Alder Resources Ltd.

Alder Resources Ltd.

February 08, 2012 08:00 ET

Alder Announces Initial Reverse Circulation Drill Results From Rosita Copper-Gold-Silver Porphyry/Skarn Project, Nicaragua

Bedrock: 0.91% copper, 1.00 g/t gold and 16.63 g/t silver over 12.0 metres

Dump Material: 1.27% copper, 0.35 g/t gold and 22.3 g/t silver over 25.5 metres

TORONTO, ONTARIO--(Marketwire - Feb. 8, 2012) - Alder Resources Ltd. ("Alder" or the "Company") (TSX VENTURE:ALR) is pleased to announce it has received assay results for 25 vertical reverse circulation ("RC") drill holes at its Rosita copper-gold-silver project in northeastern Nicaragua. One hole, 2011-705, was drilled in bedrock immediately south of the Santa Rita pit and intersected 12.0 metres grading 0.91% copper ("Cu"), 1.00 g/t gold ("Au") and 16.63 g/t silver ("Ag"). The hole was terminated at a vertical depth of 114.4 metres due to mechanical difficulties before reaching the target horizon at 180 metres vertical depth. The other 24 holes were drilled in the north and south dumps. Of these, hole 2011-709 included up to 25.5 metres grading 1.27% Cu, 0.35 g/t Au and 22.3 g/t Ag. The weighted average grades for the mineralized dump holes are 0.71% Cu, 0.66 g/t Au and 8.2 g/t Ag (1.26% copper equivalent ("CuEq")) over an average thickness of 14.0 metres. Results are summarized below and illustrated in the drill plan at the end of this news release.

Hole ID Location From (m) To (m) Thickness (m) Cu (%) Au (g/t) Ag (g/t) CuEq(1)(%)
2011-705(2) Bedrock 39.0 51.0 12.0 0.91 1.00 16.6 1.79
2011-701 North Dump 0 10.5 10.5 0.54 3.69 5.2 3.07
2011-702 North Dump 0 10.5 10.5 0.47 1.24 8.7 1.41
2011-703 North Dump 0 24.0 24.0 0.39 0.31 5.5 0.67
2011-704 North Dump 0 21.0 21.0 1.14 0.92 10.6 1.89
2011-706 North Dump 0 12.0 12.0 0.29 0.10 5.7 0.43
2011-707 North Dump 0 22.5 22.5 0.85 1.10 8.5 1.69
2011-708 North Dump 0 24.0 24.0 0.81 0.40 9.8 1.20
2011-709 North Dump 0 25.5 25.5 1.27 0.35 22.3 1.78
2011-710 North Dump 0 4.5 4.5 2.21 0.14 15.3 2.50
2011-711 North Dump 0 19.5 19.5 1.25 0.47 11.8 1.71
2011-712 South Dump 0 12.0 12.0 0.31 0.69 4.8 0.83
2011-713 South Dump 0 6.0 6.0 0.10 0.24 1.1 0.27
2011-714 South Dump 0 7.5 7.5 0.07 0.21 0.8 0.22
2011-715 South Dump 3.0 10.5 7.5 0.06 0.29 0.7 0.26
2011-716 South Dump No significant intercepts
2011-717 South Dump 0 21.0 21.0 0.60 0.57 9.4 1.10
2011-718 South Dump 0 19.5 19.5 0.53 0.28 6.0 0.79
2011-719 South Dump 9.0 12.0 3.0 0.02 0.10 0.5 0.09
2011-720 North Dump 3 13.5 10.5 0.54 0.51 5.1 0.94
2011-721 South Dump 0 7.5 7.5 0.56 0.49 6.2 0.97
2011-722 South Dump No significant intercepts
2011-723 South Dump No Significant intercepts
2011-724 South Dump No significant intercepts
2011-725 South Dump No significant intercepts
(1) %CuEq = %Cu + ((Au grade X Au $/oz) + (Ag grade X Ag $/oz))/(Cu $/lb X 22.0462 X 31.0135); Cu = $3.50/lb, Au = $1600/oz, Ag = $30/oz
(2) True width is estimated to be 70% of drilled intercept

Vertical RC hole 2011-705 was collared in bedrock south of the Santa Rita pit, and was designed to test for extensions of the main Santa Rita deposit at a vertical depth of 180 metres. The hole was abandoned short of its target depth due to mechanical difficulties. Results from this hole are highly encouraging and indicate the presence of an upper mineralized horizon, and also confirm the presence of significant gold and silver values with the copper. All of the mineralization intersected in the drill hole is hosted in garnet-epidote-quartz-sulfide skarn.

To date 55 RC holes have been drilled through the dumps, with results pending for 31 of the holes. Drilling to date indicates the thickness of mineralized material ranges from 4.5 metres to 25.5 metres and averages 14.0 metres.

