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Re: News Release - Monday, October 24, 2011
Gold Canyon Intersects 106 Meters at 3.36 Grams Per Tonne Gold at
Springpole Gold Project
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NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S.
NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES
Gold Canyon Resources Inc. (GCU: TSX-V) ("Gold Canyon" or "the
Company") is pleased to announce that hole SP11-077 has intersected 106
meters at 3.36 grams per tonne gold (348 feet at 0.098 oz per ton gold)
including 28 meters at 10.10 grams per tonne gold (92 feet at 0.295 oz
per ton gold) at its 100% controlled Springpole Gold Project, located
110 kilometers northeast of the Red Lake Mining Camp, Ontario, Canada.
This hole confirms that the Portage Zone exhibits a high grade core on
the 0+800 meter section.
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Diamond drill hole SP11-077 intersected 106 meters at 3.36 grams per
tonne gold (348 feet at 0.098 oz per ton gold) including 28 meters at
10.10 grams per tonne gold (92 feet at 0.295 oz per ton gold), one of
the longest higher grade intersections yet drilled on the Portage Zone.
This vertical infill hole tested the mid section of the Portage Zone on
the 0+800 meter section. In addition to this high grade interval,
SP11-077 also intersected 77 meters at 0.73 grams per tonne gold (253
feet at 0.021 oz per ton gold) starting at the bedrock interface below
the lake bottom demonstrating continuity of mineralization to surface.
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Diamond drill hole SP11-076 was drilled at an azimuth of 220 degrees
true north and an inclination of -45 degrees on the 0+650 meter
section. A 121 meter interval at 0.70 grams per tonne gold (397 feet at
0.02 oz per ton gold) was encountered beginning at just 28 meters down
hole depth, or a true vertical depth of just 20 meters. This interval
of mineralization effectively connects the Portage and East Extension
Zones in the near-surface environment.
"Hole SP11-077 gives our first indication that a higher grade core of
the Portage Zone is present near the northwest end of the porphyry
body," states Dr. Quinton Hennigh, technical advisor and Director of
Gold Canyon. "We have seen similar mineralization a few hundred meters
further southeast, and we are hopeful that as our infill program
progresses, we will see continuity of this higher grade core continue.
We are also quite pleased that hole SP11-076 demonstrates near-surface
mineralization between the Portage and East Extension Zones. This adds
a significant volume of mineralized rock to the overall picture."
Table has been removed, News Release has been truncated; please view
entire News Release at:
http://www.goldcanyon.ca/i/pdf/nr24oc11.pdf
View map at:
http://www.goldcanyon.ca/i/pdf/nr24oc11_GCU-Springpole_Map_8x11.pdf
Core was logged then split using
Diamond saws with one half sent for
analyses and the other half stored for future reference. Quality
control programs include the use of field and laboratory duplicates,
standards, blanks, and internal and external check assaying. Certified
sample standards were submitted with the normal sample stream. Gold and
silver assays were completed by SGS Canada Inc. in Red Lake and
Toronto, Ontario using a 30 gram charge, fire assay, with an ICP
finish. For over limit assay results, initial assays in excess of 10.0
grams per tonne Au, a gravimetric finish is utilized.
Operational Update
Two barge-based and two land-based drills are currently operating on
site and will continue through freeze-up, likely in early November.
Approximately 12,000 meters of core have been drilled so far this
summer, and it is expected that the drills should produce around 14,000
meters of core, in excess of the 12,000 meters that was originally
planned. Holes drilled this summer are expected to allow the Company to
revise the 43-101 compliant resource estimate for the deposit sometime
late in 2011.
About Springpole
Springpole is an alkaline intrusion hosting a gold system that
represents a potentially new style of Canadian Archean Shield gold
deposit. The Portage zone is hosted by a trachytic porphyry intrusion
displaying polyphase autolithic breccias that host gold mineralization.
Other zones, including the East Extension and Main, consist of
high-grade veins and pods hosted in diatreme breccias composed of
intrusive and country rock fragments. These breccias surround the
northwest and northern margins of the Portage Zone. The known
mineralized zones underlie a total known area of about 4 square
kilometers representing only about 15 percent of the greater alkaline
intrusive complex which remains yet to be explored.
Quinton Hennigh, Ph.D., P.Geo. and Alan Roberts, M.Sc., P.Geo. are the
Qualified Persons pursuant to National Instrument 43-101 responsible
for, and have reviewed and approved, the technical information
contained in this news release. Dr. Hennigh is acting as a technical
adviser to Gold Canyon and Alan Roberts is the Senior Geologist of
Alaska Earth Sciences, Inc. and Project Manager at Springpole.
