SOURCE: Rae-Wallace

Rae-Wallace

October 11, 2011 09:00 ET

Rae-Wallace Mining Company Prepares to Drill at Toro Blanco, Continues Peruvian Gold Exploration on Several Fronts

RENO, NV--(Marketwire - Oct 11, 2011) - Rae-Wallace Mining Company (PINKSHEETS: RAEW) ("Rae-Wallace" or the "Company") today provided an update of its gold exploration programs in central Peru.

At the Company's Toro Blanco project, permitting is complete for a planned 8 to 10 hole drill program. Recent alteration analysis of 165 rock samples demonstrates that the clay mineral assemblages at Toro Blanco are consistent with a high-sulfidation epithermal system exhibiting a mix of advanced and intermediate argillic alteration coincident with gold and pathfinder element anomalies. These attributes are comparable to those observed at Peru's most productive gold camps, confirming the importance and exploration priority of the project for Rae-Wallace. Also at Toro Blanco, a Corporate Social Responsibility (CSR) agreement has been completed with local representatives. As part of the CSR, local workers have been hired to assist with road construction along a 26-kilometer route to the project area.

Among the Company's several early-stage gold-silver exploration projects in central Peru, mapping and sampling are underway at Mirko and Sura to determine their priority for further exploration. At Mirko, samples from three distinct high-sulfidation zones returned up to nearly 1 gram per tonne (g/t) gold and 525 g/t silver along with high levels of indicator elements. Sura includes a high-sulfidation zone exceeding 9 square-kilometres that exhibits strong alteration within volcanic and volcaniclastic rocks. Minor gold values, typical of an upper level system, along with strong indicative trace element geochemistry, cover extensive portions of the Sura project area.

Several gold and silver anomalies from an exploration database compiled by Geologix Explorations Inc. (during their former joint-venture with Newmont Peru S.R.L.) have been assessed and targeted for acquisition as part of the Company's Reconnaissance program. The valuable database contains more than 4,000 stream sediment samples taken from drainages across a one-million hectare area and was acquired by Rae-Wallace from Geologix, along with its Peruvian land package, in 2010.

Finally, several advanced-stage precious metal opportunities in Peru and elsewhere in South America are currently being evaluated by the Company for possible acquisition. Rae-Wallace recently liquidated its legacy Nevada properties for nominal consideration allowing it to focus completely on South America.

For more information about Rae-Wallace, please visit the Company's website at www.raewallace.com.

Rae-Wallace Mining Company is exploring drill-ready gold and silver properties along the prolific mineral belts of Peru, the world leader in foreign mining investment. The Company is led by senior industry executives and skilled explorationists, experienced at the identification, acquisition, and development of successful, large-scale, international mining projects. The Company has prominent corporate shareholders and features a tight share structure. Rae-Wallace stock currently trades on the OTC market under the symbol "RAEW."

Except for historical information contained herein, this news release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those currently anticipated due to a number of factors and risks. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.

Contact Information

  • For additional information, please contact:
    George Cole
    775-315-0728
    Email Contact