Confederation Exercises First Option for 50 per cent Interest in Newman Todd Property
October 31 2013 - 8:29AM
Access Wire
Vancouver, B.C. Redstar Gold Corp. (TSX.V:
RGC): ("Redstar" or the "Company")
is pleased to
announce that, pursuant to the previously announced "Option
Agreement" of November 19, 2010, with Confederation Minerals Ltd.
(TSX.V:CFM; OTCQX:CNRMF): ("Confederation") whereby Redstar granted
to Confederation an option (the "First Option" ) to earn a 50%
undivided legal and beneficial interest in and to its Newman Todd
property in the Red Lake Mining District of Ontario, Confederation
has duly exercised the First Option and now holds a 50% undivided
legal and beneficial interest in and to its Newman Todd
property.
The Second Option ("Second Option") to
earn an additional 20% undivided legal and beneficial interest in
and to the Newman Todd property following the exercise of the First
Option remains. To exercise the Second Option, Confederation must
prepare a preliminary economic assessment ("PEA") of the Newman
Todd property and issue an additional 500,000 shares of
Confederation to Redstar on or before November 19, 2016.
The
Newman Todd property is high grade gold discovery in the prolific
Red Lake Gold Camp. Drilling to date has outlined numerous zones of
high grade gold mineralization along a 1.8km corridor within the
Newman Todd Structure ("NTS"). The gold mineralization in the NTS
remains open along strike and at depth.
About
Redstar
Redstar's Unga
Project in south-western Alaska consists of two properties acquired
in 2011: the Unga-Popof and
Shumagin properties, which includes the high-grade Shumagin gold
deposit, the Centennial disseminated bulk-tonnage gold deposit and
the Apollo-Sitka high-grade gold vein system, which produced
approximately 150,000 oz of gold in the early
20th
century. Redstar has completed the purchase of 100%
interest in the Shumagin and Apollo-Sitka properties from Magnum
Hunter Resources.
Redstar also owns 100% of 11 gold projects in Nevada and owns
the AngloGold-Ashanti Database ("Database") for Nevada and
surrounding states. The Database has proven to be effective in
developing quality projects in a variety of known gold producing
regions of Nevada, including the Carlin Trend, Bullfrog District
and the Cortez Trend.
On Behalf of the Board,
Redstar
Gold Corp.
"R. Bob
Singh"
R. Bob Singh, President and
CEO
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|TSX.V:RGC |CORPORATE INQUIRIES Redstar Gold|
|WWW.REDSTARGOLD.COM|Corp. Tim Mikula, Business |
|SUITE 615 800 WEST |Development Tel: 604.488.0051 |
|PENDER STREET | |
|VANCOUVER, BC TEL: |tmikula@redstargold.com |
|604.488.0051 | |
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Forward-Looking Information This release includes certain statements that may be deemed
"forward-looking statements". All statements in this release, other
than statements of historical facts, that address events or
developments that Redstar Gold Corporation (the "Company") expects
to occur, are 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 the Company 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 the forward-looking
statements. Factors that could cause the actual results to differ
materially from those in forward-looking statements include market
prices, exploitation and exploration successes, and continued
availability of capital and financing, and general economic, market
or business conditions. Investors are cautioned that any such
statements are not guarantees of future performance and actual
results or developments may differ materially from those projected
in the forward-looking statements. Forward-looking statements are
based on the beliefs, estimates and opinions of the Company's
management on the date the statements are made. Except as required
by applicable securities laws, the Company undertakes no obligation
to update these forward-looking statements in the event that
management's beliefs, estimates or opinions, or other factors,
should change.
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