Reliance Resources receives financing from Robust Resources

• Robust to invest $694,000 as part of recently announced $1.2 million placement
• Association with Robust brings in-country skills
• Funds used to advance resource and exploration drilling at Tanoyan Gold Project

VANCOUVER, July 10, 2012 /CNW/ - Indonesian focused exploration company Reliance Resources Ltd (the "Company") (TSX:RI) is pleased to announce that it has completed the first tranche of the $1.2 million dollar financing at $0.15 per share as reported to shareholders on June 22, 2012. 

Robust Resources Limited, a company listed on the Australian Securities Exchange (ASX:ROL), has invested a total of $694,144.00 for 4,627,627 new ordinary Reliance shares. These shares will be subject to a four month hold period from the date of closing. The placement is subject TSX Exchange approval. 

Headquartered in Australia, Robust Resources is an Indonesian-focused exploration and development company with a portfolio of projects in Indonesia and the Philippines. The company's flagship Lakuwahi project located on Romang Island has a JORC mineral resource of 1.18 million ounces of gold equivalent plus base metals credits. Further information is available at www.robustresources.com.au

 

Robust Resources and Reliance Resources have a number of common directors and they share resources in Indonesia in order to manage their respective cost bases.

Robust Resources Managing Director, Mr. Gary Lewis said Robust is particularly encouraged by the prospects for Reliance's Tanoyan Gold project in Sulawesi, Indonesia, which currently has a NI 43-101 inferred mineral Resource of 208,000 ounces of gold (4.58mt at 1.41 g/t Au) as at March 2012. 

"Robust is continuing to strengthen its portfolio in Indonesia and we are constantly assessing new investment opportunities. We are particularly encouraged by the prospects for the Tanoyan Gold Project, and with its growing resource base, and with the exploration program yielding highly encouraging results, the Board took the decision that an investment in Reliance offers significant upside. 

"Reliance will continue to be able to benefit from Robust's strong technical capabilities and in-country team"

Reliance's President Mr. Scott Emerson added, "It made sense to have Robust as an investor in Reliance and the synergies of both companies works well".

This funding gives Reliance the capacity to significantly advance the phase two, 10,000 metre resource and exploration drilling program which is currently underway at Tanoyan.

"We have every confidence that we will increase our mineral resource at Tanoyan and we look forward to updating shareholders on more drilling results from the project shortly." 

Reliance Resources Ltd. has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia. The projects offer both exploration potential and an existing resource base. All five projects are adjacent to or along strike from operating gold mines or identified gold resources with similar geology and structural features. 

For further information:
Media Information, contact:
Scott Emerson, President
se@relianceresources.com
Investor Information, contact:
Mike Kordysz
mk@relianceresources.com

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Tanoyan Gold Project, Sualawesi, Indonesia : Drilling continues to intersects gold mineralisation

• Results received from first 2 holes
• Include 5.3 metres at 4.4 g/t Au from 101.4m
• Extends Sondana vein gold mineralisation at depth with increasing grade and thickness
• 10,000 metres diamond drilling program underway

VANCOUVER, May 17, 2012 /CNW/ - Reliance Resources Ltd. (the "Company") (TSX:RI) is pleased to announce drilling results from 2 holes into the Sondana Vein system on the Tanoyan Gold Project, Sulawesi, Indonesia (see Table 1). The company recently commenced drilling of its planned 10,000 Phase 2 program following the release of an updated independent NI 43-101 report for Tanoyan (March 19, 2012), which more than doubled the Inferred Mineral Resource to 208,000 ounces of gold.

The Tanoyan Gold Project consists an extensive system of auriferous quartz veins, comprising four principal vein systems, Sondana, Ramai, Modupola/Talong and Lingkobungon. These veins are predominantly orientated northeast and dip steeply or moderately to the northwest or southeast. The veins are hosted by andesitic volcanic rocks and have been mapped over a combined strike length of approximately 6 kilometres.

The Phase 2 program is aiming for a significant upgrade to the existing NI 43-101 resource by targeting extensions to drilled sections of the veins, which have been identified, as well as along strike and at depth on all vein systems. Drilling to date has primarily been tightly focused on the Sondana and Modupola veins.

Assay results have been received from the first two drill holes in the new program and include a high-grade intersection:

• TND 089: 5.3 metres at 4.4 g/t Au from 101.4m

The assay result for hole TND 089 continues a theme from earlier drilling which shows a general increase in grade and thickness with depth which represents a significant increase in grade and width from the overlying drillhole along this section (TND083)

(Figure 1). http://www.relianceresources.com/i/maps/Sondana-Vein-Drill-Section-TND089.jpg
 

TND 088 was drilled in the southern portion of the Tanoyan system and intersected 2 zones of quartz vein containing gold mineralisation over narrow widths. Details of the intersections are to be found in Table 1. This section of the Sondana vein has only been sparsely drilled and further structural analysis and follow up drilling will be required to locate thicker and higher grade zones.

