v ox industry mining founded 1987 headquarters montreal canada key people mark billings president & ceo jacques levesque cfo julie godard corporate secretary michael a. dehn director david hatchette director louis a. lapointe director claude poulin director products gold revenue 0 2009 net income million total assets 10.191 million 2009 1 total equity 15.489 million 2009 2 number of employees 1 website www.orexexploration.ca orex exploration is a canadian advanced stage junior gold exploration company headquartered in montreal quebec . it operates in nova scotia canada with a focus on exploring former gold mines and properties in the goldboro nova scotia and surrounding areas of guysborough county nova scotia . 3 the properties owned by orex were the sites of the former boston richardson mine dolliver mountain mine west goldbrook mine and east goldbrook mine which operated between 1892 and 1912 . contents 1 property description 2 current resource estimates 3 joint venture with osisko 4 current exploration activities 2009 to 2011 4.1 joint venture exploration activities 4.2 independent exploration activities 5 geological interpretation 5.1 faribault 5.2 nugget effect 5.3 bendigo ballarat 5.4 high grade low grade 6 history 6.1 boston richardson mine 6.2 dolliver mountain mine 6.3 west goldbrook mine 6.4 east goldbrook mine 7 modern exploration 7.1 1980 to 1989 7.2 1990 to 2004 7.3 2004 to 2009 8 past resource estimates 8.1 2006 resource estimate 8.2 2004 resource estimate 8.3 1990 ore reserve calculation 8.4 1989 ore reserve calculation 8.5 1988 ore reserve calculation 8.6 pre 1981 9 references 10 external links property description edit orex s goldboro main property consists of 37 contiguous claims 600 hectares held under license from the province of nova scotia . it is located along the eastern shore of nova scotia and is wholly owned by orex . the property is situated 185 kilometers northeast of halifax and is accessible by a 2.5 kilometer unpaved road from highway 316 which links the village of goldboro nova scotia to the town of antigonish ns . 4 the main project location is found at latitude 45 10 north ; longitude 61 40 west nts 11f 04 on november 26 2009 following a joint venture agreement with osisko mining orex staked hundreds of additional contiguous claims which cover 960.8 square kilometers surrounding the goldboro strike area . the current map of these claims highlighted in yellow is below . initial exploration on these claims is now underway . orex mining claims as of february 15 2010 5 current resource estimates edit in september 2009 orex published a mineral resource estimate compliant with national instrument 43 101 standards . they presented the resource estimate with a variety of cut off grades the two most notable are represented below 6 with a cut off grade of 0.5 g t au the mineral resource was as follows 519 000 tonnes grading 3.08 g t au 51 400 ounces within the measured category 7 414 000 at 2.06 g t au 491 400 ounces within the indicated category ; and 7 933 000 grading 2.13 g t au 542 800 ounces within the inferred category . the measured indicated and inferred resource represents a total of 15 866 000 tonnes grading 2.21 g t au 1 085 600 ounces . the results of the 2009 mineral resource estimate with a cut off grade of 1.50 g t au are as follows 270 000 tonnes grading 4.99 g t au 43 300 ounces within the measured category 2 441 000 tonnes at 5.99 g t au 353 900 ounces within the indicated category ; and 3 438 000 tonnes grading 3.67 g t au 405 900 ounces within the inferred category . the measured indicated and inferred resource represents a total of 2 711 000 tonnes grading 4.56 g t au 803 100 ounces . a major issue with this estimate was that 96 dd samples used in previous reserve estimates were assigned a value of 0 g t in the model due to less than complete historic sampling required for the new geological model being used . this resulted in a significantly lower than expected resource . orex is currently resampling the areas that these holes covered as well as new areas . joint venture with osisko edit on november 12 2009 orex signed an option and joint venture agreement with osisko mining . 7 the key terms of the agreement are osisko invested 1.3 million in orex and received 13 000 000 shares at a price of 0.10 share osisko received 13 000 000 transferable warrants to acquire one common share at a price of .125 share over a period of 3 years osisko receives a 50 % interest in the property before september 29 2013 if it incurs exploration development expenditures of 1 500 000 before september 29 2010 3.5 million aggregate on or before september 29 2011 8.0 million aggregate on or before september 29 2013 osisko may receive a 60 % interest in the property if it completes a prefeasibility study before september 29 2015 between november 12 2009 and september 29 2015 osisko is the manager of the project with a joint management committee during the option period with two representatives from each party . this management committee will be responsible for revising programs submitted by osisko and for approving and evaluating the results of all programs . osisko has the tie casting vote . on november 1 2010 orex reported that osisko had incurred exploration and development expenditures in excess of the 1 500 000 minimum required by september 29 2010 . the actual amount expended was reported as 3 120 000 in osisko s november 11 md & a osisko confirmed that it would continue to incur expenditures under the option and joint venture agreement . a drilling plan and budget for the next phase of the drilling campaign on the goldboro gold property was to be prepared . 