West Kirkland Appoints McVey, Commences TUG Deposit Permitting Process
West Kirkland Appoints McVey, Commences TUG Deposit Permitting Process
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/04/13 -- West Kirkland Mining Inc. (TSX VENTURE:WKM) (the "Company") is pleased to announce the appointment of Mr. Sandy McVey, P.Eng., as its Chief Operating Officer. Mr. McVey has over 30 years of experience in mine and construction management in Canada, the USA and Africa. He joined the Company in November 2012 as Manager, Projects, after completing the successful design, permitting and construction of an underground silver mine in Texas. Mr. McVey will spearhead the development of the company's TUG project, a gold/silver asset in Utah and has commissioned Roscoe Postle Associates Inc. (RPA) to produce a Preliminary Economic Assessment (PEA) by May of this year.
The design drawings of the PEA will form the basis of construction and operating permit applications. The Company envisions a conventional shallow, open pit and heap leach operation with a low stripping ratio and minimal stripping in the first two years.
The TUG deposit is four miles from paved highway and is exposed at surface. Grid power and water are both available. These features may provide for a shorter construction period, lower risk and improved project economics. Pending the outcome of the PEA, permitting and additional studies, a construction decision on the TUG project could occur within the second quarter of 2013.
R. Michael Jones, West Kirkland President and CEO said, "Sandy has already made significant inroads on the development of TUG and we're pleased to have his commitment to lead the project."
The Company has well advanced in collecting field data for the upcoming PEA and permitting. Geotechnical and hydrogeological investigations have been completed, as well as drilling of metallurgical samples. The Company is working closely with regulators in Utah, a mining-friendly jurisdiction, on TUG permitting. It is important to note that TUG has an inferred mineral resource and no mineral reserves. The Company is advancing permitting and other design information notwithstanding the lack of mineral reserves and there can be no assurance that the inferred mineral resources will ever be classified as mineral reserves or be increased in the mineral resource category.
The TUG property is under option from Fronteer Development (USA) Inc., a wholly owned subsidiary of Newmont Mining Corporation ("Newmont"). Under the agreement, West Kirkland can earn a 60% interest in the property by spending a total of $4,000,000. To date the Company has spent approximately $3,400,000 and has secured a 51% interest in the property by completing the first earn in right.
TUG Property Details
The TUG property is located in Box Elder County, Utah. West Kirkland is earning its interest in the TUG property through an option agreement with Newmont. The TUG property hosts a shallow oxidized gold resource that was extensively drilled by previous operators, including Noranda, Phelps Dodge and Western States Minerals. Upon optioning the property, West Kirkland completed the first three-dimensional compilation of the historic data and expanded the resource through drilling. West Kirkland completed the first NI 43-101 compliant resource estimate on the TUG deposit on June 1, 2012. The inferred TUG mineral resource was estimated by Caracle Creek International Consultants to be 679,000 gold equivalent ounces contained in 27,110,000 tonnes grading 0.49 g/t Au and 15.8 g/t Ag using a cut-off 0.1 g/t Au. For further information on the TUG resource please refer to the Company's June 1, 2012 news release and the technical report titled "Independent Technical Report and Estimated Resources for TUG Property, Utah, United States" dated effective June 1, 2012 and filed with SEDAR.
Independent, NI 43-101 compliant inferred mineral resources at the TUG property were estimated by Jason Baker, P.Eng., a Geological Engineer with Caracle Creek and an independent qualified person in accordance with the independence tests set out in NI 43-101. The inferred mineral resources are reported in accordance with National Instrument 43-101 and have been estimated in compliance with the latest CIM Definition Standards for Mineral Resources and Mineral Reserves.
Julie Selway, Ph.D., P.Geo, a Senior Geologist with Caracle Creek International Consulting and an independent Qualified Person, verified the analytical data used to create the inferred mineral resource estimate.
Michael G. Allen, Vice President of Exploration for West Kirkland, and a non-independent qualified person as defined by NI 43-101, has reviewed and approved the technical information in this news release other than the inferred mineral resource estimate, including but not limited to the plans of the Company.
About West Kirkland Mining
West Kirkland Mining was formed in 2010 to focus on gold exploration along major trends in North America. The Company has consolidated significant mineral rights positions within the major gold trends of Nevada/Utah and in the Kirkland Lake area of Ontario - two of North America's premier gold jurisdictions. The founders and Board of West Kirkland Mining have successful gold discovery, development and mine operations experience in both Ontario and Nevada over the past 40 years.
For further information, please see the Company's website at www.wkmining.com.
Disclaimer for Forward-Looking Information
This press release contains forward-looking information or forward looking statements (collectively "forward-looking information") within the meaning of applicable securities laws. Such information includes, without limitation, information regarding proposed exploration activities. Although the Company believes that such information is reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward looking information as a result of various factors, including, but not limited to, the state of the financial markets for the Company's equity securities, the state of the market for gold or other minerals that may be produced generally, recent market volatility; variations in the nature, quality and quantity of any mineral deposits that may be located, the Company's ability to obtain any necessary permits, consents or authorizations required for its activities, to raise the necessary capital or to be fully able to implement its business strategies and other risks associated with the exploration and development of mineral properties. The reader is referred to the Company's public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company's profile on SEDAR at www.sedar.com.
Cautionary Note to U.S. Investors Regarding Estimates of Inferred Mineral Resources
This press release uses the terms "inferred mineral resources." We advise U.S. investors that while these terms are recognized and required by Canadian regulations, the SEC does not recognize them. "Inferred mineral resources" have a great amount of uncertainty as to their existence, and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an "inferred mineral resource" will ever be upgraded to a higher category. Under Canadian rules, estimates of "inferred mineral resources" may not form the basis of a feasibility study or prefeasibility studies, except in rare cases. The SEC normally only permits issuers to report mineralization that does not constitute "reserves" as in-place tonnage and grade without reference to unit measures. The terms "contained gold ounces" and "contained silver ounces" used in this press release are not permitted under the rules of the SEC. U.S. investors are cautioned not to assume that any part or all of an inferred resource exists or is economically or legally mineable.
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.
Contacts: West Kirkland Mining Inc. R. Michael Jones (604) 685-8311
West Kirkland Mining Inc. Michael Allen (604) 685-8311
West Kirkland Mining Inc. Knox Henderson (604) 685-8311 (604) 484-4710 (FAX) firstname.lastname@example.org www.wkmining.com