Rio Cristal Resources Corporation
TSX VENTURE : RCZ

Rio Cristal Resources Corporation

December 01, 2009 10:44 ET

Rio Cristal Announces a Two Month Exclusivity Agreement on a Highly Prospective Copper Project in Peru

VANCOUVER, BRITISH COLUMBIA and LIMA, PERU--(Marketwire - Dec. 1, 2009) - Rio Cristal Resources Corporation (TSX VENTURE:RCZ) ("Rio Cristal" or the "Company") announces that it has signed an Exclusivity Agreement ("the Agreement") on a highly prospective copper oxide project in southern Peru. The Agreement is with the owners of Minas Andinas S.A. and Los Chapitos S.A. and provides the Company with a two month exclusivity period during which it may negotiate an option agreement to acquire both companies. Minas Andinas S.A. and Los Chapitos S.A. control a total of 19 concessions ("the Chapitos Project" "Chapitos") near Chala, Peru.

Rio Cristal had recently commissioned an independent evaluation of the property, consisting of a compilation of historic exploration data, geological mapping, and district-scale soil and rock geochemical sampling. Extensive zones of oxide copper mineralization have been identified.

Thomas Findley, President and CEO of Rio Cristal, said, "We are pleased to have been able to negotiate a two month period during which I am confident we will finalize an option agreement to acquire the Chapitos Project. Our preliminary work at Chapitos has uncovered evidence of potentially bulk-mineable zones of copper-silver mineralization. Although the project is still at an early stage, we draw geological analogues between the mineralization there and that present at the Ivan copper mine in Chile, operated by Minera Milpo, where primary (sulfide) and secondary (oxide) copper mineralization are associated with steep fault zones that cut shallow-dipping volcanic/volcanoclastic rocks. Future work at Los Chapitos will concentrate on delimiting mineralized zones using geophysics and drilling."

Terms of the Exclusivity Agreement include a payment of $15,000 to the owners for legal and administrative expenses related to the signing of a final option agreement. Final option agreement terms will be subject to approval by the Toronto Venture Exchange (TSXV).

Chapitos Technical Review

The Chapitos project lies within the metallogenic belt related to a volcanic sequence, intruded by plutons of the Coastal Batholith and is located approximately 100 kilometers southeast of the Mina Justa copper deposit of Chariot Resources.

District scale reconnaissance soil geochemical sampling along topographic contours conducted by the Company has defined extensive geochemical anomalies associated with five zones of artisanal copper oxide workings (El Atajo, Pan de Azucar, Chapito 1, Carcamarca and Condoritos prospect areas). Copper and silver mineralization are hosted by oxidized fault structures cutting the gently-dipping volcanic/volcanoclastic rock sequence, and consists of chrysocolla, malachite, chalcantite, cuprite and trace chalcocite; all minerals which respond well to low-cost leaching methods. Rock geochemical sampling of the five zones reported up to 5.96% copper and 52.8 grams/tonne silver respectively.

At the "El Atajo" prospect, a broad 2.5 x 2.0 kilometer composite soil geochemistry anomaly (gold, arsenic, zinc and bismuth) forms a halo around a line of old copper oxide workings in chlorite-, epidote- and carbonate-altered volcanic agglomerates. The line of copper workings can be traced discontinuously over a strike length of 1.20 kilometers and the zone locally attains up to 50 meters width. Within the broader mineralized zone, anastomosing centimetric to metric-scale fault zones control zones of higher copper and silver grade (greater than 0.5% copper).

Between the "Carcamarca and Condoritos" prospects, old copper oxide workings occur sporadically over a northwest-southeast-striking corridor approximately 4.20 kilometers in length. The zone is defined in part by a 1.5 x 0.5 kilometer copper-in-soil geochemical anomaly. Within the broader corridor of old workings, mineralized anastomosing fault zones strike northwest-southeast, north-south and northeast-southwest, and attain maximum widths of 50 to 100 meters.

