Red Pine Exploration Announces Promising Drill Results from Surluga Deposit
Red Pine Exploration Inc. announced new results from its exploration infill drilling in the gaps in the Surluga Deposit and from its confirmation drilling in the higher grade zones of the Deposit.
The Surluga Deposit is one of two known deposits, identified to date, on the large 6,519 hectares Wawa Gold Project, located near Wawa, Ontario.
The Surluga Deposit currently hosts a NI 43-101 Inferred Resource of 1,088,000 ounces of gold at an average grade of 1.71 g/t (using a 0.5 g/t cut-off) contained within 19.82 million tonnes. These latest results will be included in a revised NI 43-101 resource estimate for the Deposit that is expected to be issued in Q2 2019.
Red Pine’s understanding of the geological factors that control higher-grade gold mineralization in the Surluga Deposit, has enabled the Company to identify gaps in the historic drilling as well as areas where potentially significant zones of new gold mineralization could to be discovered. Hole SD-18-241 targeted one of these historical gaps that appear to be typically located near the existing underground infrastructure of the Surluga Mine.
Discovery of high-grade gold in drilling gaps in the Surluga Deposit are as follows:
⦁Hole SD-18-241 contains 4.9 g/t gold over 16.3 metres (true width) including 16.1 g/t gold over 2.7 metres (true width). Confirmation drilling supports the current resource defined in the Surluga Deposit
⦁Hole SD-18-235 contains 1.9 g/t gold over 38.5 metres (true width) including 5.0 g/t gold over 8.7 metres (true width)
“The discovery of significant mineralization in exploration gaps of the Surluga Deposit validates our model that significant zones of gold mineralization remain to be discovered and quantified," said Quentin Yarie, President and CEO of Red Pine. "The addition of these discoveries has the potential to add higher-grade ounces to the Surluga Deposit, accessible by the historical underground workings of the Surluga Mine. We expect pending results from the remainder of our infill drilling program to fall in line with what we’ve observed so far, and we’re on track to issue a revised NI 43-101 for Surluga in Q2 2019.”
Red Pine’s 2018 diamond drill program, from July to early January 2019, targeted strategic areas in the Surluga Deposit where geological modelling suggested that high-grade mineralization could be discovered. Drilling results to date support the potential for the Surluga Deposit to host a higher-grade gold resource, accessible using the existing underground developments of the Surluga Mine.
Recent drilling is also confirming that additional gold zones exist below the Jubilee Shear Zone (host of the Surluga Deposit) and that higher grade mineralization can be found in those gold zones. Gold assays results for 40 holes completed in the Surluga Deposit are still pending.
In a non-brokered private placement financing, Red Pine issued 1,000,000 non-flow-through units (“Units”) of the Company, each priced at $0.05, for gross proceeds of approximately $50,000. Each Unit consists of one common share of the Company and one-half of one common share purchase warrant of the Company, which is exercisable to acquire one additional common share for a period of 24 months from the issuance thereof at a price of $0.075 per share. No finders fee was paid. All securities issued in the financing carry a restricted period of four months and one day from the date of issuance. The financing is subject to the approval of the TSX Venture Exchange.
Since December 2014, Red Pine’s exploration work has involved the ongoing sampling of 42,000 m of historic core that was never sampled by previous operators of the project, and exploration drilling campaigns. To date, the Company has completed over 59,000 m of drilling and made four discoveries along the extension of the Surluga Deposit: the Surluga North Zone; the Hornblende-William Zone; the Minto Mine South Zone and; the Grace-Darwin Zone. These are part of the Wawa Gold Corridor, a gold-mineralization zone that extends for more than 5 kilometres.
Red Pine’s on-going exploration program is designed to potentially expand the size of the existing inferred gold resource and connect the other zones of gold mineralization along the newly-discovered Wawa Gold Corridor. The Company issued a maiden resource for the Mint Mine South Deposit in November 20182 and plans to issue a revised NI 43-101 for the Surluga Deposit in Q2 2019.
For more information about the Company visit www.redpineexp.com