Riverside Receives Sugarloaf Peak Gold Project Back from Choice Gold After 3,000m of Drilling the Main Gold Zone and Refinement of 4 Untested Copper and Gold Targets
May 28, 2012 – Vancouver, BC: Riverside Resources Inc. ("Riverside" or the "Company") (TSX-V: RRI) reports that the option agreement whereby Choice Gold (“Choice”)(CSNX: CHF) could earn an interest in the Sugarloaf Peak Project (“Sugarloaf” or the “Project”) is being terminated and Riverside will retain 100% interest in the project. Riverside is pleased with the exploration progress that Choice undertook and will now have full control of the project. Sugarloaf has over 70 drill holes, deep IP, aeromagnetics, and extensive copper, gold, and other metal rock geochemistry which delineates a near surface large low-grade gold system that could be related laterally or overtop of a porphyry Copper system. With additional drill holes there is now future potential to calculate an open pit gold resource based on the work recently completed.
Riverside’s President and CEO, John-Mark Staude, stated, “With our strong cash position of over $9,000,000 in the bank and our partners in BC and Mexico funding over 90% of our work programs, we, as Riverside, are pleased to be pushing ahead on developing projects, drilling up resources, collaborating with major and junior company partners to make and delineate metallic ore discoveries.”
The advancement of Sugarloaf through field exploration, expansion of tenement, property-wide aeromagnetics, deep IP, Titan, core and reverse circulation drilling now shows a much larger volume of potential mineralization in the main gold area as well as other targets that warrant drilling. Riverside and Choice appreciated working together and the current market conditions limited the alternatives for how Choice Gold could move forward. Riverside and Choice have agreed that, since less than half of the required earn-in with payments and exploration expenditures has been completed, returning the project and cancelling the option is the most workable solution.
Riverside will now look to partner with an exploration and development gold company to advance the Sugarloaf Peak Project, which generated approximately $3,000,000 in cash and exploration expenditures during the agreement with Choice Gold. As a part of the cancellation, Riverside has agreed to cancel the shares it was previously granted subject to certain conditions.
The results from drill testing and surface exploration combined with geophysics show four highly prospective areas for the next stages of exploration and, in the Central Main Zone, for potential resource definition. Choice is in the process of providing Riverside with all of the data from the past year’s work.
About Riverside Resources:
Riverside is a well-funded prospect generation team of focused, proactive gold discoverers with the breadth of knowledge to dig much deeper. The Company currently has approximately $9,000,000 in the treasury and 35,000,000 shares issued. The Company’s model of growth through partnerships and exploration looks to use the prospect generation business approach to own resources, while partners share in de-risking projects on route to discovery. Additional property information about Sugarloaf and other assets that are available for partnership can be found on Riverside Resources Inc. website at www.rivres.com.
ON BEHALF OF RIVERSIDE RESOURCES INC.
Dr. John-Mark Staude, President & CEO
For additional information contact:
Manager, Corporate Development
Certain statements in this press release may be considered forward-looking information. These statements can be identified by the use of forward looking terminology (e.g., "expect”,” estimates", "intends", "anticipates", "believes", "plans"). Such information involves known and unknown risks -- including the availability of funds, the results of financing and exploration activities, the interpretation of exploration results and other geological data, or unanticipated costs and expenses and other risks identified by Riverside in its public securities filings that may cause actual events to differ materially from current expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.