January
20, 2009 - Bridgewater, NS - Silver
Spruce Resources Inc. (TSXV: SSE) is pleased to provide the final
drilling results from the Centauro, Mexico, gold-silver (Au/Ag) project. Results
for holes CEN-08-11 to 14 are reported here. Results for holes CEN-08-1
to 5 and 6 to 10 were reported on October 7, 2008 and December 9, 2008,
respectively.
A total of 3,960
metres in 14 holes (CEN-08-1 to 14) tested the
Centauro alteration zone over a 2.3 kilometre
strike length and 1
kilometre across the zone, from April to October,
2008.
The highlight from the drilling is a gold/silver intersection of 7.5 m at 1.93 g/t Au
and 64 g/t Ag at the top of hole CEN-08-10, in a 92.1 metre zone,
from 3 to 95.1 m,
which assayed 237 ppb Au and 8.4 g/t Ag. The mineralization is associated
with strong silicification. The hole collared in mineralization so the
full width of the intersection remains unknown as does its orientation
and true width. The closest drill hole to hole 10, CEN-08-11, is located 500 metres to the
southeast. It gave wide but weak gold and silver intersections with
values of 104 ppb Au and 2.0 g/t Ag over 20.5 m and 52 ppb Au
and 2.9 g/t Ag over 23.5
m in a strongly silicified zone. No drilling has
tested the area to the north along strike. Due diligence work by
Overburden Drilling Management (ODM) of Nepean, Ontario using a Scanning
Electron Microscope (SEM), noted acanthite, a silver bearing mineral,
(approximately 5,000 grains) and native gold (1,000 grains) in sample
7815, the first sample (from 3.0 to 6.1 m) in hole 10, which assayed 2.49 g/t
Au and 104.0 g/t Ag. Both minerals are fine-grained, varying from 0.025
to 0.5 mm
in size.
The two widest anomalous gold intersections were located in holes 10 and
7. Hole 10 gave 92.1
metres of 237 ppb Au and 8.4 g/t Ag from 3 to 95.1 m including the
higher grade intersection noted above and hole 7 gave 50 metres of 284
ppb Au and 2.4 ppm Ag, from 9.0 to 59.0 metres
including 4.34 g/t Au and 13.4 g/t Ag over 2 metres from 55.2
to 57.2.
All of the widely-spaced drill holes, except CEN-08-8 and 12, intersected
elevated gold and silver values over appreciable widths indicating that
the system has good potential to host a significant gold/silver deposit. Trace
element chemistry, especially mercury, indicates that drilling may be
testing the top of the system with the best potential lying at depth.
Results for indicator elements (arsenic, mercury antimony, thallium and
barium) show all holes to be anomalous, with holes CEN-08-1 and 2, the
most northerly ones, strongly anomalous in arsenic, mercury, and
antimony; and holes CEN-08-3, 4 and 5, in the central and south part of the
mesa on the west side, dominated by anomalous barium. Good gold/silver
association was found for arsenic in holes CEN-08-6, 9, 10 and 11 and for
mercury in holes CEN-08-6, 7, 10 and 11, except the higher mercury values
were not associated with the highest gold values in hole CEN-08-10,
rather the lower grade, perhaps more peripheral or leakage type
mineralization. Weak to moderate association with gold/silver was noted
with antimony, barium and thallium through most of the holes. Values were
up to > 10,000 ppm As with background 30-40 ppm; 2,750 ppm antimony
with background <50 ppm; 15,000 ppm barium, with background <1,000
ppm; 1900 ppm mercury with background <1 ppm and 643 ppm thallium with
background < 10 ppm. The presence of strongly anomalous mercury
indicates that the drilling is still testing high in the system with the
most significant potential remaining untested at depth.
Dr. Greg Arehart, a professor at the University of Nevada in Reno, and a
recognized expert in epithermal and Carlin-type gold deposits, has
visited the Centauro Property as a consultant to Silver Spruce. His
comments on the drill results are: "In most cases, not all of the
trace metal patterns are well-expressed, but the general epithermal trend
is Hg, As, Sb, Tl, Ba, Ag near the paleosurface, precious metals (Au, Ag)
and As below, grading to Ag-base metal deeper zones. The observations
outlined above, in conjunction with the silicification and other geologic
features, lead me to believe that we are still at the top of the
system."
Mineralized/altered zones -- mainly pyrite/kaolin with some silicification
associated with faults and shears have been intersected in all holes. Rock
units encountered include sedimentary units -- limestone conglomerates to
sandstones, mafic volcanics and mafic intrusives -- that are weakly to
intensely altered throughout. Alteration consists of propylitization,
decarbonatization, argillitization (kaolinite) and silicification.
A phase 2, follow up drill program is planned for 2009. Significant gold
/ silver intersections are listed below.
