Drilling Slated To Begin on PFN's Option With Xstrata Nickel in Timmins
VANCOUVER, April 11 /CNW/ - Pacific North West Capital Corp. ('PFN')
(TSX: PFN; OTCBB: PAWEF; Frankfurt: P7J) is pleased to announce that as part
of a mandate to expand its project portfolio in both platinum group and base
metal projects in North America, PFN is concluding the acquisition of several
new nickel projects in and around GGL Diamonds' (GGL:TSX.V) nickel properties
in the North West Territories.
The Geological Survey of Canada recently completed a mapping project
which identified an extensive belt of rocks reported to have the potential for
hosting significant nickel mineralization. PFN's President and CEO Harry Barr
stated, "GGL's technical team should be credited with identifying what may be
one of the first new nickel areas since the discovery of Voisey's Bay. PFN's
management is excited about being involved in the beginning of what appears to
be one of the first new base metal staking rushes in recent times in the North
Upon completion of the acquisition program, PFN's technical team will
finalize its budget and plan for the 2007 exploration program which may
include airborne magnetic and EM surveys to outline and define potential
target areas for nickel mineralization. The EM surveys will be followed up by
ground proofing with the objective of defining drill targets. Further
announcements will be forthcoming regarding the development of PFN's new
acquisitions in the Winter Lake Supracrustal Belt, North West Territories.
Update on Xstrata Nickel Option/Drill Program, Timmins Ontario
On January 18th 2007, PFN announced the approval of a 2,000 metre diamond
drill program at its West Timmins Nickel project south of Xstrata Nickel's
Montcalm mine (see: http://www.pfncapital.com/i/maps/pfn_ne1.jpg). Xstrata
Nickel is currently completing a deep drill program on its Montcalm Mine
Claims. Drilling on PFN claims will begin immediately upon completion of the
Xstrata Nickel program.
The West Timmins project is located adjacent to Xstrata's Montcalm
deposit. The deposit contains an estimated resource of 7 million tonnes of
nickel/copper sulphide, of which an estimated 4.2 million tonnes grading 1.45%
nickel and 0.69% copper are in the measured category and are expected to
support a mine life of approximately 8.5 years. Ore is transported 90 km east
from the Montcalm Mine to the Kidd Creek Metallurgical Complex to be
An extensive geophysical and ground proofing exploration program has been
completed. PFN has expended approximately $1.4 million on the project to date.
Under the terms of the Agreement, PFN will spend $4 million over a 4 year
period in order to vest a 100% interest in the Project. Xstrata Nickel, for
its part, will retain a 2% NSR and may, under certain circumstances, earn back
in up to 65% interest, by either completing a feasibility study or spending
$20 million on a feasibility study, whichever occurs first. Under the terms of
the Agreement, PFN is the project operator.
About Pacific North West Capital Corp.
Pacific North West Capital Corp. (TSX: PFN; OTCBB: PAWEF; Frankfurt: P7J)
is an exploration company focused on platinum group and base metal projects in
North America. PFN is committed to advancing its existing projects and
acquiring new PGM and base metals projects via self-funding or option/joint
venture agreements with major mining companies. The company has $4.7 million
in working capital and no debt.
Stillwater Mining Company (NYSE: SWC), the largest producer of palladium
and platinum in the Western Hemisphere, recently purchased 11% of PFN and is a
strategic partner in the search for new platinum group metal discoveries in
North America. Stillwater Mining recently signed a letter of intent to invest
$4.5 million into PFN's Alaskan exploration and reconnaissance programs
including the Goodnews Bay Platinum Project. PFN is the project operator.
PFN is currently exploring the River Valley Project, located near Sudbury
Ontario, joint ventured 50/50 with Anglo Platinum Limited ("Anglo Platinum"),
the world's largest primary producer of platinum. Anglo Platinum has committed
over $19 million to the River Valley Project to date and may earn a 60%
interest in the project by completing a feasibility study and a 65% interest
by funding it through to production.
Current measured and indicated resources: 30.5 million tonnes containing
953,900 ounces of palladium (0.97 g/t), 329,500 ounces of platinum (0.34 g/t)
and 59,500 ounces of gold (0.061g/t) with an additional 2.3 million tonnes
containing 67,000 ounces of palladium (0.87g/t), 23,800 ounces of platinum
(0.31g/t) and 4,000 ounces of gold (0.05 g/t) of Inferred Resources using a
0.7 g/t cut off (pt/pd). The objective of the 2006 $1.1 million Phase 9A
budget was to extend the new Platinum Group Metal mineralized horizons
discovered during the 2005 fieldwork and to better understand the structural
controls on the mineralization. In March management presented Anglo Platinum
with the 2007 work program and budget. PFN is the project operator.
In 2006, PFN signed a Cooperation Agreement with SOQUEM Inc., a wholly
owned subsidiary of the Societe Generale de Financement du Quebec, mandated to
put new mines into production. Under the terms of the Agreement, PFN and
SOQUEM are participating in a 50/50 joint venture with the objective of
identifying viable PGM and base metal properties for further exploration. PFN
and SOQUEM recently announced a Phase Two 2007 budget of $460,000 to advance
work on reconnaissance properties in Quebec.
PFN's technical team is aggressively acquiring new PGM and base metal
projects in Quebec, Ontario, Manitoba, Saskatchewan, British Columbia, North
West Territories and Alaska.
The Qualified Person for this release is John W. Londry, M.Sc, P. Geo, VP
Exploration, Pacific North West Capital.
On behalf of the Board of Directors
President and CEO
The Toronto Stock Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release
Disclaimer: This news release may contain certain "Forward-Looking
Statements" within the meaning of Section 21E of the United States Securities
Exchange Act of 1934, as amended. All statements, other than statements of
historical fact, included herein are forward-looking statements that involve
various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate, and actual results and future events
could differ materially from those anticipated in such statements. Important
factors that could cause actual results to differ materially from the
Company's expectations are disclosed in the Company's documents filed from
time to time with The Toronto Stock Exchange, British Columbia Securities
Commission and the United States Securities & Exchange Commission.
For further information:
For further information: Toll Free: 1-800-667-1870, Fax: (604) 685-8045,
Email: email@example.com, or visit www.pfncapital.com, 2303 West 41st Avenue,
Vancouver, B.C., V6M 2A3