In my opinion, there was a disconnect between how excited the company was about Champagne and the results we got this morning. The results are not bad, not bad at all. They confirm the historical results of gold, silver and base metals even though the grades are a little lower. However, I have to admit that I expected better from the enthusiasm the company had about this project.

Then, this news from Bowmore comes out and they specifically mention Champagne:

The St-Victor exploration program is primarily targeting sediment-hosted, low-grade, bulk tonnage gold deposits similar to those found at Sukhoi Log (Siberia) or at Kinross' Paracatu Mine in Brazil. This year's petrological work on core from the Phase One drill program, however, suggests the Wotton NW Zone is perhaps distal mineralization to a sediment-hosted gold-rich massive sulphide deposit, similar to the Champagne deposit occurring at the north-eastern extremity of the St-Victor Synclinorium (average grade of 2.1 g/t Au). Bowmore will be investigating geophysical methods in 2012 aimed at detecting such a potential deposit on the St-Victor property.

Bowmore as we know is the new company from Osisko. These guys are plenty smart and to have them talking about Champagne is a great sign. They want to do geophysics in the area to detect a potential deposit. GNH has already done a VTEM survey with results still not out...at least publicly. I think this could be the reason why they are more excited about the results than I or the market is at this time.

I called the company this morning to discuss the results more fully. I was lucky and got to speak to Frank Candido directly. He was very excited about these results. He says that SGS are very excited. The 4 holes that hit were on the tip of the anomaly while the 5 that did not were outside the anomaly. The original orebody that lead to the 250k tons of ore was located to the NE and as such, these results show that the anomaly extend all the way to were we drilled holes 6-9. They will be drilling deeper and towards the heart of the anomaly on the next round of drilling.

I think that is the round of drilling that will be very exciting!

Glorieux