Vancouver, British Columbia CANADA, Jan 16, 2012 (Filing Services Canada via COMTEX) — Santa Barbara Resources Limited (SBL – TSX Venture), (“Santa Barbara” or the “Company”) is pleased to announce the results of an induced polarization and resistivity (IP) geophysical survey at its San Francisco Project located in the Maricunga District of Region III, Atacama, Chile.
Quantec Geoscience Chile Ltda., a subsidiary of Quantec Geoscience, Toronto, Canada, has conducted the IP survey. The survey area consists of a southwest to northeast-oriented rectangular grid with approximate dimensions of 4 kilometres (km) by 1.8 km. The IP survey was conducted with a pole-dipole array and a dipole spacing of 200 metres (m). The survey consisted of 5 survey lines with a 45 degrees north azimuth and variable spacing between lines. A total of 17.6 km of IP data was collected.
Santa Barbara’s President Christoph Lassl commented: “The IP survey has confirmed the area of gold mineralized trenches containing Maricunga-style gold mineralized banded black quartz veinlets as a drill target. Our upcoming drill program commencing later this month will test this zone with several drill holes.”
IP Survey Results
The IP survey shows a shallow chargeability high of 1000 m x 500 m partially coinciding with a 750 m x 600 m moderate resistivity high. This central portion is surrounded by a 500 m to 1000 m wide area of low resistivity. The chargeability anomaly significantly increases in size at depth. The chargeability and resistivity pattern observed in this anomaly suggests the potential presence of a porphyry stock at depth with a central zone of quartz-sulphide stockwork surrounded by a large area of clay alteration.
The Quantec report states: “A resistivity low of this size and shape may represent a porphyry stock.” and continues “The intensity of this anomaly [chargeability] decreases to 250 m, and then rapidly increases down to 450 m depth. This trend suggests that this anomaly may increase in size deeper than the extents of this survey and conventional equipment. Thus, further geophysical exploration using higher resolution deep imaging equipment, such as a Titan system, is recommended to fully explore the extent of this deep, high chargeability anomaly.”
The IP anomaly lies within the area of the previously mapped alteration which extends across the property for over 7 km and includes the zone where gold-bearing trenches have returned an interval of 21.4 m at an average grade of 0.85 grams per tonne (g/t) gold followed by 97.5 m of 0.06 g/t gold and another trench contained 0.10 g/t gold over 84.6 m. Black banded quartz veinlets, indicative of high-level porphyry/epithermal gold mineralization typical in the Maricunga gold belt, have been observed within the mineralized intervals. Also, higher gold grades of 3.92 g/t gold and 3.86 g/t gold were encountered from the same zone during the collection of reconnaissance grab samples of black banded quartz veinlets and breccias. The planned drill program at the San Francisco property will test this zone.
Santa Barbara has the right to acquire, subject to certain option requirements and a royalty, a 100 % interest in the 3,740 hectare San Francisco gold exploration property from Sociedad Legal Minera Pomez VIII Del Campo de Piedra Pomez. The terms of this transaction are summarized in Santa Barbara’s press release dated December 7, 2010.
Maps and sections of the IP survey can be viewed on the Company’s web site at www.sbr-ltd.com .
The results of the San Francisco exploration program and the technical content of this news release have been reviewed by Stewart Wallis P.Geo., consultant to the Company, who is the Qualified Person for the Company.
About the Company
Santa Barbara is also exploring the Sancos epithermal high sulphidation gold project in Peru. Best results to date include drill intersections from surface of 154 m of 0.45 g/t gold and 94 m of 0.47 g/t gold with both holes ending in mineralization. All gold mineralized intercepts occur in oxides. Bulk leach extractable gold tests on uncrushed reverse circulation drill chips have returned recoveries from 66 % to 93 %, including low grade samples and from depths of up to 232 m down-the-hole. A CSAMT resistivity geophysical survey has identified three deep rooted resistivity highs within the general area of the best drill intercepts from the initial drill program. Santa Barbara has the option, subject to certain option back-in rights and a royalty, to acquire a 100 % interest in the 6,200 hectare Sancos Project from Barrick Gold Corporation’s Peruvian subsidiary.
Santa Barbara is well funded with about C$ 1.7 million in the treasury.
Additional information can be found on the Company’s website www.sbr-ltd.com .
ON BEHALF OF THE BOARD