January 17, 2008
ATW Venture Corp (ATW: TSX-V) (Frankfurt: A3N), (“ATW” or “the Company”), is pleased to announce that the Company’s 43-101 compliant technical report (the “Report”) on the Burnakura Gold Mine has been filed on SEDAR at www.sedar.com. Readers are cautioned to review the Report in its entirety for details relating to the various resources described below.
The Report notes that the Burnakura Gold Mine is located 50 km south of the town of Meekatharra in the state of Western Australia, Australia. It comprises a currently closed underground gold mine (NOA 2 Underground), and a number of open pits that have been mined over a period extending from the 1930’s to 2006. Gold production from the Burnakura area has been in the order of 1.8 million tones at an average grade of 3.7 grams per tonne (gpt) for 216,000 ounces of gold from the start of records, up to and including cessation of activities at the NOA 2 underground mine on 31 December 2006. Approximately 185,000 tonnes at an average grade of 7.1 gpt for 42,289 ounces have been mined during the recent Tectonic Resources NL and Extract Resources NL joint venture operational period.
The primary focus of the Report’s review was in the area of the NOA 2 underground mine which has a total stated Measured and Indicated Mineral Resource of 236,946 tonnes at an average grade of 8.28 gpt for 61,135 ounces.
The Report also states that potential remains at the NOA 7 and 8 pits further to the north where a total stated Indicated Mineral Resource of 329,920 tonnes at an average grade of 4.75 gpt for 60,005 ounces has been defined through surface drilling. The Alliance pit to the south of NOA 2 has in addition, a total estimated Indicated Mineral Resource of 253,593 tonnes at an average grade of 3.26 gpt for 26,608 ounces defined through surface drilling. A minor amount of the drilling data is not fully validated and this has resulted in a prudent decision to report no Measured Resources for the Alliance and the NOA 7 and 8 pit areas.
The Report further states that the property contains a significant amount of Inferred Mineral Resources defined within the remainder of the property. These resources total approximately 3.2 million tonnes at an average grade of 2.81 gpt for 170,200 ounces of gold. Of these, a significant number are small zones of mineralization and their mode of occurrence is not entirely clear, however they are often relatively predictable with respect to overall extent and distribution. The areas surrounding the Federal City, Authaal and Lewis pits show significant mineralization zones located adjacent to or directly below the old open pits.
In addition, the Report discusses historical estimates and JORC based estimates prepared by the previous owners of the Burnakura Gold Mine and notes in section 18 that “the report and estimates prepared by Tectonic at mine closure on December 31, 2006 for the NOA 7 and 8 are not NI 43-101 compliant…(and)….do not have sufficient background data to support the classification of resources as Measured or Indicated as historically quoted and as such do not conform to CIM Guidelines.”
The database used to compile the mineral resource estimates contains data from approximately 14,700 drill holes resulting from various diamond, RC, RAB and underground drilling campaigns from the late 1980s to 2006. The database specifically contains drill hole collar positions, survey information, assay results and lithological rock codes. Data used in the estimation of the resources as quoted in the report was derived from this database. For the three computer generated block models (NOA 2, NOA 7 & 8, Alliance), only the diamond and RC holes were used while some RAB holes were used in the polygonal estimation of the remaining resources within the area. Where these RAB holes were used, all resources were classified as an inferred resource.
In addition, all known aspects related to data verification, mineral resource and mineral reserve estimation and classification and the effective modifying factors employed were also reviewed by Ravensgate. The rigorous review carried out on the resources entailed independent generation of block models for the NOA 2 underground mine, the NOA 7 and 8 deposits, and also the Alliance deposit. The Inferred Mineral resource estimate is based on verification of the data used in the polygonal estimation and a review of the calculation method in conjunction with Company geological personnel, according to JORC (December 2004).
For the three areas that have 3-D geological and resource block models constructed, the methodology of generating the wireframes to constrain the mineralized horizons is similar. The wireframe solids were constructed by digitising ore boundaries in the form of polygons by snapping to the drill holes in cross section. The orebodies were closed out along strike to a maximum distance of 20m. The orebodies were further constrained to a maximum distance of 20m from the nearest sample up dip while down dip, the orebodies were extended based on their perceived geological continuity. Isolated occurrences of mineralization other than the quoted or known extensions do occur and ore zone shells have been extended where the geological continuity is considered to be of appropriate confidence.
In the NOA 2 deposit, the orebody wireframes approximate a 2.5 g/t lower cut-off. In the Alliance and the NOA 7 and 8 orebody, the wireframes approximate a 1.0 g/t lower cut-off. Occasional drill holes at lower than these grades are included for the sake of defining the orebody shell. Additionally, all the wireframes constructed on the ore bodies are based on a minimum drill width intersection of 2.0m.
The polygonal estimates for the remainder of the Burnakura Project area have been based upon a 0.7 g/t lower cut-off and a top cut value of 30.0 g/t. The polygons have been further constrained by limiting them to a minimum width of 2.0m and to within 100m of the topographical surface. Polygons were constructed in 2-dimensional space by digitising interpreted ore boundaries in cross section utilising SURPAC computer software. The grades within the polygons were determined by length weighting the intersections occurring within the polygons with the grade field. These weighted values were then averaged to arrive at an average value for each polygon.
A number of the cross sections were viewed at the previous owners’ head offices and calculations checked. In all cases the grades associated with the polygonal estimates were able to be reproduced from the drill hole data used.
Stephen James Hyland BSc, MAusIMM, CIM, GAA is the qualified person under National Instrument 43-101 who is responsible for compilation and verification of all sections of the Report. Brent Butler, President and CEO of ATW Venture Corp. is a qualified person under National Instrument 43-101 and has reviewed the contents of this news release.
The Company intends to announce shortly a drill program which would be intended to delineate deeper mineral resources, if any, around the major open pits for underground exploitation and would, in particular, review and further delineate or define the Reports comments on the NOA 7 and 8 pits.
For more information, please visit the company website at www.atwventure.com or contact Luke Norman at 604 662-8184.
ATW VENTURE CORP.
“Brent Butler”
Brent Butler
President & CEO
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