Silver Spruce Resources Inc.
TSX VENTURE : SSE
FRANKFURT : S6Q

Silver Spruce Resources Inc.

August 23, 2007 06:30 ET

Silver Spruce Announces Results of Lake Sediment and Prospecting Surveys-Straits Property

- three lake sediment anomalies defined - values to 639 ppm U - associated rock sample values to 0.26% (5.2 lbs / ton) U3O8

BRIDGEWATER, NOVA SCOTIA--(Marketwire - Aug. 23, 2007) - Silver Spruce Resources Inc. (TSX VENTURE:SSE)(FRANKFURT:S6Q) is pleased to announce that it has received the results for lake sediment and prospecting surveys carried out on the Straits Property, located in southern Labrador, to the north of the Straits of Belle Isle.

A total of 219 lake sediment samples were acquired covering the entire claim group, including the 1,320 new claims announced in the news release of June 14, 2007. The mean value for the lake sediments is 28 ppm U, with the highest value, 639 ppm, located in the northeastern part of the group. Excellent correlation is shown with the more widely spaced government lake sediment values which prompted the original acquisition of the property.

Three anomalous areas are defined. The strongest, with values from 42 to 266 ppm U and a number greater than 100 ppm, is located in the central portion of the claim group, developed along a northeast trending structure with offsetting northwest trending structures, over a seven kilometre strike length. A total of 16 rock samples were taken from this area with nine giving values greater than 100 ppm. Two of the samples had values greater than 0.1% U3O8 and a high value of 0.16% U3O8. The WD showing is located within this anomaly. It is a cluster of large boulders of orthogneiss / paragneiss showing strong uranophane staining within a 600m to 800m long radiometric anomaly which gave values from 92 to 1,391 ppm (0.14%, 2.8 lbs/ton) U3O8, with three of four samples greater than 400 ppm.

A northeast trending zone in the northeastern part of the group gives values from 15.5 to 639 ppm U. This area includes the Henley Harbour area where an 800m to 1,100m radiometric anomaly gave values of 439 ppm and 384 ppm U3O8 from two rock samples. Host rocks are aplites, mafic intrusives (gabbros), gneisses and pegmatites.

In the western portion of the group, a linear, north-south trending zone gives values from 10.6 to 125 ppm. The LP showing, a large, irregular, pegmatite dike system which can be traced for a few hundred metres and which gives erratic values (10 samples), varying from 38 ppm to 2,650 ppm (0.26%, 5.2 lbs/ton) U3O8, with 6 samples greater than 100 ppm and two greater than 0.2% U3O8 is located in the northern portion of this area.

Prospecting (78 rock samples) was carried out on the original 896 claim (22,400 ha or 224 km2) block in follow up of the airborne survey carried out in 2006 on 21 airborne radiometric targets. The targets were selected on the basis of the 95th percentile of U/Th ratios (U minimum 14 ppm). Three areas of mineralization were defined giving 36 values greater than 100 ppm (0.01%) U3O8 including nine values greater than 500 ppm (0.05% or 1 lb/ton) and four values greater than 0.1% (2 lbs/ton), with a high value of 0.26% U3O8. Uranium / thorium ratios were good (minimum of 3 to 1) in most areas although some areas of high thorium values, with low U/Th ratios were located.

The rock and lake sediment samples were analysed at Actlabs in Ancaster ON, for U by delayed neutron counting (DNC) and an ICP technique for other elements including Th. This technique was the same technique used for the government lake sediment surveys which led to the staking of the properties. Results for the ICP for the lake sediments remain pending.

Lloyd Hillier, President and CEO of Silver Spruce, comments, "We continue to be impressed with the results of our surveys which indicate that significant, previously untested, uranium potential exists in this part of Labrador. We look forward to continued follow up and the delineation of a uranium resources."

Maps showing a plan map of the lake sediment and rock sample results, and a plan map for airborne targets are available on the company website at www.silverspruceresources.com.

This release has been approved by Peter Dimmell, P.Geo., Vice President of Exploration, who is a Qualified Person (QP) as defined in National Instrument 43-101.

ABOUT SILVER SPRUCE

Silver Spruce Resources Inc. (TSX VENTURE:SSE)(FRANKFURT:S6Q) is a junior exploration company primarily focused on uranium in the Central Mineral Belt (CMB) and other areas of potential in Labrador, Canada. With interests in over 12,500 claims totaling approximately 3,100 square kilometres, Silver Spruce is one of the largest landholders in one of the world's premier emerging uranium districts. The large ground position, experienced partners, and strong financial backing, make Silver Spruce a leading uranium explorer.

On behalf of the Board of Directors, Gordon Barnhill, CFO and Director.

The Company seeks Safe Harbour.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this Release.

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