Silver Spruce Exploration - SSE

Last .75   +.18 / 31.57%
Shares Out:  24.3
Market Cap:  $18.225M

Initial Coverage @ .38  +.37 / 97.37%

Silver Spruce recently discovered a wide zone of mineralization on thier two time property in Newfoundland.  With the success of the initial program, they doubled the size of the phase 2 program to 1600m and initial results from the 2007 phase 2 expansion are starting to trickle in and are more impressive than the first.   Silver Spruce is in the process of making a big time discovery on this property and is apparent that there is significant mineralization including economical grades and the widths including zones of high grade mineralization.  Some of these intercepts rival crosshair's best results and SSE's zone of mineralization is much wider than Crosshair's.  With such a tiny market cap Silver Spruce could pop over $1 very fast and not look back.  There is still 1200m of assays and drill holes    

MARCH 1, 2007 - 09:15 ET
Silver Spruce Resources Inc. and Universal Uranium Ltd.: 30 Meters of 0.11% U308 Discovered at Two Time Zone

- Higher grade intersection of 30m of 0.11% U3O8

- Wide zone of uranium mineralization intersected - 107m of 0.052% U3O8

- Highest grade intersection to date - 3m of 0.312% U3O8 including 1.19% over 0.4m
BRIDGEWATER, NOVA SCOTIA and VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 1, 2007) - Silver Spruce Resources Inc. (TSX VENTURE:SSE)(FRANKFURT:S6Q) and Universal Uranium Ltd. (TSX VENTURE:UUL) are pleased to announce that continued drilling at the Two Time Zone, located on the CMBNW claim block, to the east of Snegamook Lake in central Labrador, has further defined the wide zone of uranium mineralization intersected in the December diamond drilling program. Results have been received from one new drill hole, and the extension of another. The new hole, CMB-07-6, gives the highest grades and thickest widths discovered to date.

The drilling targeted a radioactive anomaly, the Two Time Zone. The best mineralization was located in DDH CMB-07-6 drilled under DDH CMB-06-5 at a 50 degree dip, intersecting the zone between 150m and 200m deep. This hole intersected 107m of 0.052% uranium oxide (U3O8) from 172m to 279m, including higher grade zones: 0.11% U3O8 over 30m from 172m to 302m including 0.312% U3O8 over 3.0m from 172m to 175m. This is the deepest intersection to date and indicates that the zone may be increasing in size and grade to depth. The host for the mineralization is an altered, brecciated and fractured felsic intrusive, monzonite to monzodiorite, which carries extensive chlorite, carbonate and hematite alteration.

"We are very excited by this new discovery," stated Lloyd Hillier, President and CEO of Silver Spruce. "These results further indicate the potential presence of a large economic uranium deposit on our ground."

At the start of the 2007 drill program, DDH CMB-06-5 was extended 85.4m from 140.2m to 225.6 m. Uranium mineralization was located in the interval between 170m and 195m giving three zones, two grading 0.02% to 0.03% U3O8 and the third zone graded 0.088% U3O8 over 3.4m from 180.8m to 184.2m.

The uranium zone appears to be near vertical to steeply dipping to the east at 75 to 80 degrees, indicating that drill intersections are probably one half to two thirds true width.

The zone has been traced over a 200m plus strike length from Line 1+25 N where CMB-06-2 gave 71.5m of 0.015% U3O8 to Line 0+50 S, where CMB-06-5 gave 59.2m of 0.024% U3O8. It appears to narrow to the north, where CMB-06-1 gave 15.8m of 0.033 % U3O8. Stronger mineralization is located in the southern portion of the grid where anomalous soil geochemistry indicates the zone may continue under a small pond. A total of five shallow holes at -45 degrees dip, totaling 812m, tested the zone in December. The two holes reported on in this press release bring the total drilled to 1257 m in 6 drill holes. Diamond drilling is continuing and further results will be released as received.

Selected analytical values for the sections sampled are shown in the table below. A plan map of the drilling, plus a section through DDH's 3, 5 and 6, are shown on Silver Spruce's and Universal Uranium's websites.

Diamond Drilling - CMBNW Property - Two Time Showing

DDH # From To Length % U3O8 lbs / ton
m U3O8
CMB-06-1 41.7 57.5 15.8 0.0326 0.65
incl. 41.7 44.8 3.1 0.0494 0.99
incl. 42.9 43.6 0.7 0.14 2.8
incl. 42.9 43.1 0.2 0.28 5.66
incl. 51.3 53.3 2.0 0.0546 1.09
CMB-06-2 90.0 161.5 71.5 0.0148 0.30
" 126.2 126.6 0.4 0.104 2.08
" 136.1 139.9 3.8 0.0394 0.79
CMB-06-3 83.5 165.9 82.4 0.0211 0.42
" incl. 83.5 107.5 24.0 0.0404 0.81
" incl. 86.8 93.7 6.9 0.0561 1.12
" 100.8 102.4 1.6 0.13 2.6
" 106.1 107.5 1.4 0.13 2.6
" 159.8 161.9 2.1 0.0766 1.53
CMB-06-4 No Samples Taken
CMB-06-5 44.0 103.2 59.2 0.0238 0.48
46.0 56.0 10.0 0.0417 0.83
97.2 97.5 0.3 0.1639 3.28
CMB-06-5 ext 169.9 172.0 2.1 0.021 0.42
180.8 184.2 3.4 0.088 1.76
189.6 195.2 5.6 0.031 0.62
CMB-07-6 172.0 279.0 107.0 0.052 1.04
incl. 172.0 202.0 30.0 0.11 2.2
incl. 172.0 175.0 3.0 0.312 6.24
incl. 177.3 173.7 0.4 1.19 23.8
and 179.0 187.0 8.0 0.137 2.74
and 192.0 198.0 6.0 0.143 2.86
303.0 307.0 4.0 0.05 1.0

All core showing significant scintillometer values was cut and analyzed. No
samples were taken from CMB-06-4 since scintillometer values were low and
felsic/mafic units were interfingered. Core samples were halved by sawing
on site, with one half sent for analysis and the other half retained for
further study. Analyses were performed by Activation Laboratories in
Ancaster, Ontario, an approved, accredited laboratory, using the delayed
neutron activation technique, which gives accurate results for samples
carrying up to one percent uranium.


This release has been approved by Peter Dimmell, P.Geo., Vice President of Exploration, Silver Spruce Resources Inc., who is a Qualified Person (QP) as defined in National Instrument 43-101.


The CMB northwest block is part of the Silver Spruce/Universal Uranium CMB/Seal Lake joint venture previously announced.


Silver Spruce Resources Inc. (TSX VENTURE:SSE)(FRANKFURT:S6Q) is a junior exploration company primarily focused on uranium in the Central Mineral Belt (CMB) of Labrador, Canada. With over 8,500 claims totaling more than 2,100 square kilometers, Silver Spruce is the second largest landholder in one of the world's premier emerging uranium districts. A large-scale exploration program on the company's properties in the summer of 2006 resulted in the first uranium discovery in October from early stage follow up of the airborne surveys. With experienced partners and strong financial backing, Silver Spruce is emerging as a leading uranium explorer in Labrador.