WEX Western Exploration Inc

TORONTO, Sept. 20 /CNW/ -- TORONTO, Sept. 20 /CNW/ - Win-Eldrich Mines Limited (TSXV- WEX) ("Win-Eldrich" or the "Company") is evaluating the feasibility of using existing underground workings to access zones of gold with grades above 0.25 ounces per ton ("opt"), that have been identified in assay data from 194 holes drilled between 1984 and 1994 by American Copper & Nickel (a former INCO subsidiary), Win-Eldrich, Billiton (a Royal Dutch Shell subsidiary) and North Lily Mining Company. The latter three companies listed above produced pre-NI 43-101 feasibility reports (prepared in 1989, 1991 and 1994, respectively) indicating 78,000 to 117,000 ounces  of open pit , heap leachable gold with average grades ranging from 0.077 to 0.088 opt (1.05 - 1.50 million tons). None of these reports are NI 43-101 compliant.  A qualified person has not done sufficient work to classify these historical estimates as current mineral resources.  The Company is not treating these historical estimates as current NI 43-101 compliant resources.  These historical estimates should not be relied upon.  For this reason, the Company plans to review and verify the information in those reports to prepare a NI 43-101 compliant current mineral resource estimate.  The Company believes the historical estimates provide an indication of the potential of the gold deposit at the Ashdown mine. Win-Eldrich has operating permits for an underground mine and flotation mill located near Denio, Nevada.  The mill is currently processing molybdenum from the molybdenum mine on site, but the mill could be modified to recover both molybdenum and gold.  The drill holes reported are located within an area of 903 feet east-west and 756 feet north-south.  They intersect a gold bearing quartz vein dipping 35 - 50 degrees west-south-west. Of the 194 holes, 38 (including two twin holes) have intercepts above 0.25 opt with grades ranging from 0.257 opt to 2.40 opt, for an average of 0.58 opt over a total of 284 feet. The historic Twelve Level adit reaches within 300 feet laterally and 130 feet vertically below the center of the zone of drill hole intercepts greater than 0.25 opt (drill hole 8807, 2.058 opt over 5 feet).  The closest drill hole intercept greater than 0.25 opt (drill hole 54787, average 0.70 opt over 10 feet) is 200 feet laterally and 130 feet above the end of the Twelve Level adit. The primary expense of developing these zones is the cost of widening and rehabilitating the Twelve Level adit (about 625'), accessing the zone of gold with a grade above 0.25 opt that is nearest to the end of the adit, and modifying the flotation mill circuit for gold recovery.  Metallurgical studies completed as part of the pre-NI 43-101 feasibility studies indicate that the higher grade zones typically contained gold that is coarse enough for gravity recovery.  All historical production of gold used stamp mills and tables, and historical data show the tailings pond area may contain gold that could be recovered using modern processing techniques. According to the Company's geologist, Pete Winn, drilling to date has defined the eastern and northern boundaries to gold mineralization, but primarily due to rugged topography, drilling has not defined the boundaries at depth or to the south-east. Pete Winn, a director of Win-Eldrich, is the qualified person as defined in NI 43-101 who reviewed and approved the technical information in this press release. This news release includes certain forward-looking information and forward-looking statements (collectively "forward looking statements") concerning the future performance of our business, its operations and its financial performance and condition, as well as management's objectives, strategies, beliefs and intentions.  Specifically, this news release includes forward-looking statements regarding the modification of the mill to process and recover gold and completion of the NI 43-101 technical report.  Forward-looking statements are frequently identified by such words as "may", "will", "plan", "expect", "anticipate", "estimate", "intend" and similar words referring to future events and results, including in respect of the increase in production levels at the Ashdown mine.  Forward-looking statements are based on the current opinions and expectations of management.  All forward-looking statements are inherently uncertain and subject to a variety of risks and uncertainties, including the speculative nature of mineral exploration and development generally and specifically in respect of the interpretation of the geology, continuity, grade and size of mineral deposits, unanticipated operational or technical  difficulties, fluctuating commodity prices, competitive risks and the availability of financing, changes in laws or regulations, changes in the financial markets and changes in general economic conditions, as described in more detail in our recent securities filings available at www.sedar.com. Such forward-looking statements are based on a number of assumptions, including but not limited to the level and volatility of the price of molybdenum, the availability of financing, the accuracy of reserve  and resource estimates and the assumptions on which those estimates are based and the ability to achieve and maintain certain operational efficiencies. Should one or more risks and uncertainties materialize or should any assumptions prove incorrect, then actual events or results may differ materially from those expressed or implied in the forward looking-statements and we caution against placing undue reliance thereon. We assume no obligation to revise or update these forward-looking statements, except as required by applicable law. NEITHER THE TSXV VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THATTERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE)ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. pPerry Muller, President and Director of Win-Eldrich, at (402) 435-7206/p

Copyright