LAKEWOOD, CO, Oct. 16 /CNW/ - NewWest Gold Corporation (TSX:NWG)
("NewWest") today announced results from its Phase One drilling program at its
Sandman Project (Sandman), located in Humboldt County Nevada.
The Phase One program included 75 reverse circulation (RC) holes designed
to expand and test shallow and deep targets at the known mineralized zones of
Southeast Pediment, Silica Ridge and North Hill. NewWest also completed nine
RC holes to test three district targets at Abel Knoll, Windmill and Sandbowl
as part of the Phase One program. In total, 84 holes were completed, exceeding
27,000 feet. The drilling continued to produce high-grade intercepts
associated with known mineralization, including angle-hole NH06-66 at North
Hill which intercepted 5 feet at 3.956 oz Au/ton (within 40 feet of continuous
gold mineralization between 10 and 50 feet with an average grade of 1.092 oz
Au/ton), vertical hole SR06-100 at Silica Ridge which encountered 5 feet at
1.167 oz Au/ton (within 75 feet of continuous gold mineralization from 135 to
210 feet with an average grade of 0.236 oz Au/ton), and vertical hole AK06-2
at Abel Knoll which encountered 5 feet at 1.559 oz Au/ton (within 420 feet of
continuous gold mineralization with an average gold grade of 0.087 oz Au/ton
between 245 and 665 feet).
"We are excited by these drilling results," said Steve Alfers, President
and Chief Executive Officer. "We verified newly discovered zones of
mineralization at Southeast Pediment with excellent grades and thicknesses and
have expanded mineralization at Silica Ridge and North Hill, both laterally
and at depth. Our new discovery of high-grade gold mineralization at Abel
Knoll is especially exciting and demonstrates the potential of our district
exploration program."
<<
Table 1: Phase 1 Drill Program Summary
-------------------------------------------------------------------------
Location No. of Total Footage
Holes (feet) Status After Phase 1
-------------------------------------------------------------------------
Abel Knoll 2 1,015 Discovered new, continuous
mineralized zone
-------------------------------------------------------------------------
Southeast Pediment 2 1,230 Identified multiple
mineralized zones at depth
-------------------------------------------------------------------------
Silica Ridge 38 12,685 Expanded known mineralization
laterally and at depth
-------------------------------------------------------------------------
North Hill 33 8.320 Extended continuous
mineralization
-------------------------------------------------------------------------
Sandbowl 5 1,760 Identified new mineralization
-------------------------------------------------------------------------
Windmill 1 400 Identified new mineralization
-------------------------------------------------------------------------
>>
Complete Phase One results and a map of the drill-hole locations are
available on NewWest's website at www.newwestgold.com. Selected assay results
are presented below. All reported drill intervals are believed to be close to
true width except as noted in the text. Intervals are averages of fire assay
gold values using a cut-off grade of approximately 0.010 oz Au/ton. NewWest's
Phase Two program is underway and is designed to include an additional 100
holes with an estimated budget of approximately US$1.2 million.
ABEL KNOLL
Two exploration holes drilled at the Abel Knoll geochemical anomaly,
located approximately three miles southeast of Southeast Pediment, identified
a new zone of mineralization. Vertical hole AK06-2 encountered 420 feet of
continuous gold mineralization with an average gold grade of 0.087 oz Au/ton
between 245 and 665 feet. The zone includes 25 feet with an average gold grade
of 0.397 oz Au/ton between 350 and 375 feet with a high five-foot value of
1.227 oz Au/ton, and 100 feet with an average grade of 0.192 oz Au/ton between
535 and 635 feet with a high five-foot value of 1.559 oz Au/ton. The width of
the mineralized zone is unknown. The top 390 feet of the zone is oxidized
based on a high abundance of pervasive limonite minerals. Selected Phase One
drill results for Abel Knoll are as follows:
<<
TABLE 2: Selected Phase One Drilling Results: Abel Knoll
-------------------------------------------------------------------------
Drill Hole Depth From To Intercept Gold Grade High 5' Gold
(feet) (feet) (feet) (feet) oz Au/ton oz Au/ton
-------------------------------------------------------------------------
