Alder Resources Ltd.

Alder Resources Ltd.

December 05, 2011 09:40 ET

Alder Announces Startup of 5,000 Metre Drill Program at Rosita Copper-Gold-Silver Porphyry/Skarn Project in Nicaragua

TORONTO, ONTARIO--(Marketwire - Dec. 5, 2011) - Alder Resources Ltd. ("Alder") (TSX VENTURE:ALR) is pleased to announce that drilling has commenced at its Rosita Cu-Au-Ag project in northeastern Nicaragua. The initial phase will include 1,000 metres of reverse circulation (RC) drilling to follow-up on historic mineralized diamond drill intercepts below the Santa Rita pit. Alder will also test the dumps around the Santa Rita pit where management believes a significant amount of copper- and gold-bearing mineralization is present. Additional RC drilling of up to 4,000 metres will test mineralization in other highly prospective areas, including R-13 and the Bambana porphyry copper target as well as other targets generated during the ongoing exploration program.

The past producing Santa Rita and R-13 open pit areas were the focus of much historical exploration during the 1960s and 70s with reported diamond drill intercepts that include:

DDH True
Intercept Width
Hole ID %Cu (m) (m) Area
NQ-17 0.45 29.1 29.1 Below Santa Rita Pit
R-101 0.41 37.7 37.7 Below Santa Rita Pit
NQ-11B 1.15 20.9 19.8 Below Santa Rita Pit
NQ-14 0.56 31.4 31.4 Below Santa Rita Pit
NQ-3 0.60 15.2 12.8 Below Santa Rita Pit
NQ-12 0.54 34.1 24.4 Below Santa Rita Pit
R-167 1.19 17.7 15.2 Below Santa Rita Pit
R-99 0.35 45.7 15.2 Below Santa Rita Pit
NQ-1 1.01 42.1 42.1 Below Santa Rita Pit
NQ-2 0.87 29.6 18.3 Below Santa Rita Pit
NQ-5 0.63 24.7 21.3 Below Santa Rita Pit
R-72 2.95 38.7 18.3 Below Santa Rita Pit
R-74 1.05 22.0 12.2 Below Santa Rita Pit
NQ-7 1.34 31.3 31.0 Below Santa Rita Pit
NQ-10 2.27 23.5 16.7 Below Santa Rita Pit
RQ-142 1.11 14.6 unknown South of R-13 pit
RQ-148 3.09 5.5 unknown South of R-13 pit
R-108 0.50 52.1 unknown North of R-13 pit
R-40 0.98 79.9 unknown North of R-13 pit
RQ-195 1.68 15.2 unknown West of R-13 pit
RQ-162 0.87 61.3 unknown West of R-13 pit

Intermittent Au and Ag values were also reported in the historical data, suggesting there is a significant precious metal component to the mineralized system. Mineralization below the Santa Rita pit is open along strike to the east and west as well as down dip. The deepest intercept included 2.27% Cu, 0.21 g/t Au and 30.85 g/t Ag over 23.5 metres in hole NQ-10, and is at a vertical depth of 225 metres below the assumed base of the pit. Drill logs for these holes are not available and true widths for the intercepts in the R-13 area are unknown.

Joseph Arengi, President and Chief Executive Officer of Alder, stated: "We are rapidly moving forward with our exploration efforts at Rosita. We believe there to be strong potential in at least three areas on the property where successful historical drilling was carried out. We will actively continue our work on the property in the coming weeks and months in order to outline the nature and extent of copper-gold-silver mineralization on the property."

Alder has entered into an option agreement to acquire a 65% interest in the Rosita D concession from Calibre Mining Corp. (as disclosed in a press release issued by Alder on August 22, 2011), which hosts the historic open pit Santa Rita copper-gold-silver deposit from which 5.37 million tonnes of ore grading 2.06% Cu, 0.93 g/t Au, and 15.08 g/t Ag was extracted. 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. Recent work returned trench intercepts of 1.06 g/t Au, 0.96% Cu and 9.33 g/t Ag over 12.0 metres and 3.26% Cu, 55.82 g/t Ag and 0.15 g/t Au over 8.30 metres. Historic drill intercepts from the R-13 zone, located 500 metres east of the Rosita deposit, reportedly returned up to 7.2% Cu, 0.44 g/t Au and 76.8 g/t Ag over 10.5 metres. This zone 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 identified copper porphyry-style alteration and sulphide mineralization.

Alder has completed detailed vertical channel sampling around the periphery of the old mine dumps near the Santa Rita pit and has begun trenching at the Bambana area. Results from the dump sampling are pending. As stated in a press release issued by Alder on October 20, 2011, Alder's first priority will be to confirm mineralization in areas that reported historic Cu-Au mineral resources on the property. The initial work program on the property includes an evaluation of the mineralized dumps by trenching and reverse circulation drilling, testing high priority targets around the old Santa Rita and R-13 pits, trenching and drilling at Bambana and a reinterpretation of the geophysical data. Alder plans to use the results of this initial work to develop an aggressive drill program that will be designed to lead to a resource estimate.

Alder has not yet done sufficient work to verify the historic drill results reported in this news release and does not intend to use this information for purposes other than planning and prioritizing exploration targets.

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 will continue to build its property position with strategic acquisitions.

Alder Resources Ltd.

Joseph Arengi, President & CEO

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.

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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