Red Pine Exploration Inc.
TSX VENTURE : RPX

Red Pine Exploration Inc.

December 07, 2016 06:00 ET

Red Pine Exploration Defines Additional Gold in the Core of the Surluga Deposit - Including 45.08 Metres @ 3.32 g/t Gold

TORONTO, ONTARIO--(Marketwired - Dec. 7, 2016) - Red Pine Exploration Inc. (TSX VENTURE:RPX) ("Red Pine" or the "Company") has received results for holes sampled as part of its sampling program of historic core at its Wawa Gold Project. The Company has also completed two additional boreholes (SD-16-42 and SD-16-43) of its on-going Fall 2016 Drill Program.

Highlights from new results of the sampling program include:

  • 45.08 metres at 3.32 grams per tonne ("g/t") gold in hole U0706L5 and 46.33 metres at 3.11 g/t gold in U0690L5 (Table 1);
  • Increase in the gold weighted average (sum of individual intercepts gold grade times length) for 7 of the 20 sampled holes, and an average increase of the intersection length in 7 of the 20 holes (Table 1); and
  • Discovery of a gold zone in the Jubilee Shear.

Highlights from the on-going 2016 Fall Drill Program include:

  • A five metre intersection of a network of quartz veins, including one carrying visible gold1, in hole SD-16-43 drilled 525 metres north of the inferred resource boundary (Figure 1);
  • A 103 metres2 intersection of continuous shearing and alteration related to the Hornblende Shear Zone in SD-16-43;
  • A 98 metres2 intersection of continuous shearing and alteration related to the Hornblende Shear Zone in SD-16-42.

Quentin Yarie, President and Chief Executive Officer of Red Pine states, "We are excited to see that each new set of results from the sampling of historic core has a positive impact on the gold weighed average for some of the sampled holes. Again, these results, indicate that significant gold remains to be identified in the current inferred resource pit model.

The observation of visible gold1 in a new quartz vein network and in the Jubilee Shear Zone in hole SD-16-43 is exciting as it proves that the structure, host of the Surluga Deposit, and the associated gold system, extend at least 525 metres north of the current boundary of the inferred resource. We are also impressed by the thickness of the Hornblende Shear Zone as seen in holes SD-16-42 and SD-16-43, which further demonstrates the large size of this parallel gold-bearing structure."

Sampling of historic core

Red Pine's current sampling of 42,000 metres of historic core (from 318 underground and 119 surface drill holes) continues to define additional gold in many of the historic boreholes that intersected the Jubilee Shear Zone - host of the Surluga Deposit, a 1.088 million ounces inferred resource3. The spatial distribution of the historic boreholes with notable gold weighted average increases will positively change the current deposit model (Figure 1).

On-going Fall 2016 Drill Program

The on-going diamond drill program is focussed on expanding the Surluga Deposit to the north. Hole SD-16-42 targeted the Wawa Gold Corridor at the northern limit of the inferred resource. This borehole successfully intersected the Jubilee Shear Zone, the Surluga Road Shear Zone, and the Hornblende Shear Zone. Hole SD-16-43 located 525 metres north of the inferred resource, successfully intersected the Jubilee Shear Zone, the Hornblende Shear Zone, and a series of quartz-sulfide veins containing visible gold1 in both the hanging wall and footwall of the Jubilee Shear Zone.

In SD-16-42 and SD-16-43, the respective intersections of 98 and 103 metres of continuous shearing and hydrothermal alteration in the Hornblende Shear Zone, outside of the current deposit model, demonstrates the potential to increase the inferred resource. Assays are pending.

