StockGuru Shines its Spotlight on Red Metal Resources Ltd. (OTCBB: RMES) A Mineral Exploration Company with Copper-gold Assets in Chile on July 7, 2011

StockGuru Shines its Spotlight on Red Metal Resources Ltd. (OTCBB: RMES) A Mineral Exploration Company with Copper-gold Assets in Chile on July 7, 2011

Dallas, Texas (July 7 , 2011) – StockGuru shines its Spotlight on Red Metal Resources Ltd. (OTCBB: RMES), a mineral exploration company with copper-gold assets in Chile.  The Company announced on July 6, 2011, that it has signed an agreement to purchase the Veta Negra Property located in III Region Atacama, Chile.  Red Metal Resources Ltd. closed at $0.51 on July 6, 2011, trading on volume of 6,700 shares.

The Veta Negra Property is 5,300 hectares (13,097 acres) in size consisting of eighteen exploration claims. Red Metal acquired a 100% interest in the eighteen exploration claims and concurrently signed an option agreement to purchase 100% of two mining claims totaling 44 hectares (108 acres) underlying the exploration claims.

The Veta Negra Property is located 3 kilometres west of Red Metal’s Mateo Project and approximately 45 minutes from the city of Vallenar, with major road access, power and water supply close by.  The property lies in the Cretaceous Cerrillos Formation composed of andesites, conglomerates and arenites. Red Metal’s geologists have reviewed the property and identified three mineralized mantos hosted in andesites on the property.  One manto can be traced on surface for approximately 2 kilometres, a second manto for approximately 1 kilometre, and a third manto for approximately 500 metres.

Veta Negra Property Highlights

The Veta Negra Property lies in the Cretaceous Cerrillos Formation, an epiclastic and volcaniclastic sequence of fluvial conglomerates and sandstones of volcanic origin and freshwater limestones all overlain by volcanic breccias and lava flows.  The mineralized mantos identified on surface are of variable widths averaging six metres with significant iron oxide, silica, epidote, chlorite and tourmaline alteration with copper mineralization comprised of chrysocolla, a copper oxide.  Channel sampling results from Red Metal’s evaluation of the property include:

SAMPLE Cu % Length of
Sample (m)
201191 1.34 3
201190 1.36 3
260307 1.37 2
201193 1.62 3
201192 1.87 3

Terms of Veta Negra Property Purchase and Option Agreement

Red Metal purchased 100% of eighteen exploration claims on the Veta Negra Property for a one-time payment of US$3,500 and the transfer of four generative concessions that do not meet our exploration criteria.

Red Metal has an option to acquire 100% of the two mining claims by making four payments totaling US$104,000: US$14,000 upon signing, US$10,000 on August 15th, 2011, US$20,000 on February 15th, 2012 and US$60,000 on February 15th, 2013. The property has a 1.5% net smelter royalty that can be purchased for US$250,000 at any time.

Caitlin Jeffs, P.Geo., president of Red Metal, stated, “The addition of Veta Negra gives Red Metal its fourth highly prospective exploration project in the Candelaria IOCG belt. We believe that we have assembled one of the most attractive, best-positioned exploration packages in the belt and we look forward to advancing our projects.”

Michael Thompson, P. Geo., vice president of exploration for Red Metal, the project’s qualified person as defined in NI 43-101, has reviewed and approved the contents of this news release.

About Red Metal Resources Ltd. 

Red Metal Resources is a mineral exploration company focused on aggressive growth through acquiring, exploring and developing copper-gold assets in Chile. Our projects are located in the prolific Candelaria iron oxide copper-gold (IOCG) belt of Chile’s coastal Cordillera, host to Freeport-McMoRan’s Candelaria Mine and Anglo American’s Mantoverde Mine. Red Metal is a fully reporting US public company quoted on the OTCBB under the symbol RMES. For more information, visit www.redmetalresources.com.

