Press release from Marketwire
Alder Provides Update for Its Rosita Project, Nicaragua
Tuesday, May 07, 2013
Alder Provides Update for Its Rosita Project, Nicaragua07:00 EDT Tuesday, May 07, 2013
TORONTO, ONTARIO--(Marketwired - May 7, 2013) - Alder Resources Ltd. ("Alder" or the "Company") (TSX VENTURE:ALR) is pleased to provide exploration and corporate highlights for the Rosita Project in northeast Nicaragua (Figure 1). Highlights include:
- Expanded Tipispan porphyry target footprint to 350 metres by 250 metres and open in all directions.
- Discovery of new target (Naranjal) defined by coincident soil geochemical anomalies over an area 500 metres by 400 metres located 2 kilometres northeast of Tipispan porphyry prospect.
- Commencement of metallurgical testing of tailings material focused on recoverable gold and silver.
- Composite sample of North stockpile collected for metallurgical testing.
Company President and CEO, Joseph Arengi, states: "Delineating a high grade supergene blanket associated with high angle structures above a copper-silver-gold porphyry system at Tipispan was a milestone achievement by our exploration team. We now have drill-ready targets that are continuing to be refined by the ongoing work programs. The exploration team continues to discover high quality targets that are expected to add significant value to the Company going forward."
Tipispan Porphyry Copper Target
The Company has advanced the Tipispan porphyry copper prospect through trenching and soil sampling (Figure 1). Historic drilling from 2010 intersected porphyry style alteration and mineralization in two drill holes located 250 metres apart. One hole, designed to test high grade copper oxide mineralization in an old prospect pit, returned 0.42% Cu and 7.00 g/t Ag over 50.0 metres within a wider zone that returned 0.21% Cu and 3.49 g/t Ag over 117.0 metres. Trenching by Alder returned high grade copper-gold-silver-lead-zinc mineralization in supergene oxide zones in several intervals from three trenches located above and north of this drill hole. Trench results are summarized in Table 1. The second drill hole was designed to test for extensions of gold-bearing material worked by artisanal miners. This hole returned 0.51% Cu, 0.25 g/t Au and 10.41 g/t Ag over 11.5 metres within a wider low grade interval that returned 0.13% Cu, 0.16 g/t Au and 2.11 g/t Ag over 61.9 metres. Grab samples collected from artisanal miners workings at two sites 50 metres and 100 metres northwest of the drill hole collar returned 4.18% Cu, 1.46 g/t Au, 34.50 g/t Ag, 11.15% Pb and 12.62% Zn and 4.46% Cu, 10.84 g/t Au, 97.40 g/t Ag, 0.33% Pb and 3.28% Zn, respectively. The high grade, polymetallic mineralized zones obtained from trenching and grab sampling are interpreted as high angle structures that transect the broad porphyry style mineralization intersected in the two historic drill holes. These structures served as conduits for mineralizing hydrothermal fluids. These drill intercepts have not yet been followed up. Collectively, the footprint of the Tipispan porphyry target is 350 metres by 250 metres and open in all directions.
|Table 1. Summary of assay results from trenching at Tipispan.|
|* Width represents sampled width; true widths are unknown at this time.|
The soil sampling program at Tipispan is designed to delineate the extent of high grade multi-element values observed in trenches within a supergene oxide blanket. Results from the sampling have confirmed a broad, multi-element anomaly including Cu values up to 0.12% and Au values up to 1.68 parts per million over a width of approximately 200 metres across a north-northwest trending zone. The nature of the mineralization observed from drill hole and trench sampling combined with the multi-element geochemical signature suggests endoskarn base-metal mineralization within a granite host that is controlled by a north-northwest structure. The geochemistry suggests mineralization may be associated with a porphyry style Cu system and associated epithermal to sub-epithermal Au mineralization.
