Red Pine Exploration Inc.
TSX VENTURE : RPX

Red Pine Exploration Inc.

May 04, 2017 06:00 ET

Red Pine Exploration Expands Gold Mineralization in the Darwin-Grace Mine

TORONTO, ONTARIO--(Marketwired - May 4, 2017) - Red Pine Exploration Inc. (TSX VENTURE:RPX) ("Red Pine" or the "Company") has received the final assay results for holes DG-17-53 to DG-17-66 that were drilled 3 km south of the Surluga Deposit in the Darwin-Grace Mine area as part of the 6,000m winter drilling program.

Drilling highlights include (see Figure 1 and Table 1):

  • DG-17-54: intersected the central high-grade zone of the Darwin-Grace Mine
    • 13.07 g/t gold over 7.62 m
  • DG-17-55 and DG-17-56: intersected the northern high-grade zone of the Darwin-Grace Mine
    • 23.17 g/t gold over 4.45 m in DG-17-55
    • 23.10 g/t gold over 8.14 m in DG-17-56
  • DG-17-63: intersected the Darwin-Grace Deformation Zone in the southern extension of the Darwin-Grace Mine
    • 3.1 g/t gold over 4.03 m
  • DG-17-66: intersected the Nyman Vein North of the Darwin-Grace Mine:
    • 2.37 g/t gold over 3.82 m;

Quentin Yarie, President and Chief Executive Officer of Red Pine stated, "We are very encouraged by the results we received from this preliminary exploration phase of the Darwin-Grace Mine area. The winter drilling program confirmed the extension of the shallow high-grade zones of the Darwin-Grace Structure beyond was what previously known and provided important geological data for the planning of follow-up drill programs in the Darwin-Grace Mine area."

To view Figure 1, please visit the following link: http://media3.marketwire.com/docs/1093590_figure1.pdf

Overview of the Darwin-Grace Mine results

The Darwin-Grace Mine area is located 3 km south of the Surluga Deposit Inferred Resource1 at the southern extent of the Wawa Gold Corridor. These preliminary drilling results indicate that the high-grade gold mineralization in the former Darwin-Grace Mine extends near-surface beyond what was previously known.

  • Holes DG-17-53 and DG-17-54 tested the shallow extension of the central high-grade zone of the Darwin-Grace Mine. It was successfully intersected in DG-17-54, whereas DG-17-53 intersected the edge of the high-grade zone.
  • Holes DG-17-55 and DG-17-56 successfully tested the extension of the northernmost and under-explored high-grade zone discovered in the Darwin-Grace mine drifts shortly before its closure in the 1930s. Holes DG-17-55 and DG-17-56 also indicate a down-plunge continuity of 22 m for the zone.
  • Hole DG-17-60 and DG-17-61 tested the shallower extension of the high-grade zone intersected in DG-17-55 and DG-17-56.
  • Holes DG-17-63 and DG-17-64 tested the southern extension of the Darwin-Grace mine. Hole DG-17-63 successfully intersected the Grace Deformation Zone, whereas hole DG-17-64 did not conclusively intersect the structure. Red Pine geoscientists hypothesize that the structure is possibly faulted resulting in an offset between DG-17-63 and DG-17-64. Surface mapping in the summer of 2017 will help to trace the southern extension of the Grace Deformation Zone.
  • Hole DG-17-66 proves that the Nyman Vein, in which a grab samples collected in 2016 contained 143 g/t gold, continues at depth.

Table 1. Highlights of the winter 2017 drilling results in the Darwin-Grace Mine area

Hole From (m) To (m) Length (m)* Gold (g/t) Gold Zone
DG-17-53 51 53 2 1.10 Darwin-Grace Deformation Zone
DG-17-54 46.88 54.5 7.62 13.07
DG-17-55 51.75 56.2 4.45 23.17
DG-17-56 62.86 71 8.14 23.10
DG-17-60 66.66 70.7 4.04 1.09
DG-17-63 73.74 77.77 4.03 3.10
DG-17-66 12.18 16 3.82 2.37 Nyman Vein

*Assay results reported over intersection length estimated in the Darwin-Grace Deformation to represent >80% true width; as it represents a recent discovery, no true width estimation is currently defined for the intersection in the Nyman Vein.

Wawa Gold Project

The Wawa Gold property package consists of over 5,000 hectares and hosts several former mines with a combined historic production of 120,000 oz gold. To date, the largest gold deposit on the property is the Surluga deposit, which hosts a NI 43-101 Inferred Resource of 1,088,000 oz gold at an average grade of 1.71 g/t using a 0.5 g/t cut-off contained within 19.82 million tonnes2.

Exploration work by Red Pine during the past 12 months has involved the ongoing sampling of 42,000 metres of historic core that was never sampled by previous operators of the project (initiated in February 2016) and the completion in March 2017 of a 6,000-metre drill program (initiated in November 2016). This drill program is being currently followed by a new 10,000-metre drill program that was initiated in April 2017.

The goal of these sampling and drill programs is to fill-in gaps within the resource estimate with the expectation that it will lead to the definition of additional gold resources. The sampling and drill programs are expected to continue throughout 2017 and will be followed by an update to the NI 43-101 resource estimate.

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

Drill core samples were transported in security-sealed bags for analyses to SGS in Cochrane, Ontario. Individual samples are labeled, placed in plastic sample bags and sealed. Groups of samples are then placed into durable rice bags and then shipped. The remaining coarse reject portions of the samples remain in storage 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 60% interest in the Wawa Gold Project with Citabar LLP. holding the remaining 40% interest. Red Pine is the Operating Manager of the Project and is focused on expanding the existing gold resource on the property.

For more information about the Company visit www.redpineexp.com

1 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.

2 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)).

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.

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