Redstar Gold Corp.

Redstar Gold Corp.

June 16, 2011 12:06 ET

Redstar Leases Baker Project in Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 16, 2011) - Redstar Gold Corp. (TSX VENTURE:RGC) is pleased to announce the signing of a lease agreement with Newmont USA Limited, a subsidiary of Newmont Mining Corporation ("Newmont"), whereby Newmont will lease from Redstar the Baker Project in Nevada. Under terms of the agreement, Newmont will pay Redstar $102,500 over the first five years of the lease and is committed to spending $225,000 during the first two years; Redstar will retain a 2.5% net smelter royalty. Baker is located in the Pequop Mountains of northeastern Nevada, and is located 12 miles north of Newmont's recently acquired Long Canyon exploration project.

Baker is a Carlin-type sediment-hosted gold target containing multiple structurally-controlled zones of silicification (jasperoid) along north-northwest trending faults, an orientation similar to the control on many of the productive gold deposits of northern Nevada. Although sampling to date has not detected elevated gold contents, the jasperoids contain strongly-elevated mercury and other trace metals and locally contain disseminated pyrite and hydrothermal barite, features characteristics of productive Carlin-type gold deposits.

About Redstar Gold

Redstar currently has an aggressive drill program underway on the Newman Todd high-grade gold project in Red Lake, Ontario. In addition, the company recently acquired a new high-grade gold project in Alaska that has not been explored since the 1980's as it was owned by an oil and gas focused company. Along with the high-grade gold project in Red Lake, Ontario and Alaska, the company also has a group of gold focused projects in Nevada.

Dr. Jake Margolis a qualified person as defined by National Instrument 43-101and has reviewed this news release. Dr. Margolis is the US Exploration Manager for Redstar Gold Corp.

On Behalf of the Board, Redstar Gold Corp.

Scott Weekes, President

Forward-Looking Information This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that Redstar Gold Corporation (the "Company") expects to occur, are forward-looking statements. Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

Neither 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

  • Redstar Gold Corp.
    Tim Mikula
    Investor Relations
    604.488.0053 (FAX)