Romios Gold Resources Inc.
TSX VENTURE : RG

Romios Gold Resources Inc.

November 14, 2005 11:34 ET

Romios Obtains 43-101 Report on Newmont Lake Property

TORONTO, ONTARIO--(CCNMatthews - Nov. 14, 2005) - Romios Gold Resources Inc. ("Romios") (TSX VENTURE:RG) is pleased to announce that a NI 43-101 compliant report (the "Report") has been prepared on the Company's Newmont Lake Property by John A. Nicholson, P. Geo. The report was originally dated December 30, 2004 and has now been revised effective October 30, 2005. The report will be filed shortly on SEDAR. The Newmont Lake Project is located in the Iskut River area approximately 30 kilometers southeast of Novagold's Galore Creek Project and about the same distance northwest of Barrick's Eskay Creek Mine.

Romios acquired the Newmont Lake Project on March 7, 2005 by purchasing all of the issued and outstanding shares of Mclymont Mines Inc. a private BC Corporation that holds an option to acquire a 75% interest in 243 claim units (referred to as the "Gulf Claims") owned by Gulf International Minerals Ltd. ("Gulf"). MMI can earn a 50% interest in the Gulf Claims by issuing 250,000 common shares and expending $3,325,000 in exploration work on the property on or before October 1, 2007. On completion of the earn-in period, MMI has the option to purchase an additional 25% interest in the property by paying Gulf $1,000,000 either in cash or in shares based on the 10 day trading average of the Company's shares. Romios has issued the 250,000 shares to Gulf.

Subsequent to the acquisition of all of the issued and outstanding shares of MMI, Romios and MMI entered into an agreement with Roca Mines ("Roca") whereby Romios and MMI can acquire up to a 75% interest in the Seagold Property comprising 160 claim units which adjoin the Gulf Claims (refer to RGRI NR dated May 31, 2005). Romios and MMI can earn a 50% interest in the Roca claims by paying $200,000 in cash, issuing 600,000 shares and incurring $1,000,000 in exploration expenditures by December 1, 2007. Romios can earn a further 25% interest in the Seagold Property by paying $2,000,000 to Roca either in cash or shares of Romios. Any expenditures made by Romios pursuant to the Roca Agreement will credit the payment and expenditure requirements of the Gulf agreement and any interest earned by Romios in the Seagold Property will be subject to the terms of the Gulf Agreement. Romios has paid $25,000 in cash and issued 150,000 shares to Roca Mines. A further payment of $50,000 in cash is due December 1, 2005.

Subsequent to acquiring all of the issued and outstanding shares of MMI, Romios also acquired a 100% interest in approximately 1,500 map staked units in the Iskut River area some of which claims are located immediately to the north of the Newmont Lake Property (reference RGRI NR dated March 8, 2005).

The technical report prepared by Nicholson provides a summary of available technical information for the Gulf Claims and the Seagold Property and summarizes the exploration work completed by Romios during 2005 but does not include a detailed description of the 100% owned map staked claims located to the north of the Gulf Claims and the Seagold Property.

The claims which comprise the Newmont Lake Property form an irregular staircase shaped block approximately sixteen kilometers long and six kilometers wide that covers a northeast oriented graben structure underlain by Late Triassic to Early Jurassic aged intrusives, sediments and volcanic rocks. In the Iskut River region these rock units have potential to host high grade vein type gold occurrences such as the SNIP deposit, volcanogenic massive sulfide mineralization similar to that developed at Eskay Creek, skarn type copper gold occurrences, and alkalic, porphyry copper gold type mineralization similar to that presently being evaluated by Novagold Resources at the Galore Creek Project. According to published technical information there are a total of 22 intrusion related gold, copper and silver prospects located in the the Newmont Lake area all of which are located within the Newmont Lake claim block.

