WCB Resources Ltd Confirms High Order Auger Soil Anomalism at the Quartz Mountain Prospect, Misima Gold Copper Project Papua New Guinea and Retains IR Services
WCB Resources Ltd CA:WCB -14.29 percent -Summary
– Highly anomalous gold, molybdenum, lead and zinc auger soil results are observed over a significant surface area at the Quartz Mountain Prospect
WCB Resources Ltd (“WCB” or the “Company”) entered into an exploration Farm-In Agreement with Pan Pacific Copper (“PPC”) covering EL1747 located on Misima Island, Papua New Guinea in late 2011. EL1747 is held by PPC’s wholly owned subsidiary Gallipoli Exploration (PNG) Ltd (“Gallipoli”). A systematic exploration programme incorporating soil and rock chip sampling is currently being conducted on EL1747 with the aim of ranking and prioritising all anomalies in preparation for potential drill testing.
A total of 2487 auger ridge and spur soil samples have been collected to date covering the region surrounding the historic SML1 (now surrendered – see news release dated June 11, 2012). Results for the remaining 1188 samples not previously reported in News Release dated June 14, 2012, have been received, validated and are reported herein. These samples are located on the west of the historic SML1, covering the area termed the Quartz Mountain Prospect.
Results from these soil samples on the western area covering the Quartz Mountain Prospect returned individual highs for gold of 4.26 g/t, silver of 2.80 g/t, Mo of 60 ppm and lead of 3390 ppm. Furthermore, anomalism is observed over a large surface area with the anomaly displaying a strong spatial association of molybdenum, gold and lead. In general the anomaly can be described as having a strong elliptical outline of highly anomalous molybdenum internal to which there are elongate zones of elevated gold and lead.
This area includes the historic small open pit area at Ewatinona.
Cameron Switzer, President and CEO said “Our systematic exploration strategy has clearly defined three (3) high order anomalies with both rock chip grab samples and auger soil samples. Target Area 2 – Quartz Mountain, is defined by impressive molybdenum, lead and gold results which clearly indicates a classic intrusive related hydrothermal system in this environment. Research indicates that there are extensive zones of brecciation and intense albite silica sericite alteration at Quartz Mountain supporting this concept. Further work in this area will be prioritised with respect to our other high order anomalies but will aim to define drill targets with detailed geological mapping and channel sampling.”
Quality Assurance/Quality Control
Exploration at the Misima Project is supervised by Cameron Switzer, President and CEO, who is the Qualified Person under NI 43-101. All technical information for the Company’s projects is obtained and reported under a quality assurance and quality control (QA/QC) programme which includes the usage of Standard Operating Procedures, the insertion of Certified Geochemical Standards, Blanks and Field Duplicates. Rock chip and soil auger samples are collected under the supervision of company geologists in accordance with standard industry practice. Samples are dispatched via commercial transport to an accredited laboratory in Brisbane, Australia for analysis. Results are routinely examined by a suitably qualified geologist to ensure laboratory performance meets required standards.
Sample locations are recorded by GPS devices in GDA94 Z56. Each site is photographed for reference and validation.
Rock chip grab samples by nature are only indications of metal tenor and in no way represent the average grade of a deposit.
Soil auger samples are collected using a 100mm diameter hand auger to depths of refusal up to 3.0m below surface.
Soil samples were assayed for 35 elements by ALS Minerals Brisbane using method ME-ICP41 and for gold by method Au-TL43. ME-ICP41 is a partial digestion using aqua regia and ICP-AES. Au-TL43 is used to detect trace levels of gold between 0.001 and 1.0 g/t gold. The method uses aqua regia extraction of a nominal 25g sample weight with ICP-MS finish. Samples containing greater than 1.0 g/t gold are reassayed for gold by method Au-OG43 which comprises an aqua regia extraction of a nominal 25g sample weight with an ICP-MS finish with an analytical range from 0.01 to 100 g/t gold.
Retention of IR Services
The Company also announces that it has retained Proconsul Capital Ltd (“Proconsul”) and Crook Publicity (“Crook”) to provide investor relations and public relations services. Proconsul Consul’s primary responsibilities will be arranging meeting with professional investors and managing relationships with the professional investment community on the Company’s behalf. Crook’s primary responsibilities will be media planning, assisting with media releases and their distribution, and managing media relationships.
