|September 13, 2011|
Update on Exploration on the MRT REE and CMBJV Uranium Projects, Labrador
- Significant REE stream, soil and rock sample values located on MRT property
- Diamond drilling on CMBNW JV uranium property
- Two Time zone - U mineralization continues to 460 m depth
- Firestone showing being tested with 14 holes planned
September 13, 2011, Silver Spruce Resources Inc. (TSXV: SSE) is pleased to provide an update on exploration on the MRT rare earth element (REE) property located approximately 35 km from Goose Bay along the Trans Labrador Highway (TLH) and the Central Mineral Belt Joint Venture (CMBJV) Uranium (U) Project, both in Labrador. Exploration has consisted of regional work (stream sediment sampling and prospecting) on the MRT REE property and prospecting, trenching, and diamond drilling (11 holes, 3,376 metres) on the CMBNW Joint Venture (JV) property.
MRT - Results have been received for prospecting rock samples and test geochemical surveys. The highest soil and two of the highest stream sediment values from a test survey carried out by Ralph Stea, a geochemical consultant for Great West Minerals Group, as part of due diligence for the Pope's Hill Joint Venture (PHJV), were located in the western portion of the MRT property just north of the TLH. These results have not been explained however anomalous airborne Th radiometric anomalies are located just to the north of the highway in this area. The rock sample results from the prospecting give a number of significant REE values over a 2 km2 area to the northeast of the anomalous stream and soil values and additional prospecting to the northwest of the known mineralization and to the north, upstream of the anomalous stream value, has located radioactive samples, possibly indicating Th mineralization related to the REE mineralization -- some analyses remain pending. A total of 60 outcrop/float results have been received giving an average of 1.7% TREE+Y, including 14 values > 1.5 % TREE+Y, and 36 < 0.2% TREE+Y. Average values in the area are: 2,752 ppm (0.27%) La, 4,969ppm (0.5%) Ce, 483 ppm Pr, 1,532 ppm (0.15%) Nd, 183 ppm Sm, 10.5 ppm Eu, 110.5 ppm Gd, 12 ppm Tb, 57 ppm Dy, 9.5 ppm Ho, 23 ppm Er, 3 ppm Tm, 16.5 ppm Yb, 2 ppm Lu, and 225 ppm Y. Average values for sample results > 1.5% TREE+Y are: 10,708 ppm (1.07%) La, 19,166 ppm (1.92%) Ce, 1,851 ppm (0.18%) Pr, 5806 ppm (0.58%) Nd, 672 ppm Sm, 35 ppm Eu, 398 ppm Gd, 41 ppm Tb, 192 ppm Dy, 31 ppm Ho, 76 ppm Er, 9 ppm Tm, 52 ppm Yb, 7 ppm Lu, and 789 ppm Y. Uranium results from the 60 rock samples give seven values > 500 ppm U, including four >1000 ppm (0.1%) U. The REE and U values are located in different parts of the property and are not coincident. The samples are selected grab samples, based on radioactivity using scintillometers and are not representative of the overall values in the area.
A total of 68 stream sediments have been taken on the property with all results pending. A regional soil survey is planned to better define areas for follow up trenching later this fall.
CMBNW JV - The CMBJV operator, Crosshair Exploration and Mining, is testing for deeper mineralization on the Two Time uranium zone with 1,642 m of diamond drilling in 4 holes completed with drilling ongoing. Down hole gamma logging has confirmed uranium mineralization to a depth of at least 460 m. A second drill is testing the Firestone Showing, a brecciated hematitic monzogranite, located 7 kilometres to the southeast of the Two Time Zone, which has given uranium values ranging from 200-900 parts per million (ppm) in trench and float samples. Seven drill holes, totaling 1734 m, have been completed with an additional seven planned. All assays are pending.
Further information on the MRT and CMBJV properties can be found on Silver Spruce's website at www.silverspruceresources.com. A Technical Report on the CMBNW Property, prepared for Silver Spruce and Crosshair, dated June 22, 2009 is filed on SEDAR. The CMBJV Project is a joint venture with Crosshair, whereby Crosshair retains a 63% ownership and Silver Spruce 37%. SSE is not contributing to the 2011 exploration program therefore is being diluted with the total dilution dependent upon the final expenditures on the project.
All rock and stream samples are transported to the Activation Labs preparation facility in Goose Bay by SSE personnel, then shipped to their laboratory in Ancaster, ON. for analysis using their 8 REE package for rocks and 1D enhanced package for streams. The laboratory uses internal standards to check their analyses and blanks are included in each sample batch. Consultant Ralph Stea's stream and soil sediment samples were shipped to Great Western Minerals in Saskatoon, SK. with REE analyses carried out on the -80 size fraction at SRC Geoanalytical Laboratories, in Saskatoon using a total extraction method consisting of heating in a mixture of ultrapure HF/HNO3/HClO4 until dry with the residue dissolved in dilute ultrapure HNO3 and then REE analysis by ICP-MS.
Plan maps of the properties, showing the sample results to date, the airborne Th radiometric and magnetic data plus pictures showing the area, the showings and some of the higher grade samples, are shown on the Silver Spruce website at silverspruceresources.com.
This release has been approved by Peter M. Dimmell, P.Geo. President and CEO of Silver Spruce Resources Inc., who is a Qualified Person (QP) in NL and ON. as defined in National Instrument 43-101.
ABOUT SILVER SPRUCE
Silver Spruce is a diversified junior exploration company with a portfolio of rare earth (Pope's Hill, Pope's Hill JV (with Great West Minerals Group), MRT, RWM and the Straits), gold silver (Big Easy), and for the longer term, uranium (CMBJV, Snegamook, Double Mer, Mount Benedict), projects in Newfoundland and Labrador. With interests in more than 4,000 claims totaling more than 1,000 square kilometers in Labrador, Silver Spruce is one of the largest landholders in one of the world's premier emerging rare earth and uranium districts.
For Further Information Contact:
SILVER SPRUCE RESOURCES
Gordon Barnhill, CFO & Director
Hugh Oswald, Ascenta Capital Partners Inc.
Phone: 604.684.4743 ext. 243
Toll Free: 1.866.684.4743 ext. 243
Neither 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. The company seeks Safe Harbour.
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