Wesdome Announces the Continuation of the Kiena Deep A Zone Down Plunge to 830 Metres Long, Including Drill Results Containing 106.3 g/t Au Over 10.5 Metres, and Drilling up Plunge Commences From the New Exploration Ramp

 
Download as PDF Published on: February 19, 2020

TORONTO, Feb. 19, 2020 (GLOBE NEWSWIRE) -- Wesdome Gold Mines Ltd. (TSX: WDO) (“Wesdome” or the “Company”) today announces additional results from the ongoing underground definition and exploration drilling at its 100% owned Kiena Mine Complex, in Val d\'Or, Quebec.

Seven underground drills are now in operation completing the infill and up and down plunge extension drilling of the Kiena Deep A Zone. This drilling has continued to confirm the overall continuity of the geometry and the high grade gold mineralization of the Kiena Deep A Zone and identify additional mineralization outside of the most recent resource estimate. Recent drilling, including Hole 6580 and its associated wedge holes, have extending the gold mineralization of the A Zone an additional 100 metres (“m”) down plunge and now extends a total in excess of 830 m (see Figure 1 and Photographs 1 & 2). A total of 40,850 m in 136 new drill holes have now been drilled since the latest resource estimate, which is expected to be updated later in 2020.

Kiena Deep A Zone – Down Plunge

Highlights of the down plunge drilling are listed below and summarized in Table 1.

  • Hole 6580: 114.8 g/t Au over 10.0 m core length (32.8 g/t Au cut, 5.6 m true width)
  • Hole 6580W1: 25.3 g/t Au over 17.2 m core length (21.0 g/t Au cut, 11.6 m true width)
  • Hole 6580W2: 86.5 g/t Au over 9.7 m core length (31.7 g/t Au cut, 4.2 m true width) 

All assays cut to 90.0 g/t Au. True widths are estimated.

Kiena Deep A Zone – Definition Drilling

Highlights of the definition drilling are listed below and summarized in Table 1.

  • Hole 6592: 66.8 g/t Au over 9.2 m core length (16.8 g/t Au cut, 7.0 m true width)
  • Hole 6593: 106.3 g/t Au over 10.5 m core length (37.8 g/t Au cut, 8.5 m true width)
  • Hole 6606: 30.5 g/t Au over 10.9 m core length (19.0 g/t Au cut, 8.0 m true width)  

All assays cut to 90.0 g/t Au. True widths are estimated.

79 Level Exploration Ramp

The 79 level drift, consisting of 576 m of down ramp development and drill platforms, has now been completed and two drills have been mobilized to commence drilling of the potential up plunge extension of the Kiena Deep A Zone. Previous limited drilling into the up plunge area from 67 level returned a number of good intersections that require follow up. In addition, drilling from this ramp will allow drilling of the down dip extension of the VC zones. Based on recent drilling from 67 Level, it is interpreted that the VC zones are folded as they extend down plunge to connect with the Kiena Deep A Zone (Figure 1 and Photograph 3).

Additionally, a new zone has been discovered on 79 Level between the S50 and VC zones. As the 79 Level exploration ramp was being finalized, there was an opportunity to place the drill part way down the ramp to test the potential extension of the previously mined S50 zone northward towards the VC zones. This area has never been tested and of the 3 holes drilled, one hole intersected two zones of gold mineralization in the footwall mafic volcanics (Figure 2). The drilling intersected quartz ± tourmaline ± fuchsite veins within sheared basalt near the contact with basaltic komatiite and quartz-carbonate stockwork and although not a focus at this time, the intersection does represent additional mineralization for follow up drilling.

Assays from Hole 6627 returned:

  • 21.5 g/t Au over 1.1 m (A Zone style of mineralization); and
  • 6.7 g/t over 3.0 m (VC Zone style of mineralization).

