Ryan Gold Corporation
TSX VENTURE : RYG

Ryan Gold Corporation

September 11, 2012 11:19 ET

Ryan Gold Intersects Significant Gold Mineralisation, Including 50.72 m at 2.04 g/t Gold, at Ida Oro

TORONTO, ONTARIO--(Marketwire - Sept. 11, 2012) - Ryan Gold Corp. (TSX VENTURE:RYG)("Ryan Gold" or the "Company") is pleased to announce significant drill results and metallurgical test results from its 100% owned Ida Oro Project, located approximately 85km east of Dawson City, Yukon.

The twenty eight diamond drill hole (7,525 m) program has now been completed at the Ida Oro property in 2012. Assays have now been received for thirteen of these holes.

Highlights Include:

  • Hole IO12-016 intersected 8.97 metres grading 2.31 g/t Au from 72.63 metres.

  • Hole IO12-018 intersected 7.0 metres grading 1.21 g/t Au from 22.00 metres and 10.00 metres grading 1.17 g/t Au from 133.00 metres.

  • Hole IO12-023 intersected 15.11 metres at 0.75 g/t Au from 243.51 metres including 2.55 metres grading 1.17 g/t Au from 245.28 metres.

  • Hole IO12-025 intersected 13.33 metres at 0.80 g/t Au from 172.72 metres including 4.91 metres grading 1.48 g/t Au from 172.72 metres.

  • Hole IO12-026 intersected 50.72 metres at 2.04 g/t Au from 113.32 metres including 8.77 metres grading 7.01 g/t Au from 140.70 metres.

Summary of Drill Hole Results - Ida Oro

MINERALISATION
Drill Hole NORTHING EASTING AZIMUTH INCL. FROM TO Interval Au
(#) (UTM) (UTM) (°) (°) (m) (m) (m) (g/t)
IO12-012 7116157 372775 345 -45 131.21 142.80 11.59 0.83
263.50 267.50 4.00 1.90
IO12-013 7116574 372671 345 -45 227.67 231.67 4.00 0.87
IO12-014 7117686 372265 165 -55 242.80 248.00 5.20 0.71
IO12-015 7115934 372868 165 -45 No Significant Results
IO12-016* 7116389 372539 345 -50 72.63 81.60 8.97 2.31
128.84 131.74 2.90 5.00
IO12-017 7117702 372187 165 -55 61.00 63.00 2.00 0.75
71.00 72.00 1.00 1.03
IO12-018* 7116389 372539 345 -55 22.00 29.00 7.00 1.21
133.00 143.00 10.00 1.17
Includes: 138.95 141.15 2.20 3.14
262.00 267.92 5.92 1.19
IO12-019 7117624 372208 165 -55 No Significant Results
IO12-021 7117641 372514 165 -50 146.29 155.54 9.25 1.39
Includes: 151.42 155.54 4.12 2.45
199.30 203.00 3.70 0.94
IO12-023 7117626 372622 165 -50 185.36 188.48 3.12 1.45
236.80 237.99 1.19 1.33
243.51 258.62 15.11 0.75
Includes: 245.28 247.83 2.55 1.17
IO12-024 7116574 372671 245 -50 79.45 80.45 1.00 2.21
94.00 95.00 1.00 1.63
IO12-025 7117541 372644 165 -50 86.96 88.87 1.91 1.82
98.76 108.59 9.83 1.92
172.72 186.05 13.33 0.80
Includes: 172.72 177.63 4.91 1.47
211.71 214.91 3.20 0.82
228.90 230.15 1.25 17.1
IO12-026 7117568 372534 165 -50 3.00 22.91 19.91 0.73
45.47 71.06 25.59 1.01
Includes: 47.45 52.41 4.96 1.93
113.32 164.04 50.72 2.04
Includes: 140.70 149.47 8.77 7.01
211.18 223.05 11.87 2.03
Includes: 219.00 223.05 4.05 3.57

* Hole ID012-18 is a redrill of Hole ID012-16 at a steeper angle. Hole 16 was abandoned at 138.68 m depth. A top and bottom cut-off of 41 g/t Au and 0.20 g/t Au was applied respectively as well as a maximum internal dilution of three metres in calculating grade and widths for specific intervals. All interval widths are down hole widths.

In addition to the gold mineralisation encountered in these thirteen diamond drill holes, two holes encountered significant silver (Ag) mineralisation. IO12-014 intersected 4.63 m grading 43.12 g/t Ag from 38.65 metres. IO12-017 intersected 9.5 m at 132.1 g/t Ag from 133.5 metres. Both of these holes are located in the IO North area on the property, and were drilled as 100 m and 200 m step outs to the west from the main ridge. Future work will be needed to better define the significance and potential of this silver mineralisation at Ida Oro.

A total of 28 diamond drill holes were completed during the 2012 season, and assays from the remaining 15 holes will be released once they have been received. The Company is very encouraged by the results received from the 2011 and 2012 programs to date. Large low-grade gold intersections and smaller high-grade gold intersections have now been discovered on the property and remain open to depth and to the east and west. The 2012 drilling has highlighted several important structural features that play a role in the distribution of gold. In 2012 gold mineralisation has been found in porphyry style vein sets in intrusive rock in Io North, which has broadened the scope of exploration beyond the metasediments, which were originally considered as the hosts for gold mineralisation.

After receiving all data the Company will begin to formulate plans for the 2013 summer exploration season.

