SASKATOON, Aug. 21 /CNW/ - Wescan Goldfields Inc. (WGF: TSX-V) and Alto Ventures Ltd. (ATV: TSX-V) are pleased to announce that a $300,000 surface exploration program and budget has been approved by the parties for the Mud Lake property in the Beardmore-Geraldton Gold Belt. The program will include mechanical stripping and trenching which is scheduled to start in mid September followed by diamond drilling in October or early November when the contracted drill becomes available.
A major auriferous shear zone (Mud Lake Shear - "MLS") that extends for over six kilometers along strike has been identified on the property. Thirteen gold occurrences are exposed in surface trenches along the MLS and sampling of these has returned gold assays as high as 50 g/t in grab samples (see Alto's news release from November 27, 2006). The planned mechanical stripping and washing program will concentrate on areas of mapped shearing in-between some of the previously identified surface occurrences along the MLS to determine if these segments of the shear zone contain mineralized quartz veins.
Previous drilling by Alto (see Alto's news releases from March 5 and March 20, 2007) has intersected gold in each of three surface occurrences tested along the MLS, with values of up to 13.9 g/t gold over 1.0 meters. The 2007 fall drill program will consist of 18 to 20 holes and will in part follow-up on gold mineralization intersected at two of the three occurrences drilled previously and test for the first time, another three occurrences along the MLS not yet drilled.
The current program is part of a longer term strategy to evaluate each of the surface occurrences with diamond drilling and start to delineate in detail those that display continuity of mineralization and grade and show potential for the concentration of economic mineralization.
Under the terms of the Mud Lake Option Agreement entered into in June 2007 by the two parties, Wescan can earn 50% in the property by funding $600,000 in exploration and issuing a total of 150,000 Wescan shares to Alto over two years. This program is funded by Wescan as per terms of the Option Agreement.
The Beardmore Geraldton Gold Belt is experiencing a resurgence of gold exploration and Wescan is pleased to participate with its partner Alto in this resurgence.
Mike Koziol, P. Geo., P.Eng. and Alto's President and Director is the Qualified Person who has reviewed and approved the content of this news release.
Wescan Goldfields Inc. is a growth oriented exploration company based in Saskatchewan engaged in the acquisition, exploration and development of mineral properties. In addition to Wescan's participation in the Mud Lake Project with Alto, it has a portfolio of properties that include prospects for gold, uranium and base metals located in northern Saskatchewan's "Greenstone Belt" and "Athabasca Basin". Shares in the company trade on the TSX Venture exchange under the trading symbol "WGF".
"The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release."
Caution Regarding Forward-looking Information
From time to time, Wescan makes written or oral forward-looking statements within the meaning of certain securities laws, including the "safe harbour" provisions of the Ontario Securities Act. Wescan may make such statements in this news release, in other filings with Canadian regulators, in reports to shareholders or in other communications. These forward-looking statements include, among others, statements with respect to Wescan's objectives for the ensuing year, our medium and long-term goals, and strategies to achieve those objectives and goals, as well as statements with respect to our beliefs, plans, objectives, expectations, anticipations, estimates and intentions. The words "may," "could," "should," "would," "suspect," "outlook," "believe," "plan," "anticipate," "estimate," "expect," "intend," and words and expressions of similar import are intended to identify forward-looking statements. In particular, statements regarding Wescan's future operations, future exploration and development activities or other development plans contain forward-looking statements.
All forward-looking statements and information are based on Wescan's current beliefs as well as assumptions made by and information currently available to Wescan concerning anticipated financial performance, business prospects, strategies, regulatory developments, development plans, exploration, development and mining activities and commitments. Although management considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect.
By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks exist that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to, developments in world gold markets, risks relating to fluctuations in the Canadian dollar and other currencies relative to the US dollar, changes in exploration, development or mining plans due to exploration results and changing budget priorities of Wescan or its joint venture partners; the effects of competition in the markets in which Wescan operates; the impact of changes in the laws and regulations regulating mining exploration and development; judicial or regulatory judgments and legal proceedings; operational and infrastructure risks and the additional risks described in Wescan's most recently filed annual and interim MD&A and Wescan's anticipation of and success in managing the foregoing risks.
Wescan cautions that the foregoing list of factors that may affect future results is not exhaustive. When relying on our forward-looking statements to make decisions with respect to Wescan, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Wescan does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by Wescan or on our behalf.
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