TSXV:WRLG - Post Discussion
Post by
MarketMakerss on Apr 24, 2024 12:35pm
Williams on "Putting A Mine into Production"
Located in the Red Lake Gold District of Ontario, West Red Lake Gold (WRLG.v WRLGF) is developing the Madsen Mine which hosts an NI 43-101 Indicated resource of 1.65M oz of gold grading 7.4 g/t Gold, an inferred resource of 0.37Moz of gold grading 6.3g/t.
Significantly, WRLG secured the debt-free and fully permitted asset Madsen Mine for only $6M with a $273 million tax write-off, despite its previous valuation of over a billion dollars, about 8x the current market cap of WRLG, due to previous mismanagement.
On track to be in production by the end of 2025m the mill additionally came with a new $350 million 800+ tonne per day mill.
As discussed during his interview with Grizzle, Shane Williams stands at the head of WRLG, and boasts a strong track record in the mining industry - "Putting A Mine into Production is Something I've Done Before.": https://youtu.be/td0nneG3vj4?si=_eT9T8BRmvi58-g4 Near-Term Production & Long-Term Growth
Under Williams direction, WRLG has consistently reported strong results, the latest from last week showing the intersection of 68.36 g/t Au over 1.1m and 13.83g/t Au over 3.95m at the Madsen Mine's South Austin Zone.
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1.1m @ 68.36 g/t Au, from 74.25m to 75.35m, Including 0.5m @ 145.44 g/t Au, from 74.85m to 75.35m
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Intersected 3.95m @ 13.83 g/t Au, from 7.55m to 11.5m, Including 0.5m @ 105.72 g/t Au, from 7.55m to 8.05m
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The high-grade mineralization encountered near the collar (top of hole) in Holes MM24D-07-4198-002 and MM24D-07-4198-006 is believed to be the down-dip continuation of a mineralized zone defined further up in the system. These intercepts are expected to extend this zone in future model updates.
The South Austin Zone currently contains an indicated mineral resource of 474,600 ounces grading 8.7 g/t gold and an inferred resource of 31,800 oz grading 8.7g/t Au.
The purpose of this drilling was definition within South Austin, to continue building an inventory of high-confidence ounces for the eventual restart of the Madsen Mill
Regarding this news, Shane Williams, commented:
“We are very pleased with the results that have been coming out from the South Austin definition program. The team has been intercepting zones of mineralization where expected, which is helping to increase our confidence in the higher priority areas of the resource model and validates our interpretation of the geology. Now that we have added a second underground drill at North Austin, we expect to be generating a steady stream of positive news flow from North and South Austin over the coming months.”
The current underground drilling program at the Mine is focused on further definition of near-term mining inventory and is targeting the growth of the current mineral resource with drilling focused on the more continuous and higher-grade portions of the Zones.
Notably, this will continue to be the strategy through 2024 and successful drilling in the North and South Austin Zones are expected to add growth to the existing Madsen resource, bringing new ounces onto the books in areas previously not mined.
Posted on Behalf of West Red Lake Gold Mines Ltd.
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