Golden Reign Resources Ltd.
TSX VENTURE : GRR

Golden Reign Resources Ltd.

September 15, 2011 16:31 ET

Golden Reign Resources Drills 12.0 Metres of 16.37 g/t Gold and 23.45 g/t Silver at San Albino-Murra Property, Nicaragua

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 15, 2011) - Golden Reign Resources Ltd. (the "Company" or "Golden Reign") (TSX VENTURE:GRR) is pleased to announce the results of eleven diamond drill holes from the ongoing 2011 exploration program at the San Albino-Murra Project, Nicaragua. To date, the Company has completed 7,289 metres of diamond drilling in 27 holes, with drilling expected to continue throughout 2011.

The 2011 drill program was designed to expand upon the highly successful 2010 drill program, further defining the strike and down dip extent of mineralized structures, including the San Albino and Arras zones. Highlights include:

  • 12.0 metres of 16.37 g/t Au and 23.45 g/t Ag - intercept of Arras vein in hole SA11-18; including
    • 7.0 metres of 22.92 g/t Au and 32.43 g/t Ag; including
      • 1.5 metres of 46.70 g/t Au and 36.57 g/t Ag

and

    • 2.5 metres of 14.34 g/t Au and 21.66 g/t Ag

and

  • 7.0 metres of 12.28 g/t Au and 27.87 g/t Ag - intercept of Arras vein in hole SA11-20; including
    • 1.5 metres of 23.67 g/t Au and 31.73 g/t Ag

Significantly, drill holes SA11-18 and SA11-20 demonstrate the down dip continuity of the Arras mineralization, which underlies the San Albino zone. The Arras prospect is situated some 400 metres to the east. These results are comparable to those of drill hole SA10-06, located roughly 250 metres along strike to the north, which intersected the Arras zone returning 4.0 metres of 13.67 g/t gold and 31.41 g/t silver (see news release dated November 1, 2010). The continuity in strike and width of the Arras mineralized zone is significant. Generally, high-grade gold vein type deposits of this nature are subject to structural deformation, pinching and swelling, which reduces the size potential of these deposits.

Drilling to date indicates a down dip extension of approximately 600 metres with a vertical depth of approximately 200 metres and also demonstrates a continuity of mineralization along strike of approximately 300 metres. Work to establish a 600 metre strike length is in process. The mineralized zones remain open along strike in both directions and at depth.

Drilling is designed to test the entire area between the San Albino and Arras prospects which represents approximately 2 square kilometres within the highly prospective 24 square kilometre Southern (San Albino) District of the Property. Initially, the 2011 diamond drill program consisted of 40 to 60 holes of definition drilling, totaling between 6,000 to 10,000 metres across a series of five fences of drill holes. After several very encouraging drill holes, the Company redesigned the program, which now consists of at least 70 drill holes totaling approximately 16,000 metres, to be drilled in six fences of drill holes located approximately 100 metres apart with holes spaced approximately 50 metres apart.

The following table presents a summary of the current eleven drill holes results:

