Goldrush Resources Ltd.
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OTCQX : GDRRF
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Goldrush Resources Ltd.

November 02, 2011 07:00 ET

Goldrush Intersects 38 Metres Averaging 1.49 g/t Gold and 6.25 g/t Gold Over 6 Metres in Infill Reverse Circulation Drilling at Ronguen Gold Deposit, Burkina Faso, West Africa

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 2, 2011) - Goldrush Resources Ltd. (TSX VENTURE:GOD)(OTCQX:GDRRF)(PINK SHEETS:GDRRF) ("Goldrush" or the "Company") is pleased to report assay results from the initial 21 holes of a 94 hole reverse circulation ("RC") infill drilling program on the Company's Ronguen Gold Deposit in Burkina Faso.

Highlights of the drilling results include:

  • 1.49 g/t Au over 38 metres in hole KGRR11-171
  • 6.25 g/t Au over 6 metres in hole KGRR11-166
  • 3.24 g/t Au over 11 metres in hole KGRR11-158
  • 1.66 g/t Au over 19 metres in hole KGRR11-175
  • 1.86 g/t Au over 16 metres in hole KGRR11-172
  • 1.09 g/t Au over 24 metres in hole KGRR11-165

All of the above intersections were centered at vertical depths of less than 30 metres from surface and were located on the G1 grid, the easterly of the two overlapping grids at the Ronguen deposit. The most western hole highlighted above, KGRR11-158, is located on section 935E, 35 metres west of section 970E on which previously reported hole KGRR010-096 intersected 7.63 g/t gold over 15 metres at a depth of 12.7 metres, and 3.17 g/t gold over 22 metres at a depth of 31.1 metres (Goldrush news release #13-2010, October 25, 2010). The most easterly hole highlighted above is hole KGRR11-175 (1.66 g/t gold over 19 metres), drilled on section 1260E. This set of holes confirm the presence of significant gold mineralization over an east-west span of 325 m.

The density of drill holes in this area is designed to define and upgrade the oxide portion of the gold mineralization in the Ronguen deposit to the indicated category in preparation for an updated resource estimate anticipated to be received in late Q1, 2012. A surface plan showing the drill hole locations is available at www.goldrushresources.ca.

Commenting on the assay results, Goldrush President and CEO Len Brownlie said: "In addition to the results of the drilling since the last resource estimate in 2008, these results reported from the first 20% of the RC drill program have been very positive and bode well for a significant upgrade in both the classification and size of the Ronguen resource. With an expanded, high quality exploration team in place, and with core, RC and RAB drills under contract, Goldrush is working flat out to complete both RC and core drilling programs at Ronguen, core drilling at the Salbo permit, and up to 11,000 metres of RAB drilling on the recently acquired Pompoi and Rima permits by Christmas. This is an exciting time to be a Goldrush shareholder. Never before has the Company been able to a provide such exceptional targets and the funding necessary to conduct advanced exploration on so many projects at once. We look forward to the steady flow of news from these drill programs in the next several months."

Assay Results

Significant intersections are noted above and in the following table:

HOLE ID Line Station Grid3 From From Interval Gold
Grade
Vertical
(Grid
Co-ord)
(Grid
Co-ord)
(m) (m) (m)2 (g Au/t) depth (m)1
KGRR11-157 380 -15 G2 19 34 8 1.27 22.9
KGRR11-158 935 0 G1 28 39 11 3.24 29.0
KGRR11-159 935 25 G1 18 27 9 1.57 19.5
KGRR11-160 992.5 -50 G1 23 33 10 1.37 24.2
KGRR11-161 992.5 -25 G1 7 14 7 2.05 9.1
and 17 28 11 0.93 19.5
and 39 60 21 1.04 42.9
KGRR11-162 992.5 0 G1 55 64 9 1.21 51.5
KGRR11-163 992.5 50 G1 44 51 7 1.33 41.1
KGRR11-165 1015 -30 G1 20 44 24 1.09 26.2
KGRR11-166 992.5 25 G1 26 32 6 6.25 25.1
and 57 64 7 1.2 52.4
KGRR11-167 1015 25 G1 29 49 20 1.36 33.8
KGRR11-168 1037.5 -25 G1 27 33 6 2.1 26.0
KGRR11-169 1037.5 0 G1 37 48 11 1.04 36.8
KGRR11-170 1037.5 25 G1 27 42 15 1.53 29.9
and 45 53 8 1.6 42.4
KGRR11-171 1037.5 50 G1 0 38 38 1.49 16.5
and 42 48 6 2.87 39.0
KGRR11-172 1100 52.5 G1 13 18 5 1.56 12.7
and 22 38 16 1.86 24.6
KGRR11-173 1100 105 G1 12 16 4 2.99 11.5
KGRR11-174 1180 20 G1 9 13 4 1.98 9.0
and 16 26 10 1.13 17.2
KGRR11-175 1260 -90 G1 0 19 19 1.66 7.8
and 22 29 7 1.13 20.9
and 50 59 9 1.06 44.6

