VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/14/13 -- Regulus Resources Inc. ("Regulus" or the "Company") (TSX VENTURE: REG) has commenced a drilling campaign at the Company's 100% owned Cerro Cori gold target located two kilometres northeast of the main Rio Grande Project in Salta Province, Argentina. Near-surface gold mineralization was discovered with a single drill hole at Cerro Cori in late 2012 (RGR-12-118 with 297 m containing 0.36 g/t Au from the surface - please see press release of November 16, 2012). In the intervening months the Company has completed a follow-up program consisting of trenching, geological mapping, and extension of the existing ground magnetic survey in preparation for the current drilling program.
John Black, President and CEO of Regulus commented as follows:
"The work completed over the last several months at the Cerro Cori gold target has confirmed potential for near-surface gold mineralization amenable to heap leaching. We believe that the multi-directional, sheeted quartz-magnetite vein style of mineralization at Cerro Cori may represent the upper levels of a system similar to the nearby Lindero gold deposit, located ten kilometres to the southeast. Goldrock Mines (GRM TSX.V) recently announced the completion of a positive feasibility study for a heap-leach gold operation at Lindero and is fully permitted for mine development. The proximity of the projects presents opportunity for synergy if similar mineralization is encountered at Cerro Cori and this possibility can be tested for very low cost.
Despite the challenging market conditions for mineral exploration companies, Regulus Resources is in a fortunate position with more than $14 million in cash (approximately $0.14 per outstanding share), no debt, and full ownership of its properties. We are currently evaluating a number of opportunities to access additional good projects that are held by companies without sufficient resources to advance them properly. These difficult market conditions may present unusually good opportunities to acquire top quality assets that will diversify our political and technical risks."
Cerro Cori Geological Mapping and Trenching Results
A total of 3,127 metres of trenching has been completed and sampled at the Cerro Cori gold target, largely in areas of limited outcrop exposure. This trenching has confirmed the presence of elevated gold, ranging from 0.2 to 1.1 g/t Au, associated with narrow sheeted quartz/magnetite stringer veins similar to those seen at the Lindero heap leach gold deposit of Goldrock Mines (GRM TSX.V, formerly Mansfield Minerals), located ten kilometres to the southeast.
Two main zones of gold mineralization have been outlined by trenching at the Cerro Cori target. The North Zone occurs along the northern flank of Cerro Cori and covers an area of approximately 150 by 300 metres. Additional mineralization has been recently exposed approximately 100 metres to the south-southeast of the North Zone and remains open to the east.
Mineralized intervals from trench sampling at the North Zone include a 46 metre interval containing 0.24 g/t Au, 58 metres with 0.32 g/t Au, and 62 metres with 0.26 g/t Au. This zone has not been previously tested by drilling.
Mineralization at the South Zone covers an area of approximately 200 by 200 metres in the vicinity of drill hole RGR-12-118 (297 m with 0.36 g/t Au) and remains open beneath deeper cover to the northwest. Mineralized intervals from trenching at the South Zone include 76 metres containing 0.27 g/t Au and 20 metres with 0.39 g/t Au (open to the northwest).
The two mineralized zones flank a central magnetic high which may represent magnetite bearing mineralization at depth. Grades are variable within the zones of mineralization and generally associated with multi-directional sets of sheeted quartz-magnetite veins. The conceptual target envisioned by the Company is that the mineralized zones exposed by trenching at the surface represent the high-level expressions of a larger and better grade zone of mineralization at depth.
Current drilling programme at Cerro Cori
The Company started a 1,200 metre drilling programme, comprised of four to five shallow (less than 250-300 metre) holes, on May 10th, 2013. Drilling is expected to be completed by the end of the month with assays available shortly thereafter. This low-cost program is intended to determine if there is potential for significant grade and volume of mineralization to warrant additional drilling.
Please also refer to the Regulus Resources website, www.regulusresources.com for additional information about Regulus Resources, the Rio Grande copper-gold project and the Cerro Cori gold target.
