Grayd Resource Corporation

Grayd Resource Corporation
Gold Reach Resources Ltd.

Gold Reach Resources Ltd.

February 10, 2005 08:30 ET

Grayd and Gold Reach Announce Successful Conclusion to Initial Drill Program on Seel; Last Hole Extends Copper-Gold Discovery


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: GRAYD RESOURCE CORPORATION

TSX VENTURE SYMBOL: GYD

AND GOLD REACH RESOURCES LTD.

TSX VENTURE SYMBOL: GRH

FEBRUARY 10, 2005 - 08:30 ET

Grayd and Gold Reach Announce Successful Conclusion to
Initial Drill Program on Seel; Last Hole Extends
Copper-Gold Discovery

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 10, 2005) - Grayd
Resource Corporation (TSX VENTURE:GYD) and Gold Reach Resources Ltd.
(TSX VENTURE:GRH) are pleased to announce assay results from the last
hole of their highly successful initial drill program on the Seel
property in central British Columbia. Hole S05-9 intersected 104.9 m
grading 0.27% Cu and 0.20 g/t Au (including 74.9 m grading 0.30% Cu and
0.23 g/t Au). Hole S05-9 was collared 100 metres southeast of discovery
hole S04-4 (148 m grading 0.29% Cu and 0.27 g/t Au) and 120 m south of
hole S05-8 (102.1 m grading 0.44% Cu and 0.48 g/t Au).

S05-9 was drilled in the same location as S05-7 which was lost due to
drilling problems shortly after reaching bedrock. Four holes have now
been completed to depth in the newly discovered copper-gold porphyry
system (holes, 3, 4, 8 and 9). All have continuous mineralization over
extensive widths as summarized in the attached table. Copper-gold
mineralization has now been defined over an area 160 metres in an NW-SE
direction and 100 metres along strike in a NE-SW direction and is open
in all directions. The 1.2 km long, still open, IP anomaly shows
potential for a large deposit.

This first phase of diamond drilling at Seel is now finished with nine
holes totalling 1,630 metres. All but one of the nine holes had
significant intersections, a high success ratio for an initial drill
program. The new copper-gold porphyry discovery provides the best target
for immediate follow-up. However, there are numerous other areas of
potential on the property which warrant comprehensive exploration,
including, but not limited to, further drilling around the
copper-molybdenum mineralization intersected in S04-6 and in the area of
the Seel Breccia. The IP anomaly remains open along strike and most of
the known 7 km long area on the property exhibiting extensive alteration
and sulphide mineralization remains virtually untested. The diamond
drill has been left on the property to allow a quick start to the next
phase of drilling.



Seel Property - Phase I Drilling - Significant Intercepts
-----------------------------------------------------------------------
Hole
Azi- Len-
muth Dip gth Inter-
(degr- (degr- (met- O/B From To val Cu Au Mo
Hole # ees) ees) res) (m) (m) (m) (m) (%) (g/t) (%)
-----------------------------------------------------------------------
S04-1 315 -50 210.3 3.1 29.0 53.0 24.0 0.40 0.04 -
-----------------------------------------------------------------------
S04-2 135 -50 182.9 4.6 43.4 46.4 3.0 0.60 0.03 -
-----------------------------------------------------------------------
and 49.2 68.5 19.4 0.51 0.05 -
-----------------------------------------------------------------------
S 04-3 315 -50 178.3 33.5 33.5 125.8 92.3 0.21 0.20 0.001
including 33.5 76.1 42.6 0.27 0.23 0.001
-----------------------------------------------------------------------
S 04-4 135 -70 182.9 35 35.0 182.9 147.9 0.29 0.27 0.001
-----------------------------------------------------------------------
S 04-5 -90 155.4 3.1 No significant mineralization
-----------------------------------------------------------------------
S 04-6 135 -50 185.9 9.2 119.0 122.0 3.0 0.43 0.11 0.034
------------------
Selected samples 138.5 140.0 1.5 0.50 0.08 0.023
only
-----------------------------------------------------------------------
S 05-7 -90 73.9 70.1 70.1 73.9 3.8 0.36 0.32 0.005
-----------------------------------------------------------------------
S 05-8 135 -60 222.6 18.3 18.3 178.0 159.7 0.35 0.42 0.001
-----------------------------------------------------------------------
including 18.3 120.4 102.1 0.44 0.48 0.001
-----------------------------------------------------------------------
including 58.9 111.4 52.5 0.53 0.56 less
than
0.001
-----------------------------------------------------------------------
and 178.0 199.5 21.5 0.18 0.18 less
than
0.001
-----------------------------------------------------------------------
S05-9 -90 239.9 70.1 70.1 175.0 104.9 0.27 0.20 0.005
-----------------------------------------------------------------------
including 70.1 145.0 74.9 0.30 0.23 0.005
-----------------------------------------------------------------------
O/B equals Overburden depth


The Seel property is located in central British Columbia 7 km away from
the operating 20,000 tonne per day Huckleberry open pit copper mine.
Huckleberry has 3.5 years of mine life remaining on a current reserve
quoted at 25 million tonnes remaining grading 0.51% Cu, 0.06 g/t Au and
0.014% Mo (information from Imperial Metals Corp. website).

Intersections for Holes 1 through 8 were previously reported in news
releases dated January 18, 2005 and February 04, 2005. The gold grades
in S05-8 are slightly higher than previously reported because gold assay
results were higher than original ICP/MS results. Assay results are
considered more reliable.

The diamond drill holes were drilled NQ diameter, except the top of the
holes through the breccia zone in holes S04-1 & 2, which were drilled HQ
diameter. Core was halved using a diamond rock saw to cut the core.
Half-core samples were sent to Acme Analytical Labs' facility in
Vancouver, British Columbia for sample preparation and analysis. All
samples underwent multi-element analysis by ICP/MS. The breccia zones in
holes S04-1 and 2, and all samples from hole S04-4, S05-7, S05-8 and
S05-9 were also assayed for gold and copper. Additional assaying is
being undertaken on samples from S04-6. A sample quality control/quality
assurance program is in place. The diamond drill program was under the
supervision of Hans Smit, P.Geo., Vice-President Exploration for Grayd
Resource Corporation, a qualified person under NI 43-101.

Gold Reach can earn a 61% interest in the Seel property by incurring
$1,000,000 in exploration expenditures before December 31, 2006. Once
Gold Reach has vested, Grayd has 60 days to elect to earn back 10% of
the interest by incurring the next $250,000 in exploration expenditures
(effectively forming a 51% Gold Reach - 49% Grayd Joint Venture). During
the earn-in period, Grayd is the operator.

A drill hole location map can be viewed on both companies' websites
along with additional information at www.grayd.com and
www.goldreachresources.com.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Grayd Resource Corporation
    Marc A. Prefontaine, M.Sc., P.Geo.
    President and CEO
    (604) 681-7446
    (604) 684-9877 (FAX)
    www.grayd.com
    or
    Freeform Communications Inc.
    (778) 371-9100 - ext 1220
    or
    Gold Reach Resources Ltd.
    Mike Sieb, B.Sc., MBA
    Director
    (604) 331-2263
    www.goldreachresources.com
    The TSX Venture Exchange has not reviewed and does not accept
    responsibility for the adequacy or accuracy of the content of this news
    release.