TORONTO, Dec. 31, 2018 (GLOBE NEWSWIRE) — Red Pine Exploration Inc. (TSX-V: RPX) (the “Company” or “Red Pine”) confirms that it has filed on SEDAR the National Instrument 43-101 (“NI 43-101”) technical report in support of the initial Mineral Resource Estimate for the Minto Mine South Project, announced on November 15, 2018.
The independent technical report has an effective date of December 31, 2018 and was prepared by Golder Associates Ltd. (“Golder”). The resource estimate was completed by Brian Thomas, P.Geo., an independent Qualified Person (QP), as defined in NI 43-101.
The technical report is available on SEDAR at www.sedar.com.
HIGHLIGHTS INCLUDE:
- 105,000 tonnes at 7.5 g/t gold in the Indicated category for 25,000 ounces of gold;
- 354,000 tonnes at 6.6 g/t gold in the Inferred category for 75,000 ounces of gold;
- Resource remains open in all directions;
- 100% of the Indicated resource is located at less than 180 metres vertical depth;
- 92% of the Inferred resource is located at less than 235 metres vertical depth.
Summary
The technical report and initial resource estimate highlight many key features of the Minto Mine South Project. The mineral resource is reported at a 3.5 g/t break-even mining cut-off gold grade, and classified according to the Canadian Institute of Mining, Metallurgy, and Petroleum (“CIM”) Definition Standards for Mineral Resources and Mineral Reserves (May 2014). The effective date of this Resource Estimate is November 7, 2018.
Table 1. Minto Mine South Mineral Resource Estimate (Effective Date November 7, 2018)
| Resource Category |
Quantity (tonnes) |
Grade (g/t Gold) |
Contained Gold (Troy ounces) |
| Indicated | 105,000 | 7.5 | 25,000 |
| Total Indicated | 105,000 | 7.5 | 25,000 |
| Inferred | 354,000 | 6.6 | 75,000 |
| Total Inferred | 354,000 | 6.6 | 75,000 |
- There is no certainty that all, or any, part of this Mineral Resource will be converted into Mineral Reserve. Inferred Resources are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as Mineral Reserves.
- High-grade assays capped to 35 g/t gold;
- Tonnage estimates are rounded to the nearest 1,000 tonnes;
- A 3.5 g/t gold cut-off is supported by the following economic assumptions: Gold Price: $1,200 $USD, Gold Recovery: 90%, Operating Expense (OPEX): $CAD $160 / tonne ($120 mining $25 milling, $15 G&A).
- Areas of historical mining from the Minto Mine were excluded from the block model.
Table 2. Minto South Mineral Resource Cut-off Sensitivity
| Cut-off Grade (g/t Gold) |
Indicated Classification | Inferred Classification | ||||
| Quantity (tonnes) | Gold Grade (g/t) | Contained Gold (ounces) | Quantity (tonnes) | Gold Grade (g/t) | Contained Gold (ounces) | |
| 2.5 | 142,000 | 6.3 | 29,000 | 496,000 | 5.6 | 89,000 |
| 3.0 | 123,000 | 6.9 | 27,000 | 426,000 | 6.0 | 83,000 |
| 3.5 | 105,000 | 7.5 | 25,000 | 354,000 | 6.6 | 75,000 |
| 4.0 | 92,000 | 8.0 | 24,000 | 303,000 | 7.1 | 69,000 |
| 4.5 | 81,000 | 8.5 | 22,000 | 260,000 | 7.5 | 63,000 |
| 5.0 | 71,000 | 9.1 | 21,000 | 225,000 | 8.0 | 58,000 |
Note: Base Case Scenario: Mineral Resource Estimate uses a break-even economic cut-off grade of 3.5 g/t gold.
The Mineral Resource Estimate is based upon data provided by Red Pine from surface diamond drill programs, completed up to October 2018.
Minto Mine South Project Background
Red Pine discovered the Minto Mine South Zone in the extension of the historic Minto Mine in April 2017. Following the observation of visible gold in many of the first drill holes completed in the structure, Red Pine developed and executed an exploration program dedicated to defining a mineral resource in the Minto Mine South Project area. In total, 26,275 metres of diamond drilling were completed on the Minto Project between April 2017 and July 2018 with the objective of delineating an underground resource in the Minto Mine South Zone. The Minto Project is adjacent to the Surluga Project that hosts a NI 43-101 Inferred Resource of 1,088,000 ounces of gold at 1.71 g/t grams per tonne using a 0.50 g/t gold cut-off grade. The Surluga Project Inferred Resource was estimated using a pit-constrained model and is hosted in a geological structure entirely independent of Minto Mine South Project resource. The overall development and exploration strategies differ between the Minto Mine South Project and the Surluga Project.
Qualified Person
Quentin Yarie, P.Geo. is the qualified person responsible for preparing, supervising and approving the scientific and technical portions of this news release outside the scope of the Independent Technical Report and is responsible for overseeing all aspects of the Company’s exploration programs.
About Red Pine Exploration Inc.
Red Pine Exploration Inc. is a gold and base-metals exploration company headquartered in Toronto, Ontario, Canada. The Company’s common shares trade on the TSX Venture Exchange under the symbol “RPX”.
Red Pine has a 60% interest in the Wawa Gold Project with Citabar LP. holding the remaining 40% interest. Red Pine is the operating manager of the Project and is focused on expanding the existing gold resource on the property.
For more information about the Company visit www.redpineexp.com
Or contact:
Quentin Yarie, President & COO, (416) 364-7024, qyarie@redpineexp.com
Or
Mia Boiridy, Investor Relations, (416) 364-7024, mboiridy@redpineexp.com
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This News Release contains forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.
Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.