RE: Gold Canyon Intersects 257 Meters at 1.48 GramDecember 07, 2011 08:30 ETGold Canyon Intersects 257 Meters at 1.48 Grams per Tonne Gold at the Springpole Gold ProjectVANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 7, 2011) - Gold Canyon Resources Inc. (TSX VENTURE:GCU)(PINKSHEETS:GDCRF) ("Gold Canyon" or "the Company") is pleased to announce additional drill results from its Summer-Fall drill program including drill hole SP11-096 which intersected 257 meters at 1.48 grams per tonne gold (843 feet at 0.043 oz per ton gold) including 37 meters at 3.03 grams per tonne gold (121 feet at 0.088 oz per ton gold). Drill hole SP11-096 is located 100 meters southeast of hole SP11-091 (310 meters at 1.87 grams per tonne gold announced November 16, 2011) and continues to demonstrate excellent continuity of the higher grade core of the Portage Zone. Assays are awaited from drill holes SP11-097 through -104, all needed for completion of the new National Instrument (NI) 43-101 technical report including resource estimate. Due to delays in receiving these assays, it is now planned that the resource estimate will be announced in January rather than mid-December as originally intended.To view a map of the Springpole Gold Project, please visit the following link:
https://media3.marketwire.com/docs/gcu127i.pdf.Gold Canyon is also pleased to announce it has contracted SRK Consulting (Canada) Inc. to undertake work on its NI 43-101 compliant Preliminary Economic Assessment (PEA) targeted for completion in the second half of 2012. SRK Consulting will work closely with Mr. William F. Tanaka, a Qualified Person independent of Gold Canyon as defined in NI 43-101, who is updating the resource estimate at Springpole.In addition, SGS Lakefield Research Ltd. has been contracted to conduct metallurgical test work to support the upcoming PEA. Five core holes, drilled in various parts of the Springpole deposit, have been delivered to the lab in Lakefield, Ontario to facilitate test work in the next 3-4 months. Mr. Michael Fallat, a Qualified Person independent of Gold Canyon as defined in NI 43-101, has been contracted to assist Gold Canyon with coordinating all future metallurgical test work for Springpole.Drilling will continue at Springpole until Christmas with two drills testing deeper parts of the mid-section of the Portage Zone. Since July, nearly 15,300 meters have been drilled, over 25% more meters than originally planned. Crews are currently flooding the lake ice over the target area to build up sufficient thickness to support an aggressive winter drill program beginning in January. Gold Canyon plans to drill at least 50,000 meters at Springpole in 2012 with approximately 80% of this directed at infill in the Portage Zone and 20% testing new exploration targets including the southeast strike projection of the Portage Zone."We are preparing to move Springpole forward aggressively in 2012," comments Dr. Quinton Hennigh, Technical Advisor to, and Director of, Gold Canyon. "The addition of SRK Consulting, SGS Lakefield and Mr. Fallat to our existing team puts us in an excellent position to complete our PEA during the second half of 2012. Meanwhile, we eagerly await final assays for the remaining holes required for our NI 43-101 compliant resource estimation."Summary of Drill Results Diamond drill hole SP11-096, a vertical infill hole drilled from a barge on the 0+500 m section line, intersected 257 meters at 1.48 grams per tonne gold (843 feet at 0.043 oz per ton gold) including 37 meters at 3.03 grams per tonne gold (121 feet at 0.088 oz per ton gold) and continues to demonstrate excellent continuity of the higher grade core of the Portage Zone. Due to soft ground conditions casing was set to a depth of 66 meters where the first core was recovered. This mineralized intercept is continuous along almost the entire length of the drill hole which ended at 327 meters, and clearly demonstrates the continuity of the higher-grade core of the Portage Zone to depth. Diamond drill holes SP11-092 (situated on the 0+600 m section line) and SP11-095 (situated on the 0+550 m section line) were both drilled at an azimuth of 220 degrees true north with inclinations of -55 and -45 degrees, respectively. These holes both tested the "Bridge Zone," a recently identified, near-surface body of mineralization between the Portage and East Extension Zones. Both holes encountered multiple intervals of mineralization that appear to be part of a stacked, sub-horizontally oriented body between the upper portion of the Portage Zone and the near-surface East Extension Zone lying approximately 200 meters to the northeast. The Bridge Zone has now been intersected by multiple holes between the 0+500 m and 0+700 m section lines and represents a potentially significant addition to the Springpole mineralized system. Diamond drill hole SP11-093, a vertical infill hole drilled from a barge on the 0+050 m