SPARKS, Nev., Sept. 4, 2002 (PRIMEZONE) -- Royal Standard Minerals Inc. (OTCBB:RYSMF) (TSX Venture Exchange:RSM):
During the past three (3) months the Company has been evaluating the Gold Wedge geological and gold mineralization information (drilling data) has resulted in a reinterpretation of the gold distribution pattern and the development of the current reserves/resources for the Gold Wedge property. Considerable progress has been made with the mine and mill permit application and the archaeological study of the project. Additionally, the bid solicitations and the selection of the best bid proposal for the decline development has been completed.
This geological work has involved the construction of a series of detailed cross sections that will help guide future surface and underground drilling and development and the 10,000-ton bulk sample program. A detailed geologic model of the Gold Wedge deposit was completed indicating new potential within the Cambrian Gold Hill formation, this unit occurs below the current deposit and will be an area of focus of the drilling program. Additional support has been developed that should expand the reserve/resource potential of the deposit within the contact of the Caldera margin. According to a recent (2002) report by Mr. Lawrence Martin (a consulting geologist with considerable experience in the Manhattan District) indicates a current potential resource within the area drill tested of 546,000 ounces of gold. The deposit is open along strike and at depth.
The environmental program relating to the decline development and the millsite permit is proceeding on schedule according to RSM's contractor. The drilling of water monitoring wells and proposed millsite, slope stability and soil characterization testing was completed in May, 2002. The preparation of the permit application to the State of Nevada will be submitted on schedule in late September, 2002.
RSM has completed its bid solicitations and contractor selection for the decline development program that is expected to commence during the first quarter of 2003. The first phase of the 2000' decline is estimated to cost US$1.3 million and will include obtaining a 10,000-ton bulk sample. RSM is pursuing several options with regard to financing the advanced exploration and development program.
The Canadian Venture Exchange does not accept responsibility for adequacy or accuracy of this release.
Royal Standard Minerals cautions that the statements made in this press release and other forward-looking statements made on behalf of the Company may be affected by such other factors including, but not limited to, volatility of mineral prices, product demand, market competition, imprecision of mineral estimates, and other risks detailed herein and from time to time in the Securities and Exchange Commission filings of the Company.