West Kirkland Identifies New Target at Gold Mountain Using Hasbrouck Deposit Model
SUITE 788 – 550 BURRARD STREET, VANCOUVER, B.C. V6C 2B5 CANADA / TEL: 604-685-8311 / FAX: 604-484-4710
News Release No. 101-2018
Jan 29, 2018
West Kirkland Identifies New Target at Gold Mountain
Using Hasbrouck Deposit Model
Tonopah, Nevada
VANCOUVER, BRITISH COLUMBIA, January 29, 2018 – West Kirkland Mining I nc.
(WKM:TSXV) (“West Kirkland”, “WKM” or the “Company”) is pleased to announce a significant
new gold and silver target , at or near surface , on the newly acquired 100% controlled Gold
Mountain mining claims near Tonopah, Nevada. From peak to peak, Gold Mountain is located
only 1.6 km east of Hasbrouck hill. The objective of WKM’s exploration program in the district is
to add gold resources and reserves near the Company’s existing reserves that are within easy
trucking distance to the Company’s planned and permitted heap leach processing facilities.
The Gold Mountain target was identified by analyzing historic samples along existing, long road
cuts with assay values at or better than Hasbrouck reserve grades. Through the December, 2017
lease agreement with Tonopah Divide Mining Company , WKM acquired an extensive historic
exploration database. Utilizing the acquired data base along with field samples and observations,
WKM mapped the bedding of known structures and completed a three-dimensional geological
model for the Gold Mountain area of property.
The Hasbrouck Technical Report 1 summarizes one of the key ore controls at Hasbrouck as
follows: “Stratigraphic control, whereby the porous volcaniclastic units are preferentially
mineralized, is prevalent throughout the deposit, but is especially evident in many of the
moderate-grade zones…” Comparison of WKM’s three-dimensional model for Gold Mountain to
the flat bedded controls for part of the known reserves on the adjacent Hasbrouck hill
demonstrated the potential for a relatively flat lying, thick and near surface deposit at Gold
Mountain.
WKM’s analysis also determined that some historic drilling did test the flat lying, gold bearing zone
that now forms the target identified by WKM . At the time of the historic road cut sampling and
drilling in the 1980’s and 1990’s, the flat bedded host rock control of g old mineralization in the
area was not well recognized or understood. Gold prices were also lower, causing exploration at
the time to be focussed on high grade targets.
From the database WKM found 1608 feet (490 meters) of road cuts into Gold Mountain that have
the gold and silver assay values reported below. A series of 20 foot (7m) continuous samples
were taken along the roads. Results are shown in the table below.
1 Technical Report and Updated Preliminary Feasibility Study for The Hasbrouck and Three Hills Gold-Silver Project,
Esmeralda County, Nevada, USA, Report Date: September 14, 2016 (the “Technical Report”).
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Historic Road Cut Continuous 20 foot Chip Sample Sections
Surface Samples Interval (ft) Gold (g/t) Silver g/t Location
Road Cut 1 441 0.87 2.4 NE Side (26 samples)
Road Cut 2 917 0.65 13.2 SW Side (47 samples)
Road Cut 3 250 0.68 22.5 East-High (16 samples)
The mineralized road cuts have similar grades to the Hasbrouck Reserves (0.583 g/tonne Au and
7.9 g/t Ag ) located approximately 6,500 feet (2 ,000 meters) to the west. The road cuts with
mineralization are close to the flat dipping contact of two mapped units. The mineralized road
cuts cover a large area . Three approximately 250 foot sections of road cut were sampled with
low values and are interpreted as being off the layered contact . S ome mapped and well
mineralized road cuts were not sampled and WKM plans to sample these. Detailed mapping and
further sampling will be required to delineate and expand the target.
Limited historic drilling under the road cuts described above has shown gold and silver values at
or near surface with results in the table below . Historic deep drill cuts across the mountain are
interpreted to have been collared in or under the new WKM identified flat bedded contact. The
historic drilling was targeting different, higher grade structures below the flat bedded layers now
identified by WKM. Areas above the historic road cuts are observed to host the new flat bedded
target and are open for new road cut sampling /trenching and further drilling. The historic drill
holes that have been identified with intercepts of the new WKM flat bedded target also returned
similar grades to the Hasbrouck Reserves. See table below.
Historic Drill Holes in the Area of the Flat Road Cut Targets
Drillhole Interval (ft) Gold (g/t) Silver g/t From (ft)
DR-1 95 225 1.10 5.2 45
DR-2 95 60 0.86 10.5 60
DR-3 95 55 0.85 10.3 Surface
GM-9-90 25 0.41 3.1 30
DR-4 95 20 1.19 7.6 25
GM-10-90 15 0.44 2.1 50
F-1309-80 90 1.49 5.2 120
F-1313 80 30 0.31 0.8 80
F-1312 80 20 0.39 9.3 5
GM-11-90 45 0.95 2.6 165
The interpretation of stratigraphic control at the nearby Hasbrouck deposit is supportive of WKM’s
new interpretation at Gold Mountain. The overall variable dip and true thickness of the flat target,
near surface, cannot yet be estimated. Further road cuts higher and lower on the hill along with
short vertical holes through exposed mineralization will be required to estimate the continuity and
scale of the new flat bedded target.
