TORONTO, ONTARIO--(Marketwired - May 7, 2015) - Red Pine Exploration Inc. (TSX VENTURE:RPX) (the "Company" or "Red Pine") would like to update shareholders on its plans for the continued development of the Wawa Gold Project located near Wawa, Ontario.
Exploration results and geological evidence suggest the Surluga Gold Deposit is part of a much larger gold system within the current land position. Gold discovered to-date has been within the following geologic systems (see Figure 1):
- Mineralized shears
- Mineralized shears with quartz veins
- Pervasive sulphides (pyrite) within the host diorite, hanging wall and footwall (Porphyry)
- Quartz tension vein sets (various orientations)
The last two drill programs have significantly increased Red Pine's understanding of the geologic controls at Surluga. Future work will focus on advancing exploration outside of the Surluga Gold deposit with an emphasis on identifying new gold mineralization in the adjacent historic operations.
Property Expenditure Update
As of April 30, 2015, Red Pine has spent over $1,800,000 in eligible expenditures and Red Pine must incur a total of $2.1 million in eligible exploration expenditures by June 30, 2015 to earn a 30% interest in the Wawa Gold Project. Augustine Ventures Inc. (CSE:WAW) ("Augustine") and Citabar Limited Partnership ("Citabar") would then hold a 30% and 40% interest respectively.
The Company is currently working on securing financing for exploration and is confident it will meet its obligations by spending another $300,000 on the property prior to the June 30 deadline and advance into a joint venture agreement ("JVA") with Augustine and Citabar.
The JVA includes an option for Augustine and Red Pine to earn a further combined 15% interest by spending an additional $4 million ($2 million each) on the property, bringing the combined total interest to 75%. The parties are also continuing discussions on consolidating the property ownership and we hope to update the status of these discussions once the collective 60% interest has been earned by Red Pine and Augustine.
The Company anticipates that its NI 43-101 resource report will be released by June 10, 2015.
Wawa Gold Project Highlights
- Located in Wawa, Ontario, an area of significant historical and current gold exploration (since 1890's) and production (1902 to 1991);
- Property hosted eight past producing mines with historic production of over 120,000 ounces (Watts, Griffis and McQuat, NI 43-101 technical report dated October 15, 2012 );
- Inferred resource of 1,072,335 ounces at 1.49 grams per tonne gold with a cut-off grade of 0.5 grams per tonne gold contained in 22.355 million tonnes, open along strike and at depth;
- Proximity to established regional infrastructure (roads, rail, regional airport, high voltage power lines, water).
Qualified Person
Quentin Yarie, PGeo. is the qualified person responsible for preparing, supervising and approving the scientific and technical content of this news release and is responsible for overseeing all aspects of the company's exploration programs.
About Red Pine Exploration Inc.
Red Pine Exploration 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".
For more information about the Company visit www.redpineexp.com.
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