Superior Gold Inc. Announces High Grade Gold Mineralization up to 50 Metres Below the Deepest Underground Workings

2019-12-10 / @newswire

INTERSECTIONS INCLUDE 26.0 G AU/T OVER 5.55 METRES, 210.0 G AU/T OVER 0.60 METRES, AND 13.2 G AU/T OVER 6.70 METRES

TORONTO, Dec. 10, 2019 /CNW/ - Superior Gold Inc. ("Superior Gold" or the "Company") (TSXV:SGI) is pleased to announce results from the ongoing underground diamond drill program focused on reserve and resource expansion at its 100%-owned Plutonic Gold mine in Western Australia. The drilling was targeting potential extensions to the Baltic mineralization.

Results are provided for 43 drill holes for a total of more than 1,750 metres of drilling.

KEY FINDINGS

39 intersections encountered more than 5g Au/t
22 intersections encountered more than 10g Au/t
9 intersections encountered more than 25g Au/t
3 intersections encountered more than 50g Au/t
3 intersections encountered more than 100g Au/t

The location of this drilling is shown in Figures 1-3. The key intersections are highlighted in Table 1 below and the details of all holes are summarized in Table 2. Reported intersections are over a minimum downhole width of 0.30 metres (0.20 metres true width).

The drilling was focused on the area between the deepest parts of the Baltic Zone and the upper parts of the Baltic Deeps Zone, where no previous drilling had taken place. The deepest mining to date (700 metres) previously took place at the Baltic Zone. Additionally, the drilling was targeting the hanging wall area of the Baltic Zone where only limited drilling had taken place.

Chris Bradbrook, President and CEO of Superior Gold stated: "We are very pleased with these initial results, which we believe illustrate the upside potential of both the Baltic and Baltic Deeps Zones. They demonstrate the potential to fill the gap between the two zones and extend the Baltic hanging wall mineralization into the Baltic Deeps. The drilling was completed over a strike length of more than 150 metres and a vertical extent of more than 100 metres. Mineralization remains open up and down dip and along strike. The Baltic and Baltic Deep Zones are key components of the recently announced five year underground Life of Mine ("LOM") plan, and consequently, the results illustrate the potential to extend this plan beyond five years. We will continue to release other drilling results in some of the other key areas of the LOM plan, including Timor, Indian and Baltic in the near future. To fully explore the potential of the Baltic hanging wall mineralization, we are identifying potential locations to drill to greater depths."

HIGHLIGHTS

The most significant intersections are summarized in Table 1 below:

Table 1 – Key Intersections

Drill Hole #	Easting (Mine Grid)	Northing (Mine Grid)	Drill hole collar RL (Mine Grid)	Dip (degrees)	Azimuth (degrees, Mine Grid)	End of hole depth (m)	Downhole From (m)	Downhole To (m)	Downhole Intersection (m)	Au (gpt) uncut	Est True Thickness (m)
UDD21359	4027	11879	907	51	0	23	1.00	6.40	5.40	5.2	3.8
					Including		1.00	2.00	1.00	18.5	0.7
					and		5.00	5.40	0.40	18.8	0.3
UDD21360	4027	11878	905	15	0	30	3.00	9.30	6.30	10.4	4.4
							22.10	23.70	1.70	18.0	1.2
					Including		22.70	23.70	1.00	28.0	0.7
UDD21362	4026	11879	904	-35	0	82	71.30	72.30	1.00	28.0	0.7
UDD21364	3948	11884	904	-46	309	33	14.00	15.00	1.00	64.9	0.7
UDD21370	4017	11879	904	-35	0	93	76.65	77.65	1.00	9.3	0.7
UDD21371	4017	11879	904	-18	0	54	0.00	6.70	6.70	13.2	4.7
					Including		0.00	1.95	1.95	35.1	1.4
					and		4.80	6.70	1.90	9.1	1.3
UDD21372	4017	11879	905	6	0	33	29.70	30.00	0.30	48.2	0.2
UDD21376	4007	11880	904	-20	0	105	0.00	3.00	3.00	4.2	2.1
							6.70	8.15	1.45	11.2	1.0
UDD21377	4007	11880	904	-43	0	60	0.00	4.90	4.90	8.1	3.4
					Including		0.00	1.00	1.00	35.9	0.7
UDD21383	3998	11877	905	16	181	15	1.30	6.85	5.55	26.0	3.9
					Including		1.30	2.20	0.90	155.0	0.6
UDD21386	3987	11883	904	-25	0	42	13.80	15.10	1.30	11.8	0.9
UDD21387	3987	11883	904	-54	0	95	0.00	1.00	1.00	13.6	0.7
							33.40	36.30	2.90	12.7	2.0
UDD21396	3957	11884	906	65	0	12	1.00	1.60	0.60	210.0	0.4
					Including		1.30	1.60	0.30	420.0	0.2
UDD21401	3949	11881	904	-54	252	25	8.30	9.10	0.80	17.5	0.6

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

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 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 Plutonic underground gold mine and central mill, the Hermes open pit projects 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.

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SOURCE Superior Gold

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