Royal Standard to drill at Pinon-Railroad
2007-01-16 10:01 ET - News Release
Mr. Roland Larsen reports
ROYAL STANDARD MINERALS INC.: POTENTIAL FOR LARGE COPPER OXIDE PLAY SOUTH OF THE NEAR SURFACE GOLD OXIDE DEPOSITS ON THE RAILROAD PROPERTY, ELKO COUNTY NEVADA
Royal Standard Minerals Inc. owns a project in the Railroad mining district, which represents the northern portion of the approximately 17,000-acre land package contained within the Pinon-Railroad project area located south of Newmont Gold's Rain mining district in Elko county, Nevada. RSM has a 100-per-cent interest in this project that has concentrated upon the proposed development of open pit oxide and exploration for deeper underground potential targets for Carlin-type gold-silver deposits. RSM is currently engaged in the federal and state permit process to develop several near-surface oxide gold-silver deposits on this property package according to Roland Larsen, qualified person, NI 43-101.
Based upon the results of drilling and previous skarn-hosted base and precious metal production, the company believes that there is an opportunity for significant copper resources that will include additional base and precious metal credits occurring south of and adjacent to the near-surface gold deposits in this area. As in a previously reported in Stockwatch Sept. 20, 2005, a number of drill holes that intersected long sections of copper oxide and associated base and precious metal mineralization during the gold exploration effort are listed as follows:
* KC99-14: 100 feet of 0.630 per cent copper;
* KC99-17: 400 feet of 0.432 per cent copper;
* KC99-19: 60 feet of 0.834 per cent copper;
* KC98-49: 250 feet of 0.262 per cent copper;
* AR-6: 130 feet of 0.52 per cent copper;
* AR-7: 60 feet of 0.75 per cent copper; and
* AR-8: 87 feet of 0.51 per cent copper.
RSM commenced a ground magnetics survey and surface alteration mapping program in late September, 2006, that was completed in December, 2006. The initial ground magnetics program that includes more than four square miles, based upon the data, represents the largest ground survey to date on this property. This effort incorporated all previous smaller patchwork surveys completed by others within the new coverage area.
The results of this effort have been an eye-opener for the company indicating that the Bullion intrusion central core reveals a well-developed circular-oval magnetic signature that is flanked by a large area on the northeast side of the intrusion that is approximately 1.5 square miles in size is believed to be a large alteration zone. The entire magnetite skarn prospective area includes more than 2.5 square miles. The northeast magnetic response in this area indicates a disruption in the pattern possibly indicating alteration of one of the intrusive phases of the Bullion stock. This anomaly is on the order of two miles long north to south and one mile wide east to west. The copper intercepts indicated above occur on the extreme north-northeastern margin of this anomaly. The southern-southwestern edge of this anomaly contains the Railroad district where the high-grade near-surface skarn-hosted copper-lead-zinc-silver-gold mines are located. This district has produced significant copper, silver, lead, zinc and gold during the late 19th and the early portion of the 20th century. Prior production from several small underground mines indicated copper and silver-lead-zinc from skarn and pipe-like replacement deposits. From 1869 into the 1930s and minor production after that, the following metals were produced from various mines in the Railroad district to include: seven million pounds of copper, 36,000 ounces of gold, 25 million pounds of lead, 1.2 million ounces of silver and 442,000 pounds of zinc. Most of this production was from the area south of the Bald Mountain fault, Rayias, 1999.
Within the area that is bounded by the significant base and precious metal occurrences mentioned above, an area on the order of 1.5 square miles indicates no previous drilling of any significance exists between the northern copper-gold mineralization and the Railroad skarn base and precious metal district more than two miles to the south, this area is essentially untested. The company believes that there is a strong indication that this area is prospective for more of the copper-gold-silver and other base metal mineralization as indicated.
The aerial dimensions and signature of this geophysical response is analogous to other alteration patterns of productive copper-bearing skarn systems in North and South America such as Battle Mountain, Yerington and Robinson, Nev., as well as a South American analogues such as the Tintaya skarn belt of southern Peru. RSM is very encouraged in regard to the magnitude of the intrusive-skarn-related base and precious metal potential of this area, the company believes that these results suggest the potential for a large-scale copper-bearing porphyry/skarn system in this area.
The initial focus of the RSM copper exploration effort will be to offset the drill holes listed above toward the south to the Railroad district deposits on the southern portion of this anomaly. This effort will result in drilling on the north and south of the Bald Mountain fault about one mile south of the near-surface gold-oxide deposits currently under study for future development.
At this time, the relationships between the skarn base and precious metals deposits and the heavily drill-tested near-surface oxide gold-silver deposits is to be determined. It is clear on the northern portion of this geophysical anomaly the copper-gold system is spacially related to the gold-silver deposits.
RSM has received its drill permits from the BLM to commence testing the copper target on the Railroad property, Elko county, Nevada. There will be some adjustments to the placements of the drill holes on this first phase of drilling. The company has contracts in from one Nevada core driller for this project. RSM is currently negotiating for additional core drills for the Railroad and other projects in Nevada, the plan is to commence drilling as soon as possible.
We seek Safe Harbor.
