Williams Creek Gold Limited

Williams Creek Gold Limited

July 07, 2011 07:30 ET

Williams Creek Gold Limited Reports Initial Results from its Ongoing Phase I Exploration Program on it Barkerville Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 7, 2011) - Williams Creek Gold Limited (TSX VENTURE:WCX) ("Williams Creek" or "the Company") is pleased to announce the results for the initial holes drilled as part of its 2011 exploration program on its Barkerville property. The Barkerville property consists of 28 Crown Granted claims immediately east of Barkerville Gold Mines' Bonanza Ledge pit, currently pending permitting, and south of the town of Barkerville.

The diamond drill holes reported here are a six-hole section drilled on azimuth 185 degrees which, following the intercept in the first hole, was designed to intersect a newly recognized quartz vein structure at roughly fifty foot intervals down dip. The drill station is located on the Stout's Gulch Road immediately south of Stout's Gulch Creek on the Wintrip (32F) Crown Granted mineral claim.

A second section, consisting of 3 holes, was completed 100 feet to the west, (assays pending). Step-out drilling to the east is planned in fall 2011 once the Barkerville Historic Town's tourist season has ended.

The significant assay results for the initial fan of six holes are:

Intercept (ft) Interval Gold Grade
Hole Number Angle Azimuth From - To (ft) (Grams/Metric Tonne)
WCX-11-1 -45 185 263.7 - 266.4 2.7 * 14.344
309.2 - 315.7 6.5 31.278
WCX-11-2 -56 185 324.5 - 334.1 9.6 39.305
Including 331.3 - 334.1 2.8 130
WCX-11-3 -65 185 306.5 - 309.0 2.5* 17.95
337.0 - 366.0 29.0 8.357
Including 337.0 - 341.7 4.7 17.95
345.8 - 349.0 3.2 12.7
351.6 - 355.7 4.1 9.4
364.2 - 366.0 1.8 42.5
WCX-11-4 -70 185 354.2 - 362.3 8.1* 2.590
376.0 - 400.7 24.7 1.440
WCX-11-5 -76 185 377.0 - 382.2 5.2 16.500
397.8 - 417.9 20.1 1.117
WCX-11-6 -83 185 335.9 - 345.4 9.5* 5.639
Including 339.5 - 341.6 2.1 22.3
409.0 - 414.4 5.4 27.576
435.8 - 437.4 1.6 21.5
* hanging wall structure

The pyrite bearing-quartz vein system encountered in these holes dips to the north and appears to have the typical symoidal pattern progressing to depth, although this remains to be confirmed. The vein recognized in the drilling reported here is in Stouts Gulch, an area which was historically the site of several major placer and lode mining operations on the Barkerville property.

The vein described here is hosted in clastic sedimentary rocks of Paleozoic and possible Proterozoic age. The rocks are metamorphosed to Greenschist facies and are part of the poly-deformed Barkerville sub-terrane of the Kootenay terrane. The host rocks are similar to the rock sequence that hosts the major historical gold producers along strike to the west (Cariboo Gold Quartz and Island Mountain mines). The lithologies include impure quartzite, siltite, and argillite, including black carbonaceous argillite. However, lithologic similarities of the stratigraphic units in the area make detailed correlation difficult at this early stage of our program. Veins in the historical mines and new discoveries in the district are typically spatially associated with faults including carbonaceous gouge zones.

Historical drilling in the area was directed approximately east-west. The new holes were drilled to the south, to test north dipping stratigraphy and possible strike veins, in the area of the historical Wintrip, Westport and Blackjack adits. These preliminary results will be followed up in a Phase II drilling and trenching program in the fall of 2011 that is currently in the planning stage.

Williams Creek Gold concluded its Phase I drilling program as of July 4, 2011. The program began on May 5th and consisted of 16,164 feet (4926.8 meters) of diamond drilling on 10 set-up sites with a total of 23 drill holes (assays pending). The Phase I trenching component on Crown Granted claims 32F Wintrip and District Lot 10504 Morningstar is expected to commence in July once a review of the historic core samples has been completed.

Michael R. Sonnenreich, Chairman and CEO of Williams Creek Gold, commented, "We are very pleased with these results since they both confirm the presence of veins with significant grades of gold in the Stouts Gulch area, and conform to our exploration strategy. We are especially gratified that the first holes that we have drilled on the property in the 2011 program produced such positive results."

The technical information in this news release has been reviewed and approved by consulting geologist John F. Childs, PhD., Childs Geoscience Inc. Consulting Economic Geologists of Bozeman Montana, a qualified person as defined in National Instrument 43-101.

About Williams Creek Gold Limited (WCX)

Visit http://www.WilliamsCreek.ca to learn more about Williams Creek Gold Limited.

Williams Creek Gold Limited owns twenty-eight Crown Granted mineral claims known as the Westport Project in the immediate vicinity of Barkerville, BC in the Cariboo mining division. The Cariboo gold belt and the Barkerville Camp have a long history of gold production dating back to the 1800s. Historically the Barkerville Camp has reported gold production of 3.8 million ounces, including 2.6 million ounces from surface placer and 1.2 million ounces from lode mining. When placer gold production peaked in the late 1890s, Williams Creek Gold's Black Jack (District Lot 1B), Home Stake (District Lot 4B), Cornish (District Lot 1F) and Wintrip (District Lot 32F) Crown Granted mineral claims were among the first acquired in the early search for lode gold.

Williams Creek Gold Limited also owns a block of four mineral claims 17km west of Barkerville known as the Pine Properties. The Company has three Crown Granted mineral claims in the Kamloops Mining Division, two of which are adjacent to New Gold's New Afton project. Additionally, Williams Creek Gold Limited has a net 30% interest in the ATW diamond property in the MacKenzie Mining District of the Northwest Territories.

Williams Creek Gold Limited is a Canadian company with the primary purpose of participating broadly in the natural resource sector, with an emphasis on the gold subsector, through exploration, joint ventures or other equity investments, royalty and finance agreements.

On behalf of the Board of Directors,
Michael R. Sonnenreich, Chairman and CEO

This News Release contains forward-looking statements. Forward-looking statements are statements which relate to future events and conditions and therefore involve inherent risks and uncertainties. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect our current judgment regarding the direction of our industry, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggested herein. Except as required by applicable law, the Company does not intend to update any of the forward-looking statements to conform these statements to actual results. All phases of the Company's operations are subject to environmental regulation and governmental approval and permits and there can be no assurance that the Company will obtain all the requisite permits for future development. Mining is an inherently risky business with large capital expenditures and cyclical metals markets.

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

  • Williams Creek Gold Limited
    Michael R. Sonnenreich
    Chairman and CEO
    (778) 370-1393
    (604) 688-1320 (FAX)