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Golden Reign Resources Ltd. (the
"Company" or "Golden Reign") (TSX VENTURE:GRR - News) is very pleased to
announce assay results for the first four of fourteen drill holes from the
2010 diamond drill program at its San Albino-Murra Gold Property (the
"Property"), Nicaragua.
The 2010 drill program was designed to
test grade and continuation of mineralization of at least two highly
mineralized zones, San Albino and Arras/San Lorenzo, at depth and along
strike. The program, comprising 1,514.75 metres, commenced with a fence of
nine diamond drill holes at the San Albino zone. The remaining five holes
were cored at Arras/San Lorenzo.
The first four diamond drill holes all
intersected the San Albino vein structure. In addition, drill hole SA10-04
has identified a new, parallel mineralized zone, approximately 86 metres
below the San Albino zone.
Drilling highlights, over true width
intervals, include:
-- SA10-01 - 4.0 metres of 7.38 g/t Au and 144.35 g/t Ag
-- SA10-02 - 2.0 metres of 29.32 g/t Au and 17.15 g/t Ag
-- including 1.0 metre of 54.64 g/t Au
-- SA10-03 - 2.13 metres of 10.75 g/t Au and 17.54 g/t Ag
-- including 0.61 metre of 20.42 g/t Au
The San Albino zone, striking
northeast-southwest at 60 degrees, consists of quartz vein mineralization
within graphitic schists. The mineralized zone contains significant amounts
of galena, sphalerite and arsenopyrite.
Drilling at San Albino was intended to
define the southern extension of the zone, locate the 400 level tunnel of the
historic San Albino Mine and extend the zone to depth. The first four drill
holes have extended the mineralized zone along strike from 70 metres to 200
metres. The mineralized zone still remains open in both directions along
strike and at depth.
Results from the first four diamond
drill holes at San Albino correlate strongly with historical sampling (1919
and 1935) of the 200, 300 and 400 levels of the San Albino Mine which
returned excellent grades of gold over significant widths.
The 200 and 300 level sampling recorded
a grade of 0.70 ounces gold per ton (24 g/t gold) over a strike length of
230.0 feet (70.0 metres) and an average vein width of 4.3 feet (1.33 metres).
Sampling was undertaken systematically across the vein every five feet (1.5
metres).
Sampling of the 400 level returned a
grade of 0.89 ounces gold per ton (30.7 g/t gold) over a strike length of
approximately 230 feet (70 metres) and an average vein width of 4.1 feet
(1.25 metres). Sampling was systematic, across the vein every 10 feet (3.05
metres). The highest assay returned 8.3 ounces gold per ton (284.57 g/t gold)
and 6.2 ounces silver per ton (212.57 g/t silver) over 6 feet (1.83 metres).
The 400 level sampling was down dip of the 300 level sampling.
The 2010 drill targets are situated in
the southern, San Albino District, which covers approximately 24 square
kilometres of the 87 square kilometre property. Together the San Albino and
Arras/San Lorenzo zones comprise the San Albino Mine area, which covers 2
square kilometres, is the most advanced prospect and the Company's primary target.
