NEWS Calico continues to drill significant lengths of high grade gold at Grassy Mountain including 38.1m (125 feet) of 8.77 g/t (0.256 opt)VANCOUVER, Dec. 15, 2011 /PRNewswire/ - Calico Resources Corp. (TSXV: CKB) (OTCQX: CVXHF) (the "Company" or "Calico") is pleased to announce final results of the next five (5) sequential drill holes, CAL-003 to CAL-007, from the drilling campaign at the Grassy Mountain Project completed on October 30, 2011. This season's drill program consisted of step-out and in-fill drilling and was designed to enhance and expand the boundaries of the higher grade portion of the resource. Holes CAL-004 through CAL-007 each contain significant high grade gold intercepts and are surrounded by substantial lengths of moderate grade material that further enhance the economic viability of the Grassy Mountain system. The full program consisted of twelve drill holes totaling 3,115m (10,216 ft.), the first two drill holes were previously reported on November 15, 2011. The remaining five holes will be reported after final assays are received. See Table 1 below for current results.Highlights: CAL-004R, a -70 degree step-out hole (45.7m / 150ft.) cut 38.1m (125 ft.) of mineralization averaging 8.77 g/t (0.256 opt) Au including 12.2m (40 ft.) averaging 15.86 g/t (0.463), extends mineralization to the south on section 2850NW. CAL-005R, a -65 degree fill-in hole, covers a 60.9m (200 ft.) gap in drilling by intersecting 60.9m (200 ft.) averaging 4.83 g/t (0.141) opt Au including 19.8m (65 ft.) averaging 11.47g/t (0.335 opt) Au, extends mineralization vertically and to the north on section 3050NW. CAL-006R, a -65 degree step-out hole (30.5m / 100 ft.) on section 3150N, intersected 30.5m (100 ft.) averaging 5.79 g/t (0.169 opt) Au including 16.8m (55 ft.) averaging 9.35 g/t (0.273 opt), extends mineralization to the south. CAL-007R, a -70 degree fill-in hole, covering a 60.9m (200 ft.) gap in the drilling, intersected 65.5m (215 ft.) of mineralization averaging 4.62 g/t (0.135 opt) Au including 18.3m (60 ft.) averaging 8.84 g/t (0.258 opt) Au, confirms and extends mineralization to the south on section 3100NW. The total mineralized gold intercept is 166.1m (545 ft.) averaging 2.57m (0.075 opt) Au. HOLE ID FROMfeet TO feet LENGTHfeet Au oz/t LENGTHmeters Au g/t CAL003 722.1 741.8 19.7 0.155 6.00 5.31 CAL004R 520 825 305 0.127 92.96 4.35 Includes 520 645 125 0.034 38.10 1.16 and includes 645 825 180 0.191 54.86 6.54 that includes 645 770 125 0.256 38.10 8.77 that includes 715 755 40 0.463 12.19 15.86 and includes 755 825 70 0.051 21.34 1.75 CAL005R 420 755 335 0.097 102.11 3.32 Includes 555 755 200 0.141 60.96 4.83 that includes 555 665 110 0.047 33.53 1.61 and includes 665 730 65 0.335 19.81 11.47 that includes 690 710 20 0.791 6.10 27.09 and includes 730 755 25 0.052 7.62 1.78 CAL006R 620 720 100 0.169 30.48 5.79 Includes 620 675 55 0.273 16.76 9.35 Includes 675 720 45 0.043 13.72 1.47 CAL007R 300 845 545 0.075 166.12 2.57 Includes 300 630 330 0.036 100.58 1.23 and includes 630 845 215 0.135 65.53 4.62 that includes 630 715 85 0.088 25.91 3.01 and includes 715 775 60 0.258 18.29 8.84 and includes 775 845 70 0.086 21.34 2.95It is not possible at this time to determine true width of the higher grade intercepts. All holes were angle holes, and were drilled normal to the trend of mineralization; however they did not penetrate full width of mineralization due to the geometry of the deposit. A Drill Hole Plan Map and Sections 2850NW, 3050NW, 3100NW 3150NW and 3400NW depicting the locations of CAL-003 through CAL-007 are posted to the Company's website along with a Table detailing the "on section" neighboring holes results at
www.calicoresources.com.Vance Thornsberry VP of Exploration states "All holes accomplished their targeted objective by intersecting the high-grade portion of the resource as designed. All holes drilled this season appear to have encountered the correct lithology, alteration and structure consistent with the historic drilling. The remaining five (5) drill holes will be announced as appropriate when the final assays are received."