VANCOUVER, Jan. 14, 2016 /CNW/ - Rye Patch Gold Corp (TSX.V: RPM; OTCQX: RPMGF; FWB: 5TN) (the "Company" or "Rye Patch") is pleased to announce that the Company's wholly owned subsidiary, Rye Patch Gold US Inc., has staked 119 unpatented lode claims covering the historic Rye Patch mine located 13 kilometres north of Gold Ridge and 6 kilometres south of Florida Canyon's Standard Gold mine operation along a major north-south structural zone in Pershing County, Nevada. The new project is called Panther Canyon.
Based on the Gold Ridge drill program (see news release January 6, 2016), Rye Patch has secured mineral tenure over approximately 10 square kilometres (2,400 acres) along a major north-south fold and thrust belt that is present between Gold Ridge and the Florida Canyon mine. The claims cover the historic Rye Patch mine.
Discovered in 1860, the Nevada Bureau of Mines and Geology reported the historic Rye Patch mine produced 600,000 ounces of silver between 1860 and 1870. Historic sample results yielded silver values up to 4,350 g/t Ag and gold values of 3.44 g/t Au.
On the new claims, the mineralized gold-silver zone has been traced in outcrop and occupies a north-south trending structural corridor that extends for 2.7 kilometres in length and 120 to 300 metres (400 to 1,000 feet) in width along a major thrust fault similar and potentially associated to the mineralized zone identified at the Gold Ridge project. Mineralization on the south end of the new claims is silver dominated and progressively becomes enriched in gold from the south to the north where historic surface grab samples range from 1.25 to 3.44 g/t (0.04 to 0.11 opt) gold within the mineralized zone. The gold and silver zonation is probably related to the Rocky Canyon intrusive complex located immediately to the south. A swarm of intrusive dikes and sills is focused proximal to the general thrust zone as at the nearby Florida Canyon and Standard Mines.
William Howald, President and CEO commented, "The gold and silver mineral trend and associated structural features is sizeable with over 25 kilometres of strike. At the north end of the zone is the Florida Canyon mine; at the south is our 100% owned Gold Ridge project, and in the middle are the new Panther Canyon claims. The tremendous size of the trend suggests it could host multiple, significant gold and silver deposits, and Rye Patch is seizing the opportunity as one of the few remaining groups still exploring in Nevada. Staking the additional land and acquiring the large upside potential along what appears to be a major precious metal trend positions Rye Patch for more discoveries in west-central Nevada."
Rye Patch has completed initial mapping and a surface rock-chip sampling program. The results of this work support the historic literature and confirm the property contains a significant precious-metals bearing system. More detailed work is required to define and refine drill targets. A detailed mapping and exploration program will be budgeted and will commence in the spring of 2016.
Extensive mine workings exist near the southern portion of the property in the vicinity of the historic Rye Patch mine. Additional small mine workings are present along the entire strike of the mineralized corridor, and a secondary, parallel zone is evident from the distribution of the old prospects and workings. Information for the majority of the historic underground workings is not available; however, mine maps for the historic Rye Patch mine do exist and show high‑grade gold and silver associated with a low-angle thrust fault zone. The style of mineralization and structural setting look very similar to the Gold Ridge property located to the south, and the Florida Canyon mine located to the north.
Mr. William Howald, AIPG Certified Professional Geologist #11041, Rye Patch Gold's CEO and President, is a Qualified Person as defined under National Instrument 43-101. He has reviewed and approved the contents of this news release.
About Rye Patch Gold Corp.
Rye Patch Gold Corp. is a Tier 1, well-funded junior mining company led by a seasoned management team that has participated in major discoveries totaling over 100-million ounces of gold. The team is engaged in the acquisition, exploration and development of quality resource-based gold and silver projects along the emerging Oreana trend and the prolific Cortez trend. Benefitting from its strong financial position, the Company's strategy is to balance development and exploration risk, creating value by:
- Advancing the Lincoln Hill project toward production;
- Pursuing a world class discovery - Garden Gate and Patty - contiguous to and on strike with Barrick's Goldrush deposit; and
- Seeking new project opportunities and accretive transactions.
The Company's cash and cash flowing royalty allow for progress without dilution to shareholders. For more information about the Company, please visit our website at www.ryepatchgold.com.
On behalf of the Board of Directors
William C. (Bill) Howald, CEO & President
This news release contains forward-looking statements, which address future events and conditions, which are subject to various risks and uncertainties. The Company's actual results, programs and financial position could differ materially from those anticipated in such forward-looking statements as a result of numerous factors, some of which may be beyond the Company's control. These factors include: the availability of funds; the financial position of Rye Patch; the timing and content of work programs; the results of exploration activities and development of mineral properties; the interpretation of drilling results and other geological data; the reliability of calculation of mineral resources (and, in respect of the Coeur Rochester mine 3.4% NSR, the reliability of calculation of Coeur's mineral resources and reserves); the reliability of calculation of precious metal recoveries; the receipt and security of mineral property titles; project cost overruns or unanticipated costs and expenses; fluctuations in metal prices; currency fluctuations; and general market and industry conditions.
Forward-looking statements are based on the expectations and opinions of the Company's management on the date the statements are made. The assumptions used in the preparation of such statements, 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.
Neither 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.
SOURCE Rye Patch Gold
For further information: Rye Patch Gold Corp, [email protected], Tel.: (604) 638-1588, Fax: (604) 638-1589