Woulfe Mining Reports Final Drill Results for Phase 1 Feasibility Drilling Program
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 07/11/11 -- Woulfe Mining Corp. ('Woulfe' or the 'Company') (TSX VENTURE: WOF)(OTCQX: WFEMF) is pleased to announce assay results for the remaining batch of samples associated with the now completed phase 1 drilling program at Sangdong. The tungsten-molybdenum mineralisation at Sangdong is hosted within three parallel, shallow-dipping skarn zones (Main, Hangingwall and Footwall) with an original lateral extent of up to 1,200 metres along strike and 1,500 metres down dip.
Brian Wesson CEO comment, 'The Sangdong Mine had over 700 historical holes drilled but unfortunately the previous owner and operator Korea Tungsten did not keep the drill core for inspection by our qualified person; however, we have detailed mine plans and records of the drill holes and logging. This detail has allowed Woulfe geologists to target the drill program to compliment the 2006 program, focused on confirming mineralisation above the valley floor for the initial mine plan. The phase 1 drill program is now complete and all the assays received. The drill program produced results better than expected and Wardrop, A Tetra Tech Company is now working on the modelling. Drilling will continue till end of the year with updates of the resources expected in Q3.'
The results of the phase 1 drilling program have exceeded expectations with respect to the average width and grades of the three zones. The average width and grade for the three zones is 10.2 metres (true width) at 0.64% WO3 for the Main Zone based on the intersections from 17 holes, 10.4 metres (true width) at 0.43% WO3 for the Footwall Zone (18 intersections), and 7.5 metres (true width) at 0.49% WO3 for the Hangingwall (11 intersections).
The recent drilling results are summarised as below:
Main Zone
(The Main Zone was not included in the NI43-101 resource estimate of March 2010)
----------------------------------------------------------------------------
True
Interval Length Width Grade Grade
Hole (m) (m) (m) (%WO3) (%MoS2) Zone
----------------------------------------------------------------------------
Collar 4111497N, 484934E, Azimuth 47, Dip 37, Depth 85m,
WSDD0028 Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 69.0-83.0 14.0 12.2 0.77 0.05 Main
----------------------------------------------------------------------------
includes 72.0-74.5 2.5 2.2 1.81 0.03 Main
----------------------------------------------------------------------------
includes 77.5-82.5 5.0 4.4 0.91 0.03 Main
----------------------------------------------------------------------------
Collar 4111499N, 485295E, Azimuth 333, Dip 17, Depth 115m,
WSDD0017 Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 14.5-32.5 18.0 9.4 0.51 0.15 Main
----------------------------------------------------------------------------
includes 14.5-17.0 2.5 1.3 0.69 0.85 Main
----------------------------------------------------------------------------
includes 18.5-22.5 4.0 2.1 0.79 0.06 Main
----------------------------------------------------------------------------
includes 26.5-28.5 2.0 1.0 0.59 0.02 Main
----------------------------------------------------------------------------
Collar 4111462N, 485057E, Azimuth 66, Dip 35, Depth 152m,
WSDD0012 Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 66.5-73.5 7.0 5.7 0.47 0.06 Main
----------------------------------------------------------------------------
includes 66.5-68.0 1.5 1.2 0.59 0.14 Main
----------------------------------------------------------------------------
includes 70.5-73.5 3.0 2.5 0.71 0.01 Main
----------------------------------------------------------------------------
Collar 4111461N, 485056E, Azimuth 283, Dip 46, Depth 105m,
WSDD0011 Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 89.0-99.0 10.0 6.2 0.39 0.01 Main
----------------------------------------------------------------------------
includes 93.0-99.0 6.0 3.7 0.46 0.01 Main
----------------------------------------------------------------------------
Footwall Zones
----------------------------------------------------------------------------
True
Interval Length Width Grade Grade
Hole (m) (m) (m) (%WO3) (%MoS2) Zone