Anomalous gold / silver values DDH's CEN-08-1 to
14
Hole #
|
From (m)
|
To (m)
|
Length (m)
|
Au (ppb)
|
Ag (ppm)
|
CEN-08-01
|
13.3
|
67.5
|
54.2
|
43
|
4.8
|
CEN-08-02
|
75.5
|
122.5
|
47.0
|
57
|
2.1
|
incl.
|
116.5
|
122.5
|
6.0
|
102
|
3.9
|
CEN-08-03
|
58.5
|
80.5
|
22.0
|
120
|
1.6
|
CEN-08-04
|
278.5
|
305.8
|
27.3
|
46
|
1.6
|
CEN-08-05
|
12.0
|
18.0
|
6.0
|
59
|
5.8
|
CEN-08-6
|
71.8
|
79.5
|
7.7
|
109
|
9.0
|
incl.
|
74.6
|
75.5
|
0.9
|
471
|
47.5
|
CEN-08-7
|
9.0
|
59.0
|
50.0
|
284
|
2.4
|
incl.
|
55.2
|
57.2
|
2.0
|
4340
|
13.4
|
CEN-08-8
|
Weak gold
|
silver values
|
n/a
|
to 55
|
to 19.6
|
CEN-08-9
|
3.0
|
93.7
|
90.7
|
89
|
4.8
|
incl.
|
9.1
|
20.0
|
10.9
|
186
|
8.3
|
incl.
|
59.6
|
67.5
|
7.9
|
144
|
7.3
|
CEN-08-10
|
3.0
|
95.1
|
92.1
|
237
|
8.4
|
incl.
|
3.0
|
10.5
|
7.5
|
1928
|
64.0
|
incl.
|
3.0
|
6.1
|
3.1
|
2490
|
104.0
|
Incl.
|
9.7
|
10.5
|
0.8
|
4550
|
96.1
|
CEN-08-11
|
4.8
|
25.2
|
20.4
|
104
|
2.0
|
Incl.
|
4.8
|
6.5
|
1.7
|
398
|
2.5
|
and
|
69.7
|
93.2
|
23.5
|
52
|
2.9
|
CEN-08-12
|
Weak gold
|
silver values
|
n/a
|
to 48
|
to 4.2
|
CEN-08-13
|
14.6
|
15.9
|
1.3
|
74
|
12.7
|
CEN-08-14
|
25.0
|
30.5
|
5.5
|
52
|
4.5
|
About the Centauro Property
The Centauro property is a block of six claims (1,420 hectares),
located in the southern part of Chihuahua
State, Mexico.
It is just north of the Durango State boundary and lies approximately 25
kilometres to the west of Highway 45, Mexico's main north-south
highway. The property is subject to an option agreement with a Mexican
geologist, whereby Silver Spruce can earn a 100% interest in the property
subject to a 3% NSR with a 2% buyback for US$2 million. Maps showing the
drilling locations on the Centauro property, plus the ODM letter report
and the QA / QC protocols can be viewed on the company website
www.silverspruceresources.com.
All
analyses were carried out at the Activation Laboratories (Actlabs)
facility in Ancaster,
Ontario. The core samples
were sawed, under company supervision, at the field office in Jiminez, Chihuahua
State. One half of the core was sampled, mainly at one to three meter
intervals, and sent to Minerales Laboratory S.A. de C.V. in Mazatlan for sample
preparation, as approved by Actlabs. Pulps were forwarded to Actlabs in
Ancaster for analysis. The samples were analyzed either by fire assay
(one assay tonne) or neutron activation techniques for gold plus an ICP
technique for other elements. Every twenty-fifth sample was also analyzed
by fire assay (one assay tonne) for gold and an atomic absorption
technique for silver at the Minerales Laboratory in Mazatlan for quality assurance/quality
control (QA/QC) purposes. A QA/QC program is in place to increase
confidence in the results generated.
ABOUT SILVER
SPRUCE
Silver Spruce is a junior
exploration company with precious and base metal projects such as the
Centauro gold/silver project in Mexico, the Calvin's Landing gold project
in central Newfoundland and two base metal projects in central and
western Newfoundland. Originally focused on uranium in the Central
Mineral Belt (CMB) of Labrador, Canada, SSE's interest in more than
12,000 claims totaling more than 3,000 square kilometers, makes the
company the second largest landholder in one of the world's premier
emerging uranium districts where it is well positioned to take advantage
of a resurgence in uranium prices. Strong financial backing makes Silver
Spruce a leading explorer in Canada and Mexico.
This release has been approved
by Peter Dimmell, P.Geo., Vice President of Exploration, Silver Spruce
Resources Inc., who is a Qualified Person (QP) as defined in National
Instrument 43-101.