Sample No From
(m)
To
(m)
Length
(m)
Gold
(g/t)
Silver
(g/t)
Comments
SA 11-10 Intersected adit – 400 level at 52.60 metres (130/45) - 366.60m
66543 52.60 54.00 1.40 0.69 2.7 San Albino vein - Tunnel
66614 140.80 141.80 1.00 1.24 7.0 Naranjo
66719 268.40 269.50 1.10 1.09 2.3 Arras vein. Fault Zone
66721 269.50 270.50 1.00 1.00 4.5 Arras vein
66722 270.50 271.50 1.00 0.12 1.4 Arras vein
66729 277.00 277.50 0.50 0.37 1.8 Arras vein
66768 313.50 314.00 0.50 0.19 0.6 Arras vein 2
66769 314.00 315.00 1.00 2.63 4.2 Arras vein 2
66771 315.00 316.00 1.00 0.94 4.5 Arras vein 2
SA 11-11 Terminated - intersected 400 level at 53.00 metres (130/60) – terminated at 58.00m
66819 53.00 53.45 0.45 0.06 0.2 San Albino vein - Tunnel - 400 level
SA11-12 San Albino intersection 7 metres of 8.40 g/t Au and 14.77 g/t Ag, including
2.3 metres of 21.11 g/t Au and 43.31 g/t Ag
(130/90) – 180.00m
66831 49.00 50.50 1.50 6.77 2.0 Mineralization in San Albino hanging wall
66832 50.50 52.00 1.50 0.04 0.2 San Albino vein
66833 52.00 53.50 1.50 0.02 0.2 San Albino vein
66834 53.50 53.70 0.20 0.04 1.0 San Albino vein
66835 53.70 54.40 0.70 26.75 90.9 San Albino vein
66836 54.40 55.00 0.60 43.26 46.8 San Albino vein
66837 55.00 56.00 1.00 3.87 7.9 San Albino vein
66856 92.00 94.00 2.00 2.22 4.4 Mineralized zone
66876 129.00 130.00 1.00 1.68 0.7 Naranjo
SA11-13 San Albino vein Intersection
1.3 metres of 10.14 g/t Au and 24.57 g/t Ag
(130/50) – 339.70m
66913 49.70 50.60 0.90 13.53 31.8 San Albino vein
66914 50.60 51.00 0.40 2.50 8.3 San Albino vein
66938 90.50 91.50 1.00 0.01 5.7 Intermediate
66951 139.40 140.40 1.00 2.97 1.6 Naranjo
66952 140.40 141.00 0.60 0.70 6.6 Naranjo
SA11-14 Intersected 1.00 metre wide San Albino vein at 41.50 metres
with elevated gold values
(130/75) – 176.65m
67399 41.50 42.50 1.00 0.12 0.3 Faulted San Albino vein
67857 113.50 114.50 1.00 1.64 1.7 Naranjo?
SA11-15 Intersected 1metre wide San Albino vein at 33.5 metre with elevated gold values (130/75) – 178.10m
5001 33.50 34.50 1.00 0.26 2.2 San Albino vein
5059 90.00 91.00 1.00 0.20 2.4 Naranjo?
SA11-16 Arras vein: 1.5 metre of 4.23 g/t Au and 11.93 g/t Ag (130/50) – 302.00m
5141 32.75 33.50 0.75 0.43 9.7 San Albino vein
5142 33.50 34.50 1.00 0.19 2.4 San Albino vein
5344 256.00 256.50 0.50 12.47 33.8 Arras vein
5345 256.50 257.50 1.00 0.11 1.0 Arras vein
5346 257.50 258.00 0.50 0.04 0.5 Arras vein
5347 258.00 259.00 1.00 0.33 2.2 Arras vein
SA11-17 San Albino vein: 0.5 metres of 3.25 g/t Au and 10.3 g/t Ag (130/75) – 146.80m
5403 29.00 29.50 0.50 0.03 1.5 San Albino vein
5404 29.50 30.00 0.50 3.25 10.3 San Albino vein
ext SA11-17 Arras vein: 1.0 metre of 2.58 g/t Au and 10.02 g/t Ag (130/75) – 276.4m
7262 228.00 228.50 0.50 3.59 5.6 Arras vein
7264 228.50 229.00 0.50 1.57 14.8 Arras vein
SA11-18 Arras vein:
12 metres of 16.37 g/t Au and 23.45 g/t Ag; including
7 metres of 22.92 g/t Au and 32.43 g/t Ag; including
1.5 metres of 46.70 g/t Au and 36.57 g/t Ag
and
2.5 metres of 14.34 g/t Au and 21.66 g/t Ag
(130/50) – 285.00m
5711 247.50 248.00 0.50 31.17 39.8 Arras vein
5712 248.00 248.50 0.50 19.43 26.1 Arras vein
5713 248.50 249.00 0.50 8.49 11.8 Arras vein
5714 249.00 249.50 0.50 1.55 0.2 Arras vein
5715 249.50 250.00 0.50 2.83 2.4 Arras vein
5716 250.00 250.50 0.50 7.99 4.4 Arras vein
5717 250.50 251.00 0.50 73.00 53.2 Arras vein
5718 251.00 251.50 0.50 40.73 47.0 Arras vein
5719 251.50 252.00 0.50 26.37 9.5 Arras vein
5721 252.00 252.50 0.50 6.87 5.7 Arras vein
5722 252.50 253.00 0.50 42.21 60.7 Arras vein
5723 253.00 253.50 0.50 9.49 31.8 Arras vein
5724 253.50 254.00 0.50 19.97 69.3 Arras vein
5725 254.00 254.50 0.50 30.79 92.1 Arras vein
5726 254.50 255.00 0.50 0.10 0.1 Arras vein
5727 255.00 256.00 1.00 0.04 0.1 Arras vein
5728 256.00 257.00 1.00 0.04 0.1 Arras vein
5729 257.00 258.50 1.50 1.90 0.7 Arras vein
5731 258.50 259.50 1.00 32.99 53.1 Arras vein
SA11-19 Intersected intervals with elevated gold values on projected depth of zones (130/75) – 176.70m
5755 44.50 46.50 2.00 0.05 0.6 San Albino vein
5779 88.50 89.50 1.00 0.12 0.5 Naranjo?
ext SA11-19 Arras vein: 2.0 metres of 3.11 g/t Au and 22.1 g/t Ag (130/75) – 284.20m
7361 233.00 234.00 1.00 4.88 26.8 Arras vein
7363 234.00 235.00 1.00 1.34 17.4 Arras vein
SA11-20 Arras vein:
7 metres of 12.28 g/t Au and 27.87 g/t Ag; including
1.5 metres of 23.67 g/t Au and 31.73 g/t Ag
(130/50) – 324.00m
5846 45.50 46.00 0.50 0.35 17.0 San Albino vein
5847 46.00 46.50 0.50 0.17 0.8 San Albino vein
5985 251.00 251.50 0.50 0.46 2.1 hanging wall – fault
5986 251.50 252.60 1.10 21.93 87.6 Arras vein
5988 252.60 254.00 1.40 0.14 1.4 Arras vein
5989 254.00 254.60 0.60 5.55 17.8 Arras vein
5991 254.60 255.00 0.40 2.60 5.9 Arras vein
5993 255.00 256.50 1.50 13.67 20.8 Arras vein
5995 256.50 257.00 0.50 2.53 9.8 Arras vein
5997 257.00 257.50 0.50 48.98 65.9 Arras vein
5999 257.50 258.00 0.50 13.40 18.1 Arras vein
6001 258.00 258.50 0.50 8.62 11.2 Arras vein

