec Ministry of Natural Resources Discovery in the
Sept-Iles Area
QUEBEC, QUEBEC--The syndicate formed of Virginia Gold Mines Inc.
("Virginia"), S.E.M. Vior Inc. ("Vior") and Exploration Azimut
Inc. ("Azimut") is pleased to announce the staking of 475 claims,
covering 76 km2, inside the limits of the now lifted 800 km2
staking ban surrounding the Cu-Ni-Co discovery by the Quebec
Ministry of Natural Resources (MRN) that was announced on August
28, 1996. The government of Quebec lifted the staking ban at 7:00
a.m. on Ocotber 9, 1996. Immediately after the ban was lifted,
five staking teams, totalling 36 people, started staking for the
syndicate in five of the most strategic areas.
The syndicate is particularly proud of having acquired an
important land position in the immediate area of the MRN
discovery. As a matter of fact, our main claim blocks cover most
of the airborne electromagnetic (AEM) geophysical anomalies that
were detected within the staking reserve. These AEM anomalies
were outlined last September by a survey that the syndicate
commissioned from Sial Geosciences of Montreal. Most of the
anomalies that were staked are located in geological environements
known to be similar to the one hosting the MRN discovery, and have
similar or better quality AEM signatures than the one associated
with the MRN discovery. The syndicate also staked claim blocks in
order to cover geological targets and/or less intense AEM
anomalies.
According to an agreement recently signed between the syndicate
and Kennecott Canada Inc. (a subsidiary of RTZ-CRA), the latter
can earn a 50 percent interest in the properties staked in the
area covered by the staking ban in return for a payment of
$300,000 to the joint venture and by further engaging $2 million
in exploration expenditures on the properties within the next
three years. A comprehensive surface exploration program,
including geophysical surveys, will start over these claims in the
coming weeks. This work is designed to better define and locate
on the ground the geophysical anomalies in view of drilling
program planned for the middle of next winter. Given the quality
and strategic importance of the anomalies that were staked within
the area of the staking ban, the syndicate and Kennecott have
agreed to allocate a budget of $1 million in order to cover the
costs of this first campaign of surface exploration work and
drilling.
In addition to the properties covered by this agreement, the joint
venture owns 100 percent of an impressive land package, consisting
of more than 1,500 claims staked outside of the 800 km2 area
covered by the now lifted staking ban.
Highlights
Virginia is awarded the title of Prospector of the year 1996 by
the Quebec's Prospectors Association for its work in the James Bay
area
Discovery of an important mineralized structure on La Grande Sud:
the Wedding zone has returned values of 0.28 oz/t Au /13 ft
including 0.49 oz/t /6 ft (9.9 g/t Au /4m including 16.67 g/t Au
/2m)
Discovery of polymetallic showings on the La Grande project
(option Barrick Gold). Channel sampling has returned values of 10
percent Cu, 7.03 oz/t Ag (241 g/t), 0.105 oz/t Au (3.6 g/t)
Virginia Gold Mines
One of the most important junior mining exploration companies in
Quebec
Over 30 properties in Quebec covering over 4000 km2 of favourable
geology
Major Partners
- Kennecott - Barrick Gold - Cominco - SOQUEM - Battle
Moutain
Facts on Virginia
ME - VIA Exploration budget for 96 $3,500,000 (minimum) Working
capital $10,000,000 no debt
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