2012-10-04 20:18:03 -
LAC LA HACHE, BRITISH COLUMBIA -- GWR Resources Inc. (the "Company" or "GWR") (TSX Venture: GWQ) is pleased to provide a detailed progress report on the fall 2012 exploration program at the Lac La Hache Project. Supporting images are available at www.gwrresources.com.
As reported January 23, GWR completed strategic acquisition of a large block of claims surrounding its historic Lac La Hache property and has since completed new ground magnetometer and induced polarization surveys, bedrock geological mapping, test-pitting, prospecting, core re-logging and GIS compilation/interpretation to bring new targets to drill-ready status.
In April 2012, the Company released NI 43-101 Resource estimates for the Spout Zones (15.8 million tonnes Inferred grading 0.21% Cu, 0.04 gpt Au, 0.93 gpt Ag, 8.3%
magnetite plus 7.6 million tonnes Indicated grading 0.28% Cu, 0.05 gpt Au, 1.26 gpt Ag, 11.4% magnetite). That report confirmed that the North Spout Zone remains open along strike and to depth and the South Zone remains open to the east.
Since April 2012, our technical/advisory team and external consultants have reviewed key elements of the expanding database, leading to recognition of potential for further known and possibly new deposit types, including:
1. porphyry-copper-gold-silver associated with alkalic intrusions, similar to known occurrences and zones within the Lac La Hache original block, including the gold-rich Aurizon Zones;
2. porphyry-copper-molybdenum associated with calc-alkaline intrusions, similar to the Woodjam South zone located a few km north of the new GWR Murphy Block, where Gold Fields has recently announced a 146 million tonne resource;
3. magnetite-copper-gold-silver similar to our existing resource at Spout Zones, along a strong magnetic circular trend extending north from Spout Zones into the new Murphy block;
4. iron-oxide copper-gold (IOCG) potential indicated by geochemical, geophysical, geological and mineralogical evidence within existing drill cores and geophysical layers. A September, 2012 report based on data review and logging of selected drill core by consulting geologists K. Brock Riedell and G.E. McKelvey states: "The geologic environment, sulphide and oxide mineralogy and textures (within the Spout Zones) indicate these are iron oxide copper-gold (IOCG) occurrences". An earlier report (2012) by Dr. Murray Hitzman also suggested Spout Zones show affinities with IOCG such as those in the Cretaceous coastal belt of Chile and Peru. This represents a new deposit model not currently recognized within the Quesnel Trough. As IOCG deposits are typically large-tonnage, we are carefully considering the possibility and have incorporated this into our current exploration program.
Our summer/fall 2012 exploration program is balanced, with new mapping/prospecting/sampling in lesser-known areas, drilling where targets are sufficiently mature, and scheduled breaks to allow time for receipt and interpretation of drill core assays. Drilling commenced in August, conducted by L.D.S. Drilling Ltd, Kamloops, using a single drill to complete the first five holes (1700 meters) of a 15+ hole program, totalling 6000+ meters. Two vertical holes (ML12-01 and ML12-02) testing extremely strong positive ground magnetic anomalies located west of Two Mile Lake, provide very encouraging results. The target in this location is "Spout-like" Cu-Au-Ag-magnetite within altered, Nicola volcano-sedimentary rocks lying near, but outside the contact with the Murphy monzodioritic intrusion. Despite extensive overburden in the area, both holes successfully cut the intrusive contact, confirming location of the edge of the intrusion, with highly anomalous copper values in several narrow zones (up to 0.3% Cu over 3m within 15m grading 0.18% Cu, accompanied by anomalous gold and silver concentrations up to 0.2 and 1.7 gpt, respectively) within volcanic host rocks. This suggests potential lies to the west of these initial holes, further from the intrusive contact, where strong magnetic responses extend. Additional information gained from these holes also enhances other drill targets selected further to the south.
Two holes (ML12-03 and ML12-04) were drilled inside the western contact of the Murphy intrusion, to test porphyry-copper style targets based on the geological information provided by ML12-01 and ML12-02 combined with magnetic and Quantec Titian-24 induced polarization data. Thick overburden and Eocene cover rocks inhibited completion of one of these holes, the second did not reach a modeled chargeability anomaly at depth. Core processing is underway. We will review these results more closely to re-evaluate the target before proceeding in this area.
