Highlights
- Rock sample values to 2.48% total rare earth elements (TREE) plus yttrium
- Recent government lake sediment TREE values in the 400 to 650 ppm range on the properties

July 6, 2010 - Bridgewater, NS - Silver Spruce Resources Inc. (TSXV: SSE) is pleased to announce the results of re-analysis of rock samples for Rare Earth (REEs) and associated elements from the 100% owned Straits (ST) property in southern Labrador. The samples were taken during the 2007/2008 uranium exploration program and were acquired for their uranium potential as indicated by scintillometer readings.

The Straits property, totaling 505 claims (approximately 126 km2), is located along the Straits of Belle Isle between the communities of Red Bay and Mary's Harbour and to the south of, and within 20 km of, the Trans Labrador Highway. The original property was acquired in 2006 under an agreement with a Newfoundland prospector, Alex Turpin, who retains a 1% NSR. The property was reduced to those areas which showed the highest uranium potential in early 2009. Lake and stream sediment and rock samples were originally analyzed for uranium primarily using an ICP technique which also gives values for other elements including La (lanthanum) and Th (thorium). No other REE, Y or other indicator elements were analyzed in the original ICP data.

Twenty-six rock sample rejects returned from the laboratory after the first analyses were performed, and which were anomalous in either La or Th, were analyzed for the full suite of REEs, yttrium (Y) and other indicator elements such as zirconium (Zr) and niobium (Nb). The samples gave values up to 2.48% total rare earth elements (TREE) plus yttrium, 2.2% zirconium, and 636 ppm niobium. Thirteen samples gave values > 0.1% TREE + yttrium, including five (5) > 0.4%. Samples were generally LREEs with percentages in the 85-90% range of LREEs from the samples analyzed. The minerals carrying the REEs are unknown at this time. Most of the high values were located in outcrop in the north central and north-eastern ends of the property, however, one sample in the southwestern part gave a value of 0.5 % TREE including yttrium. A summary of the sample results is given in the table following. No follow up work has been carried out to date.

In the 2007/08 work, lake sediments gave thirty-three samples with values > 200 ppm La including seven > 300 ppm against a background of 65 ppm with the highest value 903 ppm La while Th gave only background values (< 20 ppm). Stream sediments gave nineteen (19) values > 100 ppm La including four > 200 at 208, 242, 342, and 392 ppm against a background of approximately 50 ppm. Values for Th are low with only one sample giving 50 ppm with a background of 20 ppm. Rock samples gave three values > 1,000 ppm La with the highest 3,908 ppm against a background of < 30 ppm. Nine samples gave Th values > 1,000 ppm, including four > 2,000 ppm and a high value of 6,810 ppm. Strong correlation in the rock samples is noted between La and Th with the four samples that gave the highest La values also giving some of the highest Th values (see news release dated May 27, 2010).

A geochemical release (OF Lab 1538) by the NL government on June 30, on a high-density lake sediment and water survey in southeastern Labrador showed anomalous values in rare earth elements with TREE values in the 400 to 650 ppm range on the Straits property, some of the highest located in the survey.

Background for this survey is less than 100 ppm TREE, including Y.

The property covers uranium in lake sediment anomalies associated with a north-northwest trending fault structure in Proterozoic, metamorphosed, felsic volcanics, now orthogneiss. Exploration from 2007 to 2009 included lake, stream sediment and soil geochemistry, ground scintillometer surveys, prospecting, and geological mapping. Significant uranium showings were located in the south central part of the property near the coast. The "BB shot" showing gives grab sample values up to 67,439 ppm (6.7 %) U3O8 in outcrop along the contact of a weakly gneissic, fine-grained granite, and a pegmatite with associated magnetite and biotite. The "Bingo" showing, approximately 3 km from the BB shot, and also associated with the contact of the granite and orthogneiss, gave 17 anomalous values (>10 ppm U3O8) with a high value of 5,887 ppm (0.59%) U3O8, associated with uranophane staining. Uranium/thorium ratios averaged 5:1 in samples giving uranium values >250 ppm. Anomalous values in Th (to 6,810 ppm), Cu (to 2,720 ppm) and Pb (>5,000 ppm) were also found with the higher thorium values giving low uranium values. Since uranium was the target element at the time, the 2008 exploration allowed the company to define areas of higher uranium potential to allow consolidation and downsizing (reduction) of the property to the 423 claims (106 km2) now in the property.

All stream sediment, soil and rock analyses were carried out at the Activation Laboratories (Actlabs) facility in Ancaster, Ontario after sample preparation at the Actlabs preparation facility in Goose Bay. In 2007/2008, uranium and other elements, including the REE (La) and Th, were analyzed by an ICP technique (AR ICP) with values in excess of 250 ppm uranium reanalyzed by delayed neutron counting (DNC) for uranium. The recent (2010) results were analyzed by a rare earth package (Code 8 REE) at Activation Laboratories using either ICP or MS analysis plus analysis for U3O8 and Nb2O5 by XRF. A compilation map of the properties and the QA/QC criteria for the samples can be viewed on the company website at www.silverspruceresources.com.

ABOUT SILVER SPRUCE
Silver Spruce is a junior exploration company originally focused on uranium in the Central Mineral Belt (CMB) and elsewhere in Labrador, Canada. With interests in more than 7,000 claims totaling more than 1,750 square kilometers in Labrador, Silver Spruce is the second largest landholder in one of the world's premier emerging uranium districts. The company also has gold/silver projects in Mexico and the island of Newfoundland, and has recently acquired a number of REE projects, close to roads, in Labrador, making Silver Spruce a leading explorer in Canada and Mexico.