Drill holes this season were placed into three distinct areas of the Ida Oro property: Io North (16 holes), Europa (9 holes), and Ganymede (3 holes). Please see attached plan map (http://file.marketwire.com/release/ryg_0911.jpg). The seven holes from this release that are located in the IO North Zone, (IO12-014, 17, 19, 21, 23, 25, and 26) have extended known mineralisation over 400 m width at surface. The Io North Zone remains open at depth and to the west and east. The Company is waiting on results from nine additional holes that were drilled in the Io North Zone.

The six holes from this release that are located in the Europa Zone, (IO12-012, 13, 15, 16, 18, and 24) have extended known mineralisation 400 m east-west and 500 m south. The Europa Zone remains open at depth and to the west and east. The Company is waiting on results from three additional holes that were drilled in the Europa Zone.

The Company completed three drill holes on the Ganymede the southernmost soil anomaly on the Ida Oro property, which until this summer was untested by drilling. The Company is waiting for results from these drill holes.

QA/QC

To date 5062 drill core samples have been sent for geochemical analysis. Drill cores for assaying were taken at a maximum of three metre intervals in the weathered zone, but predominantly at 1 metre intervals. Drill core was cut with a diamond saw with one-half of the core placed in sealed plastic bags. Sealed plastic sample bags were placed in a security sealed bag and delivered to ALS Chemex ("ALS Chemex") in Whitehorse, Yukon Territories. Here the entire sample was crushed passing minus 2mm, from which a 250g split of the crushed sample was pulverized passing minus 75 micron. Pulp samples of 100g were shipped to ALS Chemex Vancouver where the samples were analysed for gold by fire assay using a 50g aliquot with an ICP finish. An additional 0.5g sample analysed by aqua regia digestion was analysed for gold and an additional 51 elements with an ICP-MS finish.

As part of the Company`s QA/QC procedures, internationally recognised standards, duplicates and blanks were inserted into the sample batches. ALS Chemex is an ISO 9001 registered laboratory and has a quality control program in place which includes the insertion of standard, blank, and duplicate samples, as well as conducting repeat analyses.

Metallurgy Results

Metallurgical results have been received from sample material submitted from the 2011 diamond drilling at Ida Oro. Two composite samples were taken from drill holes in the Io North Zone, one of 23.70 kg with a low grade of 0.2 to 0.7 g/t Au ("Composite A") and a second of 23.90 kg with a medium grade of 0.5 to 1.0g/t Au ("Composite B"). The results from this test work are summarized below:

  • The head assay of the composite A & B was 0.62g/t and 0.74g/t of gold respectively.

  • Gravity separation test recovered 12.3% and 32.1% of the gold from composite A & B to a concentrate grading 61.0g/t and 193g/t of Au.

  • All whole ore leach tests produced gold recoveries ranging between 69.4% and 74.4%. The cyanide consumptions ranged between 0.50 kg/t and 0.69kg/t which is considered as low. The average lime consumption is 0.61 kg/t and considered as low.

  • The leach test results of gravity tailings indicate that gold is amenable to be recovered by cyanide leach. Leach on available gravity tails produce 63.6% and 69.1% gold stage recovery of composite A & B, while finer grinds (80% passing at 43 micrometers and 50 micrometers) improved gold recovery to 74.2% and 76.4% for composite A & B respectively.

  • The combined gravity and cyanidation, gold recovery was 77.3% and 83.9% for composite A & B respectively, while the direct cyanidation gold recovery is 74.4% and 70.3%. The gold extractions are considered good and there is an indication the flow sheet would benefit with the inclusion of a gravity recovery circuit.

  • The average cyanide and lime consumptions were 0.56 kg/t and 0.57 kg/t respectively and are considered low.

The test work was completed by SGS Canada at their facility in Vancouver. These early stage metallurgy results have proven encouraging for the Project.

The exploration program is supervised by Andy Randell, Acting Chief Geologist of Ryan Gold. Ian Gendall, Pr.Sci.Nat., is providing his expertise as the qualified person within the definition of that term in NI 43-101. Mr. Gendall has also reviewed the technical information in this news release.

About Ryan Gold Corp.

Ryan Gold Corp. is an exploration company focussed on gold exploration primarily in the Yukon Territory, Canada. The Company is well funded and has a large land package of approximately 470,000 hectares comprised of 80 different properties. The company's flagship property is Ida Oro. During the summer of 2010 a soil sampling programme completed on Ida Oro revealed a significant, >100 ppb Au, gold-in-soil anomaly over an area of 4 km by 1.2 km. In 2011 the Company completed an 11 hole drill campaign for a total of 2,854 m. The Company is presently completing drill programs on the Ida Oro and Flume Properties, as well as systematically exploring a number of its other properties.

This press release contains forward-looking statements within the meaning of applicable securities legislation. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of the Company, including potential property acquisitions, the timing, content, cost and results of proposed work programs, the discovery and delineation of mineral deposits/resources/reserves, geological interpretations, proposed production rates, potential mineral recovery processes and rates, business and financing plans and business trends. Although the Company believes that such statements are reasonable, it can give no assurances that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. The Company cautions investors that forward-looking statements by the Company are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, but not limited to, variations in the nature, quality and quantity of any mineral deposits that may be located, significant downward variations in the market price of any mineral that may be produced, the Company's inability to obtain any necessary permits, consents or authorizations required for its activities, to produce minerals from its properties successfully or profitability, to continue its projected growth, to raise the necessary capital or to be fully able to implement its business strategies. All of the Company's public disclosure filings may be accessed via www.sedar.com and readers are urged to review these materials, including any technical reports filed with respect to the Company's mineral properties. This press release is not, and is not to be construed as an offer to buy or sell securities in the United States.

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 release.

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