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NEWS RELEASE
No. 08 - 08 |
Rye Patch Gold Increases Wilco Gold Resource
Vancouver, British Columbia, April 30, 2008 - Rye Patch Gold Corp (TSX-V: RPM and RPM.WT) ("Rye Patch" or the "Company") announces its new NI43-101 for its 100% controlled Wilco project based on the Company's 2007 drill results in the Willard mine area and the Colado resource area. The new resource shows an upgrade of a portion of the resource to the measured category, a 72% increase in the indicated gold ounces, and a significant increase in the inferred gold ounces from the previously released (September 06, 2007) resource estimate. The majority of the new ounces are captured in the Section Line discovery located at the Willard mine and within the Colado resource area. The Willard and Colado resource estimates use various cutoffs for oxide and sulphide gold content. A summary, by deposit area, is tabulated below:
Table 1: New NI43-101 Wilco Resource Estimate
Wilco Resource Areas |
Resource Category |
Cutoff Grade |
Measured |
Indicated |
Inferred |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Willard |
Variable (1) |
2,603 |
0.023 |
59,813 |
8,076 |
0.019 |
155,341 |
31,906 |
0.016 |
500,558 |
Colado |
Variable (1) |
3,703 |
0.016 |
60,058 |
19,597 |
0.013 |
258,011 |
79,129 |
0.010 |
811,453 |
Total |
6,306 |
0.015 |
119,871 |
27,673 |
0.013 |
413,352 |
111,035 |
0.012 |
1,312,011 |
(1) Measured and Indicated resource is reported at 0.0056 opt Au for oxide mineralisation and 0.042 opt Au for sulphide mineralisation. The Inferred resource is reported at 0.0056 opt 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.
Scott E. Wilson Consulting, Inc. (SEWC) of Denver, Colorado completed the new resource estimate under the direction of Scott E. Wilson who is a qualified person as defined by NI43-101. The new NI43-101 Wilco project technical report will be posted on SEDAR at www.sedar.com on or before June 1, 2008.
Stated William C. (Bill) Howald, the Company's CEO and President, "This new resource incorporating our 2007 drilling results shows the upside potential of the Wilco project is excellent. The Wilco project continues to prove its merit and our exploration programs continue to expand this major new discovery in Nevada. Based on our geologic model and drill cross sections, the Section Line discovery is still open and has significant expansion potential to the west in an area that is untested. This summer, our drill program will extend the limits of this new gold discovery. Our objective of having a company with three to five million ounces of gold over the next 3 years is certainly taking shape, and the Wilco project, its new resource, and the Section Line discovery are the underpinnings to achieving this goal".
The new gold resource estimate is based on 3-D geologic models that incorporated over 32,000 individual assays from 565 reverse circulation and 11 core drillholes -- 394 reverse circulation and 8 core drillholes in Willard and 181 reverse circulation and 3 core drillholes in Colado. The new resource also includes Rye Patch's recently completed phase 1 drilling, comprised of 48 reverse circulation drillholes and 4 core holes. Block model grades were interpolated from ten-foot down-the-hole composites using ordinary kriging. High grade outliers at Colado were capped prior to compositing based on a statistical review of the gold assays. No capping was required at Willard.
SEWC used industry accepted standards to reclassify this new resource. Geologic interpretations were incorporated into the new resource which gives greater confidence in the resource estimate. Cut off grades were calculated based on historic recoveries at the Willard mine as well as by referencing up-to-date costing structures that are available to the public.
SEWC classified the Colado and Willard resources by a combination of distance to the nearest sample, the number of samples, and number of holes used to estimate a block, while also taking into account project history, database quality, sample integrity and geologic understanding.
Drilling on the Wilco project will commence this summer with one reverse circulation drill rig. An exploration program totaling US$750,000 consisting of 8,000 metres of drilling is planned and being permitted.
As released on the Company's Jessup project (December 11, 2007) along with this new Wilco resource estimate, Rye Patch Gold now has 687,223 ounces of gold in the measured and indicated category plus 1,339,011 ounces of gold in the inferred category. Table 2 summarizes the resources for Rye Patch Gold's Wilco and Jessup projects.
Table 2: Rye Patch Gold NI43-101 Resources
Project |
Resource Category |
Cutoff Grade |
Measured |
Indicated |
Inferred |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Tons (X1,000) |
Grade OPT Au |
Gold Ounces |
Wilco |
Variable (2) |
6,306 |
0.015 |
119,871 |
27,673 |
0.013 |
413,352 |
111,035 |
0.012 |
1,312,011 |
Jessup (4) |
Variable (3) |
0 |
0 |
0 |
5,423 |
0.022 |
154,000 |
1,265 |
0.017 |
27,000 |
Total |
6,306 |
0.015 |
119,871 |
31,938 |
0.015 |
567,352 |
112,300 |
0.012 |
1,339,011 |
(2) Measured and Indicated resource is reported at 0.0056 opt Au for oxide mineralisation and 0.042 opt Au for sulphide mineralisation. The Inferred resource is reported at 0.0056 opt 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. (3)Jessup 0.01 oz Au/t for oxide mineralisation, 0.015 oz Au/t for mixed material, and 0.025 oz Au/ton for all unoxidised material; (4)Jessup Resource includes Au equivalent ounces (50g/t Ag = 1g/t Au).
In addition to the Company's Wilco project, Rye Patch is planning and permitting drill programs on its 100% owned Jessup and Lincoln Hill/Gold Ridge properties. These drilling programs will commence immediately following the completion of the Wilco drill program scheduled for June 2008.
Mr. William C. (Bill) Howald, AIPG, Certified Professional Geologist # 11041, Rye Patch Gold's CEO and President, is the Qualified Person as defined under National Instrument 43-101 responsible for the scientific and technical work on the exploration program and is responsible for reviewing the technical disclosure in this press release.
Rye Patch Gold Corp. is a Nevada-focused and discovery-driven company building a sizeable inventory of gold 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 projects. Rye Patch Gold is developing its primary assets -- the advanced-stage Wilco project located within the Humboldt Gold Trend in west-central Nevada and the Jessup project in Churchill County, Nevada. The Company is seeking gold opportunities that continue to create shareholder value and leverage the gold price. For more information about Rye Patch Gold, please visit our website at www.ryepatchgold.com .
On behalf of the Board of Directors
'William Howald'
William C. (Bill) Howald, CEO & President
For additional information contact:
Karen Robb, Manager Investor Relations
Rye Patch Gold Corp.
info@ryepatchgold.com
Phone: 604-638-1588
Fax: 604-638-1589
Renmark Financial Communications Inc.
James Buchanan :jbuchanan@renmarkfinancial.com
Josh Rivard: jrivard@renmarkfinancial.com
Tel.: (514) 939-3989
Fax: (514) 939-3717
www.renmarkfinancial.com
The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.
Suite 1740 - 1177 West Hastings St., Vancouver, BC, V6E 2K3, Canada
Phone 604-638-1588 Fax 604-638-1589 www.ryepatchgold.com
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