High grade gold intersected in Sondana drilling, Tanoyan Gold Project, Sulawesi, Indonesia

• Drill hole TND 106 intersected:
• 6.2 metres at 8.1 grams of gold per tonne
• Within broad zone: 42.95 metres at 1.6 grams of gold per tonne
• Continues to confirm consistency of higher-grade gold zones
• Important implications for continuity of gold mineralisation

VANCOUVER, Nov. 29, 2012 /CNW/ - Reliance Resources Ltd. (the "Company") (TSX:RI) is pleased to announce recently received gold assays, which have confirmed the discovery of significant high grade gold mineralisation in the Central Sondana vein; Tanoyan Gold Project; Indonesia.

Diamond drill hole number TND 106 intersected a broad zone of gold-bearing quartz veins which contains within it, a substantial high grade zone:

• TND 106: 42.95 metres at 1.6 g/t Au from 100 metres
  including 6.2 metres at 8.1 g/t Au from 135.5 metres

Full details of the results are located in Table 1.

This intersection is one of the strongest so far obtained on the Tanoyan property and also has important implications for the geological understanding of the Sondana gold vein system. As can be seen in the longitudinal projection of the Sondana vein in Figure 1, drillhole TND 106 extends the high-grade zone originally discovered in hole TND 063 (7.2m at 7.3 g/t Au).

Importantly, the TND106 result infers continuity between the strong gold mineralisation in North Sondana and Central Sondana at intermediate depths. This inference will be tested by further drilling as part of the Company's current, 10,000 metre, Phase 2 drill program. The program is designed to build on the independent NI 43-101 Inferred Mineral Resource (4.58 Mt at 1.41 g/t Au) of 208,000 ounces of gold (March, 2012). 

The TND 106 intersection highlights a substantial thickening of the mineralised zone between a shallow intersection in TND104 and a deep intersection in historical drillhole TND034 (see Figure 2). This continues a geological pattern encountered in North Sondana, where the thickest and highest grade gold intersections tend to occur at intermediate depth, starting approximately 50m below ground surface.

Reliance Resources CEO Mr. Gary Lewis said: "It is very encouraging to be able to update shareholders with this important result. Besides being one of the best holes ever from Tanoyan, it has led to important new understanding of the Sondana vein, and points to future exploration success and increase in mineral resources. The consistency of high-grade gold mineralisation is further demonstrated by this result which will be important when it comes the time to commercialise the Tanonyan gold deposits. The geological lessons being learned in Central and North Sondana put us in a good position as we explore further north along the Sondana vein structure. 

"Based on continued good results, Reliance has engaged consultants to complete a set of studies which will be submitted to the Indonesian Government and will lead to the conversion of the Tanoyan property from exploration to exploitation (production) stage."

The Tanoyan Gold Project consists of 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 drilling 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 along strike and at depth on all vein systems. Previous drilling has primarily been tightly focused on the Sondana and Modupola veins and the current Phase 2 program will extend drilling into all target areas.

The resource model at the Sondana and Modupola veins is open at depth for most of its length, especially in the north of the Sondana vein, where significant drill intersections from Phase 1 drilling are located. The Phase 2 drilling program is designed to test at depth for extensions of mineralisation which have been mapped on surface and in locations where earlier drilling has shown the mineralisation is open at depth. Infill drilling should confirm the strike continuity of vein systems and thereby improve the classification of the mineral resources. 

Reliance has a portfolio of five mineral tenements covering 68,000 acres on the islands of Sulawesi and Halmahera in East Indonesia. The Company owns a 75% direct equity interest in both the Tanoyan and Anggrek properties and a 90% direct equity interest the Polopo property in Sulawesi. In the two Halmahera properties, Roko and Kapa Kapa, Reliance has an 82.5% beneficial joint-venture interest through a 100% Reliance-owned Indonesian subsidiary. 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 three of its five Indonesian gold projects; currently drilling on the Tanoyan Gold Project and conducting surface exploration programs on the Kapa Kapa Gold-Silver Project and the Roko Gold Project. All of the Reliance proprties 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	To	Interval	Au
		(m)	(m)	(m)	(g/t)
TND106	Sondana	29.00	29.80	0.8	1.4
	and	68.65	69.30	0.65	1.5
	and	100.05	143.00	42.95	1.6
	incl	135.5	141.70	6.2	8.1

PDF available at: http://stream1.newswire.ca/media/2012/11/29/20121129_C4639_DOC_EN_21342.pdf
PDF available at: http://stream1.newswire.ca/media/2012/11/29/20121129_C4639_DOC_EN_21343.pdf

SOURCE: Reliance Resources Ltd.

