GOLD DEVELOPMENT: Bachelor Lake shaft 85% complete

QUEBEC - Metanor Resources of Val d'Or, QC, announced that the shaft sinking process is now 85% complete at its Bachelor Lake gold mine 225 km northeast of Val d'Or. The shaft stations on levels 13 and 14 are also done. The shaft project will be completed down to 730 metres by the end of July 2011.

Over 80% of the equipment to take a 4,500-tonne bulk sample is on site, and various parts of the infrastructure are being updated. Metanor is recruiting the operating team to take over the site when the shaft sinking is done.

The pre-feasibility study for Bachelor Lake outlines an average annual production of 60,000 oz commencing in July 2012 using only 66.7% capacity of the 1,200-t/d mill with a cash cost of US$464/oz. The project has an 85% IRR with a 10-month payback using gold priced at $1,271/oz. The 15,000 metres of definition diamond drilling campaign has officially started. 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 1,065 metres). This campaign will begin on surface while the shaft sinking is being executed, and move to the three new levels 13, 14 and 15 when the sinking is completed.

The PRS is available to the public at www.Metanor.ca.