Silver Spruce Resources Inc. (TSX VENTURE:SSE)(FRANKFURT:S6Q) is pleased to
provide an update on the Phase 1 diamond drilling progam at the Big Easy
property in eastern Newfoundland. A total of seven holes (BE-11-1 to 7),
totaling 1,577 m, were completed. The drilling has tested the zone over an
approximate 1 km strike length from L 7560 N (BE-11-1) to L 8600 N (BE-11-7)
over widths of up to 500 m. All holes, the first ever drilled on the property,
intersected strongly altered (silicified /sericitized/chloritized) and
mineralized sedimentary units (see news releases dated March 24, 2011 and April
8, 2011). The drilling is testing Induced Polarization (IP) targets and an
altered (silicified) / mineralized area, which extends over an area of greater
than 1 km by 500 m wide, narrowing to the north and south.


A significant gold/silver zone was located in DDH BE-11-3, drilled under
BE-11-2, at a vertical depth of 170 to 210 m. The zone gave 0.41 g/t Au and 15.4
g/T Ag over 89.2 m from 183 m to 272.2m, including 0.87 g/t Au and 33.5 g/T Ag
over 30.5 m from 228 m to 258.5 m, including 2.5 g/t Au and 74.1 g/T Ag over 7 m
from 239 m to246 m, including 6.05 g/t Au and 174 g/T Ag over 1.5 m from 240.5 m
to 242 m and 6.04 g/T Au and 114 g/T Ag over 1 m from 245 m to 246 m. The
highest grades are associated with the brecciated zone located between 228 and
272 m. Pyrite as disseminations and veins/veinlets averaging 2%-3% and an
unknown, minor fine grained grey black metallic mineral, is noted in this
section. An unidentified silvery metallic mineral tentatively identified as
metallic carbon is noted on fracture surfaces in parts of the mineralized zone.


DDH BE-11-4, located approximately 190 m to the north of BE-11-3, but testing
the zone further to the west and at shallower depths, gave a narrow anomalous
zone of 0.41 g/t Au over 7 m from 95 m to 102 m, including 0.91 g/t Au over 3 m
from 95 m to 98 m, including 1.09 g/t Au over 1 m from 97 m to 98 m. Other
values in the 100 ppb (0.1 g/t) Au range over narrow widths up to 1.5 m were
also noted. Ag results as part of the ICP analyses remain pending. Au/Ag results
for hole 1, located approximately 110 m to the south of BE-11-3 and hole 2,
approximately 100 m ahead of BE-11-3, both of which tested the zone at shallower
depths, gave generally anomalous values of 30-60 ppb Au (0.03 to 0.06 g/T) with
some scattered values in the 100 ppb (0.1 g/T) range over narrow widths of up to
1.5 m. Ag values are generally background with some values up to 3 ppm (g/T).
The lower detection limit for Ag is 1 ppm in the ICP method used and most values
are at the 1 ppm limit. 


Holes 1, 2, 4 and 5 tested the altered / mineralized zone to a maximum vertical
depth of 170 m, with most shallower, while Hole 3 tested the zone to a vertical
depth of 230 m, with the Au/Ag zone located below 170 m vertical depth. Holes 6
and 7, located 500 m and 700 m to the north of holes 4 and 5, tested the zone to
vertical depths beyond 200 m. True widths are not known, due to variable dips of
the units, but are believed to be close to drill intersections. 


Gouge zones, thought to represent fault or shear zones, are noted in all the
drill holes, especially along the east and west contact areas, indicating that
the system has been faulted either contemporaneously or post mineralization. The
structural control on the mineralization is not yet known.


Core samples from holes 1 to 6 and the upper part of hole 7, have been submitted
to the laboratory with complete analytical results received for holes 1 to 3 and
Au values for all of hole 4. All other results are pending. Cutting of the
remainder of the samples from hole 7 is continuing with samples submitted every
few days. The rest of the results will be reported as received.


The 121 claim (30 km2) property, located near Thorburn Lake in eastern
Newfoundland, was optioned from prospectors Alex Turpin and Colin Kendall. The
option agreement, to earn a 100% interest subject to a 3% NSR with a 1.5%
buyback for $1.5M, is a total of $110,000 plus 1.6 M shares over three years. A
yearly advance royalty payment of $20,000 per year, deducted from future NSR
payments, is payable from the 4th anniversary on. The second option payment, due
on April 21, 2011, has been made.


Drill core is cut in half using a diamond core saw, with one half sent for
analysis and the other half retained for study. Samples are submitted to the
Acccurassay Preparation laboratory in Gambo, NL. where they are prepped and then
sent to their laboratory in Thunder Bay, ON for analysis for gold by fire assay
with an AA finish and an ICP-30 technique for other elements. Some samples may
also be analyzed for Hg using the ALHg1 technique. Values are checked by
internal standards at the laboratory. Check sampling is also being carried out
to check the accuracy of the main laboratory.


Plan maps of the drilling, the IP chargeability and resistivity and a
compilation map for the property, plus pictures showing the drilling and the
drill core, are also available on the Silver Spruce website at
silverspruceresources.com.


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


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 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, RWM and the Straits and gold/silver
projects on the island of Newfoundland.


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