Golden Reign Resources Ltd.: Regional Trenching Program Overview-Southern District
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 09/17/12 -- Golden Reign Resources Ltd. (TSX VENTURE: GRR) (the "Company") is pleased to provide an update on the 2012/2013 regional trenching program currently underway within the Southern District of its flagship 87 square kilometre San Albino-Murra Property (the "Property"), Nueva Segovia, Nicaragua.
A total of 9 of the 29 highly mineralized structures selected for further testing during the 2012/2013 regional trenching program are situated in the Southern District (see map, visit following link: http://media3.marketwire.com/docs/SanAlbino_Map.jpg). All of the targets, with the exception of one - target #21, are located to the south of the 2 square kilometre San Albino Mine area where the Company spent the last year drilling and for which a maiden resource calculation is currently being compiled. Prior exploration, including the 2011 trenching program, has exposed multiple systems of parallel, highly mineralized vein structures throughout the Southern District - similar in nature to those discovered and tested at the San Albino Mine area.
The trenching targets are located within an area representing approximately 10 square kilometres of the total 24 square kilometres comprising the Southern District. A description of targets #21 to 29, on a non-prioritized basis, follows:
Target #21 - Turrango Vein (trenching pending)
The Turrango Vein is an outlier target, the only prospect situated to the east of the Jicaro River being tested during the 2012/2013 trenching program. Prior extensive underground sampling of Tunnel #3 identified a near-surface vein structure that returned elevated gold and silver values across all 19 samples, including the following high grade results:
-- 1.0 metre of 10.01 g/t gold and 59.3 g/t silver
-- 0.9 metres of 4.45 g/t gold and 47.9 g/t silver
-- 1.0 metre of 11.44 g/t gold and 1.9 g/t silver
-- 1.0 metre of 3.44 g/t gold and 29.2 g/t silver
Target #22 - San Pablo area (trenching in progress)
Situated approximately 1 kilometre south of the San Albino Mine area, the San Pablo area is one of the primary drill targets for the next drilling campaign. Outlined by the Company's highly successful 2011 trenching program, the San Pablo area hosts a system of parallel, highly mineralized vein structures that are open laterally in both directions with a strike distance exceeding 700 metres. Highlights from the 2011 trenching program include:
Trench 1: 1.0 metre averaging 6.68 g/t gold and 5.2 g/t silver
Trench 2: 8.5 metres averaging 8.94 g/t gold and 5.2 g/t silver
including: 4.5 metres averaging 15.26 g/t gold and 8.6 g/t silver
Trench 3: 6.5 metres averaging 1.80 g/t gold, minor silver
including: 1.0 metre averaging 6.54 g/t gold and 11.6 g/t silver
Trench 4: 16.0 metres averaging 6.25 g/t gold, 5.1 g/t silver
including 9.0 metres averaging 6.51 g/t gold, minor silver
and 3.0 metres averaging 13.14 g/t gold, and 5.9 g/t silver
Trench 5: 3.0 metres averaging 9.19 g/t gold, minor silver
Underground channel samples at Mina Francisco, a partially collapsed adit, returned values ranging from anomalous gold and silver up to 20.18 g/t gold and 34.7 g/t silver.
