Rye Patch Gold Corp.
TSX VENTURE : RPM
OTCQX : RPMGF
FRANKFURT : 5TN

Rye Patch Gold Corp.

May 29, 2012 09:00 ET

Rye Patch Drills Significant Gold and Silver Zones on the LH Claims

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 29, 2012) - Rye Patch Gold Corp. (TSX VENTURE:RPM)(OTCQX:RPMGF)(FRANKFURT:5TN) (the "Company") announces partial assay results from the Rochester drilling project on the LH Claims. Rye Patch Gold US Inc., the Company's wholly owned subsidiary, has completed 45 reverse circulation drillholes. This news release reports gold and silver assay results for the first thirty-three drillholes totaling 7,024 metres.

HIGHLIGHTS:

  • Drilling in Limerick Basin encountered coarse gold in drillholes LBR-006, LBR-016, and LBR-019, and drilling cut similar geology to the nearby Spring Valley gold deposit;
  • The Mystic target returned significant thicknesses of gold and silver assays. Examples are RMR-027: 12.6 g/t Ageq over 52 metres; RMR-031: 18.45 g/t Ageq over 18.3 metres; RMR-033: 19.75 g/t Ageq over 18.3 metres; and RMR-029: 69.6 g/t Ageq over 3 meters;
  • The Northwest Rochester target returned gold and silver values that require follow up;
  • At the Packard Mine target, drillholes cut thick alteration zones with the first drillhole returning 11.65 g/t Ageq over 87 metres including 19.75 g/t Ageq over 18.3 metres; and
  • All drill targets returned significant gold and silver assays to warrant a follow-up, phase-two drill campaign.

To date, Boart Longyear and National Drilling have completed forty-five drillholes on the LH Claims. At this time, final assay results are available for 33 drillholes totaling 7,024 metres. This phase-1 drill program started in late January and will finish in mid-June. Once all assays have been received, compiled and interpreted, a second phase of drilling will be planned, permitted, and implemented.

Drilling at the Rochester project began on the north end of the LH claims in Limerick Basin, where three separate targets were tested. The targets were developed from a combination of surface sampling and mapping and projected trends from the Rochester Mine to the south and Barrick's Spring Valley project to the north. Drilling in the Limerick Basin target - LBR-001 to LBR-019 - shows similar geology to the nearby (four kilometres northeast) Spring Valley gold deposit. Several drillholes encountered altered feldspar porphyry.

Panning of selective samples was initially instituted because of the proximity to the Spring Valley deposit and its known coarse gold, but soon became a continuous regimen when visible gold was encountered in the second drillhole in the area. Larger samples were then collected, and metallic-screen assays were requested on two drillholes (LBR-006 and LBR-016) to test the validity of the identification. A vertical drillhole (LBR-019) was completed in the area of the drillholes containing the coarse gold in an attempt to test for additional coarse gold and intersect altered feldspar porphyry at depth. Coarse gold was panned in LBR-019 from 366 metres to 457 metres with the strongest concentration occurring in the bottom 12 metres (445 to 457 metres). Metallic-screen assays are pending at this time.

LBR-003 drilled 12.2 metres grading 36 g/t Ageq starting at 116 metres down hole including a three-metre zone grading 133 g/t Ageq. The gold and silver was within an oxidized, altered felsic volcanic that may be the down-dip extension of the South Porphyry structural zone mapped at the surface.

The Northwest Rochester target, NWR-020 to NWR-026, tested projections of gold and silver zones extending from the Rochester mine as well as structures and associated alteration identified in mapping and sampling on the LH claims. Drilling returned moderate grades ranging between 5 g/t Ageq to 29.5 g/t Ageq over 1.5 metres to 10.7 metres. A second round of drilling will focus on Sunflower Hill where surface sampling returned high-grade gold and silver values from an area measuring 500 metres by 200 metres as reported on February 22, 2012. The rock-chip samples returned gold values ranging from 0.243 g/t gold to 87.39 g/t gold (with an average of 11.65 g/t gold) and silver assays from 8.5 g/t Ag to 2,990 g/t Ag. The Sunflower Hill area lies immediately adjacent and southwest of the Rochester pit. The gold and silver values are associated with northeast trending, strongly altered and quartz-veined felsic volcanics. The target is the extension of the Rochester mine mineralization.