The holes were drilled in 6 dump areas, including the North dump (400m by 200m), South dump (400m by 200m), SW dump (500m by 200m), East dump (500m by 100m), NE dump (225m by 150m) and R-13 dump (250m by 125m). In all, the dumps cover an area of approximately 52 hectares. Results in this press release are for the North and South dumps only. Additional results will be presented for the other areas after assays have been received and evaluated.

In addition to the RC holes, a series of 17 vertical channel samples were collected from the apron of the dumps, as disclosed in a press release issued by Alder on December 14, 2011. The average grades of the vertical channel sampling was 0.55% Cu, 0.47 g/t Au and 8.73 g/t Ag (0.97% CuEq).

Joseph Arengi, President and Chief Executive Officer of Alder, stated: "These initial results are highly encouraging. The bedrock hole confirms the presence of significant in situ gold and silver values with copper mineralization as well as the presence of multiple mineralized horizons. The holes that tested the dump material are higher grade than the vertical channel samples and also show there is considerable gold and silver content. When the results are available for the remaining 31 RC holes we expect to be able to estimate a mineral resource for the dumps."

The Rosita Project

The Rosita project is 8 kilometres north of Primavera where Calibre Mining Corp. ("Calibre") and B2Gold Corp. recently announced the discovery of significant gold-copper porphyry style mineralization that included 261.7 metres grading 0.78 g/t Au and 0.30% Cu in a diamond drill hole (Calibre press release of January 20, 2012).

Alder has entered into an option agreement to acquire a 65% interest in the Rosita D concession from Calibre (as disclosed in a press release issued by Alder on August 22, 2011). Historic production from the Santa Rita and R-13 open pits totaled 5.37 million tonnes of ore grading 2.06% Cu, 0.93 g/t Au, and 15.08 g/t Ag. The mine closed in 1975 due to low copper prices. Alder's management believes that a substantial amount of Cu-Au-Ag mineralization lies both below and adjacent to the Santa Rita pit. Historic drilling below the Santa Rita pit returned intercepts that included 2.27% Cu, 0.21 g/t Au and 30.85 g/t Ag over 16.7 metres true width at a vertical depth of 225 metres below the assumed base of the pit. The Rosita deposit is open to depth and along strike.

The Bambana prospect, located four kilometres northwest of the Santa Rita open pit, returned historic intercepts of up to 0.43% Cu and 6.54 g/t Ag over 42.0 metres and 0.51% Cu, 0.25 g/t Au and 10.41 g/t Ag over 11.5 metres in two diamond drill holes completed in 2010. A review of this area by Alder confirmed copper porphyry-style alteration and sulphide mineralization.

Alder has not yet verified the historic drill results referenced in this news release and does not intend to use this information for purposes other than planning and prioritizing exploration targets.

RC drilling will now focus on historic mineralized drill intercepts at the R-13 area. The core rig will test for down dip and strike extensions of the north east-striking / south east-dipping Santa Rita zone, as well as concealed porphyry mineralization at depth.

Quality Assurance/Quality Control

Samples are collected into heavy gauge plastic bags, sealed on-site, then stored at Alder's Rosita field office until they can be transported by company personnel to Inspectorate Exploration and Mining Services' sample preparation facility in Managua. Here, sample pulps are prepared, then air freighted to Inspectorate's Vancouver laboratory for analysis. Each sample is analyzed for total copper using aqua regia digestion followed by an ICP analysis, which includes a 30-element geochemistry package, including silver. Soluble copper is determined using dilute sulfuric acid digestion with an AA (atomic absorption) finish. Gold is determined via fire assay with an AA finish. Alder has implemented an industry standard Quality Assurance/Quality Control program that includes the insertion of certified standards, duplicates and blanks into the sample stream.

Qualified Person

Joseph Arengi, M. Sc., P. Geo., President and Chief Executive Officer of Alder and a qualified person under NI 43-101, has reviewed and approved the scientific and technical information in this press release.

About Alder Resources Ltd.

Alder is a resource company focused on the development of gold and base metal projects throughout Latin America. Current focus is on the Rosita project in Nicaragua located 275 km northeast of Managua. Alder plans to continue to build its property position with strategic acquisitions.

Alder Resources Ltd.

Joseph Arengi, President & CEO

To view the map accompanying this press release, click on the following link:

Cautionary Note Regarding Forward-looking Information

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding potential mineralization, reserve and resource determination, exploration results and future plans. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Alder, as the case may be, to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; risks associated with operation in foreign jurisdictions; ability to successfully integrate the purchased properties; foreign operations risks; and other risks inherent in the mining industry. Although Alder has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Alder does not undertake to update any forward-looking information, except in accordance with applicable securities laws.


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