Grayd Resource Corporation
TSX VENTURE : GYD

Grayd Resource Corporation

April 06, 2006 08:30 ET

Grayd Intersects 47 m Grading 3.0 g/t Au at La India Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 6, 2006) - Grayd Resource Corporation (TSX VENTURE:GYD) provides an update on results from the 2006 exploration work at the La India Project, located in Sonora State, Mexico. Highlights include reverse circulation drill hole RC06-25 which intersected 56.4 metres grading 2.6 g/t Au, including 47.2 m grading 3.0 g/t Au, starting from surface. Hole 25 is located in the Esmeralda zone, 250 m southwest of hole RC05-14 (85.3 m of 2.6 g/t Au). Both intersections are from mineralized breccia zones that occur within a NE trending mineral corridor which can be traced for 900 m and is up to 250 m wide. Further drilling will be required to determine the orientation and size of the higher grade breccia zones.

Seven reverse circulation holes totaling 885.5 m were completed during the most recent drilling to test various targets. RC06-22 was drilled to test the Nopal target, where surface work had identified a possible buried system. The hole intersected acid sulphate alteration throughout the 181 m long hole, including oxidized crackle breccias. Intercepts of anomalous barium (100-1000 ppm), arsenic (30-300 ppm) and weakly anomalous gold (0.01 to 0.06 and 1.5 m grading 0.15 g/t) indicate potential for gold mineralization. The buried and fully preserved high sulphidation system is an important exploration discovery. Further surface exploration work followed by drilling is planned for the Nopal target.

RC06-23, drilled in the lower Esmeralda area, intersected 44.2 m grading 0.28 g/t Au, but did not intersect higher grade mineralization. RC06-24 tested the Cerro de Oro Sur target. It similarly intersected lower grade mineralization at the top of the hole (25.9 m grading 0.29 g/t Au). RC06-25 was drilled to test a breccia area with good surface sampling results. The 56.4 m grading 2.6 g/t Au is hosted in brecciated and hematitic rock. RC06-26 was drilled perpendicular to hole 25. The upper 9.1 m averaged 1.17 g/t Au, but the hole did not intersect the higher grade mineralization, possibly because it drilled underneath the zone or the zone is faulted.

RC06-27 and RC06-28 tested targets 1.6 km and 4 km east of hole 25. Both holes intersected alteration zones but neither hole returned significant gold values.

The latest drilling brings total drilling for 2005/2006 to 2,744 m in 17 holes. Newmont has now completed its initial $US 1 million commitment required under the La India earn-in agreement whereby Newmont can acquire a 51% interest in the property by funding $US 7 million in expenditures over 4 years. A $300,000 increase in the budget has already been authorized to continue exploration work including geological mapping, sampling and alteration definition using PIMA.

A summary table of recent drill results is given below. Holes RC05-12 through RC06-21 were summarized in Grayd's news release dated March 7, 2006, and will be posted on the Company's website. A map showing drill hole locations and the current interpretation of the NE corridor are attached and are also available on the Grayd website (www.grayd.com).

Hans Smit, P.Geo., VP Exploration for Grayd, is the Qualified Person directing the exploration at La India. Drilling is being performed by Layne de Mexico. 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.



La India Project - Drill Summary

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UTM Coordinate Intersections
Hole East North Azim. Dip Length From To Width Au
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RC06-22 706540 3175664 300 -70 181.4 no significant gold values
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RC06-23 706907 3175668 90 -70 89.9 0.0 44.2 44.2 0.28
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RC06-24 707187 3175540 90 -45 108.2 0.0 25.9 25.9 0.29
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RC06-25 707040 3175646 15 -55 120.4 0.0 56.4 56.4 2.64
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including 0.0 47.2 47.2 3.04
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RC06-26 707086 3175646 290 -55 138.7 0.0 9.1 9.1 1.17
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RC06-27 708569 3176043 295 -45 132.6 no significant gold values
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RC06-28 710995 3176198 270 -55 114.3 no significant gold values
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Grayd Resource Corporation is a natural resource company engaged in the acquisition, exploration and development of mineral resource properties.

To view the map accompanying this press release please click on the following link: http://www.ccnmatthews.com/docs/gyd0406.pdf


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

Contact Information

  • Grayd Resource Corporation
    Marc A. Prefontaine, M.Sc., P.Geo.
    President and CEO
    (604) 681-7446
    (604) 684-9877 (FAX)
    or
    Freeform Communications Inc.
    (604) 288-7222
    www.grayd.com