The known prospects include three advanced stage targets referred to as the NW Zone, the Ken Zone and the Camp Zone where drilling by previous operators has partially defined several significant mineralized zones. The NW Zone and the Camp Zone were the focus of extensive drill testing by Gulf between 1987 and 1990 and the Ken Zone was tested by a limited drill program in 1988 by Pezgold Resources. With the exception of several scattered drill holes, the majority of the remaining 19 occurrences have not been tested by diamond drilling.

During the 2005 exploration season Romios completed verification sampling programs at all of the known prospects, contracted Fugro Airborne Surveys to conduct a detailed helicopter airborne magnetic survey of the entire property, completed orientation 3D IP surveys over the NW Zone and two nearby target areas that have potential to host additional mineralization and completed a limited drilling program designed to evaluate the down dip extent of the Camp Zone.

The advanced stage prospect (referred to as the "NW Zone") has been described as a highly retrograde altered copper - gold skarn (G.E. Ray, V. Jaramillio and A. Ettlinger, 1990) and is located on the Gulf Claims near the western margin of the graben in the southern part of the subject property. According to Gulf, between 1987 and 1990 a total of 16,633 meters of drilling in 148 holes was completed to test the extent of the NW Zone. Numerous significant drill intersections have been reported in technical reports prepared by Gulf on the NW Zone. The reported intersections consist of those intervals above an arbitrary cut-off grade of 0.1 oz/ ton or approximately 3 grams per ton gold. These intersections range from relatively narrow zones grading less than 5 grams per ton (Drill Hole 90-15: 7.3 feet averaging 0.12 oz/ton) to wider zones containing more than 15 grams per ton (Drill Hole 89-11: 26.8 feet averaging 0.625 oz/ton gold and 1.41% copper). G.E. Ray, V. Jaramillo and A. Ettlinger, 1990, noted that gold grades within the NW Zone are sometimes very high including for example, Drill Hole 87-29 which cut an 11.2 meter intercept that assayed 55.02 grams per tonne gold. According to Gulf Minerals, 1991 the geometry of the mineralized zone is complex and comprises both sub-vertical and sub-horizontal components.

During this review, Nicholson noted that the assay database for the drill holes from the NW Zone lists extensive intervals of gold and copper mineralization that were below the arbitrary 3 gram per ton cut off grade used by Gulf Minerals. For example summary data for DDH 89-25 lists a 2.7 meter wide interval (from 20.9 to 23.6 meters) that averages 7.71 g/t gold. The assay database for this drill hole lists 30 continuous assay intervals from a depth of 1.5 meters to a depth of 32.7 meters. The assay intervals include ten samples that ranged from 0.22 to 0.93 g/t gold, six intervals that assayed between 1 and 2 g/t gold and all of the 14 remaining intervals were above 2 g/t gold. Copper values for this interval ranged from 0.26 to 1.04%.

Considering the fact that the overall extent of mineralization at the NW Zone may have been understated in the Gulf Reports, Romios undertook a comprehensive, systematic verification sampling program. The objectives of this program were to verify the presence of wide intervals of low grade gold and copper mineralization and to statistically confirm the accuracy of the drill assay database reported by Gulf Minerals. All of the drill core stored on site was examined and intact mineralized intervals from approximately 100 core boxes were selected for verification sampling. A total of 163 randomly selected mineralized sample intervals of split core from the Gulf drilling program were quartered with a diamond blade rock saw. Results will be released as they become available.

In addition, to the NW Zone, Nicholson noted that a significant mineralized zone referred to as the Ken Zone was identified 3 kilometers north of the NW Zone by Newmont Mines in the early 1960's. This mineralized zone is located within the present Gulf Claims and in 1988 Pezgold Resources completed a six hole drill program totalling 454 meters to test this zone. The drill core was stored at the Forest Kerr airstrip in the northern part of the Newmont Lake Property.

