Greystar Reports: Step-Out Drilling Strikes More Gold
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 26, 2006) - Greystar
Resources Ltd. (TSX:GSL)(AIM:GSL) is pleased to report that eastern
step-out drill holes on its wholly-owned, multi-million ounce Angostura
gold-silver deposit in northeastern Colombia have returned 19.39 grams
gold per tonne over 5 metres and 30.8 grams gold per tonne over 1.6
metres, while underground drilling in the Silencio area has encountered
28.25 metres grading 7.24 grams gold per tonne.
"The on-going diamond drill program is continuing to define and
significantly extend the eastern boundary of this very large gold-silver
system," states Greystar's Executive Vice-President, Frederick Felder.
"The latest results continue to show higher-grade shoots within broader
zones of lower-grade mineralization which are so indicative of the
Angostura deposit."
The assays from 20 new holes include two holes drilled 50 metres east of
the previous holes in the Veta de Barro area with hole VB06-02
intersecting seven structures, several of which penetrated higher-grade
shoots, including 19.39 grams gold per tonne over 5 metres in Vein 551,
30.8 grams gold per tonne over 1.6 metres in Vein 523 and 8.26 grams
gold per tonne over 1.1 metres in Vein 521. VB06-01, which was collared
75 metres to the south, intersected six mineralized structures including
Veins 523, 524, and 522 returning 0.87 gram gold per tonne over a
cumulative width of 44 metres (including dilution between veins).
Meanwhile, drilling on the eastern extension of the Veta de Barro area
continues to provide positive results as hole VBE06-03 returned 1.02
grams gold per tonne over 31 metres, 2.71 grams gold per tonne over 5.7
metres and 3.14 grams gold per tonne over 3.45 metres within a broader
zone averaging 0.56 gram gold per tonne over a cumulative width of 272
metres (including dilution between veins). This result further expands
the wide mineralization hit in VBE06-01, which was drilled 100 metres to
the west and returned 11 metres grading 1.18 grams gold per tonne, 1.5
metres grading 21.7 grams gold per tonne, 12 metres averaging 9.29 grams
gold per tonne and 25 metres averaging 1.02 grams gold per tonne (Press
Release March 21, 2006).
Moving even further east, hole QPO06-04 intersected 2.32 grams gold and
252.8 grams silver per tonne over 5.1 metres. This well mineralized
structure is being tentatively correlated with the Veta de Barro system,
but given its location and the high silver values it may in fact be
correlatable with the Los Laches area. Additional drilling in this area
should confirm the correlation.
In La Alta area, offset holes to the east of the known deposit also
returned promising values with hole AL06-04 yielding 1.55 grams gold per
tonne over 8 metres and further down the hole, 0.77 gram gold per tonne
over 17.45 metres, plus 0.60 gram gold per tonne over 18.5 metres. Some
200 metres to the east, AL06-05 intersected 2.63 grams gold per tonne
over 2 metres suggesting that La Alta structures are less well developed
in this area but further to the east, hole AL06-06 intersected La Alta
structures yielding 1.09 grams gold per tonne over 8.8 metres, 2.5 grams
gold per tonne over 9.5 metres, 2.18 grams gold per tonne over 6 metres
and 0.62 gram gold per tonne over 14 metres.
Continuing eastward, hole QPO06-03 intersected 1.78, 1.32 and 0.68 gram
gold per tonne over 6.85, 14 and 7.5 metres, respectively. This hole
extends La Alta structures to the east by over 325 metres.
In the Silencio area, one drill hole was drilled on the eastern limit of
the structures tested to date with hole SI06-04 returning 1.13 grams
gold per tonne over 24.6 metres and 1.08 grams gold per tonne over 12
metres.
The results from the underground flat drilling program were equally
encouraging with hole USI06-05 collared in the Silencio area
intersecting 28.25 metres running 7.24 grams gold per tonne, plus 1.28
grams gold per tonne over 19.6 metres and 1.04 grams gold per tonne over
13 metres. To the northwest in the Diamante area, hole UDM06-03 returned
1.05 grams gold per tonne over 42.8 metres within a cumulative width of
116 metres grading 0.62 gram gold per tonne.
In addition underground drilling of flat holes in the La Alta area also
provided further confirmation of the sheeted vein system with hole
UAL-06-03 returning 1.32 grams gold per tonne over 18 metres, 1.15 grams
gold per tonne over 24.2 metres and 10.83 grams gold per tonne over 2.8
metres, while hole UAL06-05 returned 1.06, 1.07, 1.68, and 0.89 grams
gold per tonne over 10.8, 7, 7.5 and 15.75 metres, respectively.
