International Silver Ridge Resources Inc.

May 02, 2011 19:58 ET

International Silver Ridge Resources Inc. and NMC Mining Corp. Provide Update on Exploration and Filing Statement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 2, 2011) -


International Silver Ridge Resources Inc. ("Silver Ridge") (TSX VENTURE:SR.H) and NMC Mining Corp. ("NMC") are pleased to provide an update on exploration of NMC's Normanby Property in Papua New Guinea.

On December 17, 2010, Silver Ridge filed a revised technical report dated November 30, 2010 relating to the Normanby Property. Since the date of the Technical Report, NMC has expended approximately $1,600,000 on Stage 1 of the exploration program recommended in the Technical Report, as follows.

NMC mobilized a small crew to Normanby Island in December, 2010 to commence refurbishment of the camp and equipment on the project site. Much of the onsite infrastructure and equipment required extensive maintenance before going back into service. Early in 2011, an expediting office and workshop were leased in Alotau on the mainland to support the Normanby Island programs. Three vessels and two vehicles were also purchased for the Alotau operation to service and supply the remote work site. Ramp-up of staff and mobilization of fuel, consumables and small tools continued during the first quarter of 2011. The camp was upgraded and expanded to accommodate up to 60 persons. This work is continuing. Maintenance facilities were also constructed for company and contractor equipment. NMC purchased additional heavy equipment such as a bulldozer and Morooka crawler to support the Stage I exploration program.

Preparation for the 2011 drilling began in early March, 2011 with the initiation of drill pad and access trail construction for the planned program. Diamond drilling commenced later in the month with one rig. A second, contract rig with crew was mobilized by barge to Normanby Island at the end of March. With two drills in operation, 11 drill holes totalling 1150m have been completed to mid-April, all on the Imwauna deposit. The first phase of drilling is intended to augment the existing drill information, to extend the depth of known mineralization below 100m vertically and to collect samples for metallurgical testing. As of mid-April no new assay information has been received.

Concurrent with the initiation of the drilling an extensive trenching program was carried out along the surface projection of the Imwauna deposit. The program is designed to establish the near surface continuity of the vein system and provide samples of sufficient quality to be incorporated in the database. A total of 78 trenches were excavated or, in some cases, existing trenches were re-opened. The mineralized veins were mapped and identified for sampling. The sampling program is in progress but to date no new results have been received. Asia Pacific Surveys Limited was mobilized to the site in March to re-establish survey control over the property and pick-up the existing drill holes. During a second visit in April newly completed holes and planned drill hole locations were also surveyed in.

Scientific and technical information concerning NMC's mineral projects contained in this press release has been prepared by or under the supervision of Mr. Colin McKenzie. Mr. McKenzie is a "Qualified Person" within the meaning of NI 43-101. He serves NMC as a consultant, and it is intended he will be Chief Operating Officer of the combined company.

Silver Ridge and NMC are also pleased to announce that the Filing Statement dated April 29, 2011 (the "Filing Statement") relating to the proposed business combination between Silver Ridge and NMC (the "Business Combination") has been finalized and filed on SEDAR.

Completion of the Business Combination is subject to a number of conditions, including the approval of the TSX-V, the execution of definitive documentation, the completion of satisfactory due diligence, and the requisite majority approval of shareholders of Silver Ridge. Silver Ridge proposes to obtain the written consent of the majority of its shareholders to the Business Combination in accordance with the rules of the TSX-V. The Business Combination cannot close until the approval of the shareholders of Silver Ridge and all required regulatory approvals are obtained. There can be no assurance that the Business Combination will be completed as proposed or at all. Investors are cautioned that, except as disclosed in the Filing Statement, any information released or received with respect to the proposed Business Combination may not be accurate or complete and should not be relied upon. Trading in the securities of Silver Ridge should be considered highly speculative.

Canaccord Genuity Corp., subject to completion of satisfactory due diligence, has agreed to act as sponsor to Silver Ridge in connection with the Business Combination. An agreement to sponsor should not be construed as any assurance with respect to the merits of the Business Combination or the likelihood of completion.

The TSX-V has in no way passed upon the merits of the proposed Business Combination and has neither approved nor disapproved the contents of this press release.

Forward-Looking Statements

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements relate to matters such as completion of the Business Combination and exploration and development of the Normanby Property and are subject to numerous risks and uncertainties, certain of which are beyond the control of Silver Ridge and NMC, including, but not limited to, the impact of general economic conditions, industry conditions, dependence upon regulatory and shareholder approvals, the execution of definitive documentation, and the uncertainty of obtaining additional financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

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.

Contact Information

  • International Silver Ridge Resources Inc.
    Dick Whittington
    President and CEO
    604 696-3989

    NMC Mining Corp.
    Phil Dadson
    Managing Director