Azimut's partner Goldcorp exercises its second option on the Wabamisk gold property, James Bay region, Quebec
Symbol: AZM.TSX Venture
LONGUEUIL, QC, Oct. 18, 2011 /CNW Telbec/ - Azimut Exploration Inc ('Azimut')
announces that its partner Goldcorp Canada Ltd ('Goldcorp') has exercised its second option on the Wabamisk property, allowing Goldcorp to earn an additional 19% interest in the property upon delivery of a bankable feasibility study. Goldcorp recently earned a 51% interest in the property after completing its first option. A new exploration program is currently planned by Goldcorp and will start later this fall.The Wabamisk property hosts numerous gold prospects in a geologic setting comparable to Goldcorp's Eleonore gold deposit located 70 km north (see appended map at the end of the release). The project is 57 km long and comprises 723 claims over a 383-km(2) surface area. It is held 51% by Goldcorp and 49% by Azimut. Goldcorp will have a maximum of ten (10) years to complete a feasibility study and earn the additional 19% interest on the property.
Salient points about the property can be summarized as follows:
-- It covers an extensive and complex contact between two Archean
subprovinces, the volcano-plutonic La Grande Subprovince and
the metasedimentary Opinaca Subprovince. This
volcano-sedimentary contact is largely overprinted by an
east-west regional deformation corridor.
-- Two main prospective sectors for gold are recognized:
(a) The GH Prospect, a gold-antimony-arsenic
mineralized zone, associated with a diorite
intrusion and metasedimentary rocks. This area
forms a target zone 3.5 km long, outlined by a
strong antimony (Sb) and arsenic (As) soil anomaly
and coincident with induced polarization
geophysical anomalies. Drilling (6 holes totalling
1,504 m) delivered encouraging results, including
0.7 g/t Au, 0.39% Sb and 0.20% As over 19 m (hole
W-10-01). The alteration and mineralization
footprint in this sector indicates a strong
exploration potential both laterally and at depth
(see press releases of November 12, 2009 and
September 14, 2010).
(b) The Dome-ML Prospect,a prospective zone, 1.7 km
long, which includes several historical high-grade
gold values (up to 80.7 g/t Au) related to sheared
and altered mafic volcanic units and a dioritic
intrusion.
-- Excellent potential for volcanogenic massive sulphide
mineralization (copper-zinc-silver) in the eastern half of the
property.
In addition to Wabamisk, Azimut has built a strategic position for gold in the James Bay region with four other active properties: Eleonore South (Azimut-Goldcorp-Eastmain JV), Opinaca A and Opinaca B (Azimut-Everton JV, optioned by Aurizon), and Opinaca D (optioned by Dynasty Gold). These projects total 1,119 claims over a 584-km(2) surface area.
Azimut also announces that on October 11, 2011 (the 'Conversion Date'), the Fonds de solidarité F.T.Q. (the 'Fonds') has exercised its conversion rights under the terms of a $300,000 convertible debenture (the 'Debenture') issued by Azimut on November 20, 2008 (see press release dated November 21, 2008). Azimut has issued to the Fonds 500,000 units, at a price of $0.60 per unit, with respect to the conversion of the outstanding $300,000 principal, each unit being comprised of one common share and one-half of one common share purchase warrant, with each full warrant entitling the Fonds to subscribe for one additional common share of Azimut at a price of $0.75 until November 20, 2011.
Also, subject to the approval of the TSX Venture Exchange, Azimut has agreed to issue to the Fonds 12,542 units, at a price of $1.13236 per unit, with respect to the accrued interest under the Debenture as of the Conversion Date, for an amount of $14,202.74, each unit being comprised of one common share and one-half of one common share purchase warrant, with each full warrant entitling the Fonds to subscribe for one additional common share of Azimut at a price of $1.01 until November 20, 2011. All securities issued to the Fonds underlying such 12,542 units will be subject to a four-month and one day hold period following the date of their issuance.
This press release was prepared by Jean-Marc Lulin, P.Geo., acting as Azimut's Qualified Person under NI 43-101.
Azimut is a mineral exploration company with the objective of discovering major ore deposits. The Company's core business is project generation using cutting-edge targeting methodologies, along with partnership development. Azimut holds the largest mineral exploration portfolio in Quebec, including key gold, copper, uranium and rare earth element properties.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE AZIMUT EXPLORATION INC.
PDF with caption: 'Wabamisk Gold Property (Azimut - Goldcorp) - James Bay Region, Quebec, Canada'. PDF available at: http://stream1.newswire.ca/media/2011/10/18/20111018_C5125_DOC_EN_5006.pdf
AZIMUT EXPLORATION INC.
CONTACT: Jean-Marc Lulin, President and CEO
Tel.: (450) 646-3015 - Fax: (450) 646-3045
info@azimut-exploration.com www.azimut-exploration.com
