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Golden Reign Resources Ltd. (the
"Company" or "Golden Reign")(TSX VENTURE:GRR - News) is pleased to report
final assay results from the 2010 drill program conducted at its San
Albino-Murra Gold Property (the "Property"), Nicaragua.
A total of five diamond drill holes were
completed at the Arras prospect, located approximately 450 metres southeast
of the San Albino Mine. Drill holes AR10-01, AR10-03, AR10-04 and AR10-05 all
intersected the Arras zone mineralization, with the best intercepts
returning:
-- AR10-01 1.15m of 31.15 g/t gold and 83.6 g/t silver
-- AR10-03 2.14 metres of 21.43 g/t gold and 47.3 g/t silver
Drilling at Arras has confirmed
high-grade, near surface mineralization. The silver to gold ratio is roughly
2:1 at Arras, as compared to the 1:1 silver to gold ratio received from
drilling at the San Albino Mine.
A cross-section running from San Albino
drill hole SA10-06 to the Arras surface showing
indicates that the Arras mineralized zone can be traced 450 metres down dip.
The Arras zone, which has already been traced for 200 metres along strike, is
open in both directions and down dip. The third intersection in drill hole
SA10-06, which returned 4.0 metres of 13.67 g/t gold and 31.41 g/t silver
including 0.8 metres of 42.28 g/t gold and 123.0 g/t silver, and the Arras
mineralization are not only visually similar but also chemically similar in
that the silver to gold ratio is approximately 2:1. A copy of the
cross-section is included below and is available on the Company's website at
www.goldenreignresources.com.
Large, regional shear zones host the
mineralized zones and are responsible for continuity of both grade and
thickness within the mineralized zones.
The Arras drill program was designed to
compare the grades and thicknesses achieved by core drilling against those
received by reverse circulation drilling. Drilling by the previous operator
was mainly done by Reverse-Circulation (RC) drilling, which tends to average
grades over longer length of intersection. The Company twinned RC holes which
carried significant values and thickness of gold mineralization.
AR10-01 (130/90) - 85.50 metres
From 80.77m to 81.40m - 3.23m of 12.08 g/t Au and 32.41 g/t Ag
Including: From 82.10m to 83.25m - 1.15m of 31.15 g/t Au and 83.6 g/t Ag
------------------------------------------------------------------------
Sample No. From (m) To (m) Length (m) Gold (g/t) Silver(g/t)
------------------------------------------------------------------------
172298 80.77 81.40 0.63 2.58 8.9
------------------------------------------------------------------------
172299 81.40 82.10 0.70 0.09 2.7
------------------------------------------------------------------------
172300 82.10 83.25 1.15 31.51 83.6
------------------------------------------------------------------------
172301 83.25 84.00 0.75 1.47 1.4
------------------------------------------------------------------------
Drill hole
AR10-01 twinned reverse circulation hole SARC021, which was drilled by the
prior operator and intersected 4.0 metres of 16.3 g/t gold.
AR10-02 (130/60) - 90.83 metres
Drill hole AR10-02 was collared in the
same location as AR10-01; however, due to drilling difficulties encountered
the hole was terminated before it reached the mineralized zone.
AR10-03 (130/90) - 21.34 metres
From 1.52m to 4.88m - 3.36 metres of 15.79 g/t Au and 36.70 g/t
Ag
Including: From 2.74m to 4.88m - 2.14 metres of 21.43 g/t Au and 47.3 g/t Ag
------------------------------------------------------------------------
Sample No. From (m) To (m) Length (m) Gold (g/t) Silver (g/t)
------------------------------------------------------------------------
172350 0.00 1.52 1.52 0.16 14.8
------------------------------------------------------------------------
172351 1.52 2.74 1.22 5.90 18.1
------------------------------------------------------------------------
172352 2.74 4.88 2.14 21.43 47.3
------------------------------------------------------------------------
And 2.13 metres of 5.55 g/t Au and 14.14 g/t Ag
Including: 1.22 metres of 8.78 g/t Au and 21.1 g/t Ag
------------------------------------------------------------------------
Sample No. From (m) To (m) Length (m) Gold (g/t) Silver (g/t)
------------------------------------------------------------------------
172355 7.92 9.14 1.22 8.78 21.1
------------------------------------------------------------------------
172357 15.85 16.76 0.91 1.22 4.8
------------------------------------------------------------------------
Drill hole
AR10-03 twinned reverse circulation hole SARC013 which returned 4 metres of
28.2 g/t gold when drilled by the prior operator.
AR10-04 (130/55) - 25.91 metres
From 6.10m to 16.76m - 10.66 metres of 4.67 g/t Au and 15.72
g/t Ag
Including: From 7.62m to 10.67m - 3.05 metres of 10.92 g/t Au and 26.60
g/t Ag
------------------------------------------------------------------------
Sample No. From (m) To (m) Length (m) Gold (g/t) Silver (g/t)
------------------------------------------------------------------------
172361 6.10 7.62 1.52 3.11 32.8
------------------------------------------------------------------------
172362 7.62 10.67 3.05 10.92 26.6
------------------------------------------------------------------------
172363 10.67 13.72 3.05 3.11 6.7
------------------------------------------------------------------------
172364 13.72 16.76 3.04 0.74 5.3
------------------------------------------------------------------------
Drill hole AR10-04 had very poor core
recovery. Samples were taken between footage blocks.
AR10-05 (132/55) - 21.34 metres
From 0.00m to 1.83m -- 1.83 metres of 1.63 g/t Au and 11.3 g/t Ag
And: From 2.20m to 12.72m - 1.52 metres of 3.61 g/t Au and 9.5 g/t Ag
------------------------------------------------------------------------
Sample No. From (m) To (m) Length (m) Gold (g/t) Silver (g/t)
------------------------------------------------------------------------
172365 0.00 1.83 1.83 1.63 11.3
------------------------------------------------------------------------
172366 1.83 2.44 0.61 0.22 7.1
------------------------------------------------------------------------
172377 12.20 13.72 1.52 3.61 9.5
------------------------------------------------------------------------
Drill hole AR10-05 also had poor core
recovery.
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, President & CEO
To view the map accompanying this press
release please visit the following link: http://media3.marketwire.com/docs/GRRMap129.pdf
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.
President & CEO
(604) 685-4655 or Toll Free: 1-888-685-4655
(604) 685-4675 (FAX)
www.goldenreignresources.com |