VAL-D'OR, QUEBEC, CANADA--(Marketwire - Aug. 23, 2011) - Metanor Resources Inc. ("Metanor") (TSX VENTURE:MTO) is pleased to provide a further update on its activities at the Bachelor Lake Gold Project. The shaft sinking of 536 feet was completed before the end of July and on budget, including the development of the 2 shaft stations (Levels 13, 14). Over 90% of the equipment required to complete the 5,000 ton bulk sample is already on site. The infrastructures are being upgraded, and are on schedule to be ready for the execution of the bulk sample. The project team is presently working with its operating team and contractor to take over the operation as the shaft sinking is complete, this phase is called the changeover - from shaft sinking to lateral development and should be complete this week. Lateral development and underground infrastructure construction will begin immediately thereafter. Serge Roy, Chairman CEO and Ghislain Morin, President COO both stated: "We are extremely pleased that this critical phase at the Bachelor Lake Gold Project has been completed professionally by our project team and on budget".
The Pre-Feasibility Study outlines an average annual production of 60,000 ounces commencing in July 2012 using only 66 2/3% capacity of the 1,200 tonnes per day mill with a cash cost of $464. The project has an 85% IRR with a 10 month payback using gold priced at $1,271/oz. Ron Perry, Vice-President and Treasurer commented "With today's gold price well over $1,800/oz., it is evident that the Bachelor Lake projections will far exceed those noted above".
The 15,000 m definition diamond drilling campaign at Bachelor/Hewfran is well underway and assays are in the laboratory and results are pending. Both the Bachelor Lake and the Hewfran properties, which are accessible by the present shaft, are open in all directions and at depth (with a deep hole intercept at approximately 3,500 feet). This campaign began on surface while the shaft sinking is being executed, and will move to the three new levels 13, 14 and 15 in October. The results of this drilling campaign will be inserted into the Feasibility Study.
