Grandcru Resources Corporation

July 12, 2007 10:38 ET

Grandcru Resources Corporation: New Drilling Provides Further Evidence of Potential Carlin Type System at Danny Boy Project in Nevada

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 12, 2007) - Grandcru Resources Corporation (TSX VENTURE:GR) ("Grandcru" or the "Company") is pleased to provide final assays from the Phase II drill program at its Danny Boy gold property located in the Tuscarora District of northern Nevada. The Phase II drill program comprised two holes, each more than 1400 feet in depth. This phase of drilling was intended to determine if highly receptive calcareous Paleozoic sediments are present at depth with Carlin type gold mineralization. The volcanic rocks at Tuscarora are precisely the same age as Carlin type gold mineralization found a few tens of kilometers to the south. Strong evidence of a Carlin type gold system was detected in both drill holes, though receptive calcareous host rocks were not encountered at the depths reached by this drill program.

The presence in these two core holes of abundant carbonaceous residue (thermally degraded petroleum) in the siliceous Paleozoic rocks, accompanied by anomalous gold, arsenic, copper, molybdenum, nickel, selenium, vanadium, and zinc, leads us to believe that fossil petroleum reservoirs - a key geochemical trapping component of Carlin-type gold deposits - are present in the subsurface beneath the siliceous Paleozoic sedimentary rocks. Grandcru is presently planning to conduct a seismic reflection survey over the Danny Boy property to attempt to determine the depth to the Roberts Mountain Thrust and the underlying carbonate rocks that host the large gold deposits at Carlin, 30 kilometers to the south.

DB07-01 was completed to a depth of 1501 feet. It entered highly carbonaceous rocks (cooked petroleum residue) beginning at 904' in debris flow deposits composed entirely of Paleozoic rock fragments. The interval 895-928' (33') averaged 279 ppb Au and the interval 1000-1055' (55') averaged 196 ppb Au. Associated elements were arsenic (to 3700 ppm), mercury (to 9 ppm), molybdenum (to 30 ppm), nickel (to 50 ppm), phosphorus (to 3000 ppm), selenium (to 20 ppm), and zinc (to 300 ppm). This metal suite and its association with petroleum residue in Paleozoic rocks are typical of Carlin type gold deposits. The bottom 147 feet of the drillhole (1354-1501') encountered additional anomalous metal values including gold (to 75 ppb), antimony (to 26 ppm), arsenic (to 850 ppm), mercury (to 2 ppm), molybdenum (to 70 ppm), nickel (to 110 ppm), phosphorus (to 8000 ppm), silver (to 5 ppm), thallium (to 10 ppm), vanadium (to 600 ppm, indicative of petroleum residue), and zinc (to 1200 ppm).

DB07-02 was a 1 mile step out from DB07-01 with the intention to test the continuity of the system at depth. This hole was completed to a depth of 1428 feet. It also encountered highly carbonaceous rocks beginning at a depth of 1248'. The interval 936-954' (18') averaged 130 ppb Au. Arsenic was particularly elevated in this interval (to 1050 ppm).

Project geologist Rex Evatt III, a Qualified Person in accordance with NI43-101, oversaw sampling and sample custody. One control sample consisting of a certified gold standard or a field blank was inserted into the sample stream for every eight core samples.

For the purposes of this news release, the Company's Vice President of Exploration, Timothy Marsh, P.E., PhD, is the Qualified Person.

Danny Boy

The Danny Boy Property is a volcanic-hosted gold system with large areas of substantially altered volcanic rocks anomalous in gold, arsenic, mercury and antimony adjacent to a significant epithermal district (Tuscarora).

Grandcru Resources is focused on precious and base metals exploration, development and production opportunities in the Americas. The company is led by a team of senior mining executives with extensive experience in the acquisition, finance, exploration and development of resource projects through to production.

On Behalf of the Board of Directors of

Grandcru Resources Corporation

W. Glen Zinn, President & C.E.O.

Forward-looking statements in this release are made pursuant to the 'safe harbor' provisions of the Private Securities Litigation Reform act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties.

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

Contact Information

  • Grandcru Resources Corporation
    W. Glen Zinn
    President & C.E.O.
    (604) 893-8366
    (604) 669-1464 (FAX)