Osisko counts 7.4 million oz. gold at Windfall ahead of feasibility study

After nearly 1.9 million metres of drilling, Osisko Mining (TSX: OSK) has outlined a total of 1.9 million oz. at its 100%–owned Windfall gold deposit in Eeyou Istchee James Bay, Quebec.

The measured and indicated category contains 4.1 million oz. in 11.1 million tonnes grading 11.4 g/t gold. This is a 26%  increase in ounces and an 8% increase in grade. About three–quarters of the ounces are attributable to the Lynx deposit.

The inferred category contains 3.3 million oz. in 12.3 million tonnes grading 8.4 g/t gold. About half of these ounces occur in the Lynx deposits.

To calculate the resource estimate, Osisko used a gold price of $1,600, a recovery rate of 93%, and a 3.5 g/t gold cut-off grade.

The new resource estimate convers the Lynx, Underdog, Main, and Triple 8 deposits to a depth of 1,200 metres from surface. A bulk sample has been taken from the Lynx 600 zone. When milling is complete in early-October, results will indicate a higher grade than indicated by drilling. This was the case when two prior bulk samples were processed and returned grades that were 26% and 89% higher than anticipated.

“With this final MRE update prior to our pending feasibility study, we have met and exceeded our objectives for the Windfall drill program: a robust measured and indicated resource of over 4.0 million oz. with an average grade of over 10 g/t gold, said Osisko CEO John Burzynski in a statement.

“The scale of Windfall and the deposit grade has steadily increased since Osisko’s discovery of Lynx in late 2016. Lynx now represents almost two-thirds (65%) of the total gold in the MRE, and it continues to impress with a stand-alone total M&I resource of 3.1 M oz averaging 13.0 g/t Au,” he added.