September 30, 2016, Vancouver, British Columbia - Gold Reach Resources Ltd. (the 'Company' or 'Gold Reach') (TSX-V:GRV) is pleased to announce assay results from surface sampling at the Troitsa Peak exploration target located on the Company's 100% owned Ootsa Property, in west central British Columbia. In early September Gold Reach conducted its first ever evaluation of the Troitsa Peak target which sits 8 kilometres south of the Seel deposit, at an elevation of about 1800 metres.
The Troitsa Peak target contains a large alteration system that is partially exposed over a width of 250 metres and has been traced for 1700 metres along strike. The zone contains strong argillic alteration along with numerous silicified breccia zones, quartz veins and quartz stockworks. Gold Reach collected 47 samples from outcrop and float, and the results confirm the zone contains widespread and anomalous gold and silver. Gold results from the 47 samples range from <0.001 g/t to 1.4 g/t, with an average of 0.13 g/t. Silver results range from <0.5 to 197 g/t, with an average of 14 g/t. Samples of note include: a composite grab over 1 metre from an outcropping quartz vein and stockwork zone which returned 1.4 g/t gold and 40 g/t silver (sample 37903), a composite grab over 1 metre from an outcropping stockwork zone which returned 1.36 g/t gold (sample 37932), and a 2.5 metre chip sample from a silicified zone which returned 1.14 g/t gold and 27.5 g/t silver (sample 37948).
A strongly altered rhyolite dike, tens of meters wide, intrudes along the main zone and has been traced for hundreds of metres along strike. This dike has locally been brecciated and cemented with gray sulfide-bearing quartz. A grab sample of this outcropping breccia returned 0.25 g/t Au and 197 g/t Ag (sample 37933), demonstrating the altered rhyolite dike is an important bulk minable exploration target.
At the eastern edge of the area evaluated, an outcrop of feldspar porphyry with a black fine-grained matrix was discovered. At this outcrop a float boulder of black matrix porphyry containing visible copper oxides was sampled and returned 4.78% copper and 96.9 g/t silver (sample 37931). The extent of the black matrix porphyry and the significance of the high grade copper mineralization remains unknown, but is an important target for follow up prospecting.
Dr. Shane Ebert President of the Company stated, 'the early stage prospecting and mapping work at Troitsa Peak is very encouraging and provides a strong base for future work in the area. The main system is clearly prospective for gold and silver, and the new discovery of high grade copper mineralization east of the zone indicates potential for porphyry copper style mineralization as well. The large Ootsa property contains numerous zones of known gold, silver and base-metal mineralization that have not yet been evaluated by the Company. We look forward to systematically evaluating these zones as we continue to advance our main deposits.'
Incentive Stock Options Granted
The Company has granted 1,305,000 incentive stock options to its directors, officers, employees, and consultants, at an exercise price of $0.155 per share for a term of five years from the date of the grant. The incentive stock options were granted in accordance with the Company's Stock Option Plan.
About Gold Reach Resources
Gold Reach Resources owns a 100% interest in the Ootsa Property, an advanced stage exploration project containing the East Seel, West Seel and Ox porphyry deposits located adjacent to the open pit Huckleberry copper mine. The property contains NI 43-101 compliant resources of 224 million tonnes in the Measured and Indicated categories with contained metals of 1.1 billion pounds of copper and 1 million ounces of gold as summarized in the table below.
Ootsa Project Pit Constrained Mineral Resource Estimate at $8.50/t NSR Cut-off Value
|
Category
|
Tonnes
('000's)
|
CuEq
%
|
Cu
%
|
Au
g/t
|
Mo
%
|
Ag
g/t
|
CuEq
M lbs
|
Cu
M lbs
|
Au
K oz
|
Mo
M lbs
|
Ag
K oz
|
|
Measured
|
187,148
|
0.38
|
0.23
|
0.15
|
0.021
|
2.8
|
1,568
|
934
|
916
|
85
|
17,089
|
|
Indicated
|
37,041
|
0.35
|
0.21
|
0.12
|
0.023
|
2.8
|
286
|
175
|
146
|
19
|
3,368
|
|
M&I
|
224,189
|
0.37
|
0.22
|
0.15
|
0.021
|
2.8
|
1,854
|
1,109
|
1,062
|
104
|
20,457
|
On February 9, 2016, the Company announced a positive Preliminary Economic Assessment (PEA) for the Ootsa Property with potential for low capital cost, low riskand rapid pay back utilizing existing infrastructure in the district with a contract mining and toll milling scenario. The study recommends that Gold Reach continue to advance the Ootsa Project with extended and advanced technical studies with the intention of moving the project toward a production decision.
The current technical report supporting the resource statement and PEA is available on SEDAR or the Company's website at www.goldreachresources.com and has an effective date of January 2016. The resource estimate uses $8.50 per tonne NSR cut-off value. 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. A 'Measured Mineral Resource' is that part of a mineral resource for which quantity, grade or quality, densities, shape and physical characteristics are so well established that they can be estimated with confidence sufficient to allow the appropriate application of technical and economic parameters, to support production planning and evaluation of the economic viability of the deposit. 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. Copper Equivalent (CuEq) calculations are based on base case metal price (US$3/lb Cu, US$1260/oz Au, US$10.30/lb Mo, and US$17/oz Ag) and process recovery assumptions, and take into account smelter payable rates and refining costs. M&I = measured and indicated.
Dr. Shane Ebert P.Geo., 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 and Chief Executive Officer
For Further information, please contact:
Telephone: 604-718-5454
Toll Free: 888-500-4587
[email protected]
http://goldreachresources.com
Or
Don Mosher
Corporate Development
Telephone: 604-685-6465
[email protected]
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.
This News Release contains forward-looking statements, which relate to future events. In some cases, you can identify forward-looking statements by terminology such as 'will', 'may', 'should', 'expects', 'plans', or 'anticipates' or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, level of activity, performance or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking-statements. Such uncertainties and risks may include, among others, that the Offering will not complete, actual results of the Company's exploration activities being different than those expected by management, delays in obtaining or failure to obtain required government or other regulatory approvals or financing, inability to procure equipment and supplies in sufficient quantities and on a timely basis, equipment breakdown and bad weather.While these forward-looking statements, and any assumptions upon which they are based, are made in good faith and reflect the Company's current judgment regarding the direction of its business, actual results will almost always vary, sometimes materially, from any estimates, predictions, projections, assumptions or other future performance suggests herein. Except as required by applicable law, the Company does not intend to update any forward-looking statements to conform these statements to actual results.