| Tue Jan 19, 2010 San Pablo Assay Results | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Golden Reign Resources Ltd. (the "Company" or "Golden Reign")(TSX-V: GRR) is pleased to announce results obtained during the 2009 first phase exploration program at the San Pablo area of its San Albino-Murra Gold Property (the "Property"), Nicaragua. The area sampled at San Pablo comprises part of the Las Conchitas-San Pablo mineralized structural zone, which stretches 1.5 kilometres from Las Conchitas in the south to San Pablo in the north-east. Regional geological mapping outlined a large intrusive body situated to the west of the Property; however, the presence of intrusive bodies within the Property boundaries was not previously reported. The discovery of several intrusive (granodiorite, diorite, porphyry, granite) float within the floodplain of the Jicaro River factored into the Company's decision to map and sample the San Pablo area. During the initial exploration program, several indigenous surface workings were discovered. The Company proceeded to pan coarse gold out of these indigenous pits. It also mapped several felsic dykes of quartz diorite composition at San Pablo, thus far the only location within the San Albino District known to host such dykes. Additionally, Golden Reign has identified zones of intensively silicified rocks flooded by quartz and mineralized metasediments (schists and phyllites) containing visible gold. Mineralization is predominately controlled by 600 trending structures, producing veins up to eight metres true width. Sheeted veins, containing native gold, arsenopyrite, pyrite, galena and scorodite, form large mineralized stockwork zones of roughly 50x50 metres across. These stockwork zones are situated where the veins are intersected by 3100 structures. Veins that were mapped and sampled on surface were highly mineralized, returning elevated gold values on assay. The more significant sampling results are tabulated below:
Golden Reign's sampling results in the San Pablo area support the results obtained by the previous operator, Condor Resources Plc, which ranged from 0.01 g/t gold to 120.20 g/t gold. Condor's more significant results are presented below:
The geological field notes for the San Albino District comment on the presence of visible gold in both the quartz veins and surrounding graphitic schists. Historically, indigenous miners mined the schist and recovered gold by simple mechanical panning techniques. Taking this background information into account, the Company decided to assay all of the samples using a screen analysis to identify metallic gold. Each 250 gram sample was sieved to minus 150 mesh, the coarse fraction was weighed and tested by fire assay techniques. The minus 150 mesh fraction was also fire assayed. The two sets of assays were then combined according to relative weights and a final gold assay was produced. This technique resulted in significantly improved gold grades. However, several of the schist samples reported anomalous gold values which may be attributable to a nugget effect. The Company will likely alter its sampling and handling techniques, utilizing 500 gram samples, to counteract this nugget effect. Golden Reign continues to evaluate the results from the 2009 program. Assay results from the Arras-Lorenzo and the San Albino-Jobo areas will be released shortly. Please click here for a map of the of the San Albino-Murra Concession (http://www.goldenreignresources.com/i/front/CONCESSION-1_Revised_web.jpg) 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. The trading blackout period, initiated on December 22, 2009, for all insiders, management and consultants of the Company prior to release of all assay results from its Nicaraguan project remains in effect. The blackout period will continue until 24 hours after the results are publicly disseminated. On behalf of the Board, "Kim Evans" Kim Evans, CGA Director & CFO About Golden Reign: Golden Reign Resources Ltd. is a publicly listed (TSX-V: GRR) mineral exploration company engaged in the business of exploring and developing precious metals and mineral assets in Nicaragua. The 2009 first phase program focused on the southern San Albino District which covers approximately 24 square kilometers of the 87 square kilometre property. Within the San Albino District there are two mineralized structural zones: San Albino-Jobo-Arras-Lorenzo in the north; and Las Conchitas-San Pablo in the south. Under the terms of the option agreement, the Company may acquire an 80% interest in the Property over a four year period by making cash payments totalling US$450,000, issuing 4,000,000 common shares from treasury and incurring aggregate exploration expenditures of US$5,000,000. The San Albino-Murra Property is held by a private Nicaraguan company, Nicoz Resources S.A. ("Nicoz"), under a 25 year mining license expiring February 3, 2027 and covers an area of 8,700 hectares (87 sq km). 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 judgment as of the date hereof, based on information currently available. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
You can view the Next News Releases item: Thu Jan 21, 2010, Additional Results - El Jobo/San Albino/Arras/San Lorenzo You can view the Previous News Releases item: Thu Jan 14, 2010, Las Conchitas Area Assay Results You can return to the main News Releases page, or press the Back button on your browser. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