Quality Assurance

The Company has implemented a rigorous QA/QC program using best industry practices, involving insertion of appropriate blanks and duplicates. All drill holes are sampled on at most a 1.0 metre interval within the mineralized zones, with drill core split on site and one half then being transported to the Inspectorate America Corporation ("Inspectorate"), a certified USA based laboratory (UKAS, NAMAS, STERLAB, ISO 17025), preparation facility in Managua. The samples are then transferred to Inspectorate's analytical laboratory in Richmond, British Columbia, Canada. Duplicate samples have also been sent to Acme Analytical Laboratories Ltd. in Vancouver, British Columbia, Canada, for comparative analysis.

Qualified Person

John M. Kowalchuk, P.Geo, a geologist and qualified person (as defined under NI 43-101) has read and approved the technical information contained in this news release.

On behalf of the Board,

Kim Evans, CGA, President & CEO

About Golden Reign:

Golden Reign Resources Ltd. is a publicly listed (TSX VENTURE:GRR) mineral exploration company engaged in exploring the San Albino-Murra Property located in Nueva Segovia, Nicaragua.

Nicaragua, a mining-friendly jurisdiction, is situated in the Central American Gold Belt, which extends from Costa Rica in the south to Guatemala in the north. Within this prolific gold belt, estimates of historical production total more than 20 million ounces.

For additional information please visit our website at www.goldenreign.com and SEDAR www.sedar.com.

To view the map associated with this News Release, please click the following link: http://media3.marketwire.com/docs/GRRmap.pdf.

Forward-Looking Statements: Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Such forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to political risks involving the Company's exploration and development of mineral properties interests, the inherent uncertainty of cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, the inability or failure to obtain adequate financing on a timely basis and other risks and uncertainties. Such information contained herein represents management's best judgent as of the date hereof, based on information currently available.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Golden Reign Resources Ltd.
    Kim Evans, CGA
    President & CEO
    (604) 685-4655 or Toll Free: 1-888-685-4655
    (604) 685-4675 (FAX)
    www.goldenreign.com