Superior Gold Inc. Announces Underground Drilling Continues to Yield Very Encouraging Results

INTERSECTIONS INCLUDE 35.3 G AU/T OVER 3.75 METRES, 34.3 G AU/T OVER 3.00 METRES, AND 38.3 G AU/T OVER 2.05 METRES

TORONTO, Aug. 2, 2017 /CNW/ - Superior Gold Inc. ("Superior Gold" or the "Company") (TSX.V:SGI) is pleased to announce additional results from the ongoing underground diamond drill program at its 100%-owned Plutonic Gold Mine in Western Australia.  The drilling was conducted from mid-March to mid-May 2017.

Results are provided for 112 drill holes for a total of more than 8,000 metres. The drill holes were primarily completed for resource definition and grade control purposes. One of these holes was conducted as part of the underground exploration program testing areas outside of the known resources. Resource definition was designed to increase the confidence level of the resource in areas where drilling was limited. Grade control drilling was completed to provide additional information for stope design ahead of mining. The exploration hole was completed to test previously undrilled areas in the search for possible extensions of mineralization to potentially expand the overall resource. 

The drilling focussed on 5 zones – Baltic; Caribbean; Caspian; Cortez; and Indian.  Significant intersections were encountered in all zones. 

KEY FINDINGS

  • 112 intersections encountered more than 5g Au/t

  • 51 intersections encountered more than 10g Au/t

  • 19 intersections encountered more than 20g Au/t

  • Exploration intersections of up to 38.3g Au/t over 2.05 metres and 17.8g Au/t over 5.10 metres were obtained, approximately 200 metres laterally from known mineralization in the Indian Zone.

The location of the most significant intersections are shown in Figure 1 and the details of all holes are summarized by zone in Table 2.

HIGHLIGHTS

The most significant intersections are summarized in Table 1 below:

Table 1 – Key Intersections

DRILL Hole
#

Easting

Northing

RL

Dip
(deg)

Azimuth
(deg)

Depth
(m)

From
(m)

To
(m)

Thickness
(m)

Au
(gpt)

Est True
Thickness
(m)

BALTIC












UDD19111

4306

11491

1123

-8

6

195

8.25

12.00

3.75

35.3

2.6

CARIBBEAN












UDD19245

4724

11863

1168

-57

288

42

10.00

12.00

2.00

25.8

1.4

CASPIAN












UDD19145

4286

10970

1392

-45

215

62

29.30

30.40

1.10

22.3

0.8

UDD19095

4216

10847

1347

37

250

76

44.70

45.15

0.45

33.1

0.3

UDD19104

4239

10835

1344

36

139

79

69.55

70.45

0.90

13.7

0.6

CORTEZ












UDD19226

4877

12258

1145

32

124

60

54.00

57.00

3.00

34.3

2.1

UDD19192

4942

12297

1135

82

160

85

73.50

76.00

2.50

15.8

1.6






Including

73.50

75.00

1.50

23.8

1.1

UDD19234

4879

12260

1146

49

90

125

49.10

50.00

0.90

32.9

0.6

UDD19203

4946

12292

1135

55

200

131

42.80

45.10

2.30

11.4

1.6

UDD19200

4953

12291

1135

45

105

73

35.25

35.75

0.50

32.9

0.4








58.90

64.20

5.30

7.0

3.4






Including

63.20

64.20

1.00

18.8

0.7








70.45

71.45

1.00

15.6

0.7

UDD19226

4877

12258

1145

32

124

60

28.00

29.50

1.50

11.9

1.1

UDD19228

4877

12261

1146

67

90

81

39.10

39.70

0.60

28.9

0.4

UDD19229

4873

12260

1146

59

304

72

20.60

21.60

1.00

17.1

0.7

UDD19205

4941

12297

1135

75

210

100

64.60

65.20

0.60

19.1

0.4

UDD19207

4943

12298

1135

69

53

87

19.10

19.80

0.70

16.4

0.5

UDD19170

4883

12305

1133

71

220

29

6.00

6.50

0.50

21.1

0.4

UDD19202

4946

12292

1135

60

190

111

22.10

22.75

0.65

16.1

0.5

UDD19163

4891

12301

1129

-65

105

60

1.60

2.40

0.80

13.0

0.6

UDD19206

4947

12294

1136

70

90

91

67.80

68.20

0.40

19.0

0.3

INDIAN












UDD18975*

3957

11190

1159

-38

312

259

206.00

219.25

13.25

8.7

8.6






Including

214.15

219.25

5.10

17.8

3.3






And

214.15

216.20

2.05

38.3

1.4

UDD18974

3957

11190

1159

-46

312

115

21.10

22.10

1.00

62.5

0.7

UDD19239

3994

11183

1158

-55

186

50

6.30

7.30

1.00

32.7

0.7

UDD18973

3957

11190

1159

-32

312

153

80.00

81.00

1.00

30.4

0.7

UDD18972

3957

11190

1159

-47

318

102

7.20

7.80

0.60

42.0

0.4

UDD19128

4154

11003

1396

-51

172

120

98.10

98.90

0.80

24.5

0.6

UDD18971

3957

11191

1159

-39

318

195

60.70

61.15

0.45

35.4

0.3

UDD19123

4153

11004

1396

-40

225

177

88.50

89.30

0.80

17.1

0.6

* Exploration Hole

 

Chris Bradbrook, President and CEO of Superior Gold stated: "As with our previously released results (May 11, 2017), these results continue to demonstrate the strength of the mineralized system at the Plutonic Gold Mine. The resource definition and grade control drilling provides greater confidence in the continuity of the mineralization, while exploration drilling provides confidence in our ability to grow the resource. We continue to be extremely encouraged by these drill results and work towards increasing the confidence level in the resources. One of our principal goals is to grow the level of underground reserves as well as the mine life." 

Qualified Person

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.

Quality Control Protocols

Core is drilled BTW core diameter (42 mm).  Core intervals are whole core sampled.  All gold results were determined by ALS Minerals (Perth) using fire assay fusion (40g charge, lead collection method) with an ICP finish.  Drill program design, Quality Assurance/Quality Control and interpretation of results are performed by qualified persons employing a Quality Assurance/Quality Control program consistent with NI 43-101 and industy best practices.  Standards, blanks and duplicates are included in approximately every 20 samples for Quality Assurance/Quality Control purposes by the Company as well as the laboratory.  Approximately 5% of sample pulps are sent to secondary laboratories for check assays.

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 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, investor@superior-gold.com, Tel: 416-716-8235


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