TSX-VN: "MEX"
TORONTO, Feb. 20 /CNW/ - Kim Harris, Chief Executive Officer of Midlands
Minerals Corporation (TSX-VN: MEX) ("Midlands" or the "Company") is pleased to
provide an update on the development of NI 43-101 Technical Evaluation of the
Sian Goldfields Limited ("Sian") property and Kwahu Praso project in Ghana.
Sian Goldfields Limited is a past gold producer with a historical resource.
Sian was mining gold from two open pits, with the larger open pit being at
Esaase and a smaller pit at Ampeha. Sian ceased its gold mining activities in
July 2004 due to lack of capital and operational issues related to the
management of their mining operations.
The Sian property which is located on the north-east end of the Ashanti
Goldbelt, is contiguous to Midlands' Kwahu Praso gold property. Both Kwahu
Praso and Sian properties are not only surrounded by Newmont Mining
Corporation, but they are also located north-east of Newmont Mining
Corporation's Akyem property which is reporting more than 5 million oz of
gold. Newmont Mining is investing $500 million on the Akyem project and plans
to commence production in 2008.
The following is an update based on observations following three weeks of
field work on the Sian and Kwahu Praso properties. The update is based on
verification of gold showings on Esaase, Besease, Atunso and Ampeha (on Sian),
and Nsuta, Bromkrom and Pankese (on Kwahu Praso). The field program was
designed by Marc Boisvert, P.Eng. and field work was supervised by
Marc Boisvert. Assays are still pending and will be reported on in the
NI 43-101 reports. The NI 43-101 reports on Sian and Kwahu Praso are expected
to be available by the end of April, 2006.
On the Sian property, two types of mineralization have been observed in
the field as reported by previous workers. The Atunso-Besease features quartz
veins with free gold where artisanal mining diggings are evident. The Esaase
to north-Esaase, and Ampeha to East-Esaase, feature gold bearing disseminated
pyrite with carbonates and silica flooding alteration where Sian Goldfields'
two open pit mines are located. Esaase, Ampeha, East-Esaase and Odumasua
appear to form a corridor of greater than 4km strike length with a width of
500 metres. This corridor coincides with a topographic depression bordered by
higher ground. The high ground features gold showings in quartz veins.
On the Kwahu Praso property, quartz vein areas have been mapped at
Nsuta-Bromkrom and at Pankese areas. The Pankese area is located on the south
extension of the quartz veins Atunso-Besease which were observed on the Sian
property.
Midlands' interpretation of the distribution of the gold showings and the
style of mineralization is that all the gold occurrences appear to be part of
the large system associated with Atunso-Besease-Pankese, (the eastern outside
quartz vein boundary), with Esaase to North-Esaase and Ampeha to East-Esaase
forming the central corridor of a carbonate-silicified-pyrite gold bearing
structure oriented 020 degree northeast. The Nsuta-Bromkrom field of quartz
veins form the western boundary sides.
Previous exploration on Sian focused on outcropping areas, mainly hills
and hillsides, and therefore the focus was on quartz-vein occurrences. The low
valley which is associated with carbonate-silica-pyrite is well covered and
has not been tested by either pitting, trenching or drilling, with the
exception of the existing two open pit mines - Esaase and Ampeha. Midlands'
target is to focus exploration activities along strike or closer to the centre
of the valley with the view to identify a large pyritic-silicified gold
bearing type zone. Midlands will concentrate on determining the relationship
between these gold bearing areas and their extensions in the hope of
identifying large size targets.
Certain statements contained in this news release constitute
forward-looking statements. Such forward-looking statements involve a number
of 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 actual results and achievements expressed or implied
by such forward-looking statements. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as of the date
the statements were made and the readers are also advised to consider such
forward looking statements while considering the risks inherent in the
business of mineral exploration.
The TSX-VN has in no way passed upon the merits of the transactions and
has neither approved nor disapproved the contents of this press release.
%SEDAR: 00020880E
