Superior Gold Inc. Announces Further Positive Results from its Phase Two Drill Program at Hermes South
UP TO 3.0 G AU/T OVER 16.00 METRES, 3.0 G AU/T OVER 14.00 METRES, AND 4.4 G AU/T OVER 9.00 METRESTORONTO, Nov. 29, 2018 - Superior Gold Inc. ("Superior Gold" or the"Company") (TSXV:SGI) is pleased to announce results from the recently completed phase two reverse circulation drill program at its Hermes South project. Hermes South is located approximately 20 kilometres south southwest of the Hermes open pit gold mine, which in turn is located 65 kilometres southwest of the Company's 100%-owned Plutonic underground gold mine in Western Australia (Figure 1).
HIGHLIGHTS
- 3.0 g Au/t over 16.00 metres from 137.00 metres downhole in Hole BHSRC082
- 3.0 g Au/t over 14.00 metres from 81.00 metres downhole in Hole BHSRC064
- 4.4 g Au/t over 9.00 metres from 98.00 metres downhole in Hole BHSRC068
- 3.8 g Au/t over 10.00 metres from 151.00 metres downhole in Hole BHSRC095
- 3.3 g Au/t over 11.00 metres from 123.00 metres downhole in Hole BHRSRC094
- 10.9 g Au/t over 3.00 metres from 85.00 metres downhole in Hole BHSRC083
- 3.2 g Au/t over 10.00 metres from 23.00 metres downhole in Hole BHRSRC100
The Hermes South project is within the Bryah Basin joint venture with Alchemy Resources Ltd. (ASX:ALY). The Company's interest is up to 80% in the joint venture. The Company has previously announced (on April 3, 2018) an initial inferred mineral resource estimate for Hermes South of 1.29 million tonnes at an average grade of 1.54 g Au/t for 64,000 ounces (100% basis).
The phase two reverse circulation program was completed in October and totalled approximately 7,500 metres over 51 holes, including two holes that were deepened from the phase one program. The phase one reverse circulation program was completed in May and totalled approximately 6,900 metres over 45 holes. The goal of both programs was to expand the existing resource and to explore for additional zones of mineralization.
The location of drill holes in the current program are shown in relation to prior drilling and the existing resource in both plan and long section in Figure 2 and Figure 3, respectively. All intersections are provided in Table 2.
Chris Bradbrook, President and CEO of Superior Gold stated: "These results are once again extremely encouraging and suggest the potential to increase the existing resource. The purpose of these drill programs is to determine the potential for the Hermes South project to become a second open pit mining operation. The project is strategically well located and can be readily connected to the main Hermes haul road. This work is part of our near term growth strategy to focus on reestablishing the Plutonic Gold operations at a sustainable production level of at least 100,000 ounces of gold annually. Our goal is to provide an updated reserve and resource estimate in the first quarter of 2019 using drill results to the end of 2018."
Table 1 – Key Intersection
| Drill Hole | Easting | Northing | Drill hole | Dip | Azimuth | End of | Downhole | Downhole | Downhole | Au | Est True |
| BHSRC021 | 685641 | 7155522 | 569 | -60 | 24 | 204 | 80.00 | 82.00 | 2.00 | 14.7 | 1.4 |
| 176.00 | 182.00 | 6.00 | 2.8 | 4.2 | |||||||
| BHSRC048 | 685160 | 7155629 | 577 | -60 | 24 | 162 | 127.00 | 136.00 | 9.00 | 2.6 | 6.3 |