Media Information, contact:
Gary Lewis, CEO
gary.lewis@relianceresources.com.au

Investor Information, contact:
Adam Holdsworth
aholdsworth@dgicomm.com

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Drilling Update: 24.9 Metres At 2.8 G/T Au Intersected at Tanoyan Gold Project, Sulawesi, Indonesia

Significant intersection in drill hole TND105: North Sondana Vein 24.9 metres at 2.8 g/t Au from 95 metres Including 3.4 metres at 7.0 g/t Au from 104.3 metres Continues to confirm consistency of higher-grade zone Additional Phase 2 drilling of 9 holes and 1,271 metres completed Phase 2, 10,000 metre drilling program designed to increase the 208,000 ounce gold 43-101 mineral resource estimate continues with 2 diamond drills Feasibility, Social and Environmental Impact Studies commenced  13 November, 2012- Reliance Resources Ltd. (the "Company" or "Reliance" ) (TSX:RI) is pleased to announce the completion of an additional 9 holes totalling 1,271m of diamond drilling on its 75%-owned Tanoyan Gold Project in Indonesia. To date, 19 holes totalling 2,802 metres have been completed in a planned 10,000 metre, Phase 2 program, which commenced after the publication of the NI 43-101 report and mineral resource estimate in March 2012 (Inferred mineral resource of 208,000 ounces of Au at 1.41 g/t Au). Drilling continues utilising 2 owner-operated drill rigs. Highlights of the recent results include a wide intersection from TND105 which continues to confirm the consistency of a higher-grade and thicker gold mineralization zone, at intermediate levels of the North Sondana Block, especially between RLs 300m and 380m depth (see Figure 2). TND105: 24.9 metres at 2.8 g/t Au from 95m Including 3.4 metres at 7.0 g/t Au from 104.3m

Table 1 lists the gold intersections from the Phase 2 drilling since the previous release on 3rd September 2012. The locations of the holes in relation to the mapped veins and previous drill collars is shown in Figure 1.

This drilling gives important information regarding the geological controls on the mineralization within the vein system. In common with most epithermal gold vein systems, the ore-grade mineralization is localised within a number of shoots and a considerable amount of drilling is required to properly define them.

At North Sondana, drilling has continued to identify a remarkably consistent zone of higher-grade mineralization between RLs 300 and 380 and there is a suggestion that this zone may plunge to the south-west, as indicated by hole TND097: 12.6M @ 2.7 g/t Au.

Holes testing the vein at even deeper levels, have defined the lower limits of potentially economic mineralization in the North Sondana shoot (e.g. TND101: 10.7m @ 0.4 g/t Au and TND103: 12.2m @ 0.6 g/t Au). It must also be noted however, that technical drilling issues in both these holes, resulted in the termination of TND103 whilst still in vein, and TND101 was also not completed to it's planned depth.

Detailed structural and lithological information is now being used to build a sophisticated 3D model using specialist "Leapfrog" software, which will greatly assist future drill planning and resource modelling. A perspective view from the preliminary Leapfrog model of Sondana North is shown in Figure 3.

The long section in Figure 1 shows a number of planned Phase 2 drill holes, which include drilling in the almost untested further-north extensions of the Sondana vein. Success in this drilling should add substantially to mineral resources. In addition, the Company will drill further holes in the Sondana vein to better define the mineral resource, prior to exploitation.

Reliance has engaged consultants to manage the preparation of a Feasibility Study and Environmental Impact Assessment Study, which are both necessary to transition the property status from exploration, to exploitation status.

Reliance Resources CEO Mr. Gary Lewis said: "Reliance management is pleased with the steady progress of the drilling at Tanoyan, which is necessary to update our resource position and provide the basis for the recently commenced studies that will ascertain the feasibility of mining and treatment of the Tanoyan vein system, as well as transition the status of the property from exploration to exploitation stage. We continue to explore and define mineral resources utilising two owner-operated diamond drill rigs, which allow us to carry out very cost-effective drilling.

"Work is progressing well on our other Indonesian projects, including the Kapa Kapa high-grade copper-silver prospect. We look forward to updating shareholders as results become available."