8 in osisko s march 31 2011 md & a the company reported that the cumulative expenditures on the goldboro property was 2 928 000 . on september 29 2011 osisko and orex jointly announced that osisko had allowed its option on the property to expire by not meeting the minimum expenditure requirements . osisko stated while the results from the 2010 and 2011 drilling campaigns are encouraging they indicate the presence of a smaller deposit potentially minable by selective underground methods focussed on the veins or alternatively a relatively shallow open pit operation both of which are outside the scope of osisko s exploration and acquisition strategy . 9 current exploration activities 2009 to 2011 edit joint venture exploration activities edit on january 27 2010 orex and osisko began their first joint exploration . 10 a three part campaign was planned with two drills . osisko began with the 4 728 m 18 holes phase 2f drilling campaign to some incomplete and or non compliant historic drill results with compliant data primarily in the deeper portions of the ramp area mineral resources and extending westward towards west goldbrook . following phase 2f osisko continued with the phases 2d 5 492 m 28 holes and 2e 2 769 m 13 holes drilling campaigns which continued westward along the remaining 1.7 km segment of the boston richardson deformation zone from the ramp through west goldbrook to dolliver mountain . as of april 29 2010 59 holes for the phases 2d 2e and 2f drilling campaign representing 12 989 metres were completed . a 600m undrilled gap still exists between west goldbrook and doliver mountain . 11 during the same period nova scotia based mercator geological services limited and d.r. duncan & associates ltd. were retained and completed a regional compilation synthesis on the 960.8 km2 goldboro extension property . a number of key goldboro type gold targets were identified and are currently being drill tested using the reverse circulation rc method to recover basal till and bedrock samples for gold assaying and whole rock analysis . to date 194 rc drill holes are completed for 1 513 meters and 758 samples taken . 12 on november 18 2010 the highlights of 64 holes were released . significant mineralization was found in 12 of them . including four bedrock samples grading 2.3 g t 4.23 g t 10.85 g t & 25.65 g t. 13 on february 8 2011 orex management announced that osisko would conduct further diamond drilling on 10 targets . four holes to the west of the west goldbrook strike area to validate the up plunge of the west goldbrook formation and six east of the east goldbrook area on a 750meter area of new prospects identified by the rc drilling . this drilling is to start in march 2011 . 14 on april 20 2011 orex and osisko announced drilling had commenced on three diamond drill holes spaced 200 m apart in the west goldbrook to dolliver mountain gap where there has been no previous drilling . in addition six drill holes will be drilled on 3 sections spaced 250 m apart from east goldbrook to the east property boundary . reverse circulation drilling in 2010 indicated a trend of mineralization in this area . 15 on august 11 2011 orex and osisko announced the results from this drilling campaign . a total of 10 holes were drilled . significant additional new mineralization was identified on the areas between east goldbrook and the eastern property boundary including an intersection of gold that assayed at 1570 grams ton over half of meter of core and another sample of 410 g t over 1 2 meter of core . 16 independent exploration activities edit in addition to exploration activities undertaken with osisko orex is conducting field exploration activities on its many claims that are not shared with osisko . these exploration activities are guided by the regional compilation study funded through the joint venture with osisko . this information was officially revealed on november 30 2010 although it had long been understood to be occurring by local residents and people close to the project . on november 30 2010 further details of the company s field exploration activities were released . new mineralization was noted to on western claims on the goldenville and stillwater claims . including the discovery of a quartz vein outcrop on the goldenville anticline which had a sample grading 12.665 g t and the discover of a 12m wide quartz vein 600m to the south of this outcrop . the company also reported a float sample grading 0.121 g t in an area close to the stillwater anticline with historic anomlous gold occurrences . the company also announced that it had resumed field exploration work several weeks earlier . 17 geological interpretation edit the property is located within the meguma supergroup of the eastern canada appalachian belt . the property is entirely underlain by sedimentary rocks of the goldenville group which consist of altered greywacke sandstone arenite and slate . the stratigraphic sedimentary succession of the goldboro area is affected by the upper seal harbour anticline . this anticline is an upright ene trending tight fold with a 10 to 30 plunge to the east . in the apex of the anticline the slate units are thicker than other sedimentary rock types . the following diagram illustrates the goldenville & upper seal harbor anticlines and the relative location of gold mineralization being explored by orex and osisko goldenville and upper seal harbour anticlines annotated with orex gold locations the goldboro mineralization has been previously referred to as a saddle reef lode gold deposit type . in nova scotia the boston richardson mine upper seal harbour district is a classic example of a saddle reef deposit . the gold mineralization at goldboro occurs in association with and within a quartz vein swarm located in the hinges of regional anticlines principally in black shale argillite wall rocks . as such goldboro is not a classic saddle reef lode gold deposit type