CALGARY, ALBERTA--(Marketwire - Feb. 28, 2013) - Teras Resources Inc. ("Teras" or the "Company") (TSX VENTURE:TRA)(OTCQX:TRARF): Teras is pleased to report new analysis of historical geophysical surveys that were conducted by Kennecott Exploration in 1995 at the Cahuilla gold/silver project in Imperial County, California. The study indicates that subsurface precious metal mineralization and different styles of hydrothermal alteration can be identified via geophysical techniques. The re-evaluation using new computer processing techniques was used to design supplementary geophysical surveys that were initiated in January 2013 to identify new shallow and deeper high grade targets that will be drill tested later this year.
The map below illustrates the comparison of geophysical "resistors" or hard, silicified rocks shown in yellow with the NI 43-101 resource which is situated within the blue line. At Cahuilla, gold and silver are very commonly associated with silicification, which is distinctly concentrated in hard or "resistive" rocks, based on geologic mapping and drilling.
A map of the Cahuilla Project Area is available at the following address: http://media3.marketwire.com/docs/Cahuilla_Project_Area.pdf.
The results illustrate the significant size of the geophysical resistor or widespread silicification, which delineates a large footprint for future expansion of precious metal resources. The results were also used to assist in designing the new geophysical surveys currently being conducted throughout the entire Cahuilla project area that include magneto tellurics, induced polarization and gravity. Zonge International will complete the geophysical field surveys this week and final results will be available in March.
Zonge will focus on identifying high-grade feeder structures to depths of up to 1000 meters that may represent the source of near surface high-grade veins and widespread disseminated precious metal mineralization. Geophysics will also be used to target additional shallow disseminated gold/silver mineralization and high-grade vein targets located outside of the current mineral resource and for new targets that may occur beneath shallow pediment cover in the southern, eastern and northeastern portions of the project area.
In other news, subject to regulatory approval, the Company is granting to a Business Development Consultant, under the terms of its stock option plan, options to purchase up to 150,000 common shares at a price of $0.85 per share. The options will vest over a one year period and have an expiry date of February 28, 2018.
Dale A Vitone P. Eng., registered with the Association of Professional Engineers of Ontario, Alberta and North West Territories and a Director for Teras, is the Company's nominated qualified person responsible for monitoring the supervision and quality control of the programs completed on the Company's properties. Mr. Vitone has reviewed and verified the technical information contained in this news release.
The Company is focused on developing its Cahuilla project located in Imperial County, California. The project encompasses an area of at least 3 km by 1.5 km and demonstrates the potential for a large-scale, bulk mining operation consisting of altered and mineralized sedimentary and volcanic host rocks with numerous sheeted high-grade quartz veins. Teras filed a NI 43-101 compliant technical report with an indicated resource of 1.2 million plus ounces of gold and 11 million plus ounces of silver on its Cahuilla project (70.148 million tons at an average grade of 0.015 ounces per ton gold and 0.17 ounces per ton silver with a cutoff of 0.008 ounces per ton gold). The Company has an aggressive plan to increase the resource and develop the project for future mining operations.
This press release may contain "forward-looking information" within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein may be forward-looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as "plans", " expects" or "does not expect", "proposed", "is expected", "budgets", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. In particular, this press release contains forward-looking information regarding: the potential of the Cahuilla Project; the potential of geophysical programs on the Cahuilla Project; the potential to expand the resource, to identify new targets and to identify high grade zones and structures; the timing of and potential of drilling and exploration programs, surveys, studies and developments; and the potential for finding high grade deposits.
This forward-looking information reflects the Company's current beliefs and is based on information currently available to the Company and on assumptions the Company believes are reasonable. These assumptions include, but are not limited to, the actual results of exploration projects being equivalent to or better than estimated results in technical reports or prior exploration results; future costs and expenses being based on historical costs and expenses, adjusted for inflation; continued success in drilling and exploration programs and geological and geophysical studies at the Cahuilla project; successful studies in mining techniques and metallurgy; commodity prices continuing at today's prices or rising; obtaining the necessary funding to carry out recommended work programs, exploration and studies; and continued success in obtaining permits. Additional assumptions can be found in the Company's disclosure documents on the SEDAR website. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the early stage development of the Company and its projects; general business, economic, competitive, political and social uncertainties; commodity prices; the actual results of current exploration and development or operational activities; competition; changes in project parameters as plans continue to be refined; accidents and other risks inherent in the mining industry; lack of insurance; delay or failure to receive board or regulatory approvals; changes in legislation, including environmental legislation, affecting the Company; timing and availability of external financing on acceptable terms; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
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 of accuracy of this news release.