Stock Symbol: WGF: TSX-V
SASKATOON, June 25 /CNW/ - Wescan Goldfields Inc. ("Wescan") is pleased
to announce that a $300,000 exploration program and budget have been approved
by Joint Venture partners Wescan and Alto Ventures Ltd. ("Alto") for the Mud
Lake property in the Beardmore-Geraldton Gold Belt. The program includes
airborne high-resolution magnetometer and XDS/VLF electromagnetic surveys as
well as surface work consisting of prospecting, mechanical stripping and
sampling. The geophysical work was completed last week with the survey report
pending. The surface work will commence in early July, followed by diamond
drilling scheduled to start in late September.
The property lies adjacent to Kodiak Exploration Ltd's ("Kodiak")
Hercules Project and hosts the Mud Lake Shear (MLS), a major gold-bearing
shear zone that extends for over six kilometres along strike. Several gold
occurrences have been exposed in surface trenches along the MLS and sampling
of these has returned gold assays as high as 50 grams per tonne (g/t) in grab
samples. Drilling in 2007 and 2008 tested six of the surface occurrences and
intersected gold at each one, up to 13.9 g/t gold/1.0 metre; another seven
surface gold occurrences remain to be drilled.
The 2008 work will focus on identifying extensions to the known gold
zones as well as locating new zones for drill testing. This program is part of
a longer term strategy to evaluate each of the surface gold zones with diamond
drilling as well as to delineate in greater detail those zones that display
continuity of mineralization and show potential for developing into an
Under the terms of the Mud Lake Option Agreement, Wescan can earn 50%
interest in the property by funding $600,000 in exploration and issuing a
total of 150,000 Wescan shares to Alto over two years. Upon completion of the
work, Wescan will have satisfied the work expenditures commitments to earn its
interest in the project.
The prolific Beardmore-Geraldton Gold Belt has produced over four million
ounces of gold in the past with grades comparable to the Red Lake mining camp
in north western Ontario. Alto has commenced exploration work on four other
projects in the area including the Cote-Archie Lake property where project
operator, Kodiak, has started drilling (see Alto news release dated May 28,
2008). Kodiak is working towards earning 51% interest in the Cote-Archie Lake
project by incurring $1 million in exploration expenditures over three years.
Mike Koziol, P. Geo., P.Eng. and Alto's President, CEO and Director is
the Qualified Person who has reviewed and approved the content of this news
Wescan is a Canadian based corporation engaged in the acquisition,
exploration and development of mineral properties. Shares of Wescan trade on
the TSX Venture Exchange under the trading symbol "WGF".
"The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release."
Caution Regarding Forward-Looking Statements
From time to time, Wescan makes written or oral forward-looking
statements within the meaning of certain securities laws, including the "safe
harbor" provisions of Canadian securities legislation. Wescan may make such
statements in this press release, in other filings with Canadian securities
regulators in reports to shareholders or in other communications. These
forward-looking statements include, among others, statements with respect to
the receipt of dispositions and permits from Saskatchewan Energy and
Resources, Wescan's objectives for the ensuing year, our medium and long-term
goals, and strategies to achieve those objectives and goals, as well as
statements with respect to our beliefs, plans, objectives, expectations,
anticipations, estimates and intentions. The words "may," "could," "should,"
"would," "suspect," "outlook," "believe," "plan," "anticipate," "estimate,"
"expect," "intend," and words and expressions of similar import are intended
to identify forward-looking statements. In particular, statements regarding
Wescan's future operations, future exploration and development activities or
other development plans contain forward-looking statements.
All forward-looking statements and information are based on Wescan's
current beliefs as well as assumptions made by and information currently
available to Wescan concerning anticipated financial performance, business
prospects, strategies, regulatory developments, development plans,
exploration, development and mining activities and commitments. Although
management considers these assumptions to be reasonable based on information
currently available to it, they may prove to be incorrect.
By their very nature, forward-looking statements involve inherent risks
and uncertainties, both general and specific, and risks exist that
predictions, forecasts, projections and other forward-looking statements will
not be achieved. We caution readers not to place undue reliance on these
statements as a number of important factors could cause the actual results to
differ materially from the beliefs, plans, objectives, expectations,
anticipations, estimates and intentions expressed in such forward-looking
statements. These factors include, but are not limited to, the receipt of
dispositions and permits from Saskatchewan Energy and Resources, developments
in world gold markets, risks relating to fluctuations in the Canadian dollar
and other currencies relative to the US dollar, changes in exploration,
development or mining plans due to exploration results and changing budget
priorities of Wescan or its joint venture partners; the effects of competition
in the markets in which Wescan operates; the impact of changes in the laws and
regulations regulating mining exploration and development; judicial or
regulatory judgments and legal proceedings; operational and infrastructure
risks and the additional risks described in Wescan's most recently filed
annual and interim MD&A and Wescan's anticipation of and success in managing
the foregoing risks.
Wescan cautions that the foregoing list of factors that may affect future
results is not exhaustive. When relying on our forward-looking statements to
make decisions with respect to Wescan, investors and others should carefully
consider the foregoing factors and other uncertainties and potential events.
Wescan does not undertake to update any forward-looking statement, whether
written or oral, that may be made from time to time by Wescan or on our
For further information:
For further information: Darren Anderson, Investor Relations, or Kirsten
Marcia, Vice President of Exploration at (306) 664-2422