Rogue Resources Inc.

Rogue Resources Inc.

July 12, 2011 08:30 ET

Rogue Resources Acquires Kachelly Property, Secures Extension to 12 km Nat River Iron Formation

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 12, 2011) - Rogue Resources Inc. (TSX VENTURE:RRS) (the "Company") is pleased to announce that it has purchased a 100% interest in the Kachelly property, located contiguous to the northernmost corner of its Radio Hill property. The property comprises part of the Nat River Iron Formation of which the Company presently holds about 12km in strike length. The Nat River iron Formation may potentially host additional iron ore resources which could supplement any future development at the Radio Hill project. The Company will be announcing exploration plans for the Radio Hill Project in the near future.

Within the Company's NI43-101 compliant Radio Hill Technical Report (April 2010) Micon International Ltd. noted the property contained two potentially significant iron deposits, the Radio Hill and the Nat River Iron Formations. The summary provided in the report on the previous work on the Nat River Iron Formation: "A total of six diamond core holes were started at Nat River with five being completed during 1959 for a total of 1,235 m drilled. The amount of information collected was not enough to report a mineral resource, however, Gerson reports a 'potential' of 30 million long tons per 100 ft of depth. The estimate is based on the five drill holes along with the magnetometer work completed on the property during 1959. Micon considers that this estimate is very approximate and does not conform to any modern or previous reporting standards. It is recommended by Micon that GCR (now Rogue) should consider Nat River as unexplored with an extensive amount of drilling and metallurgical test work required before any resource could be determined."

To view maps of the Radio Hill Project, please click on the following links:



The Company considers the Nat River Iron Formation a relatively unexplored target. In 2008 the Company had GEOTECH Ltd. conduct an airborne VTEM/Mag survey over the 12,000 hectare Radio Hill claim group which clearly defined both the Nat River and Radio Hill iron formations, no follow up drilling has been done to date. The Kachelly Property comprises an important extension to the Nat River iron formation and adds significant value to the Company's existing land package.

The Kachelly property consists of one, 12-unit claim in the Kenogaming Township, Ontario and is located approximately 10km east of the Radio Hill historic resource* and is accessible by road from Highway 101. The property contains a known section of the Nat River iron formation which was originally mapped by the Geological Survey of Canada in 1950's and was explored in 1960 by Kukatush Mining Corp, the company that completed a feasibility study (1965) on the Radio Hill project.

The geology of the Nat River Iron Formation is similar to that at the Radio Hill historic resource which is a magnetite rich, taconite type of iron formation that holds the potential for both iron ore and gold deposits. The Nat River Iron Formation in the area of Benbow Lake is folded and averages 200 feet in thickness and could provide considerable tonnage over its strike length. Exploration efforts this year will focus on updating the historical resource at Radio Hill; however, the Kachelly property and the Nat River Iron Formation remain a high priority exploration target and a possible source of additional iron ore to compliment Rogue's Radio Hill project. Freeman Smith, P.Geo. is the qualified person for the purposes of National Instrument 43-101 and has reviewed the technical contents of this press release.

In consideration for 100% ownership of the Kachelly property the Company will issue 75,000 shares to the Vendor. There is a 3% NSR payable on all metals. The Company may buyback 2% of the NSR for $2,000,000 (in $1,000,000 increments) and the remaining 1% of the NSR on the iron rights for $1,000,000. If the Company was to purchase the final 1% iron ore royalty the Vendors would retain a 1% royalty on non-iron minerals.

The Company would also like to announce it has retained Venture Liquidity Providers Inc. ("VLP") to initiate its Market Making Service to provide assistance in maintaining an orderly trading market for the Company's common shares. The Market Making Service will be undertaken by VLP through a registered broker, W.D. Latimer Co. Limited, in compliance with the guidelines of the TSX Venture Exchange. VLP is a specialized consulting firm based in Toronto providing a variety of services focused on TSX Venture Exchange-listed issuers. In consideration for their services, Rogue has agreed to pay VLP $5,000 per month for a period of 12 months. The agreement may be terminated at any time by Rogue or VLP. Rogue and VLP act at arm's length, and VLP has no present interest, directly or indirectly, in the Company or its securities. The agreement is subject to regulatory approval.


Rogue Resources' focus is its Radio Hill Iron project located 80 km southwest of Timmins, Ontario, an area known for its excellent infrastructure and access to mining expertise. Approximately $10,000,000 of work has been done on the project historically including significant drilling and the completion of a number of resource estimates (non 43-101 compliant), and a feasibility study (1965). In June of 2011 the Company completed a financing for $4,600,000 with the use of proceeds primarily allocated for exploration/resource definition at Radio Hill.

In addition to the Radio Hill project the Company has a 100% interest in Langmuir Nickel project which has resource estimate of 677,000 tonnes of 1.0% Nickel and 0.06% copper, Measured & Indicated, and 171,000 tonnes of 0.89% Nickel. The Company has commissioned SRK Consulting Ltd. to complete a scoping study on the project which is now nearing completion of the metallurgical portion of that study.

The Company has several large land packages within the Abitibi greenstone belt of the Timmins Camp that host VMS base-metal and lode gold deposit potential. The Company also has gold properties in the Kirkland Lake area and base metal properties in Bathurst, New Brunswick.

*The historical estimates mentioned in this document are not in accordance with the mineral resources or mineral reserves classifications contained in the CIM Definition Standards on Mineral Resources and Mineral Reserves, as required by National Instrument 43-101 ("NI 43-101"). Accordingly, the Company is not treating these historical estimates as current mineral resources or mineral reserves as defined in NI 43-101 and such historical estimates should not be relied upon. A qualified person has not done sufficient work to date to classify the historical estimates as current mineral resources or mineral reserves. The term "ore" in this document is being used in a descriptive sense for historical accuracy, and is not to be misconstrued as representing current economic viability.

This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the common shares in any jurisdiction in which such offer, solicitation or sale would be unlawful. The common shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or the securities laws of any state of the United States and may not be offered or sold within the United States or to, or for the account or the benefit of, any person in the United States unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.

Cautionary Note Regarding Forward Looking Statements: Certain disclosure in this release, including statements regarding the use of the proceeds from the private placement, constitute forward-looking statements. In making the forward-looking statements in this release, the Company has applied certain factors and assumptions that are based on the Company's current beliefs as well as assumptions made by and information currently available to the Company, including that the Company is able to obtain any government or other regulatory approvals required to complete the Company's planned exploration activities, that the Company is able to procure personnel, equipment and supplies required for its exploration activities in sufficient quantities and on a timely basis and that actual results of exploration activities are consistent with management's expectations. Although the Company considers these assumptions to be reasonable based on information currently available to it, they may prove to be incorrect, and the forward-looking statements in this release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements. Such risk factors include, among others, that actual results of the Company's exploration activities will be different than those expected by management and that the Company will be unable to obtain or will experience delays in obtaining any required government approvals or be unable to procure required equipment and supplies in sufficient quantities and on a timely basis. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

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 news release.

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