TORONTO, ONTARIO--(Marketwired - May 12, 2014) - Waseco Resources Inc. ("WRI") (TSX VENTURE:WRI)(FRANKFURT:WSE) is pleased to report that it intends to follow up on the excellent results of its 2012 drill program and the acquisition of the balance of the lease to the Battle Mountain Ridge gold project in Lander County, Nevada. The Waseco Board has approved a drill program designed to expand several of the known gold zones previously identified on the property and evaluate new targets. Readers are invited to view a new video presentation on the project on the Company web site and at http://geovideobites.com/page/waseco.html.
Subject to financing, the proposed drilling program is to consist of 6 to10 reverse circulation ("RC") holes, totaling up to 1,800m. A power point presentation showing this information will be available on the Waseco website (www.wasecoresources.com).
The initial focus will be on the North Zone where, in a core drilling program completed by Waseco, Hole 12#5 intersected 25.4 g/t Au (0.9oz/t) over 3.7m (12feet) in the interval 150-153.7m down hole (450-465feet) on a splay fault of the dominant stibnite fault. This interval included intersections of:
47.6 g/t Au (1.68 oz/t) over 0.9m (3 feet) and
61g/t Au (2.15 oz/t) over 0.6m (2 feet).
This hole is exceptional in that it has intersected the highest grade gold mineralization reported from any known exploration program completed on the property to date. This high grade zone remains open laterally and to depth. Three to four RC holes are planned for this area.
An upper zone, higher in the hole, between 128-147m (420-465 feet), returned gold values averaging of 1.82g/t Au (0.06oz) over 13.72m (45 feet). The intersections appear to be approximately 85% of true widths based on the core angles and information plotted on cross section.
A previous RC hole intersection, approximately 25m above Hole 12#5, returned 29m (95 feet) of 1g/t Au. Hole 12#6, drilled at 53 degrees to the east, returned intersections of 5.3 g/t Au over 1.5m from 65.8-67m, 0.49g/t Au over 3m from 178-181m and 1.15g/t Au over 0.9m from 194.5-193.4m.
The upper zone of core Hole 12#5, was not intersected in core Hole 12#6. It is believed that this higher grade zone may be off-set to the north and therefore was missed by Hole 12#6. This interpretation will be tested during the planned program.
The South Zone will also be tested by 1 or 2 holes to follow-up to several previous RC holes (7-5, 7-6, and 93-19) that intersected significant gold as well as core Hole 12#2 which intersected several mineralized zones. The upper zone returned 4.6m of 0.41 g/t Au from 6.1-10.7m. Two deeper zones, from 59.5-68.6 and 74.7-76.2 m, returned 8.4m of 0.52g/t Au and 1.5m of 0.53g/t Au, respectively. This mineralization appears to extend to surface as a 1m chip sample at the surface returned 0.63g/t Au but extensive surface sampling or trenching has not yet been done in this area. This zone is open to the north where no drilling has carried out to date to extend the zone. The intersection of two major fault zones about 150m to the north makes this area a priority target.
The gold mineralization at BMR is structurally controlled and the continuity may be disrupted by offsets which displace the gold zones laterally and vertically. The extension of the North zone to the southeast appears to be offset by a documented east west fault and a similar of extension of the soil and rock chip geochemical anomaly associated with the North Zone supports this interpretation. This extension has not been tested. At least two holes are proposed in this area.
In summary, the Company is very encouraged by the ore potential on the property for the following reasons:
- The North Zone, where holes 07-3 (23 m of 1.13 g/t Au) and Hole 12#5, ( 29 m of 1.0 g/t Au) show multiple mineralized zones, including the much higher grade zone intersected in the latter hole, is open to the south for a strike length over 400 m. The upper zone in Hole 12#5 (1.82 g/t Au over 13.7 m) may be the same zone intersected in hole 93-21 which returned 23m of 0.9 g/t Au where the hole terminated in gold mineralization; while the higher grade zone in Hole 12#5 ( 3.7 m of 25.3 g/t Au) did not appear due to the hole not drilled deep enough or the zone off-set. All of the gold mineralized zones therefore are open to the north.
- The West Zone has not been fully tested as previous RC holes (9 holes about 20 years ago) were spotted in the zone and started in gold mineralization. This zone is believed to the continuation to the south of the Trenton Canyon deposit which was previously mined by Newmont. This is indicated by an untested geochemical anomaly extending to the property boundary and is a priority target for drilling.
- At the South Zone, the gold intersection in RC hole 93-19 (33m of 1.3 g/t Au) or (110 feet of 0.045 oz per ton Au) remains to be tested at depth and to the south.
- In addition to the above targets, a new gold zone, discovered east of the South Zone (hole 07-7), should also be tested as a possible off-set continuation of the North Zone. Geochemical and geophysical surveys support the interpretation that the North Zone has been offset by a post mineralization fault.
Company President, Richard Williams, commented: "The recent merger discussions between Barrick and Newmont highlighted both the importance of Nevada as a gold mining centre and the value of operating in this safe jurisdiction. The Battle Mountain Ridge project is strategically located in the heart of one of the most prolific gold belts in the world and the property is proven to host gold. The excellent exploration potential makes for a very exciting program."
A. Lee Barker, P. Eng., P. Geol., a the Qualified Person pursuant to the guidelines of National Instrument 43-101 has reviewed and approved the technical content of this release.
Waseco Resources Inc. is an exploration company focused on gold exploration in Nevada and Kalimantan and uranium exploration in the Quebec Labrador Trough through a joint venture with AREVA Canada Inc. The Company is debt free and trades on the TSX Venture Exchange and the Frankfurt Stock Exchange. There are currently approximately 30.3 million shares issued and outstanding.
For further information on Waseco, please visit the Waseco web site at www.wasecoresources.com.
ON BEHALF OF THE BOARD OF DIRECTORS OF
WASECO RESOURCES INC.
Richard Williams, Richard Williams, President
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.