VANCOUVER - GOLDCORP has agreed to buy a 10% stake in WOLFDEN RESOURCES of Thunder Bay, Ontario. Goldcorp will acquire 6.0 million shares of Wolfden at $3.60/share for total proceeds of $21.6 million. Half of the shares will be common stock and the remainder flow-through shares.
Goldcorp intends to provide assistance to Wolfden in arranging financing for the development of its 100%-owned High Lake project in Nunavut. This is one of the largest and highest-grade undeveloped polymetallic deposits in North America. At the beginning of 2005 Wolfden released figures indicating the deposit contains 14.3 million tonnes of indicated resources at a copper equivalent (CuEq) of 4.7% plus another 1.3 million tonnes of inferred resources at 3.29% CuEq. Wolfden has purchased the mineral processing plant from the closed Nanisivik mine and plans to move it to High Lake.
Wolfden holds several advanced-stage projects including two in the Red Lake gold district where Goldcorp operates its Red Lake gold mine. Wolfden is currently drilling on its 100%-owned Bonanza gold project, which is located approximately 3.5 km to the east of the Red Lake mine. Wolfden also owns 50% of the East Bay gold deposit, located in the north part of the Red Lake greenstone belt.
Visit www.WolfdenResources.com for details and drill section maps from High Lake.