Except for the statements of historical fact, the information contained herein is of a forward-looking nature. Such forward-looking information involves known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievement of the company to be materially different from any future results, performance or achievements expressed or implied by statements containing forward-looking information. Accordingly, you should not place undue reliance on statements containing forward looking information. The U.S. Securities and Exchange Commission permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We may use certain terms in our press releases, such as “measured,” “indicated,” and “inferred” resources, which the SEC guidelines generally prohibit companies from including in their filings with the SEC. Investors are urged to consider closely the disclosure in our Form 10-K, which may be obtained from us, or from the SEC website at http://www.sec.gov/edgar.shtml.

To view the StockGuru Spotlight on OTCBB: RMES, please visit: http://www.stockguru.com/category/latest-spotlights/

To get free alerts on this and other similar stocks, please register here:

http://www.stockguru.com/?page_id=250

What is the StockGuru Spotlight?

Many companies covered in The StockGuru Spotlight have positive increases in both volume and share price. While this is not true in all cases, StockGuru strives to cover companies in The StockGuru Spotlight that are worth of our readers’ attention.

StockGuru looks for potential break-out candidates in The StockGuru Spotlight.  Many of these companies have had recent news and appear to be getting the attention of investors. StockGuru does not typically feature companies in The StockGuru Spotlight that are compensating StockGuru for this coverage.  There are times when StockGuru covers a stock in The StockGuru Spotlight that had previously compensated Stockguru. Where that is the case, a proper disclosure is included below.   StockGuru and its partners, employees and writers never hold shares, short positions, warrants or any other current position in a stock featured in The StockGuru Spotlight.

To feature a company in The StockGuru Spotlight please contact the Publisher at publisher@stockguru.com.  If our reader is a key person for a publicly traded company, StockGuru can consider that company for either a StockGuru Spotlight or a StockGuru Profile.  Please contact the StockGuru Publisher John Pentony at this email address:  john@stockguru.com.

Stockguru.com (“SG”) provides its members with the latest news, press releases, and trade alerts for all the companies highlighted on the site StockGuru.com. SG utilizes information believed to be reliable herein prepared all material. The information contained herein is not guaranteed by SG to be accurate, and should not be considered to be all-inclusive. The owner, publisher, editor and their associates are not responsible for errors and omissions.  SG encourages readers and investors to supplement the information in these reports with independent research and other professional advice. All information on featured companies is provided by the companies profiled, or is available from public sources and SG makes no representations, warranties or guarantees as to the accuracy or completeness of the disclosure by the profiled companies or the information contained herein. The companies that are discussed in this opinion have not approved the statements made in this opinion. This opinion contains forward-looking statements that involve risks and uncertainties. This material is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities. SG is not a licensed broker, broker dealer, market maker, investment banker, investment advisor, analyst or underwriter. Please consult a broker before purchasing or selling any securities viewed on http://www.Stockguru.com or mentioned herein.

This release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. “Forward-looking statements” describe future expectations, plans, results, or strategies and are generally preceded by words such as “may”, “future”, “plan” or “planned”, “will” or “should”, “expected”, “anticipates”, “draft”, “eventually” or “projected”. You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company’s annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and SG undertakes no obligation to update such statements. StockGuru is occasionally compensated for coverage.  When this is the case, SG clearly indicates this with a disclosure of all compensation received in the past and present.  Additionally SG also discloses any anticipated compensation in the future.  Compensation is typically in cash.  Sometimes a company pays SG in restricted shares. Pentony Enterprise and its associated companies does not take free trading shares for any reason at anytime. StockGuru is not a registered investment adviser or a broker-dealer. StockGuru makes no recommendation that the purchase of securities of companies profiled in this web site is suitable or advisable for any person, or that an investment in such securities will be profitable. In general, given the nature of the companies profiled and the lack of an active trading market for their securities, investing in such securities is highly speculative and carries a high degree of risk.

John Pentony, Publisher, Stockguru.com

Tel: +1 469 252 3031

e-mail: john@stockguru.com

 

Left Menu Icon
Right Menu Icon