West Kirkland Mining Inc. (TSXV:WKM) (“West Kirkland”, “WKM” or the
“Company”) is pleased to announce a significant new gold and silver
target, at or near surface, on the newly acquired 100% controlled
Gold Mountain mining claims near Tonopah, Nevada. From peak
to peak, Gold Mountain is located only 1.6 km east of Hasbrouck
hill. The objective of WKM’s exploration program in the
district is to add gold resources and reserves near the Company’s
existing reserves that are within easy trucking distance to the
Company’s planned and permitted heap leach processing facilities.
The Gold Mountain target was identified by
analyzing historic samples along existing, long road cuts with
assay values at or better than Hasbrouck reserve grades.
Through the December, 2017 lease agreement with Tonopah
Divide Mining Company, WKM acquired an extensive historic
exploration database. Utilizing the acquired data base along
with field samples and observations, WKM mapped the bedding of
known structures and completed a three-dimensional geological model
for the Gold Mountain area of property.
The Hasbrouck Technical Report1 summarizes one
of the key ore controls at Hasbrouck as follows:
“Stratigraphic control, whereby the porous volcaniclastic units are
preferentially mineralized, is prevalent throughout the deposit,
but is especially evident in many of the moderate-grade zones…”
Comparison of WKM’s three-dimensional model for Gold Mountain to
the flat bedded controls for part of the known reserves on the
adjacent Hasbrouck hill demonstrated the potential for a relatively
flat lying, thick and near surface deposit at Gold Mountain.
WKM’s analysis also determined that some
historic drilling did test the flat lying, gold bearing zone that
now forms the target identified by WKM. At the time of the
historic road cut sampling and drilling in the 1980’s and 1990’s,
the flat bedded host rock control of gold mineralization in the
area was not well recognized or understood. Gold prices were
also lower, causing exploration at the time to be focussed on high
grade targets.
From the database WKM found 1608 feet (490
meters) of road cuts into Gold Mountain that have the gold and
silver assay values reported below. A series of 20 foot (7m)
continuous samples were taken along the roads. Results are
shown in the table below.
Historic Road Cut Continuous 20 foot Chip Sample
Sections
Surface Samples |
Interval (ft) |
Gold (g/t) |
Silver g/t |
Location |
Road Cut 1 |
441 |
0.87 |
2.4 |
NE Side (26 samples) |
Road Cut 2 |
917 |
0.65 |
13.2 |
SW Side (47 samples) |
Road Cut 3 |
250 |
0.68 |
22.5 |
East-High (16 samples) |
The mineralized road cuts have similar grades to
the Hasbrouck Reserves (0.583 g/tonne Au and 7.9 g/t Ag) located
approximately 6,500 feet (2,000 meters) to the west. The road
cuts with mineralization are close to the flat dipping contact of
two mapped units. The mineralized road cuts cover a large
area. Three approximately 250 foot sections of road cut were
sampled with low values and are interpreted as being off the
layered contact. Some mapped and well mineralized road cuts
were not sampled and WKM plans to sample these. Detailed
mapping and further sampling will be required to delineate and
expand the target.
Limited historic drilling under the road cuts
described above has shown gold and silver values at or near surface
with results in the table below. Historic deep drill cuts
across the mountain are interpreted to have been collared in or
under the new WKM identified flat bedded contact. The
historic drilling was targeting different, higher grade structures
below the flat bedded layers now identified by WKM. Areas
above the historic road cuts are observed to host the new flat
bedded target and are open for new road cut sampling/trenching and
further drilling. The historic drill holes that have been
identified with intercepts of the new WKM flat bedded target also
returned similar grades to the Hasbrouck Reserves. See table
below.
Historic Drill Holes in the Area of the Flat
Road Cut Targets
Drillhole |
Interval (ft) |
Gold (g/t) |
Silver g/t |
From (ft) |
DR-1 95 |
225 |
1.10 |
5.2 |
45 |
DR-2 95 |
60 |
0.86 |
10.5 |
60 |
DR-3 95 |
55 |
0.85 |
10.3 |
Surface |
GM-9-90 |
25 |
0.41 |
3.1 |
30 |
DR-4 95 |
20 |
1.19 |
7.6 |
25 |
GM-10-90 |
15 |
0.44 |
2.1 |
50 |
F-1309-80 |
90 |
1.49 |
5.2 |
120 |
F-1313 80 |
30 |
0.31 |
0.8 |
80 |
F-1312 80 |
20 |
0.39 |
9.3 |
5 |
GM-11-90 |
45 |
0.95 |
2.6 |
165 |
The interpretation of stratigraphic control at
the nearby Hasbrouck deposit is supportive of WKM’s new
interpretation at Gold Mountain. The overall variable dip and
true thickness of the flat target, near surface, cannot yet be
estimated. Further road cuts higher and lower on the hill
along with short vertical holes through exposed mineralization will
be required to estimate the continuity and scale of the new flat
bedded target.
A historic, north east trending, near vertical
narrow vein at Gold Mountain, with small scale production from
portals on multiple levels, may have acted as a feeder to the flat
bedded target. This vertical zone has been tested by one or
two historic holes, which returned low values. A series
of high grade grab samples along this interpreted vein for 280
meters of strike length trending north east outlines this target.
Values range from 0.29 g/t gold to 50 g/t, with 9 values from
10-20 g/t tonne gold. The width of this vein is unclear.
The intersection of the high-grade vein and the flat bedded
target has not been drilled or sampled and this intersection area
is also targeted for new road cuts/trenches and surface
sampling.
