Gold Reach Announces an 87% Increase in Global M&I Resources at the Seel Deposit 92% of M&I Resources Fit Within A Constraining Pit Shell

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb 18, 2014) - Gold Reach Resources Ltd. (TSX VENTURE:GRV) (Gold Reach and/or the Company) is pleased to announce an updated resource estimate for the Seel deposit. The Seel deposit consists of 2 zones of mineralization, East Seel and West Seel and both are located 4 kilometres southwest of the Ox deposit. All 3 mineralized zones are located on the Company's 100% owned Ootsa property, located adjacent to the operating Huckleberry Mine in British Columbia.

Dr. Shane Ebert, President of the Company stated, "The Company is extremely pleased with the significant advances made at the Seel deposit with this new resource update which represents a large increase in confidence and quality. The deposit now contains 126.76 million tonnes in the global measured and indicated categories, and 92% of this tonnage or 116.3 million tonnes fits within a conceptual open pit outline. In addition 211.4 million tonnes of inferred resources also fit within a conceptual open pit shell, demonstrating the large tonnage at Seel that has potential for open pit exploitation. We have seen increases in average grades at both the East Seel and West Seel zones as a result of the strong drilling results from the 2013 season, and the West Seel zone still remains open for expansion both near surface and at depth."

SEEL RESOURCE HIGHLIGHTS

• Updated global resources for the Seel deposit contain 126.76 million tonnes at 0.37% Cu Eq. in the measured and indicated categories plus 351.14 million tonnes at 0.31% Cu Eq. in the inferred category at 0.2% Cu Eq. cut off.
• Seel global resources contains 1 billion pounds Cu Eq. in the measured and indicated categories and 2.4 billion pounds Cu Eq. in the inferred category.
• Global measured and indicated resources have increased 87%.
• At East Seel 52% of the indicated global resource has been upgraded to the measured category.
• At West Seel there has been a 285% increase in the measured and indicated global resource categories and the zone remains open for expansion.
• The updated global measured and indicated resource shows higher average grades for Cu, Au, Ag at East Seel and for Cu, Au, Mo, Ag at West Seel.
• 92% of the global measured and indicated resource is contained within the open pit constrained resource at 0.2% Cu Eq. cut off.
• Open pit constrained resources contain 116.3 million tonnes at 0.38% Cu Eq. in the measured and indicated categories plus 211.4 million tonnes at 0.34% Cu Eq. in the inferred category, at a 0.2% Cu Eq. cut off.
• At a higher cut off of 0.4% Cu Eq. open pit constrained resources contain 39.8 million tonnes at 0.54% Cu Eq. in the measured and indicated categories and 51.6 million tonnes at 0.49% Cu Eq. in the inferred category.

The new independent mineral resource estimate study was conducted by Giroux Consultants Ltd. and follows up the mineral resource update on Seel completed by Giroux Consultants Ltd. and C. McDowell dated January 29, 2013. The new resource is based on 83,810 meters of drilling in 199 holes and was completed in accordance with Canadian Securities Administrators National Instrument 43-101 ("NI 43-101") and the CIM Standards on Mineral Resources and Reserves, and has an effective date of January 27, 2014. A global resource is presented along with a resource constrained by a conceptual pit shell in order to confirm reasonable prospects of economic extraction as set out in the CIM Definition Standards for Mineral Resources and Mineral Reserves and NI 43-101. This is the first economically constrained resource estimate for the Seel deposit. A technical report with details on the Ox and Seel resource estimates and pit constraints will be available shortly.

Global Resource

Results of the new global resource are summarized in the tables below.

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. 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.

At a 0.2% copper equivalent (Cu Eq.) cut off the East and West Seel deposits contain a measured plus indicated global resource of 126.76 million tonnes grading 0.20% Cu, 0.16 g/t Au, 0.016% Mo, and 2.47 g/t Ag (0.37% Cu Eq.) plus an inferred resource of 351.14 million tonnes grading 0.17% Cu, 0.11 g/t Au, 0.019% Mo, and 1.95 g/t Ag (0.31% Cu Eq.). The new global measured and indicated resource shows higher average grades for Cu, Au, Mo and Ag compared to the 2013 resource estimate, reflecting the higher grade mineralized zones encountered at East Seel and near surface at West Seel during 2013 drilling. This represents an 87% increase in the measured and indicated resource categories compared to the 2013 resource estimate. At East Seel 52% of the indicated global resource has been upgraded to the measured category, and at West Seel there has been a 285% increase in the measured and indicated global resource categories. These large increases in resource categories represent a substantial increase in the confidence of the Seel resource.

Contained metals in the Seel global resource at a 0.2% Cu Eq. cut off are summarized in the table below.

Using a 0.2% Cu Eq. cut off the new Seel global resource contains 558.9 million pounds of copper, 44.7 million pounds of molybdenum, 0.65 million ounces of gold, and 10.1 million ounces of silver in the measured and indicated categories plus 1,316 million pounds of copper, 147.1 million pounds of molybdenum, 1.24 million ounces of gold, and 22 million ounces of silver in the inferred category. The 2014 contained metals show a 6.2% increase in contained copper, 3.5% increase in contained molybdenum, 3.9% increase in contained gold, 6.4% increase in contained silver. These increases are largely a result of increases in metal grades as a result of infill drilling.