Assay results representative of the distribution of gold mineralization throughout the drill holes are provided in the following table:

HOLE ID Line Station Grid3 From From Interval Gold
Grade
Vertical
(Grid
Co-ord)
(Grid
Co-ord)
(m) (m) (m)2 (g Au/t) depth (m)1
KGRR11-155 380 -65 G2 51 54 3 0.73 45.5
KGRR11-156 380 -40 G2 46 49 3 0.87 41.1
and 52 54 2 2.29 45.9
KGRR11-157 380 -15 G2 19 34 8 1.27 22.9
KGRR11-158 935 0 G1 8 10 2 3.04 7.8
and 28 39 11 3.24 29.0
and 43 44 1 4.19 37.7
and 57 62 5 1.61 51.5
and 73 78 5 0.59 65.4
KGRR11-159 935 25 G1 7 11 4 0.73 7.8
and 18 27 9 1.57 19.5
and 34 38 4 2.11 31.2
KGRR11-160 992.5 -50 G1 23 33 10 1.37 24.2
and 37 46 9 0.8 35.9
KGRR11-161 992.5 -25 G1 7 14 7 2.05 9.1
and 17 28 11 0.93 19.5
and 39 60 21 1.04 42.9
KGRR11-162 992.5 0 G1 13 15 2 1.29 12.1
and 55 64 9 1.21 51.5
and 70 75 5 1.17 62.8
KGRR11-163 992.5 50 G1 25 37 12 0.65 26.8
and 44 51 7 1.33 41.1
KGRR11-164 992.5 75 G1 3 7 4 0.86 4.3
KGRR11-165 1015 -30 G1 20 44 24 1.09 26.2
KGRR11-166 992.5 25 G1 26 32 6 6.25 25.1
and 57 64 7 1.2 52.4
KGRR11-167 1015 25 G1 29 49 20 1.36 33.8
and 56 60 4 1.13 50.2
KGRR11-168 1037.5 -25 G1 27 33 6 2.1 26.0
KGRR11-169 1037.5 0 G1 37 48 11 1.04 36.8
and 63 65 2 2.31 55.4
and 68 71 3 1.04 60.2
KGRR11-170 1037.5 25 G1 19 21 2 1.36 17.3
and 27 42 15 1.53 29.9
and 45 53 8 1.6 42.4
KGRR11-171 1037.5 50 G1 0 38 38 1.49 16.5
and 42 48 6 2.87 39.0
KGRR11-172 1100 52.5 G1 0 3 3 1.83 1.2
and 6 8 2 1.38 5.7
and 13 18 5 1.56 12.7
and 22 38 16 1.86 24.6
KGRR11-173 1100 105 G1 12 16 4 2.99 11.5
KGRR11-174 1180 20 G1 9 13 4 1.98 9.0
and 16 26 10 1.13 17.2
KGRR11-175 1260 -90 G1 0 19 19 1.66 7.8
and 22 29 7 1.13 20.9
and 50 59 9 1.06 44.6
1 "Vertical depth" is the calculated depth to the centre of the intersection.
2 True widths are determined to be 90 to 95% of core intervals.
3 All G1 Grid holes were drilled at an azimuth of 340 degrees; all G2 holes were drilled at an azimuth of 24 degrees.

Drill hole lengths varied from 45 to 110 metres; hole numbers KGRR11-155 to 164 and – 166 - 171 were drilled with a common inclination of -60 degrees while holes KGRR11165 and 172 -175 were drilled at an inclination of -55 degrees. A total of 1,522 metres was drilled in the twenty RC holes and continuously sampled at one metre intervals for assaying.

Ronguen Deposit Mineralization

The Ronguen gold deposit is located within the northeastern part of the highly prospective Birimian age Boromo greenstone belt in Burkina Faso. The local geology at Ronguen is dominated by an east northeast ("ENE") trending metasedimentary sequence consisting of interlayered siltstone, mudstone and minor conglomerates that are intruded by plugs, and narrow dykes and sills of gabbroic composition. The Ronguen mineralized zone is located in the structural footwall of a major ENE thrust fault which recorded a tectonic transport direction towards the north. The mineralized deformation corridor represents a major ENE trending high angle reverse fault zone, dipping moderately to steeply towards the south. Gold mineralization is found in both metasedimentary and mafic intrusive rock; there are no obvious lithological controls yet recognized at this epigenetic gold deposit. The gold mineralization is associated with quartz-carbonate veins/veinlets and with sulphides occuring as disseminations and patches, and in veinlets. Two sets of gold-bearing quartz veins are developed: subvertical shear veins parallel to the shear zone foliation and to the shear zone boundaries, and subhorizontal extension veins. Small quartz stockworks are present and represent a part of the gold mineralization.

