Sulliden Announces 2011 Exploration Program
TORONTO, ONTARIO -- (Marketwire) -- 12/07/10 -- Sulliden Gold Corporation Ltd. ('Sulliden', the 'Company') (TSX: SUE)(OTCQX: SDDDF) is pleased to announce that based on the continuing success of the current drilling campaign it plans to undertake the largest exploration program ever initiated at the Shahuindo Gold Project in northern Peru. The Company plans to complete approximately 70,000 meters of drilling in 2011, almost doubling the total meters drilled since the discovery of the project in 1992.
In addition to the continued drilling on the Central Corridor, the 2011 exploration program will include seven major new target areas designed to expand the current mineralized envelope, identify potential new mineral resources and further define the magnitude of the hydrothermal gold system at Shahuindo.
Sulliden currently has a strong cash position, and is sufficiently funded to complete the planned exploration activities, engineering studies, required permitting and general administrative costs until a mine development decision.
Peter Tagliamonte, President and CEO of Sulliden, commented, 'Sulliden will be undertaking the largest exploration program ever conducted on the Shahuindo Property. 2011 will mark significant milestones for Sulliden, with continuous exploration activity and paralleled engineering studies to progress the development of the Shahuindo Project. We anticipate that the target areas we have outlined will continue to demonstrate an expanding mineral system on the Shahuindo property, which we believe, if successful, would change the class of this project.'
Stephane Amireault, VP Exploration of Sulliden, commented, 'We are very optimistic about the targets we have set out for our 2011 exploration program. Exploration success in the Central Corridor extensions, the North and South corridors and the sulphides could represent a significant magnitude of growth to this project and we look forward to reporting the progress of this exploration program throughout 2011.'
2011 Exploration Campaign
The 2011 exploration program will focus on the following areas:
Central Corridor - Continued Mineral Expansion; Mineral system remains open in all directions
With ongoing exploration success demonstrated in the Central Corridor, Sulliden will continue to conduct expansion drilling along its currently defined 3.8 kilometer strike length. The gold mineralized system still remains open in all directions and further drilling will aim to define its magnitude.
North-West and South-East Extensions - Representing a potential 60% increase to known Central Corridor Strike Length
The Company will also be targeting the new extension discoveries of the Central Corridor, which represent a potential 60% increase to the known mineral strike length. Sulliden plans to drill the 800 meter South-East extension, identified by geophysics, and will conduct an IP survey in the North-West extension of the Central Corridor of over 1,600 meters in defined length. Exploration success in these extensions could represent a growth to a 6.2 kilometer strike length from the known 3.8 kilometers.
Sulphide Mineral Resource - Strong Potential for a Significant Magnitude of Growth
The Company will be conducting a program of deeper drill holes along the 3.8 kilometer strike length of the Central Corridor with the intention of demonstrating the presence of significant sulphide mineralization below the known oxide resource. The oxide mineralization in the Central Corridor outcrops on surface and has been defined by drill holes averaging approximately 110 meters in depth. Exploration results from these holes have clearly and consistently demonstrated that the mineral resource is found in generally vertical mineral envelopes that extend from the oxide mineralization at surface to the sulphide mineralization at depth. To date, only one deep hole at Shahuindo has been drilled in the West Zone (See longitudinal section of Central Corridor in Figure 2), which intersected sulphide mineralization at 400 meters below surface. The program will aim to explore the sulphide mineralization, which could represent a significant magnitude of growth for the Shahuindo Gold Project.
North and South Corridors - Virtually Undrilled Mineral Structures paralleling the Central Corridor
In June 2010, third party geological consultant, Dr. Robert Hodder, completed a petrographic study on the Shahuindo project (available on the Sulliden website) that placed the Shahuindo mineral system in a geological framework that suggested the possibility of several other mineral structures parallel to the Central Corridor. Two such structures, the North and South Corridor, have been identified however virtually no drilling has been conducted in these areas. Six historical holes were drilled in the North Corridor, of which four intersected ore grade mineralization; and four historical holes were drilled in the South Corridor, of which two intersected ore grade mineralization. These two parallel zones represent promising exploration target areas, which if successful could significantly expand the current mineral resource defined on the property.
Atimsa Option and North-West Anomaly - 8,000 hectares of unexplored terrain
Sulliden will be initiating ground exploration work on the 7,400 hectare Atimsa option located to the North-East of its mining concession, as well as on a large geochemical anomaly identified to the North-West of the Central Corridor.
To view Figure 1 - 2011 Exploration Targets, please visit the following link: http://media3.marketwire.com/docs/sue1207fig1.jpg.
To view Figure 2 - Longitudinal Section A-B highlighting the sulphide target, please visit the following link: http://media3.marketwire.com/docs/sue1207fig2.jpg.
Qualified Person
Exploration at the Shahuindo Gold Project is being conducted under the supervision of Mr. Stephane Amireault, P.Eng., who is the Company's Qualified Person as defined by NI 43-101. Mr. Amireault has reviewed and approved the contents of this news release.
About Sulliden Gold Corporation Ltd.
Sulliden is a Canadian-based mining company focused on the exploration and development of its wholly owned Shahuindo Gold Project, located in Peru. This project is located in one of the world's most prolific gold producing districts and is home to world-class gold mines including Barrick Gold's Lagunas Norte Mine, 30 km to the south, and the Yanacocha Mine operated by Newmont Mining Company, 80 km to the north; both million-ounce per year producing mines. A positive Preliminary Assessment for the Shahuindo Gold Project was completed in December 2009 and a Feasibility Study is currently underway. While the Company progresses towards its goal of reaching production in 2012, a significant focus is being placed on exploration drilling to expand the mineral resource, which remains open in all directions and at depth. Sulliden is led by a strong management team with the proven ability to develop, finance and operate mining projects and is poised to generate superior value for its shareholders.
On behalf of Sulliden Gold Corporation Ltd.
Peter Tagliamonte Stan Bharti
President and CEO Chairman
For further information on Sulliden please visit the company website at www.sulliden.com.
If you would like to be added to Sulliden's news distribution list, please send your email address to contact@sulliden.com.
Caution regarding forward-looking information:
This press release contains 'forward looking information' within the meaning of applicable Canadian securities legislation. Forward looking information includes without limitation, statements regarding the size and quality of the company's mineral resources, progress in development of mineral properties, future capital and operating expenses, capital and mine production costs, future metal prices and treatment and refining charges, the prospective mineralization of the properties and planned exploration programs, the issue of permits. Generally, forward looking information can be identified by the use of forward-looking terminology such as 'plans', 'expects' or 'does not expect', 'is expected', 'budget', 'scheduled', 'estimates', 'forecasts', 'intends', 'anticipates' or 'does not anticipate', or 'believes', or variations of such words and phrases or state that certain actions, events or results 'may', 'could', 'would', 'might' or 'will be taken', 'occur' or 'be achieved'. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; and other risks of the mining industry and these risks described in the annual information form of the Company. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.
Contacts:
Sulliden Gold Corporation
Caroline Arsenault
Investor Relations Manager
(416) 861-5805
Sulliden Gold Corporation
Scott Moore
Vice President Corporate Development
(416) 861-5903
www.sulliden.com