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Wits Basin Provides Update on Bates-Hunter Mine Project
Tuesday, June 24, 2008 7:24am EDT
MINNEAPOLIS--(BUSINESS WIRE)--Wits Basin Precious Minerals Inc. (OTCBB: WITM) is pleased to provide this update on the Bates-Hunter Mine project located in the Central City Mining District in Colorado.
Drilling Program
The Company is conducting a surface exploration diamond drill program designed to intersect potential high-grade gold ore bodies in the Central City Gold District. The Company recently announced it had intersected an ore-grade gold interval in the Groundhogg Vein in drill hole BH-08-09 that assayed 0.439 ounces per ton (opt) gold (Au) over a width of 5.1 feet. Once diluted to a true mineable width, this is 0.401 opt Au over 5.0 feet. Previously reported intersections for both surface drilled results as well as underground gold mineralization had fire assays ranging from nil to over 6.0 opt Au.
Drill hole BH-08-10 is now underway to test the intersection between the Groundhogg Vein and the Bates Vein below the deepest workings of the German and McAllister mines. Wits Basin has drilled over 12,000 feet on the Bates-Hunter Mine Project to date.
How to View the 3-D Modeling of the Bates-Hunter Mine Project
The Wits Basin geologic team has been using advanced 3-D modeling to direct the exploration program at the Bates-Hunter Gold Project. The Company has released a simplified version of the one that the Wits Basin geologists are using. This particular model shows the underground workings, veins, and drill holes.
To view this working model, users will need to download a free copy of either GoogleTM SketchUp's Viewer or GoogleTM SketchUp 6 (http://sketchup.google.com/download/). Simple tips on how to navigate through the model are provided at the beginning of the presentation. A user’s guide can be found at GoogleTM SketchUp's Training page (http://www.sketchup.com/?section=training).
After downloading the software, the 3-D model can be found on the Company’s website by clicking here (http://www.witsbasin.com/images/BATES-HUNTER-3D-MODEL-06-23-2008-WS.zip). Using the SketchUp orbital tool, even novice users can navigate within the scenes to view the mapping.
The Company has also released an updated animated video of the 3-D working model of the mine. To view the video, click here (http://www.witsbasin.com/images/BATES-HUNTER-3D-MODEL-06-23-2008-ANIMATION.avi).
Screen shots of the video are available as a pdf file here (http://www.witsbasin.com/images/BATES-HUNTER-06-23-2008.pdf).
A detailed cross-section of the mine can be viewed here (http://www.witsbasin.com/images/BATES-HUNTER-MINE-SECTION.pdf).
How Wits Basin Geologists Use 3-D Modeling Wits Basin’s team of experienced geologists are using this 3-D computer modeling to unravel the complex geology of the Central City Gold District to enhance the potential for discovering new precious metal resources. Intensely folded metamorphic rocks, irregular magmatic intrusions (heat source of hydrothermal veins), multiple fault and fracture events, four generations of vein formation, multiple intersecting vein sets, and complex ore-shoot geometry are all part of this complex geology.
The 3-D model has been created using Autodesk AutoCad™ software. It brings together a wealth of information including United States Geological Survey topographic and geologic maps, land survey data, published mine maps, Wits Basin’s surface and underground mapping, air photos, and drill hole information.
Using geochemical, mineralogical, and structural data contained in the three dimensional model, Wits Basin geologists can project veins to predict the locations of intersection areas. These intersections are where, historically, the richest ore shoots of the district have been found. Once likely targets have been identified, the 3-D model is used to select the best approach in using diamond drilling to test the target area. With only a few permitted drill sites and extensive mine workings in the project area, the model allows accurate evaluation of drilling strategies. It is then used to determine the starting orientation of drill holes, including their inclination and bearing.
During the drilling process, the direction and angle of the drill holes are surveyed every 100 to 200 feet and this data is added to the 3-D model to monitor the progress of each hole. Within the model, calculations are done to predict the future path of the hole with consideration given to the hole’s natural torque deviation. If needed, the drill hole is diverted using specific directional drilling technology to reach the target area.
Once the drill core has been logged, this information is included in the 3-D model to refine the projections of other veins, geology, and potential new targets. With each new drill hole, more information is added to the model, adding to its resolution and accuracy. To demonstrate this accuracy, recent intercepts of sulfide veins in drill holes have been as close as five feet from their predicted depth.
The 3-D model is also used by the geologic team to generate the geologic figures it needs on a daily basis. Figures are generated for technical reports, permitting, mineral and surface right determination, and land acquisition efforts.
Dewatering and Mine Rehabilitation
Mine dewatering and shaft rehabilitation work at the mine continues. The mine has been dewatered to a depth of 400 feet below surface and is being dewatered at a record rate. This is due to the installation of a new soft-start frequency drive that can better handle the electrical load from continuously running the newly upgraded 125hp underground pump. Pumping the water out of the mine is a 24-hour per day process. There are regular fluctuations in the water level primarily due to groundwater infiltration into the mine.
The Company is evaluating whether the 425-foot Level is suitable for locating a refuge chamber or an underground diamond drill station. Underground drilling from within the Bates-Hunter workings would test the mineralization potential of adjacent ground both northwest and southeast of the Bates Vein.
Rehabilitation of the shaft is progressing to the 425-foot level and continues as dewatering occurs. This includes removing debris, replacing and adding timbers for support, adding refuge chambers, stringing lights and wiring, installing ladders, and fireproofing timbers. The Company is working closely with the federal Mine Safety and Health Administration (MSHA) to ensure safe progress of the shaft rehabilitation.
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About Wits Basin Precious Minerals Inc.
We are a minerals exploration and development company holding interests in three exploration projects and currently do not claim to have any mineral reserves on any project. Our common stock trades on the Over-the-Counter Bulletin Board under the symbol "WITM." To find out more about Wits Basin Precious Minerals Inc. (OTCBB: WITM) visit our website at www.witsbasin.com.
Forward-Looking Statements and Risk Factors
Certain statements included in this press release may constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. Such statements are valid only as of today, and we disclaim any obligation to update this information. These statements are subject to known and unknown risks and uncertainties that may cause actual future experience and results to differ materially from the statements made. These statements are based on our current beliefs and expectations as to such future outcomes. These risks and uncertainties relate to the Company and its subsidiaries, and include, among others, the ability to obtain or maintain regulatory approvals; the ability to obtain necessary financing; and other risks and uncertainties described in the Company's filings from time to time with the Securities and Exchange Commission. The Company disclaims any obligation to update its forward-looking statements.
In addition, the exploration for and development of mineral deposits involves significant financial risks, which even experience and knowledge may not eliminate, regardless of the amount of careful evaluation applied to a process. While the discovery of a mineral deposit may result in substantial rewards, few properties are ultimately developed into producing mines. Moreover, we cannot make any estimates regarding probable reserves in connection with any of our projects and any estimates relating to possible reserves are subject to significant risks. Therefore, no assurance can be given that any size of reserves or grades of reserves will be realized. If a discovery is made, the mineral deposit discovered, assuming recoverable, may differ from the reserves already discovered and recovered by others in the same region of the planned areas of exploration. Further, the cost of exploration and exploitation can be extensive and there is no assurance that we will have the resources necessary or the financing available to pursue projects we currently hold interests in or to acquire interests in other mineral exploration projects that may become available. The risks we face are numerous and detailed information regarding these risks may be found in filings made by us with the Securities and Exchange Commission, including our most recent annual report. |