Subj: Stockwatch: Western Copper Holdings Limited - News Release
Date: 98-01-12 19:47:27 EST
From: newsout@canada-stockwatch.com
El Salvador project drill results
Western Copper Holdings Limited WTC
Shares issued 10,706,649 Jan 9 close $4.70
Mon 12 Jan 98 News Release
See Teck Corp (TEK.B) News Release
Mr Norman Keevil reports
Teck Corp and Western Copper Holding have received significant assay
results from drilling completed late in 1997 at the El Salvador project,
located in Zacatecas state, Mexico. Six holes have been drilled into the
newly discovered San Nicolas massive sulphide zone, and all have
intersected impressive thicknesses of sulphide mineralization with
significant values of copper, zinc, silver and gold.
Hole SAL-25 was previously announced. Holes 29 and 24 (completed
subsequently) are 100 and 200m south of hole 25, respectively. Holes 30, 31
and 32 are 100m north, west and east of hole 25, respectively. Holes 26, 27
and 28 were drilled elsewhere on the El Salvador property.
Some of the more significant new intersections are:
Thick-
From - To ness Cu Zn
Hole (m) (m) (%) (%)
------ ------------- ------ ----- -----
SAL-29 188.0 - 273.5 85.5 0.49 3.40
Incl 195.5 - 215.0 19.5 0.27 5.27
SAL-31 165.7 - 195.5 29.8 2.06 15.88
And 249.5 - 402.5 153.0 1.78 0.23
SAL-29 188.0 - 273.5 85.5 67.2 1.18
Incl 195.5 - 215.0 19.5 165.3 2.37
SAL-31 165.7 - 195.5 29.8 73.5 1.26
And 249.5 - 402.5 153.0 12.3 Trace
The El Salvador project comprises a 225 sq km area of mining concessions
controlled by the Teck/Western joint venture about 60km southeast of the
city of Zacatecas in north central Mexico. The project lies at an elevation
of 2100m in an area of gently rolling topography, within a few kilometres
of two paved highways and electrical transmission lines.
Teck and Western Copper have been actively exploring the area since
mid-1996. Previous work focused on mineralization identified at the
original El Salvador zone, where 26 diamond drill holes have been
completed, defining a relatively flat lying zone of massive sulphide
mineralization varying from one to 13m thick over a 150m wide by 400m long
trend.
Property-wide work expanded in 1997, and the San Nicolas area was
identified as prospective based on limited exposures of favourable altered
volcanic rocks. A followup geophysical survey identified a strong induced
polarization chargeability anomaly in the area, measuring about 500m by
500m in plan, thought to represent sulphides at depth. The initial hole
into the anomaly (SAL-25) intersected 175m of massive sulphide
mineralization starting at a depth of 205m. There is no surface expression
of the mineralization over the San Nicolas zone.
The El Salvador project is a joint venture between Teck (55%) and Western
Copper (45%), with Teck as operator. The joint venture controls the mining
concessions within a 225 sq km area of interest. The San Nicolas discovery
is on mining concessions owned by Luismin, SA de CV in which the
Teck/Western JV has the right to earn a 75% interest. Upon completion of a
feasibility study, Luismin may elect to participate at 25% by agreeing to
arrange its share of production financing, or dilute to a 15% interest.
Teck has the option to increase its interest in the Teck/Western JV to 65%
by arranging Western's share of production financing and can purchase a
further 5% interest in the JV based on the project's net present value
using a 15% discount rate at feasibility.
An aggressive continuing exploration program for the El Salvador project is
planned to commence before the end of January 1998, to define the extent of
mineralization around the initial drilling at the San Nicolas discovery,
and to test other targets areas defined on the property by preliminary
surface work. A metallurgical program will also commence on material from
the San Nicolas zone.
WARNING: The company relies on litigation protection for "forward looking"
statements.
DRILLING RESULTS FROM SAN NICOLAS ZONE
AS OF JANUARY 12 1998
Thick-
From - To ness Cu Zn
Hole (m) (m) (%) (%)
------ ------------- ------ ----- -----
SAL-25 207.10- 382.5 175.40 0.53 1.50
Incl 207.1 - 235.5 28.4 0.64 5.53
Incl 235.5 - 381.0 145.5 0.50 0.72
SAL-24 399.2 - 458.3 59.1 1.66 0.36
Incl 423.2 - 458.3 35.1 2.02 0.55
SAL-29 188.0 - 496.0 308.0 1.31 1.16
Incl 188.0 - 273.5 85.5 0.49 3.40
Incl 195.5 - 215.0 19.5 0.27 5.27
Incl 273.5 - 306.5 33.0 0.73 0.31
Incl 306.5 - 348.5 42.0 3.07 Trace
Incl 333.5 - 348.5 15.0 5.55 Trace
Incl 360.5 - 496.5 135.5 1.53 Trace
Incl 363.5 - 378.5 15.0 3.39 Trace
SAL-30 245.0 - 278.0 33.0 1.89 Trace
Incl 264.5 - 272.0 7.5 3.71 Trace
SAL-31 165.7 - 434.0 268.3 1.44 2.53
Incl 165.7 - 195.5 29.8 2.06 15.88
Incl 173.8 - 195.5 21.7 2.31 20.83
Incl 195.5 - 249.5 54.0 0.67 3.05
Incl 204.5 - 218.0 13.5 0.58 5.77
And 249.5 - 402.5 153.0 1.78 0.23
Incl 306.5 - 351.5 45.0 2.75 Trace
Incl 402.4 - 434.0 31.5 0.48 0.22
SAL-32 247.2 - 329.0 81.8 0.42 3.78
Incl 247.2 - 286.0 38.8 0.30 5.60
SAL-25 207.10- 382.5 175.40 19.4 0.61
Incl 207.1 - 235.5 28.4 47.6 1.20
Incl 235.5 - 381.0 145.5 13.9 0.50
SAL-24 399.2 - 458.3 59.1 9.1 Trace
Incl 423.2 - 458.3 35.1 12.0 Trace
SAL-29 188.0 - 496.0 308.0 23.6 0.37
Incl 188.0 - 273.5 85.5 67.2 1.18
Incl 195.5 - 215.0 19.5 165.3 2.37
Incl 273.5 - 306.5 33.0 7.6 0.16
Incl 306.5 - 348.5 42.0 8.7 Trace
Incl 333.5 - 348.5 15.0 11.0 Trace
Incl 360.5 - 496.5 135.5 6.7 Trace
Incl 363.5 - 378.5 15.0 5.7 Trace
SAL-30 245.0 - 278.0 33.0 4.7 Trace
Incl 264.5 - 272.0 7.5 7.2 Trace
SAL-31 165.7 - 434.0 268.3 18.71 0.39
Incl 165.7 - 195.5 29.8 73.5 1.26
Incl 173.8 - 195.5 21.7 92.9 1.59
Incl 195.5 - 249.5 54.0 21.7 0.82
Incl 204.5 - 218.0 13.5 44.1 1.68
And 249.5 - 402.5 153.0 9.9 Trace
Incl 306.5 - 351.5 45.0 11.0 Trace
Incl 402.4 - 434.0 31.5 4.36 0.10
SAL-32 247.2 - 329.0 81.8 51.7 1.12
Incl 247.2 - 286.0 38.8 68.0 1.52
(c) Copyright 1998 Canjex Publishing Ltd. canada-stockwatch.com
Mr Metals
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