Wesdome Announces Extension of Exploration Ramp at Kiena Deep A Zone Based on Continued High Grade Drilling Results and Expansion of Zone

TORONTO, July 17, 2018 (GLOBE NEWSWIRE) -- Wesdome Gold Mines Ltd. (TSX:WDO) (“Wesdome” or the “Company”) today announces additional high grade results from the Kiena Deep A Zone, and plans for additional underground ramp development to test the on strike and down dip potential that remains open.

New drilling results from seven drill holes continue to return high grade values from multiple zones comprising the Kiena Deep A Zone. The new holes support the northern and southern extensions of the mineralization beyond a 350 metre strike length as identified by previous drilling announced in a news release dated June 26, 2018. Highlights of the new drilling are listed below and summarized in Table 1.

Highlights:

Kiena Deep A Zone

• Hole 6325: 138.0 g/t Au over 13 m core length (16.4 g/t Au cut, 8.1 m true width)
• Hole 6317: 17.8 g/t Au over 10.4 m core length (5.3 g/t Au cut, 10.4 m true width)
• Hole 6326: 37.0 g/t Au over 3.6 m core length (7.0 g/t Au cut, 3.6 m true width)
• Hole 6332: 58.3 g/t Au over 3.8 m core length (12.2 g/t Au cut, 2.4 m true width)

All assays cut to 34.28 g.t Au. True widths are estimated.

Following the continued success of the ongoing diamond drill program in the Kiena Deep A Zone, the Company announces it will extend the current exploration ramp by 450 metres at a cost of $2.4M. The additional development is planned to be completed early in Q4 and is required to explore the possible plunge extension of the Kiena Deep A Zone to the northwest, southeast and down dip. The new development will allow diamond drilling to be completed from a more optimal direction (i.e. to the northwest) to intersect the steeply plunging zone to the southeast and provide drilling platforms that will allow definition drilling in the central area of the Kiena Deep A Zone. The enhanced drill platforms will also facilitate the drilling of several step out exploration holes to illustrate the potential expansion of the zone.

Mr. Duncan Middlemiss, President and CEO commented, “Following the continued success of the Kiena Deep A Zone underground drilling program, we have decided to immediately extend drill drifts located off of the ramp by 450 metres, in order to effectively test the size of this deposit, and complete infill drilling more quickly. The planned 104 and 105 drift extensions are favourably located in an area to commence mining and development of the possible up plunge extension of the A Zone in any restart scenario. The 102 and 104 drifts will be developed first, and diamond drilling will commence from these platforms once completed. A fourth drill will then be moved from the VC Zone to the Kiena Deep A Zone in late Q3. The cost of the ramp extension will be funded internally, without material increases to the 2018 budget. We remain committed to developing a resource estimate in the fourth quarter and this development will greatly aid our understanding of this exciting discovery.”

In particular, the 104 and 105 drift extensions will provide an opportunity to further explore the northwest sector of the Kiena Deep A Zone and follow up on hole 6146 that intersected 6.63 g/t over 11.0 metres from a zone located over 150 metres to the northwest of our current drilling and could represent the up plunge extension of the A Zone. This mineralization is located almost 50 metres higher in elevation than the current ramp development. Additionally, the Bay 4 and 102 extension drifts will provide an excellent opportunity to extend the gold mineralization on the southeast side of the 103 drift and to follow up on hole 6299 that intersected multiple zones and returned 77.4 g/t Au over 14.4 metres and remains open to the southeast down plunge (See news release dated May 17, 2018).

TECHNICAL DISCLOSURE

The technical and geoscientific content of this release has been compiled, reviewed and approved by Bruno Turcotte, P.Geo., (OGQ #453) Senior Project Geologist of the Company and a "Qualified Person" as defined in National Instrument 43-101 -Standards of Disclosure for Mineral Projects.

Analytical work was performed by Techni-Lab (ActLabs) of Ste-Germaine-Boule (Quebec), a certified commercial laboratory (SCC Accredited Lab #707). Sample preparation was done at Techni-Lab (ActLabs) in Val d'Or (Quebec). Assaying was done by fire assay methods and all samples with visible gold were assayed by metallic sieve method at Techni-Lab (ActLabs) laboratory in Ste-Germaine-Boule (Quebec). In addition to laboratory internal duplicates, standards and blanks, the geology department inserts blind duplicates, standards and blanks into the sample stream at a frequency of one in twenty to monitor quality control.

ABOUT WESDOME

Wesdome Gold Mines has had over 30 years of continuous gold mining operations in Canada. The Company is 100% Canadian focused with a pipeline of projects in various stages of development. The Eagle River Complex in Wawa, Ontario is currently producing gold from two mines, the Eagle River Underground Mine and the Mishi Open pit, from a central mill. Wesdome is actively exploring its brownfields asset, the Kiena Complex in Val d’Or, Quebec. The Kiena Complex is a fully permitted former mine with a 930-metre shaft and 2,000 tonne-per-day mill. The Company has further upside at its Moss Lake gold deposit, located 100 kilometres west of Thunder Bay, Ontario. The Company has approximately 134.2 million shares issued and outstanding and trades on the Toronto Stock Exchange under the symbol “WDO”.

For further information, please contact:

Duncan Middlemiss                                      or                          Lindsay Carpenter Dunlop

President and CEO                                                                    VP Investor Relations

416-360-3743   ext. 29                                                               416-360-3743   ext. 25

                                                    

220 Bay St., Suite 1200

Toronto, ON, M5L 1E9

Toll Free: 1-866-4-WDO-TSX

Phone: 416-360-3743, Fax: 416-360-7620

Website:

This news release contains “forward-looking information” which may include, but is not limited to, statements with respect to the future financial or operating performance of the Company and its projects. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Forward-looking statements contained herein are made as of the date of this press release and the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. The Company undertakes no obligation to update forward-looking statements if circumstances, management’s estimates or opinions should change, except as required by securities legislation. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements. The Company has included in this news release certain non-IFRS performance measures, including, but not limited to, mine operating profit, mining and processing costs and cash costs. Cash costs per ounce reflect actual mine operating costs incurred during the fiscal period divided by the number of ounces produced. These measures are not defined under IFRS and therefore should not be considered in isolation or as an alternative to or more meaningful than, net income (loss) or cash flow from operating activities as determined in accordance with IFRS as an indicator of our financial performance or liquidity. The Company believes that, in addition to conventional measures prepared in accordance with IFRS, certain investors use this information to evaluate the Company's performance and ability to generate cash flow.

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