Vancouver, B.C. / ACCESSWIRE / May 28 2014 / West Cirque Resources Ltd. (TSX-V; WCQ) ("West Cirque" or the "Company") has entered into an agreement to acquire additional claims (the "Ketchan Lake Claims") totaling 230 hectares contiguous with its 100% owned Aspen Grove Copper-Gold-Silver (Cu-Au-Ag) Project (the "Aspen Grove Project"), located halfway between Merritt and Princeton in southern B.C.
Steve Vanry, President & CEO of West Cirque remarked, "the Ketchan Lake Claims represent another prospective target within our Aspen Grove Project, which covers part of an extensive belt of porphyry copper mineralization. We are pleased to have expanded this high quality property that can be drilled year-round and which benefits from established local infrastructure, gentle terrain, road access and close proximity to Vancouver.
The Company has entered into a purchase agreement with Francis LaRoche and Platinum Belt Resources Inc. pursuant to which the Company can acquire a 100% interest in the 230 hectares comprising the Ketchan Lake Claims, by making a one-time cash payment of CAD$15,000 and issuing 80,000 shares in total to the vendors. The transaction remains subject to the approval of the TSX Venture Exchange. The Company expects to complete the acquisition before completing its previously announced plan of arrangement with Kaizen Discovery Inc. ("Kaizen").
The newly acquired Ketchan Lake Claims cover the central part of the Ketchan Lake Prospect, a significant zone of alkalic porphyry copper-gold-silver mineralization previously explored by several companies, including Bethlehem Copper (1974-1979) and Cominco (1987-1992). The Ketchan Lake Prospect is located on the east side of Ketchan Lake only six kilometers east of Highway 5A, and is accessible from the highway via the Dillard and Ketchan Lake roads. East of the lake the zone has been tested by 30 diamond drill holes (3612.6 meters) and 25 percussion drill holes (1974 meters). Mineralization has been traced in outcrop and drill holes over a strike length of 1560 meters, widths of up to 300 meters and depths of up to 236 meters. The zone is open to the northwest and southeast and numerous holes either ended in mineralization or failed to reach target depth.
Historical drilling at Ketchan Lake includes the following intersections (holes labelled 'B' and 'M' are percussion drill holes, whereas those labelled 'K' are diamond drill holes; m = meters; g/t = grams per tonne):
ends in 0.43% Cu/8m
ends in 0.16% Cu/9m
ends in 0.24% Cu/18m
ends in 0.24% Cu, 0.31 g/t Au/18m
ends in fault/mineralization 0.16% Cu
ends in 0.46% Cu 0.36 g/t Au/19m
The Ketchan Lake prospect is hosted by a multiphase diorite to monzodiorite intrusion which has undergone widespread brecciation and extensive magnetite, epidote and K-feldspar alteration. The Ketchan Lake diorite is coextensive with a 1 by 15 km long magnetic high, only a small portion of which has been drill tested. Mineralization consists mainly of chalcopyrite, which is closely associated with magnetite veins and breccia matrix and variable amounts of epidote, K-feldspar, actinolite, chlorite, sericite and carbonate alteration. Although multi-element geochemical data are available for only seven drill holes, silver (up to 101 g/t) and molybdenum (up to 0.031%) are present in minor to locally significant amounts.
Previous work on the northwestern part of the zone by West Cirque identified magnetite and K-feldspar veining and disseminated chalcopyrite in variably altered and brecciated monzodiorite (Ketchan Lake North area; news release June 11, 2013). West Cirque's twelve trench and outcrop grab samples over a strike length of 300 meters from this part of the Ketchan Lake prospect assayed up to 1.07% Cu, 458 parts per billion (ppb) Au and 52.5 g/t Ag. This part of the zone has been tested by a single shallow (63 meters at -45 degrees) drill hole (P-3), which intersected 0.23% Cu over 40 meters from surface (Au and Ag not assayed).
