Grayd Resource Corporation
TSX VENTURE : GYD

Grayd Resource Corporation

April 11, 2007 08:30 ET

Grayd Resource Corporation: Drill Continues to Intersect Gold at La India Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 11, 2007) - Grayd Resource Corporation (TSX VENTURE:GYD) is pleased to provide an update on results from drilling on its 100% owned La India Gold Project, Sonora State, Mexico. Drilling has confirmed the potential of the Viruela zone, with 13 of 16 holes drilled in the central part of the zone intersecting gold mineralization. Highlights include RC07-119, with 30.5 m grading 4.34 g/t Au from 33.5 to 64.0 m and RC07-125, with 50.3 m grading 1.47 g/t Au, starting from surface. Recent results have also shown the La Cruz zone is open to the southwest, with RC07-127 intersecting 111.3 m grading 1.10 g/t Au, including 30.5 m grading 2.98 g/t Au. The new drilling has expanded the Viruela and La Cruz zones such that there is now only a 150 m gap between drilling on the two, with excellent potential of connecting them.

The results from 28 holes, RC07-106 through RC07-133, are reported herein. A drill summary table and drill hole location map are included with this release. The drill plan map also highlights the extent of the three zones from drilling thus far.

To view the drill plan map please click on the following link: http://www.ccnmatthews.com/docs/gyd0411.pdf

Viruela

Nineteen of the holes hereby released were drilled in the Viruela area. Sixteen of these were in a 250 m by 350 m area where 27 holes have now been drilled. Gold mineralization in this area is controlled by northwest and northeast trending structures. The best gold grades and vertical extent of mineralization are within the structures and peripheral to these structures where they intersect a silica altered horizon. Mineralizing fluids spread out in vuggy silica, fractures within more massive silica, and within advanced argillic altered rocks below the silica, resulting in widespread gold grades. Of the 27 holes drilled to date, all but three intersected mineralization grading greater than 0.4 g/t Au. Estimated true thicknesses vary from 14 to 85 m, with grades ranging from 0.44 to 3.48 g/t Au. The average thickness of the intersections is 39 m with an average grade of 1 g/t Au. The majority of intersections start from surface. Surface geology and sampling indicate the zone may have a length of 450 to 500 m in a north-south direction. The east-west extent of mineralization is still unknown and open.

Holes RC07-131 to 133 were drilled to the west of the other holes, exploring for the extension of gold mineralization across a northwest trending fault. The holes intersected strongly anomalous gold grades, (up to 18.3 m grading 0.40 g/t Au in RC07-133), but not the tenor of mineralization intersected in the other holes.

La Cruz

Six of the holes reported herein were drilled in the La Cruz area. The La Cruz zone is comprised of a central east-northeast trending high grade zone with peripheral lower grade gold mineralization. Holes RC07-107, (120.4 m grading 1.0 g/t Au, including 38.1 m grading 2.51 g/t Au), and RC07-127, (111.3 m grading 1.10 g/t Au including 30.5 m grading 2.98 g/t Au), intersected the higher-grade core to the south and southwest of previous intersections.

Holes RC07-106 was drilled to test the original projection of the high grade core. It intersected the lower grade mineralization (53.3 m grading 0.51 g/t Au starting at surface). Holes RC07-108 and 111 were drilled in the northeast part of the La Cruz zone, testing for potential extensions of high grade mineralization to the north of the known core. RC07-108 failed to reach target depth. RC07-111 intersected 51.8 m grading 0.32 g/t Au. RC07-126 tested south of the main core. It intersected 38.1 m grading 0.51 g/t Au, starting at surface.

The La Cruz zone has now been intersected over a 300 m by 250 m area. Surface results indicate it continues for 50 to 100 m to the northeast. The southwest extent is completely open.

Additional Holes

RC07-109 and 110 were drilled in the Cerro de Oro area testing for potential extensions to high grade mineralization. Both intersected lower grade mineralization. RC07-128 was drilled to the south of the La Cruz zone. It also intersected lower gold grades.

Summary

The newly released results further add to the potential of the Viruela and La Cruz zones. These zones, plus the Cerro de Oro zone, are within an area of intense high-sulphidation epithermal style alteration including silica, silica-alunite and advanced argillic assemblages that has been outlined over an area that is 1400 m long in a northwest direction and 900 m wide in a northeast direction. Initial drilling within this large area of altered rock was targeted in places with higher gold grades from surface samples, in what was considered to be three discrete zones of gold mineralization. Drilling is now focussed on areas with no outcrop or lower grade, shallow cover rocks peripheral to the original holes to expand the zones and to test the potential for connecting the zones. This approach is working, and there is now only a 150 m gap between what is considered to be the La Cruz and Viruela zones. Drill holes are planned to test this gap, as well to test the open extents of mineralization. Holes have also been planned to test for extensions to the two main lobes of mineralization at the Cerro de Oro zone, and the area between Cerro de Oro and the other two zones. The gold mineralized horizon is presumed to continue on the down dropped side of a major fault west of the known extent of the three known zones.

