Red Pine Exploration Inc.
TSX VENTURE : RPX

Red Pine Exploration Inc.

April 10, 2015 06:00 ET

Red Pine Exploration Intersects High Grade Footwall Mineralization, Wawa Gold Project

TORONTO, ONTARIO--(Marketwired - April 10, 2015) - Red Pine Exploration Inc.'s (TSX VENTURE:RPX) (the "Company" or "Red Pine") winter/spring 2015 drill program is continuing with 2,500 metres ("m") of drilling completed as part of the planned program total of more than 3,000m on the Surluga Gold Deposit. The program's primary focus is to provide infill drilling results that can be used to expand the grade and size of the mineral resource at Surluga due to gaps in the historic data. Red Pine has a regulatory requirement to issue its own NI 43-101 report no later than June 12, 2015. Results for holes SD15-07 through SD-15-13 have now been received and assays are pending for the remaining holes.

2015 Drilling Program

Significant intervals and composite assay results expected to be included in the revised resource are summarized below:

Intervals greater than 15 grams per tonne ("g/t") gold

Hole ID From (m) To (m) Length (m)* Gold (g/t)
SD-15-07 67.00 68.00 1.00 16.60
SD-15-10 228.39 229.40 1.01 16.20
SD-15-11 195.50 196.50 1.00 53.20
SD-15-11 216.00 217.00 1.00 51.70

Composites greater than 5 g/t gold

Hole ID From (m) To (m) Length (m)* Gold (g/t)
SD-15-07 63.00 68.00 5.00 5.64
SD-15-07 247.00 249.00 2.00 5.89
SD-15-08 327.35 329.35 2.00 5.84
SD-15-10 227.40 230.40 3.00 5.54

Composites greater than 1 g/t gold

Hole ID From (m) To (m) Length (m)* Gold (g/t)
SD-15-07 60.00 93.00 33.00 1.03
SD-15-07 195.00 197.00 2.00 1.18
SD-15-07 233.00 264.00 31.00 1.14
SD-15-08 45.00 47.00 2.00 1.47
SD-15-08 323.00 335.22 12.22 1.04
SD-15-10 198.00 200.20 2.20 1.16
SD-15-10 221.00 237.60 16.60 1.02
SD-15-11 160.82 162.00 1.18 1.42
SD-15-12 144.25 145.50 1.25 1.64
SD-15-12 149.10 153.10 4.00 1.20
SD-15-13 169.00 179.55 10.55 1.16
*True width has not been calculated for each individual intercept, but true width is generally estimated at 85%-95% of drilled width.

Quentin Yarie, President and Chief Operating Officer commented, "Our current program is focused on filling in the gaps in the historic data of the Surluga Gold Deposit as it provides the greatest opportunity for immediately increasing the size and grade of the resource. Having completed the required infill drilling, we have now resumed drilling on our targeted new zones of mineralization."

New Insights of Work to Date

Past exploration has focused exclusively on the delineation of gold mineralization within the Surluga Gold Deposit's Jubilee Shear. During Red Pine's current exploration program however, gold mineralization was identified in both the hanging wall and footwall. This material was previously excluded in resource calculations as it was deemed to be barren.

In the hanging wall, gold mineralization is found both in subsidiary shears, and with disseminated pyrite. The shear hosted gold is similar to that found within the Jubilee Shear, but the pyrite association in diorite has more of an affinity with Archean Porphyry Gold systems such as Iamgold's Côté Lake project. These findings are significant in that they identify gold mineralization in previously discounted material, and should therefore positively influence waste to ore ratios in future evaluations.

Hanging wall drill intersections

Hole ID From (m) To (m) Length (m)* Gold (g/t)
SD-15-07 50 52 2 0.8
SD-15-07 59 86 27 1.27
SD-15-07 170 173.7 3.7 0.525
SD-15-07 195 203 6 0.46
SD-15-08 43 49 6 0.665
SD-15-08 92.7 108.74 16.04 0.2

In the footwall, gold mineralization has been identified in high grade quartz-tourmaline tension veins. These tension veins are postulated to have been emplaced as fracture 'fillings' between the Jubilee Shear and the Hornblende Shear (a subparallel shear ~300-450 metres to the west of the Jubilee). These findings are significant in that they extend prospective gold mineralization further to the west than previously identified.

Footwall drill intersections:

Hole ID From (m) To (m) Length (m)* Gold (g/t)
SD-15-11 195.50 196.50 1.00 53.20
SD-15-11 216.00 217.00 1.00 51.70
*True width has not been calculated for each individual intercept, but true width is generally estimated at 85%-95% of drilled width

In addition to identifying gold mineralization in both the hanging wall and footwall of the Surluga Gold Deposit, structural analysis of oriented drill core has revealed that lode gold mineralization within the Surluga Gold Deposit is concentrated in vein arrays. Different structures are controlling the spatial distribution of these high grade gold zones. The main structures are a stretching lineation related to drag folding along shear zones, favorable contact zones between the diorite and a mafic fine-grained intrusion and intersection lineation between different sets of shear zones. Company geoscientists believe they can use this information to more accurately target gold mineralization in the future.