RMR-027 through RMR-032 were drilled in the Mystic target north of the Packard mine. Six drillholes (RMR-027, RMR-028, RMR-029, RMR-030, RMR-031, RMR-032) returned significant gold and silver assays from zones greater than 40 metres in length - true thickness is unknown at this time. The Mystic area consists of an array of northeast trending veins and breccia sets located north of the Packard mine. Rye Patch Gold US Inc. completed a rock-chip sampling and detailed structural mapping program over the target. The target has significant upside potential. Based on mapping, sampling and drilling, the Mystic and Sunflower zones may connect along a northeast structural zone giving the target an overall 3-kilometre length.

Drilling in the Packard mine area is focused on extensions of the Packard ore body to the north, south and west. The gold and silver in the Nevada Packard area is associated with quartz stockwork and pervasive silicification. Oxidation has been drilled to a depth of 200 metres. One drillhole, RMR-033, has final assay results, and RMR-034 to RMR-045 are pending at this time. RMR-033 returned 86.9 metres grading 11.65 g/t Ageq. This is a significant intercept that will be followed up. Drilling in the Packard area is continuing.

"The Company is encouraged with the drill results to date. The program covered a significant portion of the LH Claims and shows the upside potential of the LH Claim group outside of the mine operation. Based on the results to date, a second phase drill program is warranted," stated William C. Howald, President and CEO of Rye Patch Gold Corp.

For the phase-one Rochester drilling program, a cutoff grade of 5 g/t Ageq was used. The silver equivalent was calculated using the silver grade plus the gold grade times fifty. Table 1 summarizes the assay results for LBR-001 to LBR-019, NWR-020 to NWR-026, RMR-027 to RMR-033.