| BHSRC060 | 685537 | 7155573 | 568 | -60 | 24 | 138 | 90.00 | 99.00 | 9.00 | 1.6 | 6.3 |
| BHSRC062 | 685525 | 7155555 | 568 | -60 | 24 | 156 | 121.00 | 138.00 | 17.00 | 1.5 | 11.9 |
| Including | 134.00 | 138.00 | 4.00 | 2.7 | 2.8 | ||||||
| BHSRC064 | 685116 | 7155398 | 573 | -60 | 24 | 102 | 81.00 | 95.00 | 14.00 | 3.0 | 9.8 |
| Including | 86.00 | 89.00 | 3.00 | 4.9 | 2.1 | ||||||
| and | 90.00 | 95.00 | 5.00 | 4.5 | 3.5 | ||||||
| BHSRC065 | 685526 | 7155603 | 567 | -60 | 24 | 120 | 70.00 | 72.00 | 2.00 | 5.4 | 1.4 |
| BHSRC066 | 685534 | 7155619 | 568 | -60 | 24 | 114 | 69.00 | 73.00 | 4.00 | 3.0 | 2.8 |
| BHSRC067 | 685529 | 7155508 | 569 | -60 | 24 | 192 | 73.00 | 76.00 | 3.00 | 3.9 | 2.1 |
| BHSRC068 | 685563 | 7155580 | 569 | -60 | 24 | 156 | 98.00 | 107.00 | 9.00 | 4.4 | 6.3 |
| BHSRC082 | 685571 | 7155549 | 570 | -60 | 24 | 180 | 137.00 | 153.00 | 16.00 | 3.0 | 11.2 |
| Including | 149.00 | 153.00 | 4.00 | 5.9 | 2.8 | ||||||
| BHSRC083 | 685554 | 7155610 | 568 | -60 | 24 | 126 | 85.00 | 88.00 | 3.00 | 10.9 | 2.1 |
| BHSRC087 | 685648 | 7155549 | 569 | -60 | 24 | 192 | 144.00 | 146.00 | 2.00 | 5.3 | 1.4 |
| BHSRC094 | 685188 | 7155628 | 576 | -60 | 24 | 174 | 123.00 | 134.00 | 11.00 | 3.3 | 7.7 |
| Including | 125.00 | 132.00 | 7.00 | 4.5 | 4.9 | ||||||
| BHSRC095 | 685172 | 7155596 | 574 | -60 | 24 | 192 | 151.00 | 161.00 | 10.00 | 3.8 | 7.0 |
| Including | 155.00 | 161.00 | 6.00 | 5.2 | 4.2 | ||||||
| BHSRC097 | 685203 | 7155569 | 573 | -60 | 24 | 222 | 168.00 | 179.00 | 11.00 | 2.2 | 7.7 |
| BHSRC099 | 685389 | 7155600 | 569 | -60 | 24 | 234 | 42.00 | 50.00 | 8.00 | 1.5 | 5.6 |
| 142.00 | 148.00 | 6.00 | 2.2 | 4.2 | |||||||
| BHSRC100 | 685433 | 7155596 | 568 | -60 | 24 | 192 | 23.00 | 33.00 | 10.00 | 3.2 | 7.0 |
| BHSRC101 | 685424 | 7155575 | 568 | -60 | 24 | 204 | 174.00 | 179.00 | 5.00 | 3.8 | 3.5 |
| BHSRC102 | 685561 | 7155525 | 570 | -60 | 24 | 240 | 46.00 | 48.00 | 2.00 | 6.5 | 1.4 |
| 132.00 | 134.00 | 2.00 | 4.2 | 1.4 | |||||||
| BHSRC103 | 685594 | 7155505 | 569 | -60 | 24 | 222 | 145.00 | 150.00 | 5.00 | 3.0 | 3.5 |
| BHSRC104 | 685241 | 7155554 | 573 | -60 | 24 | 270 | 190.00 | 196.00 | 6.00 | 3.7 | 4.2 |
Qualified Person
Scientific and technical information in this news release has been reviewed and approved by Pascal Blampain, who is a member of the AusIMM and the Australian Institute of Geoscientists (AIG) and a "qualified person" within the meaning of NI 43-101. Mr. Blampain is an employee of the Company and serves as Chief Geologist.
Quality Control Protocols
Hermes South drilling has been completed using Reverse Circulation drilling. Samples are collected for every metre directly off the cyclone using a cone splitter, set to approximately 3kg sample size. 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 industry 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 underground Plutonic gold mine, which is a producing underground operation with a central mill, the Hermes open pit gold mine and up to an 80% 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.
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SOURCE Superior Gold
Contact
Superior Gold Inc.
Brian Szeto, Vice President Communications and Strategy
investor@superior-gold.com
Tel: 647-925-1295
