Gowest Gold Ltd.
TSX VENTURE : GWA

Gowest Gold Ltd.

August 13, 2015 07:30 ET

Gowest Gold Reaches Another Major Milestone

Closure plan for advanced exploration filed with Ontario Ministry of Northern Development and Mines

TORONTO, ONTARIO--(Marketwired - Aug. 13, 2015) - Gowest Gold Ltd. ("Gowest" or the "Company") (TSX VENTURE:GWA) is pleased to announce it has received notice from the Ontario Ministry of Northern Development and Mines ("MNDM") that the Company's Closure Plan for Advanced Exploration - Bradshaw Deposit (the "Closure Plan") has been filed. This is the result of our exploration program, a process that began in 2010, with drilling, environmental baseline studies and community consultation which is ongoing. The Closure Plan contains detailed information on site remediation following the eventual closing of the mine, including financial assurance. Gowest's application was followed by a 45-day public consultation period, during which time the various communities who may be impacted by the development of Bradshaw had the opportunity to comment on and propose their amendments to the plan before it could be filed. This process has now been completed.

As previously announced (see Gowest release dated July 15, 2015), Gowest is planning an advanced underground exploration program aimed at extracting a 30,000 tonne bulk sample from the Bradshaw Gold Deposit. The Company is in discussion with interested parties for financing this work. The Company has also completed and filed with various government agencies, all other related permit applications, and these are expected to be approved by the end of the calendar year.

Greg Romain, President of Gowest said, "We are extremely pleased to be one the few exploration companies in Ontario to have reached this major milestone in recent years, as it further demonstrates the support we have from local communities and brings us a great deal closer to bringing Bradshaw into production. Subject to financing, with the Closure Plan filed, we are now in a position to begin the work of preparing the site for the bulk sample extraction that represents the last step before moving into production."

Qualified Persons

The information contained in this news release pertaining to the Project has been reviewed and approved by Mr. Kevin Montgomery, PGeo.

About a Closure Plan & Financial Assurance

In Ontario, all land affected by exploration activity must be rehabilitated after the activity has finished. A Closure Plan outlines how the affected land will be rehabilitated and the costs associated with doing so. A Closure Plan must be developed by the Company and acknowledged by the ministry before advanced exploration can begin.

A Closure Plan must be certified by company executives to ensure that they cover all of the conditions described in the Mine Rehabilitation Code and that all outlined rehabilitation tasks meet necessary technical requirements.

In order to ensure that the rehabilitation work outlined in a closure plan is successfully performed, a financial guarantee equal to the estimated cost of the rehabilitation work must be held in trust by the MNDM. This financial guarantee is known as Financial Assurance and must be included with the submission of a closure plan.

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), on the Frankfield Property, part of the Corporation'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 compliant 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 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.

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 SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • Gowest Gold Ltd.
    Greg Romain
    President & CEO
    (416) 363-1210

    Gowest Gold Ltd.
    Greg Taylor
    Investor Relations
    (905) 337-7673 / Mob: (416) 605-5120
    gregt@gowestgold.com