March 12, 2018 – Toronto, Ontario: Royal Road Minerals Limited (TSXV:RYR) (“Royal Road” or the “Company”) is pleased to announce initial deep-auger soil geochemical results from its Luna Roja Gold Skarn project in the Golden Triangle region of northeastern Nicaragua.
The Luna Roja project forms a part of the Company's 50-50 Strategic-Alliance agreement (see press release; September 6, 2017) with Mineros Nicaragua-Hemco (a subsidiary of Colombia’s Grupo Mineros S.A. MINEROS:CB) and is located in the highly prospective Golden Triangle of northeastern Nicaragua, a region characterized by epithermal style gold veins, skarn and porphyry-style mines that have combined to produce in excess of an estimated 8 million ounces of gold since the early 1900's. Mineros Nicaragua-Hemco own and operate the Bonanza gold mine in the Golden Triangle. Royal Road Minerals is operator of the Strategic Alliance.
The Luna Roja project is a gold-skarn mineralized system. Gold skarn generally occurs as massive bodies with individual outcrops ranging from 2 to 25 meters in width and 2 to 50 meters in strike length. Skarn bodies are subvertical or dip steeply towards the southwest and where exposed, the skarn system extends over a known strike distance of 1100 meters and over a width of 380 meters. The system remains open under recent cover rocks and is interpreted to continue down-plunge towards the southeast (see Figure 1).
The company has previously collected 318 continuous rock-chip channels from 50 localities across the project (see Press Release September 25, 2018 and Figure 1), Best results included 40.65 meters at 2.5 grams per tonne, 23.5 meters at 5.1 grams per tonne, 12.0 meters at 7.1 grams per tonne and 5.5 meters at 12.2 grams per tonne gold.
Follow up grid-based deep auger soil-sampling has identified a coherent and strong gold anomaly extending beyond outcropping occurrences and defining an area of some 1500 by 500 meters. 184 soil samples were collected from 25 meter centers on 200 meter spaced lines using a hand-held auger and sampling at depths of three to four meters below soil and saprolite. Results range from below detection limit to a maximum of 21.9 grams per tonne gold and the mean of all results is .32 grams per tonne gold (see Figure 1).
A Geology of the Luna Roja Project
The Company is currently finalizing the drill-permitting process at Luna Roja and expects to commence the first drilling program at the project in Q3 of this year.
“This is a strong and coherent soil geochemical anomaly consistent with the rock-chip channel sampling results from last year” said Tim Coughlin, Royal Road Minerals President and CEO “Luna Roja is just one of our current stable of quality gold and copper projects and is a reminder of the largely untapped potential of Nicaragua’s Golden Triangle.”
In Colombia Royal Road Minerals operates through its wholly-owned Colombian companies Minerales Camino Real SAS founded in 2015 and Exploraciones Northern Colombia SAS acquired from previous owners in 2019. In Argentina Royal Road Minerals operates through its wholly owned Argentinian company, Minerales Camino Real Argentina. In Saudi Arabia and Morocco the Company operates through its 50% owned Saudi Arabian registered subsidiary, Royal Road Arabia.