Silver Spruce Reports Significant REE Exploration Results -- Pope's Hill Trend

July 21, 2011

- Prospecting on original PH property defines a REE bearing zone over a 1 km strike length - open
Values up to 17.7% TREE+Y, averaging 5.7% from outcrop grab samples
- Prospecting on MRT property, 65 km to the east along trend, locates significant REE values
- values to 5.6% TREE+Y in outcrop and 10% in float
- La values to 2.1% over 1km area -- open along strike; TREE analyses pending
- Airborne radiometric / magnetic / VLF-EM Survey on PH trend completed

July 21, 2011 - Bridgewater, NS - Silver Spruce Resources Inc. (TSXV: SSE) is pleased to announce the first results from prospecting surveys and the completion of the airborne survey on the road accessible Pope's Hill (PH), MRT, and Pope's Hill JV (PHJV) rare earth element (REE) properties, which lie along the Pope's Hill Trend (PHT), to the north of the Trans Labrador Highway (TLH) from 30 to 100 km to the west of Happy Valley-Goose Bay in Labrador. A total of 125 samples (MRT -- 27, PH -- 98) have been taken with full results received for 48 samples and partial results (ICP) for 20. All sample locations are within 1.5 km of the TLH.

Prospecting, using scintillometers to locate radioactive mineralization on the original PH property, has resulted in the location of rare earth element (REE) mineralization in outcrop over a minimum 1 km strike length, extending along trend from the MP showing in the pit on the TLH, to the T1 and T2 showings located 800 and 1,100 m, respectively to the east of the showing. Outcrops carrying massive, vein type, red/black unknown mineralization, have been located at the MP showing, and in the MP, T1 and T2 zones. The mineralized unit, a syenite to monzonite, up to 10 plus metres wide which carries green pyroxene crystals as phenocrysts up to 5 cm long, is open along strike to both the east and west. The host rock unit appears to be generally conformable with the lithology, however dip directions are still to be determined. The massive veins, up to 15 cm wide, are characterized by pinch and swell structures, with other parallel zones carrying narrow veins within the host unit. Total rare earth element plus ytrrium (TREE) results to date are from 0.03 to 18.57% with the average of 17 outcrop grab samples giving 5.7% including 6 samples with values < 0.5%. Thorium values for the higher REE sample values are generally in the 0.2 to 0.3% range. Results for showings of similar radioactive mineralization, on trend of the zones located, and in other areas on the property remain pending. The higher grade vein mineralization resembles samples from the September 2010 prospecting survey which gave values averaging 5.73% TREEs, with a high value of 24%, in 31 samples taken over a 7 km strike length extending from 3 km to the west of the MP showing pit to the Pinus River, 4 km to the east of the pit (News release dated Oct. 28, 2010). This new mineralized trend generally corresponds to the mineralization located in 2010.

Most of the samples were taken from the moderately to highly radioactive massive veins. The stripped outcrop areas on the MP, T1 and T2 showings, will be channel sampled to give an indication of grades and widths for the mineralization and the host syenite unit.

On the MRT property, located approximately 65 km east along the PH trend from the original PH property, 3 significant values of 5.65, 5.96 and 10.4% TREE were located in float (2) and outcrop (1) in the southern portion of the property near the powerline where Th values were anomalous with two values > 2,000 ppm. In addition an area approximately 1 km in strike length in the western part of the property has given four significant La values ranging from 5970 ppm to 21,000 ppm (2.1%). The TREE analyses are pending the 8-REE package results since the La values were derived from a standard ICP analysis.

Three uranium values > 500 ppm U (635, 881 and 1,870 ppm) were located in the southern part of the MRT property, unrelated to the high REE values. The highest value was float sample while the others were outcrop. Th values in these samples were a maximum of 391 ppm, giving a U/Th ratio of approximately 2-3 to 1.

Another 51 rock samples were sent for analysis on July 19. Results for these samples plus others already in the system including the high La samples, will be released as received.

The airborne radiometric, magnetic and VLF-EM survey on the PHT including the PH, MRT and PH JV, a joint venture with the Great West Minerals Group, was completed in early July. Preliminary results indicate that the magnetics are mapping the lithologies quite well and it is expected that this data will allow better targeting of the regional follow up, between the original PH and MRT properties and to the southwest of the PH property. Preliminary maps are expected soon with the final results expected in 2 to 3 months.

Follow up of prospects located in the detailed and regional work and the airborne surveys will be carried out as they are located, to allow trenching and drilling of targets in the late fall and early winter.

All samples are transported to the Activation Labs preparation facility in Goose Bay by SSE personnel, then shipped to their laboratory in Ancaster, ON. for analysis using their 8 REE package. Some samples were analyzed by a standard ICP-MS package which gives only La and Y as indicators for REE mineralization. Samples with high La / Y values will be reanalyzed by the 8 REE package. Uranium analyses are carried out using ICP MS, with higher values re-run using a DNC technique. The laboratory uses internal standards to check their analyses and blanks are included in each sample batch.

Plan maps of the properties, showing the recent sample results, plus pictures showing the area, the showings and some of the higher grade samples, are shown on the Silver Spruce website at

This release has been approved by Peter M. Dimmell, P.Geo. President and CEO of Silver Spruce Resources Inc., who is a Qualified Person (QP) in NL and ON. as defined in National Instrument 43-101.

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 4,000 claims totaling more than 1,000 square kilometers in Labrador, Silver Spruce is one of the largest landholders in one of the world's premier emerging uranium and REE districts. The company has rare earth element (REE) properties in Labrador - Pope's Hill, Pope's Hill JV (with Great West Minerals Group), MRT, RWM and the Straits and gold/silver projects (Big Easy, Rambler S.) on the island of Newfoundland.

For Further Information Contact:


Gordon Barnhill, CFO & Director
Phone: 902.527.5700
Fax: 902.527.5711

Hugh Oswald, Ascenta Capital Partners Inc.
Phone: 604.684.4743 ext. 243
Toll Free: 1.866.684.4743 ext. 243

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.