VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 3, 2012) - Further to its prior news releases on March 14, 2012 and April 19, 2012, Regal Resources Inc. (the "Company" or "Regal") (CNSX:RGR) announces the completion of a NI 43-101 compliant Technical Report on its Patagonia (Sunnyside) property near Nogales, Arizona. The Technical Report provides a summary of the recent work completed by Regal at the property, comprising historical data compilation, re-sampling and re-logging of historical drill core, new sampling of previously un-sampled drill core followed by revised data compilation with target evaluation. The Technical Report has been electronically filed by the Company with regulators and is available for viewing through the Internet at the SEDAR website (www.sedar.com) under the Company's issuer profile.
The report considered the status of resource estimates for the Patagonia (Sunnyside) property. It concluded that due to the age and wide-spacing of many of the holes, this project is considered to be at a relatively early stage of exploration. There are no NI 43-101 compliant mineral resources or reserves outlined at the project. Several non-compliant historical resource estimations have been completed for the shallow chalcocite and deeper porphyry targets, but they are not discussed in the report due a lack of documentation with respect to their calculation.
The report recommends a 20,000-foot drill program and total budget of $2.5 million to test the shallow breccias zone, chalcocite and porphyry targets, along with drill testing of the deep porphyry target.
The Technical Report titled "Technical Report on the Sunnyside Project, Arizona, USA" and dated June 11, 2012, was authored by Andrew J. Turner, B.Sc., P.Geol., a Senior Geologist employed by APEX Geoscience Ltd. of Edmonton, Alberta, who has also reviewed and approved this press release as relates to technical information on the Patagonia (Sunnyside) property. Mr. Turner has certified that he is independent of both the Company and the Property vendor (MinQuest Inc.) in accordance with section 1.5 of National Instrument 43-101.
Squaw Peak Project Update
As announced by the Company on May 30, 2012, the Company has relinquished its interest in the Squaw Peak project in Arizona due to disappointing drill results (published April 25,2012) and economic conditions prevalent at this time. Regal's board of directors unanimously determined it was in the best interest of its shareholders to conserve cash and concentrate on what the Company believes is its single best asset, the Patagonia (Sunnyside) project. As announced by the Company on April 9, 2012 and initiated at the request of the British Columbia Securities Commission (the "BCSC") as a result of its review of the Company's prior disclosure (details in news release of March 14, 2012) of an inferred resource estimate (published April 29, 2011), the Company had engaged SRK Consulting (Canada) Inc. to prepare a NI 43-101 compliant resource estimate on the Company's Squaw Peak project. The engagement of SRK Consulting was terminated concurrent with termination of the Company's option to acquire the Squaw Peak property. The BCSC requested a detailed explanation for abandonment of the Squaw Peak property, as well as a summary from SRK Consulting on the status, at the time of termination of its engagement, of its work toward preparation of a report in support of a resource estimate, both of which have been provided to the BCSC. Although much of the resource modelling work had been completed and SRK Consulting was in the process of compiling the technical report to support disclosure of a mineral resource statement for the Squaw Peak project, the work was not complete and, as a result, the information cannot be publicly disclosed. The Company's prior disclosure of current and historical resource estimates at Squaw Peak remains unsupported by an independent, compliant technical report, and should not be relied on.
The technical information in this press release related to the Squaw Peak property has been reviewed and approved by Herb Duerr, B.Sc. Geology, a Vice President with MinQuest Inc., a qualified person in accordance with National Instrument 43-101.
About Regal Resources Inc. (www.regalresinc.com):
Regal Resources Inc. is a junior mineral exploration and development company based in Vancouver, Canada. The Company is focused on the development and acquisition of copper projects in the prolific copper producing state of Arizona. The Company is currently focused on its advanced exploration copper/silver property, the Patagonia (Sunnyside) property, located near Nogales, Arizona. Regal Resources is listed on the Canadian National Stock Exchange (CNSX) under the symbol (RGR).
This news release contains certain statements that may be deemed "forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors should change.