Exploration Drilling at the Eagle River Mine Returns 314 g/t Au Over 6.0 Metres and Confirms Down Plunge Extension of the Falcon Zone to the Mine 7 Zone
Exploration Drilling at the Eagle River Mine Returns 314 g/t Au Over 6.0 Metres
and Confirms Down Plunge Extension of the Falcon Zone to the Mine 7 Zone
TORONTO, July 08, 2020 -- Wesdome Gold Mines Ltd. (TSX: WDO) (“Wesdome” or the “Company”) today announces results
from the ongoing underground exploration drilling program at the Company’s wholly-owned Eagle River Mine in Wawa, Ontario.
The Falcon zones were originally discovered from surface drilling located in volcanic rocks approximately 200 metres (“m”)
west of the mine diorite (see press release dated June 6, 2019). The Falcon Zones occur near the contact between tholeiitic
mafic volcanic and calc-alkaline felsic to intermediate volcanics, which are commonly sheared with biotite-sericite altered and
laminated quartz veins with visible gold. Surface drilling defined the zone of mineralization to a depth of 4400 m elevation (i.e.
600 vertical m below surface).
Although surface and exploration drilling is currently operating at a reduced capacity due to COVID-19 restrictions, recent
underground drilling from the 772 m elevation was completed to test the down plunge extension of the Falcon Zone. Initial
drilling from underground has intersected visible gold mineralization in quartz veining and defines a steep easterly plunge. It is
interpreted that the Falcon 7 Zone now extends from surface approximately 1,000 m down plunge and is part of the up plunge
extension of the 7 Zone currently being mined near the 1,000 m elevation (Figures 1, 2 and 3). The Falcon/7 Zone has a strike
length of 50 to 100 m and often contains a subparallel hanging wall lens located approximately 10-20 m to the north. Additional
drilling is required to better define these zones and remains a priority in the second half of 2020.
Highlights of the recent drilling are listed below and summarized in Table 1.
• Hole 772-E-81: 49.9 g/t over 4.9 m core length (44.7 g/t Au cut, 2.1 m true width)
• Hole 772-E-86: 314.4 g/t Au over 6.0 m core length (76.2 g/t Au cut, 5.2 m true width)
• Hole 772-E-88: 68.4 g/t Au over 2.3 m core length (64.7 g/t Au cut, 2.1 m true width)
Assays capped at 125 g/t Au. True widths are estimated.
Mr. Duncan Middlemiss, President and CEO commented, "We are pleased with our ongoing exploration efforts at the Eagle
River Mine, albeit presently at reduced capacity. Intersecting the down plunge extension of the Falcon Zone with underground
drilling really shows the potential of the Falcon Zone extending to the Mine 7 Zone, which is in excess of 1,000 m down
plunge. This is significant, as the extension of this zone is proximal to mine infrastructure and has the potential to be included
in future mine production and ultimately augment production rates in the medium term.”
“At site, we continue to stringently monitor the health and safety recommendations and measures of the COVID-19 pandemic.
The health and safety of the community, our employees and contractors are our first priority, and we are committed to
supporting all health recommendations and orders as it relates to the COVID-19 pandemic. To date, there have been no
suspected COVID-19 cases at the Company’s operations or corporate offices.”
TECHNICAL DISCLOSURE
For underground drilling, the sampling of, and assay data from, underground drill core is monitored through the implementation
of a quality assurance - quality control (QA-QC) program designed to follow industry best practice. Samples are transported in
sealed bags to Eagle River Mine assay office in Wawa, Ontario. Samples are analyzed for gold using standard fire assay
technique with gravimetric finish. Wesdome inserts blanks and certified reference standard in the sample sequence for quality
control.
The technical content of this release has been compiled, reviewed and approved by Michael Michaud, P.Geo., Vice President,
Exploration of the Company and a "Qualified Person" as defined in National Instrument 43-101 -Standards of Disclosure for
Mineral Projects.