Table 1: Phase-1 Rochester Drill Assay Results (LBR-001 to LBR-019, NWR-020 to NWR-026, RMR-027 to RMR-033)
Hole ID Target Au
g/t
Ag
g/t
Aueq.
(1)
g/t
Ageq.
(1)
g/t
Drill-
hole
Inter-
val
Metres
(2)
From
Metres
To
Metres
Total
Depth
Metres
LBR-002 Limerick Basin 0.090 0.7 0.1 5.2 1.5 106.7 108.2 274.3
LBR-003 Limerick Basin 0.048 33.6 0.7 36.0 12.2 115.8 128.0 265.0
Including 0.159 125.0 2.7 133.0 3.0 118.9 121.9
LBR-005 Limerick Basin 0.389 1.8 0.4 21.3 6.1 1.5 7.6 196.6
LBR-006 Limerick Basin 0.498 0.9 0.5 25.8 1.5 1.5 3.0 286.5
LBR-007 Limerick Basin 0.315 1.4 0.3 17.2 4.6 1.5 6.1 289.6
LBR-008 Limerick Basin 0.131 0.8 0.1 7.4 1.5 10.7 12.2 147.8
LBR-009 Limerick Basin 0.051 2.6 0.1 5.2 1.5 30.5 32.0 274.3
LBR-010 Limerick Basin 0.013 4.8 0.1 5.5 1.5 53.3 54.9 259.1
LBR-010 Limerick Basin 0.030 3.8 0.1 5.3 1.5 158.5 157.0
LBR-010 Limerick Basin 0.013 4.8 0.1 5.5 1.5 182.9 184.4
LBR-011 Limerick Basin 0.092 1.0 0.1 5.6 3.1 25.9 29.0 213.4
LBR-012 Limerick Basin 0.106 2.6 0.2 7.9 4.6 135.6 140.2 298.7
LBR-013 Limerick Basin 0.297 2.6 0.3 17.5 18.3 248.4 266.7 323.1
Including 0.567 3.6 0.6 32.0 7.6 253.0 260.6
LBR-013 Limerick Basin 0.116 1.0 0.1 6.8 1.5 278.9 280.4
LBR-015 Limerick Basin 0.408 1.2 0.4 21.6 1.5 150.9 152.4 239.3
LBR-015 Limerick Basin 0.095 1.1 0.1 5.9 6.1 195.1 201.2
LBR-015 Limerick Basin 0.134 2.4 0.2 9.1 16.8 210.3 227.1
Including 0.402 4.2 0.5 24.3 3.0 214.9 217.9
LBR-016 Limerick Basin 0.119 1.6 0.2 7.6 7.6 1.5 9.1 393.2
LBR-017 Limerick Basin 0.174 1.7 0.2 10.4 48.8 178.3 227.1 299.8
Including 0.462 1.0 0.5 24.1 6.1 178.3 184.4
Including 0.304 2.6 0.4 17.8 4.6 185.9 190.5
LBR-017 Limerick Basin 0.118 1.0 0.1 6.9 29.0 236.2 265.2
LBR-018 Limerick Basin 0.026 4.5 0.1 5.8 3.0 201.2 204.2 347.5
LBR-019 Limerick Basin 0.087 1.2 0.1 5.6 1.5 6.1 7.6 457.2
LBR-019 Limerick Basin 0.064 4.8 0.2 8.0 3.0 10.7 13.7
LBR-019 Limerick Basin 0.013 6.2 0.1 6.9 1.5 260.6 262.1
LBR-019 Limerick Basin 0.050 5.6 0.2 8.1 1.5 294.1 295.7
LBR-019 Limerick Basin 0.033 4.3 0.1 6.0 3.0 402.3 405.4
LBR-019 Limerick Basin 0.241 0.9 0.3 13.0 3.0 454.2 457.2
NWR-020 NW Rochester 0.002 7.1 0.1 7.2 1.5 76.2 77.7 227.1
NWR-020 NW Rochester 0.008 11.5 0.2 11.9 1.5 102.1 103.6
NWR-020 NW Rochester 0.013 4.9 0.1 5.6 10.7 111.3 121.9
NWR-020 NW Rochester 0.001 6.1 0.1 6.2 10.7 125.0 135.6
NWR-021 NW Rochester 0.132 8.4 0.3 15.0 6.1 12.2 18.3 196.6
Including 0.532 2.9 0.6 29.5 1.5 15.2 16.8
NWR-021 NW Rochester 0.269 3.2 0.3 16.7 1.5 24.4 25.9
NWR-021 NW Rochester 0.077 5.5 0.2 9.4 6.1 35.1 41.1
NWR-022 NW Rochester 0.004 9.3 0.2 9.5 7.7 59.4 67.1 224.0
NWR-023 NW Rochester 0.019 4.5 0.1 5.5 3.1 21.3 24.4 222.5
NWR-024 NW Rochester 0.016 4.4 0.1 5.2 10.1 21.3 31.4 170.7
NWR-025 NW Rochester 0.064 1.8 0.1 5.0 1.5 62.5 64.0 196.6
NWR-025 NW Rochester 0.086 1.0 0.1 5.3 1.5 86.9 88.4
NWR-025 NW Rochester 0.021 7.2 0.2 8.3 1.5 195.1 196.6
NWR-026 NW Rochester 0.014 5.2 0.1 5.9 4.6 30.5 35.1 221.0
NWR-026 NW Rochester 0.039 4.2 0.1 6.2 1.5 158.5 160.0
NWR-026 NW Rochester 0.145 1.8 0.2 9.1 4.6 204.2 208.8
RMR-027 Mystic 0.024 11.4 0.3 12.6 51.8 0.0 51.8 152.4
Including 0.030 15.3 0.3 16.8 30.5 16.8 47.2
Including 0.052 31.5 0.7 34.1 6.1 38.1 44.2
RMR-027 Mystic 0.033 5.2 0.1 6.9 1.5 109.7 111.3
RMR-028 Mystic 0.028 3.8 0.1 5.2 1.5 61.0 62.5 132.6
RMR-028 Mystic 0.009 7.6 0.2 8.1 50.3 82.3 132.6
Including 0.012 11.6 0.2 12.2 12.2 111.3 123.4
RMR-029 Mystic 0.015 7.7 0.2 8.5 47.2 3.0 50.3 105.2
Including 0.020 16.2 0.3 17.2 12.2 36.6 48.8
RMR-029 Mystic 0.041 34.0 0.7 36.1 7.6 97.5 105.2
Including 0.052 67.0 1.4 69.6 3.0 100.6 103.6
RMR-029 Mystic 0.014 7.6 0.2 8.3 7.6 118.9 126.5
RMR-030 Mystic 0.030 11.0 0.3 12.5 41.1 18.3 59.4 141.7
Including 0.026 14.5 0.3 15.8 15.2 27.4 42.7
RMR-030 Mystic 0.024 5.0 0.1 6.2 12.2 62.5 74.7
RMR-031 Mystic 0.015 6.3 0.1 7.1 42.7 30.5 73.2 123.4
RMR-031 Mystic 0.018 6.5 0.1 7.4 7.6 79.2 86.9
RMR-031 Mystic 0.045 16.2 0.4 18.5 18.3 105.2 123.4
Including 0.089 24.5 0.6 29.0 7.6 105.2 112.8
RMR-032 Mystic 0.030 4.3 0.1 5.8 3.0 7.6 10.7 169.2
RMR-032 Mystic 0.009 4.9 0.1 5.4 27.4 33.5 61.0
RMR-032 Mystic 0.012 4.7 0.1 5.3 3.0 86.9 89.9
RMR-032 Mystic 0.012 15.8 0.3 16.4 44.2 94.5 138.7
Including 0.015 41.1 0.8 41.9 1.5 115.8 117.3
Including 0.009 39.4 0.8 39.9 6.1 129.5 135.6
RMR-032 Mystic 0.002 7.6 0.2 7.7 6.1 141.7 147.8
RMR-033 Packard Mine 0.041 9.6 0.2 11.7 86.9 1.5 88.4 175.3
Including 0.308 8.8 0.5 24.2 1.5 9.1 10.7
Including 0.067 16.4 0.4 19.8 18.3 62.5 80.8
RMR-033 Packard Mine 0.076 3.3 0.1 7.1 9.1 111.3 120.4
RMR-033 Packard Mine 0.029 5.5 0.1 7.0 1.5 126.5 128.0
RMR-033 Packard Mine 0.016 5.0 0.1 5.8 1.5 132.6 134.1
RMR-033 Packard Mine 0.009 5.7 0.1 6.2 16.8 143.3 160.0
Cutoff grade: Ageq. = 5 g/t
(1) Aueq. = Au + Ag/50; Ageq. = Ag + Au*50
(2) True Thickness Unknown

