Reunion Gold Corporation
TSX VENTURE : RGD

Reunion Gold Corporation

April 10, 2012 08:00 ET

Reunion Gold Provides Additional Drilling Results on Its Matthews Ridge Manganese Project

LONGUEUIL, CANADA--(Marketwire - April 10, 2012) - Reunion Gold Corporation (TSX VENTURE:RGD) ("Reunion or the "Company") is pleased to provide an update on its exploration activities at the Matthews Ridge manganese project in Guyana, South America.

At the end of March 2012, the Company had completed a total of 38,331 meters of diamond drilling in 576 holes and 9,688 meters of reverse circulation drilling in 161 shallow holes. There are currently four diamond drills and one RC drill working at the project.

Reunion has to date received complete assay results from 134 drill holes, of which 56 were previously released. Results from 45 diamond drill holes and 33 reverse circulation drill holes completed in 2011 and 2012 are reported in this press release. Highlights of the most significant assay results are presented in Table 1. Refer to Appendix 1 for complete new results.

TABLE 1

Hole Target
Hill
Total length of hole (m) From (m) To (m) Intersection length (m) Mn
(%)
Diamond drill holes
11MR0019 H9W 70.10 0.00 28.50 28.50 13.13
11MR0036A H9W 91.50 0.00 44.00 44.00 13.84
11MR0038 H9C 79.50 0.00 39.00 39.00 19.78
11MR0075A H5C 74.20 21.50 29.00 7.50 13.06
59.00 74.20 15.20 15.26
11MR0076AA H5C 42.50 0.00 39.50 39.50 18.20
11MR0081A H5C 60.50 11.00 29.00 18.00 15.81
50.00 59.00 9.00 13.96
11MR0082A H5C 72.50 33.50 42.50 9.00 12.47
11MR0083A H5C 62.00 29.00 54.50 25.50 15.10
11MR0101A H5W 102.50 39.50 71.70 32.20 24.59
80.00 102.50 22.50 16.71
11MR0113 H5W 44.00 24.50 36.50 12.00 14.30
11MR0120A H6 34.50 0.00 18.30 18.30 25.90
11MR0123A H6 69.00 18.00 46.40 28.40 15.44
11MR0133A H5W 76.50 48.00 60.00 12.00 16.16
11MR0137A H6 46.00 14.00 32.00 18.00 12.25
11MR0145 H6 60.50 0.00 17.00 17.00 16.46
11MR0147 H6 32.00 0.00 15.35 15.35 13.88
11MR0148 H6 73.00 1.50 12.00 10.50 12.83
11MR0151 H6 98.00 7.50 14.50 7.00 19.49
11MR0179 H6 68 0 21.5 21.50 12.95
11MR0224 H8 75.5 23 45.5 22.50 14.93
11MR1047 H7 82.00 0.00 17.70 17.70 24.38
22.30 38.90 16.60 20.38
11MR1084 H9C 81.3 0 26.7 26.70 16.59
11MR1106 H9C 49.4 11.2 21.5 10.30 18.67
11MR1107 H9C 37.5 1.6 16.3 14.70 19.57
11MR1118 H9E 76 52.5 59.5 7.00 17.12
62.1 70.8 8.70 22.64
11MR1142 H9E 58.6 5.2 17.8 12.60 15.17
11MR2004 H5E 110.9 69.1 89.2 20.10 18.40
11MR2037 H5E-EXT 114.80 14.10 36.60 22.50 16.15
101.80 112.70 10.90 13.47
Reverse circulation drill holes
12MR3002 H5W 52.00 0.00 8.00 8.00 13.65
12MR3006 H5W 50.00 27.00 38.00 11.00 15.97
12MR3008 H5W 110.00 64.00 88.00 24.00 18.04
12MR3009 H5W 50.00 0.00 29.00 29.00 18.48
12MR3010 H5W 60.00 0.00 27.00 27.00 16.46
12MR3011 H5W 94.00 62.00 77.00 15.00 17.20
12MR3018 H5C 50.00 12.00 29.00 17.00 13.23
12MR3038 H9E 77.00 50.00 73.00 23.00 17.99
12MR3041 H9E 36.00 8.00 23.00 15.00 16.07
12MR3047 H9C 36.00 0.00 30.00 30.00 29.57
12MR3048 H9E 76.00 26.00 69.00 43.00 11.84
12MR3056 H8 40.00 0.00 15.00 15.00 16.73
12MR3057 H8 50.00 22.00 44.00 22.00 14.52
12MR3059 H8 63.00 33.00 55.00 22.00 12.34
12MR3077 H7 60.00 2.00 27.00 25.00 17.69
12MR3079 H7 62.00 0.00 11.00 11.00 15.63
Notes: Minimum intersection length: 5 meters; minimum average grade: 12% Mn; maximum interval dilution: 2 meters

The Company has closed the drill hole-spacing between Hill 5 to Hill 9 to 50 m centers and plans to complete the same drill hole spacing for Hills 1 to 4 in the second quarter of 2012, allowing for the completion of geological modelling and resource estimation in the second half of 2012. Maps showing the various target hills and location of the drill holes are provided in Appendix 2.

