HY LAKE GOLD INC. (CNSX: HYL) is pleased to announce that it has finalized the purchase of the Golden Tree Property pursuant to the terms of the Letter of Agreement dated March 5, 2007 (see news release dated March 5, 2007) and the additional claims, known as the Pipestone Bay Property, pursuant to the terms of the Letter of Agreement dated October 11, 2007 (see news release dated November 14, 2007). Under the terms of the Agreements, Hy Lake Gold has earned a 100% interest in an eleven-claim property package in the Ball and Todd Townships / Hammell Lake areas of the Red Lake Mining District. The claims are contiguous with the Company’s Mount Jamie Mine, Rowan Lake Mine and Hy Lake- Rubicon properties.
In addition, Hy Lake Gold has staked and recorded a 100% interest in a six-claim property package in Ball Township / McIntosh Lake area. The claims, know as the West Pipestone Property, cover a 512 hectare area to the west of Pipestone and Biron Bays and adjoin the Halo Resources/Goldcorp Joint Venture property to the south. Since the 1930s the property has seen limited exploration for gold and base metal mineralization. The most recent work was done by Redstar Gold Corporation in 2002-2003. The area is underlain primarily by folded and faulted quartz and feldspar crystal tuffs and/or flows, with minor mafic and iron formation units, and lesser ultramafic volcanic rocks. Mineralization consists of pyrite, pyrrhotite, chalcopyrite, sphalerite, galena, scheelite, native copper and visible gold in quartz veins with sulphidized iron formations and mineralized wall rock at the vein margins. Several gold showings with significant values (up to 22.7 g/t Au) have been discovered on the property. Some of these were found in areas of existing pits and trenches excavated during the Red Lake Gold rush of the 1930s. West Pipestone is a highly prospective property for gold mineralization and has the potential to host several economically significant gold deposits. Hy Lake Gold believes the property offers several priority targets for future exploration drilling.
“Hy Lake Gold is extremely pleased to have further increased its property position in West Red Lake”, commented Robert Seitz, President and CEO. “The acquisition of the Golden Tree Property gives the company unimpeded exploration access from the Mount Jamie Mine No. 2 Shaft, through the Rowan Lake Mine, to the Red Summit Mine site. We are planning a significant drilling program at the Golden Tree property as we continue to confirm the gold mineralization continuity between the Mount Jamie Mine and the Rowan Lake Mine. We are also pleased to have been able to acquire the West Pipestone claims as we look to further consolidate the West Red Lake Trend along the Pipestone Bay/St. Paul Bay Deformation Corridor”.
About Hy Lake Gold Inc.
Hy Lake Gold Inc. is a Toronto-based mineral exploration company focused on gold exploration and production development in the prolific Red Lake Mining District of Northwestern Ontario, Canada. Hy Lake Gold has assembled several significant property packages totalling approximately 3,500 hectares in the west end of the Red Lake Gold Camp. The properties cover a 12 kilometre distance along the West
Red Lake Trend, containing 3 former producing gold mines, and the Company continues to explore these properties both along strike and at depth. To find out more about Hy Lake Gold Inc. (CNSX: HYL) visit our website at www.hylake.com.
Shares Issued: 43,789,148
Mr. Robert B. Seitz, President & C.E.O.
This release contains forward-looking statements, including predictions, projections and forecasts. Forward-looking statements include, but are not limited to, statements with respect to exploration activities and results (including the timing of results), the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, timing and possible outcomes of any pending litigation and timing and results of future resource estimates or future economic studies, and in particular include statements with respect to the timing of the reporting of drilling results at Rowan Lake and the other properties. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “planning”, “planned”, “expects”, or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”, anticipate”, “does not anticipate”, or “belief”, or describes a “goal” or variation of such phrases or state that certain actions, events or results “may”, “could”, “would”, or “will” be taken, occur or be achieved.
Forward-looking statements are based on a number of material factors and assumptions, including the result of drilling and exploration activities, the expected geological conditions or formations are not located, that contracted parties provide goods and/or services on the agreed timeframes, that the equipment necessary for the exploration is available as scheduled and does not incur unforeseen break downs, that no labour shortages or delays are incurred, that plant and equipment function as specified, that no unusual geological or technical problems occur, and that laboratory and other related services are available and perform as contracted.
Forward-looking statements involve known and unknown risks, future events, conditions, uncertainties and other factors which may cause the actual results, performance or achievements to be materially different from any future results, prediction, projection, forecast, performance or achievements expressed or implied by the forward-looking statements. Such factors include, among others, the interpretation and actual results of current exploration activities; changes in project parameters as plans continue to be refined; future prices of gold; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration. Although Hy Lake has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward- looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurances that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements.