VANCOUVER, BRITISH COLUMBIA--(Marketwired - June 10, 2013) - Gold Reach Resources Ltd. (TSX VENTURE:GRV) (Gold Reach and/or the Company) is pleased to announce that assay results for the first three holes drilled into the Ox porphyry during the 2013 drill program have been received. The Ox porphyry is located 4 kilometres north-northeast of the Company's West Seel discovery, and both deposits occur on the Company's 100% owned Ootsa Property located adjacent to the producing Huckleberry Mine south of Smithers, British Columbia.
HIGHLIGHTS
- Higher Average Grades Encountered - Hole Ox13-45 intersected 31.3 metres of 0.78% copper equivalent from 48 to 79.3m depth and hole Ox13-46 intersected 78 metres of 71% copper equivalent from 19 to 97 metres depth. These grades are higher than predicted by the current resource model and confirm potential to increase grades on the east side of the deposit through additional shallow drilling.
- Long Continuous Intersection - Hole Ox13-46 intersected 161.9 metres of continuous mineralization grading 0.36% copper and 0.028% molybdenum (0.53% copper equivalent) starting at the base of gravel cover at 5.1 metres depth and extending to the contact of a coarse porphyritic intrusive body at 167 metres depth.
- Near Surface Open Pit Potential- Mineralization on the east side of the Ox deposit occurs at surface below a few metres of gravel cover and is ideally situated for an open pit type target.
The 2013 drilling at the Ox deposit is focusing on infilling and expanding near surface mineralization on the east side of the deposit where historic drilling indicates higher grades. The goal of this infill and expansion drilling will be to increase resource categories, tonnage, and grade ahead of economic studies later in the year.
Ox Drill Results
An updated drill hole location map for Ox is available here:
http://www.goldreachresources.com/_resources/maps/Ox_2013_drill_hole_location_map.jpg.
A cross section showing the 3 holes discussed in this news release is available here:
http://www.goldreachresources.com/_resources/maps/Ox_Section_A-A.jpg.
Hole Ox13-45 was oriented toward the northeast at an angle of -55 degrees and drilled to a total depth of 115.8 metres. The hole intersected 73.2 metres grading 0.34% copper and 0.048% molybdenum (59% copper equivalent) from 6.1 to 79.3 metres depth, including 31.3 metres grading 0.48% copper and 0.055% molybdenum (0.78% copper equivalent) from 48 to 79.3 metres depth.
Hole Ox12-46 was a vertical hole drilled from the same pad as Ox13-45, and reached a total depth of 179.8 metres. The hole intersected 161.9 metres of continuous mineralization grading 0.36% copper and 0.028% molybdenum (0.53% copper equivalent) starting at the base of gravel cover at 5.1 metres depth and extending to the contact of a coarse porphyritic intrusive body at 167 metres depth. Included in this zone is a 78 metre interval grading 0.49% copper and 0.035% molybdenum (0.71% copper equivalent) from 48 to 79.3 metres depth.
Hole Ox13-47 was oriented toward the northeast at an angle of -55 degrees and drilled to a total depth of 152.4 metres. The hole intersected 110.6 metres (excluding 6.3 metres of non-mineralized dike) grading 0.28% copper and 0.028% molybdenum (0.44% copper equivalent) from 6.1 to 123 metres depth, including 50 metres grading 0.35% copper and 0.037% molybdenum (0.55% copper equivalent) from 59 to 109 metres depth.
| Summary of select drill intercepts - Holes Ox13-45 to 47 | ||||||||
|---|---|---|---|---|---|---|---|---|
| Drill Hole | From (m) | To (m) | Width (m)* | Cu % | Mo% | Au g/t | Ag g/t | Cu Eq.%** |
| Ox13-45 | 6.1 | 79.3 | 73.2 | 0.34 | 0.048 | 0.07 | 1.56 | 0.59 |
| including | 48.0 | 79.3 | 31.3 | 0.48 | 0.055 | 0.09 | 2.01 | 0.78 |
| Ox13-46 | 5.1 | 167.0 | 161.9 | 0.36 | 0.028 | 0.06 | 1.85 | 0.53 |
| including | 19.0 | 97.0 | 78.0 | 0.49 | 0.035 | 0.08 | 2.15 | 0.71 |
| Ox13-47 | 6.1 | 123.0 | 110.6*** | 0.28 | 0.028 | 0.05 | 1.53 | 0.44 |
| including | 59.0 | 109.0 | 50.0 | 0.35 | 0.037 | 0.06 | 1.80 | 0.55 |
*Width refers to drill hole intercepts, true widths have not been determined.
**Cu Eq. (copper equivalent) has been used to express the combined value of copper, molybdenum, gold and silver as a percentage of copper, and is provided for illustrative purposes only. No allowances have been made for recovery losses that may occur should mining eventually result. Calculations use metal prices of US $2.50/lb copper, $1200/oz gold, $15 silver, and $10/lb molybdenum using the formula Cu Eq.% = Cu% + (Au g/t x 0.701) + (Ag g/t x 0.0087) + (Mo% x 4.01).
***Excludes 6.3 metres non-mineralized post mineral diorite dike.
Shane Ebert, President of Gold Reach, commented "The company is extremely pleased with the higher grades encountered on the east side of Ox. Additional tonnage at these sort of grades should have a positive impact on future economic modelling of the zone. Historic drilling and a modest amount of more recent drilling indicated the east side contains higher grades but only a small portion of higher grade material is incorporated into the current resource model. The first 3 drill holes testing the east side of the deposit have all intersected significantly higher grades than predicted by the current resource model, demonstrating grades within the zone can be increased with focused drilling. Additional holes are being drilled into the east edge of the deposit to determine if a higher grade core can be delineated."
The mineralized zone at Ox has been identified over a length of 750 metres and typically has widths ranging from 100 to 150 metres and extends to depths of 150 to 230 metres. Mineralization in this zone starts at surface, below a few metres of glacial gravels, and is being evaluated as a potential open pit minable resource. A recent structural re-interpretation of the Ox zone suggests the deposit has been offset along a fault and continues under the shallow pond to the east. If this interpretation is correct the deposit could extend another 500 metres to the northeast, significantly increasing the size potential of the system.
Drilling Update
Assay results for the first 3 holes drilled at Ox during the 2013 program have been received (holes Ox13-45 to Ox13-47). An additional 11 holes have been completed at Ox (Ox13-48 to 59) and are in the lab getting assayed. The drill is currently working on hole Ox13-60.
The current round of drilling is focusing on infilling and expanding three areas of higher grade near-surface mineralization with open pit potential at Ox, East Seel, and West Seel. Previous drilling in all three zones has intersected significant grades at shallow depths including hole S11-90 at East Seel which returned 194 metres grading 0.37% copper and 0.42 g/t gold (0.66% copper equivalent) starting at 22 metres depth (previously released), hole S06-42 just north of East Seel which returned 138 metres grading 0.85% Cu and 23 g/t Ag (1% copper equivalent) starting at 22 metres depth (previously released), and hole S12-108 at West Seel which intersected 316 metres grading 0.56% copper equivalent starting at 24 metres down hole, including 30 metres grading 1% copper equivalent starting at 74 metres down hole.
Additional information is available on our website at www.goldreachresources.com.
About Gold Reach Resources
Gold Reach Resources Ltd. has made an important new and strategic Copper Gold Molybdenum discovery on its 100% held Ootsa Property located adjacent to the 16,000 tonne per day Huckleberry Mine currently producing Cu Au and Mo in central BC.
Gold Reach's Ootsa property is an advanced stage exploration project containing the Seel and Ox porphyry systems both with compliant resource estimates open for expansion. The Company has recently added the discovery of the West Seel Porphyry where drill hole S12-118 encountered 128 metres grading 1.01% Cu Eq. consisting of 0.43% Cu, 0.33 g/t Au, 0.076% Mo and 4.76 g/t Ag within a much larger interval of 537 metres grading 0.65% Cu Eq. consisting of 0.27% Cu, 0.19 g/t Au, 0.055% Mo, and 2.69 g/t Ag. The Seel deposit contains 67.8 million tonnes of indicated resources and 410.9 million tonnes of inferred resources at a 0.2% copper equivalent cut off. The Ox deposit contains 52.65 million tonnes of inferred resources at a 0.2% copper equivalent cut off.
Quality Control
All drill core is logged, photographed, and cut in half with a diamond saw. Half of the core is bagged and sent to AGAT Laboratories for analysis (which is an ISO 9001 and ISO/IEC 17025 certified lab), while the other half is archived and stored on site for verification and reference purposes. Gold is assayed by standard fire assay methods with 45 additional elements analyzed by Induced Coupled Plasma (ICP) utilizing a 4-acid digestion. Duplicate samples, blanks, and certified standards are included with every sample batch and then checked to ensure proper quality assurance and quality control.
Dr. Shane Ebert P.Geo., President of the Company, is the Qualified Person for the Ootsa project as defined by National Instrument 43-101 and has approved the technical disclosure contained in this news release.
Shane Ebert, President/Director
Safe Harbour Statement: The Company relies upon litigation protection for "forward-looking statements." The Company undertakes no obligation to update these forward- looking statements in the managements beliefs, estimates obligations or other factors should change.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contact Information:
Gold Reach Resources Ltd.
S. Ebert
President/Director
604-718-5454 or Direct Line: 250 964-2699
Toll Free: 888-500-4587
www.goldreachresources.com
B&D Capital Partners
Don Mosher
604-685-6465
Don@bdcapital.com