Drilling results to date continue to indicate an excellent correlation with trench intersections, confirming that the mantle mineralization persists regularly in the saprolite zone and continues as proto-ore in the fresh rock.

The trenching and drilling programs are designed both to evaluate the previously mined areas and to define the extent and characteristics of known but unexplored mineralized zones. While trenches allow surface sampling and provide good structural information, the drilling program aims at demonstrating the continuity of manganiferous bodies at depth and their geometry. Drilling is being done to the saprolite-fresh rock interface. The Company intends to define mineable resources only in the saprolitic and residual materials, which is amenable to simple earth-moving extraction.

Quality assurance and quality control

Diamond drilling was done using HQ-diameter casing and triple-tube technology to maximize recovery. Half of the core was used for sampling at regular 1.5 m intervals. Reverse circulation (RC) drilling was done with 6" casing, sampling at every meter and splitting the rock chips once in the field and processing an entire half sample. Standard reference materials, blanks and duplicate samples have been used to control laboratory accuracy and precision. Core sample preparation was done by Activation Laboratories Ltd. (Actlabs) and ACME Laboratories (ACME) at their facilities in Georgetown, comprised of crushing to minus 2 mm and pulverization passing 200 mesh, followed by XRF assays for manganese and other relevant oxides at their laboratories in Canada. Sample preparation and XRF assay of RC samples were done by FILAB Laboratories on site using the same methodology described above.

Carlos H. Bertoni, P.Geo., a qualified person as defined under the terms of NI 43-101, has verified the data and approved the technical information contained in this press release.

Project description

The Matthews Ridge Project is located in northwest Guyana, in and around the former Matthews Ridge and Pipiani mines, 260 km northwest of Georgetown, the capital city. Manganese ore was mined from 1960 to 1968 by Union Carbide and exported via railroad and a fluvial port. Mining was done on five of a series of nine hills extending for 15 km and striking northeastern-southwestern (Appendix 2). The manganese-bearing sequence is known to have an overall strike extent of 40 km and remains largely unexplored.

Manganese mineralization is hosted by the Barama sedimentary sequence of Proterozoic age and consists of typical mantle and residual deposits formed as a result of oxidation and supergene enrichment under an equatorial climate. The mantle deposits are formed by manganese oxide and hydroxide minerals occurring along the crest of hills and are related to the weathered profile, reaching 120 m below surface.

About the Company

Reunion Gold Corporation is a mineral exploration company focused on the acquisition, exploration and development of mineral properties in the Guyana Shield of South America. The Company through its 100% indirectly owned subsidiary Reunion Manganese Inc., has assembled a large, strategic land position to conduct exploration and development activities for manganese in the North West District of Guyana. The Company also has the right to acquire a 100% interest in a gold exploration project located in the Lely Mountain area in Eastern Suriname.

Manganese is the fourth largest metal consumed in the world, behind iron, aluminum and copper. It is a key component in steel and iron production with no viable substitute, and is in short supply.

Additional information about the Company is available on SEDAR at www.sedar.com and at www.reuniongold.com.

Forward Looking Statements

This press release contains forward-looking information. Although the Company believes in light of the experience of its officers and directors, current conditions and expected future developments and other factors that have been considered appropriate that the expectations reflected in this forward-looking information are reasonable, undue reliance should not be placed on them because the Company can give no assurance that they will prove to be correct. Forward looking information in this news release includes statements regarding the results of the exploration activities and interpretation of such results, the nature, potential size and continuity of the mineralization system, the timing and completion of future work programs and mineral resource estimate, and the manganese potential of the project. Forward-looking information involves known and unknown risks, uncertainties, assumptions and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. The forward-looking statements contained in this press release are made as of the date hereof and the Company undertakes no obligations 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.

Maps and tables are available at the following address: http://file.marketwire.com/release/appendix_0410.pdf

Neither the 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 press release.

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