Savary Identifies Another New Zone of Mineralization at Hounde South
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/09/13 -- SAVARY GOLD CORP. ("Savary" or the "Company") (TSX VENTURE: SCA) is pleased to report the identification of a second zone of significant gold mineralization in a previously untested area on its Hounde South property, located in southwestern Burkina Faso. This new zone of mineralization, known as Karangosso and represented by drillholes HS-RC-13-63 & 64 in the table below, is 20 kilometres southwest of Kien, the initial new zone of mineralization identified during this current drilling program (see news release dated April 30, 2013 for details). These two new mineralized zones, Kien and Karangosso, along with the previously known Kueredougou and Diosso South zones, demonstrate the considerable economic potential of the mineralization contained within the Hounde South property.
"We could not be more pleased with the results from our first full field program on Hounde South," stated Charles Mostert, Savary Gold's President and CEO. "The strongly mineralized intervals that we have encountered in several disparate areas of the property, identified from a very limited drilling program, in my opinion unequivocally demonstrates the viability of the Hounde South property. From the beginning, our exploration thesis has been that Hounde South shares very similar geologic characteristics to a number of the more advanced gold exploration projects with the Hounde Greenstone Belt and our results from this first round of drilling definitely support that thesis."
Highlights from this most recent set of results include:
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From To Width Grade G x W
Drill Hole (m) (m) (m) (g/t) (grade x width)
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HS-RC-13-46 10.00 12.00 2.00 4.50 9.0
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HS-RC-13-51 5.00 15.00 10.00 1.06 10.6
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HS-RC-13-54 10.00 34.00 24.00 1.91 45.7
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including 16.00 18.00 2.00 1.83 3.7
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and 26.00 31.00 5.00 7.52 37.6
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HS-RC-13-63 52.00 61.00 9.00 5.20 46.8
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including 53.00 60.00 7.00 6.56 45.9
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81.00 90.00 9.00 11.16 100.5
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including 84.00 89.00 5.00 19.88 99.4
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and 86.00 87.00 1.00 89.10 89.1
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HS-RC-13-64 16.00 27.00 11.00 1.24 13.6
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including 19.00 20.00 1.00 8.35 8.4
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Notably, holes HS-RC-13-63 and HS-RC-13-64 were collared in an area previously undisturbed by artisanal mining or historical drill testing. Additionally, hole HS-RC-13-63 ended in mineralization (2.0m at 0.29 g/t gold from 98.0-100.0m and 2.0m at 0.87 g/t gold from 93.0- 95.0m) after intersecting anomalous gold values and moderate to strong hydrothermal alteration for nearly its entire length. Presently, true widths are unknown for the intervals shown in the preceding table as there is currently insufficient drilling or outcrop exposure in the area to determine the orientation of the mineralization.
A complete list of assay results, as well as a drill hole location map, are posted on the Savary website at: http://savarygold.com/projects/hounde-south.
The assay results reported here represent the final batch of results from a total of 3,630 samples (including QA/QC samples) that were collected during the reverse circulation (RC) drilling program conducted in April of this year. This program, which successfully completed 35 RC holes for a total of 3,470 metres, was the second phase in a two part exploration program with total expenditures of $1.5 million aimed at investigating a number of high priority targets along the north-northeast trending Ouango-Fitini Shear zone. The first phase of this drilling program, which included 26 drill holes, totaling 2,709 metres and the collection of 2,700 samples, was completed in December 2012 (see news release dated January 23, 2013 for details).
The Hounde South property consists of two exploration licenses, Diosso and Mandiasso, totaling 375 square kilometres, and is located in the Birimian age Hounde Greenstone Belt of West Africa, currently the fastest growing gold producing area in the world.
Drilling was carried out by Major Drilling Burkina Faso SA. using a track-mounted RC drill rig. Sampling of the RC chips was conducted on one metre intervals from surface. Each sample was dried, crushed to 85% passing 2mm and then split to 1.5 kg by riffle splitter. The 1.5 kg, 2 mm split was pulverized to 95% passing 106mm. Fifty grams of the pulverized material was analysed for gold via fire assay with an atomic absorption spectroscopy (AAS) finish. Although not accredited, SGS Burkina Faso SA. operates according to ISO 17025 standards and institutes a full Quality Assurance/Quality Control (QA/QC) program consisting of insertion of blanks, standard reference material, repeats and reject splits which in total account for up to 25% of all determinations conducted. In addition to SGS QA/QC procedures, Savary Gold instituted its own QAQC program consisting of blind and random insertion of standard reference material (1 in 20 samples), field duplicates (3 in 100 samples) and blank samples (2 in 100 samples). Both Major Drilling Burkina Faso SA. and SGS Burkina Faso SA. are independent of Savary Gold.
Robin Black, M.Sc., P. Geo., General Manager & Senior Geologist for King & Bay West Management Corp., a consulting geologist of the Company and a Qualified Person as defined by National Instrument 43-101, has reviewed and approved the technical information contained in this news release and has verified the sampling, analytical and test data underlying the assay results disclosed herein. Mr. Black has verified that the results were accurate based on the official assay certificate provided to Savary.
About Savary Gold
Savary Gold is a Canadian company with a tightly held capital structure and is focused on exploring the Hounde South Gold Property in Burkina Faso. The property is in the Birimian age Hounde Greenstone Belt, which hosts Semafo's Mana mine and additional gold deposits that are presently subject to extensive exploration efforts (including Endeavour Mining's Hounde Project and Sarama's South Hounde Project, which is adjacent to Savary Gold's property).
SAVARY GOLD CORP.
On behalf of the Board
Charles Mostert, Chief Executive Officer
Cautionary Note Regarding Forward-Looking Information
Information set forth in this news release may involve forward-looking statements under applicable securities laws. Forward-looking statements are statements that relate to future, not past, events. In this context, forward-looking statements often address expected future business and financial performance, and often contain words such as "anticipate", "believe", "plan", "estimate", "expect", and "intend", statements that an action or event "may", "might", "could", "should", or "will" be taken or occur, or other similar expressions. Forward-looking statements or information relate to, among other things, the details and timing of the Company's exploration plan, the results of the recently completed drilling and sampling, and the exploration potential of the Company's properties. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following risks: the risks associated with outstanding litigation, if any; risks associated with project development; the need for additional financing; operational risks associated with exploration; fluctuations in gold and other commodity prices; title matters; environmental liability claims and insurance; reliance on key personnel; the potential for conflicts of interest among certain officers, directors or promoters with certain other projects; the absence of dividends; competition; dilution; the volatility of our common share price and volume and other risks and uncertainties, including those described in the Company's most recent Management Discussion & Analysis report filed with the Canadian Securities Administrators and available at www.sedar.com. Forward-looking statements are made based on management's beliefs, estimates and opinions on the date that statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by law. Investors are cautioned against attributing undue certainty to forward-looking statements.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Savary Gold Corp.
Konstantine Tsakumis
Investor Relations
604-681-8030 x232
604-681-8039 (FAX)
info@savarygold.com
www.savarygold.com