Detailed results from the first four
drill holes are presented below:
SA 10-01 - 53.3 metres
Drill hole SA10-01 was designed to
intersect the 400 level in order to confirm the location of the drift and
determine the elevation of the adit. The adit was intersected at a depth of
29.0 metres, where most of the vein appears to be mined out; however,
significant mineralized intervals were still intersected, including:
4.0 metres averaging 7.38 g/t gold; and
4.0 metres averaging 144.35 g/t silver
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From To Length Gold Silver
Sample No (m) (m) (m) (g/t) (g/t)
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171437 27.00 29.00 2.0 0.06 177.2
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171438 29.00 31.00 2.0 7.72 111.5
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171439 31.00 32.00 1.0 4.91 7.7
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171440 32.00 33.00 1.0 9.18 5.0
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SA 10-02 - 109.71 metres
2.0 metres of 29.32 g/t gold
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From To Length Gold Silver
Sample No (m) (m) (m) (g/t) (g/t)
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171481 54.00 55.00 1.0 4.00 9.6
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171482 55.00 56.00 1.0 54.64 24.7
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171484 56.00 57.00 1.0 0.97 1.6
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SA 10-03 - 58.84 metres
2.13 metres of 10.75 g/t gold
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From To Length Gold Silver
Sample No (m) (m) (m) (g/t) (g/t)
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171554 45.12 45.73 0.61 20.42 16.9
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171555 45.73 47.25 1.52 6.87 17.8
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SA 10-04 - 146.91 metres
Drill hole
SA10-04 was drilled along strike, approximately 150 metres south of drill
hole SA10-01, and extended to roughly 150 metres in length with the intent of
both confirming the continuity of mineralization near surface and along
strike and locating parallel mineralized veins below the San Albino vein
structure. A second vein structure, or zone, with evaluated gold values was
intersected 85.85 metres below the San Albino vein. Two intersections are
presented below:
1.85 metres of 3.33 g/t gold; and
1.15 metres of 2.40 g/t gold
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From To Length Gold Silver
Sample No (m) (m) (m) (g/t) (g/t)
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171601 46.40 47.60 1.20 0.86 2.2
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171602 47.60 48.25 0.65 7.65 8.3
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171603 48.25 49.00 0.75 0.21 1.0
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171686 134.10 135.25 1.15 2.40 4.1
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All reported drilled intersections are
true widths.
Qualified Person
John M. Kowalchuk, P.Geo, a geologist
and qualified person (as defined under NI 43-101) has reviewed the technical
information contained in this news release.
On behalf of the Board,
Kim Evans, CGA, Director & CFO
About Golden Reign:
Golden Reign Resources Ltd. is a
publicly listed (TSX VENTURE:GRR - News) mineral exploration
company engaged in exploring the San Albino-Murra Property located in Nueva
Segovia, Nicaragua. Held under a 25 year mining license expiring February 3,
2027, the property covers an area of 8,700 hectares (87 sq km).
The Company has outlined a structural
corridor approximately 3 kilometres wide by 15 kilometres long, which spans
the Property, stretching from Las Conchitas in the south to the northeast
mining town of Murra. Old workings exist along the corridor. The San Albino
Mine flanks the northwestern edge of this structural trend.
Under the terms of the option agreement,
the Company may acquire an 80% interest in the Property over a four year
period by making cash payments totalling US$450,000, issuing 4,000,000 common
shares from treasury and incurring aggregate exploration expenditures of
US$5,000,000.
Nicaragua, a mining-friendly
jurisdiction, is situated in the Central American Gold Belt, which extends
from Costa Rica in the south to Guatemala in the north. Within this prolific
gold belt, estimates of historical production total more than 20 million ounces.
For additional information please visit
our website at www.goldenreign.com and SEDAR www.sedar.com.
Forward-Looking Statements: Some of the
statements contained herein may be forward-looking statements which involve
known and unknown risks and uncertainties. Such forward-looking statements
are subject to a variety of risks and uncertainties which could cause actual
events or results to differ materially from those reflected in the
forward-looking statements, including, without limitation, risks and
uncertainties relating to political risks involving the Company's exploration
and development of mineral properties interests, the inherent uncertainty of
cost estimates and the potential for unexpected costs and expenses, commodity
price fluctuations, the inability or failure to obtain adequate financing on
a timely basis and other risks and uncertainties. Such information contained
herein represents management's best judgment as of the date hereof, based on
information currently available.
The TSX Venture Exchange has not
reviewed and does not accept responsibility for the adequacy or accuracy of
this news release.
Contact:
Kim Evans, CGA
Golden Reign Resources Ltd.
Director & CFO
(604) 685-4655 or Toll Free: 1-888-685-4655
(604) 685-4675 (FAX)
www.goldenreign.com |