Rye Patch Gold Is Drilling at Garden Gate Pass Project
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 09/13/11 -- Rye Patch Gold Corp (TSX VENTURE: RPM)(OTCQX: RPMGF) ('Rye Patch' or the 'Company') is pleased to update the status of the Company's 100% owned Garden Gate Pass (GGP) project.
HIGHLIGHTS:
-- A 5,000 metre phase-one, reverse circulation drilling program is in
progress;
-- The Garden Gate Pass project lies along strike and is within three
kilometres of Barrick Gold's new Red Hill and Goldrush discoveries; and
-- One drillhole was lost to bad ground conditions, one drillhole was
competed to target depth, and one drillhole is in progress. All have
intersected bedrock with similar lithologies as described in Barrick's
September 7, 2011 announcement.
Drilling started on the Company's 100% owned Garden Gate Pass project in late August. The property covers approximately 13 square kilometres (5 square miles) located immediately south of Barrick Gold's Cortez Hills gold mine and along strike of Barrick's newly discovered Red Hill and Goldrush gold deposits. Rye Patch geologists have identified two main mineral trends that cross the GGP project area, and Barrick Gold is currently drilling within three kilometres of the northern border of the project along the eastern gold trend.
On September 7, 2011, Barrick Gold announced that it had made two significant gold discoveries, known as Red Hill and Goldrush, on its Cortez property in Nevada. An inferred resource of 3.5 million oz/ton gold from 28,756,602 tons grading 0.123 ounces per ton gold has been defined by Barrick at Red Hill and mineralization remains open in all directions (see Barrick's website for details). The Goldrush and Red Hill deposits follow a structural zone along the western margin of the Northern Nevada Rift (NNR). While the NNR is a younger feature, it marks a structural zone with deep plumbing that contains thick, high-grade gold (greater than 50 metres grading 31 g/t Au) as shown on the map accompanying Barrick's news release. This zone can be traced geologically and geophysically on and crossing the GGP project. Rye Patch has drillholes permitted and is currently drilling this structural zone.
On the west side of GGP, Rye Patch has identified the western gold trend that controls gold at Cortez, Cortez Hills, and South Trench. This trend has localized felsic Eocene dikes and sills that have been mapped to the north and south of the pediment covered GGP project. The dikes mark important mineral conduits that control gold in the Cortez district. One drillhole was attempted on the western zone; however, difficult ground conditions forced our geologist to terminate the drillhole in the overlying Ordovician Vinni mudstone. The drillhole encountered an intensely broken zone interpreted as the Roberts Mountain thrust contact between the overlying Ordovician Vinni mudstone and the carbonate target rocks beneath the thrust (calcareous siltstone). GGR-001 was our first drillhole on the property, and as a result of the difficult ground conditions, a new mud system was brought in to ensure drillholes would go to target depth. Further drilling on the western target will be completed before the program is over. Meanwhile, the drilling program is focusing on the eastern mineral trend.
The western and eastern target zones have been identified through geologic mapping and geophysical surveys. The geophysical gravity survey data shows a gravity high - interpreted as lower plate host rock assemblage - crossing the eastern side of the project area. This lower plate anticline has a similar aeromagnetic-low as seen over the top of the Goldrush and Red Hill deposits.
The phase-one drill program will consist of eight to ten drillholes with depths of 600 metres. Target depths are interpreted between 400 metres to 600 metres below surface. The geologic setting and the geophysical anomalies within the Garden Gate Pass claim block look similar to other gold deposits in the region. The phase-one drilling campaign will be completed in October.
'Since 1991, there has been approximately 35 million ounces of gold discovered along the Cortez trend between the Pipeline and Cortez Hills deposits. With Barrick's announcement of two new discoveries and new drilling along the trend, it is easy to see the Cortez trend becoming a significant contributor to Nevada's already impressive gold production. The GGP targets have a geologic basis grounded in past work, knowledge and experience along the Cortez trend. Carlin-type deposits are elephants, and the gold deposits tend to cluster. We are seeing the clustering effect now along the Cortez trend - new discoveries are being drilled adjacent to the project and the mineralized structures have been identified at Garden Gate Pass,' stated William C. (Bill) Howald, the Company's President and CEO.
