According to the company, two diamond drill rigs are currently being mobilized to the property in preparation for a winter drill program.

The 2012 winter program will include about 10,000m of diamond drilling in a planned 37 drill holes.

Callinex said this program will test known gold-bearing structures identified during its 2010/11 drilling program, as well as new targets defined by its soil geochemical program conducted last year.

The 2010/11 winter drilling program at Gossan Hill included 32 holes (one hole having been abandoned) for a total of 5,997m.

All 31 completed holes returned gold and silver mineralization in encouraging widths and concentrations, the company said.

Callinex has acquired a 100% interest in 7,191 hectares of the Gossan Hill property by staking.

The company can also earn 100% of an additional 3,679 hectares, subject to a 2% NSR, 50% of which is recoverable, under a three year option agreement.