AK06-1 350 210 225 15 0.015 0.019
235 240 5 0.010 0.010
-------------------------------------------------------------------------
AK06-2 665 245 665 420 0.087 1.559
-------------------------------------------------------------------------
>>
SOUTHEAST PEDIMENT
Two angle RC holes were drilled at Southeast Pediment to explore for and
help define newly discovered mineralization below the Southeast Pediment fault
zone. Hole SEP06-93 encountered two new zones of mineralization beneath the
known shallow mineralization, one zone of 50 feet of continuous mineralization
with an average grade of 0.070 oz Au/ton between 465 and 515 feet, and a
second zone of 45 feet of continuous mineralization with an average grade of
0.120 oz Au/ton between 605 and 650 feet. Hole SEP06-92 limits mineralization
to the south, but the zone remains open to the north. Selected Phase One drill
results for Southeast Pediment are as follows:
<<
TABLE 3: Selected Phase One Drilling Results: Southeast Pediment
-------------------------------------------------------------------------
Drill Hole Depth From To Width Gold Grade High 5' Gold
(feet) (feet) (feet) (feet) oz Au/ton oz Au/ton
-------------------------------------------------------------------------
SEP06-92 580 (less than)
0.010
-------------------------------------------------------------------------
SEP06-93 650 115 140 25 0.013 0.020
465 515 50 0.070 0.188
605 650 45 0.120 0.266
-------------------------------------------------------------------------
>>
SILICA RIDGE
Thirty-eight vertical and angle RC holes significantly increased the size
of mineralized zones along five structural controls and added continuity to
the zones. The zones remain open to the north and south. Vertical hole
SR06-100 encountered 75 feet of continuous gold mineralization from 135 to
210 feet with an average grade of 0.236 oz Au/ton, including a five-foot
intercept of 1.167 oz Au/ton. Mineralization appears to be oxidized and
metallurgical analysis is ongoing. NewWest's plan for Phase Two includes 40 RC
holes to further test the Silica Ridge fault and the under-explored north end
of the Silica Ridge mineralization. Selected Phase One drill results for
Silica Ridge are as follows (width given for SR06-129 is the partial down-dip
length):
<<
TABLE 4: Selected Phase One Drilling Results: Silica Ridge
-------------------------------------------------------------------------
Drill Hole Depth From To Width Gold Grade High 5' Gold
(feet) (feet) (feet) (feet) oz Au/ton oz Au/ton
-------------------------------------------------------------------------
SR06-92 220 10 20 10 0.015 0.017
85 95 10 0.011 0.011
130 165 35 0.030 0.059
-------------------------------------------------------------------------
SR06-93 350 0 5 5 0.027 0.027
15 25 10 0.018 0.020
65 85 20 0.011 0.013
95 120 25 0.019 0.031
-------------------------------------------------------------------------
SR06-100 360 15 25 10 0.013 0.016
135 210 75 0.236 1.167
320 360 40 0.169 0.686
-------------------------------------------------------------------------
SR06-101 425 265 425 160 0.042 0.143
-------------------------------------------------------------------------
SR06-102 380 235 265 30 0.026 0.064
285 320 35 0.063 0.217
335 345 10 0.029 0.043
-------------------------------------------------------------------------
SR06-106 150 5 20 15 0.028 0.045
30 50 20 0.023 0.057
60 95 35 0.050 0.145
-------------------------------------------------------------------------
SR06-113 450 0 60 60 0.065 0.226
195 215 20 0.039 0.070
265 275 10 0.017 0.017
-------------------------------------------------------------------------
SR06-118 290 65 80 15 0.064 0.111
90 105 15 0.072 0.153
-------------------------------------------------------------------------
SR06-129 500 170 265 95 0.033 0.163
275 445 170 0.019 0.053
-------------------------------------------------------------------------
>>
NORTH HILL
Thirty-three step-out holes drilled in the Northwest Zone at North Hill
significantly increased the size of the zone and encountered higher grades and
thicknesses than in previous drilling. Angle-hole NH06-66 intercepted 40 feet
of continuous gold mineralization between 10 and 50 feet with an average grade
of 1.092 oz Au/ton, including a five-foot high intercept grading 3.956 oz
Au/ton. The drilling extends the mineralized zone to a length of approximately
900 feet, and the zone remains generally open in all directions. The
mineralization appears to be oxidized and metallurgical analysis is ongoing.