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.

Analyte Symbol	La ppm	Ce ppm	Pr ppm	Nd ppm	Sm ppm	Eu ppm	Gd ppm	Tb ppm	Dy ppm	Ho ppm	Er ppm	Tm ppm	Yb ppm	Lu ppm	Y ppm	Zr ppm	Nb ppm	TREE + Y (%)	LREE/ TREE	HREE/ TREE
BD-07-02	150	308	37.8	150	31.3	1.46	26.6	4.3	25.5	5.2	15	2.19	14	2.3	136	256	35	0.09	0.88	0.12
BD-07-03	495	814	67.6	185	14.4	1.35	7.2	0.8	5	1.1	4.2	0.87	8.3	2.21	33	2924	53	0.16	0.98	0.02
BD-07-07	1010	2050	229	873	168	13	124	17.7	100	18	45.1	5.73	35.2	5.61	460	3229	28	0.52	0.92	0.08
DR-07-01	162	495	32.3	105	13.2	0.66	7.8	0.9	5.9	1.5	6.5	1.51	15.2	4.27	46	7657	46	0.09	0.95	0.05
DR-07-02	75.8	198	15.5	53.8	7.8	0.56	5	0.7	4.2	0.9	3.6	0.77	7.5	1.89	32	2322	93	0.04	0.93	0.07
GM0255	374	751	81.4	299	77.3	7.13	88	21.5	183	47.2	169	29.9	218	35.4	1273	14720	NA	0.37	0.66	0.34
GM0304	181	444	48.1	190	34.9	1.39	29.6	4.5	31	7	22.6	3.79	28.7	5.73	199	240	68	0.12	0.87	0.13
GM0380	1170	2440	237	790	95.6	7.12	51.3	4.5	22.6	4.5	14.7	2.58	24.8	6.25	114	22120	40	0.50	0.97	0.03
GM0388	214	455	50.9	185	26.3	4.1	21.8	4	25.4	4.9	12.6	1.63	9.6	1.56	128	167	29	0.11	0.92	0.08
GM0395	653	1890	232	885	176	6.78	102	11.1	53.2	8.8	21.3	2.8	18.5	3.51	270	459	12	0.43	0.94	0.06
GM0403	106	406	60.9	330	147	14.9	163	35.4	263	56.4	172	26.1	179	29.9	1337	3317	28	0.33	0.53	0.47
GM0476	12.9	31	3.91	19.6	6.1	0.83	7.2	1.6	15.8	5.3	30.5	7.91	94	29.4	220	9402	636	0.05	0.28	0.72
GM0479	7.1	16.7	1.72	6.5	1.6	0.24	1.7	0.3	2.9	0.9	4	0.9	9.2	2.49	24	3290	5	0.01	0.60	0.40
GM0507	419	877	97.3	355	59.5	6.1	38.8	5.5	28.5	4.8	12.7	1.7	10.6	1.75	105	1048	92	0.20	0.94	0.06
GM0508	91.2	202	20.6	74.2	13.3	1.41	9.8	1.3	7.1	1.3	3.7	0.53	3.4	0.58	41	235	63	0.05	0.93	0.07
GM0529	53.5	119	13.3	47.5	8.8	0.61	7.3	1.3	9.5	2.7	11.4	2.45	25.3	6.63	119	3004	102	0.04	0.78	0.22
GM256	4430	10800	1320	5230	916	125	474	56.5	249	40.9	99.6	12.3	69.9	9.81	975	239	213	2.48	0.95	0.05
LT-07-02	61.9	134	12.9	40.5	5.8	0.5	4.1	1	7.7	1.9	7.2	1.47	11.8	2.16	30	1334	26	0.03	0.87	0.13
LT-07-03	66.5	127	12.1	36.4	3.6	0.43	1.7	0.2	1.1	0.2	0.9	0.21	2	0.54	8	964	8	0.03	0.97	0.03
PP-07-04	657	2610	329	1550	320	3.72	187	23	138	28.4	94.3	17.5	137	23.5	955	408	NA	0.71	0.89	0.11
ST-07-09	11.9	43.4	10.4	84	58.8	3.8	98.5	24.7	215	57.4	216	39.2	315	59.4	1606	89	NA	0.28	0.17	0.83
ST-07-10	9.5	43	10.3	85	57.9	4.03	96.1	23.7	199	54.2	205	38.3	319	63.6	1691	210	NA	0.29	0.17	0.83
WD-07-04	8.4	16.6	1.5	5.6	1.1	0.23	1.1	0.2	1.4	0.4	1.7	0.41	4	1.12	12	1414	18	0.01	0.76	0.24
WD-07-05	205	407	37.9	120	15.6	0.97	9	1.2	7.3	1.8	8.3	1.91	19.6	6.14	57	3585	35	0.09	0.93	0.07
WD-07-08	152	297	36	138	25.2	3.01	20.2	4	27.2	6.1	19.6	3.23	24.6	4.32	144	428	21	0.09	0.85	0.15

For Further Information Contact:

SILVER SPRUCE RESOURCES
HEAD OFFICE
Gordon Barnhill, CFO & Director
Phone: 902.527.5700
Fax: 902.527.5711
E-mail: gbarnhill@silverspruceresources.com
Web: www.silverspruceresources.com

INVESTOR RELATIONS
Hugh Oswald, Ascenta Capital Partners Inc.
Phone: 604.684.4743 ext. 243
Toll Free: 1.866.684.4743 ext. 243
E-mail: hugh@ascentacapital.com
Web: www.ascentacapital.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. The company seeks Safe Harbour.