About Gold Canyon Resources Inc.:
Gold Canyon is engaged in the acquisition and exploration of mineral
and precious metals properties. The Company controls a 100% interest in
the Springpole Gold - Horseshoe Island Gold, Platinum, Palladium
Project and Favourable Lake Poly-metallic property currently under
option to Guyana Frontier Mining Corp. pursuant to an option and joint
venture agreement entered into in December 2005 - all in the Red Lake
Mining District of Ontario, Canada.
Through its wholly owned U.S. subsidiary, Gold Canyon Resources USA
Inc., the Company controls a 100% interest in the Cordero Gallium
Project situated in Humboldt County, Nevada, U.S.A.
Gold Canyon entered into a Joint Exploration Agreement with the Japan
Oil, Gas and Metals National Corporation (JOGMEC) in January 2009.
Additional information can be found on the Company's website:
www.goldcanyon.ca
Akiko Levinson,
President & Director
For further information, please contact:
Tel: (604) 682-3234 Toll free: 1 (888) 242-3234 Fax: (604)
682-0537 info@goldcanyon.ca
Investor Relations: Leo Karabelas, Tel: (416) 543-3120 Email:
leo@frontlineir.com
This news release contains statements that constitute "forward looking
statements" within the meaning of the United States Private Securities
Litigation Reform Act of 1995 or "forward looking information" within
the meaning of applicable Canadian provincial securities legislation
(collectively, "forward-looking statements"). Forward-looking
statements often, but not always, are identified by the use of words
such as "seek", "anticipate", "believe", "plan", "estimate", "expect",
"targeting" and "intend" and statements that an event or result "may",
"will", "would", "should", "could", or "might" occur or be achieved and
other similar expressions. Forward-looking statements in this news
release include statements regarding the timing and nature of
permitting studies, the timing and nature of infrastructure
developments and construction, projections of future optimization,
production timeline targets, the timing of negotiations with third
parties, and the timing and nature of future exploration programs which
are dependent on projections which may change as drilling continues, or
if unexpected ground conditions are encountered. In addition, areas of
exploration potential are identified which will require substantial
drilling to determine whether or not they contain similar
mineralization to areas which have been explored in more detail. The
description of the extent of mineralized zones is not intended to imply
that any economically mineable estimate of reserves or resources exists
on any of Gold Canyon's projects.
The forward-looking statements that are contained in this news release
are based on various assumptions and estimates by Gold Canyon and
involve a number of risks and uncertainties. As a consequence, actual
results might differ materially from results forecast or suggested in
these forward-looking statements. Forward-looking statements involve
known and unknown risks, uncertainties, assumptions and other factors
that may cause the actual results, performance or achievements of Gold
Canyon to be materially different from any future results, performance
or achievements expressed or implied by the forward-looking statements.
Factors that could cause the actual results to differ include; risks
relating to fluctuations in the price of gold; the inherently hazardous
nature of mining-related activities; uncertainties concerning resource
estimates; results of exploration, availability of capital and
financing on acceptable terms, inability to obtain required regulatory
approvals, unanticipated difficulties or costs in any rehabilitation
which may be necessary, market conditions and general business,
economic, competitive, political and social conditions. These
statements are based on a number of assumptions, including assumptions
regarding general market conditions, timing and receipt of regulatory
approvals, the ability of Gold Canyon and other relevant parties to
satisfy regulatory requirements, the availability of financing for
proposed transactions and programs on reasonable terms and the ability
of third-party service providers to deliver services in a timely
manner. Although Gold Canyon has attempted to identify important
factors that could cause actual results to differ materially from those
expressed or implied in forward-looking statements, there may be other
factors which cause actual results to differ. Forward-looking
statements contained herein are made as of the date of this news
release and Gold Canyon disclaims any obligation to update any
forward-looking statements, whether as a result of new information,
future events or results or otherwise, except as required by applicable
securities laws. There can be no assurance that forward-looking
statements will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
statements. Accordingly, readers should not place undue reliance on
forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this news
release.
View News Release in PDF:
http://www.goldcanyon.ca/i/pdf/nr24oc11.pdf
1797 KB in size, approx. 5 minutes, 36 seconds to download at 56.6Kbps
View Map:
http://www.goldcanyon.ca/i/pdf/nr24oc11_GCU-Springpole_Map_8x11.pdf
1790 KB in size, approx. 5 minutes, 34 seconds to download at 56.6Kbps
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Copyright (c) 2011 GOLD CANYON RESOURCES INC. (GCU) All rights
reserved. For more information visit our website at
http://www.goldcanyon.ca/ or send mailto:info@goldcanyon.ca
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