----------------------------------------------------------------------------
Collar 4111497N, 484934E, Azimuth 47,
WSDD0028 Dip 37, Depth 85m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 2.0-21.0 19.0 16.6 0.44 0.08 F/W
----------------------------------------------------------------------------
includes 3.5-5.0 1.5 1.3 0.83 0.00 F/W
----------------------------------------------------------------------------
includes 15.5-18.0 2.5 2.2 2.00 0.02 F/W
----------------------------------------------------------------------------
Collar 4111462N, 485057E, Azimuth 66,
WSDD0012 Dip 35, Depth 152m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 14.0-23.0 9.0 7.4 0.49 0.02 F/W
----------------------------------------------------------------------------
includes 14.0-15.5 1.5 1.2 0.98 0.02 F/W
----------------------------------------------------------------------------
includes 20.0-23.0 3.0 2.5 0.68 0.03 F/W
----------------------------------------------------------------------------
Collar 4111461N, 485056E, Azimuth 283, Dip 46,
WSDD0011 Depth 105m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 19.0-24.5 5.5 3.4 0.33 0.00 F/W
----------------------------------------------------------------------------
Intersection 32.5-34.5 2.0 1.2 0.36 0.01 F/W
----------------------------------------------------------------------------
Collar 4111499N, 485295E, Azimuth 333, Dip 17,
WSDD0017 Depth 115m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 1.0-3.0 2.0 1.0 0.33 0.00 F/W (1)
----------------------------------------------------------------------------
Hangingwall Zone
----------------------------------------------------------------------------
True
Interval Length Width Grade Grade
Hole (m) (m) (m) (%WO3) (%MoS2) Zone
----------------------------------------------------------------------------
Collar 4111462N, 485057E, Azimuth 66, Dip
WSDD0012 35, Depth 152m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 96.5-114.0 17.5 14.4 0.31 0.04 H/W
----------------------------------------------------------------------------
includes 102.0-106.0 4.0 3.3 0.50 0.04 H/W
----------------------------------------------------------------------------
Collar 4111499N, 485295E, Azimuth 333, Dip
WSDD0017- 17, Depth 115m, Target H/W, Main, F/W
----------------------------------------------------------------------------
Intersection 79.5-85.0 5.5 2.9 0.52 0.29 H/W
----------------------------------------------------------------------------
includes 82.5-85.0 2.5 1.3 0.79 0.39 H/W
----------------------------------------------------------------------------
Significant drill intercepts, defined as any mineralisation of 1 metre lengths or longer, are presented in the tables above. A cut-off of 0.15% WO3 was used for the intersection calculations. The reader should understand that the reported intersections represent calculations that are derived from drill results only and do not necessarily reflect the widths and grades used in any resource estimate. In the resource estimation process values are typically confined within a geological model and not all values intersected are necessarily used.
The drilling program targeted the unmined mineralisation in the upper section of the mine above the current water level for mine planning and feasibility reserve estimation purposes. The March 2010 Scoping Study completed by Wardrop, a Tetra Tech company, (Wardrop) produced an Inferred Resource of 103.6 million tonnes at 0.35% WO3, and 0.04% MoS2 at a cut-off of 0.1% WO3. This resource modelled the group of Footwall mineralised zones as a combined unit and the Hangingwall Zone as another unit. Any remaining mineralisation from the Main Zone was not included.
The final batches of assay results comprised 4 holes, all of which intersected the Main and Footwall Zones and two intersected the Hangingwall Zone. Significant Main Zone intersections include 12.2 metres true width at 0.77% WO3 (WSDD0028) and 9.4 metres true width at 0.51% WO3 (WSDD0012). Significant Footwall Zone intersections include 16.6 metres true width at 0.44% WO3 (WSDD0028) and 7.4 metres true width at 0.49% WO3 (WSDD0012). Significant Hangingwall Zone intersections include 14.4 metres true width at 0.31% WO3 (WSDD0012), which included 3.3 metres true width at 0.50% WO3.