According to technical reports prepared by Pezgold Resources, drilling at the Ken Zone in 1988 intersected near surface, skarn type copper and gold mineralization including 5.4 meters averaging 2.81 g/t Au and 0.832% copper in in DDH 88PG01 and 6.0 meters averaging 2.61 g/t Au and 0.94% copper in drill hole 88PG05. According to drill sections published by Pezgold Resources, the reported intersections represent approximate true width intervals.

To verify the results reported by Pezgold from the Ken Zone, Romios completed a systematic assay verification sampling program to confirm the results for one of the holes reported by Pezgold. (Drill Hole No. 88PG-05.). Comparitive results of the sampling program are listed in Table 1.



Drill Hole 88PG-01 (Completed at the Ken Zone by Pezgold Resources
1988)

Interval Gold (g/t) Copper (%) Gold (g/t) Copper (%)
(meters) Pezgold Resources, 1988 Romios Gold Resources Inc 2005
2.4- 3.2 0.64 0.213 0.46 0.164
3.2- 3.8 0.53 0.178 0.42 0.230
3.8- 4.4 0.58 0.169 0.87 0.470
4.4- 5.0 2.20 0.379 1.19 0.570
5.0- 5.6 1.57 0.393 1.21 0.533
5.6- 6.2 2,43 0.942 2.31 0.980
6.2- 6.8 1.90 0.670 1.90 0.820
6.8- 7.4 4.01 0.728 2.56 0.717
7.4- 8.0 0.57 0.212 1.20 0.440
8.0- 8.6 0.07 0.040 0.49 0.118
8.6- 9.2 0.04 0.030 0.32 0.132
9.2- 9.8 nd 0.005 0.03 0.008
9.8-10.4 0.36 0.097
10.4-11.0 1.20 0.348 0.74 0.408
11.0-11.6 0.04 0.026 0.03 0.006
11.6-12.2 0.15 0.039 0.05 0.014
12.2-12.8 0.26 0.053 0.26 0.180
12.8-13.4 0.83 0.168 1.36 0.435
13.4-17.6 not mineralized
17.6-18.2 1.37 0.527 0.74 0.361
18.2-18.8 0.03 0.047
18.8-19.4 2.54 0.797 3.78 1.370
19.4-20.0 0.44 0.162
20.0-20.6 1.24 0.629 3.48 1.920
20.6-21.2 0.31 0.150 0.23 0.215
greater
21.2-21.8 10.69 3.450 than 10 1.940
21.8-22.4 2.11 0.731
22.4-23.0 3.61 1.116
23.0-23.6 4.04 1.357 5.13 1.660
23.6-24.2 0.79 0.212
24.2-24.8 2.67 0.759 1.98 0.695


The results of the verification sampling program confirm the results reported by Pezgold however it is important to note that that the mineralized zone identified at the Ken Zone is considerably wider than the intervals reported in literature by Pezgold Resources. In addition, it is important to note that there is a second mineralized interval in DDH 88PG05 which extends from 46.4 to the bottom of this hole at 91.1 meters. This interval is continuously mineralized with gold values ranging from 0.20 g/ton to 3.67 g/ton. DDH 88PG05 is the most westerly of the six drill holes completed by Pezgold and therefore these mineralized zones are open to the west and down dip.

The Camp Zone comprises a series of narrow, intrusion hosted gold and copper bearing quartz veins (0.4 to 2.0 meters in width) which exhibit an extensive pyritic halo, K feldpar alteration and biotite alteration along the margins of the veins . The zone has been traced on surface for approximately 600 meters and has been tested by 23 shallow drill holes totalling 1339 meters. To further evaluate the area referred to as the Camp Zone, Romios completed a single drill hole from a position 300 meters north of the mineralized veins at the Camp Zone. The drill hole was designed to penetrate the contact zone between the intrusive rock units that host the known gold bearing quartz vein mineralization and an extensive halo of silicification and pyrite mineralization exposed on surface to the east of the Camp Zone. The drill hole was completed to a depth of 250.6 meters and although several silicified, pyritic zones were encountered the intrusion that hosts the mineralization was not intersected. Assay results will be released as soon as they become available. This hole will be extended to a depth of between 350 and 400 meters to intersect the actual projected down dip extent of the camp zone as part of the 2006 program.

