Aug 28 2015
Red Pine Exploration Inc. ("Red Pine" or the "Company") announces that pursuant to the Option Agreement and Assumption Agreement (collectively, the "Agreements") entered into with Citabar LLP ("Citabar") and Augustine Ventures Inc. ("Augustine") announced on December 11, 2014, it has earned a 30% interest in the Wawa Gold Project, located two kilometres southeast of Wawa, Ontario.
The Wawa Gold Project is now owned by Citabar/Red Pine/Augustine in the ratio of 40%, 30% and 30%, respectively. The three parties have entered into a Joint Venture Agreement (JVA) and Red Pine, as the Manager, will continue to explore and advance the current gold resource.
Quentin Yarie, President and CEO of Red Pine, commented: "We've been able to significantly improve the resource at the Surluga Deposit and we are focused on conducting work that will lead to further resource improvements both within the current deposit as well as identified gold zones outside the Surluga Deposit area. Completing the option agreement to earn a 30% interest in the property will expedite negotiations to consolidate ownership."
Dr. Robert Dodds, Augustine's President and CEO stated: "Red Pine has done an outstanding job of advancing the gold resource at the Wawa Gold Project and we believe that with local support and existing infrastructure, the development of an economic mine at the Wawa Gold Project is viable at today's gold prices."
Wawa Gold Project Highlights
- NI 43-101 inferred resource of 1,088,000 ounces of gold at a 1.71 g/t using a 0.5 g/t gold cut-off for pit-constrained and 2.5 g/t gold cut-off for underground-constrained resources, contained in 19.82 million tonnes open along strike and at depth1;
- Gold mineralization in the hanging wall and footwall secondary structures indicate that the contained gold of the pit-constrained resource can be increased which would significantly improve the economics of the resource1;
- Strike length continuity for some gold-bearing structures exceed 2.5 kilometres with continuous gold mineralization;
- Advantageous land position in an under-explored gold camp that hosted eight past producing mines with average grades of 8.9 grams per tonne gold and a historic gold production of 120,000 ounces;
- Proximity to established regional infrastructure (roads, rail, airport, high voltage power lines, community services).
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.