Tarsis Resources Ltd.
TSX VENTURE : TCC

Tarsis Resources Ltd.

December 15, 2009 09:00 ET

Tarsis Options Prospector Mountain to Silver Quest

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 15, 2009) - Tarsis Resources (TSX VENTURE:TCC) ("Tarsis" and "the Company") is pleased to announce that it has signed an option agreement with Silver Quest Resources Ltd. (TSX VENTURE:SQI) ("Silver Quest"), whereby Silver Quest may earn up to a 70% interest in the Prospector Mountain project. The 5,000 ha Prospector Mountain project, located in southwestern Yukon, Canada is 100% owned by Tarsis.

Option Agreement

Under the terms of the option agreement, Silver Quest may earn an initial 60% interest in the project by:

  • Spending $4 million on exploration over four years
  • Issuing 1 million Silver Quest shares to Tarsis
  • Paying $300,000 to Tarsis

Silver Quest has a firm commitment to spend $350,000 on exploration in the first year of the agreement. Share issuance and cash payments are staged over four years, with 200,000 shares and $50,000 being payable within the first year.

Silver Quest may increase its interest from 60% to 70% after initial earn in, by completing an NI 43-101 compliant Feasibility Study on the project within 36 months of initial earn in.

The option agreement is subject to acceptance for filing by the TSX Venture Exchange.

President and CEO, Marc Blythe stated, "We are very pleased to have Randy Turner's Silver Quest option this project from us and we look forward to further exciting results from exploration."

The Project

The property lies within the Dawson Range, an unglaciated portion of the Tintina Gold Belt, west of the Big Creek Fault approximately 15 km northwest of the Freegold Mountain Project and 55 km southeast of the Casino copper-gold-molybdenum deposit. The Prospector Mountain claims cover a high-level porphyry copper-gold system, the core of which is believed to be hosted within the eastern part of the claim block while peripheral epithermal gold-silver-lead vein targets occur within the western part of the property.

The claims are underlain by Late Cretaceous to early Tertiary Carmacks Suite volcanic rocks that have been intruded by early Tertiary monzonite to quartz monzonite and coeval dykes of the Prospector Mountain Suite. All rocks have been cut by northwest to northeast trending structures that are apparent as recessive topographic lineaments.

2009 Exploration

During 2009, Tarsis carried out prospecting and early stage exploration, which led to the discovery of a new zone, subsequently termed the Bonanza Zone. Complete results from this exploration were disclosed in a press release dated November 17, 2009 and full results, including maps and photos can be found on the Tarsis website (www.tarsis.ca/prospector.html). Highlights from this sampling include:

  • 82.8 g/t Au , 299 g/t Ag and 1.49 % Cu
  • 14.0 g/t Au , 1340 g/t Ag and 11.65 % Cu
  • 55.7 g/t Au , 1375 g/t Ag and 7.38 % Cu
  • 82.2 g/t Au , 888 g/t Ag and 5.97 % Cu

The Bonanza Zone hosts a series of high grade gold-silver-copper showings defined along a 1,200 m northwesterly structural trend near the eastern contact between potassic altered Prospector Mountain Suite monzonite and overlying Carmacks Suite volcanic rocks. Eighteen samples of locally weathering vein talus were selected in total and results ranged from below detection to 82.8 g/t Au, below detection to 1,375 g/t Ag and 3 ppm to 11.65 % Cu. Some of the samples were collected specifically for fluid inclusion work and alteration characterization while four of the eighteen samples represent examples of altered intrusive material. Mineralized vein talus ranging from 5 to 35 cm thickness collected from eight sites along the trend is mostly comprised of multiple pulse vuggy quartz and quartz breccia with varying combinations of accessory earthy to specular hematite, black tourmaline, hematized siderite and limonite. A number of samples also contain malachite and azurite either as breccia clasts, matrix filling and later fracture filling. Only rare occurrences of pyrite and chalcopyrite are noted within the samples.

The following Table lists significant results for vein material collected along the trend of the Bonanza Zone.

Table of Significant Results
Bonanza Zone

Sample # Au (g/t) Ag (g/t) Cu (%)
       
H886454  0.73   0.4 -
H886457 23.3  586  0.22
H886458 82.8  299  1.49
H886459 35.2  981  3.08
H886460 65.5  86.6  0.60
H886467  0.83   3.4 -
H886468 23.2   4.9 -
H886473 14.00 1340 11.65
H886474 55.7 1375  7.38
H886475 82.2  888  5.97
H886476  8.52  136  0.52

Recessive lineaments defining the Bonanza structural trend are somewhat intermittent but are interpreted to span a width of roughly 200 m. Surprisingly, copper-in-soil response along the trend is generally low but this may be largely attributed to extensive talus cover and poor soil development. Historical soil sampling programs in this part of the property did not analyse for gold and silver or accessory indicator elements for precious metal veins.

Mr. Marc G. Blythe, P.Eng, is the Qualified Person responsible for the technical content of this press release. Mr. Blythe has reviewed this press release. Mr. Blythe is the President and CEO of Tarsis.

About Tarsis Resources

Tarsis is an exploration company following the prospect generator business model, with seven mineral properties in Yukon, Canada and one in Mexico. The Company acquires prospective base metal projects when base metal prices are low or of strategic value, and vends or options out projects to partners for advancement.

The Company currently has 14,867,970 shares issued and outstanding.

Tarsis Resources Ltd.

Marc G. Blythe, P.Eng., MBA., President and Chief Executive Officer

The TSX Venture Exchange does not Accept Responsibility for the Adequacy or Accuracy of this Release.

Contact Information

  • Tarsis Resources Ltd.
    Marc G. Blythe, P.Eng., MBA.
    President and Chief Executive Officer
    (604) 689-7644
    or
    Tarsis Resources Ltd.
    Mark T. Brown, C.A.
    Chief Financial Officer
    (604) 687-3520
    info@tarsis.ca
    www.tarsis.ca