Golden Reign Resources Ltd. (TSX-V: GRR) (the “Company” or “Golden Reign”) is pleased to report positive drilling analyses from a hydrological test hole completed at its pre-development stage San Albino Gold Deposit, located on the San Albino-Murra Gold Property (the “Property”), Nueva Segovia, Nicaragua.
A diamond drill hole, SA16-GEOT-4020, drilled for hydrological testing purposes was logged, assayed and returned uncut values of 6.0 metres averaging 13.94 g/t gold and 142.7 g/t silver. Recoveries in the mineralized intersection were poor. The drill hole is comprised of the following intervals:
|From (m)||To (m)||Width (m)||Au (g/t)||Ag (g/t)|
This drill hole is situated roughly 40 metres from metallurgical drill hole SA16-MET-02, cored in 2016, and four high-grade holes completed in 2012 (see attached map). The results from drill hole SA16-GEOT-4020 correlate well with results from SA16-MET-02 and the 2012 drill holes:
|SA16-MET-02||3.8 metres averaging 22.51 g/t gold and 31.5 g/t silver (see news release dated May 12, 2016)|
|SA12-45||0.6 metres averaging 14.54 g/t gold and 58.8 g/t silver (see news release dated April 4, 2012 on Sedar.com)|
|SA12-46||3.6 metres averaging 31.53 g/t gold and 24.4 g/t silver (see news release dated April 4, 2012 on Sedar.com)|
|SA12-47||3.6 metres averaging 5.38 g/t gold and 11.6 g/t silver (see news release dated April 4, 2012 on Sedar.com)|
|SA12-48||3.9 metres averaging 13.74 g/t gold and 21.5 g/t silver (see news release dated April 4, 2012 on Sedar.com)|
The mineralized intervals shown above utilize a 1.0 g/t gold cut-off grade, whereas intervals originally reported on April 4, 2012 were not subject to a cut-off grade and were thus reported differently.
The 2016 infill drilling successfully confirmed continuity of the gold bearing system and improved confidence of finding additional high-grade mineralization at the northwestern end of the proposed West Pit. The San Albino Gold Deposit remains open at depth and in all directions.
The Company’s permitting activities are on-going. It is working closely with the Nicaraguan regulatory authorities, namely the Ministry of the Environment and Natural Resources (“MARENA”) and Ministry of Energy and Mines (“MEM”), in order to advance towards receiving the requisite approvals to move the project forward.
The hydrological test work undertaken forms part of the comprehensive geotechnical study supporting Golden Reign’s environmental permit application for the San Albino Mine Project.
PDAC 2017 – Golden Reign Presenting
Dr. Rael Lipson, Director, and Zoran Pudar, VP Exploration, will be co-presenting “San Albino: A high-grade, free gold, Macraes analogue in Nicaragua” from 10:50 a.m. to 11:15 a.m. on Wednesday, March 8, 2017 at the Prospectors & Developers Association Conference in Toronto, Canada, as part of the technical sessions on New Discoveries and Developments. We encourage all access pass holders to attend.
The Company followed industry standards in its QA&QC procedures. A certified standard sample, or a blank or a field duplicate sample is inserted every 10 samples before the set of samples are sent to the Laboratory. This procedure is applied to all drill and trench samples.
John M. Kowalchuk, P.Geo, a geologist and qualified person (as defined under NI 43-101) has read and approved the technical information contained in this news release. Mr. Kowalchuk is a senior geologist consulting to the Company.
On behalf of the Board,
Kevin Bullock, P.Eng.
About Golden Reign:
Golden Reign Resources Ltd. is a publicly listed (TSX-V: 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’s prime objective is to bring its San Albino Gold Deposit into production quickly and efficiently, building cash flow to further advance a number of its other highly prospective exploration targets.
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.
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.