Wesdome Announces Drilling at Kiena Complex Traces VC Zone at Depth 17.70 g/t Over 5.6 Metres True WidthPublished on: September 25, 2017
TORONTO, Sept. 25, 2017 (GLOBE NEWSWIRE) -- Wesdome Gold Mines Ltd. (TSX:WDO) (“Wesdome” or the “Company”) is pleased to update current underground drilling progress at its wholly-owned Kiena Mine Complex, Val d'Or, Quebec.
Drilling is currently focused on delineating the potential of prospective targets, which are located close to existing mine infrastructure with the ability to enhance future production scenarios.
To date, drilling has traced the VC Zone 200 metres below the 670 metre level. It remains open to the west and at depth.
- 262.13 g/t or (17.70 g/t cut to 34.28 g/t) over 5.6 m true width in hole 6205
- 10.28 g/t or (8.56 g/t cut to 34.28 g/t) over 3.0 m true width in hole 6201
- 9.26 g/t (9.26 g/t cut) over 3.0 m true width in hole 6208
- 6.36 g/t (6.36 g/t cut) over 3.0 m true width in hole 6207
Results of current drilling and pre-2017 holes are compiled in Table 1 with drill hole pierce points shown in Figure 1.
Duncan Middlemiss President and CEO states, “The early success in the exploration of additional proximal zones, which may enhance future production scenarios, is very positive. We believe in the potential of the Kiena Mine and during this pause of drilling the Kiena Deep, results such as these just reinforce those beliefs on the quality of this asset, and the near term potential to redevelop for production. The investigation relating to the tragic fatality on September 9, 2017 is still ongoing, however the first Kiena Deep drill bay is 30 metres away from completion.”
VC ZONE CONTEXT
The VC Zone is situated approximately 600 metres north of Kiena’s main historic production area – the S-50 Zone (Figure 2). During the period 2006-2013, the VC Zone produced 842,000 tonnes at 4.2 g/t between the depths of 200 metres and 670 metres. Current ramp development underway will extend access to approximately 1100 metres depth.
The VC Zone is not included in the most recent mineral resource estimates (43-101 Technical Report for the Quebec Wesdome Properties, December 16, 2015 available at www.sedar.com). These encouraging results demonstrate the VC Zone continues at depth and offers potential to increase resources in close proximity to existing mine infrastructure.
The VC Zone consists of a series of east-west striking, sub vertically dipping and overlapping lenses of calcite-quartz stockwork veining. It is situated at deformed komatiite-basalt contacts believed to be a northern extension of the S-50 structural corridor. Mineralization is commonly accompanied by irregular albitized diorite dykes.
THE KIENA COMPLEX
The Kiena Mine Complex is a fully permitted, integrated mining and milling infrastructure which includes a 930 metre production shaft and 2,000 tonne per day capacity mill. From 1981 to 2013 the mine produced 1.75 million ounces of gold from 12.5 million tonnes at a grade of 4.5 g/t. The bulk of this production came from the S-50 Zone between depths of 100 and 1,000 metres. In 2013, operations were suspended due to a combination of declining gold prices and lack of developed reserves. The infrastructure has been well preserved on care and maintenance status.
The technical and scientific disclosure in this press release has been prepared and approved by Marc Ducharme, P. Geo. (OGQ #597), Chief Exploration Geologist of Wesdome and "Qualified Person" as defined by National Instrument 43-101 disclosure standards. Analytical work was performed by Techni-Lab (ActLabs) of Ste-Germaine-BoulĂ© (Quebec), a certified commercial laboratory (SCC Accredited Lab #707). Sample preparation was done at Techni-Lab (ActLabs) in Val d'Or (Quebec) and assaying was done by fire assay methods at Techni-Lab (ActLabs) laboratory in Ste-Germaine-BoulĂ© (Quebec). In addition to laboratory internal duplicates, standards and blanks, the geology department inserts blind duplicates, standards and blanks into the sample stream at a frequency of one in twenty to monitor quality control. Pre-2017 drilling results are derived from fire assay data produced from the Kiena Mine Assay office. Blind and internal QA/QC procedures were rigorously performed and sampling results routinely reconciled to production.
Wesdome Gold Mines is in its 30th year of continuous gold mining operations in Canada. The Company is 100% Canadian focused with a pipeline of projects in various stages of development. The Eagle River Complex in Wawa, Ontario is currently producing gold from two mines, the Eagle River Underground Mine and the Mishi Open pit, from a central mill. Wesdome is actively exploring its brownfields asset, the Kiena Complex in Val d’Or, Quebec. The Kiena Complex is a fully permitted former mine with a 930 metre shaft and 2,000 tonne per day mill. The Company has further upside at its Moss Lake gold deposit, located 100 kilometres west of Thunder Bay, Ontario, which is being explored and evaluated to be developed in the appropriate gold price environment. The Company has approximately 133.9 million shares issued and outstanding and trades on the Toronto Stock Exchange under the symbol “WDO.”
For further information, please contact:
|Duncan Middlemiss||or||Lindsay Carpenter Dunlop|
|President and CEO||VP Investor Relations|
|416-360-3743 ext. 29||416-360-3743 ext. 25|
|8 King St. East, Suite 811|
|Toronto, ON, M5C 1B5|
|Toll Free: 1-866-4-WDO-TSX|
|Phone: 416-360-3743, Fax: 416-360-7620|
This news release contains “forward-looking information” which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if circumstances, management’s estimates or opinions should change, except as required by securities legislation. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements. The Company has included in this news release certain non-IFRS performance measures, including, but not limited to, mine operating profit, mining and processing costs and cash costs. Cash costs per ounce reflect actual mine operating costs incurred during the fiscal period divided by the number of ounces produced. These measures are not defined under IFRS and therefore should not be considered in isolation or as an alternative to or more meaningful than, net income (loss) or cash flow from operating activities as determined in accordance with IFRS as an indicator of our financial performance or liquidity. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow
Table 1: VC Zone Underground Drilling Results
Grade* (g/t Au)
|* Assay intervals include values cut to an arbitrary, historic 1 oz / ton or 34.28 g/t Au|
|† Pre-2017 drill holes|
|(VG) = visible gold|
|(ABD) = Hole abandoned - target not attained|
|(NSA) = No significant assay|
Figure One: VC Zone Long Section
Figure Two: Kiena Mine Development