The Tanoyan Gold Project consists of an extensive system of auriferous quartz veins, comprising four principal vein systems, Sondana, Ramai, Modupola/Talong and Lingkobungon. These veins are predominantly orientated north-east and dip steeply or moderately to the north-west or south-east. 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 along strike and at depth on all vein systems. Previous drilling has primarily been tightly focused on the Sondana and Modupola veins and the current Phase 2 program will extend drilling into all target areas.

The resource model of the Sondana and Modupola veins is open at depth for most of its length, especially in the north of the Sondana vein, where significant drill intersections from Phase 1 drilling are located. The Phase 2 drilling program is designed to test at depth for extensions of mineralization which have been mapped on the surface and in locations where earlier drilling has shown the zone is open at depth. Infill drilling should confirm the strike continuity of vein systems and thereby improve the classification of the mineral resources.

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 features. Importantly, all projects have been converted to IUP tenements as required under the new Indonesian Mining Act (2009).

The Company is active on three of its five Indonesian gold projects; currently drilling on the Tanoyan Gold Project and conducting surface exploration programs on the Kapa Kapa Gold-Silver Project and the Roko Gold Project. All of the properties 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.

Media Information, contact:
Gary Lewis, CEO
gary.lewis@relianceresources.com.au
+61 8259 4799

Investor Information, contact:
Adam Holdsworth, DGI
aholdsworth@dgicomm.com
212 825 3210



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: Recent Tanoyan Project Drilling Results

DH No.	Zone 51 N UTM		Depth (m)	SONDANA BLOCK	From	To	Interval	Au
	East	North			(m)	(m)	(m)	(g/t)
TND098	639368	67105	156.5	CENTRAL	57.40	59.10	1.70	0.3
TND099	639639	67463.3	95	NORTH	48.50	53.80	5.30	0.7
TND100	639338	67133	141.6	CENTRAL	93.60	100.65	7.05	0.3
TND101	639584	67517	245	NORTH	232.60	243.30	10.70	0.4
				Incl.	232.60	233.95	1.35	1.2
TND102	639370	67166	177	CENTRAL	71.35	73.75	2.40	0.5
					118.20	123.30	5.10	0.3
TND103	639665	67583	170	NORTH	158.20	170.40	12.20	0.6
				Incl.	166.30	170.40	4.10	1.0
TND104	639423	67158	115	CENTRAL	24.00	26.00	2.00	1.4
TND105	639654	67527	80	NORTH	71.50	76.00	4.50	0.5
					95.00	119.90	24.90	2.8
				Incl.	104.30	107.70	3.40	7.0
			1270.85

View News Release in PDF Format:

	File:  http://www.relianceresources.com/i/pdf/PR-13-Nov-2012.pdf

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Reliance Resources announces high-grade copper (5.2%) and silver (729 g/t) rock grab samples at Akelamo Prospect on Halmahera

• 5.2% Cu from south-east extension of Akelamo Prospect
• 729 g/t Ag, 288g/t Ag and 75 g/t Ag from northernmost outcrops assayed at Akelamo
• New zone of epithermal veining discovered to south-west of Akelamo

VANCOUVER, Oct. 30, 2012 /CNW/ - Reliance Resources Limited (the "Company") (TSX: RI) is pleased to provide an update on its exploration activities at its Akelamo Gold/Silver Prospect, located on the Kapa Kapa property on Halmahera Island, Indonesia. Reliance has more than 44,000 acres of exploration ground on Halmahera (Figure 1), and the Company is the second-largest holder of exploration licences on the island next to Newcrest Mining Limited (ASX: NCM). 

Laboratory assay results have been received for 7 samples collected during the Akelamo reconnaissance exploration program (Table 1).

Sample No.	Ag ppm	Au ppm	Cu ppm	Pb ppm	Zn ppm
RC01041	75	0.01	227	228	195
RC01177	288	0.05	163	172	80
RC01184	655	1.09	1070	1880	1580
RF01185	83	0.02	5.2%	15	305
RC01192	13	0.01	95	36	36
RC01256	729	0.04	785	2300	2300
RC01258	631	0.11	836	1510	1510

Table 1: Recent Akelamo Prospect Rock Grab Sample Results
(See figure 3 for location)

 

Reconnaissance exploration in the southern extension of the Akelamo Zone has encountered rock float of silicified and brecciated volcanics with tarnished sulphides (Figure 2). A grab sample of this has assayed high in copper and silver - 5.2% Cu and 83 g/t Ag. This sample continues a pattern observed at Akelamo of high-grade copper values adjacent to the main Akelamo Zone (Figure 3). 

