Company Announcements

Drill results of up to 1.01 meters of 68.32 g/t AuEq and 0.49 meters of 111.54 g/t AuEq Highlight Potential Resource Expansion Northeast of the Current Gravel Creek Deposit

VANCOUVER, British Columbia--(BUSINESS WIRE)--Oct. 7, 2024-- Western Exploration Inc. (TSXV: WEX; OTCQX: WEXPF) (the "Company" or "Western Exploration") is pleased to announce initial assay results from its 2024 core drilling program in the Jarbidge rhyolite north-east of the Gravel Creek resource area at the Company's wholly-owned Aura gold-silver project, located in Elko County, Nevada (the "Aura Project").

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Figure 1. Jarbidge Discovery Section Cross Section, showing interpreted continuity of high-grade values along sub parallel structural zones, based on oriented core measurements in holes WG456 and WG457. The vein zones and subsidiary splays have over 20.0 g/t AuEq grades on a dip length of potentially over 200 meters (AuEq calculated at 85:1 Ag: Au; see Figure 2 below for location reference). (Graphic: Business Wire)

Highlights of 2024 Drill Program

• Four oriented core holes totaling 2,789 meters have been completed and one hole is in progress to offset the high-grade intercepts in the Jarbidge rhyolite (“Discovery Section”) (see the Company's news release dated January 08, 2024, entitled "Western Exploration Provides Update on Drilling Activities at Gravel Creek").

• Hole WG459 was drilled 80 meters north on strike from the Discovery Section and reported individual assays of up to 75.30 g/t Au and 3,080 g/t Ag, with key intercepts including:
  • 3.69 meters of 22.06 g/t AuEq (16.66 g/t Au and 458.6 g/t Ag)
  • 6.10 meters of 12.44 g/t AuEq (8.52 g/t Au and 333.5 g/t Ag)

The drill results in holes WG459 provide further definition to a set of high-grade Au-Ag bearing veins and breccias in the Jarbidge rhyolite adjacent to the Gravel Creek resource area. Assay results from additional core holes and interpretation of oriented core data will be reported in subsequent news releases.

Assay Results Support Potential for Resource Expansion

Western Exploration CEO, Darcy Marud, commented: “Western Exploration is extremely pleased with the initial results of the 2024 drill program, which intersected assay values of up to 75.3 g/t Au and 3,080 g/t Ag in hole WG459. These results support the Company's belief that high grade veins continue at least 80 meters to the north of the Discovery Section, as reported in January 2024. Oriented core drilling is still ongoing to extend the north/north-west trending vein zone and to connect with multiple high grade Au intercepts identified by wide-spaced legacy holes in an area of approximately 550 meters by 350 meters in size. The Company anticipates that these results will help support the expansion of the mineral resource at Gravel Creek.”

Multiple High-Grade Au-Ag Vein Drill Intercepts Peripheral to the Gravel Creek Deposit

Previous drilling in the Miocene Jarbidge rhyolite to the north-east of the Gravel Creek deposit intersected multiple high-grade Au-Ag bearing vein intercepts, with individual assays of up to 237.0 g/t AuEq in hole WG379 and 2,800.0 g/t Ag in hole WG456. None of these Jarbidge-hosted intercepts have been included in previous resource estimates. Oriented core drill results from the Company's 2023 drilling program provided the first set of data that the Company has used to begin linking vein intercepts, with a preliminary interpretation of vein trends shown on the Discovery Section 500N (see Figure 1below).

Four oriented core holes totaling 2,789 meters have been completed during the 2024 drill program, with hole WG462 currently in progress 160 meters north of the Discovery Section. Hole WG459 was drilled 80 meters to the north of the Discovery Section on section 580N (see Figure 2 and Figure 3 below). The hole intersected multiple quartz-pyrite marcasite-bearing veins and breccias, highlighted by an upper and lower vein/breccia/stockwork zone containing intercepts of over 60.0 g/t AuEq, surrounded by lower grade mineralization. Significant assay intercepts are summarized in Table 1 with drill hole coordinates included in Table 2. Oriented core data is being interpreted as drilling proceeds and will be reported in future news releases.

