ATW Gold Corp.: Gullewa Drill Program Complete
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 11/09/10 -- ATW Gold Corp. (TSX VENTURE: ATW), ('ATW' or 'the Company') is pleased to provide an update on the Company's Gullewa Gold Project ('Gullewa') in Western Australia. The Company's partner, Mutiny Gold Ltd. ('Mutiny' or 'Mutiny Gold') recently completed its drill program, announced September 22, 2010, on the Gullewa Gold project's Deflector Deposit. The program consisted of 41 holes totalling 3,461 metres of RC drilling and was completed to upgrade the existing resource by converting part of the Indicated Resource to a Measured Resource.
Assay results are expected by late November 2010 and the resource upgrade is expected to be completed by mid-December 2010.
Mutiny's work on the Deflector Scoping Study is continuing and expected to be complete before the end of the year.
Background
Gullewa is located 450 kilometres north of Perth, in the Yalgoo mineral fields of Western Australia. Gullewa is a 550 sq kilometre property that hosts several gold deposits of various size and grade, the most significant being the Deflector gold-copper deposit which contains total resources of 3.3Mt @ 5.4g/t Au and 0.76% Cu for 560,000oz Au and 25,000t Cu of which Measured and Indicated Resources total 1.7Mt @ 4.7g/t Au and 1.03% Cu for 230,000oz of Au and 17,000t of Cu. (see table below).
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Category Tonnes Au (g/t) Au (oz) Cu (%) Cu (t) Ag (g/t) Ag (oz)
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Measured 535,000 3.9 67,000 1.18 6,300 8.0 140,000
Indicated 1,200,000 4.3 160,000 0.96 11,000 6.3 240,000
Measured and
Indicated 1,700,000 4.2 230,000 1.03 17,000 6.9 380,000
Inferred 1,600,000 6.5 330,000 0.48 8,000 3.0 200,000
Totals 3,300,000 5.4 560,000 0.76 25,000 5.2 580,000
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Mutiny plans to commence production with an open pit mining operation at the Deflector deposit, followed by underground mining after two years. The payback period from the open pit operations is estimated to be eight months based on previous mine studies.
It is intended that the ore will be processed at the existing Gullewa Mill, following modifications to allow the treatment of copper-gold ores. Mutiny also plans to process Gold Concentrate from its White Well deposit near Cue at the Gullewa Mill.
As previously announced in the Company's news release dated July 20, 2010, ATW has entered into an agreement (the 'Agreement') with Mutiny, whereby Mutiny can earn a 70% interest in the Gullewa Gold Project in Western Australia, by making exploration expenditures and paying to ATW Gold Corp Australia Pty Ltd, a total of AUD$9,000,000.
ABOUT MUTINY GOLD: Mutiny Gold Ltd is a public company listed on the Australian Securities Exchange (ASX) under the trading symbol (MYG). Mutiny's focus is on the development of its gold, nickel and copper tenements in Western Australia. Mutiny Gold plans to focus its efforts in the initial phase on the Deflector Deposit with the objective of completing a bankable feasibility study and commencing mining operations at the existing Deflector Pit.
This news release has been reviewed by Brent Butler, a Qualified Person as that term is defined in NI 43-101.
ATW GOLD CORP.
Brent Butler, President & CEO
'This news release may contain forward-looking statements. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.'
'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 or accuracy of this release.'
Contacts:
ATW Gold Corp.
Investor Relations
604-662-8184 or Toll Free: 1-877-662-8184
604-602-1606 (FAX)
investor@atwgold.com
www.atwgold.com