TORONTO, ONTARIO--(Marketwired - March 3, 2017) - Gowest Gold Ltd. ("Gowest" or the "Company") (TSX VENTURE:GWA) is pleased to announce that it has engaged Cementation Canada Inc. ("Cementation") as the mining contractor to assist in the underground development of the Bradshaw Gold Deposit ("Bradshaw") as part of the Company's Advanced Exploration - Bulk Sample program.
Greg Romain said, "We are extremely pleased to have Cementation, with their wealth of mine development knowledge and focus on safety, as a key partner in developing Bradshaw, the next new mine in Timmins."
Roy Slack, President of Cementation Canada Inc. also commented, "All of us at Cementation are pleased to be partnering with Gowest on the Bradshaw project. It is an exciting mine development with substantial potential."
Bradshaw Development Update:
- Gowest is currently working on site development and construction of the water treatment ponds, which are expected to be completed in mid-April, with portal work beginning immediately afterwards. Please see Bradshaw Development Timeline (http://media3.marketwire.com/docs/gwa0303timeline.pdf).
- The Company has ordered an ore-sorter from Steinert US, which is to be used to sharply reduce handling costs and increase gold grades of ore sent for processing. Delivery of the unit is expected mid-year 2017.
The Company also announces the extension of its previously announced non-binding letter of intent with Northern Sun Mining Corp. ("Northern Sun") relating to the creation of a 50/50 joint venture corporation that will own and operate the Redstone Mill. It is now anticipated that definitive documentation in respect of the transaction will be completed on or prior to April 14, 2017, and closing will occur as soon as practicable thereafter. While negotiations are progressing positively, given time constraints on both the Company and Northern Sun, the parties require additional time to complete due diligence and complete definitive documentation. For additional details concerning the proposed joint venture, please refer to the Company's press release dated January 23, 2017.
Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw), on the Frankfield Property, part of the Company's North Timmins Gold Project (NTGP). Gowest is exploring additional gold targets on its +100-square-kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. Currently, Bradshaw contains a National Instrument 43-101 Indicated Resource estimated at 2.1 million tonnes ("t") grading 6.19 g/t Au containing 422 thousand oz Au and an Inferred Resource of 3.6 million t grading 6.47 g/t Au containing 755 thousand oz Au. Further, based on the Pre-Feasibility Study produced by Stantec Mining and announced on June 9, 2015, Bradshaw contains Probable Mineral Reserves, using a 3 g/t Au cut-off and utilizing a gold price of US$1,200 / oz, totalling 1.8 million t grading 4.82 g/t Au for 277 thousand oz Au.
Cementation is a mine and facilities contracting and engineering company. The Cementation group of companies delivers underground mine development and infrastructure as well as surface material handling and processing facilities solutions for mining projects worldwide. Cementation Canada Inc., Cementation USA Inc., Cementation Sudamérica SpA, Cementation AG and Merit Consultants International are part of the Murray & Roberts group of companies with operations around the world. For more information on Cementation, visit www.cementation.com.
The technical information in this news release has been reviewed and approved by Mr. Kevin Montgomery, P.Geo., Gowest's Manager of Exploration, who is the Qualified Person for the technical information in this news release under National Instrument 43-101 standards.
Certain statements in this release constitute forward-looking statements within the meaning of applicable securities laws. Forward-looking statements in this press release include, without limitation, all statements relating to the status and timing of on site development and construction, the time for delivery of ore sorter, and the entering into and timing of definitive documentation relating to the proposed joint venture, and the satisfaction of conditions precedent relating to the proposed Transaction. Words such as "may", "would", "could", "should", "will", "anticipate", "believe", "plan", "expect", "intend", "potential" and similar expressions may be used to identify these forward-looking statements although not all forward-looking statements contain such words.
Forward-looking statements involve significant risks, uncertainties and assumptions. Many factors could cause actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results, performance or achievements may vary materially from those expressed or implied by this press release. These factors should be considered carefully and reader should not place undue reliance on the forward-looking statements. These forward-looking statements are made as of the date of this press release and, other than as required by law, the Company does not intend to or assume any obligation to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise.
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