West Timmins Mining Inc.
TSX : WTM

West Timmins Mining Inc.

November 08, 2007 12:58 ET

West Timmins Options High-Grade Gold-Silver System in Montana De Oro Area; Reported Results Include 7.36 G/T Gold, 563 G/T Silver Over 6.0 Metres

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 8, 2007) - West Timmins Mining Inc. (TSX:WTM) and MacMillan Gold Corp. (TSX VENTURE:MMG) announced today they have entered into a Letter Agreement whereby West Timmins can earn up to a 70% interest in three of MacMillan's Mexican properties: the La Violetta, Chino Gordo, and Palmira Properties. La Violetta is surrounded by West Timmins' Montana de Oro Project; Chino Gordo and Palmira are both adjacent to West Timmins' Montana de Oro Project in Sonora, Mexico.

The La Violetta Property hosts a historically productive high-grade gold-silver vein system and is reported to have returned 7.36 g/t gold and 563 g/t silver across a 6.0 metre chip sample collected by MacMillan beyond the previously mined high grade shoot. The gold-silver mineralization is associated with elevated lead and copper values and bears a number of similarities to the nearby and adjacent El Rodeo and Don Pancho vein systems being explored by West Timmins on the Montana de Oro Project.

"We are pleased to have reached an agreement to acquire a significant interest in this promising property package and to further expand our holdings in the Montana de Oro area," said Darin Wagner, President and CEO of West Timmins Mining. "We look forward to working with MacMillan Gold to move these properties forward."

Under the terms of the Letter Agreement West Timmins can vest its initial 51% interest in the Properties by delivering to MacMillan, subject to regulatory approval, 300,000 common shares (100,000 shares upon regulatory approval (committed) and 100,000 shares by each of September 30, 2008 and 2009). West Timmins is also required to spend $500,000 by September 30, 2010 on exploration on the Properties of which a minimum of $100,000 must be spent on the Properties by September 30, 2008.

West Timmins will have a second option to increase its interest from 51% to 60% by delivering an additional 200,000 common shares to MacMillan (100,000 by each of September 30, 2010 and 2011) and spending an additional $500,000 on the Properties prior to September 30, 2013. The additional 200,000 shares to be delivered under the second option will be subject to a capped maximum value of $1,400,000. Should West Timmins complete this 60% earn in, it will have a third option to increase its overall property interest to 70% by funding and delivering a bankable feasibility report within three years of completing the 60% earn in on a resource developed at least in part within the boundaries of the Properties.

West Timmins will be the operator throughout the option and joint venture phases of the Agreement and is entitled to a 5% management fee on all exploration expenditures. The Letter Agreement is subject to final approval of the Board of Directors of West Timmins, completion of due diligence investigations within 30 days of signing of the Letter Agreement, and regulatory approval.

Darin Wagner, P. Geo. and President of the Company, is the non-independent qualified person under NI43-101 for this news release. The results reported herein from the La Violetta Property were provided to the Company by MacMillan Gold. They were collected by consultants in the employee of MacMillan Gold in 2002 and analyzed through the facilities of ALS-Chemex by standard fire assay techniques. The qualified person has visited the property, verified the high-grade nature of the mineralization within the Violetta structure through analysis of samples from the dumps on site and visited each of the adjacent properties as part of the Company's due diligence review.

About West Timmins Mining Inc. (www.westtimminsmining.com):

West Timmins is focussed on the exploration and development of district-scale gold and related base metal projects in the major gold camps of North America. WTM currently has five drills testing high grade gold and base metal targets on its West Timmins and Montana de Oro Projects. In Timmins, Ontario, drilling is following up on the new Thunder Creek gold discovery. At Montana de Oro, located in the heart of the Sierra Madre Belt, drilling is focussing on the La Dura polymetallic discoveries. West Timmins Mining is based in Vancouver, British Columbia, Canada and trades on the Toronto Stock Exchange under the symbol WTM.

On behalf of the Board of West Timmins Mining Inc.

Darin W. Wagner, President and Chief Executive Officer

For further detail on West Timmins Mining Inc. please refer to prior disclosure at www.SEDAR.com.

This press release contains forward looking statements within the meaning of applicable under Canadian and U.S. securities regulation, including statements regarding the future activities of the Company and planned use of the proceeds from the financing.. Forward looking statements reflect the current beliefs and expectations of management and are identified by the use of words including "will", "expected to", "proposed", "plans" and other similar words. Actual results may differ significantly. The achievement of the results expressed in forward looking statements is subject to a number of risks, including those described in the company's annual information form as filed with the Canadian securities regulators which are available at www.sedar.com. Investors are cautioned not to place undue reliance upon forward looking statements.

The TSX has not reviewed and does not accept responsibility for the accuracy or adequacy of this news release, which has been prepared by management.

Contact Information

  • West Timmins Mining Inc.
    Darin W. Wagner
    President & CEO
    (604) 685-8311 or Toll Free: 1-866-685-8311
    Website: www.westtimminsmining.com