Vancouver, B.C. Redstar Gold Corp. (TSX.V: RGC): ("Redstar" or the "Company") is pleased to announce additional high-grade gold results from the 2012 diamond drill program at the Newman Todd property in Red Lake, Ontario.
Highlights: (see Table 1 for significant results)
- Hole NT-120 intersects 1.0 metres of 16.30 g/t gold including 0.5 metres of 21.30 g/t gold which is one of four > 10 g/t intercepts in this hole.
- Hole NT-126 intersects 5.0 metres of 5.32 g/t gold including 1.0 metre of 21.10 g/t gold.
- Hole NT-129 intersects 2.0 metres of 7.89 g/t gold including 0.5 metres of 10.20 g/t gold at a vertical depth of 832 metres.
Discussion of Results:
Drilling to date has outlined a 1.8 km long gold bearing zone referred to as the Newman Todd Structure ("NTS"). The NTS remains open to the southwest and has been intersected to a vertical depth of approximately 900 metres. High-grade gold occurs within silica-sulphide and magnetite replacement zones within the highly altered NTS. The alteration intensity, width of the NTS and the style of gold mineralization is similar in all drillholes across the strike and at depth.
Redstar's partner, Confederation Minerals Ltd. (TSX.V: CFM) report that they are continuing with a 2013 drill program to further test for high grade gold mineralization within the NTS. The program will see an additional 2000 metres of drilling with an option to extend it to 5000 metres for the winter program (see Confederations Minerals Ltd. News Release dated January 17, 2013 for a detailed description of the work program).
R. Bob Singh P.Geo, President of Redstar states "We continue to be impressed by the high-grade results from this incredible property. The deep drill hole (NT-129) clearly shows continuity of the gold bearing NTS at depth. The shallow high-grade intercepts are helping field crews determine the dip and plunge of high-grade ore shoots to better target future deep drilling. We look forward to continued success on this project in 2013".
Table 1: Significant Results
|Hole||From (m)||To (m)||Width* (m)||Au (g/t)|
*Width is calculated as core length and does not imply true width of the zone. Weighted average gold intervals apply a 0.20 g/t lower cut-off. Internal dilution within reported intervals does not exceed core lengths of three metres unless otherwise indicated. Hole NT-127 was stopped and did not intersect the target due to excessive hole deviation.
Exploration work at the Newman Todd project is funded by the operator, Confederation Minerals Ltd. ("Confederation"). Pursuant to an option agreement with Redstar, Confederation can earn a 50% interest in the project by spending $5.0 million on exploration, paying Redstar a total of $250,000, and issuing Redstar 500,000 shares by November 2013. To date Confederation has spent in excess of $5.0 million on exploration on the project, paid Redstar $175,000 and issued Redstar 350,000 shares. Confederation can earn an additional 20% interest by producing a Preliminary Economic Assessment (PEA) by November 2016.
Andrea Diakow P.Geo is the qualified person as defined by National Instrument 43-101 and has reviewed the technical content of this news release. Core samples from the program were cut in half using a diamond cutting saw and were sent to Activation Laboratories Ltd. in Red Lake, Ontario, an accredited mineral analysis laboratory. All samples were analyzed for gold using standard Fire Assay-AA techniques. Samples returning over 3.0 g/t gold were analyzed utilizing standard Fire Assay-Gravimetric methods. Certified gold reference standards, blanks and field duplicates were routinely inserted into the sample stream as part of Confederation's quality control/quality assurance program.
Redstar has eleven gold projects in Nevada, the Unga project in Alaska and the Newman Todd project in the Red Lake District, Ontario. In Nevada, several projects are undergoing active exploration by partners including Newmont Mining and others. The Unga project in Alaska includes the high-grade Shumagin gold deposit, the Centennial disseminated bulk-tonnage gold deposit and the Apollo-Sitka high-grade gold vein system, which produced approximately 150,000 oz. of gold in the early 20th century.
On Behalf of the Board,
Redstar Gold Corp
"R. Bob Singh"
R. Bob Singh P.Geo
President & CEO
800 WEST PENDER STREET
Redstar Gold Corp.
Tim Mikula, Business Development
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Redstar Gold Corporation (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
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