West Kirkland Extends Agreement With Rubicon Minerals

 

VANCOUVER, BC - West Kirkland Mining Inc. has entered into an amending letter agreement with Rubicon whereby it will be able to defer exploration expenditures due to be spent on the 350 square miles (909 square kilometers) which the Company has optioned from Rubicon Minerals Corporation in Nevada.

West Kirkland has made new discoveries of surface oxide gold mineralization on the optioned properties and the Amendment allows time for the resource market to improve so that further work can be funded. The Rubicon Option is an important asset for West Kirkland and holding costs for this large land position, other than the earn-in expenditures, is minimal.

Under the terms of the Amendment, West Kirkland now has until December 31, 2014 to complete the second year expenditures of $3,000,000 on the properties and until December 31, 2016 for final Phase I expenditures. To date, the Company has spent $2,000,000 to satisfy the first year expenditures and $900,000 towards the second year expenditures. As compensation for the revised expenditure periods, the Company has agreed, subject to regulatory approval, to issue 1,000,000 common shares of the Company to Rubicon.

The Amendment allows for a large consolidated land position to be maintained by West Kirkland in a highly prospective area along strike from the Long Canyon gold deposit. The Long Canyon deposit was the core asset of Fronteer Gold Inc., which was acquired by Newmont Mining Corp.

West Kirkland entered the Long Canyon trend through an option agreement with Fronteer, just prior to Newmont's acquisition of Fronteer. As a result of the option agreement with Fronteer, and in addition to West Kirkland's interests under the Rubicon Option, the Company is forming a joint venture with Fronteer under which the Company will hold a 60 percent interest in the TUG Deposit.

TUG has an NI 43-101 compliant resource containing an Indicated resource of 4,846 million tones at 0.84 g/t Au and 40.4 g/t Ag and an Inferred resource of 4,400 million tones at 0.79 g/t Au and 30.3 g/t Ag (see TUG Resource and PEA news release dated August 1, 2013 and technical report filed on SEDAR September 13, 2013). West Kirkland has met it's earn in requirement on the TUG Deposit, with the remaining 40 percent being held by Fronteer, a subsidiary of Newmont under terms of the pending joint venture agreement.

As announced in the Company's April 25, 2013 News release the Company has identified a 4,000 foot alteration system with gold-silver mineralization on the property.

Future drilling on 12 Mile will target this alteration system where it is cut by Long Canyon trend structures. To date, the Company has drilled 14 holes on the property.