VANCOUVER, Dec. 29, 2015 /CNW/ - Desert Star Resources Ltd. (TSX-V: DSR) ("Desert Star" or the "Company") is pleased to announce that it has received a decision memo from the U.S. Forest Service approving the drilling of up to 10 sites on its Copper King project. Drilling is anticipated to commence by the middle of January, 2016.
Desert Star will be drilling approximately 2100 metres at its Copper King project. The drill program will target a significant porphyry-style alteration footprint that coincides with historic copper workings and an IP geophysical anomaly, approximately 5km from the Resolution Copper Project (Fig. 1).
Copper King is situated in a prolific, high-grade copper camp, and the drill target is characterized by local high-temperature alteration of porphyry dikes and diabase intrusions, in addition to evidence of telescoping, similar to that documented at other deposits in the district. The Copper King project is underlain by favorable host rocks and has no post mineral cover (as at the Resolution Copper Project), as porphyry-style alteration exists at surface. Additional technical information regarding the Copper King project is available on the Desert Star website at: www.desertstar.ca.
Desert Star is expecting to receive its Red Top project drill permit in mid to late January, and anticipates commencement of the Red Top drill program either simultaneously or immediately after the Copper King drill program is complete.
Copper King Exploration Highlights
Field work conducted by Desert Star Resources at the Copper King Project has consisted of 1:5000 scale geological mapping, clay alteration studies (short wave infrared measured by Terraspec), and a 3D Volterra IP study by SJ Geophysics. This work has defined a 4 x 5 kilometer anomaly that is prospective for porphyry copper mineralization, located approximately 5 kilometers away from the Resolution Copper Deposit. High grade copper is found in small-scale historic workings on the property, and geological mapping and sampling have accurately mapped the distribution of diabase, limestone/marble and quartz diorite units which are favorable host rocks, and have the capacity to host high-grade copper mineralization. The Copper King footprint contains a large volume of quartz-sericite-pyrite (QSP) and marble-serpentine-calc-silicate altered rocks with smaller internal zones of secondary biotite, silica and tremolite, all of which can occur above and lateral to copper mineralization in porphyry systems. Copper King is cored by a large IP anomaly consisting of a coincident chargeability high/resistivity low measuring 1.3 x 1.1 kilometers. This response is consistent with the expected response from disseminated sulphides associated with porphyry copper mineralization.
About the Copper King Project
The Copper King project covers 1,438 hectares and consists of 189 unpatented federal lode mining claims located approximately 5 kilometers from the world-class Resolution Copper Project and the town of Superior. The Copper King project is prospective for bulk tonnage copper and molybdenum mineralization. Alteration zonation and surface geology suggest that the Copper King target represents the side and/or top of a tilted, intact porphyry system. The Copper King project is under option from Eurasian Minerals Inc. (TSX-V: EMX; NYSE MKT: EMXX). The Company cautions that it is not implying that it will receive the same or similar results as the Resolution Copper Project.
The Company proposes to extend (the "Warrant Extension") by one year the term of outstanding share purchase warrants (the "Warrants") exercisable at a price of $0.15 per common share for 8,208,333 common shares of the Company, which were issued pursuant to a private placement which closed on February 25, 2013. All of the Warrants were originally exercisable for two years from the date of issuance. A previous one year extension extended the term to February 25, 2016, and the current Warrant Extension will take the expiry date to February 25, 2017. The Warrant Extension is subject to Exchange acceptance. All other terms of the Warrants will remain unchanged.
Daniel MacNeil, MSc PGeo, a Qualified Person as defined by National Instrument 43-101, has read and approved all technical and scientific information contained in this news release. Mr. MacNeil is the Company's Vice President, Exploration.
About Desert Star
Desert Star is a Vancouver-based mineral exploration company focused on the identification, acquisition and development of copper and gold projects located in top-tier mineral belts in the southwestern United States that contain significant historical production, existing mining infrastructure and an established mining culture.
President and CEO, Desert Star Resources Ltd.
Cautionary Note Regarding Forward-Looking Statements
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.
This news release contains certain statements that may be deemed "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although Desert Star believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, are subject to risks and uncertainties, and actual results or realities may differ materially from those in the forward-looking statements. Such material risks and uncertainties include, but are not limited to, Desert Star's ability to raise sufficient capital to fund its obligations under its property option agreements, to maintain its mineral tenures and concessions in good standing, to explore and develop its projects, to repay its debt and for general working capital purposes; changes in economic conditions or financial markets; the ability of Desert Star to obtain the necessary permits and consents required to explore, drill and develop the projects and if obtained, to obtain such permits and consents in a timely fashion relative to Desert Star's plans and business objectives for the projects; the general ability of Desert Star to drill test its projects and find mineral resources; if any mineral resources are discovered or acquired, the Company's ability to monetize any such mineral resources; and changes in environmental and other laws or regulations that could have an impact on the Company's operations. Forward-looking statements are based on the reasonable beliefs, estimates and opinions of Desert Star's management on the date the statements are made. Except as required by law, Desert Star undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
SOURCE Desert Star Resources Ltd.
Image with caption: "Figure 1. Location of the Copper King project. (CNW Group/Desert Star Resources Ltd.)". Image available at: http://photos.newswire.ca/images/download/20151229_C4537_PHOTO_EN_589802.jpg
For further information: regarding Desert Star, please email [email protected] or visit our website at www.desertstar.ca