Gowest Gold Ltd.
TSX VENTURE : GWA
OTCBB : GWSAF

Gowest Gold Ltd.

September 11, 2013 08:15 ET

Gowest Gold Continues to Advance Bradshaw Gold Deposit Towards Production

Progressing Engineering Studies and Infill Drilling for Mine Planning

TORONTO, ONTARIO--(Marketwired - Sept. 11, 2013) - Gowest Gold Ltd. ("Gowest" or the "Company") (TSX VENTURE:GWA)(OTCBB:GWSAF) is pleased to provide an update on its latest engineering and drilling activities at its wholly-owned Bradshaw Gold Deposit (Bradshaw) (formerly Frankfield East), on the Frankfield Property, part of the Company's North Timmins Gold Project (NTGP).

HIGHLIGHTS

  • Completed 24 holes totalling 3,689 metres ("m") on summer infill core drilling program at the Bradshaw Gold Deposit, on the Frankfield property, in preparation for mine planning;

  • Completed underground access ramp design for advanced exploration at Bradshaw;

  • Commenced mine stope planning; and,

  • Received grants for surface rights for 1,327 hectares of mining claims in prospective areas east of Bradshaw.

Gowest's President and CEO, Greg Romain, said, "We are pleased with the steady progress we have managed on developing this project to date and how we are tracking our timeline. Meanwhile, we are also evaluating a number of potential financing options in order to ensure that we have the optimum funding available to bring Bradshaw into production and maximize shareholder value. We will continue to provide the market with updates as developments occur."

INFILL DRILLING

Gowest completed 24 holes for 3,689 m of diamond core drilling during the June to August period. This drilling is part of an ongoing 5,000 m summer phase that is expected to be completed by the end of September, with further assays to follow. The results of the drilling program will be used to optimize the bulk sampling and subsequent test mining the Company plans to initiate at Bradshaw in 2014.

Highlights from the summer drilling (see Table) include:

  • 13.59 grams per tonne ("g/t") gold ("Au") over 3.4 m (89.3 m to 92.7 m) GW13-251

  • 10.50 g/t Au over 2.8 m (204.2 m to 207 m) GW13-254

  • 8.29 g/t Au over 2.8 m (151 m to 154.2 m) GW13-247

  • 5.89 g/t Au over 6.7 m (158.4 m to 165.1 m) GW13-248

  • 5.27 g/t Au over 8.3 m (143.7 m to 152 m) GW13-249

As of September 2, a total of 47 infill drill holes for 7,907 m had been completed on the Bradshaw Gold Deposit since the current drilling program began December 5, 2012. All of these infill drill holes have successfully intersected gold mineralization at various shallow depths of less than 200 vertical m. The results continue to confirm significant gold grade and continuity of the resource areas that Gowest plans to test mine next year (see updated Test Mine Layout diagram below).

To view the Test Mine Layout diagram, please visit the following link: http://media3.marketwire.com/docs/897458-Fig1.pdf.

Table - Bradshaw Deposit Assay Results
Drill Hole Zone From
(m)
To
(m)
Core length
(m)
Avg Grade
(g/t Au)
GW13-246 HW2 66.2 67.1 0.9 2.45
GW13-247 MZ2 146.7 156.1 9.4 4.47
incl. 151.0 154.2 3.2 8.29
GW13-248 HW2 134.6 136.2 1.6 2.46
MZ2 158.4 165.1 6.7 5.89
GW13-249 HW3 65.7 66.7 1.0 2.86
MZ2 143.7 152.0 8.3 5.27
MZ1 157.2 159.8 2.6 3.03
GW13-250 MZ1 77.7 78.6 0.9 1.14
GW13-251 HW2 41.5 42.2 0.7 2.07
MZ1 88.4 95.4 7.0 8.18
incl. 89.3 92.7 3.4 13.59
GW13-252 HW2 102.4 104.2 1.8 2.64
MZ2 151.1 151.8 0.7 3.32
MZ1 154.5 158.2 3.0 1.00
GW13-253 HW1 129.6 131.1 1.5 2.32
MZ2 149.5 151.5 2.0 2.75
MZ1 155.2 156.1 0.9 1.49
GW13-254 HW1 172.0 173.0 1.0 1.64
MZ2 195.3 199.6 4.3 3.98
MZ1 204.2 207.0 2.8 10.5
GW13-255 HW1 58.4 59.1 0.7 1.88
MZ1 74.3 76.2 1.9 1.56
GW13-256 MZ1 94.8 97.6 2.8 5.30
GW13-257 HW1 95.2 96.4 1.2 4.22
GW13-258 MZ2 132.5 134.6 2.1 5.92
MZ1 143.3 147.3 4.0 6.67
incl. 145.1 147.0 1.9 12.6
GW13-259 MZ2 69.1 69.8 0.7 2.83
GW13-260 MZ2 97.8 98.8 1.0 1.33
MZ1 102.8 103.8 1.0 3.50
GW13-261 MZ2 128.5 129.3 0.8 2.11
GW13-262 HW2 34.3 35.3 1.0 9.09
HW1 56.3 62.9 6.6 3.95
MZ1 69.8 74.3 4.5 3.33
Intervals are downhole lengths and not true widths.

