- Riverside Resources (RRI) has collected a number of high-grade gold samples during a Phase 1 exploration program at its Cecilia Project in Sonora, Mexico
- An initial 21 samples from the Cerro Magallanes that returned 43.2 grams per tonne of gold, 5.6 grams per tonne of gold and 2.5 grams per tonne of gold
- Pursuant to an agreement dated July 15, Carlyle Commodities currently has an option to acquire 100 per cent of the project
- The two companies will integrate the data from this phase of exploration to formulate a follow-up drill program
- Riverside Resources (RRI) is currently down 5.88 per cent and is trading at C$0.32 per share
Riverside Resources (RRI) has collected a number of high-grade gold samples during at its Cecilia Project in Sonora, Mexico.
Pursuant to an agreement dated July 15 this year, Carlyle Commodities currently holds an option to wholly acquire the project by paying Riverside a total of C$200,000 in cash, issuing 1.5 million common shares and three million special warrants.
According to the agreement, Carlyle will also assume $2.5 million in exploration expenses over a 36 month period.
Acting as the operator of the Cecilia Project, Riverside has been engaged in progressing the modelling of drill targets with a key focus on the Cerro Magallanes zone, which has returned a number of significant samples as part of a phase one exploration program.
Initial results from this work, which focused on the San Jose and North Breccia targets within the Cerro Magallanes zone, returned 43.2 grams per tonne, 5.6 grams per tonne and 2.5 grams per tonne of gold from a batch of 21 rock samples.
Riverside and Carlyle intend to use these results, along with additional results to come, to formulate a follow-up drill program.
John-Mark Staude, President and CEO of Riverside Resources, commented on the high-grade results collected so far.
“Our geologists and operational team have done a fine job technically managing the program during these COVID times to complete safe and effective work.
“The high-grade samples crossing high level structures could point to wider potential targets below and we look forward to drilling at San Jose and North Breccia in the near future,” he said.
A drone aeromagnetic survey is now underway, with results expected in the coming weeks.
Riverside also plans to conduct an induced polarisation survey, which will assist in defining the depth of potential conductors associated with sulphide zones within the Cerro Magallanes zone.
Riverside Resources (RRI) is currently down 5.88 per cent and is trading at C$0.32 per share at 3:47pm EDT.