Gold Canyon Resources Inc.

Gold Canyon Resources Inc.

July 13, 2010 09:01 ET

Gold Canyon Announces Drilling Has Begun at Springpole Gold Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 13, 2010) - Gold Canyon Resources Inc. (TSX VENTURE:GCU)(PINK SHEETS:GDCRF) ("Gold Canyon" or "the Company") is pleased to announce that its Summer 2010 drill program has begun at its 100% controlled Springpole Gold Project, located in the Red Lake Mining District in Ontario, Canada.

Two diamond drills began drilling on July 8. Over the summer, approximately 6,000 meters are planned to be drilled on the Project as part of a continuing campaign to move Springpole Gold Project forward (please visit the following link to view the map: Following its comprehensive review of the Project in 2009, the Company believes it has a much more complete understanding of the deposit and potential for significant increase in size. Through the three staged exploration program, the Company is fast-tracking work to advance the Project towards a prefeasibility study.

Phase I was drilled during the Winter of 2010 and filled several critical gaps within the Portage and Camp zones where historic drilling encountered broad, shallow intercepts of gold mineralization associated with an alkaline porphyritic intrusion.

The present Phase II drill program has three goals:

  1. Demonstrate extensions and continuity of the Portage Zone to the southeast and at depth. Results from the Portage Zone, from Winter 2010, include 64.0 meters @ 3.30 grams per tonne gold (209.9 feet @ 0.096 oz per ton gold) in hole SP10-002 and 55.0 meters @ 2.21 grams per tonne gold (180.4 feet @ 0.065 oz per ton gold) in hole SP-005. If successful, step-out holes will extend this zone of porphyry-style mineralization to an overall length of nearly one kilometer and to depths of greater than 250 meters. Additional holes will test continuity of this zone in areas of past drilling.

  2. Demonstrate extensions of the high grade East Zone including a drill "gap" between the East Extension and Portage Zones.

  3. Fill gaps between the high grade Main Zone and porphyritic-style Portage Zone.

Phase III is planned during the Winter 2010-11.

"If holes testing extensions of the Portage Zone are successful, we will be able to demonstrate that the gold system at Springpole is much larger than previously perceived," states Quinton Hennigh, geologic advisor to Gold Canyon. "We have a first rate team on the ground and are very excited to get back to drilling."

Quinton Hennigh, Ph.D., P.Geo., is the Qualified Person pursuant to National Instrument 43-101 responsible for, and has reviewed and approved, the technical information contained in this news release. Dr. Hennigh is acting as a technical advisor to Gold Canyon.

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 Shoreham Resources Inc. 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:

Akiko Levinson, President & Director

Certain statements contained in this news release using the terms "may", "expects to", "project", "estimate", "plans", and other terms denoting future possibilities, are forward-looking statements in respect to various issues including upcoming events based upon current expectations which involve risks and uncertainties that could cause actual outcomes and results to differ materially. The future conduct of the Company's business and the feasibility of its mineral exploration properties are dependent upon a number of factors and there can be no assurance that the Company will be able to conduct its operations as contemplated and the accuracy of these statements cannot be guaranteed as they are subject to a variety of risks that are beyond our ability to predict or control and which may cause actual results to differ materially from the projections or estimates contained herein. The risks include, but are not limited to, the risks described in the above press release; those risks set out in the company's disclosure documents and its annual, quarterly and current reports; the fact that exploration activities seldom result in the discovery of a commercially viable mineral resource and are also significant amounts of capital to undertake and the other risks associated with start-up mineral exploration operations with insufficient liquidity, and no historical profitability. The Company disclaims any obligation to revise any forward looking statements as a result of information received after the fact or regarding future events.

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.

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