A historic , north e ast trending, near vertical narrow vein at Gold Mountain , with small scale
production from portals on multiple levels, may have acted as a feeder to the flat bedded target.
This vertical zone has been tested by one or two historic holes, which returned low values. A
series of high grade grab samples along this interpreted vein for 280 meters of strike length
trending north east outlines this target. Values range from 0.29 g/t gold to 50 g/t, with 9 values
from 10-20 g/t tonne gold. The width of this vein is unclear. The intersection of the high-grade
vein and the flat bedded target has not been drilled or sampled and this intersection area is also
targeted for new road cuts/trenches and surface sampling.
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About the Hasbrouck Gold Project and West Kirkland
Over the past twelve months, West Kirkland has progressively acquired a 100% interest in 3,700
acres of prospective land between the original two deposits of the Hasbrouck Gold Project. The
new target reported herein is on 100% leased land.
The Hasbrouck Gold Project contains Proven & Probable Reserves of 784,000 gold equivalent
oz, (45,270,000 tons at 0.017 Au oz/t for 762,000 contained Au oz; 0.233 Ag oz/t for 10,569,000
contained Ag ounces, NPV5 Post Tax ($1,275/oz Au) estimated at $120M, IRR 43% (Technical
Report and Updated Preliminary Feasibility Study for The Hasbrouck and Three Hills Gold-Silver
Project, Esmeralda County, Nevada, USA, Report Date: September 14, 2016). Waterton Precious
Metals Fund II Cayman, LP holds a 25% interest in the Hasbrouck Gold Project and is participating
in project expenditures. The first pit is fully permitted and permitting the second pit is ongoing.
The Hasbrouck Gold Project consists of two all-oxide gold-silver deposits eight km apart, near the
Town of Tonopah in southern Nevada. Both deposits can be open-pit mined at 1:1 stripping ratios
with minimal pre -stripping and with 76% gold recove ry by heap leaching. There are no known
technical, environmental, economic or social obstacles that would prevent the company from
proceeding immediately to construction on the first part of the Hasbrouck Mine plan at Three Hills.
Permitting is advanced and is in progress for the second part of the mine plan.
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Qualified Person
R. Michael Jones P.Eng, CEO of West Kirkland Mining, is a non -independent Qualified Person
as defined by NI 43-101. He has reviewed the information contained in this news release and has
verified the data by hiring qualified geologists and engineers and has completed a review of the
detailed technical information. Mineral Reserve information in this news release relating to the
Hasbrouck Gold Project has been developed and approved by Thomas L. Dyer, P.E., of MDA
following CIM standards.
Quality Assurance/Quality Control
West Kirkland Mining utilizes a well -documented system of inserting blanks and standards into
the assay stream and has a strict chain of custody for samples taken by WKM. Assays by WKM
are completed at independent laboratories which have internal quality assurance and quality
control systems and procedures. Assays were performed by ALS Chemex Labs Ltd., by fire
assay and ICP methods.
The historic work was completed by previous property explorers and developers and provided to
WKM in digital form in an extensive database. The surface assays on road cuts and grab samples
were performed at ALS labs by standard fire assays with ICP finish methods. Drill hole assay data
for the 1995 and 1990 programs were completed at Barringer labs, GSI labs, and labs respectively
with fire assay methods and ICP or AA finish . The 1980 holes do not have assay lab data
available, but the values were part of historic production mine work at the time and are consistent
with the ALS surface data nearby. Although the work was completed prior to NI-43101 and was
not under WKM control and chain of custody , the work was completed by qualified professional
geologists and laboratories utilizing standard methods. The results of various dates and operators
provide similar results to the surface sample assay work by ALS labs. For the purpose of general
exploration target generation, the Non-Independent QP has reviewed the data in detail and has
accepted it as verified for general indicative exploration targeting. The data was verified by
ensuring a reasonable mineralization type and assay tenor comparison , in the same area ,
between multiple project exploration companies and labs, along with a review and acceptance of
the quality of the work reported. Further confirmation assays under WKM procedures would be
required for this data to be used in resource calculations.
On behalf of West Kirkland Mining Inc.
“R. Michael Jones”
Chief Executive Officer
For further information, please see the Company’s website at www.wkmining.com or contact us
by email at [email protected].
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.
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. Forward-looking information in this news release includes, without
limitation, the exploration and project approach of a Prefeasibility Study. Historical mineral title
also has risk of an unrecorded claim. The Company cautions investors that any forward -looking
information provided by the Company is not a guarante e 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,
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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 authorizati ons 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.
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of this release.