November 10, 1997: Drill Hits Massive Sulfides in Mexico
Western Copper Holdings Limited (''Western'') is pleased to announce that recent diamond
drilling on the El Salvador Project, a 55/45% joint venture between Teck Corporation (''Teck'')
and Western, has encountered massive to semi-massive sulfides in diamond drill hole SAL-25.
The sulfide intersection, which started at approximately 205 meters, was continuous to 368
meters, a distance of 163 meters. The hole stopped in sulfides. Although SAL-25 was drilled
vertically, no indication of true width can be given at this time. The zone is believed to be flat
lying, similar to that previously encountered elsewhere on the property and may contain values in
copper, zinc, lead, gold and silver. Assays are pending and should be available within two
weeks. An Induced Polarization anomaly 500 meters by 500 meters, in plan, is associated with
the drill hole. Drill hole SAL-25 is located on claims optioned from Luismin, S.A. de C.V.,
(''Luismin'') which has the right to participate with the Teck/Western joint venture, as to 25%, if
the property is taken to commercial production. The Luismin participation falls to 15% if it does
not contribute its share of production financing.
The Teck/Western El Salvador Project is located southeast of the city of Zacatecas, in the State of
Zacatecas, Mexico and covers a 225 square kilometer area. Each party is responsible for its own
funding of the El Salvador Project based on the initial interest of 55% Teck and 45% Western.
Teck has the option to earn an additional 10% interest by arranging 100% of production
financing. Teck may also purchase from Western, upon completion of feasibility, an additional
5% based on the Net Present Value of the Project.
The State of Zacatecas, which is located in central Mexico, has a mining history going back
nearly 1,000 years and was first mined by the Spanish in the mid 1550s. The region, which is
one of the largest silver producing areas in the world, has produced in excess of 5.6 million
ounces of gold, 1.8 billion ounces of silver and a total of 2.9 million tons of lead and zinc.
Western also announces the grant of a stock option to Michael Halvorson, a recently appointed
director, to purchase up to 100,000 of its shares at $1.50 per share until November 10, 2002
pursuant to the terms of the Company's Amended 1996 Stock Option Plan.
For more detailed information on the company including other projects and financial data visit
our web site (at) westerncopper.com
For further information: F. Dale Corman, President, (916) 265-0653 or (604) 684-9497; or
Robert J. Gayton, Vice President (Finance), (604) 684-9497 |