Rye Patch Gold US Inc. maintains a strict quality control program at all of its projects. All reverse circulation and core samples are submitted to American Assay with prep-blanks, assay blanks, and gold and silver standards. Rye Patch Gold US Inc. inserts approximately one quality control or quality assurance samples for every twenty samples submitted to the assay laboratory. The RC chips are logged and photographed on site. American Assay collects the samples and transports them to their preparation and analytical facility located in Reno, Nevada. Gold analyses are conducted on 1-assay ton prepped samples with gold determined using industry standard fire assay methods with an atomic absorption finish. Gold values above 10 g/t gold (over limits) are confirmed using fire assay with a gravimetric finish. Silver is analyzed using a four-acid digestion and an AA finish. Silver values over 100 g/t silver are re-analyzed using volumetric dissolution.

Mr. William Howald, AIPG Certified Professional Geologist #11041, Rye Patch Gold's CEO and President, is a Qualified Person as defined under National Instrument 43-101. He has verified the information contained in, and has reviewed and approved the contents of, this news release.

Rye Patch Gold US Inc. controls over 100 square kilometres (40 sq. miles) along the Oreana trend. The Rochester Property - LH Claims - covers 30.3 square kilometres (7,493.2 acres), and mineral title is disputed by Coeur Rochester Inc. The Sixth District Court of Nevada has enjoined Rye Patch Gold US Inc., for safety reasons, from conducting exploration activities on approximately 7.4 square kilometres (1,839.3 acres) covering the active open pit, mine dumps and leach pads in the immediate Rochester Mine area. It is the position of Rye Patch Gold US Inc. that all the LH claims are valid senior unpatented mining claims, including those claims within the court-ordered enjoined area. Geologic assessment and drilling confirm discoveries on the LH claims and the land area which covers up to 20% of Rochester's published proven and probable silver and gold reserve along with a significant portion of the published silver and gold resource based on Coeur's December 5, 2011, news release.

The Company is a Tier 1, Nevada-focused and discovery-driven company seeking to build a sizeable inventory of gold and silver resource assets in the mining friendly state of Nevada, USA. The Company's seasoned management team is engaged in the acquisition, exploration, and development of quality resource-based gold and silver projects. Rye Patch Gold US Inc. is developing gold and silver resources along the emerging Oreana trend, located in west-central Nevada, and is exploring 66 square kilometres along the Cortez trend near Barrick's two new gold discoveries. The Company has established gold and silver resource milestones and time frames in order to build a premier resource development company. For more information about the Company, please visit our website at www.ryepatchgold.com.

On behalf of the Board of Directors

William C. (Bill) Howald, CEO & President

This news release contains forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds, the financial position of Rye Patch to pursue legal undertakings; the outcome of legal action relating to the Rochester property and the LH unpatented claims, the timing and content of work programs; results of exploration activities and development of mineral properties, the interpretation of drilling results and other geological data, the uncertainties of resource and reserve estimations, receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses, fluctuations in metal prices; currency fluctuations; and general market and industry conditions. Litigation is inherently uncertain and factors that could cause actual results to differ materially from those in forward-looking statements include unexpected judicial findings of fact, previously unknown facts arising, and decisions which depart from past legal precedent and similar events.

Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed 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.

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