Gold Reach Provides A Corporate Overview of the Ootsa Property Which Contains 3.26 Billion Pounds Cu Eq Inferred Plus 0.58 Billion Pounds Indicated
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 02/19/13 -- Gold Reach Resources Ltd. (TSX VENTURE: GRV) (Gold Reach and/or the Company) is pleased to provide an overview of the company's 100% owned Ootsa Property, located adjacent to the producing Huckleberry Mine south of Smithers, British Columbia.
HIGHLIGHTS
-- Large Resource Base on the Property - At a 0.2% Cu Eq cut off the Ootsa
Property contains 463.5 million tonnes of inferred resources plus an
additional 67.8 million tonnes indicated.
-- Higher Grade Material - At a 0.4% Cu Eq cut off the Ootsa Property
contains 75.06 million tonnes of inferred resources plus an additional
25.98 million tonnes indicated with grades near or above 0.5% Cu Eq.
-- Near Surface Higher Grade Zones - Shallow higher grade zones that are
potentially open pit mineable occur at East Seel, Seel Breccia zone, and
Ox and could have potential to help accelerate pay back of capital
expenditures.
-- Contained Copper Equivalent - The property contains 3.26 billion pounds
of copper equivalent inferred plus an additional 0.58 billion pounds of
copper equivalent indicated.
-- Technical Report Available - The technical report supporting the Seel
and Ox resource estimates is complete and will be posted on Sedar and on
our website shortly (http://goldreachresources.com).
Resource Summary
Total resources for the Ootsa Property are summarized in the table below and are taken from recent resource updates conducted on the Seel and Ox deposits (previously released see January 29, 2013 and February 11, 2013 news releases). The table highlights the large resource base that now occurs on the Ootsa Property within the Seel and Ox deposits. At a 0.2% Cu Eq cut off property wide NI 43-101 compliant resources contain 463.5 million tonnes in the inferred category plus an additional 67.8 million tonnes in the indicated category. The tremendous rate at which resources have been increased over the past 2 years is illustrated in the graph available at http://goo.gl/WuzRC. Roughly 200 million tonnes of resources were added to the project following the 2011 exploration program and roughly 250 million tonnes of resources were added following the 2012 program. The Company anticipates that further significant resource increases are possible with continued exploration on the property.
Within this very large resource there is a substantial amount of higher grade material. At a 0.4% Cu Eq cut off the Ootsa property contains 75.06 million tonnes in the inferred category plus 25.98 million tonnes in the indicated category with average grades near or above 0.5% Cu Eq (see table below). Portions of these higher grade resources occur at or near surface in the East Seel, Seel Breccia Zone, and Ox deposits, and these near surface higher grade zones could be important for rapid pay back of capital expenditures in any future mining operation.
The near surface higher grade zone at East Seel (or Seel Cu-Au zone) was intersected in hole S11-90 which returned 194 metres grading 0.37% Cu and 0.42 g/t Au starting at 22 metres depth (previously released). To the north of East Seel, in the Seel Breccia zone, hole S06-42 returned 138 metres grading 0.85% Cu and 23 g/t Ag starting at 22 metres depth (previously released). At the Ox deposit hole Ox07-2 intersected 112.5 metres grading 0.36% Cu and 0.029% Mo from 30 metres depth, and hole Ox07-22 intersected 66.4 metres grading 0.36% Cu and 0.054% Mo from 6.1 metres depth (previously released). Some areas of near surface higher grade mineralization are also known at West Seel including hole S12-108 which intersected 316 metres grading 0.56% Cu Eq starting at 24 metres down hole, including 30 metres grading 1% Cu Eq starting at 74 metres down hole.
Understanding the near surface higher grade zones of mineralization on the Ootsa Property will be important as the company continues to advance the project and evaluate the economics.
Summary of Resources on the Ootsa Property
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Grade greater than Cut-off
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Cut-off Tonnes
Deposit Class (CUEQ) (x1000) Cu (%) Au (g/t) Mo (%) Ag (g/t) CuEq (%)
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Seel Indicated 0.20 67,760 0.21 0.17 0.015 2.02 0.39
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Total Indicated 0.20 67,760
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Seel Inferred 0.20 410,880 0.16 0.11 0.018 1.95 0.31
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Ox Inferred 0.20 52,650 0.21 0.03 0.022 1.25 0.32
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Total Inferred 0.20 463,530
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Seel Indicated 0.40 25,980 0.30 0.26 0.018 2.63 0.55
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Total Indicated 0.40 25,980
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Seel Inferred 0.40 67,160 0.25 0.20 0.029 3.00 0.51
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Ox Inferred 0.40 7,900 0.31 0.05 0.031 1.50 0.46
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Total Inferred 0.40 75,060
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Mineral resources are not mineral reserves and by definition do not
demonstrate economic viability. There is no certainty that all or any part
of the mineral resource will be converted into mineral reserves. An
'Indicated Mineral Resource' is that part of a Mineral Resource for which
quantity, grade or quality, densities, shape and physical characteristics
can be estimated with a level of confidence sufficient to allow the
appropriate application of technical and economic parameters, to support
mine planning and evaluation of the economic viability of the deposit. An
'Inferred Mineral Resource' is that part of a Mineral Resource for which
quantity and grade or quality can be estimated on the basis of geological
evidence and limited sampling and reasonably assumed, but not verified.
