Wesdome Gold Mines Ltd. - New 300 Zone - Drifting Confirms Continuity - Drilling Expands Potential

TSX:WDO

TORONTO, April 8, 2015 /CNW/ - Wesdome Gold Mines Ltd. (TSX: WDO) is pleased to report progress on recent development and drilling activities focused on the recently discovered, parallel 300 Zone at its wholly-owned Eagle River Mine in Wawa, Ontario.

At least four lenses in the 300 zone of high grade mineralization have been interpreted from drilling (Figure 1).  Drifting on the 750 metre level has confirmed continuity of the structure yielding the following intervals.

300 ZONE DRIFTING HIGHLIGHTS

  • *15.17 gAu/tonne, 1.67 m average width, 51 m length, and
  • *15.40 gAu/tonne, 2.21 m average width, 36 m length
    *  high assays cut to 60 gAu/tonne

Additional drilling results have infilled and expanded the high grade West Zone located between 825 and 925 metres depth.  A summary of significant results with estimated true widths is compiled in Table 1 and Figure 2.

300 ZONE DRILLING HIGHLIGHTS

  • EU-777                   12.61 gAu/t over 1.95 m
  • EU-778                 121.33 gAu/t over 2.00 m
  • EU-779                 115.66 gAu/t over 2.35 m
  • EU-795A                 10.08 gAu/t over 2.10 m
  • EU-796                   16.64 gAu/t over 3.60 m
  • EU-799                   86.50 gAu/t over 2.10 m

Mr. Rolly Uloth, President and CEO commented, "These drifting results contain higher grades than the drill indicated grades, confirming the quality and continuity of the 300 zone. We are commencing production mining on this zone in the second half of this year. Early confirmation of their continuity gives us confidence in their potential to enhance the outlook and mining flexibility of the Eagle River mine going forward."

Of particular note are holes EU-795A and EU-796 which are 50 metre stepouts to the west and at depth.  Development should reach this lens at 875 metres depth later this year.  This development, currently in progress, will open up access to drill this lens at depth and to the west where it remains open.

The 300 Zone is a subvertically-dipping quartz vein system located 400 metres north and parallel to the Eagle River Mine's main producing structure.  Confirmation of its internal continuity and above average gold grades has been established very rapidly.  We are focused on bringing it into the mining sequence quickly with initial production scheduled for the second half of 2015.

The drifting results are favourable because of higher than drill indicated grades and the position of this drift along the lower limits of the interpreted mining block.

TECHNICAL DISCLOSURE

All assays are performed by fire assay on 25 gram aliquots at the Eagle River Mine Assay office.  Duplicates, replicates, blanks and standards are regularly performed to monitor quality control.  The technical content of this press release was compiled and reviewed by George N. Mannard, PGeo, Vice-President, Exploration and "Qualified Person" as defined and required by National Instrument 43-101 "Standards of Disclosure".

ABOUT WESDOME

Wesdome Gold Mines Ltd. is in its 28th year of continuous gold mining operations in Canada that employ a profit growth approach.  The Company is currently producing from its Eagle River and Mishi gold mines in Wawa, Ontario, which have earned consistent free cash flow during times of low gold prices.  Wesdome's corporate goal is to build a profitable, long-life, sustainable gold mining Company with modest initial capital costs.  This strategy has enabled the Company to acquire strategic property and infrastructure assets in two politically stable and historically proven mining camps.  Wesdome has significant upside through ownership of its two other properties, the Kiena Mine Complex in Val d'Or, Quebec and the Moss Lake gold deposit located 100 kilometres west of Thunder Bay, Ontario.  These assets are being explored and evaluated to be developed in the appropriate gold price environment.  The Company has approximately 111.0 million shares issued and outstanding and trades on the Toronto Stock Exchange under the symbol "WDO".

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:     300 ZONE RESULTS

Hole No.

From

(m)

To

(m)

Core Length

(m)

Estimated

True Width

(m)

Grade

(gAu/t)

Cut grade

(gAu/t)

EU-753*

171.50

173.50

2.00

1.40

13.63

12.18

EU-754*

181.20

183.30

2.10

1.42

0.38

0.38

EU-755*

210.20

212.60

2.40

1.40

14.35

7.58

EU-758*

184.50

186.60

2.10

1.41

18.36

14.47

EU-759*

210.00

212.35

2.35

1.39

12.92

7.74

EU-759W*

205.50

207.50

2.00

1.40

112.99

20.61

EU-764*

173.20

175.20

2.00

1.40

9.58

9.36

EU-765*

187.90

190.05

2.15

1.41

173.90

32.04

EU-780*

188.90

192.40

3.50

2.35

79.13

26.17

EU-781*

197.30

201.30

4.00

2.52

65.15

45.88

EU-782*

210.65

213.10

2.45

1.46

230.19

29.16

EU-783*

211.00

213.35

2.35

1.42

53.65

26.16

EU-777

167.25

169.20

1.95

1.41

12.61

10.36

EU-778

175.80

177.80

2.00

1.48

121.33

16.72

EU-779

186.80

189.15

2.35

1.51

115.66

35.65

EU-794

NO SIGNIFICANT VALUES

EU-795A

230.60

232.70

2.10

1.48

10.08

10.08

EU-796

255.40

259.00

3.60

2.06

16.64

14.84

EU-799

196.50

198.60

2.10

1.48

86.50

29.28

*Previously released (Press Release dated December 4, 2014, available at www.wesdome.com)

  High grades are cut to 60 gAu/tonne

 


SOURCE Wesdome Gold Mines Ltd.

Image with caption: "Figure 1: 300 Zone Longitudinal Section Overview (CNW Group/Wesdome Gold Mines Ltd.)". Image available at: http://photos.newswire.ca/images/download/20150408_C7400_PHOTO_EN_14008.jpg

Image with caption: "Figure 2: 300 Zone Longitudinal Section Blow Up - West (CNW Group/Wesdome Gold Mines Ltd.)". Image available at: http://photos.newswire.ca/images/download/20150408_C7400_PHOTO_EN_14009.jpg

Image with caption: "Location of Results (CNW Group/Wesdome Gold Mines Ltd.)". Image available at: http://photos.newswire.ca/images/download/20150408_C7400_PHOTO_EN_14011.jpg

For further information: Lindsay Carpenter Dunlop, Vice President, Investor Relations, 416-360-3743 ext. 25, ldunlop@wesdome.com; or George Mannard, P.Geo., Vice President, Exploration, 416-360-3743 ext. 22; 8 King St. East, Suite 811, Toronto, ON, M5C 1B5, Toll Free: 1-866-4-WDO-TSX, Phone: 416-360-3743, Fax: 416-360-7620, Website: www.wesdome.com

RELATED LINKS
http://www.n/a

Organization Profile

Wesdome Gold Mines Ltd.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890