Gold Resource Corporation Provides Oaxaca Mining Unit Exploration Update Including 8.54 g/t Gold Intercept Over 3.87 Meters, Targets 2016 Mill Feed From Alta Gracia Property

 

COLORADO SPRINGS, CO - Gold Resource Corporation reported high-grade drill results from three of its six properties within its Oaxaca Mining unit. The Company is also progressing towards 2016 mill feed from Alta Gracia and an Aguila mill agitated leach circuit startup. Gold Resource Corporation is a gold and silver producer with operations in Oaxaca, Mexico and exploration in Nevada. The Company reported high-grade exploration drill results from its Alta Gracia property located approximately 16 kilometers northwest of the Company's producing Arista Mine in Mexico. Hole 4150006 at Alta Gracia's Mirador vein returned 4.01 meters grading 2.52 grams per tonne (g/t) gold and 595 g/t silver. A second Mirador vein intercept in the hanging wall ("HW") returned 2.12 meters grading 1.74 g/t gold and 493 g/t silver.

The Company also reported high-grade exploration drill results from its Las Margaritas property located approximately 7 kilometers northwest of the Company's producing Arista Mine in Mexico. Hole 315003 intercepted the Tapada vein returning 2.15 meters grading 1.15 g/t gold and 599 g/t silver. Hole 315004 intercepted 0.68 meters grading 1.65 g/t gold and 1,260 g/t silver. Hole 315002 returned 0.30 meters grading 7.05 g/t gold and 4,010 g/t silver. Three additional drill holes are reported in the table below, all of which intercepted high grade mineralization. The Company believes the high-grade veins at Las Margaritas may widen at depth, similar to what has been defined at the Arista deposit and the associated Switchback discovery where thin veinlets exposed at the surface widen to multiple meter width veins at depth. Similar to Alta Gracia, drilling at Las Margaritas to date does not show any appreciable base metals, therefore any potential precious metal mineralization could be trucked to the Aguila mill and processed through the agitated leach circuit in the future.

At the Aguila Project, the Company reported high-grade exploration drill results from targeted mineralized extensions at the historic Aguila open pit. Located less than 1 kilometer from the Aguila mill, the Aguila open pit is the small starter pit from which the Company commenced commercial production in July 2010. Production from the open pit ceased in March 2011 when the Company began mining and processing higher grade polymetallic ore from the Arista underground mine. Drilling at the open pit has targeted feeder veins at depth as well as an expansion of the original manto (flat lying) vein mined in 2009 and 2010.

Barry Devlin, Vice President of Exploration, stated, "The recent drill results from Alta Gracia, Las Margaritas and the northerly extension of the open pit on the Aguila Project continue to define high grade gold and silver mineralization along the San Jose structural fault corridor. With the Company now controlling over 55 kilometers of this largely unexplored prospective corridor, we are very excited with these continued high-grade results underscoring the corridors potential."

"While we continue to drill high-grade along our mineralized corridor, we are excited to be delineating mineralization at Alta Gracia for potential agitated leach mill feed," stated Gold Resource Corporation's CEO and President, Jason Reid. "It is particularly exciting to be working towards near-term production from a second property as we work to permit Alta Gracia. Since we plan to access the mineralization from existing artisanal portals and drifts and truck the material offsite for processing at our Aguila mill, we expect our Alta Gracia footprint and impact of operations to be less than typically encountered in mining operations. As a result, we are optimistic that the Alta Gracia permitting process could be far less arduous and perhaps more timely than other permitting scenarios. Assuming the Company successfully secures its agreements and permits, mineralized material feed from Alta Gracia to our mill's agitated leach circuit is targeted to commence in 2016, and any additional gold and silver production would add to the Company's existing production profile."