Diamond Drill Hole Locations (See Figure 1, visit the following link: http://media3.marketwire.com/docs/RedPine_Figure1.jpg)

Hole_ID Northing (m) Easting (m) Azimuth Dip Depth (m)
SD-14-01 668306.4 5316786 317.5 -62 127
SD-14-02 668306.7 5316786 328 -65 231
SD-14-03 668441.6 5316567 340.1 -62 309
SD-14-04 668449.3 5316300 340 -65 330
SD-14-05 668364.9 5317013 234 -47 234
SD-14-06 668205.3 5315775 345 -45 342
SD-15-07 668240 5315920 305 -56 279
SD-15-08 668546 5316250 324 -60 363.8
SD-15-09 668312 5316459 302 -57 240
SD-15-10 668342 5316353 338 -57 255
SD-15-11 668266 5316498 300 -57 228
SD-15-12 668266 5316498 320 -60 163.09
SD-15-13 668319 5316534 318 -65 213
SD-15-14* 668339 5316094 323 -56 291
SD-15-15* 668216 5316226 323 -55 195
SD-15-16* 668256 5316338 321 -55 180
SD-15-17* 668283 5316375 337 -62 210
SD-15-18* 668163 5316379 325 -60 115.78
SD-15-19* 668139 5316470 326 -59 135
SD-15-20* 668212 5316604 326 -59 123
SD-15-21* 668159 5316665 320 -50 75
SD-15-22* 668235 5316726 320 -60 99

* Assays pending

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 Ancaster, 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 Ancaster, Ontario as required in the event that 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.

Wawa Gold Project Highlights

  • Located in Wawa, Ontario, an area of significant historical and current gold exploration (since 1890's) and production (1902 to 1991);
  • Property hosted eight past producing mines with historic production of over 120,000 ounces (Watts, Griffis and McQuat, NI 43-101 technical report dated October 15, 2012 );
  • Inferred resource of 1,072,335 ounces at 1.49 grams per tonne gold contained in 22.355 million tonnes, open along strike and at depth;
  • Proximity to established regional infrastructure (roads, rail, regional airport, high voltage power lines, water).
  • Assumption agreement in place with Augustine Ventures (CSE:WAW) and Citabar

Red Pine Exploration Finalizes Acquisition of Québec Silica Property

Red Pine Exploration Inc. (TSX VENTURE:RPX) ("Red Pine" or the "Company") announces that it has executed a Purchase and Sale Agreement to acquire 100% ownership of the Kipawa Silica Property (the "Kipawa Property") located approximately 15 kilometers east of Temiscaming, Québec.

Kipawa Silica Project

Silica (SiO2) is most commonly found in nature as quartz. It is used in foundries, in the aluminum industry and glass factories as well as in the production of solar panels and high-tech components.

The Kipawa Property consists of 68 claims totaling 4,012 hectares in the Gendreau, Campeau and Reclus townships of Québec. The quartzite unit is part of the Kipawa Formation and covers an area over the claim blocks of approximately 1.9 square kilometres. The quartzite unit within the Kipawa Property has the potential to contain a high silica content with less than 1% impurities. This purity of silica is considered a premium product as it can be used in the production of such items as semi-conductors, LCD displays and Silicone-Anode Lithium Batteries.

FerroAtlantica, one of the largest silicon metal (Si) producers in the world, announced recently that it is investing nearly $400 million in the construction of a silicon metal plant in Port Cartier, Québec.

Kipawa Silica Property Acquisition Terms

The consideration for the acquisition is the issuance of 8,000,000 shares of the Company at the deemed price of $0.05 and the grant of a 1% net smelter returns ("NSR") royalty to the property vendor, Fiducie Ananke. Red Pine has the right to buy-back the entire 1% NSR at any time for CDN$500,000. The vendor is entitled to receive up to 6 million additional shares if Red Pine closes certain financings by October 30, 2015.

No finder's fees were payable on this property transaction, and the vendor is at arm's length to the Company.

The closing is subject to TSX Venture Exchange approval and certain other customary closing conditions. All securities issued in connection with this transaction are subject to a hold period of 4 months and 1 day.

Administration

The Company wishes to clarify its February 27, 2015 news release with respect to the number of stock options recently awarded. It should have read that the Company granted a total of 8,315,000 stock options to directors, officers and consultants of the Company on February 26, 2015 under the terms of the incentive stock option plan of the Company filed with the TSX Venture Exchange and approved by shareholders at the last Annual General Meeting of Shareholders of the Company held on January 27, 2015. All options are exercisable at a price of $0.10 per share for a period of five years and are subject to a four-month and one day hold period from the date of issuance.

Qualified Person

Quentin Yarie, PGeo. is the qualified person responsible for preparing, supervising and approving the scientific and technical content of this news release and is responsible for overseeing all aspects of the company's exploration programs.

About Red Pine Exploration Inc.

Red Pine Exploration 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".

The Mineral Resource is disclosed in the NI 43-101 compliant technical report titled "Amended Technical Review and Mineral Resource Estimate for the Jubilee-Surluga Property, near Wawa, Ontario, Canada for Augustine Ventures Inc." dated October 12, 2012 and prepared by Clifford J. Duke, P. Eng., Senior Associate Geological Engineer of Watts, Griffis and McOuat, Consulting Geologists and Engineers. The report is available on www.SEDAR.com under Augustine's profile.

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. Forward-looking statements are statements which relate to future events. 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.

Contact Information