TSX VENTURE SYMBOL: GWA
Gowest Gold Advances Bradshaw Close to First Ore Zone
August 21, 2017
Provides Update on the Bradshaw Development
TORONTO, ONTARIO – (August 21, 2017) Gowest Gold Ltd. (“Gowest” or the “Company“) (TSX VENTURE: GWA) is pleased to provide an update on its progress on the Company’s Advanced Exploration – Bulk Sample program at its wholly-owned Bradshaw Gold Deposit (“Bradshaw.”)
- Ramp development exceeds 350 meters; closing in on first ore zone
- Operating two shifts at the mine site, seven days per week, 24 hours per day.
- Ore-sorter expected to arrive at site by end of Q3
- Completed detailed bulk sample mine plan.
- Water treatment plant and ponds to be commissioned by the end of Q3.
- Continuing work with Northern Sun Mining Corp. (“Northern Sun”) to close transaction to operate and co-own Redstone Mill
- Expect first shipment of ore to the mill in Q4.
- On track to meet our milestones.
Greg Romain, Gowest’s President said, “We are extremely pleased with all that we have been able to accomplish in recent months as we have moved from breaking ground to closing in on the first mineralized zone. We are extremely confident that we are on the right path, with the right team and partners to enable Bradshaw to become the next new gold mine in the Timmins Camp.”
Since Gowest initiated underground development at the Bradshaw mine site in Q2 2017, the mining team has advanced more than 350 metres. The development work includes the main ramp decline to the south in anticipation of reaching the first mineralized zone in mid Q3 to begin the 30,000 tonne bulk sample. An underground diamond drill station has been driven off the main ramp decline and will be used to further delineate the mineralized zones for the bulk sample and future mining.
The X-ray ore sorting unit supplied by Steinert US, which is to be used to sharply reduce processing cost by increasing mill feed grade and reduce tons milled, is currently in transit from Europe and scheduled to arrive at site near the end of Q3. The run of mine (ROM) ore will first be crushed before it is sent through the ore-sorter.
A previously announced definition drilling program from surface (see Gowest news release dated July 7, 2017) enabled Gowest to refine its geological model and the stope design in the upper portion of the Bradshaw deposit where the bulk sample will be extracted. Using the results of this program, the Company has optimized its bulk sample mine plan for Bradshaw.
The water treatment plant will be delivered in late August. Pond work will be completed in early September and commissioning is expected by the end of Q3.
Gowest announced the execution of the definitive agreement with Northern Sun to create a 50/50 joint venture corporation that will own and operate the Redstone Mill (see Gowest news release dated June 16, 2017.) The parties are working together to obtain required third party consents and regulatory approvals and to satisfy other typical closing conditions. Gowest does not expect any delay in being able to use the mill to process the mineralized material from the bulk sample when it arrives at site.
The Company expects to ship the first ore to the mill early in the first half of Q4. The gold concentrate will then be shipped to a refinery for final processing and sale.
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 or accuracy of this release.
For further information please contact:
Greg Romain Greg Taylor
President & CEO Investor Relations
Tel: (416) 363-1210 Tel: 416 605-5120
Email: firstname.lastname@example.org Email: email@example.com
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw), on the Frankfield Property, part of the Corporation’s North Timmins Gold Project (NTGP). Gowest is exploring additional gold targets on its +100-square-kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. Currently, Bradshaw contains a National Instrument 43-101 Indicated Resource estimated at 2.1 million tonnes (“t”) grading 6.19 grams per tonne gold (g/t Au) containing 422 thousand ounces (oz) Au and an Inferred Resource of 3.6 million t grading 6.47 g/t Au containing 755 thousand oz Au. Further, based on the *Pre-Feasibility Study produced by Stantec Mining and announced on June 9, 2015, Bradshaw contains Mineral Reserves (Mineral Resources are inclusive of Mineral Reserves) in the probable category, using a 3 g/t Au cut-off and utilizing a gold price of US$1,200 / oz, totalling 1.8 million t grading 4.82 g/t Au for 277 thousand oz Au.
The technical information in this news release has been reviewed and approved by Mr. Kevin Montgomery, P.Geo., Gowest’s Manager of Exploration, who is the Qualified Person for the technical information in this news release under National Instrument 43-101 standards.
This news release may contain certain “forward looking statements”. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that 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. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.