October 7, 2008
Ideal Geological Conditions for Intrusion Related Gold (IRG) Deposits Identified on Elray’s Porphyry Creek Project
Elray Resources, Inc. (OTCBB: ELRA), a technically-driven gold and precious mineral exploration company, is pleased to report to shareholders on findings at its Porphyry Creek Project in Cambodia.
Elray Resource's Porphyry Creek Project is a grass roots project located approximately 290 km north of Phnom Penh in an area considered to have potential to host a copper porphyry system with copper and gold mineralization, based upon reconnaissance geological mapping and sampling. The project area is 9,000 hectares and Elray owns 100% of the license.
Management is pleased to report that the project area contains intrusives with consistent fine grainsize, but rare porphyry textures indicating a shallow plutonic environment of intrusion. This is an ideal crustal level for the development of Intrusion Related Gold (IRG) deposits.
In addition, mining industry consultants Behre Dolbear Australia Pty Ltd ("BDA"), who were commissioned by Elray Resources to prepare a technical report on the project, sampled and observed an interesting new style of mineralization for Cambodia on the SW edge of the ground that suggests there is a copper porphyry that underlies the project, either directly beneath the sampled outcrop or in a really close sense. A select sample of the chalcopyrite and malachite/azurite micro-veining appearing near vertical in fairly close spacing (10 to 15 veinlets of 0.5 to 1.0 mm thickness per meter) produced results up to 1% copper in the quartz rich granodiorite outcropping in the stream and banks of a small drainage.
"We consider this to be a very significant find," commented Mr. Barry J. Lucas. "This type of porphyry is often associated with large tonnage copper deposits which are amenable to open pit mining, and this is in addition to the IRG gold deposits for this project. We will be keeping shareholders updated on developments."
About Elray Resources, Inc.
Elray Resources, Inc. is a junior exploration and development Corporation which has successfully accumulated a portfolio of four highly prospective, heavily mineralized mining tenements in Cambodia and Mexico. Elray Resources, Inc's, primary objective is to source projects, conduct geological assessments and seek Joint Venture partners to develop the properties.
Please visit www.ElrayMining.com for more information.
This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Actual results may differ from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks associated with gold & precious mineral exploration risks related to competition, management of growth, new products, services and technologies, potential fluctuations in operating results, international expansion, commercial agreements, acquisitions and strategic transactions, government regulation and taxation. More information about factors that potentially could affect the Company's financial results is included in its filings with the Securities and Exchange Commission.
Investor Relations: Jake Harris Phone: (347) 410 9782 Email: Email Contact
SOURCE: Elray Resources, Inc.