ADDITIONAL CLAIMS GRANTED

On June 25, 2013, Gowest received notification from the Ontario Ministry of Northern Development and Mines that lease applications (surface and mining) have been granted for 13 unpatented mining claims on the Tully East Property. These 13 unpatented claims, east of and contiguous to the Frankfield Property, cover 1,327 hectares.

TARGETED MILESTONES (see Timeline)

The Company is completing the Advanced Exploration permit application that will be submitted by the first quarter of 2014. This application will include an underground mine plan that will be helpful for developing both expected mining economics as well as a more detailed mining schedule. Further, at the request of Glencore-Xstrata, Gowest has initiated a feasibility study specifically focused on the planned modifications to the Kidd Mill that will be needed to optimise the processing of the Bradshaw gold mineralization.

Other milestones include the completion of formal partnership and financing arrangements, which are expected to be in place prior to the end of the permitting process. This is expected to be followed in 2014 by the start of construction, with project commissioning and production ramp-up coming in 2015.

To view the Timeline, please visit the following link: http://media3.marketwire.com/docs/897458-Time.pdf.

Quality Assurance & Quality Control: All drill core samples were photographed prior to being split and logged. Sample intervals were determined based on geological context and varied in length from 0.3 - 1.0m. Half of the split core from each interval was bagged and delivered to the ALS Laboratory Group ("ALS") preparation facility located in Timmins, Ontario.

All samples were prepared by ALS and analyzed for gold using fire assay procedures with an Atomic Adsorption Spectroscopy ("AAS") finish in addition to the completion of a multi-element ICP-AES scan. ALS's main North American assay laboratory in Vancouver, British Columbia is accredited to ISO/IEC 17025:2005.

Qualified Person: This press release has been reviewed by Mr. Kevin Montgomery, P.Geo., Gowest's Manager of Exploration and a Qualified Person under National Instrument 43-101.

About Gowest

Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw) (formerly Frankfield East), on the Frankfield Property, part of the Company's North Timmins Gold Project (NTGP) Gowest is exploring additional gold targets on the 107-square-kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. The latest updated resource estimate for Bradshaw included approximately 945,600 ounces of gold ("Au") in the Indicated category (6.0 million tonnes at a grade of 4.9 grams per tonne ["g/t"] Au) and 536,800 ounces of gold in the Inferred category (3.7 million tonnes at a grade of 4.2 g/t Au). As was used in the Company's recent Preliminary Economic Assessment, the current estimate is based on a 3.0 g/t Au cut-off and a conservative gold price of US$1,200/oz. This resource estimate has been completed by Neil N. Gow, P. Geo., an independent Qualified Person, and reported in accordance with Canadian Securities Administration National Instrument 43-101 ("NI 43-101") requirements and CIM Standards on Mineral Resources and Reserves.

Forward-looking statements

This news release contains certain "forward-looking statements". Such forward-looking statements involve risks and uncertainties. The results or events depicted in these forward-looking statements may differ materially from actual results or events. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OF THIS RELEASE.

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