VANCOUVER, BRITISH COLUMBIA, February 24, 2014 – West Kirkland Mining Inc. (WKM:TSXV) “WKM” or the “Company”) is pleased to report that a National Instrument 43-101 (“NI 43-101”) compliant updated mineral resource estimate has been completed for the Hasbrouck and Three Hills properties (the “Properties”) located near Tonopah, Nevada.  The Three Hills deposit is located five miles to the North of the Hasbrouck deposit.

Hasbrouck and Three Hills Deposits Resource Statement (February 21, 2014)

HASBROUCK (0.005 opt AuEq Cutoff)
Category	Tons	Gold	Silver	AuEq	Gold	Silver	AuEq
	(000 tons)	opt	opt	opt	(000 oz)	(000 oz)	(000 oz)
Measured	14,686	0.014	0.307	0.019	206	4,509	285
Indicated	55,002	0.011	0.248	0.015	605	13,640	844
Measured & Indicated	69,688	0.012	0.260	0.016	811	18,149	1,128
Inferred	58,921	0.007	0.189	0.010	412	11,136	607
AuEq calculated AuEq= Au + (Ag/57.14)

 

THREE HILLS (0.005 opt Au Cutoff)
Category	Tons	Gold	Silver	AuEq	Gold	Silver	AuEq
	(000 tons)	opt	opt	opt	(000 oz)	(000 oz)	(000 oz)
Measured	1,091	0.023	N/A	N/A	25	0	25
Indicated	7,413	0.017	N/A	N/A	126	0	126
Measured & Indicated	8,504	0.018	N/A	N/A	151	0	151
Inferred	11,002	0.014			154		154
AuEq calculated AuEq= Au + (Ag/57.14)

 

HASBROUCK & THREE HILLS (0.005 opt AuEq Cutoff)
Category	Tons	Gold	Silver	AuEq	Gold	Silver	AuEq
	(000 tons)	opt	opt	opt	(000 oz)	(000 oz)	(000 oz)
Measured	15,777	0.015	0.286	0.020	231	4,509	310
Indicated	62,415	0.012	0.219	0.016	731	13,640	970
Measured & Indicated	78,192	0.012	0.232	0.016	962	18,149	1,279
Inferred	69,923	0.008	0.159	0.011	566	11,136	761
AuEq calculated AuEq= Au + (Ag/57.14)

The resource statement quoted above considers data not considered at the time of the resource statement announced by the Company on January 27, 2014.  Specifically, at Three Hills an additional 25 holes were used in the mineral resource calculation.  Scott E. Wilson completed analysis of the updated database and updated the mineral resource which resulted in an increase in the confidence classification of a portion of the Hasbrouck resource. 

R. Michael Jones, CEO of WKM said, “The 10% increase of gold equivalent ounces combined with the increased confidence level for more than half the ounces, re-affirms our conviction on the planned Hasbrouck purchase. The improvement in the gold market since the agreement with Allied Nevada Gold Corp. adds to our motivation to complete the acquisition.  Shareholder response has been positive and our due-diligence is near complete.”

Exploration Potential

The Properties are large packages of patented and unpatented mineral claims in the historic Tonapah gold district. WKM plans to carefully assess the controlling features of the two deposits and look for extensions along the known gold bearing structures. The Properties will be analyzed in engineering work for WKM at the same time as exploration targets are prioritized.

Details of Hasbrouck and Three Hills

The Properties are the subject of a binding letter agreement (the “Letter Agreement”) with Allied Nevada Gold Corp. (ANV:TSX) (“Allied” or “ANV”) announced on January 27, 2014 pursuant to which WKM may acquire an interest in the Properties (the “Transaction”). In order to complete the purchase of a 75% interest in the Properties, a payment of US$19.5 million is due to Allied from WKM by April 24, 2014. Further details of the Transaction are in WKM’s January 27, 2014 news release.

The Hasbrouck property is located in Esmeralda County, Nevada, and consists of two claim blocks, Hasbrouck and Three Hills.  The Hasbrouck claim block consists of 28 patented and 583 unpatented mining claims.  The Three Hills claim block consists of six patented mining claims and 100 unpatented mining claims.  Each claim block hosts a known significant gold resource, each having the potential for further discoveries and expansion.  The historic mining town of Tonopah, Nevada, lies within a short distance of the Properties. Historic mining in the area focused on bonanza grade veins and took place prior to the existence of technology to process oxide ores. 

The Hasbrouck and Three Hills deposits are oxidized, low-sulphidation, epithermal vein deposits with a combined Ag:Au ratio of 19:1 by weight.  Most of the ounces of gold in the known deposits are hosted within the Tertiary Siebert Formation with minor amounts of mineralization in the underlying Fraction Tuff.  The Hasbrouck mineral resource estimate is defined by 240 boreholes totaling 146,049 feet (44,516 meters) drilled between 1974 and 2011. The Three Hills property has 285 boreholes totaling 87,203 feet (26,579 meters). Both deposits are open to further expansion, particularly Three Hills, where recently drilled hole  THR12-15 encountered 66 meters of 3.33 g/t Au.  WKM has identified several additional exploration target areas on the Properties which it will prioritize for further exploration. 

The resource was calculated using Vulcan software. For the Hasbrouck deposit, resources were calculated using a 0.005 opt AuEq cutoff and ordinary kriging.  The following formula was used for calculating AuEq:AuEq = Au + (Ag/57.14).  At Three Hills the mineral resource was constrained by the property boundary.  In considering the potential for economic extraction, metallurgical recoveries by heap leach methods and open pit mining was considered but the resources are not constrained by a pit shell. Mineral resources are not mineral reserves and do not have demonstrated economic viability.  There is no certainty that all or any part of the mineral resource will be converted into mineral reserves.

