www.cliftonstarresources.com
Clifton Star Resources Inc. (TSX.V: CFO) ["Clifton Star"] (Frankfurt Exchange: C3T) is a junior mining exploration company with a focus on six properties that have had historic production of gold, silver, copper and nickel.
The portfolio consists of seven properties, six of them near the Porcupine-Destor Fault in Quebec and one on the Manitoba Ontario border, all in Canada.
Clifton Star and Osisko report 2.77m ounce in-situ inferred gold resource at Beattie
Clifton Star Resources (CVE:CFO) and Osisko Mining Corp (TSE:OSK) announced Monday a 2.77 million ounce inferred gold resource at the Beattie deposit, part of the Duparquet project in the Abitibi region of Quebec.
Osisko has the right to acquire a 50% interest in the Duparquet project by spending a total of $70 million in exploration expenditures from 2010 to 2013, as well as by extending loans to Clifton to fund option payments on the property.
According to the NI 43-101 compliant report, the in-situ inferred resource of the target is 2.77 million ounces of gold, or 56.2 million tonnes grading 1.53 g/t gold, using a cut-off grade of 0.67 g/t.
The study also estimated a 1.72 million ounce in-pit Inferred resource within a Whittle-optimized pit shell, using a base case gold price of C$1,100 per ounce, the company said.
Using a price of C$1,500 per ounce of gold, the in-pit inferred resource increases to 2.50 million ounces at an average grade of 1.39 g/t gold.
The in-pit estimates assumed a base operating cost of C$34.85 per tonne, as well as an 85% gold recovery rate.
The resource report used for Beattie was based on a total of 127,540 metres of driling, completed first by Clifton Star, and in 2011 by Osisko.
The Duparquet project also includes the Donchester, Central Duparquet, and Duquesne tailings deposits, which were not included in the Beattie resource reported today. The entire property, which sits along the Porcupine-Destor Fault Zone covers around 8 kilometres of strike length, with three mines that have produced 1.50 million ounces of gold.
The Beattie is part of the larger Beattie-Donchester mineralized corridor, which was the focus of the 2010 drilling program. The company said that no estimate was provided for the eastern extension of the corridor, also known as the Donchester portion, located to the east of Beattie.
In early November, Clifton and Osisko announced results from its Beattie property at the site, with significant intersections including 49.3 metres averaging 2.05g/t Au, 70.5 metres averaging 1.94g/t Au and 96 metres averaging 1.21 g/t Au. The mineralized system is still open at depth, Osisko and Clifton said.