Future Results and Exploration

Ronguen and Tikare Permits

The Company is awaiting reverse circulation drilling assay results from an additional 37 holes drilled on the Ronguen gold deposit, as part of the Company's ongoing 94 hole, 7,165 metre RC drilling program. As of October 30, the RC drill had completed 4,556 metres in 58 holes at Ronguen. In addition to the current RC program, 2,200 metres of core drilling on both the Ronguen deposit and step-out targets on the Tikare permit were initiated on November 1, 2011.

The Company is also awaiting preliminary metallurgical results from 96 hour bottle roll testing conducted on representative samples of mineralized material from the Ronguen deposit.

Salbo Permit

Following the Tikare program, the core drill will be moved to the Salbo permit to drill approximately 1,000 metres to follow up on promising results where shallow rotary air blast ("RAB") drilling conducted in early 2011 intersected 1.74 g/t Au over 8 metres in hole SLBB11-023 and 2.12 g/t Au over 6 metres in hole SLBB11-030. As the Salbo permit is located less than 40 kilometres south of Ronguen, the development of a gold resource at Salbo would potentially enhance the viability of an operation at Ronguen.

Pompoi Permit

To aggressively accelerate exploration at the Company's Pompoi permit, located contiguous with and to the east of Roxgold Inc.'s Yaramoko permit, the Company has entered into a contract with Forages Technic-Eau Burkina sarl to drill up to 11,000 metres of RAB on Pompoi beginning in mid November 2011. Exploration by Roxgold to less than two kilometers to the west, on the Bagassi zone which strikes towards the Pompoi permit, has recently provided high grade gold intersections up to 53.56 g/t Au over 8 metres and 123.84 g/t Au over 5.4 metres as respectively reported in October 4 and 19, 2011, Roxgold news releases. The remaining interests of Riverstone Resources Inc. in the Yaramoko permit and two other Burkina permits were acquired on October 25, 2011 by Roxgold, subsequent to a binding letter agreement announced in a September 21, 2011 news release, for a total consideration of approximately $36 million.

Quality Assurance/Quality Control

Goldrush maintains a rigorous quality control program involving the use of certified standards from an accredited Canadian laboratory, inserted blanks, and the use of repeat assays. Details of Goldrush's quality control program were provided in the Company's News Release #2010-13, dated October 25, 2010.

The SGS laboratory in Ouagadougou, Burkina Faso was used for sample analysis. For its internal control, SGS inserted two certified standards and one blank, and analyzed one random duplicate for approximately each 25 samples submitted. For its certified standard and blank samples included in the QA-QC procedure, Goldrush averaged 11.0% of the total samples submitted.

The drilling was contracted to Forages Technic-Eau/Burkina sarl based in Ouagadougou, Burkina Faso.

Mr. Driffield Cameron, P. Geo., Director of Goldrush, is the Qualified Person for this press release for the purposes of National Instrument 43-101 and has reviewed the technical information herein.

For further information on Goldrush Resources Ltd., shareholders and other interested parties are invited to visit the Company's website at www.goldrushresources.ca.

ON BEHALF OF THE BOARD OF DIRECTORS, GOLDRUSH RESOURCES LTD.

Len Brownlie, President and Chief Executive Officer

About Goldrush: Goldrush is a Canadian mineral exploration company which has successfully focused on gold exploration in West Africa, where the company has discovered, and is currently expanding and defining the 249,000 ounce (inferred resource of 5.9 million tones at a grade of 1.31 g/t Au) Ronguen gold deposit in Burkina Faso.

About Burkina Faso: Burkina Faso is a politically and economically stable West African democracy that relies on farming and mining as it primary sources of foreign exchange. Burkina Faso saw gold production double from 2008 to 2010 and is currently the fifth largest gold-producing country in Africa. Control Risks, a global consultancy specializing in political, security and integrity risk, ranked Burkina Faso #3 in their 2011 World Risk Survey – countries with least risk. The World Risk Survey asked respondents to rank their perception of risk in the following categories: financial risk, sovereign risk, land access, green tape, land claims, red tape, social risk, infrastructure, civil unrest, natural disasters and labour relations.

FORWARD-LOOKING STATEMENTS: This news release contains certain "forward-looking statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Except for statements of historical fact relating to the company, certain information contained herein constitutes forward-looking statements. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drilling results and other geological data, fluctuating metal prices, the possibility of project cost overruns or unanticipated costs and expenses, uncertainties relating to the availability and costs of financing needed in the future and other factors. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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