Renaissance Gold Enters into Earn-In Agreement at Its Wood Hills South Project, an Extension of the Pequop Gold District, Nevada
Renaissance Gold Inc. (TSX:REN) (“RenGold”) is pleased to announce that it has entered into an agreement (the "Agreement") with Newmont USA Limited ("Newmont"). The purpose of the Agreement is to fund continuing exploration activities at RenGold’s Wood Hills South gold project adjacent to the emerging Pequop gold district in northeast Nevada.
RenGold has demonstrated that the Pequop gold district likely extends into the southeast edge of the Wood Hills South gold project. As announced, February 6th, 2012, Hole WHS11-007 intersected an oxidized 10.7 meter (35 feet) interval from 83.8 to 94.5 meters down hole that averaged 0.40 g/t (0.013 opt) gold within an approximately 60 meters (197 feet) zone of anomalous Carlin-style pathfinder elements and gold.
On signing the Agreement, Newmont paid RenGold US$75,000. Newmont can earn up to a 70% interest in the Wood Hills South project by expending at least US$7.35 million by the 10th anniversary of the Agreement after which RenGold has an option to be carried by Newmont with Newmont to be reimbursed out of RenGold’s share of cash flows from production.
Richard Bedell, President and CEO of RenGold, comments: “Newmont continues to be interested in the Pequop gold district’s growing potential and can leverage the regional data and the local knowledge from its Long Canyon project. RenGold and previous funding partners determined that the margins of dolomite blocks hosted the bulk of the ore at Long Canyon. The significant drill hole at Wood Hills South was targeted in a microgravity low and hit breccias that could represent a similar target environment. Without question we are dealing with a Carlin-style system and the Wood Hills South and the Pequop Range were together at the time of the mineralization and therefore part of the same district."
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.
Renaissance Gold Inc. is a gold/silver exploration company that is the spinout of AuEx Ventures Inc. (“AuEx”) that brought the Pequop Gold District and Long Canyon into prominence by drilling the first series of material high grade oxide holes at Long Canyon. As per the joint venture model, AuEx entered an earn in agreement with NewWest Gold Corporation that was later acquired by Fronteer Gold Inc. and ultimately sold to Newmont providing AuEx shareholders with a significant premium.
RenGold has a large portfolio of exploration projects in Nevada and Utah. 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.
Renaissance Gold Inc.
By: Richard L. Bedell, President and CEO
For further information, contact:
Richard L. Bedell, 775-337-1545 or rbedell@rengold.com
Eric Struhsacker, 775-337-1545 or estruhsacker@rengold.com
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.
Contact
Renaissance Gold Inc.
Richard L. Bedell, 775-337-1545
rbedell@rengold.com
or
Eric Struhsacker, 775-337-1545
estruhsacker@rengold.com
