Stornoway Enters Into Joint Venture Agreement On The LG-4-Consorem Project
November 29, 2010
Stornoway Diamond Corporation (TSX-SWY) is pleased to provide an update on its newly acquired LG-4 diamond exploration project, where the company holds a 25% interest in a total of 236 claims on 27 claim blocks covering prospective geophysical targets in the James Bay region of Quebec. These targets were recently identified following a modeling exercise completed by the Mineral Exploration Research Consortium ("Consorem"). A formal joint venture agreement between Stornoway, Virginia Mines Inc. ("Virginia"), SOQUEM Inc. ("SOQUEM") a wholly-owned subsidiary of SGF and Aurizon Mines Inc. ("Aurizon") has now been entered into, whereby each partner will contribute equally to ongoing exploration expenditures. Virginia will be the manager of the joint venture.
Field work already completed during the 2010 summer field season has included prospecting and till sampling over the entire block of claims, under a total budget of $300,000. Sample processing for kimberlitic indicator minerals will be completed in the coming months in an effort to help prioritize targets for potential drill testing.
Virginia is among the most active mining exploration companies in Quebec with a working capital of $42.9 M as at August 31, 2010, and 30,455,442 shares issued and outstanding as at October 31, 2010. Virginia trades on the Toronto Stock Exchange (TSX) under the ticker symbol VGQ. Virginia concentrates its activities on its numerous properties that are spread over the vast unexplored regions of northern Quebec.
SOQUEM is a wholly-owned subsidiary of Société générale de financement du Québec ("SGF"). SGF, is the Québec government's main industrial and financial development corporation. Its mission is to undertake economic development projects in the industrial sector in cooperation with partners and in compliance with the economic development policies of the Government of Québec.
Aurizon is a gold producer with a growth strategy focused on developing its existing projects in the Abitibi region of north-western Quebec, one of the world's most favourable mining jurisdictions and prolific gold and base metal regions, and by increasing its asset base through accretive transactions. Aurizon shares trade on the Toronto Stock Exchange under the symbol "ARZ" and on the NYSE Amex under the symbol "AZK". Additional information on Aurizon and its properties is available on Aurizon's website at www.aurizon.com.
Stornoway is one of Canada's leading diamond exploration and development companies, involved in the discovery of over 200 kimberlites in seven Canadian diamond districts. The Company benefits from a diversified diamond property portfolio, a strong financial platform and management and technical teams with experience in each segment of the diamond "pipeline" from exploration to marketing. Stornoway's diamond exploration programs are conducted under the direction of Robin Hopkins, P.Geol. (NT/NU), Vice President, Exploration, a Qualified Person under NI 43-101. Mr. Hopkins has reviewed the contents of this press release.
On behalf of the Board
STORNOWAY DIAMOND CORPORATION
/s/ "Matt Manson"
President and Chief Executive Officer
For more information, please contact Matt Manson (President and CEO) at 416-304-1026
or Nick Thomas (Manager Investor Relations) at 604-983-7754, toll free at 1-877-331-2232
Pour plus d'information, veuillez contacter M. Ghislain Poirier, Vice-président Affaires publiques de Stornoway au 418-780-3938, firstname.lastname@example.org
This news release contains "forward-looking information" within the meaning of Canadian securities legislation and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. This information and these statements, referred to herein as "forward-looking statements" are made as of the date of this news release and the Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by law.
Forward-looking statements relate to future events or future performance and reflect current expectations or beliefs regarding future events and include, but are not limited to, statements with respect to: potential mineralization, exploration plans, objectives or results, or discussions of future plans and objectives. There can be no assurance that such statements will prove accurate. Such statements are necessarily based upon a number of estimates and assumptions that are subject to numerous risks and uncertainties that could cause actual results and future events to differ materially from those anticipated or projected. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "expects", "anticipates", "plans", "projects", "estimates", "assumes", "intends", "strategy", "goals", "objectives" or variations thereof or stating that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements. Important factors that could cause actual results to differ materially from the Company's expectations are discussed in Company documents filed from time to time with the Toronto Stock Exchange and provincial securities regulators, most of which are available at: www.sedar.com. The Company disclaims any intention or obligation to revise or update such statements, except as required by law.