28.4 Meters Commencing from Surface at 1.96 Grams Gold Per Tonne in Oxides Intercepted at Santa Rosa
Vancouver, BC, October 30, 2012 - Red Eagle Mining Corporation (TSX-V: RD, OTCQX: RDEMF) is pleased to announce additional assay results from the latest drill programme. Phase Three drilling is targeting the shallower oxide mineralisation at the San Ramon gold system, Santa Rosa project located in Colombia. Highlights from 42 holes (SR-077 to SR-118) include intercepts:
- SR-078 - 39.6 metres at 0.41 g/t Au from surface
- SR-080 - 38.5 metres at 0.51 g/t Au from 6.2 metres down hole
- SR-083 - 2.6 metres at 18.01 g/t Au from 69.0 metres down hole
- SR-093 - 5.7 metres at 3.78 g/t Au from 2.6 metres down hole
- SR-097 - 6.9 metres at 3.09 g/t Au from 13.7 metres down hole
- SR-103 - 2.6 metres at 6.07 g/t Au from 12.6 metres down hole
- SR-108 - 3.4 metres at 8.75 g/t Au from 15.5 metres down hole
- SR-109 - 19.6 metres at 2.32 g/t Au from 9.7 metres down hole
- SR-110 - 28.4 metres at 1.96 g/t Au from surface
- SR-111 - 22.1 metres at 2.17 g/t Au from 13.2 metres down hole
- SR-112 - 23.7 metres at 2.09 g/t Au from 10.0 metres down hole
- SR-113 - 18.3 metres at 1.31 g/t Au from 19.0 metres down hole
"Our recently completed Phase Three delineation drilling confirms strong gold mineralisation from surface in the oxidised material at San Ramon", comments Ian Slater, Chief Executive Officer. "With our recent financing completed we are looking forward to commencing the Phase Four drill programme to test the gold system down dip, where typically higher grades have been intercepted, and complete a resource estimate and PEA."
The San Ramon structure trends east-west, dips 60°-70° to the north, extends over 1,800m, is up to 60m wide and is mineralised from surface. Phase One and Two drilling intercepts averaged 2.1 g/t Au (using a 0.20 g/t Au lower cut and no upper cut) to a vertical depth of over 250m with mineralisation remaining open at depth. The Phase Three 5,000m, 74 core drill hole programme delineated shallower mineralisation on 50m centres. Assays are pending on the remaining 21 holes (SR-119 to SR-139). The work program for the remainder of 2012 and Q1 2013 includes:
- 17,000 metre Phase Four drill programme to infill to 50m centres and test mineralisation from 250m to 500m depth;
- NI 43-101 compliant resource estimate (to be released December 2012);
- Preliminary Economic Assessment (to be released Q1 2013).
Table 1 summarizes the significant (+0.20 g/t) uncut gold intercepts from Phase Three core drill holes SR-077 to SR-118 (see Figure 1 - Drill Hole Plan and Figure 2 - Long Section). True widths are estimated to be 70-90% of the intercepts and vertical depths are estimated to be 70-90% of the drilled depths reported below. Internal dilution within intercepts is limited to the inclusion of runs of no more than 6m below cut-off. Holes SR-106, 107, 114 and 115 did not intercept economic mineralisation. For pictures of the drill core see Red Eagle`s photostream on flickr.
Table 1- San Ramon Phase Three Drill Intercepts
|Hole ID||From (m)||To (m)||Interval (m)||Au (g/t)|
Table 2 - Drill Hole Specifications
|Hole||Easting||Northing||Elevation (m)||Azimuth||Dip||EOH (m)|
Quality Control and Assurance (QC/QA)
All drill samples were collected with a diamond core drill rig using approximately one metre sample intervals of whole core and following standard industry practice. Acme Analytical Laboratories prepped and screened samples in Medellin, Colombia and assayed samples in Santiago, Chile. Gold values were determined by fire assay of a 50g charge at 250 mesh pulp with an AAS finish, or if over 10 g/t Au, were re-assayed and completed with a gravimetric finish. The coarse crush split reject (<16mm) was retained for metallurgical testwork. 10% of a range of selected assays over 0.2 g/t Au, with an average of approximately 1.0 g/t Au were taken from the middling split reject and submitted for metallic screening analysis at 150 mesh pulp followed by fire assay and both AAS and gravimetric finish. Any discrepancies were reanalysed from the remaining middling reject by gravity concentration and acid digest. QC/QA included the insertion and continual monitoring of standards and blanks into 10% of the sample stream batches, along with check assays conducted at alternate accredited laboratories.
The scientific and technical information contained in this news release has been reviewed and approved by Michael Johnson P.Geo., who is a "Qualified Person" as defined under National Instrument 43-101.
About Red Eagle Mining
Red Eagle Mining Corporation is a well-financed gold exploration and development company with an experienced mine development team. Red Eagle Mining is currently developing the 390 km² Santa Rosa gold project located in Colombia. Santa Rosa is an intrusive hosted structurally-controlled quartz stockwork system within the prolific Cretaceous Antioquia Batholith. Gold mining within the Santa Rosa project pre-dates the 16th century when an estimated 30 million tonnes were mined. Santa Rosa is located 70km north of Medellin near the town of Santa Rosa de Osos in a region characterized by gently rolling hills and excellent infrastructure. Santa Rosa is also located 50km west of AngloGold Ashanti's Gramalote gold deposit (2.5 million ounce M&I resource grading 0.8 g/t Au) and 60km east of Continental Gold's Buritica gold deposit (1.6 million ounce M&I resource grading 13.6 g/t Au). Red Eagle Mining also holds an extensive package of exploration ground in Colombia, including the Pavo Real project in the Mid-Cauca gold belt.
For further information on Red Eagle Mining please refer to our website www.redeaglemining.com, contact Ian Slater, Chief Executive Officer, or contact:
Sequoia Partners - Investor Relations
+1 604 682 4600
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