On the reconnaissance front, drilling of the northern limit of the main
Cristo Rey geochemical anomaly returned more moderate grade structures
with hole CR-06-02 returning up to 1.05 grams gold per tonne over 4.15
metres and 3.38 grams gold over 0.8 metre, while hole VBE06-05, which
was collared 200 metres to the east intersected 0.54 gram gold per tonne
over 11.35 metres, plus 3.03 grams gold per tonne over 3.2 metres.
The latest drill results include:
/T/
--------------------------------------------------------------------
From To Interval Gold Silver
Hole Intercept (m) (m) (m (iii)) gm/t gm/t
--------------------------------------------------------------------
AL06-04 V1 76.0 84.0 8.0 1.55 1.7
----------------------------------------------------------
V5 302.0 319.45 17.45 0.77 2.5
----------------------------------------------------------
V7 384.0 402.5 18.5 0.6 1.0
--------------------------------------------------------------------
AL06-05 V6 154.0 156.0 2.0 2.63 6.1
--------------------------------------------------------------------
AL06-06 V1 5.7 14.5 8.8 1.09 0.8
----------------------------------------------------------
V3 71.5 81.0 9.5 2.5 1.8
----------------------------------------------------------
V5 138.0 144 6.0 2.18 0.1
--------------------------------------------------------------------
CR06-02 NEW 106.85 111 4.15 1.05 23.5
----------------------------------------------------------
NEW 163.2 164.0 3.38 0.8 23.6
--------------------------------------------------------------------
QPO06-03 V1 283.15 290.0 6.85 1.78 2.8
----------------------------------------------------------
V3 388.0 402.0 14.0 1.32 3.6
----------------------------------------------------------
V306 419.4 426.9 7.5 0.68 0.6
--------------------------------------------------------------------
QPO06-04 V551 57.7 62.8 5.1 2.32 252.8
--------------------------------------------------------------------
SI06-04 V31 2.4 27.0 24.6 1.13 2.4
----------------------------------------------------------
V307 249.0 261.0 12.0 1.08 2.9
--------------------------------------------------------------------
UDM06-01 V20-V21-V22-V23 0.0 57.0 57.0 0.65 5.1
----------------------------------------------------------
V26 133.5 160.0 26.5 0.51 3.6
----------------------------------------------------------
V27 169.15 197.4 28.25 0.98 2.8
--------------------------------------------------------------------
UDM06-02 V411-V20-V21 6.0 54.0 48.0 0.94 7.4
----------------------------------------------------------
V24-V25-V26 111.0 133.45 22.45 0.77 3.5
--------------------------------------------------------------------
UDM06-03 V21 49.0 91.8 42.8 1.05 7.1
--------------------------------------------------------------------
UAL06-03 V22 21.0 39.0 18.0 1.32 6.9
----------------------------------------------------------
V27 159.0 183.2 24.2 1.15 1.2
----------------------------------------------------------
V29/V314 183.2 186.0 2.8 10.83 1.2
--------------------------------------------------------------------
UAL06-04 V23 86.0 92.35 6.35 1.17 12.7
----------------------------------------------------------
V24 108.3 113.0 4.7 2.07 3.8
----------------------------------------------------------
V26 132.0 148.0 16.0 0.78 2.6
----------------------------------------------------------
V29 173.0 183.3 10.3 0.88 2.4
--------------------------------------------------------------------
UAL06-05 V21 3.2 14.0 10.8 1.06 7.9
----------------------------------------------------------
V22 39.0 46.0 7.0 1.07 8.6
----------------------------------------------------------
V23 51.5 59.0 7.5 1.68 16.4
----------------------------------------------------------
V29 180.7 196.45 15.75 0.89 2.8
--------------------------------------------------------------------
USI06-04 V313 93.55 102.5 8.95 1.16 3.1
----------------------------------------------------------
V16 116.5 121.0 4.5 0.99 6.2
----------------------------------------------------------
V29 141.5 152.0 10.5 0.62 3.5
--------------------------------------------------------------------
US06-05 V53 0.0 13.0 13.0 1.04 4.2
----------------------------------------------------------
V29/V314 82.75 111.0 28.25 7.24 1.8
----------------------------------------------------------
V26 132.4 152 19.6 1.28 8.7
--------------------------------------------------------------------
VB06-01 V522-V523-V524 14.0 58.05 44.05 0.87 7.0
--------------------------------------------------------------------
VB06-02 V523 122.4 124.0 1.6 30.8 36.1
----------------------------------------------------------
V551 251.0 256.0 5.0 19.39 63.1
----------------------------------------------------------
V521 206.6 207.7 1.1 8.26 32.4
--------------------------------------------------------------------
VBE06-03 V521 66.0 97.0 31.0 1.02 2.4
----------------------------------------------------------
V552 136.0 141.7 5.7 2.71 10.7
----------------------------------------------------------
V553 154.15 157.6 3.45 3.14 25.4
--------------------------------------------------------------------
VBE06-04 NEW 108.0 113.0 5.0 0.96 9.8
--------------------------------------------------------------------
VBE06-05 NEW 25.65 37.0 11.35 0.54 9.2
----------------------------------------------------------
V551 453.8 457.0 3.2 3.03 1.9
--------------------------------------------------------------------
Note: m(iii) - Down-hole width, not corrected but based on drill
holes and structural dip of the mineralization, the interval is
considered to be close to true width.