The resource model at the Sondana and Modupola veins is open at depth for most of its length and along strike to the north of the Sondana vein, where significant drill intersections from Phase 1 drilling are located. The Phase 2 program is designed to extend mineralisation along strike and laterally with further drilling. Infill drilling should confirm the strike continuity of vein systems and thereby improve the classification of the mineral resources. 

Reliance president Scott Emerson stated "We are pleased to be drilling again at Tanoyan. The first assay results are in and they include an excellent result from TND 089. It is encouraging to see the gold grades continuing to show an increase in grade with depth of drilling. These results are in line with Reliance's goal to prove up relatively shallow resource ounces, within 150 metres of surface, which could conceptually support a low-cost open cut mine."

The Company has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia. The projects offer both exploration potential and an existing resource base. All five projects are adjacent to or along strike from operating gold mines or identified gold resources with similar geology and structural feature. Importantly, all projects have been converted to IUP tenements as required under the new Indonesian Mining Act (2009).

The Company is active on four of its five Indonesian gold projects; currently drilling on the Tanoyan Gold Project and conducting surface exploration programs on the Palopo Gold Project, the Kapa Kapa Gold/Silver Project and the Roko Gold Project. All of the projects have easy access via paved and/or gravel roads and regional infrastructure is good. 

This press release has been reviewed and approved by Mr. John Levings, B.Sc., FAusIMM, director of Reliance Resources Limited and a Qualified Person as defined by National Instrument 43-101, under whose direction the exploration programs are being carried out. 

The statements herein that are not historical facts are forward-looking statements.  These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the Company's periodic filings with Canadian securities regulators.  Actual results could differ from those currently projected.  The Company does not assume the obligation to update any forward-looking statement.
 

Table 1: Tanoyan Project Drilling Results

DH No.	Vein	From (m)	To (m)	Interval (m)	Au (g/t)
TND088	Sondana	114.75	115.4	0.65	0.9
TND088	Sondana	125.4	126.05	0.65	2.3
TND089	Sondana	101.4	106.7	5.3	4.4

For further information: Media Information, contact:
Scott Emerson, President
se@relianceresources.com 
Investor Information, contact:
Mike Kordysz,
mk@relianceresources.com

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Reliance Resources Ltd. - Roko Gold Project, Halmahera, Indonesia: Major Epithermal System Outlined

• Recent exploration results enhances prospectively for gold mineralisation
• Host rocks, hydrothermal alteration and structural setting similar to nearby "Gosowong" bonanza gold deposit
• 3 km corridor hosting high level epithermal quartz veining and altered intrusive has been discovered
• Most prospective target zone for bonanza gold mineralisation expected to be at a deeper level
• Preliminary soil sampling results confirms anomalous pathfinder elements
• Surface exploration continues in preparation for diamond drilling program

VANCOUVER, May 15, 2012 /CNW/ - Reliance Resources Ltd. (the "Company")(TSX:RI) is pleased to update exploration activities on its Roko Gold Prospect on Halmahera Island, Indonesia. Halmahera is host to one of the highest-grade underground major gold discoveries in recent years: Newcrest's Gosowong-Kencana gold mine, (past production: 2.0 Moz Au, current resources: 2.4 Moz Au, average head grade 2008-2011: 30 g/t Au)¹. Reliance Resources has the second largest landholding for gold exploration on Halmahera after Newcrest Mining.

Work to date on the Roko Project, including mapping, gridding, channel sampling and trenching, has resulted in the discovery and surface definition of a 3 kilometre long structurally-controlled target corridor which is considered to be associated with a major, deep crustal, north-east trending transfer fault (The Tiabo Lineament). The Tiabo Lineament, which passes through the Roko concession area, is considered an important regional geological feature associated with numerous occurrences of gold and silver (including Reliance's Roko and Kapa Kapa project areas). The major Gosowong-Kencana gold mining camp is interpreted by the company's expert structural geologists to be associated with another deep crustal lineament which parallels the Tiabo Lineament.

The 3-kilometre Roko target corridor is host to igneous intrusions, multi-phase hydrothermal alteration and high level epithermal quartz vein mineralisation considered highly prospective for hosting gold and silver mineralisation.

Detailed mapping at Roko West has outlined a north-west trending zone of multiple chalcedonic quartz veins and strongly siliceous eruption breccias with associated hydrothermal alteration along the south western slope of Sesa Hill (Figure 1). Most veins trend north-west with subsidiary north-south vein splays. The breccias occur mainly in an area central to Sesa Hill and are interpreted to represent an eruptive hydrothermal breccia pipe. Eruption breccia pipes are known to be intimately associated with mineralised epithermal vein systems. The Toka Tindung Mine (1.7 Moz Au) in Indonesia is centred on an eruption breccia and epithermal vein systems at McLaughlin (4 Moz Au) in USA, Twin Hills in Australia and Hishikari (9 Moz Au), Japan, grade upwards into outcropping eruption breccia pipes.