section, tested the southwest shoulder of the Portage Zone. This hole encountered 194.5 meters at 0.85 grams per tonne gold (638 feet at 0.025 oz per ton gold) including several higher grade zones (see table below); the drill hole ended in mineralization at a depth of 316.5 meters down-hole. Diamond drill hole SP11-094, situated on the 0+350 m section line and drilled at an azimuth of 220 degrees true north and inclination of -50 degrees, tested deeper parts of the Portage Zone in this area. This hole intersected 142.5 meters at 0.71 grams per tonne gold (467 feet at 0.021 oz per ton gold). Interestingly, several shorter intervals of mineralization were encountered further down-hole outside of the southwest margin of the Portage Zone.Summary of Results from Holes SP11-092 through -096 Hole From(meters ) To(meters ) Length(meters ) Gold (gramsper tonne ) Length(feet ) Gold (ozper ton )SP11-092 2.0 7.0 5.0 0.91 16 0.027 109.0 177.0 68.0 0.58 223 0.017 214.0 221.0 7.0 1.14 23 0.033 SP11-093 122.0 316.5 194.5 0.85 638 0.025 includes 170.0 316.5 146.5 1.03 481 0.030 includes 224.0 253.5 29.5 2.11 97 0.062 includes 270.0 275.0 5.0 3.68 16 0.107 Hole ended in mineralization at 316.5 meters SP11-094 312.5 455.0 142.5 0.71 467 0.021 includes 336.0 337.0 1.0 12.69 3 0.371 471.0 472.0 1.0 5.39 3 0.157 509.0 520.0 11.0 0.40 36 0.012 536.0 552.0 16.0 0.48 52 0.014 562.0 566.0 4.0 0.42 13 0.012 No core was recovered from 374-377, 392.5-395.5 and 421-424 meters SP11-095 21.0 37.0 16.0 1.73 52 0.051 includes 25.0 28.0 3.0 4.89 10 0.143 256.0 264.0 8.0 0.34 26 0.010 269.0 283.0 14.0 0.32 46 0.009 296.0 307.0 11.0 0.39 36 0.011 SP11-096 66.0 323.0 257.0 1.48 843 0.043 includes 66.0 103.0 37.0 3.03 121 0.088 includes 94.0 99.0 5.0 9.01 16 0.263 includes 227.0 250.0 23.0 2.53 75 0.074 292.5 306.0 13.5 2.44 44 0.071 Weighted averages were used to calculate all reported intervals Intervals of no core recovery were given a gold grade of 0 gpt in the weighted averages above Reported intervals apply a 0.2 gram per tonne gold (0.006 oz per ton gold) lower cutoff Internal dilution within reported intervals does not exceed core lengths of 10 meters 1 troy oz = 31.103 grams Conversion factor - grams per tonne to troy oz per short ton; g/t divided by 34.2857 or g/t multiplied by 0.0292 1 meter = 3.28 feet Core was logged then split using diamond saws with one half sent for analyses and the other half stored for future reference. Quality control programs include the use of field and laboratory duplicates, standards, blanks, and internal and external check assaying. Certified sample standards were submitted with the normal sample stream. Gold and silver assays were completed by SGS Canada Inc. in Red Lake and Toronto, Ontario using a 30 gram charge, fire assay, with an ICP finish. For over limit assay results, initial assays in excess of 10.0 grams per tonne Au, a gravimetric finish is utilized.About SpringpoleSpringpole is an alkaline intrusion hosting a gold system that represents a potentially new style of Canadian Archean Shield gold deposit. The Portage Zone is hosted by a trachytic porphyry intrusion displaying polyphase autolithic breccias that host gold mineralization. Other zones, including the East Extension and Main, consist of high-grade veins and pods hosted in diatreme breccias composed of intrusive and country rock fragments. These breccias surround the northwest and northern margins of the Portage Zone. The known mineralized zones underlie a total known area of about 4 square kilometers representing only about 15 percent of the greater alkaline intrusive complex which remains yet to be explored.Quinton Hennigh, Ph.D., P.Geo., and Alan Roberts, M.Sc., P.Geo. are the Qualified Persons pursuant to National Instrument 43-101 responsible for, and have reviewed and approved, the technical information contained in this news release. Dr. Hennigh is acting as a technical adviser to Gold Canyon and Alan Roberts is the Senior Geologist of Alaska Earth Sciences, Inc. and Senior Exploration Geologist at Springpole.About Gold Canyon Resources Inc.:Gold Canyon is engaged in the acquisition and exploration of mineral and precious metals properties. The Company controls a 100% interest in the Springpole Gold - Horseshoe Island Gold, Platinum, Palladium Project and Favourable Lake Poly-metallic property currently under option to Guyana Frontier Mining Corp. pursuant to an option and joint venture agreement entered into in December 2005 - all in the Red Lake Mining District of Ontario, Canada.Through its wholly owned U.S. subsidiary, Gold Canyon Resources USA Inc., the Company controls a 100% interest in the Cordero Gallium Project situated in Humboldt County, Nevada, U.S.A.Gold Canyon entered into a Joint Exploration Agreement with the Japan Oil, Gas and Metals National Corporation (JOGMEC) in January 2009.Additional information can be found on the Company's website:
www.goldcanyon.ca.