Symbol on TSX-Venture Exchange: KWG
Shares issued and outstanding: 359,718,877
- Magnetic and Gravimetric ground surveys infer additional 700 metre
strike length to Big Daddy Chrome deposit;
- Partners plan drilling program for 2009-2010 season
- National Instrument 43-101 report filed on Sedar.
TORONTO, April 22 /CNW/ - KWG Resources Inc. (TSX-V: KWG) "KWG", Spider
Resources Inc. (TSX-V: SPQ) "Spider" and Freewest Resources Canada Inc.
(TSX-V: FWR) "Freewest" announce the completion of ground geophysical
surveying on their jointly owned Big Daddy Chrome Deposit. KWG and Spider
recently completed their initial earn-in on the 1,248 hectare (78 claim units)
property from Freewest. At present KWG and Spider share 50% interest (25%
each) while Freewest holds a 50% interest in the property.
During early 2009, the main exploration activity of the KWG-Spider Joint
venture on the "Big Daddy Chromite Deposit" was the completion of gravimetric
and magnetic ground geophysical surveys, designed to outline and delineate the
geophysically inferred extent of the chromium enriched deposit. The results of
the geophysical surveys infer that the 2006 - 2008 drill program, consisting
of 14 drill holes, had only tested the extreme southwest portion of the
deposit over a strike length of 400 metres (Drill section 9+00NE to Drill
section 13+00NE). The gravimetric survey results when coupled with the
magnetic survey results infer that the favorable area of mineralization may
extend to Drill section 20+00NE and beyond (faulting and/or leveling errors
may cause some displacement at line 20+00NE and points further northeast). The
following links provide access to geophysical maps with diamond drill-hole
traces superimposed upon them, showing the chromite intersections projected
vertically to surface.
As previously announced, (December 15, 2008, January 15, 2009) diamond
drilling by the KWG/Spider JV on the Freewest Option property has identified a
northeast trending zone of continuous chromite mineralization that extends
from local grid line 9+00 meters NE to 13+00 metres NE along a strike length
of 400 metres. The most northeasterly section drilled in 2008, and reported
January 15, 2009 included two holes on section 12+00NE, where hole FW-08-22
encountered 42.08% Cr2O3 over 34.8 metres, and hole FW-08-23 that undercut
hole 22 encountered 34.96% Cr2O3 over 42.0 metres. Plotting of the mineralized
zone suggests varying dips between 70 degrees to the NW to vertical dipping.
Chromium mineralization consists of varying widths of a variable tenor, in
many instances high tenor of chrome, forming a series of stacked beds.
Additional drilling will be required to confirm continuity of the beds from
section to section and to the Northeast. The deposit remains open to depth and
is now geophysically inferred to extend to the northeast for a further 700
The Big Daddy Chromite deposit is located approximately 3.6 kilometres
northeast of Noront Resources Ltd's ("Noront") Eagle One Magmatic Massive
Sulphide (Nickel Copper and PGM), or five 5 kilometres northeast of Noront's
Blackbird (Chromite) discoveries, as well as 4 kilometres southwest of
Freewest's Black Thor Chromite discoveries.
Future plans for the project were discussed and presented to the Joint
Venture Management committee on April 16, 2009, by the previous Technical
Committee during a meeting where the Joint Venture established a new Technical
Advisory Committee ("TAC") to the Joint Venture, consisting of two
representatives of each of KWG, Spider and Freewest. The TAC plans on meeting
regularly to review and monitor the progress of the project operator (Spider
for current year) and report to the Management Committee of the Joint Venture
on a regular basis. A detail drilling proposal was discussed, where holes are
proposed along the strike length of the Big Daddy Chromite Deposit towards the
northeast at an initial section spacing of 200 metres, followed by infill as
needed to 100 metres density or whatever drill space density is required to
provide for NI-43-101 compliant resource estimation. This planning is underway
and final approval will be forthcoming.
NATIONAL INSTRUMENT 43-101 REPORT
The joint venture partners are pleased to announce the completion and
filing thereof of a National Instrument 43-101 Technical report on the Big
Daddy Chrome Project as prepared by Micon International Ltd. The report is now
filed on Sedar and can be downloaded or reviewed by following the links:
About KWG Resources Inc.
KWG Resources is a mineral exploration company with extensive claim
holdings in the James Bay Lowlands of Northern Ontario, Canada, where
important discoveries of nickel and chrome have been made recently in the
so-called Ring of Fire. KWG has an equal joint venture interest in a large
claim block in the central part of the discovery area, with Spider Resources
Inc. (TSXV: SPQ). The joint venture is developing the Big Daddy chromite
deposit adjacent to the Black Thor and Black Label chromite discoveries of
Freewest Resources Canada Inc. (TSXV: FWR).
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this press release.
This press release, required by applicable Canadian securities law, is
not for distribution to U.S. news services or for dissemination in the United
States, and does not constitute an offer of the securities described herein.
These securities have not been registered under the United States Securities
Act of 1933, as amended, or any state securities laws, and may not be offered
or sold in the United States or to U.S. persons unless registered or exempt
This press release includes certain "Forward-Looking Statements" within
the meaning of the US Private Securities Reform Act of 1995. Other than
statements of historical fact, all statements are "Forward-Looking Statements"
that involve such various known and unknown risks, uncertainties and other
factors. There can be no assurance that such statements will prove accurate.
Results and future events could differ materially from those anticipated in
such statements. Readers of this press release are cautioned not to place
undue reliance on these "Forward-Looking Statements". All dollar amounts are
Canadian dollars unless otherwise noted.
For further information:
For further information: Bruce Hodgman, Communications Director, Direct:
(416) 646-1374, firstname.lastname@example.org; Michel Côté, Director, (514) 866-6001
ext. 266; Or visit our website: www.kwgresources.com