Stock Symbol: WGF: TSX-V
SASKATOON, Nov. 22 /CNW/ - Wescan Goldfields Inc. (Wescan) (WGF: TSX-V) and Alto Ventures Ltd. (Alto) (ATV: TSX-V) are pleased to announce that diamond drilling has commenced on the Mud Lake Project in the Beardmore-Geraldton Gold Belt. The Mud Lake Property shares a common boundary with the Hercules Property, located to the north of Mud Lake, where Kodiak Exploration Ltd. recently reported the discovery of significant gold mineralization. To the south of Mud Lake, Ontex Resources Ltd. is exploring their Brookbank Gold Deposit which is reported to contain 629,900 ounces of gold (see Ontex news release dated November 15, 2007).
The planned drill program consists of 18 to 20 holes and will test targets along the Mud Lake Shear Zone (MLS). Previous work identified twelve surface gold occurrences along a six kilometre segment of the MLS and only three were drilled in the past (see Alto news releases dated March 6 and March 20, 2007). The drilling will follow-up on gold mineralization intersected at the three previously drilled occurrences (up to 13.9 g/t gold across 1.0 m were intersected within a wider zone of gold mineralization that assays 3.39 g/t across 6.1 m) and test for the first time another three targets along the MLS which have yet to be drilled. This work is part of a longer term strategy to evaluate each of the gold targets with diamond drilling and start to delineate in detail those that display continuity of mineralization and grade.
The drill program is estimated to take up to four weeks to complete and because of the approaching Christmas Holidays and overwhelming industry demand for assay-laboratory services, the gold assay results will not be anticipated before January 2008.
In June 2007, Wescan entered into an Option Agreement with Alto on the Mud Lake Property. Under the terms of the Option Agreement, 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. The diamond drilling program is funded by Wescan in accordance with the terms of the Option Agreement.
Mike Koziol, P. Geo., P.Eng. and Alto's President and Director is the Qualified Person who has reviewed and approved this news release.
Wescan is a growth oriented mineral exploration company based in Saskatoon, Saskatchewan, focused on the exploration of its current portfolio of gold, uranium and base metal properties and the acquisition of new advanced stage exploration targets.
Wescan is actively exploring its advanced stage Jojay as well as its Fork Lake gold properties in the greenstone belt of northern Saskatchewan with the objective of expanding known gold resources and advancing them to the development stage. Wescan is also pursuing exploration of its uranium properties in the Athabasca Basin through its joint ventures with Santoy Resouces Ltd. The company is continuing to expand its interests with the addition of claim blocks in north-eastern Saskatchewan adjacent to the former producing Hanson Lake Mine and the McIlvenna Bay deposit as well as the Mud Lake Project. Wescan continues to pursue new opportunities and is carrying out on-going evaluations of acquisition targets with the full intention to grow the company.
Shares of Wescan 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 Statements
From time to time, Wescan makes written or oral forward-looking statements within the meaning of certain securities laws, including the "safe harbor" provisions of the Ontario Securities Act and the United States Private Securities Litigation Reform Act of 1995. Wescan may make such statements in this press release, in other filings with Canadian regulators or the United States Securities and Exchange Commission, 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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