ML12-05 was collared at the historical Murphy prospect, where previous drilling had defined a vertical copper zone within monzodiorite. Results were disappointing (assays pending).
A large portion of the new ground is covered by overburden and locally, variably thick, unmineralized Eocene volcanic rocks, challenging conventional methods of exploration for deposits in the underlying Nicola volcanic and intrusive rocks. To address this, a new geochemical sampling program will be completed over the entire property to define/refine potential targets, using generic methods applicable to deposits types described above, and others. Based on published successes in similar settings over mineralized zones at Kwanika, Mount Milligan and elsewhere within the Quesnel Trough, GWR will complete regional-scale sampling of the "A-h" soil horizon along the extensive network of forestry roads. Dr. Colin Dunn, an expert in this technique, has trained our field sampling crews and assisted with survey design. He will provide field/lab analytical guidance and interpretation to ensure best results. Additional sampling and field logistical support will be supplied by Hendex Exploration Services. Sampling will be conducted in October to support interpretation and possible drilling in winter 2012/13.
Following a scheduled drilling break, drilling will resume October 4 within the Aurizon South gold-copper-silver zone, testing the near-surface projection of high-grade mineralization (DDH AZS11-29 intersected 8 meters grading 3.6% Cu, 3.4 gpt Au, 19 gpt Ag, including 2m grading 9.3% Cu, 8.4% Au, 48.1 gpt Ag) associated with a newly defined magnetic-low trend. Subsequent drilling will follow the near-surface strike of the zone to the south, using moderate 50m step-outs and relatively short holes. Soil geochemical results for gold and copper suggest the trend may extend 2000 meters. Previous drilling has shown the zone extends to more than 600 meters vertically, and widens with depth.
A single, deep (500 meter) vertical drill hole will test the center of the Miracle Zone, where historical drilling indicates intrusion-hosted copper grades increase from surface to 260 m (open) within the center of a large, circular chargeability anomaly.
Several additional anomalies within the new ground remain untested. Although unproven, compelling evidence of IOCG potential provides blue-sky. GWR's technical team is excited by the opportunity to test new and known areas, to continue building our project resource and possibly, to make a significant new discovery.
The Company advises that Lars Glimhagen has ceased to act as CFO. Rene Peeman has been retained to act as financial controller. BDO Canada LLP continues to act as external auditors of the Company.
Dale Reimer a long time director of the Company has been appointed Corporate Secretary.
Greg McKelvey for personal reasons has resigned as a director of the Company. The Company wishes to thank him for his extensive contributions as technical advisor and director nominated by Macquarie Mining and Energy. Macquarie Mining and Energy presently has made no election to nominate a replacement technical advisor or director.
GWR is an active mineral exploration company currently exploring for gold and base metals in British Columbia's prolific Quesnel Trough. The Lac La Hache copper-gold porphyry/skarn magnetite-copper project hosts multiple zones containing commercial grades of gold, copper, silver and magnetite. The project is located between producing mines at Imperial Metals' Mt. Polley Copper-Gold Mine and New Gold Inc.'s New Afton Copper-Gold project (Teck-Cominco's legendary Afton mine). The Lac La Hache project is well-served by rail, road and power infrastructure.
This news release may contain "forward-looking statements". Readers are cautioned that any such statements are not guarantees of future performance and that actual development or results may vary materially from those in these "forward looking statements".
For further information, please contact:
John van Driesum, President/CEO
Telephone Number: 778-440-4472
Rob Shives, VP Exploration
Telephone Number: office 250-396-4978 / cell 613-882-1755
GWR maintains a quality assurance/quality control program that conforms to the requirements of National Instrument 43-101. Rob Shives, P. Geo., is the Qualified Person (as defined by NI43-101) who accepts responsibility for the technical content of this news release. Samples for the drilling reported at Lac La Hache were analyzed at ALS Minerals laboratories located in Vancouver BC. A full QA/QC program using blanks, standards and duplicates was maintained for all samples submitted to the labs.
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.
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