Tarsis Options Erika Gold Project to Osisko Mining Corporation

Tarsis Options Erika Gold Project to Osisko Mining Corporation 
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/05/13 -- Tarsis
Resources Ltd. (TSX VENTURE:TCC) ("Tarsis" and the "Company") is
pleased to announce it has optioned its Erika property, located in
southern Mexico, to Osisko Mining Corporation
(TSX:OSK)(FRANKFURT:EWX) ("Osisko"). The Option and Joint Venture
Letter Agreement (the "Agreement") grants Osisko the right to earn up
to a 75% interest by funding exploration and development of the
property and making cash payments to Tarsis. Key terms of the
Agreement are as follows: 
Initial 51% Interest 


 
- $1,000,000 in cash payments to Tarsis over four years; and
- $4,000,000 in expenditures on the property over four years,
  including a firm first year commitment of $500,000

 
Additional 24% Interest 


 
- Fund and deliver a Feasibility Study on the property within two years of
  the 51% earn in.

 
"We are very pleased to have attracted a well-financed and
experienced mid-tier Canadian gold producer such as Osisko to our
Erika project," stated Tarsis President & CEO, Marc Blythe.
"Completion of this option and joint venture agreement demonstrates
the quality of the project and Tarsis' commitment to the 'prospect
generator' business model supported by our shareholders." 
The Erika Gold Project 
The Erika property located in Guerrero State, Mexico covers
approximately 16,000 hectares. The property is accessed by paved road
via Federal Highway 95, which crosses the eastern boundary of the
claims. Acapulco is 150 km south and Iguala is 47 km north of Erika. 
Drilling in 2011 by Tarsis identified Carlin-style gold
mineralization hosted in Cretaceous carbonate and shelf sequence
stratigraphy. Elevated gold response occurs in zones of
decarbonisation often accompanied by multi-phase calcite veining and
the presence of arsenic sulphides, orpiment and realgar. Detailed
petrography confirmed the presence of arsenian rimmed pyrite in a
number of the gold bearing zones. Diamond drill hole ER 11-14
returned 10.28 meters grading 1.14 g/t gold (further details can be
found on the Tarsis website www.tarsis.ca). Tarsis also identified
several new and untested Carlin-style gold-in-soil anomalies in
prospective stratigraphic and structural settings
 up to eight
kilometres from the 2011 drill sites. 
Elsewhere on the property, extensive clay alteration and
argillization, combined with favourable pathfinder elements suggest
the potential for epithermal-style gold mineralization. 
Erika's immediate neighbours in the Guerrero Gold Belt are Torex Gold
Resources Inc. and Newstrike Capital Inc., both of which are
exploring skarn and/or breccia-style gold mineralization. Goldcorp
Inc.'s operating Los Filos gold mine lies 12 km south of the Erika
property and is mining skarn-style gold mineralization. Los Filos is
currently Mexico's largest gold mine by output. 
The Agreement 
Osisko can earn an initial 51% interest in the Erika property by
making the following cash payments to Tarsis: 


 
- $50,000 after execution of the Agreement;
- $100,000 on or before the first anniversary of the Agreement;
- $150,000 on or before the second anniversary of the Agreement;
- $300,000 on or before the third anniversary of the Agreement; and
- $400,000 on or before the fourth anniversary of the Agreement;

 
and incur expenditures of: 


 
- $500,000 before the first anniversary of the agreement (firm commitment);
- an additional $750,000 before the second anniversary of the agreement;
- an additional $1,000,000 before the third anniversary of the agreement;
  and
- an additional $1,750,000 before the fourth anniversary of the agreement.

 
After the initial 51% interest has been earned, Osisko can elect to
earn an additional 24% interest (total 75%) by funding and delivering
a Feasibility Study. Osisko can also accelerate these payments at its
option in order to earn in sooner. Osisko is the operator of the
project during the initial earn in phase and during the joint venture
as long as it has at least 50% interest in the project. 
The technical information contained in this press release was
prepared by Mr. Marc G. Blythe, P.Eng., the President and CEO of
Tarsis Resources Ltd. Mr. Blythe is a Qualified Person as defined by
NI 43-101. 
About Osisko Mining Corporation 
Osisko Mining Corporation operates the Canadian Malartic Gold Mine in
Malartic, Quebec and is carrying out aggressive exploration and
project development elsewhere in Canada and Latin America. 
About Tarsis Resources 
Tarsis is an exploration company following the prospect generator
business model. The Company acquires prospective exploration projects
by acquisition or through its own grass roots generative exploration,
adds value and then vends or options out projects to partners for
advancement. 
On behalf of the Board, 
Marc G. Blythe, P.Eng., MBA, President and Chief Executive Officer 
This news release was prepared by Company management, which takes
full responsibility for content. 
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release. 
Contacts:
Tarsis Resources Ltd.
Marc G. Blythe, P.Eng., MBA
President and Chief Executive Officer
(604) 689-7644 
Tarsis Resources Ltd.
Mark T. Brown, C.A.
Chief Financial Officer
(604) 687-3520
info@tarsis.ca
www.tarsis.ca
 
 
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