Rye Patch Cuts Lower Plate Carbonates, Carlin-Style Alteration, and Elevated Gold, Arsenic, and Antimony at Garden Gate Pass
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 01/05/12 -- Rye Patch Gold Corp. (TSX VENTURE: RPM)(OTCQX: RPMGF) ('Rye Patch' or the 'Company') reports results of the completed Phase 1 drill program at the 100% controlled Garden Gate Pass Project (GGP).
HIGHLIGHTS:
-- Drilling confirms the ore host rocks at Barrick's Cortez Hills, Red Hill
and Goldrush are present within GGP property;
-- Carlin-type alteration including silicification and decalcification was
encountered in five of six drillholes;
-- Drillholes in the Western and Eastern target zones encountered thick
intervals of elevated gold, arsenic and antimony; and
-- Sufficient evidence of a Carlin-type system is present to warrant
follow-up core drilling program.
Rye Patch Gold's drill campaign tested two target areas within the pediment gravel covered GGP property. The targets tested are seven kilometres apart. On the west side of the project, drilling on the Western area tested the southern projection of Barrick's Cortez Hills deposit, located 12 kilometres to the north of the GGP project. Drilling on the east side, Eastern target, tested the strike projection of Barrick's new gold discoveries, Red Hill and Goldrush along the western margin of a deep structural zone adjacent to the Northern Nevada Rift. The Goldrush deposit is located 3 kilometres north of the GGP project.
Western Target
Drilling in the western area consisted of three holes on two sites (GGR-001, GGR-004 and GGR-005). After drilling through very badly broken Upper Plate cherts, the drilling encountered siltstones of the Lower Plate Horse Canyon Formation with intensely altered felsic dikes. In GGR-004, assay results returned anomalous gold, arsenic and antimony mineralization associated with the intensely argillized felsic dikes. GGR-001 and GGR-004 were terminated early because of difficult ground conditions, and did not reach their design target depth.
The presence of Lower Plate stratigraphy, altered felsic dikes, and Carlin-style alteration with anomalous gold and pathfinder mineralization, is extremely encouraging. One area that will receive follow-up drilling is located south-southeast of drillholes GGR-001 and GGR-004, near the center of a gravity low thought to be due to alteration. Core drilling will commence in spring to follow up on the positive results.
Eastern Target Area
Three drillholes were completed in the Eastern zone - GGR-002, GGR-003 and GGR-006. All drillholes intersected Lower Plate lithologies consisting of siltstones and carbonates of the Devonian Horse Canyon Formation and the underlying Wenban Formation - the host rocks at Barrick's Cortez Hills, Red Hill and Goldrush gold deposits. The presence of these two ore hosts beneath the pediment-covered property is extremely encouraging. The drilling intersected several altered and dike zones that returned anomalous gold, arsenic, and antimony in the Lower Plate lithologies.
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Table 1: Garden Gate Pass Drillhole Summary
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Lower
Total Plate Anomalous
HOLE ID Orientation Depth Contact Alteration Gold ppm Gold Interval
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GGR-001 Vertical 1050' DH lost DH lost DH lost DH lost
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GGR-002 Vertical 2000' 1460' 1230-1240' 1.000 1235-1240'
GGR-002 1330-1375' 0.020 1345-1365'
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GGR-003 Vertical 2355' 1560' 1720-1920' 0.025 1895-1920'
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GGR-004 Vertical 1850' 1195' 1350-1630' 0.023 1350-1455'
GGR-004 1695-1810' 0.047 1690-1705'
GGR-004 1695-1810' 0.049 1795-1825'
GGR-004 1695-1810' 0.028 1690-1850'
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GGR-005 Vertical 2700' 1550' 1585-1790' 0.023 1710-1730'
GGR-005 1585-1790' 0.032 1790-1805'
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GGR-006 Vertical 3000' 1505' 1725-1745' NA NA
2525-2535'
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'The results are very encouraging and require immediate follow up. The initial three drillholes drilled in 1991 leading to the discovery of the Cortez Mine's 20-million ounce Pipeline gold deposit returned one ore-grade drillhole, 91-902, and two drillholes with Carlin-style alteration and no gold. 91-902 had 901 previous drillholes completed over 30 years in the district before the Pipeline deposit was discovered. The two drillholes with no gold were within 300 metres of what would ultimately become the main Pipeline gold deposit. The important take away from Rye Patch's drilling program is, the right rocks, the right alteration in one of the most prolific gold trends in the world. This spring drilling will resume using the knowledge of the first six drillholes as vectors toward a possible new discovery,' stated William C. Howald, President and CEO of Rye Patch Gold Corp.