Significance for Future Gravel Creek Exploration

Result are pending for holes WGC458, WGC460 and WGC461, with hole WGC462 currently in progress. Initial results from hole WGC459 help support the extension of oriented core drilling into the 550-meter by 350-meter area to the northeast of the Gravel Creek resource within the Jarbidge rhyolite with the aim of linking multiple high grade AuEq intercepts in widely spaced legacy holes located in that area. Of note are the number of intercepts of over 10.0 g/t AuEq intersected in the farthest east/north-east drill holes, which suggests that the Gravel Creek system has not been closed off (see Figure 4 below). The 2024 drill results will be evaluated in context with legacy drilling, with the goal of defining a preliminary inferred resource to expand the Gravel Creek deposit resource base.

About the Aura Project

The 6,000-hectare Aura Project has an established mineral resource estimates in three different deposits (Doby George, Gravel Creek and Wood Gulch) (see Table 3 below), as reported in the technical report entitled "2021 Updated Resource Estimates and Technical Report for the Aura Gold-Silver Project, Elko County, Nevada" dated October 20, 2021 (with an effective date of October 14, 2021) that was prepared for the Company by Mine Development Associates (the "Technical Report"). The mineral resource estimate included in the Technical Report were prepared in accordance with the requirements of National Instrument 43-101 – Standards of Disclosure for Mineral Projects ("NI 43-101").

In addition, the Aura Project has well established infrastructure including year-round accessibility by highway and county-maintained road and nearby access to water and electricity (see Figure 5 below). Western Exploration has exploration, development, and mining rights on 930 hectares of privately owned land through a mineral lease agreement with a local landowner and may purchase those fee lands at any time for the development of Doby George.

Table 3. Mineral resource estimates for the Aura Project as reported in the 2021 Technical Report 

Notes:

(1) Au equivalent oz assumes US$1,800 per oz Au and 70:1 ratio of Ag:Au.
(2) Pit constrained 0.2 g/t AuEq cutoff for oxide, 0.4 g/t Au cutoff for mixed and 1.4 g/t Au cutoff for unoxidized.
(3) Pit constrained 0.2 g/t AuEq cutoff.
(4) 3.0 g/t Au cutoff.

About Western Exploration

Western Exploration is focused on advancing the 100% owned Aura Project, located approximately 120 kilometers/75 miles north of the city of Elko, Nevada. The Aura Project includes three unique gold and silver deposits: Doby George, Gravel Creek, and Wood Gulch. Western Exploration is comprised of an experienced team of precious metals experts that aim to lead the company to becoming North America's premiere gold and silver development company.

Additional information regarding Western Exploration and the Aura Project can be found on the Company's website and on SEDAR+ (www.sedarplus.ca) under the Company's issuer profile. For more information please contact:

Qualified Person Approval

The scientific and technical content in this news release has been reviewed and approved by Mark Hawksworth, General Manager of the Western Exploration's Aura Project, who is a "qualified person" within the meaning of NI 43-101.

Quality Assurance – Quality Control

Drill program design, Quality Assurance/Quality Control ("QA/QC") and the interpretation of results is performed by qualified persons employing a QA/QC program consistent with NI 43-101 and industry best practices.

Drill core samples were delivered by Major Drilling to Western Exploration's warehouse/logging facility in Mountain City and washed, photographed and logged by company geologists. Sample intervals were marked and recorded. Quality control (QC) samples were inserted at regular intervals in the sample stream with all sample shipments, including blanks, core duplicates and reference materials, to monitor laboratory performance. Core was kept in the secure Mountain City facility until transported for assay.

Drill core samples were transported by Neilsen Exploration to ALS Chemex located in Sparks, Nevada, for sample preparation and analysis. Core was sawed at the ALS facility, with ½ prepared for assay and ½ core preserved and returned to Western’s Mountain City facility. Samples were analyzed for gold using ALS Chemex fire assay procedure Au-AA13, with over limits being analyzed by Au_GRA21. Samples were analyzed for silver and a 40-element suite using ALS Chemex procedure ME-ICP41, with over limits being analyzed by Ag_GRA21. Split core, all pulps and select rejects are returned to Mountain City for secure long-term storage.

Oriented core data was collected following methodology established by Oriented Targeting Solutions. Oriented Targeting Solutions compiled data in Access and completed the first pass interpretation utilizing Leapfrog software.

Please see below under the heading "Cautionary Note Regarding Forward-Looking Information" for further details regarding the risks facing Western Exploration.

For additional information on the Aura Project, please see the Technical Report, which has been prepared in accordance with the requirements of NI 43-101, a copy of which is available on SEDAR+ (www.sedarplus.ca) under Western Exploration's issuer profile and on Western Exploration's corporate website (www.westernexploration.com).

