November 27, 2012: Vancouver, British Columbia: Gold Reach Resources Ltd. (GRV: TSX-V) (Gold Reach and/or the Company) is pleased to announce that assay results for holes S12-130 to S12-132 at the company’s 100% owned Ootsa Property located adjacent to the producing Huckleberry Mine south of Smithers, British Columbia, have been received. The expanded 2012 drill program has been completed as scheduled and the drills are being demobilized from the project.
HIGHLIGHTS
- The Ootsa Drill program has been completed - A total of 45,147 meters has been drilled during 2012.
- Additional Higher Grade Intercepts - Hole S12-130 intersects 312 metres of 0.58% copper equivalent including 138 metres of 0.80% copper equivalent.
- Ootsa Property Expanded - The Company has staked an additional 22,874.5 hectares to the east and south of the Ootsa claims, bringing the total claim size to 45,601 hectares.
- Results of final 25 Holes Pending -Results from 14 additional holes at West Seal, 8 holes at Ox and 3 holes from new exploration target are pending and expected through December and early January.
Hole S12-130 was located on the west end of the West Seel zone and drilled toward the east. The hole intersected 312 metres grading 0.29% copper, 0.17 g/t gold, 0.035% molybdenum, and 3.30 g/t silver (0.58% copper equivalent) from 346 to 658 metres depth, including 138 metres grading 0.38% copper, 0.22 g/t gold, 0.057% molybdenum, and 3.99g/t silver (0.80% copper equivalent) from 444 to 582 metres depth.
Summary of select drill intercepts - Holes S12-130 to 132
| Drill Hole |
From (m) |
To (m) |
Width (m)* |
Cu % |
Au g/t |
Mo % |
Ag g/t |
Cu Eq.%** |
|---|---|---|---|---|---|---|---|---|
| S12-130 | 346.0 | 658.0 | 312.0 | 0.29 | 0.17 | 0.035 | 3.30 | 0.58 |
| including | 444.0 | 582.0 | 138.0 | 0.38 | 0.22 | 0.057 | 3.99 | 0.80 |
| S12-130 | 856.0 | 868.7 EOH | 12.7 | 0.33 | 0.22 | 0.016 | 0.29 | 0.57 |
| S12-131 | 172.0 | 621.8 EOH | 449.8 | 0.16 | 0.08 | 0.014 | 1.92 | 0.29 |
| S12-132 | 174.0 | 204.0 | 30.0 | 0.19 | 0.07 | 0.004 | 5.45 | 0.30 |
| S12-132 | 234.0 | 266.0 | 32.0 | 0.15 | 0.08 | 0.016 | 4.25 | 0.31 |
| S12-132 | 302.0 | 606.6 | 304.6 | 0.19 | 0.11 | 0.017 | 2.64 | 0.36 |
*Width refers to drill hole intercepts, true widths have not been determined.
**Cu Eq. (copper equivalent) has been used to express the combined value of gold, copper, silver, and molybdenum as a percentage of copper, and is provided for illustrative purposes only. No allowances have been made for recovery losses that may occur should mining eventually result. Calculations use metal prices of US $2.50/lb copper, $1200/oz gold, $15/oz silver, and $10/lb molybdenum using the formula CuEq.% = Cu% + (Au g/t x 0.701) + (Mo% x 4.01) + (Ag g/t x 0.0087).
Holes S12-131 and 132 were both collared on the west edge of the West Seel zone, near the center of the deposit. Both encountered long intervals of mineralization as summarized in the table above.
The 2012 drill program is now complete and the drills are being demobilized from the project and the camp prepared for shutdown.
Dr. Shane Ebert, President of the company stated, “The 2012 exploration program has been extremely successful in achieving three main goals which were to expand the new West Seel discovery, evaluate the expansion potential of the Ox porphyry, and identify new exploration targets. The West Seel zone has proven to be large enough and contains high enough grades that the original 20,000 metre drill program was expanded to over 45,000 metres to allow the Company to adequately delineate the extents of the deposit. A new resource for West Seel will be calculated once all of the drill results are in. Drilling at the Ox deposit has given us a much better understanding of the geometry and controls on that zone of near surface mineralization, and again we are seeing potential to increase the resources. Several new exploration targets have been identified through geophysical surveying, soil sampling, and surface mapping, giving the company several high priority drill targets to test in 2013. The success of the 2012 exploration has prompted the company to significantly increase its land holdings. The Company has staked an additional 22,874.5 hectares to the east and south of the Ootsa claims, bringing the total claim size to 45,601 hectares.”