The total proposed reverse circulation drilling for the current 2007 program has now been increased to 8,000 m. In addition to advancing the main La Cruz-Viruela-Cerro de Oro discovery area, follow-up drilling on the 1,500 m long gold-bearing silica alteration zone at Cieneguita is planned. Exploration work continues to advance a pipeline of additional targets within the project area. These will be drilled once surface mapping and sampling are complete. Grayd remains well funded to continue its exploration success.

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.

Grayd Resource is a growth-oriented junior natural resource company focused primarily on exploring and developing a large land position in Mexico which is highly prospective for gold and silver mineralization. The Company's Officers and Directors are very experienced in all aspects of mineral exploration, development and production and have been involved with several successful mining projects over the past 20 years. For further information, please contact Marc A. Prefontaine - President and CEO (604-681-7446) or Freeform Communications Inc. (604-288-7222) or www.grayd.com.

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.



La India Project - Drill Summary

---------------------------------------------------------------------------
Zone Hole UTM Coordinates Azim. Dip Length Intersections Au
East North (m) From To Width g/t
---------------------------------------------------------------------------
RC07-
La Cruz 106 707073 3176201 135 -80 173.7 0 53.3 53.3 0.51
---------------------------------------------------------------------------
RC07-
La Cruz 107 707141 3176197 135 -60 138.7 0 120.4 120.4 1.00
---------------------------------------------------------------------------
including 82.3 120.4 38.1 2.51
---------------------------------------------------------------------------
RC07-
La Cruz 108 707249 3176247 -90 44.2 16.8 35.1 18.3 0.54
---------------------------------------------------------------------------
Cerro RC07-
de Oro 109 707076 3175617 225 -60 61.0 19.8 42.7 22.9 0.44
---------------------------------------------------------------------------
Cerro RC07-
de Oro 110 707092 3175641 135 -50 61.0 0 6.1 6.1 0.49
---------------------------------------------------------------------------
RC07-
La Cruz 111 707241 3176247 -90 99.1 12.2 64.0 51.8 0.32
---------------------------------------------------------------------------
La RC07-
Viruela 112 706872 3176402 -90 61.0 0 48.8 48.8 0.84
---------------------------------------------------------------------------
La RC07-
Viruela 113 706851 3176427 -90 56.4 0 47.2 47.2 0.43
---------------------------------------------------------------------------
La RC07-
Viruela 114 706820 3176396 135 -55 105.2 6.1 48.8 42.7 0.21
---------------------------------------------------------------------------
La RC07- no significant
Viruela 115 706812 3176405 319 -50 118.9 intersection
---------------------------------------------------------------------------
La RC07- no significant
Viruela 116 707020 3176455 -90 83.8 intersection
---------------------------------------------------------------------------
La RC07-
Viruela 117 707018 3176455 270 -50 114.3 77.7 97.5 19.8 1.15
---------------------------------------------------------------------------
La RC07-
Viruela 118 706948 3176520 90 -50 79.2 22.9 53.3 30.5 0.76
---------------------------------------------------------------------------
La RC07-
Viruela 119 706953 3176418 -90 77.7 33.5 64.0 30.5 4.34
---------------------------------------------------------------------------
La RC07-
Viruela 120 706817 3176514 -90 114.3 0 71.6 71.6 0.66
---------------------------------------------------------------------------
La RC07-
Viruela 121 706763 3176471 -90 41.1 0 13.7 13.7 0.60
---------------------------------------------------------------------------
La RC07-
Viruela 122 706879 3176491 -90 47.2 0 39.6 39.6 1.02
---------------------------------------------------------------------------
La RC07-
Viruela 123 706891 3176552 -90 59.4 0 45.7 45.7 1.00
---------------------------------------------------------------------------
La RC07-
Viruela 124 706914 3176592 -90 53.3 0 45.7 45.7 0.71
---------------------------------------------------------------------------
La RC07-
Viruela 125 706950 3176585 -90 71.6 0 50.3 50.3 1.47
---------------------------------------------------------------------------
RC07-
La Cruz 126 707212 3176101 -90 65.5 0 38.1 38.1 0.51
---------------------------------------------------------------------------
RC07-
La Cruz 127 707142 3176134 -90 114.3 0 111.3 111.3 1.10
---------------------------------------------------------------------------
including 64 94.5 30.5 2.98
---------------------------------------------------------------------------
Cordon RC07-
La Cruz 128 707281 3175935 -90 61.0 0 39.6 39.6 0.28
---------------------------------------------------------------------------
La RC07-
Viruela 129 706875 3176311 90 -50 89.9 0 76.2 76.2 0.44
---------------------------------------------------------------------------
La RC07-
Viruela 130 706778 3176343 -90 96.0 0 47.2 47.2 0.56
---------------------------------------------------------------------------
La RC07-
Viruela 131 706555 3176353 -90 105.2 12 16.8 4.6 0.55
---------------------------------------------------------------------------
La RC07-
Viruela 132 706521 3176418 -90 114.3 64 99.1 35.1 0.26
---------------------------------------------------------------------------
La RC07-
Viruela 133 706457 3176474 -90 77.7 32 50.3 18.3 0.4
---------------------------------------------------------------------------


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
    (604) 684-9877 (FAX)
    Website: www.grayd.com
    or
    Freeform Communications Inc.
    (604) 288-7222