TSX Venture Exchange
TORONTO, June 6, 2012 /CNW/ - NWM Mining Corporation ("the Company" TSX-V: NWM) is pleased to report exploration drill results from its wholly owned Lluvia-Jojoba gold mining project in northern Sonora, Mexico. Twenty new percussion drill holes (for 612 meters) have intersected gold mineralization on the east flank of the Gold Ridge geochemical anomaly, 900 meters west of the main mining area at the Lluvia deposit Creston Pit. These drill holes expand the lateral distribution of gold mineralization identified from percussion holes previously drilled into this structure, and define three targets for follow-up. The new drill holes, drilled to 30.6 meters depth, returned weighted average gold grades up to 0.411 g Au/tonne, and higher grade intervals up to 0.626 g Au/tonne over intervals of 15.2 meters. Individual assays up to 2.38 g/t Au were also encountered (Average gold grades for existing reserves at Lluvia de Oro are 0.50 g/t with a cut-off gold grade of 0.20 g/t). Highlights of the Gold Ridge drill results are set forth in the table below.
Exploration interest in the Gold Ridge area was initially generated by highly anomalous gold in soil geochemistry which defined a target area approximately 700 x 200 metres in size. Wide spaced percussion drilling in 2011 was successful in locating gold mineralization at depth. Continued drilling in 2012 is expanding the discovery of subsurface mineralization.
Quartz Porphyry Significance
Gold Ridge is an area with a surface expression approximately 1,400 meters in length and 260 meters wide located to the west of the Lluvia de Oro deposit. It is composed of quartz porphyry, a sub-volcanic rock unit similar to the rocks hosting gold and copper mineralization at the Northeast Zone of La Jojoba. Mineralization consists of veinlet and disseminated sulfides accompanied by intense sericite alteration. This quartz porphyry body was intersected at depth approximately 800 metres east of the Gold Ridge surface expression in diamond drill holes L10-33 and L10-36 through 041 in the southeast lobe (December 1, 2010 press release). The quartz porphyry is the first lithology found on the property with these mineralization characteristics and has also been located in 4 drill holes along the northeast edge of Gold Ridge.
In drill hole intersections, the quartz porphyry contains exotic rock fragments and is situated between the detachment fault and overlying clastic sediments. A variably thick zone of high copper-silver mineralization often occurs near the contact with this lithology, indicating a possible genetic relationship to mineralization.
The quartz porphyry at Gold Ridge, having substantial size and hosting favourable near surface mineralization, has the potential to expand project reserves in a new geological structure.
Samples from the drill program were split in the field, bagged, tagged, and shipped to the ALS-Chemex sample preparation facility in Hermosillo. Samples were analyzed for gold by fire assay with AA-finish, and an additional 35 elements by induced-couple plasma (ICP) methods. ICP data indicate that the gold-bearing intervals are low in copper and other elements that may affect recovery.
The Company has developed a rigorous sampling protocol for percussion drilling at Lluvia-Jojoba that includes extensive cleaning of the drill and sampling equipment. Samples range from 2.2 to 3.6 meters in length (depending on the drill used). Results of this percussion drilling program are being used to define shallow mineralization and to develop follow-up drill targets for reverse-circulation (RC drilling) and core (diamond) drilling programs.
Additional percussion drilling currently underway will include further resource delineation along the Northeast Extension of the Lluvia deposit Creston pit. Approximately 40 drill holes, amounting to 1,200 meters, will be drilled to indentify the distribution of near-surface gold mineralization. Favorable results from this program will be assessed for near-term expansion of the Creston production pit. An additional 40 percussion drill holes, for 1,200 meters, will be drilled at the Campamento Zone in the La jojoba project area. Previous percussion drilling at Campamento (see the Company's March 31, 2011 Press Release) was restricted to existing roads and trails due to permit restrictions. Permits are now in-place that allow the Company to drill on a grid pattern in the area of previous percussion drill sites Camp-65, Camp-94, and Camp-95, which returned near-surface gold intercepts up to 11.15 g/t Au over an area in excess of 200 meters by 180 meters.
Table of intercept and weighted average gold grades from the Gold Ridge percussion drilling:
|Hole #||UTM-E||UTM-N||Highlights|| From
|Hole #||UTM-E||UTM-N||Highlights|| From
Mr. Rodney A. Blakestad, C.P.G., is the designated Qualified Person pursuant to National Instrument 43-101 of the Canadian Securities Administrators for this press release and has reviewed and approved the technical disclosure contained herein.
NWM is an emerging gold producer with two currently defined ore bodies containing NI 43-101 compliant gold reserves and resources. The Company is focused on demonstrating profitable operations at the Lluvia de Oro and La Jojoba gold mines, and on growing reserves and resources through exploration.
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
This news release includes "forward-looking information" as such term is defined in applicable securities laws. The forward-looking information includes, without limitation, the success of exploration activities and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among others, risks and uncertainties relating to exploration and development; the ability of the Company to obtain additional financing; the need to comply with environmental and governmental regulations; political and economic instability and general civil unrest in Mexico, if any; potential defects in title to the Company's properties; fluctuations in currency exchange rates; fluctuating prices of commodities; operating hazards and risks; competition; and other risks and uncertainties, including those described in the Company's other regulatory filings filed with the Canadian Securities Administrators and available at www.sedar.com. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and the Company is under no obligation to update or alter any forward-looking information.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.
For further information:
please contact NWM Mining Corporation at (416) 364-6799.