Vancouver, BC - April 30, 2013: Sultan Minerals Inc. (TSX-V: SUL; "Sultan") is pleased to provide an exploration update for its Kena Gold, Jersey-Emerald Tungsten-Zinc, and Daylight Gold projects in BC, Canada.
Kena Gold Property:
In January 2012 Sultan entered into an option agreement with Altair Gold Inc. ("Altair") whereby Altair has an option to earn a 60% interest in the Kena Gold-Copper Property for cash and share option payments of $2,000,000 and 2,666,667 Shares over four years and $7,500,000 in Project related exploration expenditures. The 7,600 hectare, road accessible Kena Property is located between the communities of Nelson and Ymir in southeastern British Columbia.
In 2012 Altair explored the property with 7,527 metres of diamond drilling in 41 drill holes. An updated resource estimate was completed in April. The new resource estimate using a 0.30g/t gold cut-off shows:
-25,280,000 tonnes in the Measured + Indicated (M&I) Resource categories, comprising 490,000 contained ounces of gold, plus
-90,440,000 tonnes of Drill Inferred Resources containing 1,399,000 ounces of gold, representing a 173% increase (see News Release of April 11, 2013).
Altair Gold Incorporated is planning for an expanded work program on the Kena Property in 2013.
Jersey-Emerald Tungsten-Zinc Property:
The 14,000 hectare Jersey-Emerald Tungsten-Zinc Property is located 8 kilometers south of the community of Salmo, in southeastern British Columbia. It consists of two totally separate styles of mineralization: one is tungsten mineralization and the other is zinc. The historic deposits were mined previously by Placer-Dome and Cominco and include Canada's second largest tungsten mine and BC's second and third largest zinc mines.
Sultan has extensively drill tested the deposits, completed three Resource Estimates, a Preliminary Economic Assessment, a Scoping Study, and a baseline Environmental Study. In 2012 Emerald Mining Services of Salmo BC was contracted to complete a project review and prepare a Project Description for environmental permitting purposes. The report which proposes a 2,000 t/day mining operation was completed and submitted to the BC and Canadian Environmental Departments in February 2013.
Sultan is seeking a joint venture partner to help advance the project toward production.
Daylight Gold Property:
The Daylight Gold Property covers 550 hectares of mineral claims located seven kilometres south of Nelson, British Columbia. The property includes four, historic, small, high-grade, gold mines (see map).
In September, 2012, PBG Geoscience Ltd. was commissioned to review historical property work, to assess the current status of exploration on the Daylight Property and to make recommendations for future exploration. This study is now complete and has successfully identified four gold bearing targets that require exploration. These are the Great Eastern Porphyry Gold Zone, the Starlight Shear Zone, the North Star Shear Zone and the Silver King Gold Corridor.
The Great Eastern Porphyry Gold Zone is a strong untested gold soil anomaly that is 1.1 km long and up to 500 metres wide located over an overburden covered area immediately west of the historic Great Eastern Gold Mine.
The Starlight Shear Zone is host to the historic Starlight, Victoria and Daylight gold mines. This mineralized shear zone is up to 50 metres wide, and has been traced by IP for 3.0 km along strike.
The North Star Shear Zone lies 500 metres north of the Starlight shear. The zone is 54 metres wide gives a prominent IP chargeability anomaly that has been traced 2.0 km south where it joins with the Starlight anomaly. The zone was explored with 7 long trenches in 1939 and continuous chip sampling was reported to give a grade of 1.20 g/t gold across the entire 54 metre width. In 1980 Asarco tested the zone with a single diamond drill hole. The hole, DDH80-1, assayed 0.88 g/t gold across 33.5 metres.
The Silver King Gold Corridor is defined by a series of strong gold soil anomalies that are traced over a 1.0 km long zone that is up to 300 metres wide. A single drill hole near the north end of the soil anomaly intersected 38 metre that assayed 0.33 g/t gold. This zone has significant tonnage potential if higher grades can be achieved.
An expanded work program is recommended for the Daylight Property in 2013. This recommended program involves detailed geological mapping, structural, alteration and mineralization studies, prospecting, trenching, sampling and up to 6,000 metres of diamond drilling on the four targets. Sultan is seeking financing to fund the recommended exploration work.
Perry Grunenberg, P. Geo., is Sultans project supervisor for the three properties and "Qualified Person" for the purpose of National Instrument 43-101.
Arthur G. Troup, P.Eng., Geological
President and CEO
For further information please contact:
Marc Lee, Investor and Corporate Communications
Tel: (604) 628-0519 Fax: (604) 628-0446
Email: [email protected] or [email protected]
For further information on Sultan's projects, visit www.sultanminerals.com.
This release was prepared by Sultan's management. Neither TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. This news release includes certain statements that may be deemed "forward-looking statements." All statements in this release, other than statements of historical facts, that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that Sultan expects are forward-looking statements. Although Sultan 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 or developments may differ materially from those in the forward-looking statements. Factors that could cause 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 those actual results or developments may differ materially from those projected in the forward-looking statements. For more information on Sultan, investors should review Sultan's filings that are available at www.sedar.com or Sultan's website at www.sultanminerals.com.
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