TSX Venture Exchange
Symbol: NWM
TORONTO, April 4, 2013 /CNW/ - NWM Mining Corporation
("NWM" or the "Company") (TSX-V: NWM) is initiating a drill
program with the objective of adding mineral resources and mineral
reserves at the Company's Lluvia de Oro mine in Sonora, Mexico. The primary focus of the
program will be to upgrade a significant portion of the currently
defined inferred resources (approximately 200,000 ounces /
17,000,000 tonnes at 0.36 g/t Au)*1 at the Lluvia de Oro
deposit to a status of measured and indicated mineral
resources. The cost structure of the current mining
operations indicates that these mineral resources can then be
converted to mineral reserves. In addition, the drill program
will also aim to define new inferred resources along strike from
the currently defined mine reserves. An updated reserve/resource
estimate is expected to be completed during the summer of 2013.
Highlights for the planned resource expansion
program include:
- The inclusion of new data from 111 drill holes (75 diamond/"DD"
and 35 reverse circulation/"RC") totalling approximately 18,000
meters that were completed prior to the existing resource estimate
(2010). These holes have been re-logged and prepared for data
analysis. The holes were completed to test extensions of the
Lluvia de Oro deposit as well as to test other prospective
locations within NWM Mining's 5,700 Ha contiguous claim area.
- Approximately 5,000 meters of RC drilling that is targeted
specifically at areas of the Lluvia de Oro deposit containing
significant quantities of inferred gold resources. The goal
is to convert a substantial portion of these gold ounces into
measured and indicated resources.
- Recent geological modelling has clearly identified potential
areas for extension of the Lluvia de Oro orebody along strike from
the current reserves. A portion of the currently planned
program will target these areas in order to expand the overall
resource base.
- A small grid of shallow drill holes will be completed at the
company's Gold Ridge target located adjacent to the Lluvia de Oro
deposit in an area where test mining was undertaken in 2012.
The objective of this work is to better define the geological
continuity of this highly prospective area.
"The new management team continues to make
progress at Lluvia de Oro including developing a more comprehensive
understanding of the geological model for the Lluvia de Oro
deposit. This work has allowed NWM to optimize this Phase 1 program
such that a modest quantity of drilling can be leveraged to have
the maximum impact on growing overall project resources. The
Lluvia-Jojoba property is underexplored and the planned drill
program is expected to add meaningfully to gold reserves and mine
life. Additional operational changes continue to be implemented at
site as mine production rates ramp up over the course of 2013,"
said Chris Berlet, CEO
*1 Inferred resources as recalculated
from existing 43-101 resource estimate block model (Pre-feasibility
Report Update and Reserve Analysis, July
2010) using current project economics and gold price of
$US 1400 per ounce.
About NWM Mining Corporation
NWM is in commercial gold production at its
wholly owned Lluvia de Oro and La Jojoba gold mine. The mine is an
open pit heap leach operation in Northern Sonora State,
Mexico. Management believes the
property is underexplored and hosts significant potential to
provide further gold discovery and resource and reserve upgrades.
While management has focused in the past on developing the mine and
supporting cash flows, the focus in 2013 will shift to increasing
mining rates and drilling to expand geological resources and
reserves.
This press release has been reviewed by Mr.
Darren Koningen, P. Eng. Mr.
Koningen is a Qualified Person under National Instrument
43-101.
Additional information about NWM can be found on the NWM website
at www.nwmcorp.ca or on SEDAR at www.sedar.com.
Neither the 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 of this release.
SOURCE NWM Mining Corporation