Newstrike Resources Announces Confirmation of Banded Iron Formation on Its Wyoming Properties
TORONTO, ONTARIO--(Marketwire - Oct. 25, 2012) - Newstrike Resources Ltd. ("Newstrike" or the "Company") announces the completion of Phase 1 Reverse Circulation ("RC") drilling on the Black Rock and Sweetheart West properties in Wyoming, USA. A total of seven RC holes were drilled to test geophysical and geochemical anomalies identified in programs conducted earlier this year. The RC drill rigs proved to be inadequate to penetrate the very hard rocks encountered and four RC holes were prematurely terminated prior to reaching their targeted depths. The Company plans to continue the Phase 1 evaluation of the BIF targets with a diamond drill rig that will be able to drill to targeted depth. One follow-up hole is also planned at the Sweetheart West gold prospect.
At the Black Rock property, the drilling was designed to test three magnetic anomalies along a north-south trend measuring six miles long and varying in width from 1,000 - 2,000 feet. Two RC holes, drilled about 1300 feet apart, were successful in intersecting the targeted Banded Iron Formation ("BIF"). One hole (BIF12-003) intersected 90 feet of iron-formation at 740 feet but was terminated in the BIF at 830 feet. Seven 5 ft. samples averaged 39 percent Fe203. The deepest sample analyzed ran 51% Fe203. These results are preliminary and were determined using a Terraplus KT-10 susceptibility meter and were also later confirmed by chemical assaying at American Assay Laboratories in Reno, Nevada. The second hole (BIF12-004) was abandoned after penetrated only 20 feet into the BIF.
At the B-Gap prospect one RC hole was drilled to test a separate circular magnetic anomaly lying several miles west of the Black Rock anomaly. It encountered 290 feet of highly magnetic rock starting at 275 feet depth. Extremely hard drilling conditions forced the abandonment of the hole in high-grade magnetite. Preliminary analysis of six 5 foot samples from regular intervals through the magnetite zone averaged 50% Fe203, including 3 samples which averaged over 55% Fe203.
Two additional holes were drilled on a gold anomaly near the North Granite Mountains fault zone on the Sweetheart West property. Holes were targeted from surface samples in this area that returned assays up to 200 ppb gold. Results from these holes are pending but the hole SHW12-001 intersected encouraging looking alteration and mineralization.
Newstrike's Wyoming properties are a package of properties comprising approximately 16,000 acres in the vicinity of Rattlesnake Hills, Wyoming. Newstrike has an option to acquire a 100% interest in the properties which may be exercised following a determination of potential value.
Technical information in this press release has been reviewed and approved by Stephen Kenwood, P. Geo., an independent, qualified person as defined in NI 43-101.
Newstrike is an early stage exploration company with property assets located primarily in Wyoming, USA and Kirkland Lake, Ontario. The Company's strategy is to carry out exploration on their advanced properties with the purpose of defining economic deposits. Neither the TSX Venture Exchange nor its Regulations Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Newstrike's 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 Newstrike, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of resource and reserve estimates, 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.
FOR FURTHER INFORMATION PLEASE CONTACT:
Newstrike Resources Ltd.
John A. Pollock
President and CEO
Newstrike Resources Ltd.