West Mining Enters Into Letter of Intent for Blue Cove Copper Property, Newfoundland
VANCOUVER, Jan. 25, 2022 - West Mining Corp. ("West" or the "Company") (CSE: WEST) (OTC: WESMF) is pleased to announce it has entered into a non-binding letter of intent (the "LOI") dated as of January 21, 2022 with Dean Fraser (the "Optionor") which contemplates a transaction under which West will have the right to earn a 100% undivided interest in Blue Cove Copper Property.
The Blue Cove Copper Property is located at the head of Fortune Bay, in southeast Newfoundland and is host to significant copper occurrences in outcrop. Several new targets have been identified by prospecting over the past two years and copper mineralization can be found locally throughout the claims. The best assay obtained to date from grab samples at the Blue Cove Property returned values as high as 5.1% Cu, 33 g/t Ag and 0.27 g/t Au. Copper mineralization generally occurs in altered volcanic rocks and sediments on the Property with the primary copper minerals being chalcocite with more minor bornite and chalcopyrite. Widespread copper oxide is readily visible on many outcrops throughout the property.
The Property consists of 232 claims covering a 5,800 hectare area, striking 22 kilometres adjacent to the Terrenceville fault structure. Excellent infrastructure also exists in the area, including the nearby town of Terrenceville which hosts a deep sea port.
"It is rare to find a project with such vast potential that has never seen modern exploration. West is anxious to begin a systematic work program on this highly prospective property," states CEO of West Mining Corp. Nicholas Houghton. "The fact that it is a turnkey operation with a Newfoundland based crew on hand lends itself perfectly in allowing the Company to stay focussed on the Kena gold and copper project whilst expanding its portfolio. We see the demand for copper strongly increasing and seizing this opportunity can only be of benefit to our shareholders."
Under the LOI, the parties have agreed to make good faith negotiations towards a binding definitive option agreement (the "Option Agreement") respecting the proposed transaction. Pursuant to the proposed terms of the transaction contemplated in the LOI, West will be able to exercise the option by: paying an aggregate of $160,000 to the Optionor; issuing an aggregate of 1,700,000 common shares in the capital of the Company to the Optionor; and incurring an aggregate of $750,000 of exploration expenditures on the Property, as follows:
| Cash | Shares | Work Commitment | |||
| On execution of the Option Agreement (the "Execution Date") | $10,000 | 250,000 | - | ||
| 12 Months after Execution Date | $20,000 | 300,000 | $100,000 | ||
| 24 Months after Execution Date | $30,000 | 400,000 | $100,000 | ||
| 36 Months after Execution Date | $100,000 | 750,000 | $250,000 | ||
| 48 Months after Execution Date | $300,000 | ||||
| Aggregate | $160,000 | 1,700,000 | $750,000 | ||
On West successfully exercising the option, the Optionor will be entitled to retain a 3.0% net smelter returns royalty on the Property, with West having the right to purchase one-third (1.0%) of such net smelter returns royalty from the Optionor for $1,000,000 at any time.
West will provide updates respecting the proposed transaction and the Option Agreement in due course.
Linda Dandy, P.Geo., a "Qualified Person" for the purpose of National Instrument 43-101, has reviewed and approved the technical contents of this news release.
About West Mining Corp.
West Mining Corp. is a mineral exploration company acquiring and developing advanced and prospective early-stage exploration projects. It is fully focused on its 100% owned, 9000 hectare Kena Project located near Nelson, British Columbia. The Kena Project comprises three adjoining Properties: Kena, Daylight and Athabasca. A recent NI43-101 resource estimate for Kena gave 561,900 oz Au indicated and 2,773,100 oz Au inferred at a cut off of 0.25 g/t Au contained within the Gold Mountain, Kena Gold and Daylight Zones. The Kena Property also hosts the large Kena Copper Zone, along with with the historic Euphrates and Gold Cup gold-silver mines. The Daylight property contains the historic past producing Daylight, Starlight, Victoria, Irene and Great Eastern gold mines. Along trend to the north is the Athabasca Property, with the historic Athabasca Gold Mine. The historic mines and known mineralized zones on these three properties are structurally controlled along a 20 kilometre strike as identified by strong geophysical signatures.
For additional information, please refer to the Company's public disclosure record available on SEDAR at www.sedar.com.
West Mining Corp.
Nicholas Houghton
President & CEO
nick@westminingcorp.com
The Canadian Securities Exchange accepts no responsibility for the adequacy or accuracy of this release.
Certain statements contained in this press release constitute "forward-looking information" as such term is defined in applicable Canadian securities legislation. The words "may", "would", "could", "should", "potential", "will", "seek", "intend", "plan", "anticipate", "believe", "estimate", "expect" and similar expressions as they relate to the Company, are intended to identify forward-looking information. All statements other than statements of historical fact may be forward-looking information. Such statements reflect the Company's current views and intentions with respect to future events, and current information available to them, and are subject to certain risks, uncertainties and assumptions, including, without limitation: the potential of the Company's mineral properties; the estimation of capital requirements; the estimation of operating costs; the timing and amount of future business expenditures; and the availability of necessary financing. Many factors could cause the actual results, performance or achievements that may be expressed or implied by such forward-looking information to vary from those described herein should one or more of these risks or uncertainties materialize. Such factors include but are not limited to: changes in economic conditions or financial markets; increases in costs; litigation; legislative, environmental and other judicial, regulatory, political and competitive developments; and exploration or operational difficulties. This list is not exhaustive of the factors that may affect forward-looking information. These and other factors should be considered carefully, and readers should not place undue reliance on such forward-looking information. Should any factor affect the Company in an unexpected manner, or should assumptions underlying the forward-looking information prove incorrect, the actual results or events may differ materially from the results or events predicted. Any such forward- looking information is expressly qualified in its entirety by this cautionary statement. Moreover, the Company does not assume responsibility for the accuracy or completeness of such forward-looking information. The forward-looking information included in this press release is made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking information, other than as required by applicable law.