Results of the airborne magnetic survey completed by Fugro have been received however data interpretation is still in progress. In general the airborne magnetic survey defined multiple areas interpreted as small intrusive rock units localized within and to the west of the NE oriented graben structure, All of the known mineralized zones are spatially related to areas of elevated magnetic response. Additional interpretive data will be released as soon as it becomes available.

The objective of the 3D IP survey completed at the NW Zone was to determine if there is a characteristic signature associated with the wide intervals of gold and copper mineralization reported by Gulf Minerals at this location. In addition to the NW Zone, 3D IP survey grids were completed over two prospects located within the Seagold Property to the northeast of the NW Zone. Interpretation of the IP survey data has not yet been completed. Results will be released as soon as they become available.

Verification sampling programs completed at the remaining 19 prospects which are located within the Newmont Lake Property confirmed the presence of intrusion related gold, copper and silver mineralization. Several areas of interest were identified including outcropping mineralization similar to the NW Zone located on the Seagold Property approximately 600 meters northeast of the NW Zone and an extensive boulder train also located on the Seagold Property. Assay results of samples collected from these mineralized zones will be released as they become available.

In summary, the presence of widespread intrusion related copper gold mineralization combined with the fact that the Newmont Lake graben appears to have localized emplacement of numerous, small, alkaline intrusives suggests potential for the presence of additional NW Zone style and Ken Zone style mineralized zones and also suggests potential for the discovery of alkalic porphyry copper type mineralization similar to that currently being evaluated by Novagold Resources at Galore Creek. In Nicholson's opinion the Newmont Lake Property warrants a systematic, follow-up exploration program.

Given that the Newmont Lake Property consists of both advanced stage targets and large areas of relatively unexplored ground the recommended program is subdivided into a "Regional Exploration Program" and an "Advanced Prospect Program". The proposed program, estimated at $500,000 should include development of a 3D geological model for the NW Zone; verification drilling at both the NW Zone and the Ken Zone to confirm the presence of the wide zones of gold copper mineralization reported at these targets; continued drill testing of the areas of silicification and pyritic alteration associated with the Camp Zone, and drill testing of any target areas identified by the 3D IP survey,

There are no known environmental, permitting, legal, title, taxation, socio-political, marketing or other issues that will materially effect exploration work on the Newmont Lake property. Almost all of British Columbia lands are subject to treaty negotiations with First Nations people. To the best of John Nicholson's knowledge, approval from local First Nations communities will also be required to carry out the proposed Stage II exploration programs. A portion of the northern part of the property is subject to Mineral Reserve 328865 regarding the proposed Iskut River Reservoir. At this time B.C. Hydro has not informed the company of any intent to proceed with the construction of this reservoir.

For the purposes of the disclosure in this press release, John A. Nicholson is the Qualified Persons ("QP") in accordance with NI 43-101.

For further information, please contact Tom Drivas, President and a director of Romios or Carl von Einsiedel, P.Geo, director of Romios. Mr Drivas can be reached at 416-221-4124 or by Facsimile at 416-218-9772 or by Email at romios@romios.com. Mr. von Einsiedel can be reached at 604-649-5793 or by email at info@mclymontmines.com. To find out more about Romios Gold Resources Inc. (TSX VENTURE:RG) visit our website at http://www.romios.com.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • Romios Gold Resources Inc.
    Tom Drivas
    President and a Director of Romios
    (416) 221-4124
    (416) 218-9772 (FAX)
    romios@romios.com
    or
    Romios Gold Resources Inc.
    Carl von Einsiedel, P.Geo
    Director of Romios
    (604) 649-5793
    info@mclymontmines.com