Wits Basin Reports Success with Developments and Surface Drilling at the Bates-Hunter Gold Project
Thu Nov 29, 7:29 AM
ca.news.finance.yahoo.com
MINNEAPOLIS--(BUSINESS WIRE)--Wits Basin Precious Minerals Inc. (OTCBB: WITM.OB) is pleased to announce that it is nearing the successful completion of the business development plan it implemented in the fall of 2006 for the Bates-Hunter Mine in Central City, Colorado. The accomplishments to date include:
* Intersections of gold mineralization with fire assay results of more than 1.10 opt Au.
* The completion of more than 80% of the 8,000-foot surface drill program. The remaining 20% of surface drilling will include drilling of targets immediately adjacent to known areas of mineralization.
* The creation of a well-developed geological understanding of the distribution of potential ore shoots in the area of the Bates-Hunter property.
* Underground samples taken from the mine have assays ranging from nil to over 6.0 opt Au, including the following: 1.03 opt Au (BH-5004, grab), 3.15 opt Au (BH-5051, grab) and two others in excess of 2 opt Au (BH-5052, muck and BH-5055, muck). Please visit the Wits Basin website at www.witsbasin.com for the complete assay tables for the underground samples (http://witsbasin.com/Assay-Results-from-the-BH-Mine.pdf).
Wits Basin President Dr. Clyde Smith said, "Recent drill results have demonstrated that several potential ore grade gold veins occur at depth on the Bates-Hunter property. Although gold vein intercepts to date are narrow, on-going refined geological modeling continues to point to locations of potential ore shoots in the veins. These locations are attractive drill targets. The 3-D video model that has been created reflects the high quality of computer graphics that are being employed during this first modern exploration program in the Central City Gold District."
The figures referenced below are critical to understanding these results
To review the progress of the work accomplished at the Bates-Hunter Mine, the Company has released an updated animated video of a 3-D working model of the Bates-Hunter Mine and the accompanying cross-section slides that comprise the video.
* To view the video, click here (http://witsbasin.com/images/BATES-HUNTER-3D-ANIMATION-2007112 8.avi). (Due to its length, this URL may need to be copied/pasted into your Internet browser's address field. Remove the extra space if one exists.)
* To view Figure 1 containing the results of the surface drill program, click here (http://witsbasin.com/images/BH20071129Figure_1.jpg).
* To view Figure 2, a diagram of the Bates Vein Section, click here (http://witsbasin.com/images/BH20071129Figure_2.jpg).
* To view Figure 3, a cross section of diamond drill hole BH-06-02, -03 and -04, click here (http://witsbasin.com/images/BH20071129Figure_3.jpg).
* To view Figure 4, a cross section of diamond drill hole BH-07-07 and -08, click here (http://witsbasin.com/images/BH20071129Figure_4.jpg).
Dewatering Progress
The Company has been actively involved in monitoring the successful discharge of water from the mine. The quality of the discharged water has been found to be cleaner than the creek water into which it feeds. The water level in the mine is now below 300 feet and continues to progress. The Company intends to continue underground sampling on all levels of the mine as rehabilitation and dewatering continues.
“Based on our work at the Bates-Hunter Mine, we believe the Company has a project which contains far greater upside potential than what is reflected in market valuations,” said Wits Basin CEO Stephen King.
“Combined with the historical documents we have on this property, we believe that the probability of potential economic viability of the project increases with every increase in the price of gold. The drill core samples we have assayed to date show gold mineralization in several veins. It is my belief that this property will develop a substantial resource of commercially recoverable gold,” said King.
About the Bates-Hunter Mine
The Bates-Hunter Mine is located in Central City, Colorado, approximately 35 miles west of Denver. The Bates Vein was the second lode discovered in Colorado and helped spark the great Colorado gold rush of the mid-1800s. Famous for production from high-grade gold ore shoots, it has been estimated that more than 4,000,000 ounces of gold were produced in the Central City Mining District between 1859 and 1947, with approximately 95% of production prior to 1904. During the early 1930's, the mine was still in production but was shut down due to litigation between the mine owner and operator. In 1942, a WWII production limitation order (#208) effectively shut down gold mining in the area and throughout Colorado and the United States. The nine principal veins that underlie and are controlled by the Bates-Hunter property have historically produced approximately 750,000 ounces of gold. A 1930’s report from the 745-foot level included an average of 27 samples that assayed 1.37 ounces per ton gold.
About Wits Basin Precious Minerals Inc.
We are a minerals exploration and development company holding interests in three exploration projects and currently do not claim to have any mineral reserves on any project. Our common stock trades on the Over-the-Counter Bulletin Board under the symbol "WITM." To find out more about Wits Basin Precious Minerals Inc., visit our website at www.witsbasin.com.
Forward-Looking Statements and Risk Factors
The statements included in this press release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. This press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. Such statements are valid only as of today, and we disclaim any obligation to update this information. These statements are subject to known and unknown risks and uncertainties that may cause actual future experience and results to differ materially from the statements made. These statements are based on our current beliefs and expectations as to such future outcomes. These risks and uncertainties include, among others, the Company's ability to obtain or maintain regulatory approvals; the Company's ability to obtain necessary financing; the outcome of the Company’s pending litigation with Easyknit; the Company's ability to complete the various mining project acquisitions in the People's Republic of China, which are subject to execution of final documentation, completion of due diligence and receipt of necessary financing; and other risks and uncertainties described in the Company's filings from time to time with the Securities and Exchange Commission (the "SEC"). The Company disclaims any obligation to update its forward-looking statements.
In addition, the exploration for and development of mineral deposits involves significant financial risks, which even experience and knowledge may not eliminate, regardless of the amount of careful evaluation applied to a process. While the discovery of a mineral deposit may result in substantial rewards, few properties are ultimately developed into producing mines. Moreover, we cannot make any estimates regarding probable reserves in connection with any of our projects and any estimates relating to possible reserves are subject to significant risks. Therefore, no assurance can be given that any size of reserves or grades of reserves will be realized. If a discovery is made, the mineral deposit discovered, assuming recoverable, may differ from the reserves already discovered and recovered by others in the same region of the planned areas of exploration. Further, the cost of exploration and exploitation can be extensive and there is no assurance that we will have the resources necessary or the financing available to pursue projects we currently hold interests in or to acquire interests in other mineral exploration projects that may become available. The risks we face are numerous and detailed information regarding these risks may be found in filings made by us with the Securities and Exchange Commission, including our most recent annual report on Form 10-KSB, quarterly reports on Form 10-QSB and reports on Form 8-K.
Wits Basin Precious Minerals Inc.
Chairman Vance White, 866-214-9486
CEO Stephen King, 612-490-3419
or
Lighthouse Communications, 866-739-0390
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