COLORADO SPRINGS, CO -- (Marketwire) -- 06/20/11 -- Gold Resource Corporation (GORO) (NYSE Amex: GORO) is pleased to announce having significantly increased its land position adding a sixth potential high-grade property to the Company's Oaxaca Mining Unit. Gold Resource Corporation is a low-cost gold producer with operations in southern Mexico.
The Company staked several new claims including El Chamizo consisting of 26,386 hectares (101 square miles) connecting the Company's Alta Gracia property to its El Rey property effectively consolidating approximately 48 kilometers (29 miles) along strike of the important north 70 west regional structural corridor. With this new acquisition, Gold Resource Corporation has 100% interest in 60,998 hectares (235 square miles) located in Oaxaca, Mexico. The combined claims represent the Company's sixth property added to its Oaxaca Mining Unit (see map), now consisting of El Aguila, El Rey, Alta Gracia, Las Margaritas, El Chamizo and Solaga. In addition, the Company staked a 2000 hectare (7 square miles) claim located on the southeast end of the corridor which adds to and increases the size of the Aguila Project.
Gold Resource Corporation's President, Mr. Jason Reid, stated, "After much work and patience, we have methodically consolidated a dominant land position now connecting five properties on what we believe will become one of the most important mineralized structural corridors in southern Mexico."
"On the southeast end of the corridor is our Aguila Project, home to our largest high-grade polymetallic deposit discovered to date, La Arista. On the corridor's northwest end is the Company's El Rey property, a high-grade gold vein system established by our limited drilling in 2008. In the middle of the corridor is the Alta Gracia property, previously mined on a small scale in the 1970s, where a recent Company drill program commenced testing many high-grade targets. The new property Chamizo, located between Alta Gracia and El Rey, is a major increase to our land holdings along what we believe is a highly mineralized corridor," stated Mr. Reid.
Mr. Reid continued, "This acquisition is in line with our long term objective of having multiple high-grade properties feeding ore to the Aguila mill. Our approach should keep capital expenditures on developing additional properties to a minimum, deliver a pipeline of projects for future growth and provide for longevity of operations."