Mr. Duncan Middlemiss, President and CEO commented, “We are extremely pleased with the recent infill drilling results from the Kiena Deep A Zone that continues to confirm the grade continuity and will be used to convert inferred resources to indicated resources in the updated resource estimate later this year. The PEA study is ongoing and expected to be completed in Q2 2020; which will be based on the latest Kiena Mineral Resource Estimate from September 2019. Ongoing drilling of the A Zone continues to expand the size of this zone and is expected to grow the resource base.”

“We are also pleased with the completion of the 79 Level Ramp. Not only does it provide optimal drill platforms for testing the up plunge extension of the Kiena Deep A Zone, the ramp would also serve as a haulage drift for any future production from this area as it accesses the main shaft level dump pocket. Any additional resources found in this area could greatly enhance the project restart time line and reduce initial capital investment. Although preliminary, we are encouraged to see initial drilling on 79 Level intersected a new zone of gold mineralization in a previously untested area along strike from the S50 Zone. This zone definitely requires follow up drilling but it illustrates the potential of discovering more gold horizons in the immediate area around the Kiena mine with focussed exploration.

“We plan to drill a total of 75,000 m, continue the down ramp development this year in order to enhance our drill platforms probing the lower extents of the A Zone. In addition, metallurgical and environmental detailed studies are continuing; in conjunction with the installation of hydrostatic barriers to secure previously mined out areas of the mine and shaft area; and ongoing ventilation improvements in the preparation for a possible mine restart.”

TECHNICAL DISCLOSURE
The technical and geoscientific content of this release has been compiled, reviewed and approved by Bruno Turcotte, P.Geo., (OGQ #453) Senior Project Geologist of the Company and a "Qualified Person" as defined in National Instrument 43-101 -Standards of Disclosure for Mineral Projects.

Analytical work was performed by ALS Minerals of Val-d’Or (Quebec), a certified commercial laboratory (Accredited Lab #689). Sample preparation was done at ALS Minerals in Val d\'Or (Quebec). Assaying was done by fire assay methods with an atomic absorption finish. Any sample assaying >3 g/t Au was rerun with by fire assay method with gravimetric finish, and any sample assaying >10 g/t Au was rerun with the metallic sieve method. 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.

ABOUT WESDOME
Wesdome Gold Mines has had over 30 years of continuous gold mining operations in Canada. The Company is 100% Canadian focused with a pipeline of projects in various stages of development. The Company’s strategy is to build Canada’s next intermediate gold producer, producing 200,000+ ounces from two mines in Ontario and Quebec. 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. The Company has approximately 138.0 million shares issued and outstanding and trades on the Toronto Stock Exchange under the symbol “WDO”.

For further information, please contact:

Duncan MiddlemissorLindsay Carpenter Dunlop
President and CEO VP Investor Relations
416-360-3743  ext. 2029 416-360-3743  ext. 2025
duncan.middlemiss@wesdome.com lindsay.dunlop@wesdome.com

220 Bay St, Suite 1200
Toronto, ON, M5J 2W4
Toll Free: 1-866-4-WDO-TSX
Phone: 416-360-3743, Fax: 416-360-7620
Website: www.wesdome.com

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: Kiena Complex Drilling Assay and Composite Results

Composites

Hole No.From
(m)
To
(m)
Core Length
(m)
Estimated True
width (m)
Grade
(g/t Au)
Cut Grade
(90 g/t Au)
Name Zone
6580725.0735.010.05.6114.8432.84A2 Zone
6580W1290.2307.417.211.625.2921.02A2 Zone
6580W2332.7342.49.74.286.4531.69A2 Zone
6580W3413.1420.57.42.912.5912.59A2 Zone
6581*632.0639.17.15.526.7516.14A2 Zone
6592239.0248.29.27.066.7916.76A Zone
6593225.4235.910.58.5106.2737.75A Zone
6594211.6215.03.42.748.8631.92A Zone
6596240.2246.05.85.053.0023.35A Zone
6597223.1229.96.85.017.2314.59A Zone
6598254.0261.27.23.231.5518.41A1 Zone
6601486.6490.64.02.860.5323.78A2 Zone
6602A498.6502.64.02.030.5226.53A1 Zone
6604*491.3494.93.63.05.045.04A Zone
6604*497.6506.08.47.04.994.99A1 Zone
6606128.9139.810.98.030.4518.96A1 Zone
6606146.8150.73.93.87.697.69A2 Zone
6613119.3125.36.03.216.6316.63A Zone
* Metallic Sieve Analysis Pending     

