Red Moon Resources – Completes Ace Gypsum Drilling
333 Duckworth Street, St. John's, NL, A1C 1G9
Telephone: (709) 754-3186 Fax: (709) 754-3946 Email: [email protected]
www.redmoonpotash.com
News Release
November 30, 2017
Stock Symbol: TSX.V: RMK
Red Moon Resources – Completes Ace Gypsum Drilling
St. John’s, Newfoundland and Labrador: Red Moon Resources Inc. (“the
Company” - “Red Moon” TSX-V: RMK), announces that it has completed its definition drilling
campaign at the Ace gypsum mining lease in western Newfoundland. Twenty-six holes were drilled at 50-
100 meter spacing to an average depth of 20 meters. This provides an approximately even sampling
distribution over the 11.79 hectare mining lease to supplement historic drilling and geological
interpretation. The drilling utilized a n air hammer drill which provided composite cutting samples at 3
meter intervals. This is sufficient to determine overburden depth, gypsum/anhydrite distribution and
thickness and geologic constraints. Preliminary mass balance analysis of the samp les confirms the
presence of gypsum and anhydrite over the full extent of the lease. Anhydrite is a form of gypsum (without
water in its mineral structure) and is used in cement production similar to gypsum. Based on internal 3D
modelling the drilling confirms that 3 -5 million tonnes of gypsum/anhydrite are present on the lease.
Though this estimate is not National Instrument 43-101 compliant, for the purposes of open pit mining of
gypsum/anhydrite the Company is satisfied that the deposit parameters support the submission of a
development plan to the regulators including an environmental registration of the proposed mining
project.
The Company, through an affiliated entity, has initiated purchase order solicitations. Gypsum is mined by
traditional open pit methods, which are amenable to scaling of production to meet the demand cycle. A
deep-water port connected by a haulage road is located approximately 9 kilometers from the proposed
Ace pit. Contract mining services are available in the area and the Company is in discussions to avail of
these services. The project is situated off a paved road approximately 6 kilometers from the Trans Canada
highway and 20 kilometers from the local service center of the Town of Stephenville.
The proposed open pit operation is located in the dorm ant Flat Bay mines that produced at least
15,000,000 tonnes of gypsum prior to 1990 . It is the Company’s intention to commence production as
soon as possible with marketable material available for the Spring of 2018, subject to regulatory approval
and positive mining parameters. Initially, mining will start at an existing face in the former open pit quarry.
This project should generate cash flow and provide invaluable experience that the Company can use in
333 Duckworth Street, St. John's, NL, A1C 1G9
Telephone: (709) 754-3186 Fax: (709) 754-3946 Email: [email protected]
www.redmoonpotash.com
the permitting and development of its Captain Cook salt deposit which lies underground approximately 3
kilometers north of the Ace deposit. Some of the same existing infrastructure will be utilized.
Please refer to www.redmoonpotash.com for a drill hole location map and further information about the
Company’s projects. Patrick J. Laracy, P. Geo, President, and Patrick Collins, P. Geo. are qualified persons
responsible for the contents of this news release as defined in National Instrument 43-101.
We seek Safe Harbor.
Red Moon is an industrial minerals company developing the Ace Gypsum deposit, the Black Bay Nepheline
deposit and the Captain Cook S alt deposit in Newfoundland and Labrador. Vulcan Minerals Inc. (TSX.V:
VUL) owns approximately 67% of the common shares of Red Moon.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or
accuracy of this release. This release may contain certain forward-looking statements. Actual events or
results may differ from the Company’s expectations. Certain risk factors beyond the Company’s control
may affect the actual results achieved. Accordingly, readers are advised not to place undue reliance on
forward-looking information. Except by law, the Company undertakes no obligation to publicly update or
revise forward-looking information.
For information please contact:
Patrick J. Laracy, President
(709) 754-3186