Western Pacific Resources Corp. - Clarification and retraction of previously issued technical disclosure
VANCOUVER, March 22, 2013 /PRNewswire/ - Western Pacific Resources Corp. ("Western Pacific" or the "Company") (TSXV: WRP) announces that, as a result of a review by the British Columbia Securities Commission, the Company is issuing this news release to revise and clarify certain of its previous technical disclosure. In those instances where the Company has clarified or revised previous disclosure, the Company advises readers not to rely on such statements as they may continue to be found in the public domain.
The Company posted to its website links to certain third-party articles/reports that mentioned technical disclosure which was not compliant with National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). Specifically, the Company posted the following links to its website: (i) Jay Taylor's Energy and Tech Stocks Weekly Hotline Message dated November 9, 2012 (the "Taylor Report"), (ii) a Hera Research article dated October 22, 2012 (the "Hera Article"), (iii) an editorial by Lawrence Roulston, extracted from the October 2012-1 Issue of Lawrence Roulston's Resource Opportunities (the "Roulston Article") and (iv) David Scarica's Gold Stock Advisor Vol. 5, Issue 1, dated January 2013 (the "Scarica Article" and collectively with the Taylor Report, the Hera Article and the Roulston Article, the "Reports").
The Reports contained statements of historical gold resources and reserves estimates on the Company's Mineral Gulch Property. The Reports were not compliant with NI 43-101 for the reasons that follow. The Taylor Report and the Hera Article disclosed historical estimates not accompanied by mandatory cautionary language always required by NI 43-101 in connection with disclosure of a historical resource or reserve estimate. The Roulston Article and the Scarica Article disclosed significant gold-ounce quantities as current reserves. These disclosures are not compliant with NI 43-101 and failed to designate quantities as historical in nature.
The Company retracts the foregoing disclosure regarding resources and reserves on the Mineral Gulch Property as they are both unsupportable and not NI 43-101 compliant. The Company has retracted all the above estimates and has removed the links to the Reports from its website.
In addition to the above deficiencies, in the Company's October 10, 2012 news release (the "October News Release"), Management Discussion and Analysis for the period ended November 30, 2012 (the "November MD&A") and a fact sheet (the "Fact Sheet") posted on the Company's website, the Company reported a conceptual target on the Mineral Gulch Property including ranges in tonnage, ounces of gold, and grades of gold. The disclosure in not compliant with NI 43-101 because it does not provide mandatory cautionary language required by NI 43-101 for estimates of potential exploration targets. Further, the disclosure failed to disclose sampling of leach pad material which would be required to form a basis for gold grade estimates. The October News Release also disclosed the initiation of an economic evaluation of a potential exploration target on the heap leach pad at the Mineral Gulch Property. This type of disclosure (without a current resource estimate) is not compliant with NI 43-101.
The Company retracts the foregoing disclosure regarding the conceptual target and the initiation of an economic analysis on the Mineral Gulch Property. The Company has removed the Fact Sheet from its website and will amend the November MD&A to reflect the revised disclosure.
Lastly, the Company's news release dated February 26, 2013 (the "February News Release") and presentation entitled "Deer Trail Mine: Feb 2013" (the "Corporate Presentation") make reference to the words "ore" and "orebody". The terms "ore" and "orebody" implies technical feasibility and economic viability that should only be attributed to mineral reserves. Given that there are no reserves associated with the Deer Trail Mine the use of the words "ore" and "orebody" is not compliant with NI 43-101 and the Company retracts the same. The February News Release and Corporate Presentation also make reference to a 12 to 18 month target for commencing production. As the Company does not have a resource estimate for the Deer Trail Mine the Company retracts such disclosure. The Company has removed the Corporate Presentation from its website.
The Company will promptly disclose any material mineral resource estimate it receives for the Mineral Gulch Property or Deer Trail Mine and file a supporting technical report therefor.
Clancy Wendt, M.Sc., a registered geologist in Arizona and British Columbia and a member of SME, SEG FAusIMM(CP) and PDAC, is Western Pacific's Qualified Person for the purposes of NI 43-101. Mr. Wendt has approved the disclosure of the scientific and technical information contained in this news release.
About Western Pacific
Western Pacific is a resource company transitioning into a polymetallic producer. Western is focused on advancing a strong portfolio of advanced-stage projects in the Western United States, including the permitted Deer Trail Mine, Piute County, Utah. Dedicated to achieving profitable production, Western's team is led by technical and financial experts who aim to succeed in creating shareholder value. For more information, please visit our website at www.westernpacificresources.com.
ON BEHALF OF THE BOARD
Warwick Smith, Chief Executive Officer
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this news release.
This news release contains forward-looking information, which involves known and unknown risks, uncertainties and other factors that may cause actual events to differ materially from current expectation. Important factors - including the availability of funds, the results of financing and exploration activities, the interpretation of drilling results and other geological data, risks associated with the estimation of mineral resources and the geology, grade and continuity of mineral deposits, project cost overruns or unanticipated costs and expenses that could cause actual results to differ materially from the Company's expectations are disclosed in the Company's documents filed from time to time on SEDAR (see www.sedar.com). Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Western Pacific Resources Corp.