The main zone of veining and alteration so far mapped at Roko West is approximately 1 kilometre in length and 100-200m in width. Banded chalcedonic veins at Roko East outcrop along the banks of the Ira River. The zones are considered to be very prospective as historical channel sampling along the banks of the Ira River retuned 8m @ 1.6 g/t Au which is strongly anomalous for an epithermal vein at such a high level in the system.

Fig 1 Plan view of Roko West and Roko east prospect with location of mapped quartz veins

http://www.relianceresources.com/i/maps/Plan-view-RW-RE.jpg

A grid-controlled soil sampling program has been completed at Roko West and is currently being extended a further 1000 metres to the west where float samples of hydrothermally altered porphyry with quartz-sulphide veins have recently been encountered. Rock samples have been submitted to Intertek Laboratories in Jakarta for assay and results are awaited. Soil samples are collected in the field and taken to Reliance's regional office to be dried. As a preliminary indication of metal content, a portable, hand-held Niton XRF analyser² is used to determine the concentration of epithermal pathfinder elements such as arsenic (As) and antimony (Sb).

The Niton results show that Sb and As, are anomalous along the strike length of the north-west trending zone of alteration/veining and are highest adjacent to the interpreted eruptive breccia pipe.

Rock grab sampling of quartz veins at Roko has encountered anomalous gold values of between 0.1 - 2.1 g/t Au. Previous reconnaissance channel sampling at Roko East returned 8m @ 1.6 g/t Au. According to the geological model developed for the Roko veins, bonanza gold values are not to be expected at surface but may occur at deeper levels within the system; in zones of fluid mixing and/or boiling. All current indications at surface are that the Roko mineralisation outcrops at a very high level in the hydrothermal system. For example siliceous sinter has been encountered on the slopes of Sesa Hill, evidence of a surface outpouring of hydrothermal fluids (eg similar to The Geysers geothermal field and sinters at the nearby ex-Homestake McLaughlin Mine (4Moz Au) in California).

Geological work at Roko has identified a structurally-controlled corridor with many similar characteristics to the nearby Gosowong deposits. Both have north-west to south-east and north-south trending epithermal quartz veins with associated hydrothermal breccias and sulphide mineralised porphyries. The high-grade veins at Gosowong occur at a lower level in the hydrothermal system. The exploration focus at Roko is to delineate epithermal veins within the prospective corridor and then to drill them at the appropriate level to discover high-grade gold and silver mineralisation.

To maximise the likelihood of a successful drill program further surface exploration is planned such as ground geophysics (resistivity, IP, Magnetics) across the main alteration zones at Roko. These surveys will assist with better defining zones of silicification / epithermal quartz veining, especially in areas of poor surface exposure and will also provide a 3-dimensional view of the mineralising system to best target the drilling, in what is a large epithermal system.

The Company has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia. The projects offer both exploration potential and an existing resource base. All five projects are adjacent to or along strike from operating gold mines or identified gold resources with similar geology and structural feature.

The Company is active on four of its five Indonesian gold projects; currently drilling on the Tanoyan Gold Project and conducting surface exploration programs on the Palopo Gold Project, the Kapa Kapa Gold Project and the Roko Gold Project. All of the projects have easy access via paved and/or gravel roads and regional infrastructure is good.

This press release has been reviewed and approved by Mr. John Levings, B.Sc., FAusIMM, director of Reliance Resources Limited and a Qualified Person as defined by National Instrument 43-101, under whose direction the exploration programs are being carried out.

The statements herein that are not historical facts are forward-looking statements. These statements address future events and conditions and so involve inherent risks and uncertainties, as disclosed under the heading "Risk Factors" in the company's periodic filings with Canadian securities regulators. Actual results could differ from those currently projected. The Company does not assume the obligation to update any forward-looking statement.

1. http://www.infomine.com/index/pr/PB164711.PDF Technical Report on the Gosowong Property in North Maluku Province, Indonesia dated December 31, 2011
2. Portable XRF instruments are generally not sensitive enough to accurately detect low concentrations at which gold can occur in soil (<10ppm Au).  Pathfinder elements are useful to define zones of hydrothermal fluid flow which may host gold mineralisation. The soil samples collected in this work will eventually be assayed for gold at a commercial laboratory

For further information: Media Information, contact:
Scott Emerson, Chairman and Director
SE@goldenpeaks.com
Investor Information, contact:
Mike Kordysz, Investor Communications
MK@goldenpeaks.com

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