Golden Reign Resources Ltd.: Update on Drilling at San Albino
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 05/17/11 -- Golden Reign Resources Ltd. (the 'Company' or 'Golden Reign') (TSX VENTURE: GRR) is pleased to provide an update on the Phase I infill diamond drilling program at its San Albino-Murra Gold Property (the 'Property'), Nicaragua. The drill program commenced April 4, 2011.
To date, 1,592 metres have been cored in six drill holes. All drill holes have intersected the San Albino zone at the predicted depth, approximately 45 metres, extending the mineralized zone by an additional 150 metres along strike. The total drill intercepted strike length is now 300 metres. This provides initial support for the continuity of the zone, which remains open along strike and dip.
Two deep holes (SA11-10 and SA11-16) returned intercepts that, upon examination, appear highly mineralized at the projected depth of the Arras vein. The intersections are mineralogically identical to the Arras vein, thus confirming the down-dip extension of the vein and indicating continuity of at least 185 metres. Arras, one of several parallel mineralized structures, underlies the San Albino zone and originates approximately 400 metres to the east.
Designed to test the San Albino zone and for additional mineralized structures, drill holes average 175 metres at depth, with deeper holes exceeding 300 metres. The average daily rate of drilling is 45 metres, with core recovery averaging approximately 80% per hole. Core samples for the first five holes were shipped to the BSI Inspectorate preparation facility in Nicaragua and thereafter to Inspectorate's analytical laboratory in Richmond, British Columbia, where all samples will be assayed by metallic screen method.
The planned program comprises up to 10,000 metres of definition drilling, to further extend the mineralized area and obtain sufficient data to calculate a NI 43-101 compliant mineral resource for San Albino/Arras. Overall, the drilling results are in line with the Company's expectations and the program is proceeding on schedule.
Qualified Person
John M. Kowalchuk, P.Geo, a geologist and qualified person (as defined under NI 43-101) has reviewed the technical information contained in this news release.
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 located in Nueva Segovia, Nicaragua. Held under a 25 year mining license expiring February 3, 2027, the property covers an area of 8,700 hectares (87 sq km).
The Company has outlined a structural corridor approximately 3 kilometres wide by 15 kilometres long, which spans the Property, stretching from Las Conchitas in the south to the northeast mining town of Murra. Old workings exist along the corridor. The San Albino Mine flanks the northwestern edge of this structural trend.
Nicaragua, a mining-friendly jurisdiction, is situated in the Central American Gold Belt, which extends from Costa Rica in the south to Guatemala in the north. Within this prolific gold belt, estimates of historical production total more than 20 million ounces.
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 judgent as of the date hereof, based on information currently available.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.
Contacts:
Senergy Communications Inc.
Anthony Zelen
Investor Relations
778-331-2028
anthony@senergyir.com
www.senergyir.com