(Dallas, TX. – November 2, 2011) StockGuru Shines its Spotlight on Gowest Gold Ltd. (TSX-V: GWA)(OTCBB: GWSAF). The Company announced yesterday that ongoing diamond drilling conducted beyond the limits of the previously estimated gold resource (see Gowest announcement dated June 1, 2011) at its Frankfield East gold deposit continues to intersect significant gold mineralisation.The Company closed on November 1, 2011, at $0.2206, trading in a fifty-two week range of $0.441 – 0.1974.
These latest results from the Company’s 100% owned Frankfield East gold deposit – part of the Company’s 60 square kilometre North Timmins Gold Project (see map below) – provide further evidence of the potential to increase the current resource estimate, particularly along strike to the west as well as at depth (see Frankfield East Gold Deposit – Long Section below.)
- Four holes were drilled west along strike of the Frankfield East deposit Main Zone, three of which intersected mineralization. These included: GW11-164 (3 meters (m) with 3.6 grams per tonne (g/t) gold); GW11-165 (6.2 m with 6.3 g/t gold); and GW11-167 with 10 m of anomalous mineralization (below cut off gold grade of 3.0 g/t gold). This drilling brings the total strike at surface to in excess of 900 m (compared with approximately 750 m in the current resource estimate) and still leaves the mineralized zone open to the west.
- At the same time, three holes drilled at vertical depths of approximately 1,000 m continue to demonstrate the continuity of the main mineralized zone at depth and have traced the deep extensions along a strike length of at least 600 m. Holes GW11-155 and -161 (see Gowest announcement dated July 13, 2011) both intersected the deepest significant mineralization found to date, leaving the Main Zone open at depth.GW11-155 intersected multiple zones of mineralization including 2 m with 22.4 and 9.1 g/t gold as well as 3 m with 2.4 g/t gold, 2 m with 5.4 g/t gold and 2 m with 3.0 g/t gold. Approximately 200 m further east, hole GW11-161 intersected 2 m with 4.9 g/t gold. Hole GW11-163 was drilled approximately 600 m east of hole GW11-155 and was the most easterly hole thus far. This hole had a large intersection (14 m) of anomalous gold (below cut-off grade of 3.0 g/t gold,) demonstrating that the Main Zone is still open at depth as well as to the east and clearly warrants further follow up. Hole GW11-163 has similar characteristics to GW10-60 that was drilled to about 750 meters depth and intersected large widths of anomalous gold (below the cut-off grade of 3.0g/t gold – see Gowest news dated October 20, 2010.) Subsequent wedge holes in close proximity to GW10-60, including GW10-60WA (see Gowest news dated December 7, 2010) intersected multiple parallel mineralized zones with grades in excess of the 3g/t cut-off.
- A number of other recently completed infill holes also confirmed the field location and presence of mineralization near historical holes from the 1970’s and 1980’s, several of which were not fully assayed. Further, all the infill drill holes intersected Main Zone mineralization and thus, provided further confidence regarding the continuity of the Main Zone in the Frankfield East Gold Deposit.
Additional drill results were obtained in order to convert existing Inferred gold ounces into the Indicated category status (currently 348,000 ounces / 1,621,000 tonnes at a grade of 6.68 g/t gold) as well as to provide better definition to the upper regions of the deposit. These include:
- GW11-164 at 3 m with 3.6 g/t gold (from 208 m);
- GW11-171 at 3.1 m with 4.1 g/t gold (from 68 m) & 3 m with 5.2 g/t gold (from 80 m);
- GW11-172 at 3.5 m with 5.7 g/t gold (from 48.5 m);
- GW11-176 at 2 m with 18.5 g/t gold (from 114 m);
- GW11-178 at 2 m with 4.6 g/t gold (from 75 m); and;
- GW11-179 at 2 m at 4.0 g/t gold (from 150.5 m) & 2.8 m with 1.8 g/t gold (from 180 m.)
(See “Table 1 – Assay Results” below for further detail)
Recent drilling continues to intersect multiple zones of mineralization parallel to the Main Zone, which provide potential for adding significantly to the current resource estimate.
