Wesdome Updates Kiena Deep Exploration Ramp Development and Latest Drill Results

 
Download as PDF Published on: February 8, 2018

TORONTO, Feb. 08, 2018 (GLOBE NEWSWIRE) -- Wesdome Gold Mines Ltd. (TSX:WDO) (“Wesdome” or the “Company”) is pleased to provide an update on underground drilling activities and current exploration ramp development at its 100% owned Kiena Mine Complex, in Val d'Or, Quebec.

Development of the Kiena Deep exploration ramp at the 1000 metre level commenced early August 2017 with 677 linear metres completed to date and is expected to be completed by the end of March 2018. In sequence with the ongoing ramp development, drilling of the Kiena Deep resumed on Zone B and the untested gap between Zone B and Zone A. Comparatively, Zone B is a lower grade, wider zone of quartz stockwork and gold mineralization compared to Zone A and the Upper Quartz zone, that consist of predominantly quartz veins and breccias. Drilling of the Zone A and Upper Quartz of the Kiena Deep is expected to commence in March and April, respectively.

A second drill was mobilized to drill station #4 early December to delineate the deeper part of the Kiena Deep Zone B sector. To date, 19 holes from drill station #2 at the 1000 metre level and 5 holes from drill station #4 at the 1002 metre level have been completed. Drilling confirms the existence of a multi-vein quartz stockwork/breccia system occurring near altered and deformed komatiite-tholeiitic basalt contacts. Early results from Kiena Deep B zone indicate moderate to locally higher gold grades obtained with occasional visible gold observed (see below highlights, Figure 1 and Table 1). Additionally, the new platforms on the ramp have enabled us to drill shorter, more accurate holes, significantly improving drilling performance.

Results Highlights:

Kiena Deep B Zone

34.37 g/t Au uncut  (24.16 g/t cut) over 4.5 m core length (1.6 m true width) in hole 6186* Kiena Deep Sector
5.25 g/t Au uncut (5.25 g/t cut) over 4.1 m core length (2.6 m true width) in hole 6241A Kiena Deep B Zone
23.07 g/t Au uncut (23.07 g/t cut) over 0.9 m core length (0.7 m true width)in hole 6243 Kiena Deep B Zone
4.17 g/t Au  uncut (4.17 g/t cut) over 13.0 m core length (12.7 m true width) in hole 6250 Kiena Deep B Zone
Including 17.4 g/t Au  over 2.0 m core length (17.4 g/t cut) Kiena Deep B Zone
   

*Previously unreported from pre-ramp drilling.
 All assays capped at 34.28 g/t Au. True widths are estimated.

As the ramp development has continued, one drill has been actively drilling several auxiliary targets near existing underground development including the S-50 and VC zone sectors and has returned encouraging results. (see below highlights and Table 1).

VC Zone

6.68 g/t Au uncut (6.02 g/t cut) over 37.6 m core length (6.1 m true width) in hole 6187 VC6
Including 10.01 g/t Au over 20.5 m core length (8.8 g/t cut) VC6
6.61 g/t Au uncut (5.15 g/t cut) over 17.0 m core length (6.0 m true width) in hole 6191 VC6
Including 34.83 g/t Au over 2.3 m core length (24.0 g/t cut) VC6
98.51 g/t Au uncut (19.63 g/t cut) over 3.0 m core length (2.2 m true width) in hole 6228 VC1
8.07 g/t Au uncut (8.07 g/t cut) over 6.8 m core length (4.7 m true width) in hole 6231 VC6
   

S-50 Zone

17.89 g/t Au uncut (16.3 g/t cut) over 6.0 m core length (5.0 m true width)in hole 6190 S-50
4.68 g/t Au uncut (4.68 g/t cut) over 13.2 m core length (1.1 m true width) in hole 6211 S-50
18.5 g/t Au uncut (18.5 g/t cut) over 0.7 m core length (0.3 m true width) in hole 6222A S-50
   

Mr. Duncan Middlemiss, President and CEO, commented, “Due to the layout of the exploration ramp, drilling of the Kiena Deep resumed on Zone B, (7.87 grams per tonne gold over 8.2 metres August 2016 initial discovery hole). Zone B is a lower grade, wider area of the deposit compared to Zone A (192.95 grams per tonne gold over 16.95 metres August 2016 initial discovery hole). Recent results on Zone B are consistent with the geology and expectations, and we remain very encouraged by results in this area. Drilling from the ramp platforms will continue to test Zone B as well as the untested gap between Zone B and Zone A, until the ramp advances further to the west. In late February, the ramp is expected to be in a position where the drill can be mobilized to begin drilling Zone A. A total of 50,000 metres is planned to be drilled underground and 12,000 on surface in 2018.

“We have continued to focus one drill following up on near-mine, auxiliary targets such as the VC and S-50 Zones, as they are important components of any potential re-start plan. Results from both of these areas are encouraging, as they are strong intercepts located close to existing mine infrastructure and development.”

In addition, a high resolution airborne magnetic survey is currently underway covering the entire Kiena - Val-d’Or property to help delineate potential gold bearing structural trends and aid in generating new drill targets.