/T/
Based on 112,797 metres of drilling, the August 2005 resource estimate
for the Angostura deposit came in at 5.83 million ounces of gold and
24.6 million ounces of silver within an indicated resource of 148.14
million tonnes grading 1.22 grams gold per tonne and 5.17 grams silver
per tonne, plus another 4.47 million ounces of gold and 21.5 million
ounces of silver within an inferred resource of 123.3 million tonnes
grading 1.13 grams gold per tonne and 5.42 grams silver per tonne using
a cut off of 0.4 gram gold for oxide and 0.55 gram gold for sulphide
(Press Release August 16, 2005). Resource estimation was undertaken in
compliance with CIM Mineral Resource and Mineral Reserve definitions
that are referred to in National Instrument (NI) 43-101, Standards of
Disclosure for Mineral Projects. A location map of the Angostura
drilling, along with a map of the underground tunnel work, can be
accessed from our home page link at Greystar's website:
www.greystarresources.com.
REVIEW BY QUALIFIED PERSON, QUALITY CONTROL AND REPORTS
The results of the Company's drilling program have been reviewed,
verified (including sampling, analytical and test data) and compiled by
the Company's geological staff (which includes a qualified person,
Frederick Felder, P.Geo., for the purpose of National Instrument 43-101,
and Guidance Note for Mining, Oil and gas Companies issued by the London
Stock Exchange in respect of AIM companies, which outline standards of
disclosure for mineral projects). Frederick Felder, P.Geo., has over 30
years of mineral exploration experience, is a member in good standing
with the Association of Professional Engineers and Geoscientists of
British Columbia and is the qualified person responsible for this
release.
The Company has implemented a quality control program to ensure sampling
and analysis of all exploration work is conducted in accordance with the
best possible practices. Under these quality assurance measures, drill
core is sawn in quarters (HQ) or halves (NQ), with one quarter or one
half of the core samples shipped to ALS-Chemex Laboratory (ISO 9002
registered) in Vancouver, B.C. for analysis. The remainder of the core
is retained for future assay verification. Gold analysis is conducted by
fire assay (one assay tonne) using an atomic absorption finish. The
laboratory reassays using the ALS-Chemex protocol, and additional checks
may be run on anomalous values. Greystar has independent re-analysis and
sample preparation checks run at other accredited laboratories. The
Company also introduces background blanks prepared from previously
analyzed core samples from the Angostura Project.
Forward-Looking Statement
Some statements in this report contain forward-looking information.
These statements address future events and conditions and, as such,
involve inherent risks and uncertainties. Actual results could be
significantly different from those projected.
All dollar amounts are in Canadian dollars, unless otherwise stated.
-30-
FOR FURTHER INFORMATION PLEASE CONTACT:
Greystar Resources Ltd.
Mr. Dave Rovig
President
(406) 245-9520
www.greystarresources.com
or
Parkgreen Communications
Cathy Malins
+44 (0) 20 7493 3713
Cathy.malins@parkgreenmedia.com
or
Parkgreen Communications
Annabel Leather
+44 (0) 20 7493 3713
Annabel.leather@parkgreenmedia.com
No Stock Exchange has reviewed or accepts responsibility for the
adequacy or accuracy of this news release.
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