Target #23 - Intermediate area (San Pablo/Las Conchita) (trenching pending)
2011 trenching returned:
Trench 1: 8.2 metres averaging 20.64 g/t gold and 26.87 g/t silver
including: 5.2 metres averaging 28.69 g/t gold and 38.8 g/t silver
Trench 2: 8.0 metres averaging 4.37 g/t gold, minor silver
including: 3.0 metres averaging 8.83 g/t gold, minor silver
also: 5.0 metres averaging 9.44 g/t gold and 9.9 g/t silver
and 1.0 metre averaging 32.87 g/t gold and 51.5 g/t silver
Trench 3: 12.8 metres averaging 16.05 g/t gold and 9.9 g/t silver
including: 3.0 metres averaging 40.97 g/t gold and 23.7 g/t silver
and 1.8 metres averaging 42.33 g/t gold and 15.9 g/t silver
Trench 4: 1.0 metre averaging 4.52 g/t gold, minor silver
and 2.0 metres averaging 3.11 g/t gold and 9.1 g/t silver
Target #24 - Rio Jicaro area (trenching pending)
Located to the north-east of the Las Conchitas area, the Rio Jicaro area likely represents an extension of the highly mineralized structures outlined at Las Conchitas. Highlights from the 2011 trenching program are:
Trench 1: 8.0 metres averaging 7.31 g/t gold and 5.9 g/t silver
including: 4.0 metres averaging 11.91 g/t gold and 9.6 g/t silver
including: 2.0 metres averaging 17.31 g/t gold and 12.5 g/t silver
Trench 4: 2.0 metres averaging 19.05 g/t gold and 24.1 g/t silver
Target #25 - Las Conchitas area (trenching pending)
The Las Conchitas area hosts several structurally controlled highly mineralized zones containing a system of parallel quartz veins ranging from 1.0 to 8.0 metres in true width. These veins have been traced over a distance of 2.0 kilometres, remaining open in at least two directions. 2011 trenching highlights include:
Trench 1: Exposed a gold-bearing quartz vein, Cruz 1, which returned
2.0 metres averaging 26.27 g/t gold and 17.4 g/t silver
5.0 metres averaging 5.21 g/t gold and 7.3 g/t silver
2.6 metres averaging 3.70 g/t gold and 5.9 g/t silver
The Cruz 1 vein was tested by drilling in October 2011, with the best result
in DDH LC 11-01 of 3.0 metres of 62.96 g/t gold and 61.7 g/t silver
Trench 5: 2.0 metres averaging 18.58 g/t gold and 14.1 g/t silver
Trench 10: 5.3 metres averaging 48.28 g/t gold and 20.9 g/t silver
including: 2.0 metres averaging 118.91 g/t gold and 40.2 g/t silver
Trench 16: 5.0 metres averaging 9.88 g/t gold and 9.6 g/t silver
including: 3.0 metres averaging 14.44 g/t gold and 13.1 g/t silver
Trench 18: 3.5 metres averaging 6.91 g/t gold and 16.3 g/t silver
including 1.5 metres averaging 12.69 g/t gold and 32.3 g/t silver
Trench 21: 14.0 metres averaging 5.89 g/t gold and 11.8 g/t silver
including 4.0 metres averaging 8.46 g/t gold and 21.2 g/t silver
and 7.0 metres averaging 6.11 g/t gold and 9.8 g/t silver
Trench 22: 5.0 metres averaging 14.78 g/t gold and 21.1 g/t silver
including: 2.0 metres averaging 16.95 g/t gold and 24.9 g/t silver
Trench 23: 4.0 metres averaging 5.35 g/t gold and 5.1 g/t silver
including: 2.0 metres averaging 8.80 g/t gold and 8.1 g/t silver
Trench 26: 18.0 metres (schists with quartz veinlets) averaging 2.29 g/t
gold and 4.0 g/t silver
including: 1.0 metre averaging 13.13 g/t gold and 15.6 g/t silver
Trench 30: 1.0 metre averaging 18.59 g/t gold and 4.4 g/t silver
Target #26 - Mina Dolores (2012 trenching completed)
One trench was completed, to a depth of approximately 1.5 metres, as part of the 2012/2013 trenching program (see news release dated June 12, 2012), with the following results:
SAMTR-12-04: 12.6 metres averaging 6.56 g/t gold and 12.5 g/t silver
Including 4.6 metres averaging 16.02 g/t gold and 29.6 g/t silver
And 1.0 metre averaging 6.62 g/t gold and 12.4 g/t silver
In addition, seven samples collected along the strike of the quartz vein totaling 8.8 metres returned an average of 1.26 metres grading 31.21 g/t gold and 40.3 g/t silver.