About Regulus Resources Inc.
Regulus Resources Inc. (REG TSX.V) is a mineral exploration company formed in December, 2010 in connection with the sale of Antares Minerals Inc. to First Quantum Minerals Ltd. (FM. TSX). Regulus has been exploring the Rio Grande Cu-Au-Ag porphyry project in Salta Province of NW Argentina as a 50/50 joint venture partner with Pachamama Resources. In May 2012, the two companies merged under the name of Regulus Resources to consolidate a 100% interest in the project.
All of Regulus' exploration programs and pertinent disclosure of a technical or scientific nature are prepared by, or under the direct supervision of, Wayne Hewgill, P.Geo, and Regulus' COO, who serves as the qualified person (QP) under the definitions of National Instrument 43-101.
The Rio Grande and Cerro Cori samples were analysed with the following methods: Au - 30 g FA with AA Finish, Cu - four acid digestion for trace Cu and four acid digestion and AAS for ore grade Cu, 35 element Aqua Regia ICP-AES.
Regulus' security, chain of custody and quality control is described on their website and can be reviewed at: http://www.regulusresources.com/BestPractices/SamplingMethodologies.aspx
Forward Looking Information
Certain statements regarding Regulus, including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and uncertainties, most of which are beyond Regulus' control.
Specifically, and without limitation, all statements included in this press release that address activities, events or developments that either Regulus expects or anticipates will or may occur in the future, including management's assessment of future plans and operations and statements with respect to the completion of the anticipated drilling program and the completion of a NI 43-101 compliant resource estimate, may constitute forward-looking statements under applicable securities laws and necessarily involve known and unknown risks and uncertainties, most of which are beyond Regulus' control. These risks may cause actual financial and operating results, performance, levels of activity and achievements to differ materially from those expressed in, or implied by, such forward-looking statements. Although Regulus believes that the expectations represented in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. Such risks and uncertainties include, but are not limited to: the impact of general economic conditions in Canada and Argentina, industry conditions including changes in laws and regulations including adoption of new environmental laws and regulations, and changes in how they are interpreted and enforced, in Canada and Argentina, fluctuations in commodity prices and ability to complete operations due to factors beyond Regulus' control.
Although the forward-looking statements contained in this Press Release are based upon assumptions which management believes to be reasonable, Regulus cannot assure shareholders that actual results will be consistent with these forward-looking statements. With respect to forward-looking statements contained in this press release, Regulus has made assumptions regarding: current commodity prices and royalty regimes; timing of receipt of regulatory approvals; availability of skilled labour; timing and amount of capital expenditures; future exchange rates; the impact of increasing competition; conditions in general economic and financial markets; effects of regulation by governmental agencies; royalty rates; future operating costs; and other matters.
Accordingly, Regulus does not give any assurance nor make any representations or warranty that the expectations conveyed by the forward-looking statements will prove to be correct and actual results may differ materially from those anticipated in the forward-looking statements. Regulus does not undertake any obligation to publicly update or revise any forward-looking statements other than required by applicable securities law.
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.
Regulus Resources Inc.
President and CEO
+1 720 514-9036 or Mobile: +1-303 618-7797
Regulus Resources Inc.
Wayne Hewgill, P.Geo
+1 778 438-2481 or Mobile: +1 604 961-0033
Most Popular Stories
- Doctor Who Christmas Episode Begins Production
- HCL America Adding 1,200 IT Jobs
- Medical Mfg. Jobs Coming to Dayton
- Michael Jackson, Freddie Mercury on Previously Unreleased Queen Cut
- Longtime Unemployed to Get Help in Las Vegas
- SpaceX Aims for Predawn Launch on Saturday
- Women Key to Democratic Party: Clinton
- U.S. Chamber Caught Up in Tax Inversion Question
- Feds Won't Say How Many Border Crossers Jailed
- Christie Didn't Order Bridge Shut Down, Feds Say