Silver Spruce Reports Preliminary Mineralogical Results-Pope's Hill REO

Silver Spruce Resources Inc. (TSX VENTURE:SSE) is pleased to provide preliminary
results for a mineralogical investigation on the Pope's Hill Rare Earth Element
(REE) prospect in southern Labrador. Pope's Hill is a road-accessible, 100%
owned, REE property located on the Trans-Labrador Highway (TLH), approximately
100 km to the west of Happy Valley-Goose Bay. 


The REE mineralogical research study is being carried out by Alex Chafe, a
Master's student at Memorial University of Newfoundland, under the supervision
of Dr. John Hanchar, the Head of Memorial's Department of Earth Sciences. Silver
Spruce would like to acknowledge that this research is partially supported
through a GeoEXPLORE research grant from the Research Development Corporation of
Newfoundland and Labrador. "This type of support is invaluable to junior mining
companies in this province and is greatly appreciated," says Peter Dimmell,
President and CEO of Silver Spruce Resources.


REE rich rock samples from the Pope's Hill area were first evaluated by thin
section to ensure that they were representative of the mineralization. Scanning
Electron Microscopy - Mineral Liberation Analysis (SEM-MLA) was then used to
determine the grain size, distribution, modal abundances and elemental
distribution of each REE-rich mineral phase in the representative thin section.
Electron Probe Microanalysis (EPMA) was used to determine the average Rare Earth
Element Oxide (REO) composition for each individual mineral present in the
samples. The data from both techniques were then used to calculate each
mineral's contribution to the average whole-rock REO composition. 


The results indicate that the REE from the MP trend of the Pope's Hill prospect
are primarily hosted in allanite, titanite, monazite and britholite, with trace
amounts hosted in fergusonite, REE-carbonates and apatite. Table 1 on the next
page shows a total average REO composition of 17.5 wt%, with the percentage
contributed by each mineral: allanite - 47.6%; high-REE titanite - 24.1%;
monazite - 16.7%; both varieties of britholite (high-REE and low-REE) - 11.1%;
with the rest in fergusonite, REE carbonate and apatite. Disseminated allanite
and monazite were also noted in the adjacent host rock units in the thin section
analysis. 


"These preliminary mineralogical results indicate that the REE mineralization is
found in mineral phases that have been successfully exploited to produce a
saleable REE concentrate in other parts of the world. Based on this information
and positive results from our trenching program completed along the MP trend
last fall, our next logical step is diamond drilling to better define the
mineralized units," says Dimmell.


The MP trend, which has been defined in the Pope's Hill area over an approximate
2.5 km strike length, is a recent REE discovery in southern Labrador. It has
been tested by widely spaced trenching and is part of a 100 km district scale
trend that has been established by airborne radiometric surveys (thorium (Th)
anomalies) and fieldwork. Plan maps of the property and Pope's Hill trend, which
includes the Pope's Hill JV with Great Western Minerals Group and the MRT
property; the airborne Th radiometric and magnetic data; pictures of the area;
as well as the showings and some of the higher grade samples, are available on
the Silver Spruce website at www.silverspruceresources.com




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                                  Table 1                                  
          Preliminary REE Mineralogy - Pope's Hill Trend - Labrador        
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                                                                    Mineral
                                                            contribution to
                              Modal      Avg. wt%   Mineral      REO budget
 Mineral                   mineral %          REO    wt% REO         (%)(i)
 --------------------------------------------------------------------------
 Allanite                      41.71        20.03       8.35          47.64
 --------------------------------------------------------------------------
 Titanite (-high REE)          11.25        37.62       4.23          24.13
 --------------------------------------------------------------------------
 Monazite                       4.95        59.31       2.94          16.74
 --------------------------------------------------------------------------
 Britholite (-high REE)         3.43        46.36       1.59           9.07
 --------------------------------------------------------------------------
 Britholite (-low REE)          4.12         8.61       0.35           2.02
 --------------------------------------------------------------------------
 Fergusonite                    0.16        22.66       0.04           0.21
 --------------------------------------------------------------------------
 REE carbonate                  0.05        53.84       0.03           0.15
 --------------------------------------------------------------------------
 Apatite                        0.28         2.50       0.01           0.04
 --------------------------------------------------------------------------
 Titanite (-low REE)            0.01         1.19       0.00           0.00
 --------------------------------------------------------------------------
                                            TOTAL      17.54               
 --------------------------------------------------------------------------
 (i) Each mineral's contribution to the REO budget is calculated by        
  multiplying its SEM-MLA determined modal percentage by the EPMA          
  determined average wt% REO, and then dividing the mineral wt% REO by the 
  total wt% REO, in this case 17.54 wt%.                                   
 --------------------------------------------------------------------------



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.


About Silver Spruce Resources Inc. 

Silver Spruce is a diversified junior exploration company with a portfolio of
rare earth (Pope's Hill, Pope's Hill JV (with Great Western Minerals Group),
MRT, RWM and the Straits), gold silver (Big Easy), and for the longer term,
uranium (CMBJV, Snegamook, Double Mer, Mount Benedict) projects in Newfoundland
and Labrador. With interests in more than 4,000 claims totalling more than 1,000
square kilometres in Labrador, Silver Spruce is one of the largest landholders
in one of the world's premier emerging rare earth and uranium districts. For
more information go to www.silverspruceresources.com.