Assays

Hole No.From
(m)
To
(m)
Core Length
(m)
Grade
(g/t Au)
Name Zone 
6580725.0726.01.04.00A2 Zone 
6580726.0727.01.00.37A2 Zone 
6580727727.90.981.00A2 Zone 
6580727.9728.91.052.30A2 Zone 
6580728.9729.91.0225.00A2 Zone 
6580729.9730.91.0775.00A2 Zone 
6580730.9731.91.03.83A2 Zone 
6580731.9733.01.10.68A2 Zone 
65807337341.00.49A2 Zone 
65807347351.013.75A2 Zone 
       
6580W1290.2291.21.030.90A2 Zone 
6580W1291.2292.21.0163.50A2 Zone 
6580W1292.2293.21.021.20A2 Zone 
6580W1293.2293.70.510.05A2 Zone 
6580W1293.8294.81.026.30A2 Zone 
6580W1294.8295.81.025.50A2 Zone 
6580W1295.8296.81.06.74A2 Zone 
6580W1296.8297.81.067.00A2 Zone 
6580W1297.8298.40.62.51A2 Zone 
6580W1298.4299.41.00.17A2 Zone 
6580W1299.4300.41.00.78A2 Zone 
6580W1300.4301.41.08.36A2 Zone 
6580W1301.4302.41.057.50A2 Zone 
6580W1302.4303.41.00.27A2 Zone 
6580W1303.4304.61.20.18A2 Zone 
6580W1304.6305.61.00.15A2 Zone 
6580W1305.6306.61.00.78A2 Zone 
6580W1306.6307.40.824.60A2 Zone 
       
6580W2332.7333.50.83.24A2 Zone 
6580W2333.5334.30.81.15A2 Zone 
6580W2334.3335.31.04.72A2 Zone 
6580W2335.3336.31.012.40A2 Zone 
6580W2336.3337.31.0498.00A2 Zone 
6580W2337.3338.31.0145.50A2 Zone 
6580W2338.3339.31.05.20A2 Zone 
6580W2339.3340.31.02.18A2 Zone 
6580W2340.3341.31.00.38A2 Zone 
6580W2341.3342.41.1151.50A2 Zone 
       
6580W3413.1414.11.015.10A2 Zone 
6580W3414.1415.21.12.34A2 Zone 
6580W3415.2416.21.00.29A2 Zone 
6580W3416.2417.51.30.08A2 Zone 
6580W3417.5418.51.036.80A2 Zone 
6580W3418.5419.51.06.50A2 Zone 
6580W3419.5420.51.031.80A2 Zone 
       
6581632.0633.01.01.08A2 Zone 
6581633.0634.01.01.03A2 Zone 
6581634.0635.01.00.62A2 Zone 
6581635.0636.01.00.14A2 Zone 
6581636.0637.01.00.15A2 Zone 
6581*637.0638.01.012.55A2 Zone 
6581*638.0639.11.1158.50A2 Zone 
       
6592239.0240.01.04.19A Zone 
6592240.0241.01.00.21A Zone 
6592241242.31.3444.00A Zone 
6592242.3243.31.00.25A Zone 
6592243.3244.00.70.17A Zone 
65922442451.05.45A Zone 
6592245.0246.01.00.08A Zone 
6592246.0246.80.80.59A Zone 
6592246.8247.60.80.90A Zone 
6592247.6248.20.642.90A Zone 
       
