Wayside hits gold in BC Vein

Vancouver — International Wayside Gold Mines (IWA-V) has intersected a high-grade gold interval in the hangingwall of the BC Vein on its Cariboo property, near Wells, B.C.

Hole 20 was drilled at the northwestern end of the BC Vein structure on the hangingwall side of the Goldfinch fault. Wayside designed the hole to intersect the vein 140 ft. northwest of hole 18 (1.2 ft. grading 0.304 oz. gold per ton and 15.5 ft grading 0.212 oz. gold). Hole 20 intersected 27.1 ft grading 0.233 oz. gold per ton, starting at a down-hole depth of 254.3 ft. This intersection was hit 11.7 ft. into the magnetite siltstone and sandstone unit that represents the hangingwall of the BC Vein.

The junior drilled another hole, no. 21, from the same drill pad at a steeper inclination (minus 80). In addition, hole 22 was drilled 2,000 ft. farther east. Assays are still pending for both holes. At last report, International Wayside was drilling hole 23, about 400 ft. northwest of holes 20 and 21.

On-site geologists believe there may be another mineralized intersection in hole 20, between 80 and 120 ft above the BC Vein. Their conclusion is based on anomalous sludge assays, quartz veining and increased pyritic and potassic alteration in the target rocks. As a result, this interval of the core will be re-assayed utilizing metallic screening techniques. In addition, Wayside will collar a shallow drill hole to retest the area around hole 20, just in case the original hole caught the edge of the mineralized zone that showed up in the sludge results and not the core assays.

Since 1933, the Cariboo camp has produced a total of 1.2 million oz. gold from three different underground mines: the Cariboo Gold-Quartz mine, the Mosquito Creek mine and the Island Mountain mine. The Cariboo gold mine closed in 1957 without fully exploring the potential for replacement-style mineralization in the current area of activity, south of Jack-of-Clubs Lake.

In other news, Wayside has signed an agreement with Yorkton Securities to issue 1.75 million units at 60 each, for gross proceeds of $1.05 million. The money will be put toward its Cariboo gold project.

Each unit consists of three flow-through shares, three flow-through warrants, as well as one common share and warrant that are not flow-through. Two flow-through warrants entitle the owner to buy one additional flow-through share at 25. One non flow-through warrant will entitle the owner to purchase one non-flow-through share at 25. Both warrants are valid for one year after the closing date of the agreement.