Results of continuous channel sampling across mineralized faults located at scattered locations within the broader mineralized zones are tabulated below:




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Prospect Sample Length (m) Copper (%) Silver (g/t)
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El Atajo 4459 2.0 0.57 0.8
" 4460 1.1 2.41 7.3
" 4463 5.6 1.82 2.1
" 4464 3.5 2.98 1.4
" 4465 2.0 2.01 0.6
" 4466 4.0 0.49 0.5
" 4467 5.0 0.76 0.7
" 4469 5.7 4.18 25.3
" 4472 4.3 2.61 3.8
" 4473 5.0 5.69 33
" 4474 5.0 2.84 15.8
" 4475 5.0 3.09 5.5
" 4476 3.5 1.49 0.8
" 4477 3.3 4.32 1.8
" 4478 2.5 1.66 0.6
" 4479 3.3 0.64 1.1
" 4480 2.0 1.82 4.8
" 4482 2.0 1.09 1.6
" 4484 0.8 0.61 0.2
" 4487 0.6 0.62 0.8
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Prospect Sample Length (m) Copper (%) Silver (g/t)
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Carcamarca 4499 6.0 4.30 27.6
" 4500 3.4 1.76 2.4
" 1499 4.0 5.96 52.8
" 1500 4.0 5.12 13.4
" 4717 6.0 2.32 23.4
" 4718 6.0 2.09 13.3
" 4721 4.0 0.78 4.2
" 4722 10.0 0.71 4.5
" 4723 10.0 0.83 3.5
" 4730 5.0 1.80 1.4
" 4732 4.0 0.85 2.6
" 2757 10.0 0.54 7.6
" 2758 10.0 0.53 2.7
" 2759 10.0 1.03 7.4
Condoritos 4735 7.0 2.14 0.4
" 4742 1.0 0.71 0.5
" 4745 1.0 0.87 0.6
" 4750 4.6 0.91 1.5
" 2752 2.8 0.89 5
" 2753 2.3 2.03 18
" 2754 1.0 1.52 8.6
" 2755 0.9 4.31 9
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Future work at Los Chapitos will focus on defining and extending the limits of the outcropping copper-silver-mineralized zones discovered to date, through a program of detailed geological mapping, targeted ground geophysics and drilling.

About the Chapitos Copper Project

The 11,300 hectare Los Chapitos copper-silver project is located between 600 and 1,200 meters above sea level in the coastal Nazca-Ocona region, in the department of Arequipa of southern Peru. The project lies within the metallogenic belt related to intrusives of the Upper Cretaceous segment of the Coastal Batholith. In the area of the project, monzonitic to dioritic intrusive rocks cut Lower Jurassic volcanic rocks (Chocolate formation). Regional northwester-southeast striking fault systems related to emplacement of the batholith transect the area, forming elongated belts of alternating volcanic/volcaniclastic rocks and intrusive rocks. Copper-silver mineralization is most likely associated with the intrusive rocks, and generally is expressed as elongated zones of visible copper oxides that occupy primary rock porosity, open spaces and fractures, within second and third order fault systems.

As required by the National Instrument 43-101, Rio Cristal Zinc's designated Qualified Person is Dr. Paul Pearson, F.AUSIMM, who has verified the technical information, reported in this news release.

About Rio Cristal Resources Corporation

Rio Cristal Resources is a Canadian corporation focused on the discovery and further development of gold, copper and zinc deposits in Peru. The principal asset of RCR is the Charlotte Bongara claim block located in northern Peru within an emerging Mississippi Valley-type zinc district. Additional information can be found on the Company's website, www.riocristalzinc.com.

This news release includes certain "forward-looking statements" under applicable Canadian securities legislation. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding potential exploration results, future plans and objectives of the Company are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future results, events and objectives could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from Rio Cristal's expectations include exploration and other risks detailed from time to time in the filings made by the Company with securities regulators.

This news release does not constitute an offer to sell or solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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.

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