Gold Springs Resource Corp. Files Q2 2022 Financial Statements and MD&A

VANCOUVER, BC / ACCESSWIRE / August 10, 2022 / Gold Springs Resource Corp. (TSX:GRC)(OTCQB:GRCAF) (the "Company"), reports the release of its unaudited consolidated financial statements for the three and six months ended June 30, 2022 and the related management's discussion and analysis of financial position and results of operations ("MD&A"). In this press release, all amounts are expressed in U.S. dollars, unless otherwise indicated.

As at June 30, 2022, the Company had a working capital of $1.98 million, including $2.05 million in cash. During the six months ended June 30, 2022, general and administrative expenses, excluding non-cash share-based payments, decreased to $0.36 million compared with $0.39 million during the six-month period ended June 30, 2021. During the three months ended June 30, 2022, general and administrative expenses, excluding non-cash share-based payments, increased to $0.20 million compared with $0.17 million during the six-month period ended June 30, 2021. Exploration spending during the six months ended June 30, 2022, increased to $1.75 million, from $1.17 million incurred during the same period of last year, of which $0.27 million was funded by the Series A Secured Rights consideration. During the six months ended June 30, 2022, the Company reported a net loss of $0.67 million ($0.00 loss per share) compared with a net loss of $0.91 million ($0.00 loss per share) for the six months ended June 30, 2021. During the three months ended June 30, 2022, the Company reported a net loss of $0.43 million ($0.00 loss per share) compared with a net loss of $0.45 million ($0.00 loss per share) for the three months ended June 30, 2021.

Q2 2022 Principal activities conducted at the Gold Springs project

During the second quarter of 2022, the Company announced an updated National Instrument 43-101 compliant mineral resource estimate, achieving a significant first milestone in the advancement of the Company's multi-year resource expansion plan.

As of July 29, 2022, the Company has completed 44 holes, for a total of 9,317 meters of its 20,100 meters RC drilling program for 2022: 20 holes at South Jumbo, 2 first holes in the previously untested Snow target, 13 new holes around the North Jumbo resource and 9 holes looking to expand the Charlie Ross resource. From South Jumbo, assays have been received for the first 14 holes and samples for 6 additional holes have been delivered to the laboratory for assay, All the first 14 holes at South Jumbo have hit veins and zones of stockwork veins and breccia development which are favorable for gold mineralization. The core drilling, as part of the 2022 drill program, has started in July to test deeper portions of the system and to collect material for metallurgical testing. As of July 29,2022, 1 hole from the diamond core drilling has been completed in the Tremor target discovered in 2021 and now part of North Jumbo. The ground based CSAMT geophysical survey covering most of the 33 targets began in July 2022.