VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 1, 2013) - Gold Reach Resources Ltd. (TSX VENTURE:GRV) (Gold Reach and/or the Company) announces that as a result of a review by the British Columbia Securities Commission, we are issuing the following news release to clarify our disclosure.
On various maps, figures, text, and tables in the Company's Investor Presentations dated August 22 and April 10 2013, on our Executive Summary, and on a 4 page summary fact sheet, mineral resources were disclosed without all the necessary information required by sections 3.4 (a), (c), and (d) of National Instrument 43-101 (NI 43-101). For example in some disclosure of mineral resources for the Seel and Ox deposits the effective date was not posted, the quantity, grade, and resource categories were not always clearly stated, and the following statement was missing:
"Mineral resources are not mineral reserves and by definition do not demonstrate economic viability. There is no certainty that all or any part of the mineral resource will be converted into mineral reserves. An 'Indicated Mineral Resource' is that part of a Mineral Resource for which quantity, grade or quality, densities, shape and physical characteristics can be estimated with a level of confidence sufficient to allow the appropriate application of technical and economic parameters, to support mine planning and evaluation of the economic viability of the deposit. An 'Inferred Mineral Resource' is that part of a Mineral Resource for which quantity and grade or quality can be estimated on the basis of geological evidence and limited sampling and reasonably assumed, but not verified."
Historical estimates for the Damascus vein have been shown on maps in company disclosure as "196,000t @ 411 g/t Ag, 7% Pb + Zn (Non-compliant)", whereas they should have been labelled:
"196,000t @ 411 g/t Ag, 7% Pb + Zn. These resources are historical and are not compliant with NI 43-101. They were estimated for Lansdowne Oil and Minerals in a 1984 company report titled Review of 1982-83 Exploration Lean-To and Panther Groups of Mineral Claims Tahtsa Lake Area Omineca Mining Division BC. The historical estimate was done using a cross sectional method based on drill holes and additional drilling is required to verify the historical estimate. A qualified person has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves and Gold Reach is not treating the historical estimate as current mineral resources or mineral reserves."
A four page summary fact sheet for the Company had copper equivalent grades presented without the individual grade of each metal used to establish the copper equivalent grade. For proper disclosure of copper equivalent grades investors are referred to any one of our recent news releases announcing drill results from the Ox or Seel deposits where all metal values used in the calculations are presented and the assumptions used in the calculations are provided.
In addition, the Company did not file Consents of Qualified Persons for the technical report dated February 19, 2013, Titled "Mineral Resource Estimate for the Seel and Ox Deposits, Gold Reach Resources Ltd., Ootsa Property" as required by section 8.3 of NI 43-101. These Consents have now been filed on Sedar.
All materials with inappropriate disclosure have been removed from the Company's website.
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 managements beliefs, estimates obligations or other factors should change.