Catalina Metals Corp

March 02, 2011 08:01 ET

Catalina Options Cooks Creek Project in Nevada

COURTENAY, BRITISH COLUMBIA--(Marketwire - March 2, 2011) - Catalina Metals Corp. (TSX VENTURE:CTX.H) ("Catalina or the Company") reports that it has signed an agreement, subject to regulatory acceptance, with Redstar Gold Corp. (TSX VENTURE:RGC), wherein Catalina can earn a 60% interest in Redstar's Cooks Creek project in Nevada. Under the terms of the agreement, Catalina can earn a 60% interest by completing $2.5 million in work expenditures and paying $200,000 in cash and issuing 500,000 Catalina shares to Redstar over four years. Redstar will act as operator.

Cooks Creek, consists of approximately 3.7 square miles of 100%-owned unpatented mining claims covering an area of outcropping sediment-hosted gold mineralization about 8 miles west of the Pipeline mine. Cooks Creek lies along the Battle Mountain – Eureka mineral belt, also referred to as the Cortez trend. The Pipeline and adjacent Cortez and Cortez Hills Carlin-type gold deposits contain more than 30 million ounces of gold (production plus reserves/resources); the mines are operated by Barrick Gold. 

The main gold zone at Cooks Creek covers an area of approximately 890 x 760 metres. The area contains strongly anomalous arsenic, mercury, and antimony (which locally occurs as stibnite), elements that are characteristic of productive Carlin-type gold deposits.

Gold mineralization remains open along strike and depth along at least two northeast-striking fault zones about 300 metres apart. Rock sampling by Redstar has identified a further gold anomaly located about 900 metres south of the main gold zone.

Bob Singh P. Geo is a qualified person as defined by National Instrument 43-101 and has reviewed this news release.

Neither the 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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