In another area, three grab samples were collected from mineralised outcrops in the headwaters of Sanggut and Sobit creeks. Assays from these samples confirm strong silver - 729 g/t Ag, 288 g/t Ag and 75 g/t Ag. They represent the northernmost outcrop samples at Akelamo and show the zone is still open to the north.

Outcrop grab sample RC01258 of a vuggy quartz vein was collected 50m south-west the main mapped zone of alteration/veining and returned high silver assays 631 g/t Ag (Figure 3). Sample RC01184 was taken from an outcrop of colloform banded quartz veins near the intersection of Gunyira and Akelamo creeks, within the Main Akelamo Zone and continues to verify the high-grade silver nature of veins within this zone and its association with base metals - 655 g/t Ag, 1.09 g/t Au and 0.1% Cu. 

Recent mapping has also discovered a new zone of epithermal quartz veining and hydrothermal alteration along Kasbi Creek, 500m to the south of the main Akelamo Zone. Mapping and sampling is still reconnaissance in nature and the dimensions of the prospect are still open. Several samples were collected and tested with a hand held Niton XRF instrument including one prepared sample returning a significant analysis of 123 ppm Ag and 0.1% Pb. This and other samples from the new Kasbi Creek prospect are being prepared for confirmation by laboratory analysis. 

A grid-controlled soil sampling program, utilising the Niton, is currently underway across the Akelamo prospect. 

Reliance Resources CEO Gary Lewis says, "The discovery of high grade copper at Akelamo is a further indication of the high prospectivity of the Reliance exploration concessions in Halmahera. Field exploration continues to increase the extent of the mineralisation at Akelamo and it is now evident that the mineralising system is of a large scale. Akelamo is only one 5 known prospect areas within the Kapa Kapa property.

The soil geochemical sample grid at Akelamo should provide further important target definition of the mineralisation prior to drilling. Regional and prospect scale exploration will continue." 

Drilling is continuing in the Company'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) at 0.5 g/t Au cut-off grade which was announced on March 19, 2012. 

Mr. Lewis says, "We look forward to informing shareholders as results from Sulawesi and Halmahera become available and are interpreted by our technical team."

"Tanoyan is the project with the best opportunity of near-term production and remains Reliance's primary focus at present. However, we see the potential of Halmahera as equally important for the long-term future as the island is clearly prospective for high grade gold and silver and hosts one of the world's highest grade epithermal gold mines - Newcrest's Gosowong mine (approximately 5 Moz at 24 g/t Au)." 

About Reliance Resources Limited

 

Reliance Resources 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. 

The company's most advanced project is the Tanoyan 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. 

Rock samples are collected and initially logged at Akelamo Base Camp at the project area. Samples are then securely transported to Reliance's Exploration Office in Tobelo, North Halmahera. Archival samples are retained, as a reference, in the secure Tobelo office facility. All QC samples are introduced before the bagged samples are sent by courier to PT Intertek Laboratory's sample preparation facility in Manado. Prepared samples are then couriered by PT Intertek to their analytical facility in Jakarta for analyses.

Gold is fire assayed using a 50.0 gram aliquot sample with an AA finish. Multi-element analysis is by Four Acid Digestion using an Induced Coupled Plasma (ICP) finish. 

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.

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.

Figure 1: Northern Halmahera showing location of Reliance Resource's tenements
(http://files.newswire.ca/1117/KapaKapa-figure1.pdf)

Figure 2: Rock float sample RF01185 from Gunyira Creek showing tarnished copper sulphides in a breccia matrix - 5.2% Cu and 85 g/t Ag. (field of view approximately 6cm)
(http://files.newswire.ca/1117/KapaKapa-figure2.pdf)

Figure 3: Plan view of Akelamo Prospect showing mapped 600m zone of hydrothermal alteration, epithermal quartz veining and sulphide mineralisation and recently identified extensions
(http://files.newswire.ca/1117/KapaKapa-figure3.pdf)

PDF available at: http://stream1.newswire.ca/media/2012/10/30/20121030_C2772_DOC_EN_19795.pdf
PDF available at: http://stream1.newswire.ca/media/2012/10/30/20121030_C2772_DOC_EN_19796.pdf
PDF available at: http://stream1.newswire.ca/media/2012/10/30/20121030_C2772_DOC_EN_19797.pdf
SOURCE: Reliance Resources Ltd.

Gary Lewis, Chairman & CEO, Reliance Resources Limited: +61 2 8259 4799
Adam Holdsworth, DGI: +1 212-825-3210

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