Cautionary Statements Regarding Estimates of Mineral Resources

This news release uses the terms measured, indicated and inferred mineral resources as a relative measure of the level of confidence in the resource estimate. Readers are cautioned that mineral resources are not mineral reserves and that the economic viability of resources that are not mineral reserves has not been demonstrated. The mineral resource estimate disclosed in this news release may be materially affected by geology, environmental, permitting, legal, title, socio-political, marketing or other relevant issues. The mineral resource estimate is classified in accordance with the Canadian Institute of Mining, Metallurgy and Petroleum's "CIM Definition Standards on Mineral Resources and Mineral Reserves" (CIM) incorporated by reference into NI 43-101. Under NI 43-101, estimates of inferred mineral resources may not form the basis of feasibility or pre-feasibility studies or economic studies except for preliminary economic assessments. Readers are cautioned not to assume that further work on the stated resources will lead to mineral reserves that can be mined economically.

Inferred mineral resources have a great amount of uncertainty as to their existence and as to whether they can be mined legally or economically. On October 31, 2018, the SEC adopted new mining disclosure rules ("S-K 1300") that are more closely aligned with current industry and global regulatory practices and standards, including NI 43-101, although there are some differences in the two standards. Accordingly, information concerning mineral deposits contain in this release may not be comparable with information made public by U.S. companies that report in accordance with S-K 1300.

Cautionary Note Regarding Forward-Looking Information

This news release may contain "forward-looking information" and "forward-looking statements" within the meaning of the applicable Canadian and United States securities legislation (collectively, "forward-looking statements"). These forward-looking statements, by their nature, require the Company to make certain assumptions and involve known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such forward-looking statements. Any statement that involves predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or performance (often, but not always, using phrases such as "expects", or "does not expect", "is expected", "interpreted", "management's view", "anticipates" or "does not anticipate", "plans", "budget", "scheduled", "forecasts", "estimates", "potential", "feasibility", "believes" or "intends" or variations of such words and phrases or stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur or be achieved) are not statements of historical fact and may be forward-looking statements and are intended to identify forward-looking statements. This news release contains the forward-looking statements pertaining to, among other things: the significance of the results of the 2023 drill program; the accuracy of results from prior exploration activities conducted at the Aura Project; the key assumptions, parameters and methods used to estimate the mineral resource estimate disclosed in this news release; the prospects, if any, of the Doby George, Wood Gulch and Gravel Creek mineral deposits; the potential to greatly expand resources within the Gravel Creek mineralized system; future drilling at the Aura Project; the significance of historic exploration activities and results; the ability to expand the existing mineral resources at the Aura Project. Such factors include, among others, risks relating to the ability of exploration activities (including drill results) to accurately predict mineralization; errors in management's geological modelling; the ability of Western Exploration to complete further exploration activities, including drilling; property and royalty interests in respect of the Aura Project; the ability of the Company to obtain required approvals; the results of exploration activities; risks relating to mining activities; the global economic climate; metal prices; dilution; environmental risks; and community and non-governmental actions. Although the forward-looking information contained in this news release is based upon what management believes, or believed at the time, to be reasonable assumptions, Western Exploration cannot assure shareholders and prospective purchasers of securities of the Company that actual results will be consistent with such forward-looking information, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither Western Exploration nor any other person assumes responsibility for the accuracy and completeness of any such forward-looking information. Western Exploration does not undertake, and assumes no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect new events or circumstances, except as may be required by law.

For additional information with respect to these and other factors and assumptions underlying the forward‐looking statements and forward-looking information made in this news release concerning Western Exploration, see the management information circular dated November 12, 2021, and the Company's most recent annual and interim financial statements and related management's discussion and analysis, which are available under Western Exploration's issuer profile on SEDAR+ (www.sedarplus.ca). The forward-looking statements set forth herein concerning Western Exploration reflect management's expectations as at the date of this news release and are subject to change after such date. Western Exploration disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, other than as required by law.

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 news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241007038489/en/

Darcy Marud
Chief Executive Officer
Telephone: (775) 329-8119
Email: dmarud@westernexploration.com

Nichole Cowles
Investor Relations
Telephone: 775-240-4172
Email: nicholecowles@westernexploration.com

Source: Western Exploration Inc.