Redzone Resources Ltd. ("Redzone" or the "Company") reports that in-fill and step-out drilling has encountered significant copper-molybdenum mineralization at the Lara property located in the prolific Southern Peruvian Coastal Belt.
Michael Murphy, President & CEO of Redzone said, "The initial program comprised 11 holes covering roughly a 600-by-300 metre portion of the Lara copper-moly system with results received and compiled for the first five holes. The discovery of significant moly credits to go along with good copper grades in holes LA10-35 and LA10-30, which are spaced some 380 metres apart, opens up the potential of the overall Lara mineralizing system.”
Hole LA10-35 was collared approximately 140 metres east of LRC-21 drilled in 1997 (0.76% copper over 36 metre and stopped in mineralization grading 0.46% copper at 114 metres with no analysis for molybdenum). Along with the copper-molybdenum grades reported above, hole LA10-35 also returned 0.10 gram gold per tonne and 1.9 grams silver per tonne over 22 metres from 212-234 metres downhole.
Hole LA10-30 was collared approximately 380 metres west of hole LA10-35 and 40 metres northwest of hole LDD-14 drilled in 1997 (the hole was terminated at 108 metre with the final 39 metres returning 0.87% copper with no analysis for molybdenum), while hole 31 was collared approximately 150 metres south of hole LA10-30.
Hole LA10-29 was collared 90 west of hole LA10-31 and intersected an aplite dyke that terminated mineralization at 47.4 metres downhole, while hole 28 was collared 60 metres north- northwest of hole LA10-29 and was terminated in lower grade mineralization (0.26% Cu) at 90.2 metres downhole.
Initial 2010 Lara Copper-Molybdenum Drill Results
|Drill Hole #||From
|LA10-28||33.40||90.20*||56.80||0.27||NSV||0.27||End in Mineralization |
(last sample 0.44% Cu
over 1.6 metres)
terminated by aplite dyke
The Lara property is favourably located at a moderate elevation only 40-km from the Pan American Highway near the southern coast of Peru. Redzone acquired the right to earn up to a 75% interest in the Project from Lara Exploration Ltd. (LRA: TSXV) via earning into Minas Dixon BVI (“Minas”), a wholly owned subsidiary of Lara. Under the agreement, Redzone must spend US$2.5 million in exploration on the Property and issue 850,000 Redzone common shares to Lara over a three year term to earn an initial 55% interest in the Project. Redzone can then elect to earn an additional 20% interest in the Project by completing a bankable feasibility study and making a one-time cash payment of US$1.5 million on or before January 28, 2015. Lara retains a 1% net smelter royalty on all production from the Project. Under the terms of the agreement, Redzone must spend US$500,000 on or before October 26, 2011 and it is anticipated that the cost of the initial drill program will meet that obligation.
The Company has established a rigorous QA/QC program at Lara, which includes the insertion of blanks, duplicates and certified standards into the sample stream. Core is photographed on site and subsequently sawed in half, with one half sent for analysis and the other half stored for future reference and assay verification. All Lara samples are shipped to CIMM certified laboratory in Lima, duplicates samples are sent to Als Chemex laboratory, where they are analysed for copper (Total and Soluble), gold, and multi-element ICP.
Richard Graham P.Geol., a director of Redzone and a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects, is responsible for the preparation and content of the technical information in this release.
Redzone is a mineral exploration company engaged in the acquisition and exploration of mineral properties with prospects for hosting gold and base metal deposits. The Company is currently active in Peru on the Lara copper project and trades on the Toronto Stock Exchange under the symbol REZ.
ON BEHALF OF THE BOARD OF DIRECTORS OF
REDZONE RESOURCES LTD.
Director, President and CEO
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The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release.
Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Redzone, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, 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