“We are extremely pleased by the manner in which our Frankfield East deposit continues to align with and verify our geologic model, indicating that there is far more gold to be found here,” said Greg Romain, President & CEO of Gowest. “Of course, this also gives us more confidence that this same geological and geophysical model will be extremely useful in helping us to define additional resources on other parts of our newly expanded, 60-square-kilometre land package surrounding Frankfield East.”
To view a map accompanying this press release, please visit the following link:
Background – Frankfield East Gold Resource
On June 1, 2011, the Company announced the results of an updated National Instrument 43-101 compliant resource estimate*, which included 348,000 ounces of gold in the Indicated category (1,621,000 tonnes at a grade of 6.68 g/t gold) plus 838,900 ounces of gold in the Inferred category (4,342,000 tonnes at a grade of 6.01 g/t gold).
Exploration drilling activities at the Frankfield East deposit are currently focused on both shallower, in-fill drilling and deeper, resource expansion drilling.
- Gowest’s technical team and consultants have developed a comprehensive geological and geophysical model, which has been extremely useful as a guide for identifying high potential drill targets and, in part, helped to reveal the extents of the Frankfield East deposit. A comprehensive geophysical and geochemical survey program is underway over the Company’s extensive and growing land position aimed at identifying additional Frankfield East style gold targets for exploration in the 2011/12 winter drilling season.
- The company has completed planning for a Phase 2 drill program aimed at better defining the size and orientation of the gold-bearing structures identified at the Texmont deposit located less than a kilometre west of Frankfield East. To date, no gold resources have been estimated for this new zone of mineralisation.
- The company is continuing to expand the current drilling program and is in the process of completing an updated drill program that will extend into the 2011/12 winter drill season.
To view a figure accompanying this press release, please visit the following link:
|Table 1 – Assay Results|
|Hole ID||from metres (m)||to m||interval m||grade (g/t gold)|
|(True widths are estimated at approximately 90% of drill interval width shown in the table)|
The Company further announces that pursuant to its Exploration Agreement with the Mattagami First Nation and the Matachewan First Nation (the “First Nations”), as previously announced by the Company on October 27, 2011, it intends to issue: (i) an aggregate of 50,000 common shares to each of the First Nations; and (ii) an aggregate of 50,000 common share purchase warrants to each of the First Nations. Each common share purchase warrant will be exercisable for a period of five years from the date of issuance to acquire one common share of the Company at a price of $0.25. The common shares and warrants are issuable in tranches as follows: 25% on receipt of TSX Venture Exchange approval of the transactions and a further 25% every six months thereafter during the term of the Exploration Agreement.
This press release has been reviewed by Mr. Darren Koningen, P. Eng., Gowest’s Vice President of Technical Services. Mr. Koningen is a Qualified Person under National Instrument 43-101.
All drill core samples were photographed prior to being split and logged. Sample intervals were determined based on geological context and typically vary in length from 0.3 – 1.5 m. Half of the split core from each interval was bagged and delivered to the ALS Laboratory Group (“ALS”) preparation facility located in Timmins, Ontario. All samples were prepared by ALS and analyzed for gold using fire assay procedures with an Atomic Adsorption Spectroscopy (“AAS”) finish in addition to the completion of a multi-element ICP-AES scan. ALS’s main North American assay laboratory in Vancouver, British Columbia is accredited to ISO/IEC 17025:2005.
The above noted National Instrument 43-101 compliant Resource Estimates were completed by ACA Howe International Ltd.
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Frankfield East gold deposit, as well as on the exploration of additional gold targets on North Timmins Gold Project area, part of the prolific Timmins, Ontario gold camp. The Frankfield East deposit has been estimated to contain 348,000 ounces of gold in the Indicated category (1,621,000 tonnes at a grade of 6.68 g/t gold) plus 838,900 ounces of gold in the Inferred category (4,342,000 tonnes at a grade of 6.01 g/t gold. The Company also continues to evaluate acquisition targets in the vicinity of the North Timmins Gold Project area.
Forward-looking statements: This news release contains certain “forward looking statements”. Such forward-looking statements involve risks and uncertainties. The results or events depicted in these forward-looking statements may differ materially from actual results or events. 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.
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.
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