SOURCE: Gold Resource Corporation

February 26, 2008 09:00 ET

Gold Resource Corporation Discovers New High-Grade Gold at Second Magnetic Anomaly Returning 1M of 48.3 g/t Gold Within 3M of 25.3 g/t Gold and 1857 g/t Silver at Its El Aguila Project

DENVER, CO--(Marketwire - February 26, 2008) - Gold Resource Corporation (GRC) (OTCBB: GORO) (FRANKFURT: GIH) is pleased to report discovery of a new area of high-grade gold mineralization returning 1 meter of 48.3 g/t gold (1.55 oz/tonne gold) within 3 meters of 77.33 g/t (2.49 oz/tonne) gold equivalent (AuEq). Assays for the entire hole have not yet been received. This new area, called "El Arroyo", was drilled to test the second geomagnetic anomaly located southeast of the La Arista high-grade vein deposit which itself was coincident with the first geomagnetic anomaly. El Arroyo and La Arista are part of GRC's El Aguila Project in the southern state of Oaxaca, Mexico. The El Aguila Project is targeting gold production the second half of 2008 subject to timely obtaining the balance of the required permits and regulatory approvals and subject to equipment delivery schedules.

El Arroyo drill highlights received to date include:

Hole # 108002 (-61 deg)

--  1 meter    of 48.30 g/t gold,  570 g/t silver, 0.44% copper, 0.70%
    lead, 2.97% zinc, (or a gold equivalent* value of 66.79 g/t (2.15
    oz/tonne)) within,
    
--  3 meters of 25.27 g/t gold, 1857 g/t silver, 1.37% copper, 1.85% lead,
    3.88% zinc, (or a gold equivalent* value of 77.33 g/t (2.49 oz/tonne))
    

Hole # 108002 drill results include:
Hole    Angle From   Interval  Au   Ag   Cu   Pb   Zn   AuEq*  AuEq*
#       (deg) Meters Meters   g/t   g/t   %    %    %   g/t   oz/tonne
------- ----- ------ -------- ----- ---- ---- ---- ---- ----- --------
108002    -61    199        1 16.20 2490 2.76 3.08 6.00 90.31     2.92
108002    -61    200        1 48.30  570 0.44 0.70 2.97 66.79     2.15
108002    -61    201        1 11.30 2510 0.91 1.77 2.68 74.32     2.39
Average                     3 25.27 1857 1.37 1.85 3.88 77.33     2.49
------- ----- ------ -------- ----- ---- ---- ---- ---- ----- --------

*(Gold Equivalent (AuEq) in chart using gold at $650/oz, silver at $14/oz,
copper at $3.10/lb, lead at $1.40/lb, zinc at $1.20/lb)
Assays by ALS Chemex, Vancouver, BC Canada

Gold Resource Corporation's president, William W. Reid stated, "It is very exciting for the first drill hole into this major, second magnetic anomaly to return one of the highest gold intercepts at the El Aguila Project. The first magnetic anomaly (see Nov. 13, 2007 press release) was found to be coincident with our most extensively mineralized area to date, La Arista. Now, drilling the second magnetic anomaly has resulted in these excellent high-grade gold and silver values. The success of these first two anomalies certainly gives the other, similarly strong, magnetic anomalies, interpreted by Zonge Engineering (see map), exploration significance and makes them priority targets."

The new El Arroyo area is 200 meters east southeast of the El Aire / La Arista area and becomes the most south-eastern mineralized area discovered to date along this important San Jose structural corridor. The San Jose structural corridor, which trends north 70 west, runs 4 kilometers through the El Aguila Project. GRC's El Aguila open pit deposit is located along this structure two kilometers northwest of the El Aire and La Arista deposits. The San Jose structural corridor is believed to be the main feeder zone for the deposits discovered to date at the El Aguila Project and the majority of this 4 kilometer structure has not yet been drilled.

The present drill program will continue to focus on and define the La Arista deposit's three high-grade parallel veins but will also target expanding the El Arroyo mineralization.

Mr. Reid continued, "We are pleased to have discovered, with Hole 108002, a new, high-grade gold area along the San Jose structural corridor with the help of our geophysical survey. With the El Aguila Project's three high grade deposits drilled to date, with the historically high prices for gold and silver, and with a schedule to be producing gold and silver in the second half of 2008, we believe Gold Resource Corporation presents a special opportunity for the gold investor. Gold Resource Corporation is on target to emerge as a low cost gold producer in 2008."

About GRC

Gold Resource Corporation is a mining company focused on production and pursuing development of gold and silver projects that feature low operating costs and produce high returns on capital. The Company has 100% interest in four potential high-grade gold and silver properties in Mexico's southern state of Oaxaca. The company has 34,156,952 shares outstanding and no warrants. For more information, please visit GRC's website, located at www.Goldresourcecorp.com and read the Company's 10-KSB for an understanding of the risk factors involved.

This press release contains forward-looking statements that involve risks and uncertainties. The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. When used in this press release, the words "plan", "target", "anticipate," "believe," "estimate," "intend" and "expect" and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements include, without limitation, the statements regarding Gold Resource Corporation's strategy, future plans for production, future expenses and costs, future liquidity and capital resources, and estimates of mineralized material. All forward-looking statements in this press release are based upon information available to Gold Resource Corporation on the date of this press release, and the company assumes no obligation to update any such forward-looking statements. Forward-looking statements involve a number of risks and uncertainties, and there can be no assurance that such statements will prove to be accurate. The Company's actual results could differ materially from those discussed in this press release. In particular, there can be no assurance that commercial production at the El Aguila Project will be achieved in the time frames estimated, at the rates and costs estimated, or even at all. Factors that could cause or contribute to such differences include, but are not limited to, those discussed in the company's 10-KSB and Form SB-2 filed with the Securities and Exchange Commission

Contact Information

  • Contact:
    Jason Reid
    VP / Corporate Development
    303-320-7708