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. An independent 43-101 report dated December 16, 2015 for the first time assessed the exploration potential and known resources for the entire property. Measured and Indicated resources below a 100 metre crown pillar total 2,500,600 tonnes at 5.59 grams per tonne for 449,000 ounces. Additional inferred resources below a 100 metre crown pillar total 1,563,300 tonnes at a 7.97 grams per tonne for 400,400 ounces.

Technical Report for the Quebec Wesdome Project (according to National Instrument 43-101 and Form 43-101F1) dated December 16, 2015 prepared by Bruno Turcotte, P.Geo., Denis Gourde, Eng., Pierre-Luc Richard, P.Geo. of InnovExplo Inc.

TECHNICAL DISCLOSURE

The technical and scientific disclosure in this press release has been compiled, reviewed and approved by Marc Ducharme, P. Geo. (OGQ #597), Chief Exploration Geologist of Wesdome and a "Qualified Person" as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects.

Analytical work was performed by Techni-Lab (ActLabs) of Ste-Germaine-Boulé (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-Boulé (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.

ABOUT WESDOME

Wesdome Gold Mines is in its 31st 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 near 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 Company has further upside at its Moss Lake gold deposit, located 100 kilometres west of Thunder Bay, Ontario. The Company has approximately 133 million shares issued and outstanding and trades on the Toronto Stock Exchange under the symbol “WDO.”

For further information, please contact:

Duncan Middlemiss
President and CEO
416-360-3743  ext. 29
dmiddlemiss@wesdome.com

or

Lindsay Carpenter Dunlop
VP Investor Relations
416-360-3743  ext. 25
ldunlop@wesdome.com

Michael Michaud
VP, Exploration
416-360-3743 ext. 22
905-410-3191
mmichaud@wesdome.com

8 King St. East, Suite 811
Toronto, ON, M5C 1B5

Toll Free: 1-866-4-WDO-TSX
Phone: 416-360-3743
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.

 

