Tarsis Resources Ltd.

Tarsis Resources Ltd.

September 10, 2012 08:45 ET

Tarsis Optionee Reports Final Diamond Drill Results from White River, Yukon

-- First drill program ever completed at White River

-- Small intercepts of gold encountered

-- New high grade gold at surface in MS2 Zone

-- Optionee to continue exploration at White River

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 10, 2012) - Tarsis Resources Ltd. (TSX VENTURE:TCC) ("Tarsis" and "the Company") has received the final results from diamond drilling at its White River property (the "Project"), located in south-western Yukon from project optionee, Driven Capital Corp. (TSX VENTURE:DVV) ("Driven"). Driven has funded the 2012 exploration program as part of its commitment to earn a 60% interest in the project. This program was the first ever drill program conducted at White River.

2012 Drill Program Results

In total, 1,327 meters were drilled in seven holes during the 2012 exploration season. All holes targeted structurally associated gold-copper-silver mineralization in localized portions of the HG, Cool and MB zones. Results for the first four holes, drilled from two pads testing a 150 m portion of the HG Zone, were announced August 16, 2012 and the final three holes are detailed in this release. Each of the remaining holes tested isolated portions of the three zones mentioned above.

Drill core from each hole displays numerous multi-phase veins, breccia and shear zones containing varying combinations of secondary calcite-arsenopyrite-chalcopyrite-pyrite supporting previous interpretations of extensive hydrothermal activity. These structural zones range in thickness from 0.94 to 12.95 meters and as previously reported, a number of these zones have no surface expression.

Moderately elevated gold values were identified in all holes with assays ranging from 0.42 to 2.78 g/t gold over intervals ranging from 0.76 to 1.47 meters. Poor drill core recovery was also noted by Driven, due to the high degree of fracturing, strong surface oxidation/weathering and presence of clay-rich gouge. Elevated gold intervals are coincident with strongly anomalous arsenic (in some cases greater than 10,000 ppm) and bismuth.

Additional Surface Sample Results

Elsewhere on the property, two select prospecting samples were collected from the spoil pile of a trench, excavated at the MS2 Showing in 2011. This particular material was not previously sampled and each specimen contains disseminated to semi-massive arsenopyrite in silicified metasediments interpreted to be part of the Yukon-Tanana assemblage underlying the stratigraphic sequence hosting the HG, Cool and MB zones. The two samples collected returned 18.90 and 3.25 g/t gold and both samples have strongly anomalous accessory arsenic, bismuth and tellurium. The MS2 Showing is located approximately 500 meters south of the HG Zone and was not drilled during the 2012 campaign.

All assays were carried out by ALS Canada Ltd., with sample preparation in Whitehorse and analysis in North Vancouver. Gold and silver were analyzed by 30 g fire assay with gravimetric finish or atomic adsorption; thirty-five-element ICP analysis with four-acid digestion was also conducted. Driven plan to carry out check assays of certain core samples using fire assay with atomic absorption finish, at Acme Analytical Laboratories (Vancouver) Ltd.

Further Exploration Planned by Optionee

The 2012 diamond drilling campaign was localized within a very small portion of the White River West gold-copper-arsenic soil geochemical anomaly and has not sufficiently explained the extensive soil geochemical surface expression of the White River mineralizing system. Continued work will be done during the winter season utilizing the drill data to establish potential vectoring for the next phase of work in 2013. Driven has notified Tarsis that they plan to do further exploration work on the property.

Option Agreement

Under the terms of the option agreement, Driven can earn a 60% interest in the Project by completing the following commitments before January 15, 2016:

  • Making cash payments to Tarsis of $400,000 ($50,000 received)
  • Issuing two million Driven shares to Tarsis (250,000 shares received)
  • Completing $4.25 million in exploration expenditures on the Project

Tarsis will retain a 2% NSR royalty on any minerals produced from the Project, half of which may be purchased for $2 million by Driven.

Once earn-in obligations have been completed, a joint venture will be formed to operate the Project.

Tarsis has reviewed the work done by Driven on the project and granted Driven a waiver from drilling the required 1,500 meters in 2012 because the total meters drilled was very close at 1,327 meters and further analysis of this drilling is required before the next drill program can be completed.

The technical information contained in this press release was prepared by Mr. Marc G. Blythe, P.Eng., the President and CEO of Tarsis Resources Ltd. Mr. Blythe is a Qualified Person as defined by NI 43-101.

About Tarsis Resources

Tarsis is an exploration company following the prospect generator business model. The Company acquires prospective exploration projects through its own grass roots generative exploration, and vends or options out projects to partners for advancement.

On behalf of the Board,

Marc G. Blythe, P.Eng., MBA., President and Chief Executive Officer

This news release was prepared by Company management, which takes full responsibility for content.

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.

Contact Information

  • Tarsis Resources Ltd.
    Marc G. Blythe, P.Eng., MBA
    President and Chief Executive Officer
    (604) 689-7644

    Tarsis Resources Ltd.
    Mark T. Brown, C.A.
    Chief Financial Officer
    (604) 687-3520