STRONG GOLD PRODUCTION CONTINUES
(In US Dollars unless otherwise stated)
TORONTO, July 27, 2017 /CNW/ - Superior Gold Inc. ("Superior Gold" or "The Company") (TSX.V:SGI) is pleased to announce production results for the second quarter of 2017 from the Company's 100%-owned Plutonic Gold Mine, located 800 kilometres north east of Perth, in Western Australia .
- Gold Produced was 17,556 ounces
- Gold Sold was 19,353 ounces
- Released underground infill and exploration drilling results of up to 61 g Au/t over 3.30 metres, 64.0 g Au/t over 2.20 metres, and 1525 g Au/t over 0.30 metres
- Received approval to commence development of the Hermes open pit project
Production details for the second quarter and first six months of 2017, are summarized in the table below.
Three month period ended
June 30, 2017
Six month period ended
June 30, 2017
Gold Produced (ounces)
Gold Sold (ounces)
The lower production in the second quarter compared to the first quarter of 2017 was due to the mine operating in a lower grade area, with expected slightly lower recovery levels. This reflects natural variations in the mine and is to be expected periodically.
Chris Bradbrook, President and CEO of Superior Gold stated: "We are pleased to announce another strong quarter of production. We have now operated the Plutonic Gold Mine for three quarters and produced a total of 61,319 ounces of gold and sold a total of 61,506 ounces of gold. Subsequent to the quarter end, we commenced development at our Hermes project, from which we anticipate production commencing by 2018. The contribution of the ore from Hermes is expected to allow us to reach our targeted annual production level of 100,000 ounces of gold." For further information please see July 11, 2017 Press Release entitled "Superior Gold Inc. Announces Commencement of Hermes Development" available on the Company's website at www.superior-gold.com.
The Company will be releasing complete financial and operating results for the second quarter and first six months of 2017 before market open on Tuesday August 15, 2017.
Outlook and Strategy
In the near term, the Company is focused on re-establishing the Plutonic Gold Operations as a stable gold producer capable of producing 100,000 ounces of gold annually. To achieve this goal, Superior Gold intends to focus on its growth strategy which includes:
- Focusing on quality high-grade ounces
- Optimizing recoveries
- Increasing incremental production from underground and open pit sources
- Resource and reserve additions through property wide exploration
- Leveraging the excess mill capacity
With the proceeds raised on the completion of the initial public offering, and the cash being generated by the Plutonic Gold Mine, the Company has the liquidity available to execute on its near-term growth and exploration strategy.
Full details of the mineral reserves and mineral resources, and production targets, for the Plutonic Gold Mine and Hermes project are included in a NI 43-101 Technical Report dated February 13, 2017 (with an effective date of September 30, 2016) that can be found under the Corporation's profile on SEDAR (www.sedar.com) which was filed on February 15, 2017.
Scientific and technical information in this press release has been reviewed and approved by Simon Lawson who is a member of the AusIMM and a "qualified person" within the meaning of NI 43-101. Mr. Lawson is an employee of the Company and serves as the Chief Geologist.
About Superior Gold
Superior Gold is a Canadian based gold producer that owns 100% of the Plutonic Gold Operations located in Western Australia. The Plutonic Gold Operations include the Plutonic Gold Mine, which is a producing underground operation with a central mill, the Hermes open pit development project and an interest in the Bryah Basin joint venture. Superior Gold is focused on expanding production at the Plutonic Gold Operations and building an intermediate gold producer with superior returns for shareholders.
Forward Looking Information
This press release contains "forward-looking information" within the meaning of applicable securities laws that is intended to be covered by the safe harbours created by those laws. "Forward-looking information" includes statements that use forward-looking terminology such as "may", "will", "expect", "anticipate", "believe", "continue", "potential" or the negative thereof or other variations thereof or comparable terminology. Forward looking information in this news release includes, but is not limited to, the Company's objectives, goals or future plans, and statements regarding exploration results and exploration plans.
Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made. Furthermore, such forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of the Company to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking information. See "Risk Factors" in the Company's prospectus dated February 15, 2017 filed on SEDAR at www.sedar.com for a discussion of these risks.
The Company cautions that there can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Accordingly, investors should not place undue reliance on forward-looking information. Except as required by law, the Company does not assume any obligation to release publicly any revisions to forward-looking information contained in this press release to reflect events or circumstances after the date hereof.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Superior Gold
For further information: Superior Gold Inc., Chris Bradbrook, President, CEO & Director, [email protected], Tel: 416-716-8235