ABOUT WESDOME
Wesdome Gold Mines is in its 30 th year of continuous gold mining operations in Canada. The Company is 100% Canadian
focused with a pipeline of projects in various stages of development. The Eagle River Complex in Wawa, Ontario is currently
producing gold from two mines, the Eagle River Underground Mine and the Mishi Open pit, from a central mill. Wesdome is
actively exploring its brownfields asset, the Kiena Complex in Val d’Or, Quebec. The Kiena Complex is a fully permitted
former mine with a 930 metre shaft and 2,000 tonne per day mill. The Company has further upside at its Moss Lake gold
deposit, located 100 kilometres west of Thunder Bay, Ontario, which is being explored and evaluated to be developed in the
appropriate gold price environment. The Company has approximately 138.0 million shares issued and outstanding and trades
on the Toronto Stock Exchange under the symbol “WDO.”
For further information, please contact:
Duncan Middlemiss or Lindsay Carpenter Dunlop
President and CEO VP Investor Relations
416-360-3743 ext. 2029 416-360-3743 ext. 2025
[email protected] [email protected]
220 Bay Street, Suite 1200
Toronto, ON, M5J 2W4
Toll Free: 1-866-4-WDO-TSX
Phone: 416-360-3743, Fax: 416-360
-7620
Website: www.wesdome.com
This news release contains “forward-looking information” which may include, but is not limited to, statements with respect to
the future financial or operating performance of the Company and its projects. Often, but not always, forward-looking
statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”,
“forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or
state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-
looking statements involve 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 any future results, performance or achievements
expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date
of this press release and the Company disclaims any obligation to update any forward-looking statements, whether as a result
of new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove
to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The
Company undertakes no obligation to update forward-looking statements if circumstances, management’s estimates or
opinions should change, except as required by securities legislation. Accordingly, the reader is cautioned not to place undue
reliance on forward-looking statements. The Company has included in this news release certain non-IFRS performance
measures, including, but not limited to, mine operating profit, mining and processing costs and cash costs. Cash costs per
ounce reflect actual mine operating costs incurred during the fiscal period divided by the number of ounces produced. These
measures are not defined under IFRS and therefore should not be considered in isolation or as an alternative to or more
meaningful than, net income (loss) or cash flow from operating activities as determined in accordance with IFRS as an
indicator of our financial performance or liquidity. The Company believes that, in addition to conventional measures prepared in
accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate
cash flow
Table 1: Drilling Composites – Falcon/7 Zone
Hole No. From (m) To (m) Core length
(m)
True Width
(m)
Grade (g/ t
Au)
Cut Grade
(125 g/t Au)
772-E-18 75.2 80.4 5.25 4.93 16.06 14.80
772-E-20 87.1 89.0 1.85 1.52 2.12 2.12
772-E-22 113.7 115.5 1.85 1.52 2.28 2.28
772-E-39 93.4 94.9 1.55 1.50 55.35 53.29
772-E-43 79.2 81.0 1.75 1.52 22.37 21.44
772-E-44 114.4 116.1 1.65 1.50 5.86 5.86
772-E-45 161.2 163.5 2.35 1.51 19.19 19.19
772-E-46 156.0 158.4 2.35 1.51 8.56 8.56
772-E-58 173.8 177.7 3.90 2.24 160.48 73.35
772-E-65 96.2 98.3 2.10 1.97 77.50 74.74
772-E-66 99.9 105.8 5.90 5.11 14.28 14.28
772-E-67 104.9 106.7 1.85 1.52 3.11 3.11
772-E-69 144.8 146.8 1.95 1.49 0.52 0.52
772-E-70 153.0 155.2 2.15 1.52 26.96 22.97
772-E-71 165.8 168.8 3.00 1.50 5.52 5.52
772-E-78 224.2 227.2 3.00 2.12 33.27 32.07
772-E-81 219.9 224.8 4.90 2.07 49.87 44.74
772-E-82 241.8 244.9 3.10 1.78 61.65 46.26
772-E-86 99.2 105.2 5.95 5.15 314.42 76.20
772-E-87 83.4 85.3 1.90 1.65 71.55 48.70
772-E-88 110.9 113.2 2.30 2.08 68.38 64.67
772-E-89 75.5 78.3 2.80 2.70 31.08 31.08
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