As announced on May 18, 2010, May 11, 2009, and June 2, 2009, in respect of the Lincoln Hill, Wilco, and Jessup projects, Rye Patch Gold's resource inventory along the Oreana trend now totals 1,182,780 ounces of gold and gold equivalent in the measured and indicated category plus 2,727,100 ounces of gold and gold equivalent in the inferred category. Table 2 summarizes Rye Patch Gold's precious metal inventory in Nevada, USA.
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Table 2: Rye Patch Gold's NI43-101 Resource Inventory(1)
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Contained
Tonnes Gold Silver Contained Contained Gold & Gold
Resource (X Grade Grade Gold Silver Equivalent
Property Category 1000) (g/t) (g/t) Ounces Ounces Ounces (4)
---------------------------------- -----------------------------------------
Wilco (2) Measured 7,526 0.69 4.595 164,000 1,111,000 186,220
Indicated 30,844 0.51 3.601 522,000 3,638,000 594,760
Inferred 121,838 0.41 5.075 1,660,000 19,871,000 2,057,420
---------------------------- ----- ------- --------------------------------
Jessup(2) Measured 7,775 0.51 8.745 128,000 2,184,000 171,680
Indicated 12,642 0.41 7.167 172,000 2,906,000 230,120
Inferred 4,494 0.55 7.922 77,000 1,146,000 99,920
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Lincoln
Hill(3) Measured - - - - - -
Indicated - - - - - -
Inferred 17,215 0.69 17.143 380,000 9,488,000 569,760
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Total Oreana Trend
Measured &
Indicated
Resources 986,000 9,839,000 1,182,780
Total Oreana Trend
Inferred Resources 2,117,000 30,505,000 2,727,100
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(1) All resources on 100% basis. Metallurgical recoveries and net smelter
returns are assumed to be 100%. Conforms to 43-101 resource definitions;
(2) Cutoff grade for Wilco Measured and Indicated resource is reported at
0.2 g/t Au for oxide mineralisation and 1.45 g/t Au for sulphide
mineralisation. The Inferred resource cut-off grade is reported at 0.2 g/t
Au for oxide, sulphide and carbonaceous ore types; however, a higher opt Au
cut-off grade may be required to upgrade the inferred resource to the
measured and indicated resource category. Cut-off grade for Jessup is
reported at 0.2 g/t Au for oxide mineralisation and 0.34 g/t Au for
transition and sulphide mineralisation; and
(3) The Inferred resource is reported at a cut-off grade of 0.34 g/t (0.01
opt) Aueq for oxide and transitional ore types;
(4) Wilco, Jessup and Lincoln Hill resources includes Au equivalent ounces
(Aueq.); where Aueq. = (Au ozs) (Ag ozs X $Ag/oz)/$Au/oz, for Au/oz =
$900, and Ag/oz = $18.
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Mr. William Howald, AIPG Certified Professional Geologist #11041, Rye Patch Gold's CEO and President, is a Qualified Person as defined under National Instrument 43-101. He has verified the information contained in, and has reviewed and approved the contents of, this news release.
Rye Patch Gold Corp. is exploring well-known mineral trends in Nevada - the world's fourth-richest gold region. Starting with 150,000 inferred ounces of gold in mid-2007, this well-funded Company now has 1.2-million ounces of gold and gold equivalent in the measured and indicated category, plus 2.7-million ounces of gold and gold equivalent in the inferred category. Rye Patch Gold is a Tier 1, Nevada-focused and discovery-driven company seeking to build a sizeable inventory of gold and silver resource assets in the mining friendly state of Nevada, USA. The Company's seasoned management team is engaged in acquisition, exploration and development of quality resource-based gold and silver projects. Rye Patch Gold is developing its primary assets - the advanced-stage Wilco, Lincoln Hill, Jessup, and Gold Ridge projects located along the emerging Oreana gold trend in west-central Nevada. The Company has established gold and silver resource milestones and time frames in order to build a premier resource development company. For more information about Rye Patch Gold, please visit our website at www.ryepatchgold.com.
On behalf of the Board of Directors
William C. (Bill) Howald, CEO & President
This news release contains forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds; the timing and content of work programs; results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses, fluctuations in metal prices; currency fluctuations; and general market and industry conditions.
Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Rye Patch Gold Corp.
(604) 638-1588
(604) 638-1589 (FAX)
info@ryepatchgold.com
www.ryepatchgold.com