Renaissance Gold Reports Third Quarter Results
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/14/12 -- Renaissance Gold Inc. (TSX: REN) ("RenGold") reports financial results for the three and nine months ended March 31, 2012. Details of the Company's financial results are described in the condensed interim consolidated financial statements (the "Financial Report') and corresponding management discussion and analysis for the same period. These and further details on each of RenGold's projects and activities can be found on the Company's website at www.rengold.com and on the Company's profile on www.sedar.com. All amounts presented are in Canadian dollars unless otherwise stated.
Selected financial data
The following selected financial data is derived from the Financial Report as prepared in accordance with International Financial Reporting Standards.
The consolidated net loss for the nine months ended March 31, 2012, was $2,801,674 (2011- $3,775,871).
Working capital at March 31, 2012 was $8,440,799 of which $7,782,834 is cash. There are no long-term liabilities.
Total assets at March 31, 2012, of $9,704,757 of which $8,665,636 are current and $1,039,121 are exploration and evaluation assets, property plant and equipment and reclamation bonds.
Operations
RenGold is an exploration stage business engaged in the acquisition and exploration of mineral properties located in the USA, Argentina and Spain. RenGold's business model is to identify and secure mineral resource properties for which it seeks suitable joint venture partners. Once partners are found, an exploration and option to earn-in agreement is entered into on the property so that the earn-in partner will conduct and fund exploration on that property to earn an interest.
RenGold currently has 14 properties under exploration earn-in agreements:
Project Funding partner
Nevada:
Reef Golden Dory Resources Corporation (TSX VENTURE: GDR)
Rose Mine Rose Gold LLC, a subsidiary of Navaho Gold Pty Ltd.
(ASX: NVG)
Spruce Mountain Summit Mining Exploration, Inc., a US subsidiary of
Sumitomo Corporation
Trinity Silver Liberty Silver Corp. (TSX: LSL)
Wood Hills South NuLegacy Gold Corporation (TSX VENTURE: NUG)
Leonid, Pasco Canyon Lynx Resources (US) Inc., a private Nevada
and Gold Star corporation
Utah:
Wildcat Newmont Mining Corporation. (TSX: NMC)
Spain:
Baza Concordia Resource Corp. (TSX VENTURE: CCN)
Argentina:
El Monte Agnico-Eagle Mines Limited (TSX: AEM)
Gertrudis Agnico-Eagle Mines Limited (TSX: AEM)
Meridiano Atala Resource Corporation
Covadonga Atala Resource Corporation
Exploration highlights in the quarter on the Company's Nevada projects
Wood Hills South On April 26, 2012, RenGold announced assay results for the
second 10 holes drilled, aggregating 1,656.6 meters (5,435
feet) on widely spaced select geophysical and geochemical
anomalies. The results from the recent drilling combined
with the newly obtained gravity survey and the induced
polarization/resistivity and soil geochemistry surveys
point to several areas with the potential of hosting
significant gold mineralization that will be targeted in
the next round of drilling.
Rose Mine On January 18, 2012, RenGold announced the assay results
from reverse circulation drilling completed by Navaho Gold
on the Rose Mine gold exploration project located 8 miles
(13 km) southwest of the 2.23 MM ounce Archimedes Deposit
operated by Barrick Gold Corporation in the Eureka Mining
District. Navaho Gold is evaluating the results and is
considering a second round of drilling, which could include
the main part of the known silver mineralization and nearby
areas of gold anomalism.
Buffalo Canyon On March 26, 2012, RenGold announced completion of drilling
at its Buffalo Canyon gold exploration project,
northwestern Nye County, Nevada. The 14 reverse circulation
drill holes totaling 9,909 feet and 4 diamond core holes
totaling 2,324.2 feet drilling program was funded by
Eldorado Gold Corp. Multiple targets with up to half ounce
gold in rock chip samples at surface remain to be drilled.
Extensive drill roads allow access to permitted new targets
and follow-up on remaining targets.
Reef On March 1, 2012, RenGold announced completion of drilling
at the Reef project in southwest White Pine County, Nevada
located immediately south of and adjacent to Midway Gold's
Pan gold deposit. Further mapping and sampling is planned
for 2012 on the 3,180 acre property.