One of three highly prospective areas located in the southwest corner of the flagship Property, Mina Dolores is a near surface high-grade vein prospect that was selected for further testing by trenching based upon earlier results, including:
-- the sampling of old pits located in close proximity to the mine which
returned very high-grade gold and silver ranging from 1.78 g/t to 43.31
g/t gold and 3.3 to 42.3 g/t silver
-- Las Dolores mine dump #1 which returned 16.61 g/t gold and 51.7 g/t
silver
-- Las Dolores mine dump #2 which returned 66.40 g/t gold and 84.6 g/t
silver
-- 2011 trenching results (TR 21) which returned 14.0 metres of 5.89 g/t
gold and 11.8 g/t silver, including
-- 4.0 metres of 8.46 g/t gold and 21.2 g/t silver and
-- 7.0 metres of 6.11 g/t gold and 9.8 g/t silver
Historical documents (1921) on Mina Dolores report an average vein width of 5.5 feet (1.7 metres), strike length of 500 feet (155 metres) and developed depth of 200 feet (62 metres). The two best samples collected and reported in 1921 returned 5.1 feet (1.6 metres) grading 1.5 ounces (47 g/t) of gold and 5.5 feet (1.7 metres) grading 1.14 ounces (35 g/t) gold. Note: The information regarding Mina Dolores is historical in nature and therefore not NI 43-101 compliant. It should not be relied upon.
Target #27 - California Vein (2012 trenching completed)
Three trenches were completed, to a depth of approximately 1.5 metres, as part of the 2012/2013 trenching program (see news release dated June 12, 2012), with the following results:
SAMTR-12-01: 4.0 metres averaging 21.00 g/t gold and 21.9 g/t silver
And 2.0 metres averaging 14.72 g/t gold and 21.6 g/t silver
And 4.0 metres averaging 15.36 g/t gold and 24.0 g/t silver
Including 1.0 metre averaging 61.06 g/t gold and 94.0 g/t silver
SAMTR-12-02: 3.5 metres averaging 42.64 g/t gold and 11.7 g/t silver
And 4.0 metres averaging 9.49 g/t gold and 3.3 g/t silver
And 2.0 metres averaging 7.27 g/t gold and 5.5 g/t silver
SAMTR-12-03: 1.0 metre averaging 13.08 g/t gold and 4.9 g/t silver
The California Vein represents the extension of structures first identified by trenching in 2011 and further outlined by a 2012 sampling program. Select results from the sampling program include:
-- a 2.0 metre channel sample of a quartz vein which returned an average
grade of 69.33 g/t gold and 47.8 g/t silver, comprised of 1.0 metre of
137.35 g/t gold and 93.7 g/t silver and 1.0 metre of 1.30 g/t gold and
1.9 g/t silver. This vein appears to be an extension of the California
Vein, which is situated 250 metres to the southwest and strikes 60
degrees to the northeast
-- the testing of California pit #1, measuring roughly 40 square metres at
surface, which returned 45.42 g/t gold and 74.0 g/t silver. Float
samples of quartz material taken from two other pits, California pit #2
and California pit #3, returned grades ranging from 2.11 to 88.46 g/t
gold and 2.4 to 127.5 g/t silver
-- the testing of two nearby float samples of quartz material (Godoy #2)
which returned 13.81 g/t gold and 23.0 g/t silver and 16.33 g/t gold and
11.7 g/t silver, respectively
Target #28 - La Fortuna Vein - El Portillo (trenching pending)
The La Fortuna Vein-El Portillo is possibly the southwest extension of the Las Conchitas mineralized structures which were exposed by trenching during 2011 (see #25 above). Sampling of the vein returned 1.5 metres of 12.93 g/t gold and 13.2 g/t silver. Sampling of nearby mine dumps returned: 8.53 g/t gold and 8.6 g/t silver; and, 57.68 g/t gold and 31.8 g/t silver.