Table 1: Kiena Drilling Results

Hole No. From
(m)
To (m) Core length
(m)
Estimated
true width
(m)
Grade
(g/t Au)
Cut Grade *
(g/t Au)
Target
6181 346.70 348.20 1.50 0.6 1.26 1.26 Kiena Deep Sector
6182         NSA NSA Kiena Deep Sector
6185 39.00 49.00 10.00 2.7 5.66 5.66 S-50
6186 233.40 237.90 4.50 1.6 34.37 24.16 Kiena Deep Sector
6187 41.40 79.00 37.60 6.1 6.68 6.02 VC6
Including 58.50 79.00 20.50 3.4 10.01 8.80 VC6
6188 44.70 46.00 1.30 1.3 1.24 1.24 S-50 Sector
6189 5.70 11.00 5.30 4.6 2.97 2.97 S-50 Sector
6190 7.00 17.60 10.60 9.8 11.55 10.66 S-50
Including 7.00 13.00 6.00 5.0 17.89 16.30 S-50
6191 28.50 45.50 17.00 6.0 6.61 5.15 VC6
Including 42.00 44.30 2.30 0.8 34.83 24.00 VC6
6192 32.50 37.80 5.30 1.1 8.23 8.23 VC6
6193 68.60 73.60 5.00 1.8 1.98 1.98 S-50
6194 73.25 76.00 2.75 0.4 2.23 2.23 S-50 Sector
6195 62.50 68.00 5.50 5.1 4.76 4.76 S-50
6196 50.60 57.00 6.40 6.3 1.77 1.77 S-50
6197 48.00 58.50 10.50 10.3 1.57 1.57 S-50
Including 48.00 50.50 2.50 2.5 3.14 3.14 S-50
6198 50.70 56.80 6.10 5.2 3.04 3.04 S-50
6199 138.00 141.00 3.00 2.3 3.27 3.27 S-50 Sector
6200 60.00 65.60 5.60 2.0 1.63 1.63 S-50
6202 260.30 263.30 3.00 2.7 0.30 0.30 VC Sector
6203 54.80 56.00 1.20 0.9 2.92 2.92 VC Sector
6204 96.00 98.60 2.60 1.6 1.28 1.28 VC Sector
6205 352.20 353.50 1.30 1.0 2.71 2.71 VC Sector
6206 40.80 43.40 2.60 1.8 1.68 1.68 VC Sector
6207 31.50 32.40 0.90 0.7 6.64 6.64 VC Sector
6208 202.50 207.50 5.00 4.1 2.80 2.80 VC Sector
6209 126.40 127.40 1.00 0.7 12.54 12.54 VC Sector
6210 273.90 278.10 4.20 2.3 8.49 4.71 VC1
6211 32.30 45.50 13.20 10.9 4.68 4.68 S-50
6211 51.00 52.50 1.50 1.1 15.38 15.38 S-50 Sector
6212 23.10 38.70 15.60 15.1 2.02 2.02 S-50
6213 25.00 34.00 9.00 8.8 1.15 1.15 S-50
6214 21.00 37.00 16.00 13.0 1.36 1.36 S-50
Including 21.00 23.00 2.00 1.6 4.74 4.74 S-50
6215 41.00 51.00 10.00 5.9 2.40 2.40 S-50
6216         NSA NSA S-50
6217 34.50 36.00 1.50 1.4 2.00 2.00 S-50 Sector
6218 5.60 7.00 1.40 0.8 4.61 4.61 S-50
6218 47.30 53.10 5.80 3.2 2.05 2.05 S-50
6219 161.40 162.80 1.40 0.5 6.94 6.94 S-50 Sector
6219 583.00 587.70 4.70 4.4 2.06 2.06 VC Sector
6222 147.30 148.85 1.55 0.7 5.50 5.50 S-50 Sector
6222A 26.40 27.10 0.70 0.3 18.50 18.50 S-50 Sector
6223 216.10 225.00 8.90 5.4 3.03 3.03 S-50
6223 309.00 314.90 5.90 3.8 4.11 4.11 S-50
6224 274.70 277.70 3.00 1.0 6.42 6.42 S-50
6225 392.00 393.30 1.30 0.8 10.55 10.55 South Zone
6226 353.60 358.60 5.00 2.9 2.25 2.25 South Zone
6227 117.60 118.80 1.20 1.0 3.86 3.86 VC Sector
6228 51.70 54.70 3.00 2.2 98.51 19.63 VC Sector
6229 283.70 285.00 1.30 0.9 3.48 3.48 VC Sector
6230 22.50 34.40 11.90 11.8 2.75 2.75 VC6
Including 29.10 34.40 5.30 5.3 5.00 5.00 VC6
6231 29.80 36.40 6.80 4.7 8.07 8.07 VC6
6232 74.30 75.40 1.10 0.2 1.66 1.66 VC6
6233 28.00 32.30 4.30 3.6 1.13 1.13 VC6
6234 253.5 261.00 7.50 5.1 0.06 0.06 VC1
6235 54.10 56.70 2.60 1.7 1.19 1.19 VC Sector
6236         ABD ABD VC Sector
6236A 270.00 271.50 1.50 0.9 1.03 1.03 VC Sector
6238 63.80 64.80 1.00 0.4 1.64 1.64 VC6
6239         NSA NSA VC Sector
6239A 51.70 58.70 7.00 2.0 2.88 2.88 VC6
Including 55.40 58.70 3.30 0.9 5.45 5.45 VC6
6240 89.50 90.20 0.70 0.4 2.16 2.16 VC6
6241         NSA NSA Kiena Deep B Sector
6241A 193.50 197.60 4.10 2.6 5.25 5.25 Kiena Deep B Sector
6242 102.10 107.00 4.90 3.5 2.07 2.07 Kiena Deep B Zone
6243 111.90 112.80 0.90 0.7 23.07 23.07 Kiena Deep B Sector
6244 100.10 105.30 5.20 4.8 2.22 2.22 Kiena Deep B Zone
6245 80.30 85.30 5.00 4.9 2.20 2.20 Kiena Deep B Zone
6246 40.00 49.60 9.60 5.1 1.79 1.79 VC6
6247 98.10 99.10 1.00 0.0 14.30 14.30 VC6
6248 76.70 78.90 2.20 2.2 3.73 3.73 Kiena Deep B Zone
6249 57.70 59.20 1.50 1.4 2.14 2.14 Kiena Deep B Zone
6250 76.70 89.70 13.00 12.7 4.17 4.17 Kiena Deep B Zone
Including 79.70 84.70 5.00 4.9 8.26 8.26 Kiena Deep B Zone
Including 79.70 81.70 2.00 2.0 17.40 17.40 Kiena Deep B Zone
6251 96.00 98.00 2.00 1.9 1.53 1.53 Kiena Deep B Sector
6253 84.00 90.80 6.80 6.0 2.39 2.39 Kiena Deep B Zone
6254 107.00 110.00 3.00 2.4 1.76 1.76 Kiena Deep B Zone
6255 111.70 115.70 4.00 2.6 2.14 2.14 Kiena Deep B Sector
6256 112.00 113.10 1.10 0.8 1.47 1.57 Kiena Deep B Zone
6257 147.90 156.00 8.10 4.5 1.42 1.42 Kiena Deep B Zone
6258 143.00 149.00 6.00 3.1 1.16 1.16 Kiena Deep B Zone
6260 270.00 275.30 5.30 3.7 3.10 3.10 Kiena Deep B Zone
6261 346.00 347.00 1.00 0.6 7.24 7.24 Kiena Deep B Zone
6262 112.30 113.30 1.00 0.8 3.11 3.11 Kiena Deep B Zone
6263A 144.70 145.30 0.60 0.4 7.60 7.60 Kiena Deep B Zone
               
* Assay intervals include values cut to an arbitrary, historic 1 oz / ton or 34.28 g/t Au  
NSA = No significant assay          
ABD = Hole abandoned          
           

A photo accompanying this announcement is available at

http://www.globenewswire.com/NewsRoom/AttachmentNg/6c2fdf17-6ee9-41fc-822f-414d9405311b