Spruce Mountain On April 26, 2012, RenGold announced anomalous drill
results from the Spruce Mountain Project located in
southern Elko County, Nevada southwest of the nearby,
evolving Pequop Gold District. Reverse-circulation drilling
totaling 8,711 feet (2,655.1 meters) in 11 holes, completed
preliminary tests of seven target areas located along the
western slope and piedmont of the Spruce Mountain upland,
the site of recurrent silver and base metal production
circa 1870 through 1950. The mineralized holes will guide
selection of targets for a second phase of drilling being
planned for 2012.
In addition, assays and compilation of results are pending from drilling underway on each of the Wild Cat project in Utah and the Baza project in Spain.
New earn-in agreements signed
Lynx/RenGold As announced on February 29, 2012, the Company executed
three earn-in agreements with Lynx Resources (US) Inc. a
private Nevada corporation on the Leonid, Pasco Canyon and
Gold Star projects.
Atala/RenGold On March 16, 2012, RenGold signed an exploration earn-in
letter of intent with Atala Resource Corporation, a
Canadian corporation; on each of the Covadonga and
Meridiano projects in Argentina. The parties are preparing
a definitive agreement to replace the letter of intent.
Generative exploration programs
Generative exploration is the core of RenGold's business. RenGold's technical team employs leading edge exploration techniques and technology for ore deposit vectoring including: proprietary remote sensing, spatial probability modeling and multivariate statistical analysis. Data is combined with field geology and alteration mineralogy for the purpose of target selection, property acquisition and joint venture development.
During the three months ended March 31, 2012, RenGold conducted geologic mapping and rock-chip sampling programs and has now developed target concepts on the Arabia and Broken Hills projects in Nevada. In addition, permitting was applied for and received to re-open the drill road and prepare two drill sites at the Black Canyon, Nevada project. The Company is seeking partners for these projects.
Newly acquired projects being prepared for joint venture
During the three months ended March 31, 2012 and up to the date of this MD&A, RenGold has acquired the following projects in Nevada either by direct staking or leases.
Sundance The Sundance property is located in the Wassuk Range about
eight miles southwest of Hawthorne in Mineral County,
Nevada. Gold with lesser silver values occurs in a set of
southwest-dipping brecciated mesothermal quartz veins in a
granitic host rock. Incomplete records of historic
production between 1878 and 1936 indicate that several
veins yielded a modest tonnage of high-grade ore. Initial
mapping and sampling of the veins and adjoining wall rock
to define drill targets will begin in the summer of 2012.
Big Gossan The Big Gossan property is located at the southern end of
the Sahwave Mountains on the common boundary of Pershing
and Churchill Counties about 28 miles northeast of Fernley,
Nevada. Proprietary processing of satellite data yielded a
strong anomaly coincident with a 1.2 by 0.4 kilometer area
of strong gossan developed in quartz-sericite altered
granite and phyllitic country rock. An aeromagnetic low
encloses the area of gossanous outcrops. Nearby prospects
exposing copper oxide minerals, molybdenum, and scheelite
indicate potential for porphyry or skarn base metal
deposits. Plans are in-place for mapping and rock chip
sampling supported by soil grid sampling and detailed
aeromagnetic surveys in the summer of 2012.
Comment
Richard Bedell, President and CEO, commented: "This has been a solid quarter of activity including press releases on five properties with encouraging results. We also had five projects put into new agreements and acquired two more projects. This is a result of the momentum built up in AuEx Ventures and continues through into the spinout of RenGold. Many projects are in motion and each quarter should see multiple press releases with new results. The RenGold business model with extensive work funded by partners, maintains a low burn rate and tight share structure."
Qualified Person
All technical data disclosed in this press release, including sampling, analytical and test data, have been reviewed by the Company's qualified person Mr. Eric M. Struhsacker, M.Sc., and Certified Professional Geologist as recognized by the American Institute of Professional Geologists.
Renaissance Gold Inc. is a gold/silver exploration company that has a large portfolio of exploration projects in Nevada, Utah, Argentina and Spain. Many of the projects are in exploration earn-in agreements with industry partners who provide exploration funding. RenGold applies the extensive exploration experience and high-end technical skills of its founders and team members to search for and acquire new precious metal exploration projects that are then offered for joint venture.
Richard L. Bedell, President and CEO
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 Renaissance Gold Inc. believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of Renaissance Gold Inc.'s management on the date the statements are made. Except as required by law, Renaissance Gold Inc. undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
Contacts:
Renaissance Gold Inc.
Richard L. Bedell
775-337-1545
rbedell@rengold.com
Renaissance Gold Inc.
Eric Struhsacker
775-337-1545
estruhsacker@rengold.com
www.rengold.com