6593225.4226.41.076.80A Zone 
6593226.4227.41.0750.00A Zone 
6593227.4228.10.7157.50A Zone 
6593228.1229.00.91.99A Zone 
6593229.0230.31.399.40A Zone 
6593230.3231.31.00.25A Zone 
6593231.3232.31.00.23A Zone 
6593232.3233.00.70.32A Zone 
65932332341.05.42A Zone 
6593234234.90.90.24A Zone 
6593234.9235.91.041.40A Zone 
       
6594211.6212.81.2138.00A Zone 
6594212.8214.01.20.26A Zone 
65942142151.00.20A Zone 
       
6596240.2241.51.33.91A Zone 
6596241.5242.30.8305.00A Zone 
6596242.3243.10.82.18A Zone 
6596243.1243.90.80.18A Zone 
6596243.9245.01.148.10A Zone 
6596245245.50.55.80A Zone 
6596245.5246.00.51.32A Zone 
       
6597*223.1224.11.0108.00A Zone 
6597224.1225.11.00.22A Zone 
6597225.1226.11.00.03A Zone 
6597226.1226.60.51.08A Zone 
6597226.6227.61.00.02A Zone 
6597227.6228.91.30.68A Zone 
6597228.9229.91.07.51A Zone 
       
6598254.0255.21.21.78A1 Zone 
6598255.2256.21.022.60A1 Zone 
6598256.2257.31.1176.00A1 Zone 
6598257.3258.41.13.70A1 Zone 
6598258.4259.81.42.40A1 Zone 
6598259.8261.21.40.97A1 Zone 
       
6601486.6487.61.0237.00A2 Zone 
6601487.6488.61.01.77A2 Zone 
6601488.6489.61.00.58A2 Zone 
6601489.6490.61.02.78A2 Zone 
       
6602A498.6499.71.1104.50A1 Zone 
6602A499.7500.71.04.31A1 Zone 
6602A500.7501.81.11.86A1 Zone 
6602A501.8502.60.91.04A1 Zone 
       
6604*491.3491.90.612.45A Zone 
6604491.9492.91.06.27A Zone 
6604492.9493.91.02.36A Zone 
6604493.9494.91.02.05A Zone 
       
6604497.9498.91.03.20A1 Zone 
6604498.9499.91.04.67A1 Zone 
6604499.9500.91.01.29A1 Zone 
6604500.9501.91.04.02A1 Zone 
6604*501.9502.91.016.70A1 Zone 
6604502.9503.91.01.27A1 Zone 
6604503.9504.91.04.82A1 Zone 
6604504.9506.01.14.08A1 Zone 
       
6606128.9130.31.4179.50A1 Zone 
6606130.3131.51.20.10A1 Zone 
6606131.5132.71.20.02A1 Zone 
6606132.7133.71.00.25A1 Zone 
6606133.7134.71.00.03A1 Zone 
6606134.7135.71.00.03A1 Zone 
6606135.7136.71.02.28A1 Zone 
6606136.7137.71.02.05A1 Zone 
6606137.7138.71.03.23A1 Zone 
6606138.7139.81.166.00A1 Zone 
       
6606146.8147.81.020.30A2 Zone 
6606147.8148.70.90.47A2 Zone 
6606148.7149.71.00.49A2 Zone 
6606149.7150.71.08.77A2 Zone 
       
6613486.6487.61.09.33A Zone 
6613487.6488.61.067.60A Zone 
6613488.6489.61.019.75A Zone 
6613489.6490.61.05.79A Zone 
6613489.6490.61.00.87A Zone 
6613489.6490.61.011.20A Zone 
* Metallic Sieve Analysis Pending   

Photos accompanying this announcement are available at 

https://www.globenewswire.com/NewsRoom/AttachmentNg/abc29ffe-492a-40d4-a502-46b95f7cca03

https://www.globenewswire.com/NewsRoom/AttachmentNg/e5e5bc74-c906-41ae-8b74-efd125039515

https://www.globenewswire.com/NewsRoom/AttachmentNg/2090a538-04c6-4e04-bfa0-778532710b86

https://www.globenewswire.com/NewsRoom/AttachmentNg/833cb418-9226-40eb-b641-ea78e53ceeb5

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