As announced on May 18, 2010, May 11, 2009, and June 2, 2009, in respect of the Lincoln Hill, Wilco, and Jessup projects, Rye Patch Gold's resource inventory along the Oreana trend now totals 1,182,780 ounces of gold and gold equivalent in the measured and indicated category plus 2,727,100 ounces of gold and gold equivalent in the inferred category. Table 2 summarizes Rye Patch Gold's precious metal inventory in Nevada, USA excluding any resources within the LH claims.
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Table 2: Rye Patch Gold's NI 43-101 Resource Inventory(1)
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Contained
Gold Silver Contained Contained Gold & Gold
Resource Tonnes Grade Grade Gold Silver Equivalent
Property Category (X 1,000) (g/t) (g/t) Ounces Ounces Ounces(4)
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Wilco(2) Measured 7,526 0.69 4.595 164,000 1,111,000 186,220
Indicated 30,844 0.51 3.601 522,000 3,638,000 594,760
Inferred 121,838 0.41 5.075 1,660,000 19,871,000 2,057,420
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Jessup(2) Measured 7,775 0.51 8.745 128,000 2,184,000 171,680
Indicated 12,642 0.41 7.167 172,000 2,906,000 230,120
Inferred 4,494 0.55 7.922 77,000 1,146,000 99,920
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Lincoln Measured - - - - - -
Hill(3) Indicated - - - - - -
Inferred 17,215 0.69 17.143 380,000 9,488,000 569,760
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Total Oreana Trend Measured & Indicated
Resources 986,000 9,839,000 1,182,780
Total Oreana Trend Inferred Resources 2,117,000 30,505,000 2,727,100
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(1) All resources on 100% basis. Metallurgical recoveries and net smelter
returns are assumed to be 100%. Conforms to 43-101 resource definitions;
(2) Cutoff grade for Wilco Measured and Indicated resource is reported at
0.2 g/t Au for oxide mineralisation and 1.45 g/t Au for sulphide
mineralisation. The Inferred resource cut-off grade is reported at 0.2 g/t
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. Cut-off grade for Jessup is
reported at 0.2 g/t Au for oxide mineralisation and 0.34 g/t Au for
transition and sulphide mineralisation; and
(3) The Inferred resource is reported at a cut-off grade of 0.34 g/t (0.01
opt) Aueq for oxide and transitional ore types;
(4) Wilco, Jessup and Lincoln Hill resources includes Au equivalent ounces
(Aueq.); where Aueq. = (Au ozs) + (Ag ozs X $Ag/oz)/$Au/oz, for Au/oz =
$1,200, and Ag/oz = $24.
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Mr. William Howald, AIPG Certified Professional Geologist #11041, Rye Patch Gold's CEO and President, is a Qualified Person as defined under National Instrument 43-101. He has verified the information contained in, and has reviewed and approved the contents of, this news release.
Rye Patch Gold Corp. is exploring well-known mineral trends in Nevada - the world's fourth-richest gold region. Starting with 150,000 inferred ounces of gold in mid-2007, this well-funded Company now has 1.2-million ounces of gold and gold equivalent in the measured and indicated category, plus 2.7-million ounces of gold and gold equivalent in the inferred category (see Rye Patch's news releases dated May 18, 2010, May 11, 2009, and June 2, 2009). Rye Patch Gold is a Tier 1, Nevada-focused and discovery-driven company seeking to build a sizeable inventory of gold and silver 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 and silver projects. Rye Patch Gold is developing gold and silver resources along the emerging Oreana trend, located in west-central Nevada, and is exploring 66 square kilometres along the Cortez trend near Barrick's two new gold discoveries. The Company has established gold and silver resource milestones and time frames in order to build a premier resource development company. For more information about Rye Patch Gold, please visit our website at www.ryepatchgold.com.
On behalf of the Board of Directors
William C. (Bill) Howald, CEO & President
This news release contains forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds, the financial position of Rye Patch to pursue legal undertakings; the outcome of legal action relating to the Rochester property and the LH unpatented claims, the timing and content of work programs; results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses, fluctuations in metal prices; currency fluctuations; and general market and industry conditions. Litigation is inherently uncertain and factors that could cause actual results to differ materially from those in forward-looking statements include unexpected judicial findings of fact, previously unknown facts arising, and decisions which depart from past legal precedent and similar events.
Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Rye Patch Gold Corp.
(604) 638-1588
(604) 638-1589 (FAX)
info@ryepatchgold.com
www.ryepatchgold.com