Naranjal is a new prospect located two kilometres northeast of Tipispan and four kilometres northwest of the Santa Rita pit. The prospect consists of coincident Cu-Au-Ag-Pb-Zn-Bi soil geochemical anomalies that lie along the flank of an IP chargeability high. The anomaly is 500 metres by 400 metres and is currently being tested with detailed soil sampling. Naranjal appears to be a strongly altered skarn that is associated with locally intense sulphide-bearing quartz stockwork veining. The geochemical signature suggests the stockwork veining may be epithermal in style.
Stockpile and Tailings Development
Alder is currently exploring ways to advance the development of the tailings and stockpile mineral resource at Rosita. Metallurgical testing of tailings material is underway and testing of stockpile material is planned to begin shortly. This work will provide the basis for future economic modeling and a scoping study with respect to a small scale production facility.
The stockpiles contain a 7.95 million tonne inferred mineral resource grading 0.62% Cu, 0.46 g/t Au and 9.2 g/t Ag (see news release dated May 9, 2012) with considerable upside for additional tonnage from high grade supergene copper-oxide zones in the Bambana area, 4 kilometres northeast of the stockpile resource.
The Company will also address quantifying the tailings material and evaluate the economic viability of extracting gold and silver.
The Company has implemented a temporary cost reduction strategy that includes reduced salary for management, the elimination of directors fees and a temporary reduction in exploration activities in Nicaragua. Exploration efforts will carry forward with a reduced staff and will focus on detailed soil sampling and trenching in high priority areas at the emerging porphyry copper target at Tipispan and the new target at Naranjal.
Given the current market conditions, the Company has decided to terminate the second tranche of its previously announced private placement financing (see news releases dated February 21, 2013 and March 21, 2013). The Company has sufficient cash to continue with a reduced exploration program.
Joseph Arengi, M. Sc., P. Geo., President and Chief Executive Officer of Alder and a qualified person as defined by NI 43-101, has reviewed and approved the scientific and technical content of this news release.
About Alder Resources Ltd.
Alder is a resource company focused on the development of gold and base metal projects throughout the Americas. Alder's current high priority Cu-Au-Ag porphyry target is the Rosita project in Nicaragua located 275 kilometres northeast of Managua. The company has a current Inferred mineral stockpile resource of 7.95 million tonnes grading 0.62% Cu, 0.46 g/t Au and 9.21 g/t Ag with numerous zones that have good near term potential to add to and enhance these resources. See the technical report entitled "Rosita Cu-Au-Ag Project, RAAN, Nicaragua, NI 43-101 Technical Report on Mineral Resource Estimate of Rosita Stockpiles" effective as of May 8, 2012, which is available under the Company's profile at www.sedar.com. Alder is also highly encouraged by recent trench results that, in conjunction with previous drill results from the Tipispan area, support management's belief of a large, untested, copper-gold-silver porphyry/skarn system locally overlain by a high grade, supergene enriched, oxide blanket.
In August 2011, Alder entered into an option agreement to acquire a 65% interest in the Rosita D concession from Calibre Mining Corp. by issuing 1,000,000 shares and incurring expenditures of $4,000,000 over four years. To date Alder has incurred more than half of the $4,000,000 earn-in obligation.
Alder Resources Ltd.
Joseph Arengi, President & CEO
Cautionary Note Regarding Forward-looking Information
This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Forward-looking information includes, without limitation, statements regarding potential mineralization, exploration results and future plans. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". 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 Alder to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; risks associated with operations in foreign jurisdictions; ability to successfully integrate the purchased properties; and other risks inherent in the mining industry. Although Alder 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. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking information. Alder does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
To view "Figure 1. Exploration highlights at Rosita D Concession", please visit the following link: http://media3.marketwire.com/docs/Figure_1_Exploration_Highlights_At_Rosita_D_Concession.pdf.
To view "Figure 2. Tipispan porphyry copper target", please visit the following link: http://media3.marketwire.com/docs/Figure_2_Tipispan_Porphyry_Copper_Target.pdf.
FOR FURTHER INFORMATION PLEASE CONTACT:
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.Contact Information:
Alder Resources Ltd.
President & CEO