Table 1 - Before and after intersections4 with a cutoff of 0.2 g/t gold

Hole Before/
After
sampling
Structure From
(m)
To
(m)
Intersection length*(m) Gold Weighted Average
(g/t * m)
Grade
(g/t gold)
% changes gold weighted average
U0675L5 Before Jubilee 52.73 56.08 3.35 3.96 1.18 38.64
After 42.95 56.08 13.13 5.49 0.42
U0690L5 Before Jubilee 11.28 56.08 44.8 141.74 3.16 1.51
After 9.75 56.08 46.33 143.88 3.11
U0697L5 Before Jubilee 43.13 57.61 14.48 3.2 0.22 129.38
After 39.62 57.61 17.99 7.34 0.41
Jubilee 99.67 103.94 4.27 1.32 0.31 Zone was historically un-sampled
U0706L5 Before Jubilee 20.12 53.64 33.52 145.64 4.34 2.9
After 15.88 60.96 45.08 149.86 3.32
U0714L5 Before Jubilee 54.25 55.17 0.92 1.9 2.07 101.58
After 51.91 60.53 8.62 3.83 0.44
U0716L5 Before Jubilee 37.64 53.34 15.7 35.73 2.28 11.17
After 37.64 63.7 26.06 39.72 1.52
U1226L6 Before Jubilee 0 5.49 5.49 4.35 0.79 9.43
After 0 7.62 7.62 4.76 0.62

* True width has not been calculated for each individual intercept, but true width is generally estimated at greater than 80% of drilled width.

On-site Quality Assurance/Quality Control ("QA/QC") Measures

Drill core samples are transported in security-sealed bags for analyses at Activation Laboratories Ltd. in Timmins, Ontario. Individual samples are labeled, placed in plastic sample bags and sealed. Groups of samples are then placed into durable rice bags that are then shipped. The remaining coarse reject portions of the samples remain in storage at the Activation Laboratories Ltd. in Timmins, Ontario if further work or verification is needed.

Red Pine has implemented a quality-control program to comply with best practices in the sampling and analysis of drill core. As part of its QA/QC program, Red Pine inserts external gold standards (low to high grade) and blanks every 20 samples in addition to random standards, blanks, and duplicates.

Qualified Person

Quentin Yarie, P Geo. is the qualified person responsible for preparing, supervising and approving the scientific and technical content of this news release.

About Red Pine Exploration Inc.

Red Pine Exploration Inc. is a gold and base-metals exploration company headquartered in Toronto, Ontario, Canada. The Company's common shares trade on the TSX Venture Exchange under the symbol "RPX".

Red Pine has a 30% interest in the Wawa Gold Project and has entered into a Joint Venture Agreement with Citabar LLP and Augustine Ventures Inc. The Wawa Gold Project is now owned by Citabar/Red Pine/Augustine in the ratio of 40%, 30% and 30%, respectively. Under the terms of the JVA, Red Pine is the Operating Manager and continues to explore and advance the current gold resource on the property.

Red Pine and Augustine have entered into a definitive agreement (November 14, 2016) to consolidate their ownership of the Wawa Gold Project.

1 Gold visible with the naked eye - "visible gold"

2 Based on core angles, this is very close to true width.

3 NI 43-101 inferred resource of 1,088,000 ounces of gold at a 1.71 grams per tonne (g/t) using a 0.40 g/t gold cut-off grade for pit-constrained and 2.50 g/t gold cut-off grade for underground-constrained resources, contained in 19.82 million tonnes open along strike and at depth. The Cut-off grades are based on a gold price of US$1,250 per once and a gold recovery of 95 percent (Mineral Resource Statement*, Surluga-Jubilee Gold Deposit, Wawa Gold Project, Ontario, SRK Consulting (Canada) Inc (effective May 26, 2015)). The report is available on www.SEDAR.com under Red Pine's profile.

4 Before results are entirely historical and are based on assay results obtained during drill programs conducted between 1961 and 1989 by previous operators of the Wawa Gold Project. After results represents the combination of the historical results with the new assay results obtained by Red Pine Exploration as part of its sampling program. Red Pine's sampling of the core involves re-measuring the historical boreholes and sampling the un-sampled core pieces left in the historical intersections. A full QA/QC program is implemented as part of Red Pine sampling program. All the sampled historical boreholes with the new sample locations are also systematically photographed as part of the sampling protocols.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This News Release contains forward-looking statements. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expects", "plans", "anticipates", "believes", "estimates", "predicts", "potential" or "continue" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.

Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release. The Company disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.

To view Figure 1. Overview of the historic drill holes with weighted gold average increases and 2016 drill holes, please visit the following link: http://media3.marketwire.com/docs/figure1.12.07.pdf

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