Target #29 - Los Centeno prospect (trenching pending)
The second of three highly prospective areas (see #26 - Mina Dolores, above) located in the southwest corner of the flagship Property. The Los Centeno prospect borders the Company's El Jicaro Concession to the south. In all, two mine dumps, seven mine pits and nine quartz veins have been tested to date (see news release dated March 21, 2012). Selected results are as follows:
-- Los Centeno Tunnel #5 mine dump - a float sample of mixed schist and
quartz vein material from the mine dump, which measures 15 metres x 6
metres x 10 metres depth, returned 10.09 g/t gold and 3.8 g/t silver
-- Los Centeno vein #1 - a 1.5 metre channel sample of a quartz vein,
located 50 metres from Los Centeno Tunnel #5, returned 9.59 g/t gold and
5.8 g/t silver
-- Roger pit #1 - float sample of quartz material assayed 10.26 g/t gold
and 11.6 g/t silver
-- Los Centeno pit #3 - a 1.0 metre channel sample of quartz vein material
returned 6.30 g/t gold and 5.3 g/t silver
-- Tacho pit #1 - a 1.0 metre channel sample of schist material assayed
9.82 g/t gold and 13.8 g/t silver
-- Tacho pit #4 - float sample of quartz material from an old mine pit
returned 38.87 g/t gold and 9.8 g/t silver
-- La Fortuna-Portillo vein - a 1.5 metre channel sample of quartz vein
material containing visible gold returned 12.93 g/t gold and 13.2 g/t
silver
-- Rosibel vein - a 1.5 metre channel sample of a quartz vein which
returned 11.54 g/t gold and 38.5 g/t silver
-- El Golfo vein #1 - located 130 metres from the collapsed Los Centeno
mine entrance a 1.0 metre channel sample of schist material containing
quartz veinlets returned 7.49 g/t gold and 5.4 g/t silver; and a 1.0
metre channel sample of a quartz vein returned 5.27 g/t gold and 13.2
g/t silver
-- El Golfo vein #2 - a 1.0 metre channel sample of a quartz vein, situated
130 metres from the collapsed Los Centeno mine entrance, returned 5.31
g/t gold and 3.8 g/t silver
-- Roger vein #2 - a 1.5 metre channel sample of mixed schist and quartz
vein material returned 13.58 g/t gold and less than 0.1 g/t silver
The extensive 2012/2013 program will comprise an aggregate 4.5 kilometres of trenching across approximately 150 trenches, spanning 18 kilometres of Corona de Oro Gold Belt. The program proposes to:
-- target an initial 29 of the over 120 previously identified highly
mineralized gold structures
-- test structures that yielded assays of 5 g/t gold or better
-- expose and extend the strike length of the targeted mineralized
structures
-- expose the width and dip of targeted mineralized structures
-- confirm the grade of targeted mineralized structures
-- aid in the prioritization of drill ready targets
All targets are situated within the Corona de Oro Gold Belt. A structural corridor approximately 3 kilometres wide by 25 kilometres long that stretches from the El Jicaro Concession in the south to the north-eastern boundaries of the San Albino-Murra Property, the Corona de Oro Gold Belt hosts over 170 quartz vein structures, 112 adits, 148 mine dumps and 354 exploration pits.
On behalf of the Board,
Kim Evans, CGA, President & CEO
About Golden Reign:
Golden Reign Resources Ltd. is a publicly listed (TSX VENTURE: GRR) mineral exploration company engaged in exploring the San Albino-Murra Property and the El Jicaro Property, both of which are located in Nueva Segovia, Nicaragua. The Company recently earned an 80% interest in the San Albino-Murra Property, approximately 1.5 years ahead of schedule. The El Jicaro Property is 100% owned by Golden Reign.
The Company's land package comprises 13,771 hectares (138 km2) of highly prospective ground. Hundreds of historical mines and workings exist within the Corona de Oro Gold Belt, which is approximately 3 kilometres wide by 20 kilometres long and spans the entirety of the Company's land package.
For additional information please visit our website at www.goldenreign.com and SEDAR www.sedar.com.
Forward-Looking Statements: Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Such forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including, without limitation, risks and uncertainties relating to political risks involving the Company's exploration and development of mineral properties interests, the inherent uncertainty of cost estimates and the potential for unexpected costs and expenses, commodity price fluctuations, the inability or failure to obtain adequate financing on a timely basis and other risks and uncertainties. Such information contained herein represents management's best judgment as of the date hereof, based on information currently available.
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.
Contacts:
Golden Reign Resources Ltd.
Kim Evans, CGA
President & CEO
(604) 685-4655 or Toll Free: 1-888-685-4655
(604) 685-4675 (FAX)
www.goldenreign.com