Proconsul will provide its services on a consulting basis pursuant to an investor relations consulting agreement dated June, 15, 2012. Proconsul will receive consulting fees totalling $5,000 per month. The contract has no term and is renewable on a month to month basis. In addition, Proconsul has been granted options to purchase 100,000 shares of WCB at a price of $0.60 per share until June 18, 2014. Crook will provide its services pursuant to a one year agreement dated June 15, 2012, pursuant to which its principal, Andrew Crook, will receive 100,000 options of WCB with an exercise price of $0.60 per share until June 18, 2014. The options will vest quarterly and will be governed by the provisions of the Company’s stock option plan.
About the Misima JV and EL1747
In December 2011, WCB entered into an exploration Farm-In Agreement with Pan Pacific Copper (“PPC”) covering EL1747 located on Misima Island, Papua New Guinea. Under the terms and conditions of the exploration Farm-In Agreement, WCB can earn up to a 70 percent interest in EL1747 Misima by spending a total of AUD9.0M within a 4 year timeframe.
PPC, owned by JX Nippon Mining and Metals (66 percent) and Mitsui Mining and Smelting (34 percent), is a global mining, smelting, refining and international copper producer.
The Company is targeting Porphyry copper gold and Epithermal gold silver mineralisation on EL1747.
From a geological and mineral deposits perspective, EL1747 is located in the same terrain and geological region that includes the deposits of Grasberg, Ok Tedi, Hidden Valley, Wafi-Golpu, Lihir, Simberi and Panguna as well as significant projects such as Tolukuma, Kainantu and Woodlark Island. Importantly Misima Island has previously demonstrated mineral deposit pedigree through the past production of 4.0M ounces of gold and 20M ounces of silver from various operations but most recently the Misima Mine owned by Placer Dome Asia Pacific (now Barrick Gold). This mine ceased open pit production in 2001 and closed in 2004.
EL1747 Misima consists of 53 sub blocks covering an area of 180km2. The exploration licence was targeted by WCB due to the presence of a significant high order copper stream sediment anomaly in multiple drainages which has received limited detailed follow up activity. Furthermore, additional high order gold and zinc anomalies have been identified and require follow up detailed work.
Further details of this announcement or information pertaining to the Misima Farm In Agreement and further technical information regarding Misima Island and EL1747, can be located at www.wcbresources.com/news-releases/.
Cameron Switzer, BSc (Hons), MAIG (3384), MAUSIMM (112798), President and Chief Executive Officer of WCB Resources, is a qualified person as defined by National Instrument 43-101. He is responsible for quality control of exploration undertaken by WCB. Switzer has reviewed and approved the technical information in this release.
About WCB Resources
WCB is an aggressive minerals exploration and development company that brings together a strong, interdisciplinary, and proven management team with the ability to take a project from discovery right through to operation.
WCB’s strategy is to build shareholder value through acquisition, exploration and development of copper gold projects. This strategy is being developed by a synthesis of WCB’s core skills in project evaluation, structured acquisition, exploration and project development and operations, areas where WCB directors and executives have significant experience.
We believe that our capabilities and experience, combined with an efficient corporate structure, provide tremendous potential upside for investors. WCB is engaged in an ongoing search and evaluation of additional copper gold projects in the Asia Pacific region.
On behalf of the Board of directors
Cameron Switzer, President and Chief Executive Officer
Forward Looking Statements: This news release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, including, without limitation, statements potential mineralisation, the estimation of mineral resources, the realisation of mineral resource estimates, interpretation of prior exploration and potential exploration results, the timing and success of exploration activities generally, the timing and results of future resource estimates, permitting time lines, metal prices and currency exchange rates, availability of capital, government regulation of exploration operations, environmental risks, reclamation, title, and future plans and objectives of the company are forward-looking statements that involve various risks and uncertainties.. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Forward-looking statements are based on a number of material factors and assumptions. Factors that could cause actual results to differ materially from those in forward-looking statements include failure to obtain necessary approvals in respect of the transaction, unsuccessful exploration results, changes in project parameters as plans continue to be refined, results of future resource estimates, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, risks associated with operating in foreign jurisdictions, uninsured risks, regulatory changes, defects in title, availability of personnel, materials and equipment on a timely basis, accidents or equipment breakdowns, delays in receiving government approvals, unanticipated environmental impacts on operations and costs to remedy same, and other exploration or other risks detailed herein and from time to time in the filings made by the companies with securities regulators. Mineral exploration and development of mines is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. For more information on the Company, investors should review their annual filings that are available at www.sedar.com.
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.
WCB Resources Ltd
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WCB Resources Ltd