Wolfden To Acquire Interest In High Grade Red Lake Area Gold Prospect
WOLFDEN RESOURCES INC. (TSX Venture: YWO) is pleased to announce
that it has entered into an agreement with SABINA RESOURCES LIMITED
(TSX Venture: SBB) whereby Wolfden will acquire an interest in the
highly prospective Redaurum Gold Property located in the Red Lake
greenstone belt, and will participate in a financing to acquire
shares of Sabina.
Wolfden will have the right to acquire an initial 50% interest in
Sabina's 80% owned Redaurum Property by paying Sabina $75,000 and
spending $2,000,000 in exploration over a four year period on the
property. Wolfden has the right to increase its interest to 60%
by financing the property to production. Claude Resources Inc.
(TSX:CRJ) holds the remaining 20% interest in the property. The
Redaurum Property is located within one of the major deformation
corridors and in close proximity to and north of the past
producing Madsen Gold Mine (2.6 million ounces produced) in the
historic Red Lake greenstone belt. Claude and Placer Dome are
currently drilling on the Madsen Property. The property is
surrounded by claims held by Claude/Placer Dome, Skyharbour
Developments/Bayfield Ventures, and Goldcorp Inc.. The Redaurum
Property has been subject to very limited exploration which has
resulted in the discovery of several high grade gold occurrences.
Previous drilling tested the property near surface, intersecting
values including 1.12 oz/ton Au across 5 feet, 0.17 oz/ton Au
across 25 feet and 2.20 oz/ton Au across 2 feet in Zone 14A; 0.56
oz/ton across 7.2 feet in the No.3 Zone; and, 0.37 oz/ton Au
across 5 feet in the Camp Zone. The majority of the property has
not been tested by drilling nor has any deep drilling been
carried out on the property. Significantly, the Redaurum Property
is underlain by several ultramafic rock units and extensive
quartz carbonate veining, important features of the producing
Campbell (Placer Dome) and Red Lake (Goldcorp) gold mines.
Wolfden will also participate in a $250,000 private placement
financing being completed by Sabina and will have the right to
nominate two members to Sabina's board of directors.
Wolfden currently has four other active exploration properties in
Canada. Wolfden is conducting a major exploration program on its
100% owned High Lake Property; Bema Gold has performed and is
expanding exploration and drilling on Wolfden's Monument Bay Gold
Property; Newmont has performed initial exploration on Wolfden's
Skinner Gold Property, and First Au Strategies has begun initial
exploration on Wolfden's Argosy Gold Mine Property.
Wolfden is a Canadian based mineral exploration and development
company engaged in the exploration of economic mineral deposits.
For further information, please contact:
Ewan Downie, President
Phone: 807-346-1668
Fax: 807-473-1977
e-mail: wolfden@baynet.net
Web Site: www.wolfdenresources.com
The statements made in this Press Release may contain forward
looking statements that may involve a number of risks and
uncertainties. Actual events or results could differ materially
from the Company's expectations and projections. |
