Gowest Gold Enters Into Right to Negotiate A Milling Agreement

Ad blocking detected

Thank you for visiting CanadianInsider.com. We have detected you cannot see ads being served on our site due to blocking. Unfortunately, due to the high cost of data, we cannot serve the requested page without the accompanied ads.

If you have installed ad-blocking software, please disable it (sometimes a complete uninstall is necessary). Private browsing Firefox users should be able to disable tracking protection while visiting our website. Visit Mozilla support for more information. If you do not believe you have any ad-blocking software on your browser, you may want to try another browser, computer or internet service provider. Alternatively, you may consider the following if you want an ad-free experience.

Canadian Insider Club
$299/ year*
Daily Morning INK newsletter
+3 months archive
Canadian Market INK weekly newsletter
+3 months archive
30 publication downloads per month from the PDF store
Top 20 Gold, Top 30 Energy, Top 40 Stock downloads from the PDF store
All benefits of basic registration
No 3rd party display ads

* Price is subject to applicable taxes.

Paid subscriptions and memberships are auto-renewing unless cancelled (easily done via the Account Settings Membership Status page after logging in). Once cancelled, a subscription or membership will terminate at the end of the current term.

Gowest Gold Enters Into Right to Negotiate A Milling Agreement

TORONTO, ONTARIO--(Marketwired - June 29, 2016) - Gowest Gold Ltd. ("Gowest" or the "Company") (TSX VENTURE:GWA) is pleased to announce that it has entered into a negotiation agreement with Northern Sun Mining Corp. ("Northern") for the use of the Redstone Mill (the "Mill") located in Timmins, Ontario to process material from the Company's Bradshaw Gold Deposit ("Bradshaw").

The parties intend to negotiate an arrangement (the "Proposed Transaction") pursuant to which Gowest will have the right to use the Mill for the purpose of processing up to 500 tonnes per day of material as part of its bulk sample and pre-production program at Bradshaw. (See Gowest news release dated June 16, 2016.) The Proposed Transaction may also include the right of Gowest to (i) purchase the Mill; or, (ii) enter into a long-term agreement to lease the Mill; or, (iii) enter into some other form of transaction pursuant to which Gowest will acquire or have access to the Mill for the purpose of processing material produced by the Company.

Northern and Gowest shall negotiate with each other in good faith in respect of the Proposed Transaction until no later than October 31, 2016. As consideration for the right to negotiate, Gowest will pay Northern a fee to defray part of the Mill's care and maintenance costs.

Gowest President & CEO, Greg Romain said, "We are extremely pleased with the discussions that have taken place with Northern to date. This is a great mill for processing our material both short and long term. We look forward to working with the Northern team in identifying additional sources of feed and optimizing the Mill for our mutual benefit."

Qualified Person

The scientific and technical disclosure in this press release has been prepared and approved by Mr. Kevin Montgomery, P.Geo., Gowest's Manager of Exploration and a Qualified Person under National Instrument 43-101.

About Gowest

Gowest is a Canadian gold exploration and development company focused on the delineation and development of its 100% owned Bradshaw Gold Deposit (Bradshaw), on the Frankfield Property, part of the Corporation's North Timmins Gold Project (NTGP). Gowest is exploring additional gold targets on its +100-square-kilometre NTGP land package and continues to evaluate the area, which is part of the prolific Timmins, Ontario gold camp. Currently, Bradshaw contains a National Instrument 43-101 Indicated Resource estimated at 2.1 million tonnes ("t") grading 6.19 g/t Au containing 422 thousand oz Au and an Inferred Resource of 3.6 million t grading 6.47 g/t Au containing 755 thousand oz Au. Further, based on the Pre-Feasibility Study produced by Stantec Mining and announced on June 9, 2015, Bradshaw contains Probable Mineral Reserves, using a 3 g/t Au cut-off and utilizing a gold price of US$1,200 / oz, totalling 1.8 million t grading 4.82 g/t Au for 277 thousand oz Au.

Forward-Looking Statements

This news release may contain certain "forward looking statements". Forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Any forward-looking statement speaks only as of the date of this news release and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.


Gowest Gold Ltd.
Greg Romain
President & CEO
(416) 363-1210

Gowest Gold Ltd.
Greg Taylor
Investor Relations
(416) 605-5120

Comment On!

Upload limit is up to 1mb only
To post messages to your Socail Media account, you must first give authorization from the websites. Select the platform you wish to connect your account to CanadianInsider.com (via Easy Blurb).