EASTMAIN
PURCHASES Clearwater Royalty
Eastmain Resources Inc. (TSX:ER) announces that SOQUEM Inc.
("SOQUEM") has agreed to sell its 2% Net Smelter Return
Royalty held against the Clearwater Project to Eastmain in exchange for
a cash payment of $1 million plus one million common shares of the
Corporation, subject to the approval of the TSX. Upon completion of
this royalty purchase, Eastmain will hold 100% interest in the
Clearwater Project, which includes the Eau Claire gold deposit, free
and clear of any outstanding royalties or encumbrances.
"We are very pleased to be able to
purchase the outstanding royalty from SOQUEM, our former joint venture
partner on the Clearwater Project. This purchase provides Eastmain with
the unencumbered ability to structure future royalty agreements on the
Clearwater property at its sole discretion. With an increasing price of
gold and as more ounces are discovered at Clearwater, future royalty
payments could become a major catalyst for shareholder value,"
states Dr. Donald J. Robinson, President & CEO of Eastmain.
Eau Claire is the second largest gold deposit in the James Bay
Mining District. Robinson adds,
"As a shareholder in Eastmain, SOQUEM
will also benefit from any future negotiations. We would like to thank
SOQUEM for its early exploration work at Clearwater and its continued
support in Eastmain."
Eastmain will continue to aggressively explore
Clearwater. The $5-million 2011 exploration program will include 25,000
metres of drilling designed to focus on
sustained resource building and new discovery on the property.
Definition drilling will target the depth extensions of the Eau Claire
deposit from 200 to 500 metres below surface
as well as the lateral and vertical continuations of the 850 West Zone.
Prospecting, trenching and regional property drilling, to test
structural controls of gold mineralization across the property, will
aid in the search for additional gold deposits at Clearwater.
Core logging and sampling is now in progress
for drill holes completed in December. These include, four of nine
holes from the 850 West Zone (ER10-276, 278, 280 and 282), which
confirm the continuation of the Eau Claire gold deposit to the west.
Each of these holes intersected quartz-tourmaline veins and altered
rock at surface and have also intersected a
new swarm of veins and schist zones at depth. The 850 West Zone, which is situated on a hill, is a very
attractive target for the development of additional open pit and
underground resources. This target area is open laterally to the west
and at depth, where there has been no previous drilling.
Dr. Donald J. Robinson P.Geo,
is the Qualified Person for the information contained in this press
release and is a Qualified Person within the meaning of National
Instrument 43-101.
About Eastmain Resources Inc.
(TSX:ER)
Eastmain is a Canadian gold exploration
company with 100% interest in the Eau Claire and Eastmain gold
deposits. The Corporation has $22.5 Million in working capital and
holds a pipeline of exploration projects within the James Bay District,
including the �l�onore South property.
Eastmain has allocated $9.3 million for exploration of its key gold
projects in Quebec. Work will include 46,000 metres of drilling in
2011.
About SOQUEM/SGF
SOQUEM, a wholly-owned subsidiary
of Societe generale
de financement du Quebec, is to
undertake exploration, development and mining activities throughout the
province of Quebec.
Societe generale de financement
du Quebec (sgfqc.com), an industrial and financial holding company, has
a mission to carry out economic development projects, particularly in
the industrial sector, in cooperation with partners and in compliance
with accepted profitability requirements and with the economic
development policy of the Quebec government. As part of its mandate,
SGF is authorized by the Quebec government to go beyond its traditional
role as an equity investor by offering complementary solutions, such as
loans, debentures or preferred or convertible shares.
Last September, the government
announced the amalgamation of Societe generale de financement
du Quebec and Investissement Quebec,
effective April 1, 2011. The merger will enable the organizations to
combine their extensive expertise, offer Quebec businesses a broader
range of solutions and better support them throughout all stages of
their operations, from start-up to export projects.
For further information please contact
Eastmain Resources Inc.: Dr. Donald J. Robinson, President or Catherine
Butella, Exploration Manager at (519)
940-4870, fax (519) 940-4871, by e-mail: info@eastmain.com
or visit our website at www.eastmain.com.
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