NewWest plans to drill 30 holes, for a total of approximately 7,500 feet, in
the Phase Two program at North Hill. This program will include step-out
drilling to establish the dimensions of the mineralized zone. Selected Phase
One drill results for North Hill are as follows:
<<
TABLE 5: Selected Phase One Drilling Results: North Hill
-------------------------------------------------------------------------
Drill Hole Depth From To Width Gold Grade High 5' Gold
(feet) (feet) (feet) (feet) oz Au/ton oz Au/ton
-------------------------------------------------------------------------
NH06-49 270 (less than)
0.010
-------------------------------------------------------------------------
NH06-50 250 175 225 50 0.175 0.566
-------------------------------------------------------------------------
NH06-52 340 20 30 10 0.013 0.013
150 200 50 0.030 0.108
210 230 20 0.049 0.131
-------------------------------------------------------------------------
NH06-53 320 145 160 15 0.022 0.024
180 200 20 0.044 0.084
220 245 25 0.148 0.467
255 265 10 0.020 0.026
-------------------------------------------------------------------------
NH06-54 280 90 120 30 0.019 0.031
120 155 35 0.096 0.207
185 195 10 0.062 0.103
-------------------------------------------------------------------------
NH06-56 240 50 100 50 0.066 0.423
110 115 5 0.024 0.024
-------------------------------------------------------------------------
NH06-58 320 85 115 30 0.065 0.222
120 135 15 0.037 0.076
140 145 5 0.026 0.026
175 195 20 0.040 0.056
220 235 15 0.016 0.027
-------------------------------------------------------------------------
NH06-63 280 45 65 20 0.100 0.179
90 95 5 0.042 0.042
115 120 5 0.035 0.035
165 195 30 0.019 0.024
245 280 35 0.019 0.061
-------------------------------------------------------------------------
NH06-66 160 10 50 40 1.092 3.956
95 105 10 0.016 0.018
-------------------------------------------------------------------------
NH06-77 300 25 50 25 0.029 0.085
75 80 5 0.034 0.034
100 120 20 0.060 0.128
-------------------------------------------------------------------------
NH06-81 200 10 15 5 0.012 0.012
30 35 5 0.013 0.013
110 165 55 0.068 0.213
-------------------------------------------------------------------------
NH06-82 190 60 65 5 0.020 0.020
130 165 35 0.081 0.233
-------------------------------------------------------------------------
NH06-85 230 70 75 5 0.011 0.011
110 150 40 0.047 0.209
160 195 35 0.023 0.068
-------------------------------------------------------------------------
NH06-86 140 25 45 20 0.086 0.160
70 110 40 0.014 0.021
-------------------------------------------------------------------------
>>
DISTRICT EXPLORATION
Phase One drilling of district targets Sandbowl and Windmill also
identified additional mineralization. At Sandbowl, which is approximately
2,000 feet west-southwest from North Hill, five exploration holes with a total
footage of 1,760 feet were drilled. Three of the holes, NH06-60, NH06-75, and
NH06-76, resulted in the discovery of the Sandbowl mineralized zone. Strongly
anomalous gold mineralization was also encountered in angle hole WM06-1 at the
Windmill Anomaly, which is located between Southeast Pediment and Silica
Ridge. Additional step-out drilling at both Sandbowl and Windmill are planned
for Phase Two.
Qualified Person
All drill samples were collected following standard industry practice and
were assayed by American Assay Laboratories, Inc. of Sparks, Nevada. Gold
results were determined using standard fire assay techniques on a 30 gram
sample with an atomic absorption finish. QA/QC included the insertion of
numerous standards and blanks into the sample stream. Michael Gustin, Ph.D.,
of Mine Development Associates, Reno, Nevada, is NewWest's qualified person as
defined by NI43-101 and has reviewed and approved this news release.
Forward-Looking Statements
Information in this news release that is not current or historical
factual information may constitute forward-looking information within the
meaning of securities laws. Implicit in this information, particularly in
respect of future operating results, economic performance, potential
mineralization and resources, exploration results and further plans and
objectives are forward looking statements that involve various risks and
uncertainties which, although considered reasonable by NewWest at the time of
preparation, may prove to be incorrect. Readers are cautioned that there can
be no assurance that such statements will prove to be accurate and actual
results and future events could differ materially from those anticipated in
such statements.
