Gold Reach Resources Ltd.

TSX VENTURE : GRV


Gold Reach Resources Ltd.

January 27, 2014 08:00 ET

Gold Reach Announces Final Results from 2013 Drilling Including 177.4 Metres of 0.55% Copper Equivalent at East Seel

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Jan. 27, 2014) - Gold Reach Resources Ltd. (TSX VENTURE:GRV) (Gold Reach and/or the Company) is pleased to announce that assay results for holes S13-187 to 199 from the East Seel deposit and surrounding area have been received. The East Seel deposit is located adjacent to the Company's West Seel discovery, and both occur 4 kilometres south-southwest of the Company's Ox deposit. All 3 deposits occur on the Company's 100% owned Ootsa Property located south of Smithers British Columbia, adjacent to the operating Huckleberry Mine (copper producer).

HIGHLIGHTS

  • More Strong Mineralization at East Seel
    • Hole S13-188 intersected 177.4m of 0.55% copper equivalent from 40.6 to 218m depth, including 113.4m grading 0.61% copper equivalent.
    • Hole S13-195 intersected 60m of 0.50% copper equivalent from 154 to 214m depth.
    • Hole S13-198 intersected 128m of 0.46% copper equivalent from 86 to 214m depth.
  • Mineralization Encountered East of the East Seel Deposit
    • 4 holes were drilled 200m east of the East Seel deposit (Far East zone) and mineralization has been encountered.
    • Hole S13-189 intersected 28.2m of 0.42% copper equivalent from 118.8 to 147m depth.
    • Hole S13-192 intersected 8.6m of 1.08% copper equivalent from 213 to 221.6m depth.
    • Hole S13-194 intersected 46.4m of 0.30% copper equivalent from 56 to 102.4m depth.

The 2013 drilling program at the Ootsa project was focused on infilling and expanding higher-grade zones of near-surface mineralization at Ox, East Seel, and West Seel and was successful in achieving that goal. Results for all of the 2013 drill holes have been received and released.

East Seel Drill Results

An updated drill hole location map for the Seel deposit is available here http://goldreachresources.com/_resources/seel/images/Seel-drill-hole-location-map-Jan-2014.png, East Seel cross section 14.5 showing hole S13-188 is available here http://goldreachresources.com/_resources/seel/images/E-Seel-section-14-5.png, and East Seel cross section 14 showing holes S13-195 and 198 is available here http://goldreachresources.com/_resources/seel/images/E-Seel-section-14.png.

Hole S13-188 was a vertical hole and is shown on section 14.5. The hole intersected 177.4 metres grading 0.29% copper and 0.36 g/t gold (0.55% copper equivalent) from 40.6 to 218 metres depth, including 113.4 metres grading 0.32% copper and 0.40 g/t gold (0.61% copper equivalent) from 40.6 to 154 metres depth.

Holes S13-190 and 191 were drilled on East Seel section 13 and intersected several mineralized zones as summarized in the table below. Holes S13-195 and 198 were drilled on East Seel section 14. Hole S13-195 intersected 159 metres grading 0.23% copper and 0.20 g/t gold (0.40% copper equivalent) from 81 to 240 metres depth, including 60 metres grading 0.30% copper and 0.28 g/t gold (0.50% copper equivalent) from 154 to 214 metres depth. Hole S13-198 intersected 128 metres grading 0.26% copper and 0.26 g/t gold (0.46% copper equivalent) from 86 to 214 metres depth.

Holes S13-193, 196, 197, and 199 were drilled on or from East Seel section 12 and constrain the southwest end of the East Seel deposit. Results for these holes are summarized in the table below. Hole S13-197 was collared on the southwest side of the East Seel deposit and drilled toward the southwest, toward the West Seel deposit. Copper and gold grades are low and patchy in the hole but molybdenum grades are elevated, averaging 0.018% Mo over 234.6m from 58 metres to the end of the hole at 292.6 metres depth. Other holes in this area (S13-196 and 199) have also intersected significant molybdenum mineralization indicating a metal transition at the southwest end of the East Seel deposit, from a copper-gold association for the main East Seel zone into a molybdenum rich zone at the western edge.

