Red Back (RBI.TO) hits 2oz/ton
Red Back Mining Inc
2101 - 885 West Georgia Street, Vancouver, BC Canada V6C 3E8
Tel: (604) 806-3070 Fax: (604) 689-5452 redbackmining.com
NEWS RELEASE
RED BACK CONFIRMS HIGH GRADE AT CHIRANO
September 6, 2005 (RBI - TSX) ... Red Back Mining Inc. (the “Company”) is pleased to announce that recent drilling at the Company’s Chirano gold mine has confirmed high grade intersections of up to 2 ounces per tonne. A 2004 in-fill drill program at one of the southern deposits (“Akwaaba”) at Chirano suggested the potential for significantly higher grade at depth below the existing open pit resources and reserves. In June/July 2005 a follow-up drill program was mobilized at Akwaaba to test this deeper, higher grade potential. The Company is pleased to present the results of the 2004 program and announce the 2005 confirmation of high grade mineralisation below and on strike from the known resources/reserves at Akwaaba. Significant results are tabulated below
2004 High Grade Intercepts
HOLE COORDINATES DEPTH (m) INTERCEPT (m) GRADE (g/t gold) COMMENTS
CHRC316 31469N 17020E 78-93 15 5.19 Including 4m @ 11.92g/t
CHRC538 31496N 16997E 80-97 17 3.33 Including 5m @ 7.3 g/t
CHRC540 31522N 17045E 81-96 15 10.74 Including 6m @ 25.5 g/t
CHRC655 31518N 17003E 103-114 11 4.3 Including 3m @ 11.64 g/t
2005 High Grade Intercepts
HOLE COORDINATES DEPTH (m) INTERCEPT (m) GRADE (g/t gold) COMMENTS
CHRC702 31542N 17037E 115-130 15 14.26 Including 6m @ 31.33 g/t
CHRC703 31491N 16992E 112-121 9 4.11 Including 3m @ 8.7 g/t
CHRC704 31517N 17001E 130-153 EOH 23 4.08 Including 3m @ 13.77 g/t
CHRC705 31439N 16981E 95-110 15 3.58 Including 3m @ 11.20 g/t
Note:
1. True widths are approximately 60% of down hole intercepts
2. Hole CHRC704 ended in mineralisation
Previous drilling at Akwaaba outlined Measured and Indicated Resources of 599,000 tonnes at 2.90g/t, including Proven and Probable Reserves of 422,799 tonnes at 2.7g/t. Further drilling in 2004 and 2005 has confirmed that Akwaaba has a high grade core (with grades increasing at depth) averaging 15-60g/t with a predominantly shallow to moderate 30°-50° northerly plunge. The deposit remains open at depth and along strike to the north and south, suggesting the potential for an increase in resources and reserves. A 2,000m follow-up drill program in October 2005 will further test the extent of this high grade mineralization. Optimisation and mine scheduling studies have been initiated with a view to fast tracking the development of Akwaaba to take advantage of mining these higher gold grades early in the mine scheduling program. The October 2005 drill program will also test an 800 metre northerly strike extension of Akwaaba where a previously identified gold in soil anomaly has yet to be followed up. This anomaly is associated with a significant structural jog in the main Chirano Shear Zone and in light of recent results at Akwaaba is a high priority target. In commenting on the high grade at Akwaaba, Richard Clark, President and CEO of the Company stated:
“The success at Akwaaba in identifying a deeper, higher grade potential at Chirano is very exciting for the economics and longevity of the mine. Numerous mines in Ghana have this profile and in fact have ended up extracting substantially more ounces from their underground operations than the open pit developments. We
certainly hope this will be the case at Chirano.”
Following on the results at Akwaaba, the Company has now completed deeper drill holes under each of the Obra and Tano pits at Chirano and has intersected multiple mineralized lodes 100m below previous drill coverage. Structural logging is in progress ahead of core cutting and assay. These deeper holes form part of a total review of controls to the Chirano mineralisation by an independent consultant. This review will be completed by the end of 2005 and will be the basis of an extensive program of deeper drill holes at Chirano to determine the logistics of underground mining operations.
The Chirano Gold Project is located in Ghana, West Africa with proven and probable reserves of 17.8 million tonnes grading 1.9 g/t gold for approximately 1.09 million ounces contained gold (RSG Global - December, 2004) There is significant resource and reserve upside through both brownfields and greenfields exploration. The Chirano Project is within the Bibiani gold belt 25 kms along strike from AngloGold Ashanti’s (+5 million ounces) Bibiani gold mine. In addition to Chirano, the Company retains one of the largest mineral land positions in Ghana (5,000 sq. kms) and is systematically exploring this land holding. The technical contents of this release have been reviewed by Ross Ashton, BSc, FAusIMM, a Qualified Person pursuant to NI-43101. Mr. Ashton is a Director of the Company. Samples are prepared and analyzed by fire assay using a 50 gram charge at the Analabs facility in Bibiani, Ghana in compliance with industry standards. Field duplicate samples are taken and blanks and standards are added to every batch submitted. Selected samples from this lab are check assayed each month at other Analabs laboratories worldwide.
On behalf of the Board of Directors
“Richard P. Clark”
President
For further information, please contact Sophia Shane at (604) 689-7842.
