Attached files
file | filename |
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8-K - Standard Metals Processing, Inc. | v196482_8k.htm |
EX-10.3 - Standard Metals Processing, Inc. | v196482_ex10-3.htm |
EX-10.2 - Standard Metals Processing, Inc. | v196482_ex10-2.htm |
EX-10.1 - Standard Metals Processing, Inc. | v196482_ex10-1.htm |
EX-10.4 - Standard Metals Processing, Inc. | v196482_ex10-4.htm |
Standard
Gold Announces Gold Project Option Agreement
Monday
September 13, 2010, 7:13 am EDT
MINNEAPOLIS—(BUSINESS
WIRE)—Standard Gold, Inc. (OTCBB:SDGR) announces that it has executed an option
to purchase and earn up to a 55 percent interest (subject to net profits
interest) in the Rex gold project in Arizona.
The Rex
gold property was drilled in the late 1980s by a major gold producing company.
Subsequent to the Rex drilling, gold prices slid downward to $335 by the end of
1992 and $250 by 1999. A total of 2,200 feet was completed in eight vertical
diamond drill holes to depths of 200 to 350 feet within an area 1,500 feet
by 4,000 feet. Although only selected intervals in the holes were assayed, all
eight holes intersected apparent ore-grade gold values over significant
down-hole widths. The reported values and geologic context indicate potential
for an open-pit-mineable gold deposit.
Interpretations
of surface exposures, assays, and available drill data from the Rex project
indicate a strong mineralizing system in a complex structural environment with
characteristics of detachment-related gold deposits. Detachment-related gold
deposits are low- to moderate-temperature hydrothermal gold deposits that form
along or near shallowly dipping faults related to crustal extension in the
Southwest, including a belt of such deposits in southwestern Arizona. A notable
example is Copperstone, Arizona, located about 50 miles west-northwest of Rex,
with a total resource of approximately 1.3 million ounces of gold.
“Other
detachment gold deposits in the southwest United States that have been
successfully mined include the Mesquite Mine, which produced 2.3 million ounces
of gold in California’s Mojave Desert,” said Standard Gold President Steve
Flechner. “I had the opportunity to play an instrumental role in acquiring,
permitting and financing the exploration and development of Mesquite with
my former employer, Consolidated Gold Fields of London,” he said. Mr. Flechner
added that preliminary gold grade indications at Rex are higher than at
Mesquite.
Two
experienced geological/mining consultants conducted independent evaluations of
the Rex property and both provided recommendations for aggressive exploration
drill programs. The Standard Gold technical team plans to re-log and sample the
1980s drill core and expects to follow up with a comprehensive evaluation of the
project, including a geochemical survey, geophysical surveys, and significant
diamond and reverse-circulation drilling.
Mineralization
at Rex appears to be open at depth and along strike, giving excellent
exploration potential. As many as six types of mineralization are present,
including veins related to diorite dikes, high-angle faults, low-angle faults,
and thrust faults; and disseminated mineralization in shale and sandstone
related to detachment faults. Disseminated mineralization consists of finely
disseminated pyrite and local quartz veins. Rex displays both oxide and sulfide
mineralization. Flat-lying zones within 150 to 300 feet of surface with likely
low stripping ratios suggest a bulk-mineable opportunity.
The
project is located about 90 miles northwest of Phoenix, Arizona, about six miles
southeast of Salome, Arizona. The project’s land position consists of 102
unpatented lode mining claims on 2,040 acres.
# #
#
About Standard Gold,
Inc.
Standard
Gold is a minerals exploration and development company. Through our wholly-owned
subsidiary, Hunter Bates Mining Corporation, we hold title to the past producing
gold mine in Colorado known as the Bates-Hunter Mine. We do not claim to have
any mineral reserves at the Bates-Hunter Mine. Our common stock trades on
the Over-the-Counter Bulletin Board under the symbol "SDGR." To find out more
about Standard Gold, Inc. (OTCBB:SDGR) visit our website at
www.standardgoldmining.com.
Forward-Looking Statements
and Risk Factors
Certain
statements included in this press release may constitute forward-looking
statements that involve risks and uncertainties that could cause actual results
to differ materially. Such statements are valid only as of today, and we
disclaim any obligation to update this information. These statements are subject
to known and unknown risks and uncertainties that may cause actual future
experience and results to differ materially from the statements made. These
statements are based on our current beliefs and expectations as to such future
outcomes. These risks and uncertainties relate to Standard Gold and its
affiliates, and include, among others, the ability to obtain or maintain
regulatory approvals; the ability to obtain necessary financing; and other risks
and uncertainties described in Standard Gold’s filings from time to time with
the Securities and Exchange Commission. Standard Gold disclaims any obligation
to update its forward-looking statements.
In
addition, the exploration for and development of mineral deposits involves
significant financial risks, which even experience and knowledge may not
eliminate, regardless of the amount of careful evaluation applied to a process.
While the discovery of a mineral deposit may result in substantial rewards, few
properties are ultimately developed into producing mines. Moreover, we cannot
make any estimates regarding probable reserves in connection with any of our
projects and any estimates relating to possible reserves are subject to
significant risks. Therefore, no assurance can be given that any size of
reserves or grades of reserves will be realized. If a discovery is made, the
mineral deposit discovered, assuming recoverable, may differ from the reserves
already discovered and recovered by others in the same region of the planned
areas of exploration. Further, the cost of exploration and exploitation can be
extensive and there is no assurance that we will have the resources necessary or
the financing available to pursue projects we currently hold interests in or to
acquire interests in other mineral exploration projects that may become
available. The risks we face are numerous and detailed information regarding
these risks may be found in filings made by us with the Securities and Exchange
Commission, including our most recent annual report.
Contact:
Standard
Gold, Inc., Dan Schustack, 646-278-6787