Qualified Persons

Mr. Scott E. Wilson, AIPG Certified Professional Geologist, is WKM’s Independent Qualified Person as defined under NI 43-101. He has recently visited the Properties and has read and approved the technical information in this news release.  Mr. Wilson has reviewed and verified the data disclosed in this news release to be in conformity with generally accepted CIM “Estimation of Mineral Resource and Mineral Reserves Best Practices” guidelines and in accordance with NI 43-101.

Michael G. Allen, Vice President of Exploration for WKM, and a Qualified Person as defined by NI 43-101, has reviewed the information contained in this news release. He is the non-independent qualified person for this new release and has verified the data.

In compliance with NI 43-101, WKM will file a technical report in support of the technical disclosures made in this news release.

About West Kirkland Mining Inc.

WKM was formed in 2010 to focus on gold exploration along major trends in North America.  The Company has consolidated significant mineral rights positions within the Long Canyon Trend of Nevada/Utah. The founders and Board members of WKM have successful experience in gold discovery, mine development and mine operations in Nevada and other gold producing jurisdictions in North America.

For further information, please see the Company’s website at www.wkmining.com or contact us by email at [email protected] or call:
West Kirkland Mining Inc.
R. Michael Jones, Michael Allen or Knox Henderson at (604) 685-8311

Disclaimer for Forward-Looking Information

The purchase price of the Hasbrouck and Three Hills properties exceeds the working capital of WKM and there can be no assurance that WKM will be able to finance the acquisition and complete the purchase. If WKM does not pay US$19.5 million to Allied the Company would have no interest in these properties.

This press release contains forward-looking information or forward looking statements (collectively “forward-looking information”) within the meaning of applicable securities laws.  Forward-looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. Forward-looking information in this news release includes, without limitation, all statements regarding the filing of a NI 43-101 compliant technical report on the Properties, the terms, proposed timing and completion of the Transaction, forming a workable joint venture with Allied, the anticipated timing and completion of one or more financings in connection with the Transaction and the receipt of necessary approvals with respect to any financing in connection with the Transaction.  Although WKM believes that such timing as set out in this press release is reasonable, it can give no assurance that such expectations will prove to be correct.  The Company cautions investors that any forward-looking information provided by the Company is not a guarantee of future results or performance, and that actual results may differ materially from those in forward looking information as a result of various factors, including, but not limited to, the state of the financial markets for the Company’s equity securities, the state of the market for gold or other minerals that may be produced generally, recent market volatility; the results of the Company’s due diligence evaluations with respect to the Properties; developments with respect to Allied or the Properties; variations in the nature, quality and quantity of any mineral deposits that may be located, the Company’s ability to obtain any necessary permits, consents or authorizations required for its activities, to raise the necessary capital or to be fully able to implement its business strategies and other risks associated with the exploration and development of mineral properties.  The reader is referred to the Company’s public filings for a more complete discussion of such risk factors and their potential effects which may be accessed through the Company’s profile on SEDAR at www.sedar.com.

Cautionary Note to U.S. Investors Regarding the Use of Mining Terms

This press release has been prepared in accordance with the securities laws in effect in Canada, which differ from the requirements of U.S. securities laws.  Unless otherwise indicated, all resource and reserve estimates included in this press release have been prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”) and the Canadian Institute of Mining, Metallurgy, and Petroleum Definition Standards on Mineral Resources and Mineral Reserves.  NI 43-101 is a rule developed by the Canadian Securities Administrators which establishes standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. Canadian standards, including NI 43-101, differ significantly from the requirements of the U.S. Securities and Exchange Commission (the “SEC”), and resource and reserve information contained therein may not be comparable to similar information disclosed by U.S. companies.  In particular, and without limiting the generality of the foregoing, the term “resource” does not equate to the term “reserves”.  Under U.S. standards, mineralization may not be classified as a “reserve” unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made.  The SEC’s disclosure standards normally do not permit the inclusion of information concerning “measured mineral resources”, “indicated mineral resources” or “inferred mineral resources” or other descriptions of the amount of mineralization in mineral deposits that do not constitute “reserves” by U.S. standards in documents filed with the SEC.  U.S. investors are cautioned not to assume that any part or all of mineral deposits in these categories will ever be converted into reserves.  U.S. investors should also understand that “inferred mineral resources” have a great amount of uncertainty as to their existence and great uncertainty as to their economic and legal feasibility.  It cannot be assumed that all or any part of an “inferred mineral resource” will ever be upgraded to a higher category.  Under Canadian rules, estimated “inferred mineral resources” may not form the basis of feasibility or pre-feasibility studies except in rare cases.  Investors are cautioned not to assume that all or any part of an “inferred mineral resource” exists or is economically or legally mineable.  Disclosure of “contained ounces” in a resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute “reserves” by SEC standards as in-place tonnage and grade without reference to unit measures. The requirements of NI 43-101 for identification of “reserves” are also not the same as those of the SEC, and reserves reported by the Company in compliance with NI 43-101 may not qualify as “reserves” under SEC standards. In addition, under SEC standards, a company may only be identified as “development” stage if it has established “reserves” by SEC standards and is engaged in the preparation of such reserves for extraction.  Accordingly, information concerning mineral deposits set forth in this press release may not be comparable with information made public by companies that report in accordance with U.S. standards.

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.