The samples are prepared on-site in Korea to appropriate industry standards and sent to SGS Perth, Australia for analysis. Samples are analysed by Inductively Coupled Plasma Mass Spectrometry (ICP) and for ore-grade quantities of specific elements by aqua regia or 4-acid digestion followed by ICP analysis. Molybdenum is analysed by X-ray fluorescence. The QA/QC protocol comprises insertion of one standard, one blank (crushed glass) and one pulp duplicate in every batch of 20 samples.
This news release has been reviewed and approved in the form and context in which it appears by Mr Paul Gribble FIMMM, C.Eng, of Wardrop, who is working with Woulfe on the Sangdong studies. Mr Gribble has appropriate qualifications and sufficient relevant experience to qualify as a Qualified Person for the reporting of exploration results for the Sangdong deposit.
On Behalf of the Board of Directors
Woulfe Mining Corp.
Brian Wesson (FAusIMM), President, CEO and Director
About Woulfe Mining Corp.
Woulfe Mining Corp. is a TSX-V listed company with a diversified portfolio of mining licenses for tungsten, molybdenum, gold, base metals and uranium-vanadium in South Korea.
The company is focused on the development of the Sangdong tungsten mine (one of the World's largest and most renowned tungsten mine's for 40 years) a property that we believe has substantial value for our shareholders. The outcome of the scoping study in March 2010 determined that the project NPV was US$467 million at a commodity price of $2500 per tonne Ammonium Paratungstate (APT). Today, the APT price is over US$45,000 per tonne. Woulfe has accelerated the project due to the robust project and market. The company's target is to move to production at the end of 2012In the last 18 months the company has focused on building the Sangdong tungsten mine team and reopening the mine. The project is well staffed with professionals and is moving forward rapidly.
Woulfe Corporate has now turned its focus to the Muguk gold project, historically Korea's largest producing gold mine. In 1998, Muguk was reported by Korea Resources Corporation (KORES) to contain a combined resource of 1,418,980 tonnes @ 13.5 g/t gold, 72.8 g/t silver (615,956 oz gold and 3,321,599 oz silver). Woulfe cautions that a Qualified Person has not done sufficient work to classify the historical estimate as current, that it is not treating the historical estimate as current and that the historical estimate should not be relied upon. A drill campaign is starting drilling the down dip extensions of the Three Brothers Vein in June 2011. Woulfe's other projects will be considered once these two projects are moving to production, in order to unlock value for shareholders and to move the company to a positive cash flow as quickly as possible.
Forward-looking statements and forward-looking information by their nature are based on assumptions and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. We have made certain assumptions about the forward-looking statements and information and even though our management believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that the forward-looking statement or information will prove to be accurate. Furthermore, should one or more of the risks, uncertainties or other factors materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements or information. These risks, uncertainties and other factors include, among others, the following: commodity price volatility; discrepancies between actual and estimated production, mineral reserves and resources and metallurgical recoveries; mining operational and development risk; litigation risks; regulatory restrictions, including environmental regulatory restrictions and liability; risks of sovereign investment; currency fluctuations; speculative nature of mineral exploration; global economic climate; dilution; share price volatility; competition; loss of key employees; additional funding requirements.
There can be no assurance that forward-looking statements or information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, you should not place undue reliance on the forward-looking statements or information contained herein. Except as required by law, we do not expect to update forward-looking statements and information continually as conditions change and you are referred to the full discussion of the Company's business contained in the Company's reports filed with the appropriate regulatory authorities.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Renmark Financial Communications
Barbara Komorowski
Office phone 1 (514) 939-3989
bkomorowski@renmarkfinancial.com
Nicola Street Capital
Nick Smith
Mobile phone 1 (415) 595-0865
nsmith@nicolastreetcapital.com
Woulfe Mining Corp.
Administration Office
1 604 684 6264
1 604 684 6242 (FAX)
info@woulfe.com.au
www.woulfemining.com