The total contained metals on the Ootsa Property are summarized in the table below. The property contains 1.79 billion pounds of copper in the inferred category plus 0.31 billion pounds of copper in the indicated category along with 1.5 million ounces of gold inferred plus 0.37 million ounces of gold indicated. Molybdenum totals 188.6 million pounds inferred plus 22.4 million pounds indicated, and silver totals 27.9 million ounces inferred plus 4.4 million ounces indicated. There is a considerable amount of silver known to occur within the high grade silver-base metal veins at the Damascus prospect, but this area currently does not contain a compliant resource estimate. On a copper equivalent basis the property contains 3.26 billion pounds of copper equivalent inferred plus another 0.58 billion pounds of copper indicated.
Ootsa Property contained metals at 0.2% Cu Eq cut off
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Element Deposit Contained metal
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Copper - indicated Seel 313,708,980 pounds
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Copper - inferred Seel + Ox 1,793,090,647 pounds
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Gold - indicated Seel 370,351 ounces
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Gold - inferred Seel + Ox 1,503,893 ounces
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Molybdenum - indicated Seel 22,407,784 pounds
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Molybdenum - inferred Seel + Ox 188,586,506 pounds
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Silver - indicated Seel 4,400,640 ounces
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Silver - inferred Seel + Ox 27,875,614 ounces
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Cu Eq - indicated Seel 582,602,392 pounds
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Cu Eq - inferred Seel + Ox 3,259,524,380 pounds
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Exploration Targets to Test
The Ootsa Property contains numerous exploration targets located within a few kilometres radius of the known deposits, and the property has a lot of exploration upside. A map showing some of the exploration targets on the property is available at the flowing link: http://goo.gl/fJ8d4. There are 5 geophysical chargeability anomalies surrounding the Ox and Seel deposits, and 13 magnetic anomalies. The Seel deposit contains overlapping chargeability and magnetic anomalies and 2 of the untested chargeability anomalies have similar features. Damascus style high grade silver base metal veins have been encountered in drilling at both the Seel and Ox deposits, and this style of mineralization could be widespread across the property. Known or interpreted faults with potential to host silver base metal veins are shown on the Exploration Target map at the link above.
Plans for 2013
Funding and planning for the 2013 exploration season at Ootsa are in progress. Detailed plans will be announced when they are finalized. The Company anticipates another aggressive exploration program at Ootsa in 2013 to fill in and expand known deposits, and further explore and drill test the highest priority exploration targets surrounding the known zones of mineralization. The 2013 program will likely include substantial drilling, extending the geophysical coverage over the area, a large surface exploration program, additional metallurgy, and possibly baseline environmental, geotechnical, and engineering studies.
For more information please see our website at http://goldreachresources.com. All of our recent news releases can be viewed on the Company's website at http://goldreachresources.com/news/2013/.
Seel and Ox Technical Report
The Technical Report supporting the Seel and Ox resource estimates is now complete and will be posted on Sedar and on the company's website (http://goldreachresources.com) under the Technical Report tab shortly.
PDAC Toronto and Mines and Money Hong Kong
Gold Reach will display core from the Seel deposit at the Core Shack during the Prospectors and Developers Association of Canada (PDAC) 2013 at the Metro Toronto Convention Centre, Toronto. Seel core will be displayed from 10 am to 5:30pm on Sunday March 3 and Monday March 4 at Booth 5002 in the Core Shack, level 700. Gold Reach will also have a display during PDAC in the Exhibitor Hall, level 800, at booth 2525.
Gold Reach is pleased to announce that it will be attending the Mines and Money Conference in Hong Kong at the Hong Kong Convention and Exhibitor Centre from March 18 to 22. Gold Reach will have a display at booth L53, and will give a presentation on the Ootsa project at 12:50pm on March 19th.
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.
The Company is well financed with over $2.5 million dollars in the treasury and holds a 2% NSR covering 23,000 hectares of mining claims located adjacent to the Blackwater Gold deposit in central British Columbia.
Dr. Shane Ebert, P. Geo. is the Qualified Person responsible for the preparation of 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.
Contacts:
Gold Reach Resources Ltd.
Shane 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
Envoy Strategic Partners
Jay Bedard
416-977-7778
jay@envoystrategicpartners.com