Constrained Resource

The East and West Seel deposits have been constrained within a single conceptual pit shell, and the results are summarized in the tables below. At a 0.2% copper equivalent cut off the Seel pit constrained resources contain 116.3 million tonnes grading 0.38% copper equivalent in the measured and indicated categories and another 211.4 million tonnes grading 0.34% copper equivalent in the inferred category. A total of 92% of the global measured and indicated resource is contained within the open pit constrained resource at a 0.2% copper equivalent cut off. At a 0.4% copper equivalent cut off the pit constrained resource contain 39.8 million tonnes at 0.54% copper equivalent in the measured and indicated categories and 51.6 million tonnes at 0.49% copper equivalent in the inferred category. This is a significant tonnage of higher grade material sitting within the constraining pit outline.

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. 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.

An image showing the conceptual pit and the Seel mineralized zone is available here: http://goldreachresources.com/_resources/maps/20140212/seel_resource_constraining_pit.jpg

Using a 0.2% Cu Eq. cut off the new Seel pit constrained resource contains 538.6 million pounds of copper, 43.6 million pounds of molybdenum, 0.6 million ounces of gold and 9.58 million ounces of silver in the measured and indicated categories plus 838.9 million pounds of copper, 97.9 million pounds of molybdenum, 0.8 million ounces of gold, and 15.56 million ounces of silver in the inferred category.

Resource Details

The unconstrained resource estimation was carried out by Giroux Consultants Ltd of Vancouver, British Columbia and Independent Qualified Person Gary Giroux, P.Eng is responsible for the estimate. Surface mapping and drill hole geology at the Seel deposit was used to establish geologic continuity of the mineralized zone and formed the basis for modelling. Geologic modeling was done using GemCom software and mineralized domains (solids) have been defined based on alteration type and grades > 0.15% Cu Eq. All assays outside the solids were considered waste.

Uniform down hole 5 m composites were formed from the drill data and a block model with blocks 10 x 10 x 5 m in dimension was superimposed over all of the mineralized solids. Grades for Cu, Au, Mo and Ag were interpolated into each block by Ordinary Kriging. Due to the poly metallic nature of the Seel deposit a copper equivalent based cut off was used for modelling. As three year trailing average metal prices currently exceed the spot price for Cu, Au, Ag, and Mo, prices near spot were used for the resource calculation. Copper equivalent values were calculated using metal prices of $3.00 lb for Cu, $1300 ounce Au, $22 ounce Ag, and $10 lb for Mo. Recoveries used were obtained from metallurgical test work from Seel and assume 95% recovery for Cu, 85% recovery for Au, 86% recovery for Ag, and 91.5% recovery for Mo. Specific gravity was based on 2726 specific gravity measurements conducted on drill core using the weight in air / weight in water method. For the 2014 estimate there were sufficient specific gravity determinations to estimate specific gravity into every block using Inverse Distance Squared interpolation. This resulted in estimated average specific gravities of 2.73 in the East zone, 2.72 in the West zone, 2.83 in the Breccia zone and 2.75 in the NE zone.

Pit Constrained Resource Details

Moose Mountain Technical Services of Cranbrook, BC, provided engineering and open pit constraints for the Seel resource under the supervision of Independent Qualified Person Tracey Meintjes, P.Eng. The constrained measured, indicated and inferred Seel mineral resource estimates are contained within a single resource-limiting open-pit shell that is up to 1600 metres long by up to 1000 metres wide, and extends to up to 400 metres deep.

Parameters used to establish the Seel resource constraining pit are: Maximum pit slope of 50 degrees, process recoveries of 95% for copper, 91.5% for molybdenum, and 85% for gold and 86% for silver, mining costs of $2.20 per tonne and processing costs of $10 per tonne. Metal prices for the limiting pit were set at $4.50 lb. Cu, $20 lb. Mo, $1600 oz Au, $30 oz Ag.

PDAC Toronto

Gold Reach will be attending the Prospectors and Developers Association of Canada (PDAC) 2014 convention at the Metro Toronto Convention Centre, Toronto. The Company will have a display at booth 2525 in the Exhibitor Hall, level 800, from March 2 to March 5, 2014.

About Gold Reach Resources

The Ootsa property is an advanced stage exploration project containing the East Seel, West Seel and Ox porphyry systems all with NI 43-101 compliant resources. The Company has completed 134,878 metres of core drilling on the property to date, with 36,135 metres completed during 2013. In total the Ootsa property contains compliant pit constrained resources totaling 1.25 billion pounds copper equivalent in the measured and indicated categories and 1.66 billion pounds copper equivalent in the inferred category, using a 0.2% copper equivalent cut off.

For more information on the Ootsa property and the contained resources please see our website at http://goldreachresources.com.

Dr. Shane Ebert, P. Geo. is the Qualified Person responsible for the preparation of this news release. Gary Giroux, P.Eng of Giroux Consultants Ltd has reviewed the portion of this news release pertaining to the resource estimate.

Shane Ebert, President/Director

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. 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.