Summary of select drill intercepts - East Seel Holes

Drill Hole From (m ) To (m ) Width (m)* Cu % Au g/t Ag g/t Mo % Cu Eq.%**
S13-188 40.6 218.0 177.4 0.29 0.36 1.22 - 0.55
including 40.6 154.0 113.4 0.32 0.40 1.37 - 0.61
S13-190 57.9 114.0 56.1 0.18 0.21 1.10 0.010 0.38
S13-191 54.9 134.0 79.1 0.15 0.12 1.43 0.005 0.27
S13-191 154.0 190.0 36.0 0.15 0.11 0.80 0.009 0.27
S13-195 81.0 240.0 159.0 0.23 0.20 1.13 0.004 0.40
including 154.0 214.0 60.0 0.30 0.28 1.27 - 0.50
S13-195 280.0 290.0 10.0 0.23 0.37 1.14 - 0.50
S13-196 50.0 90.0 40.0 0.20 0.12 1.41 0.021 0.38
S13-196 120.0 144.0 24.0 0.10 0.05 1.50 0.013 0.20
S13-196 236.0 260.0 24.0 0.10 0.06 0.57 0.043 0.32
S13-198 86.0 214.0 128.0 0.26 0.26 1.27 0.002 0.46
including 92.0 118.4 26.4 0.30 0.26 1.35 0.004 0.51
S13-199 178.0 210.0 32.0 0.20 0.11 1.24 0.013 0.34
* 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 copper, molybdenum, gold and silver 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 silver, and $10/lb molybdenum using the formula Cu Eq.% = Cu% + (Au g/t x 0.701) + (Ag g/t x 0.0087) + (Mo% x 4.01).

Far East Drill Results

Four holes were drilled 200 metres east of the East Seel deposit to further investigate narrow zones of mineralization first identified in 2006 and 2008 drilling. This zone is referred to as the Far East zone. Holes S13-187, 189, 192, and 194 were drilled into the Far East zone and results are summarised in the table below. Highlights include hole S13-189 which intersected 28.2 metres of 0.42% copper equivalent from 118.8 to 147 metres depth, hole S13-192 which intersected 8.6 metres of 1.08% copper equivalent from 213 to 221.6 metres depth, and hole S13-194 which intersected 46.4 metres of 0.30% copper equivalent from 56 to 102.4 metres depth. Hole S13-192 intersected a zone of high grade mineralization containing 8.6 metres grading 0.6% copper, 0.52 g/t gold, and 13.55 g/t silver (1.08% copper equivalent) from 213 to 221.6 metres depth. The hole also intersected a 25.9 metre interval grading 0.22 g/t gold, 6.62 g/t silver, and 0.66% zinc from 270 to 296 metres depth. This silver base-metal intersection has characteristics similar to silver base-metal mineralization seen at the Seel Breccia zone and elsewhere on the Ootsa property.

Summary of select drill intercepts - Far East Target East Seel Zone

Drill Hole From (m ) To (m ) Width (m)* Cu % Au g/t Ag g/t Mo % Cu Eq.%**
S13-187 146.0 152.0 6.0 0.16 0.31 1.53 - 0.39
S13-189 118.8 147.0 28.2 0.28 0.16 0.94 0.004 0.42
S13-192 60.0 104.8 44.8 0.15 0.11 0.78 0.006 0.26
S13-192 213.0 221.6 8.6 0.60 0.52 13.55 - 1.08
S13-192 270.0 296.0 25.9 0.04 0.22 6.62 -
S13-194 56.0 102.4 46.4 0.18 0.13 0.59 0.005 0.30
including 82.0 102.4 20.4 0.26 0.21 0.89 0.004 0.4
* Width refers to drill hole intercepts, true widths have not been determined. See table above for copper equivalent assumptions.

2013 Drilling Program

All of the results from the 2013 drilling program have been received and released. The program has successfully delineated and defined the East Seel deposit and outlined a near-surface high grade core. Drilling to the east of the East Seel deposit has intersected zones of mineralization that still remain open for exploration.

Several holes were drilled into the large West Seel deposit during 2013, and that zone remains open for expansion both near-surface and at depth. Hole S13-162 was drilled at the north edge of the West Seel deposit and intersected 26 metres grading 0.22% copper, 0.11 g/t gold, and 0.012% molybdenum (0.39% copper equivalent) starting at 50 metres depth, followed by another 305.2 metres grading 0.27% copper, 0.18 g/t gold, and 0.036% molybdenum (0.57% copper equivalent) starting at 144 metres depth (previously released). This zone of mineralization remains open to the north. West Seel also remains open to the south at depth, where the mineralized zone is 800 to 1000 metres wide.

A resource update on the East and West Seel deposits is expected shortly.

Additional information is available on our website at www.goldreachresources.com.

Core Display at the 2014 Cordilleran Round in Vancouver

Gold Reach is pleased to announce that it will display drill core and maps from the Ox and Seel deposits in the Core Tent at the 2014 Cordilleran Round Up located at the Westin Bayshore Vancouver, on Tuesday January 28th between 10 am and 5:30 pm.

About Gold Reach Resources

The Ootsa property is an advanced stage exploration project containing the Seel and Ox porphyry systems both with compliant resource estimates open for expansion. The Company has completed 134,878 metres of core drilling on the property, with 36,135 metres completed during 2013.

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 AGAT Laboratories 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 45 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, President/Director

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 event management's beliefs, estimates obligations or other factors should change.

Contact Information