About 1 kilometer southeast of the Ketchan Lake North zone, three outcrop grab samples by West Cirque in 2013 assayed up to 0.304% Cu, 225 ppb Au and 5.9 g/t Ag. The best mineralization in this area consisted of pyrite-chalcopyrite stockwork veining in a distinctive trachytic textured hornblende diorite. A single percussion drill hole in this area (B-13) averaged 0.13% Cu and 0.12 g/t Au over 85.3 meters, including 0.21% Cu and 0.37 g/t Au over 15.2 meters, ending in mineralization at 91.4 meters. In 2013 the B.C. Geological Survey sampled two outcrops about 200 meters further southeast of B-13 and east of all historical drill holes (GeoFile 2014-02: Southern Nicola Arc Project 2013: Geochemical data). Sample JLO13-23-8 (bornite-chalcopyrite in epidote-K-feldspar-magnetite altered diorite) assayed >1.0% Cu, 0.98 g/t Au, and 19.1 g/t Ag; sample JLO13-23-9 (chalcopyrite in albite-epidote-magnetite altered diorite) assayed 0.214% Cu, 60 ppb Au and 323 ppb palladium. The extent of anomalous palladium and platinum in the Ketchan Lake zone is unknown as few assays are available.
West Cirque Resources' mineral claims comprising the Aspen Grove Project cover 8214 hectares. West Cirque's grab and small (about 1 meter) chip samples are representative of various outcrop locations varying from unaltered to very strongly mineralized rock. No inference about average grade over a volume of rock can be made on the basis of reconnaissance scale sampling of this nature. West Cirque's disclosure of a technical or scientific nature in this news release has been reviewed and approved by John Bradford, M.Sc., P.Geo. and V.P. Exploration and Director for West Cirque Resources, who serves as a Qualified Person under the definition of National Instrument 43-101. Sample preparation and assaying for West Cirque was carried out at ALS Minerals' North Vancouver analytical laboratory. Samples were analyzed for 35 elements including copper by aqua regia digestion and ICP-AES, while gold was analyzed by fire assay (30 gram nominal sample weight), aqua regia digestion and ICP-AES. Over limit copper (>1%) was re-analyzed by aqua-regia digestion and ICP-AES.
About West Cirque Resources Ltd.
West Cirque is a mineral exploration company focused on creating shareholder wealth by identifying, acquiring and defining resources in world class precious and base metal projects in the North American Cordillera.
On April 16, 2014, West Cirque entered into a plan of arrangement with Kaizen whereby Kaizen will acquire all of the issued and outstanding West Cirque common shares on the basis of one West cirque common share for 0.5 of one Kaizen common share. The plan of arrangement is subject to the approval of the shareholders of West Cirque, which will be sought at a special meeting of the shareholders and holders of outstanding stock options, voting together as a single class, to be held on June 26, 2014. An information circular in respect of the special meeting is expected to be mailed to shareholders and optionholders shortly.
West Cirque Resources Ltd.
Steve Vanry, CFA
President & CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains certain "forward-looking statements", as defined in the United States Private Securities Litigation Reform Act of 1995, and within the meaning of Canadian securities legislation, including the Company's expectation for completing the proposed acquisition of the Ketchan Lake Claims and the expected completion of the plan of arrangement with Kaizen. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made and they involve a number of risks and uncertainties. Such assumptions, risks and uncertainties include: (with respect to the acquisition of the Ketchan Lake Claims) the requirement for the approval of the TSX Venture Exchange, risks relating to title to the Ketchan Lake Claims, and transaction completion risks, and (with respect to the plan of arrangement with Kaizen Discovery Inc.) whether West Cirque and Kaizen will be able to satisfy the conditions in the arrangement agreement, that ongoing due diligence investigations by Kaizen will not identify any materially adverse facts or circumstances, that the required approvals will be obtained from the securityholders of West Cirque, and that all required third party, regulatory, stock exchange, court and government approvals will be obtained. Consequently, there can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update these forward-looking statements if management's beliefs, estimates or opinions, or other factors, should change, except as required by law. There are numerous risks and uncertainties that could cause actual results and "West Cirque's" plans and objectives to differ materially from those expressed in the forward-looking information. The reader is urged to refer to the Company's public disclosure which is available through the Canadian Securities Administrators' System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com for a more complete discussion of such risk factors and their potential effects.
SOURCE: West Cirque Resources Ltd.