Golden Arrow Resources Corporation announced results from the first six holes of its Phase IV drill program at the Chinchillas silver, lead, zinc deposit in Jujuy Province, Argentina. Results from these holes indicate that the resource continues to expand in several directions, and the deposit edges have not yet been reached. The program will include up to 16,000 meters of diamond drilling to contribute to the planned feasibility study.

The program goals include: testing the limits of the deposit in all directions, including at depth; in-filling drill hole spacing to facilitate the upgrade of the resource categories to Measured and Indicated, and; drilling for infrastructure and geotechnical studies. Mineralized intercepts for six drill holes that targeted several zones throughout the deposit. The western portion of the deposit includes the upper Silver Mantos zone and lower Mantos Basement zone.

The eastern portion of the deposit includes the upper Socavon del Diablo zone, with the lower Socavon Basement zone. The zones are all part of a volcanic vent system in which explosive volcanic activity produced diatreme breccias in tuffs in the central part of the vent and brecciated the underlying Ordovician basement schists. The zones are described in detail in the recent NI 43-101 Technical Report.

Drill core from these holes was subject to visual inspection and qualitative analysis using a hand-held X-ray fluorescence spectrometer for silver, lead and zinc. Intervals of the core deemed prospective for mineralization were prioritized and sent to the laboratory for analysis, as indicated below. The remainder of the core will be analyzed in subsequent batches. Holes CGA-130 targeted expansion of resources to the north of the Socavon zone.

The hole included the characteristic coarse tuff breccia with clasts of dacite. Mineralization fills open spaces in the tuff breccia and includes pyrite and sphalerite, with occurrences of chalcopyrite, which is uncommon on the property. In addition to the intercepts of silver, lead and zinc, the three meter interval from 71 to 74 meters depth returned an average of 0.26 gold g/t and also 0.27% copper.

These values are anomalous in the project and may indicate proximity to the magmatic source of the hydrothermal solutions. The entire hole was sent for analysis. Holes CGA-132 and CGA-133 were infill holes collared in the west side of the deposit.

CGA-132 encountered silver, lead and zinc mineralization in a tuff bed or dike, with only samples from 112 to 163 meters assayed. CGA-133 intercepted mineralization in brecciated basement units starting below the tuff contact. The hole was analyzed from 100 meters to the bottom.

Results are expected to add to resources in this area. Drill holes CGA-134 and 135 tested the western extent of mineralization. CGA-134 was analyzed from 80 meters to the bottom of the hole, and CGA-135 from was tested from 45 meters to the bottom.

Both holes intercepted significant intervals of mineralization in sheeted veinlets and minor crackle breccias, indicating that the resource can continue to expand in this direction. Hole CGA-136 is collared 60 meters north of Phase III hole CGA-129, and was assayed starting at 50 meters depth. The new silver-lead intercepts returned represent a significant northward expansion of the Mantos Basement zone.