A map accompanying this announcement is
available
at http://www.globenewswire.com/NewsRoom/AttachmentNg/ffbf4a26-6d3b-4a67-bcac-a4f06222c300
A map accompanying this announcement is available
at http://www.globenewswire.com/NewsRoom/AttachmentNg/5f7627c7-b02e-4dba-82b2-1c77cd6b35ec
About the Hasbrouck Gold Project and West
Kirkland
Over the past twelve months, West Kirkland has
progressively acquired a 100% interest in 3,700 acres of
prospective land between the original two deposits of the Hasbrouck
Gold Project. The new target reported herein is on 100%
leased land.
The Hasbrouck Gold Project contains Proven &
Probable Reserves of 784,000 gold equivalent oz, (45,270,000 tons
at 0.017 Au oz/t for 762,000 contained Au oz; 0.233 Ag oz/t for
10,569,000 contained Ag ounces, NPV5 Post Tax ($1,275/oz Au)
estimated at $120M, IRR 43% (Technical Report and Updated
Preliminary Feasibility Study for The Hasbrouck and Three Hills
Gold-Silver Project, Esmeralda County, Nevada, USA, Report Date:
September 14, 2016). Waterton Precious Metals Fund II Cayman, LP
holds a 25% interest in the Hasbrouck Gold Project and is
participating in project expenditures. The first pit is fully
permitted and permitting the second pit is ongoing.
The Hasbrouck Gold Project consists of two
all-oxide gold-silver deposits eight km apart, near the Town of
Tonopah in southern Nevada. Both deposits can be open-pit
mined at 1:1 stripping ratios with minimal pre-stripping and with
76% gold recovery by heap leaching. There are no known technical,
environmental, economic or social obstacles that would prevent the
company from proceeding immediately to construction on the first
part of the Hasbrouck Mine plan at Three Hills. Permitting is
advanced and is in progress for the second part of the mine
plan.
Qualified Person
R. Michael Jones P.Eng, CEO of West Kirkland
Mining, is a non-independent Qualified Person as defined by NI
43-101. He has reviewed the information contained in this news
release and has verified the data by hiring qualified geologists
and engineers and has completed a review of the detailed technical
information. Mineral Reserve information in this news release
relating to the Hasbrouck Gold Project has been developed and
approved by Thomas L. Dyer, P.E., of MDA following CIM
standards.
Quality Assurance/Quality
Control
West Kirkland Mining utilizes a well-documented
system of inserting blanks and standards into the assay stream and
has a strict chain of custody for samples taken by WKM.
Assays by WKM are completed at independent laboratories which have
internal quality assurance and quality control systems and
procedures. Assays were performed by ALS Chemex Labs Ltd., by
fire assay and ICP methods.
The historic work was completed by previous
property explorers and developers and provided to WKM in digital
form in an extensive database. The surface assays on road cuts and
grab samples were performed at ALS labs by standard fire assays
with ICP finish methods. Drill hole assay data for the 1995 and
1990 programs were completed at Barringer labs, GSI labs, and labs
respectively with fire assay methods and ICP or AA finish.
The 1980 holes do not have assay lab data available, but the
values were part of historic production mine work at the time and
are consistent with the ALS surface data nearby. Although the
work was completed prior to NI-43101 and was not under WKM control
and chain of custody, the work was completed by qualified
professional geologists and laboratories utilizing standard
methods. The results of various dates and operators provide
similar results to the surface sample assay work by ALS labs.
For the purpose of general exploration target generation, the
Non-Independent QP has reviewed the data in detail and has accepted
it as verified for general indicative exploration targeting. The
data was verified by ensuring a reasonable mineralization type and
assay tenor comparison, in the same area, between multiple project
exploration companies and labs, along with a review and acceptance
of the quality of the work reported. Further confirmation
assays under WKM procedures would be required for this data to be
used in resource calculations.
On behalf of West Kirkland Mining Inc. “R.
Michael Jones” Chief Executive Officer
For further information, please see the
Company’s website at www.wkmining.com or contact us by email at
info@wkmining.com.
Disclaimer for Forward-Looking
Information
This press release contains forward-looking
information or forward-looking statements (collectively
"forward-looking information") within the meaning of applicable
securities laws. Forward-looking information is typically
identified by words such as: “believe”, “expect”, “anticipate”,
“intend”, “estimate”, “postulate” and similar expressions, or are
those, which, by their nature, refer to future events.
Forward-looking information in this news release includes, without
limitation, the exploration and project approach of a
Prefeasibility Study. Historical mineral title also has risk
of an unrecorded claim. The Company cautions investors that any
forward-looking information provided by the Company is not a
guarantee of future results or performance, and that actual results
may differ materially from those in forward-looking information as
a result of various factors, including, but not limited to, the
state of the financial markets for the Company's equity securities,
the state of the market for gold or other minerals that may be
produced generally, variations in the nature, quality and quantity
of any mineral deposits that may be located, the Company's ability
to obtain any necessary permits, consents or authorizations
required for its activities, to raise the necessary capital or to
be fully able to implement its business strategies and other risks
associated with the exploration and development of mineral
properties. The reader is referred to the Company's public
filings for a more complete discussion of such risk factors and
their potential effects which may be accessed through the Company's
profile on SEDAR at www.sedar.com.
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.
1 Technical Report and Updated Preliminary Feasibility Study for
The Hasbrouck and Three Hills Gold-Silver Project, Esmeralda
County, Nevada, USA, Report Date: September 14, 2016 (the
“Technical Report”).
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