KWG NEWS OUT

KWG RECEIVED ASSESSMENT WORK APPROVAL FOR MINING CLAIMS, SAMPLES TO BE DONATED TO ONTARIO GEOLOGICAL SURVEY

Symbol on TSX Venture Exchange:	KWG
Shares issued and outstanding:	632,828,941

 

MONTREAL, March 21 /CNW/ - The wholly-owned subsidiary of KWG Resources Inc. (TSXV: KWG), Canada Chrome Corporation has filed five years' worth of assessment work on almost all of its mining claims that make up its 328 kilometer corridor which is a prospective route to construct railroad ore-haulage infrastructure. If approved and applied as credits to the claim blocks, Canada Chrome Corporation will have sufficient assessment work to apply for 21-year mining leases on those blocks. A previous filing made in late 2010 was approved by the Ministry of Northern Development, Mines and Forestry and became final on March 15, 2011 thereby securing tenure in many of the claims.

Canada Chrome Corporation staked the claims and engaged Golder Associates to conduct a geotechnical sampling program last year. As a result of this program $7.7 million of assessment work is included in the new filing. Soil profile samples were taken from 811 hollow stem boreholes at regular intervals over the 328 kilometer study corridor. KWG has made arrangements to donate the 5,906 samples collected to the Ontario Geological Survey with whom it is presently consulting on the protocols for a heavy minerals analysis of the glacial till section encountered at the bottom of most of the boreholes.

The data generated by the Golder program is now being incorporated into the railroad engineering model, for completion of a pre-feasibility study by Krech Ojard & Associates, the railroad engineering firm engaged by KWG.