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ATW Gold Corp

ATW Gold secures financing to increase gold production in Australia

It has been a reasonably good run for gold companies as gold continued to inch up in response to the US dollar weakness. Gold companies have taken numerous steps to increase their production.  However, only those with sound investment cases have been successful in securing finances to fund their expansion endeavours.

The recent success by Canadian Venture listed ATW Gold Corp (TSX.V: ATW) in closing US$10 million loan and Production Marketing agreement with Red Kite Exploration Fund Limited therefore ushers confidence in its 100% owned Burnakura gold mine. Proceeds of the loan will be used to increase production at Burnakura, for exploration to increase resources and reserves at Burnakura and for general working capital.  

Located in the West Yilgarn goldfields of Western Australia, the Burnakura Gold Mine consists of 58.8 square km of mining leases and prospecting licenses, a fully permitted 160,000 tonne per annum (440 tpd) CIL gold plant, rolling stock, underground equipment, workshops, office space and a 90 man camp.  The project covers 12km of prospective strike length along a major auriferous shear zone and mesothermal gold system.  ATW expects production from the Burnakura Gold Mine to be 35,000 oz gold per annum.

In addition to Burnakura, ATW has Gullewa goldmine 300km south west Burnakura Gold Mine. The Project includes a total of 756 km2 of mineral tenements that cover the prospective central and southern portions of the Gullewa Greenstone Belt and include the Gullewa Mining Centre, the Deflector Deposit, the Prince George Mine, the Michaelangelo and Monarch Prospects. Mining infrastructure assets of Gullewa include a turn-key gold operation with a Carbon-In-Leach plant capable of up to 300,000 tpa (tonne per annum) gold production, a licensed tailings disposal facility, a 50-person camp, offices, workshops, bore fields and haulage roads. The site is currently on care and maintenance.
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Graham Harris, Chairman of ATW Gold Corp. commented, "ATW is pleased to have completed this arrangement with Red Kite Exploration Fund Limited. This capital provides us with the ability to expedite production and mine life increase at Burnakura in a non-dilutive manner. We anticipate updating shareholders on our expansion progress shortly."

About ATW Gold Corp.
ATW Gold Corp is engaged in a gold producing company with assets in Western Australia. Its flagship project Burnakura project has 400,000 oz gold JORC resource and has an annual production target of 35,000 oz gold. In addition ATW owns Gullewa Gold Mine and the Gunbarrel Project.