An updated resource estimates for the Seel-West Seel and Ox deposits will be undertaken in January once all the assay date for the 2012 drilling program has been received.
An updated drill hole location map can be found in the map gallery on our website at http://goldreachresources.com/media/map-gallery.
Drilling Update
Drilling is complete and all 3 drills are being demobilized. During 2012 a total of 46 holes have been drilled at West Seel (holes S12-101 to 146), 18 holes have been drilled at Ox (Ox12-27 to 44), and 3 holes have been drilled into a large geophysical anomaly located 4.5 kilometres northeast of the West Seel discovery (OxE12-1 to 3). All holes have now been logged and sent to the lab for assay. At West Seel assay results have been received and released for holes S12-101 to 132 and at Ox results have been received and released for holes Ox12-27 to 36. Results for the remaining 25 holes are expected within the next 4 to 6 weeks.
The goal of the 2012 drill program has been to delineate the West Seel Porphyry and test the expansion potential of the Ox deposit. The Company is well financed with over $2.4 million dollars in the treasury and holds a 2% NSR covering 23,000 hectares of mining claims located adjacent to the Blackwater Gold deposit in central British Columbia. Additional information is available on our website at www.goldreachresources.com.
About Gold Reach Resources
Gold Reach Resources Ltd. has made an important new and strategic Copper Gold Molybdenum discovery on its 100% held Ootsa Property located adjacent to the 16,000 tonne per day Huckleberry Mine currently producing Cu Au and Mo in central BC.
Gold Reach’s Ootsa property is an advanced stage exploration project containing the Seel and Ox porphyry systems both with compliant resource estimates (details below) wide open for expansion. The Company has recently added the discovery of the West Seal Porphyry where Drill hole S12-118 encountered 128 metres grading 1.01% Cu Eq. consisting of 0.43% Cu, 0.33 g/t Au, 0.076% Mo and 4.76 g/t Ag within a much larger interval of 537 metres grading 0.65% Cu Eq. consisting of 0.27% Cu, 0.19 g/t Au, 0.055% Mo, and 2.69 g/t Ag. The Seel porphyry contains a NI 43-101 compliant resource containing 214.78 million tonnes grading 0.33% Cu Eq. consisting of 0.17% Cu, 0.13 g/t Au, 0.017% Mo, and 2.17 g/t Ag in the inferred category plus an additional 28.13 million tonnes grading 0.40% Cu Eq. consisting of 0.22% Cu and 0.21 g/t Au in the indicated category. The Ox porphyry, located 4 km northeast of Seel, contains a NI43-101 compliant resource containing 16 million tonnes grading 0.3 % Cu and 0.04% Mo in the inferred category.
Quality Control
All drill core is logged, photographed, and cut in half with a diamond saw. Half of the core is bagged and sent to SGS Mineral Services for analysis (which is an ISO 9001 and ISO/IEC 17025 certified lab), while the other half is archived and stored on site for verification and reference purposes. Gold is assayed by standard fire assay methods with 34 additional elements analyzed by Induced Coupled Plasma (ICP) utilizing a 4-acid digestion. Duplicate samples, blanks, and certified standards are included with every sample batch and then checked to ensure proper quality assurance and quality control.
Dr. Shane Ebert P.Geo., President of the Company, is the Qualified Person for the Ootsa project as defined by National Instrument 43-101 and has approved the technical disclosure contained in this news release.
“Shane Ebert”
Shane Ebert, President/Director
For Further information, please contact:
Telephone: 604-718-5454
S. Ebert direct line: 250 964-2699
Toll Free: 888-500-4587
Or
Envoy Strategic Partners Jay Bedard
t 416-977-7778
jay@envoystrategicpartners.com
www.envoystrategicpartners.com
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 release.
Safe Harbour Statement: The Company relies upon litigation protection for “forward-looking statements.” The Company undertakes no obligation to update these forward- looking statements in the managements beliefs, estimates obligations or other factors should change.