WOLFDEN RESOURCES INC. WOLFDEN TO ACQUIRE RED LAKE AREA GOLD PROPERTIES
IMMEDIATE PRESS RELEASE
THUNDER BAY, ONT. SPETEMBER 5, 2002
Shares Issued: 15,504,421
WOLFDEN RESOURCES INC. (TSX-V:YWO) is pleased to announce that it has
entered into agreements to acquire a 100% interest in the Nova-Co Property,
and a 70% interest in the My-Ritt Property from arms length parties. Both
properties are located in close proximity to the Madsen Property, where an
ongoing drill program by Placer Dome/Claude Resources has discovered
significant gold mineralization (see Sept. 3, 2002 press release - Claude
Resources). This new discovery was made at a folded mafic-ultramafic
contact, a similar geological setting to that found at the prolific Campbell
(Placer Dome) and Red Lake (Goldcorp) mines in Red Lake that have produced
nearly 15 million ounces of gold and are two of the highest grade gold mines
in the world.
Nova-Co Property
Wolfden can acquire a 100% interest in the Mining Rights of the Nova-Co
Property by making the following payments to the Vendor: i) $15,000 on
signing; ii) $15,000 on the first anniversary; iii) $50,000 on the third
anniversary; and, iv) making advance royalty payments of $7,500 per year
commencing on the fifth anniversary. The Vendor will retain a 3.0% Net
Smelter Return Royalty ("NSR"), of which half (namely a 1.5% NSR) can be
purchased for $250,000 per 0.5% of NSR.
The Nova-Co Property is located on the Madsen Mine (2.6 Million ounces of
gold produced) trend and in close proximity to the recently announced gold
discovery made by Claude Resources and Placer Dome. Previous exploration on
the Nova-Co Property did not focus on testing the favourable ultramafic
trends on the Property, however did identify two areas of significant gold
mineralization.
My-Ritt Property
Wolfden can acquire a 70% interest in the My-Ritt Property from Explorers
Alliance Corporation by paying $50,000 cash and 50,000 shares of Wolfden on
signing, and performing $1 million in exploration on the Property over a
four year period.
The My-Ritt Property is host to one of the most significant, untested, hinge
folds in ultramafic rocks in the Red Lake area. This ultramafic unit is
believed to be on the northern extension of the ultramafic unit which hosts
the Claude/Placer discovery. Folded ultramafic rock units are the key
controlling factor of the main high-grade zones in Red Lake gold mines
These acquisitions position Wolfden as an emerging player in the Red Lake
greenstone belt with a significant core land position within one of the main
mine trends (please see attached map).
Exploration consisting of linecutting, ground magnetics, soil geochem
sampling, prospecting and drilling, will begin immediately, focusing on the
ultramafic trends on the properties.
Property location map - Red Lake Mining District |
