TORONTO, ONTARIO, Nov. 5, 2009 (Marketwire) --
TORONTO, ONTARIO -- (Marketwire) -- 11/05/09 -- ALEXIS MINERALS CORPORATION (TSX: AMC) is pleased to announce that its Lac Pelletier gold mine project at Rouyn-Noranda, Quebec, is now underway with the recent commencement of a bulk sample program. Approximately 9,400 ounces of gold (oz Au) are expected to be produced from a 40,000 tonnes sample currently being excavated in two of four zones. The milling of the ore is expected to be completed in early 2010. After that, the Company anticipates a production decision will be made in the first quarter of 2010, based on feasibility study results being completed concurrent with the bulk sample mining.
Lac Pelletier is approximately 4 kilometres southwest of the city of Rouyn-Noranda, Quebec, in the prolific Abitibi Mining Camp, historically one of the world's top gold producing regions. The Lac Pelletier Gold Mine is expected to generate over CDN $20.7 million free cash flow on production of approximately 118,100 oz Au (109,300 ounces recovered) over an estimated minimum 3 year project life. Lac Pelletier offers Alexis an opportunity to bring a second satellite mine operation into production to complement cash flow earned from the Alexis Lac Herbin mine in Val d'Or, Quebec.
Since June, ten weeks was taken to successfully dewater and rehabilitate the 900 metre (m) ramp that flooded in 1991. In late August, the development program began, accessing the stoping areas that will provide the ore for the bulk sample. Recently, the company began the development inside one of the mineralized zones, and is now stockpiling the ore. As of October 31, 431 m of the planned 830 m of lateral development had been completed.
In early October, the Company made an important revision to the current bulk sampling program, electing to excavate a ventilation raise and second egress to surface prior to the bulk sampling campaign, instead of at the commencement of pre-production development in 2010. This revision was designed to allow continued mining and production from areas selected for testing in the bulk sample campaign, once the bulk campaign is completed. The raise development causes a slight delay in the original bulk sample schedule (2 weeks); however it is expected to significantly accelerate pre-production for the overall project, effectively allowing the Company to produce an estimated extra 5,000 ounces of gold during 2010 at Lac Pelletier.
All permit requests for full production are submitted, and the Company expects to receive confirmation on these before the end of 2009.
