Red Moon Resources – Gypsum Mine Development Plan Submitted
333 Duckworth Street, St. John's, NL, A1C 1G9
Telephone: (709) 754-3186 Fax: (709) 754-3946 Email: [email protected]
www.redmoonresources.com
News Release
April 30, 2018
Stock Symbol: TSX.V: RMK
Red Moon Resources – Gypsum Mine Development Plan Submitted
St. John’s, Newfoundland and Labrador: Red Moon Resources Inc. (“the Company” - “Red
Moon” TSX-V:RMK), announces that it has submitted a Development Plan for the Ace gypsum mine in
western Newfoundland to the government of Newfoundland and Labrador. The plan describes the
proposed open pit mining method , project parameters, risk mitigation measures, rehabilitation and
closure procedures. Any modification of the plan by the Company in response to regulator’s questions
will be addressed quickly in anticipation of approval and initiation of mining activity as soon as possible.
The Company is working with a marketing group to identify customers for gypsum and anhydrite for
2018. Firm sales contracts can only be entered into after Development Plan approval. The project has
already received environmental cleara nce (news release March 01 2018) . The commercial implications
for the Company will be described in more detail as production commences and the full context of
market availability is demonstrated.
Gypsum is mined by traditional open-pit methods, which are amenable to scaling of production to meet
the demand cycle. A deepwater port connected by a haulage road is located approximately 9 kilometres
from the proposed Ace pit. The project is situated off a paved road approximately 6 kilometres from the
Trans-Canada Highway and 20 kilometres from the local service centre of the Town of Stephenville. The
proposed open-pit operation is located in the dormant Flat Bay mine that produced at least 15 million
tonnes of gypsum prior to 1990.
This project should generate positive cash flow and provide invaluable experience that the company can
use in the permitting and development of its Captain Cook salt deposit which lies underground
approximately three kilometres north of the Ace deposit. Some of the same existing infrastructure will
be utilized.
The Company acknowledges, with appreciation, receipt of $17,175.00 in a Junior Exploration Assistance
grant from the province of Newfoundland and Labrador in relation to the 2017 work program carried
out on its Black Bay nepheli ne project in southern Labrador. The bulk sample obtained last year is
currently going through comminution and beneficiation testing at SGS Laboratories with results
expected over the coming weeks.
The Company has granted 2,400,000 share purchase stock opt ions (options) to Directors and
management. The options are exercisable at $0.10 for a period of five years. Fifty percent of the options
333 Duckworth Street, St. John's, NL, A1C 1G9
Telephone: (709) 754-3186 Fax: (709) 754-3946 Email: [email protected]
www.redmoonresources.com
vest immediately and 50% vest on December 31 , 2019. The Company has reserved 4,805,000 listed
shares for issuance under its stock option plan, of which 1,400,000 options have been issued prior to the
current issue.
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. Thi s 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
www.redmoonresources.com