Archean Star Resources Inc.
TSX VENTURE : ASP

Archean Star Resources Inc.

October 28, 2011 15:07 ET

Archean Star Announces 2nd Year Expenditures at Gnaweeda Gold Project, Diamond Drill Program

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 28, 2011) - Archean Star Resources Inc. ("Archean" or the "Company") (TSX VENTURE:ASP) announces that it has advised Teck Australia Pty. Ltd. ("Teck") that of the AUD$3,000,000 required under the Option Agreement between Archean and Teck to earn 100% of Teck's interest in the Gnaweeda Gold Project ("Gnaweeda") at Meekatharra in the Murchison Gold District, Western Australia by November 30, 2013, it has expended AUD$1,969,537 on property expenditures as of the second anniversary of the four year term Agreement.

The Company anticipates that, subject to market conditions and financing, it will complete the balance of the expenditures to earn 100% of Teck's interest in Gnaweeda towards the end of the first quarter of 2012.

The Company has planned a nominal 3,000 meter diamond drill program at the approximately 170 square km Gnaweeda property that is anticipated to commence during the first week of November, 2011. Up to 6 diamond drill holes are to be drilled at the approximately 2.5 km by 750 meter Turnberry zone in the north of the project area that will initially target three earlier identified higher grade gold zones within the main Turnberry zone, including the zone where the Company intersected 3 meters grading 8.27 g/t Au and 22 meters grading 2.46 g/t Au in diamond drill hole TB003.

This will be followed up with a nominal 6 hole diamond drill program at the approximately 1 km long Bunarra zone, approximately 18 km to the south of Turnberry, where at Bunarra central, diamond drill hole BN003 intersected a gold bearing mineral suite identified as quartz-tourmaline-arsenopyrite-pyrite hosted in gabbro. Diamond drill hole BN003 intersected 18 meters at an average grade of 11.71 g/t Au while hole BN005 intersected 79 meters at an average grade of 0.31 g/t Au.

Re-logging of the Bunarra diamond drill core has determined that in BN008, this same gold-bearing suite was intersected approximately 48 meters higher up than in BN003, from approximately 51 to 66 meters downhole, in a mostly weathered and oxidized part of the zone. The reported intersection further down BN008 of 7 meters grading 1.19 g/t Au from 100 meters to 107 meters down hole, including a 1meter intersection grading 7.3 g/t Au, differs from the BN003 intersection in that the gold is in a newly recognized mineral style at Bunarra, namely a quartz-chlorite-fluorite vein. As fine grains of visible gold are present in the quartz veins in this intersection, with the largest approximately .75 mm by 0.5 mm in size, the Company intends to conduct a metallic screen re-assay on this sample.

The Bunarra zone was originally interpreted to trend from the southwest to the northeast and is now interpreted to consist of one or more parallel zones trending from the north-northwest to the south-southeast. Historic workings are present approximately 500 meters along strike to the north-northwest and 700 meters along strike to the south-southeast and the zone is open along strike and to depth, with an interpreted dip to the west.

The Company has granted 450,000 incentive stock options exercisable at $0.10 cents for five years to directors, officers, and consultants to the Company.

Archean Star Resources Inc. is a junior exploration company that, through its wholly owned subsidiary, Archean Star Resources Australia Pty Ltd, has entered into an Option Agreement, subject to a 75% back in right, to earn 100% of Teck Australia Pty Ltd's interest in Chalice Gold Mines Limited's Gnaweeda Gold Project in West Australia. Kent Exploration Inc. (TSX VENTURE:KEX) with approximately 10,000,000 shares, or 35% of the outstanding common shares, is the controlling shareholder of Archean.

This News Release has been prepared on behalf of the Archean Star Resources Inc. Board of Directors, which accepts full responsibility for its contents. This news release has been reviewed by Dr. Clay M. Conway, P.Geol. a Qualified Person as recognized by National Instrument NI-43-101 and a director of the Company.

ON BEHALF OF THE BOARD

Graeme O'Neill, President

Neither the TSX Venture Exchange, nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), has reviewed, nor do they accept responsibility for, the adequacy or accuracy of this news release

Contact Information

  • Archean Star Resources Inc.
    Graeme O'Neill
    President
    (604) 684-3394
    (888) 282-7763 (FAX)
    www.archeanstar.com