Riverstone Resources Inc.
TSX VENTURE : RVS
OTCQX : RVREF
FRANKFURT : 3RV

Riverstone Resources Inc.

October 04, 2011 11:42 ET

Riverstone Reports Multiple High Grade Gold Intercepts at Yaramoko

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Oct. 4, 2011) - Riverstone Resources Inc. ("the Company") (TSX VENTURE:RVS)(OTCQX:RVREF)(FRANKFURT:3RV) is pleased to report additional positive results from the drilling program on the Yaramoko gold permit in Burkina Faso, West Africa. Assays include data from an additional 8 diamond drill holes on Bagassi Central (See maps on Website: http://www.riverstoneresources.com/i/pdf/11se07nr-map.pdf). A total of 40 diamond drill holes were drilled on Bagassi Central in the summer program. The results of 13 holes were reported on September 7, 2011 and assays are pending for the remaining 19 holes.

HIGHLIGHTS INCLUDE:

  • 53.6 gpt Au over 8 metres (including 178.3 gpt Au over 2 metres) in YRM-11-DDH-021
  • 47.4 gpt Au over 8.5 metres (including 156.9 gpt Au over 2 metres) in YRM-11-DDH-018
  • 37.7 gpt Au over 16 metres (including 73.8 gpt Au over 7 metres) in YRM-11-DDH-024
  • 100.6 gpt Au over 4 metres (including 177.0 gpt Au over 2 metres) in YRM-11-DDH-023

"We are very pleased with these results from the Yaramoko drilling program," commented Michael D. McInnis, President and CEO of Riverstone Resources. "These results continue to confirm and expand the high-grade gold intercepts that were previously reported for this zone in news releases dated April 8 and September 7, 2011. These results confirm that this is an important high-grade gold discovery that remains open for expansion."

Significant results are reported in the table below:

Hole number Interval (m) Intercept Average
From To (metres) Grade (g/t Au)
YRM-11-DDH-017 38.00 41.00 3.00 5.52
YRM-11-DDH-018 72.33 80.81 8.48 47.41
including 76.00 78.00 2.00 156.90
YRM-11-DDH-019 44.00 46.00 2.00 3.79
and 49.00 53.00 4.00 2.01
YRM-11-DDH-020 108.00 120.00 12.00 2.10
including 109.00 114.00 5.00 3.74
YRM-11-DDH-021 31.00 39.00 8.00 53.56
including 32.00 34.00 2.00 178.30
YRM-11-DDH-023 117.00 121.00 4.00 100.58
including 118.00 120.00 2.00 177.00
YRM-11-DDH-024 43.00 59.00 16.00 37.68
including 43.00 50.00 7.00 73.80
and including 54.00 56.00 2.00 29.91
Note that DDH-025 did not intersect significant mineralization.

The holes reported in this release are all from the Bagassi Central target in an area referred to as the "55 Zone". The 55 Zone has been tested over a strike length of 300 metres with holes drilled on 25 metre fences. Assays are pending for an additional 9 holes drilled in the 55 Zone. The zone is open on strike and to depth. A second zone, the 35 Zone, is located 175 metres to the west of the 55 Zone and has been tested with 10 drill holes. Assays are pending for this zone.

In July 2010, Riverstone entered into an option agreement with Roxgold Inc. whereby Roxgold could earn a 60% interest in the Yaramoko property by incurring exploration expenditures of $1.5 million and issuing a total of 360,000 Roxgold shares and a total of $100,000 to Riverstone over the three year term of the agreement (see news release dated July 13, 2010). On September 21st, 2011, Riverstone Resources and Roxgold entered into a binding letter agreement pursuant to which Roxgold has agreed to acquire the remaining interests in each of the Yaramoko, Bissa West and Solna projects from Riverstone (See news release dated September 21st). Under the terms of the agreement, Riverstone will receive total consideration of approximately $33.5 million, comprising $17 million in cash and 16 million Roxgold common shares valued at $1.03 per common share (based on the closing share price of Roxgold common shares on September 20, 2011). Upon closing of this transaction, Riverstone will own approximately 17.0 million Roxgold common shares, representing 19.3% of Roxgold's outstanding shares.

Riverstone Resources Inc. is active in gold exploration in Burkina Faso, West Africa, where the company holds an extensive portfolio of six high quality exploration projects covering 2,300 square kilometres. The Company's most advanced project is Karma, which comprises a NI 43-101 compliant gold resource of 810,600 ounces of gold in 22,845,000 tonnes grading 1.10 g/t gold in the indicated category and 1,119,100 ounces of gold in 44,100,000 tonnes grading 0.79 g/t gold in the inferred category. (See news release dated February 28, 2011). Since the resource was calculated in February 2011, the Company has drilled in excess of 40,000 additional metres, and it is expected that the result of this drilling will add to the resource.

QUALITY ASSURANCE/QUALITY CONTROL

Roxgold is the operator of this drill program and maintains a quality control program involving the use of repeat assays, inserted blanks and the use of certified standards from an accredited Canadian laboratory. In order to avoid delays associated with assaying facilities in Burkina Faso, all Yaramoko assays reported in this press release were assayed at TSL Laboratories in Saskatoon, Saskatchewan using metallic screening techniques with duplicate assays performed on every fortieth sample. These samples were selected based on the presence of visible gold and/or increased silicification and sampled at one metre intervals. The remainder of each drill hole has been sampled on two metre interval and samples grading over one gram gold per tonne in initial fire assay/atomic absorption assays will be re-assayed with a gravimetric finish, at the independent Abilab Burkina SARL laboratories in Ouagadougou, Burkina Faso, which is part of the ALS Chemex group. A high level of exploration and development activity in the gold sector in Burkina Faso has resulted in an increase in the turnaround time for receiving all gold assays.

For further information about the company and its activities, please refer to the company's website at www.riverstoneresources.com and under the Company's profile at www.sedar.com.

ON BEHALF OF THE BOARD

Michael D. McInnis, P. Eng., President & CEO

Paul G. Anderson, P. Geo. is a Qualified Person for RVS and has reviewed and approved the contents of this release.

Certain statements made and information contained in this news release and elsewhere constitutes "forward-looking information" within the meaning of the Ontario Securities Act. Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources, the geology, grade and continuity of mineral deposits, the possibility that future exploration, development results will not be consistent with the Company's expectations, accidents, equipment breakdowns, title matters and surface access, labour disputes, the potential for delays in exploration activities, the potential for unexpected costs and expenses, commodity price fluctuations, currency fluctuations, failure to obtain adequate financing on a timely basis and other risks and uncertainties, including those described under Risk Factors in each management discussion and analysis. In addition, forward-looking information is based on various assumptions including, without limitation, the expectations and beliefs of management, the assumed long term price of gold, that the Company will receive required permits and access to surface rights, that the Company can access financing, appropriate equipment and sufficient labour and that the political environment within Burkina Faso will continue to support the development of environmentally safe mining projects. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements.

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

  • Riverstone Resources Inc. - Vancouver Office
    Michael D. McInnis
    President
    604-801-5020
    info@riverstoneresources.com

    Riverstone Resources Inc.
    Raju Wani
    Investor Relations
    403-240-0555

    Riverstone Resources Inc.
    Ron Cooper
    Investor Relations
    604-986-0112

    Riverstone Resources Inc.
    Don Mosher
    Corporate Development
    604-685-6465
    www.riverstoneresources.com