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 Wed Sep 6, 2006
Helio Reports Drill Results from the Saza Gold Project, Tanzania

Helio Resource Corp. ("Helio" or the "Company") (TSX-V: HRC) is pleased to announce the results of the recently completed first-pass RC drilling programme at the Saza gold project, SW Tanzania.

A total of 33 holes for 3,138m were drilled on four widely spaced targets - Cheche, Kenge, Snakebite, and Konokono (see map below). Highlights include:

•  8m grading 12.65g/t Au in hole 15
•  6m grading 3.44g/t Au in hole 16
•  18m grading 2.21g/t Au in hole 25
•  18m grading 1.62g/t Au in hole 11
•  16m grading 1.63g/t Au in hole 10
•  two holes unexpectedly intersected old underground workings confirming the eastward extension of mineralisation along strike from the New Saza Gold Mine, but resulting in the lack of high-grade intersections.

The successful programme can be summarised as follows:
  1. Three of the targets, Cheche - Snakebite - Konokono, are located along a 5km strike length of the Saza Shear Zone ("SSZ"). All of the mineralised intersections in those targets are open along strike and to depth.

  2. The Snakebite and Konokono targets are located within a 6km long IP anomaly (see map below), much of which has never been drill tested.

  3. Kenge - the combination of old mine workings (the Razorback Mine) and results from this drill programme indicate the continuity of mineralisation within the Kenge Shear Zone ("KSZ") over a strike length of 1.3km+ and the structure is open along strike and to depth.

  4. The best intersections are clearly related to IP chargeability anomalies

  5. The drill results confirm that the Saza area is a highly prospective but very under-explored area.
Drilling at Cheche, Snakebite and Konokono comprised a series of drill fences across the SSZ planned to confirm the exact locations of the mineralised structures (see attached map for drill fence locations), whereas the drilling on the Kenge target was designed to test the strike continuity of KSZ mineralisation between the old Razorback Mine (in the northwest) and the SSZ (to the southeast).

Seventeen holes intersected mineralisation grading over 0.5g/t Au over widths of 2m or more. The main intersections from the drilling programme are tabulated below:
Hole  From (m) To (m) Length (m)    Grade      Target           Comment
                                  (g/t Au)
5          48     54          6      0.92      Cheche

6          48     51          3      1.64      Cheche
And        51     53          2         ?      Cheche      Old Workings
And        53     56          3      1.36      Cheche

10        116    132         16      1.63       Kenge

11         50     68         18      1.62       Kenge

12         22     32         10      0.90       Kenge

15         54     58          4      0.67 Snakebite E
                                                          Includes 2m @
15         92    100          8     12.65 Snakebite E        39.4g/t Au

16         16     22          6      3.44 Snakebite E
And        92     96          4      1.63 Snakebite E
And       118    122          4      0.64 Snakebite E              Open

                                                      Cut-off less than
18         46     78         32      0.40 Snakebite W         0.5g/t Au

24         56     62          6      1.27  Konokono W

25         18     36         18      2.21  Konokono W
Incl       18     24          6      5.94  Konokono W
And        74     76          2     11.40  Konokono W
NB - the intersections employ a logical 0.5 g/t Au cut-off, unless
      stated otherwise.
NB - the true widths are thought to be between 80 - 95% of the
      mineralised width.
A more detailed summary and interpretation of the results from the individual targets can be found on the Company's website at

The Saza licence contains two main known mineralised structures:
  1. the ENE-trending Saza Shear Zone (SSZ), which hosts the Cheche, Snakebite and Konokono targets;
  2. the SE-trending Kenge Shear Zone (KSZ), which hosts the Kenge target and joins the SSZ at Snakebite.
Both of these structures have supported historical mining related to the New Saza Mine, which produced over 260,000 ounces of gold at an average grade of 7.5 g/t Au between 1939 and 1959.

At least one mineralised zone was intersected at each of the three targets along the SSZ. The distance between drillholes at the Cheche and Snakebite targets is 1,750m, and the distance between Snakebite and Konokono drill holes is 3,550m. The strike potential for mineralisation within the SSZ is well over 5km.

Four widely spaced holes were drilled into the main KSZ zone over a strike length of over 1,300m. Each of the holes intersected gold mineralisation over thicknesses up to 18m. The Razorback Mine is located over 100m to the northwest of the drilling. The strike potential for mineralisation within the KSZ is over 2km.

The Company intends to commence a second phase drill programme consisting of both RC and diamond drilling in the near future.

Helio has the right to earn a 100% interest in the Saza licence, subject to an NSR (see Company press release dated December 19, 2005).

Chris MacKenzie, M.Sc., C.Geol., Helio's COO and a Qualified Person as designated by NI 43-101, supervised the sampling and quality assurance / quality control programmes at Saza, and has reviewed the contents of this news release. Where possible, all RC chip samples were riffle-split and composited in 2m intervals. QA/QC included use of blanks and standards (1 every 23 samples) and rig-duplicates (1 every 34 samples). Samples, averaging 4kg, were then shipped to the SGS laboratory facility in Mwanza, Tanzania where they were dried and crushed. A 500g+ split was then pulverised to -75µ, and assayed using the 50g fire assay with AAS finish. SGS applied their own internal QA/QC programme, consisting of insertion of a blank and a standard, and the use of a duplicate and two replicates for every batch of 20 samples.

Helio Resource Corp., based in Windhoek, Namibia, is one of Southern Africa's leading exploration companies and specializes in project generation. Helio is actively exploring 15 prospective gold, copper and diamond properties in Namibia, Botswana, Mozambique and Tanzania. As part of its strategic approach to project development, Helio has forged partnerships with firms such as Teck Cominco, Indicator Minerals, and Yale Resources to advance a number of its projects.

For additional information, please contact Richard Williams or Irene Dorsman at (604) 668 8363 or by e-mail to or


"Richard D. Williams"
Richard D. Williams, P.Geo

"Chris MacKenzie"
Christopher J. MacKenzie, C.Geol.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release.

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