Grayd Resource Corporation
TSX VENTURE : GYD
OTCQX : GYDRF

Grayd Resource Corporation

September 01, 2011 10:40 ET

Grayd Continues to Expand Tarachi Gold Porphyry

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 1, 2011) - Grayd Resource Corporation (TSX VENTURE:GYD)(OTCQX:GYDRF) announces the latest assay results from ongoing drilling at Tarachi, part of its 100% owned La India Property in Sonora, Mexico.

New drilling has further expanded the mineralized zone at Tarachi which is now delineated over two square kilometres. These new results identify two new zones of higher grade material, located 150 to 1,500 metres from previous intercepts, and continue to demonstrate the scale of the Tarachi system. Mineralization remains open in all directions. Similar looking mineralization that crops out at surface 3 kilometers to the northwest of any drilling will be drill tested this month.

New results include:

DDH-11-178 averaged 0.40 g/t Au over its entire length of 169.3m, including a section of 18.0m grading 1.38 g/t Au. The last sample at the bottom of the hole assayed 0.73 g/t Au

DDH-11-171 intersected 88.0m averaging 0.33 g/t Au; including 27.0m at 0.53 g/t Au

DDH-11-172 intersected 41.0m averaging 0.54 g/t Au

Marc Prefontaine, President and CEO of Grayd, stated: "Drilling continues to expand the area of confirmed gold porphyry style mineralization at Tarachi. Gold porphyries are characteristically of moderate to low grade. Drill results that have very wide intercepts of lower grade material with local structurally controlled zones of higher grades are typical for this kind of deposit. Importantly, gold porphyries can contain high tonnages that support large mining operations. Results at Tarachi are confirming that this system is very large. We plan to continue an aggressive drill program to test for an economic deposit."

Recently returned results are given on the table below. A map of drill hole locations is available on the Grayd website at www.grayd.com. Due to the high volume of samples submitted to the assay laboratory in the last two months, assay turnaround time has increased and there are a number of holes drilled but awaiting assays.

Table of New Drill Results:

Hole E N Depth
(m)
Az Dip From
(m)
To
(m)
Width
(m)
Au
(g/t)
RC-11-627 699642 3185291 251.5 89 -55 169.2 182.9 13.7 0.45
RC-11-626 699887 3184860 300.0 3 -49 181.4 227.1 45.7 0.27
RC-11-625 700182 3185270 352.0 24 -49 88.4 352.0 263.6 0.21
including 263.6 310.9 47.3 0.43
RC-11-624 700102 3184795 300.2 19 -66 No significant intersection
RC-11-623 700099 3184796 342.9 335 -71 234.7 297.2 62.5 0.18
RC-11-622 700233 3184985 303.3 45 -60 24.4 196.6 172.2 0.13
RC-11-621 699982 3184988 251.5 1 -48 12.2 48.8 36.6 0.24
RC-11-620 699875 3185456 251.5 90 -55 181.4 230.1 48.7 0.24
RC-11-619 699704 3185759 251.46 30 -50 0.0 35.1 35.1 0.29
134.1 147.8 13.7 0.40
RC-11-618 701624 3185209 251.46 315 -50 0.0 88.4 88.4 0.36
RC-11-617 699568 3185827 249.94 320 -50 0.0 105.2 105.2 0.18
RC-11-616 699858 3185357 312.42 330 -55 102.1 112.8 10.7 0.53
158.5 205.7 47.2 0.41
RC-11-615 700371 3185290 272.8 210 -50 13.7 242.3 228.6 0.35
RC-11-614 699787 3185660 266.7 145 -50 33.5 48.8 15.3 0.65
123.4 266.7 143.3 0.37
including 246.9 266.7 19.8 0.61
RC-11-613 701494 3185238 251.46 315 -50 No significant intersection
RC-11-612 700506 3185153 300.23 0 -50 65.5 117.4 51.9 0.31
DDH-11-179 700534 3185559 181.5 351 -50 3.0 18.0 15.0 0.82
DDH-11-178 700778 3185804 169.3 170 -66 0 169.3 169.3 0.40
including 118.0 136.0 18.0 1.38
DDH-11-177 699080 3186336 151.0 221 -49 52.0 56.0 4.0 1.62
DDH-11-176 699187 3186515 253.0 150 -55 No significant intersection
DDH-11-175 699265 3186438 201.0 240 -60 No significant intersection
DDH-11-174 698805 3186528 204.0 200 -55 No significant intersection
DDH-11-173 699239 3186064 151.0 110 -50 No significant intersection
DDH-11-172 699410 3186010 153.0 240 -50 26.0 67.0 41.0 0.54
DDH-11-171 699410 3185775 197.0 30 -50 48.0 136.0 88.0 0.33
including 109.0 136.0 27.0 0.53
DDH-11-170 700090 3185700 345.0 190 -50 86.0 317.0 231.0 0.30
including 162.0 185.0 23.0 0.63

The La India property is located in the prolific Mulatos gold belt of Mexico's Sonora state. Tarachi is located 10 kilometers north of the resource area that was analyzed in a Preliminary Economic Assessment (PEA) reported on October 21, 2010, and represents a separate gold-rich mineral system. Results of the PEA show a 51% internal rate of return, a US$187 million net present value (pre-tax, 5% discount rate), a nine-year mine life and nearly 850,000 ounces of gold produced using a gold price of $950/oz. Grayd has initiated feasibility level work on this resource.

Hans Smit, P.Geo., VP Exploration for Grayd, is the Qualified Person directing the exploration at La India. Samples are sent to the ALS Chemex facility in Hermosillo for sample preparation, and then to the ALS Chemex laboratory in Vancouver for gold assay and ICP. QA/QC procedures used include assay standards and blanks.

The information in this news release may contain forward-looking statements. When used in this release, words such as "estimate", "expect", "anticipate" and "believe" as well as similar expression are intended to identify forward-looking statements. Such statements are used to describe management's future plans, objects, and goals for the Company and therefore involve inherent risks and uncertainties. The reader is cautioned that actual results, performance or achievements may be materially different from those implied or expressed in such statements, which speak only as of the date the statements were made. The Company does not update forward-looking statements continually as conditions change.

To view the map accompanying this release please click on the following link: http://media3.marketwire.com/docs/0901gyd.pdf

The TSX Venture Exchange has neither approved nor disapproved of the information contained herein.

Contact Information

  • Grayd Resource Corporation
    Marc A. Prefontaine
    President and CEO
    604-681-7446

    Grayd Resource Corporation
    Daniel G. McIntyre
    Manager Corporate Communications
    604-681-7446
    604-608-5372 (FAX)
    www.grayd.com