Underground drilling delivers more high grade results

2017-11-29 / @newswire

INTERSECTIONS INCLUDE 25.2 G AU/T OVER 10.15 METRES, 36.5 G AU/T OVER 4.00 METRES, 192.0 G AU/T OVER 0.60 METRES AND 8.0 G AU/T OVER 17.20 METRES

TORONTO, Nov. 29, 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 late July to late September 2017 and is part of the year-round ongoing program of underground drilling.

Results are provided for 191 drill holes for a total of more than 13,500 metres. The drill holes were completed for resource definition and grade control purposes. 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 drilling focussed on seven zones – Area 134; Caribbean; Caspian; Cortez; Indian; Pacific; and Timor. A number of significant intersections were encountered.

KEY FINDINGS

275 intersections encountered more than 5g Au/t
143 intersections encountered more than 10g Au/t
53 intersections encountered more than 20g Au/t

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.

Chris Bradbrook, President and CEO of Superior Gold stated: "As with our previously released results this year (May 11, August 2, August 31 and September 25), these results continue to demonstrate the strength of the mineralized system at the Plutonic Gold Mine. We are extremely encouraged by these drill results and continue to work towards increasing the confidence level in the resources. One of our principal goals is to grow the level of underground reserves and to extend the mine life."

HIGHLIGHTS

The most significant intersections are summarized in Table 1 below:

Table 1 – Key Intersections

Target	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)
AREA 134	UDD19456	4643	12601	1079	57	98	42	22.70	23.70	1.00	16.8	0.7
	UDD19457	4628	12598	1081	75	92	46	3.70	5.35	1.65	32.2	1.2
	UDD19519	4726	12297	1074	26	15	83	47.60	48.80	1.20	38.3	0.8
	UDD19520	4732	12350	1060	84	358	40	28.30	30.25	1.95	11.1	1.4
	UDD19521	4739	12293	1072	39	2	75	37.70	38.15	0.45	67.7	0.3
	UDD19523	4739	12293	1074	57	339	56	25.20	27.50	2.30	22.6	1.6
	UDD19524	4740	12293	1073	52	20	61	18.40	19.75	1.35	17.7	0.9
	UDD19528	4702	12272	1070	80	88	50	16.00	21.60	5.60	9.3	3.9
	UDD19542	4765	12321	1067	70	58	53	43.60	45.10	1.50	16.4	1.1
	UDD19545	4763	12325	1066	63	37	55	52.35	53.60	1.25	23.2	0.9
	UDD19549	4752	12330	1063	33	354	93	42.80	43.30	0.50	104.0	0.4
	UDD19551	4752	12329	1064	61	351	57	31.90	32.50	0.60	192.0	0.4
	UDD19553	4752	12330	1064	43	11	77	50.80	53.70	2.90	8.1	2.0
	UDD19556	4761	12327	1066	53	12	65	57.70	63.40	5.70	19.6	4.0
						Including		58.70	59.70	1.00	83.9	0.7
	UDD19706	4975	12294	1153	22	340	96	11.65	13.10	1.45	22.6	1.0
	UDD19709	4976	12294	1152	0	360	143	21.95	22.25	0.30	83.3	0.2
								26.25	27.90	1.65	18.8	1.2
	UDD19711	4977	12294	1152	-10	360	143	35.15	35.65	0.50	55.1	0.4
CARIBBEAN	UDD19665	4571	11699	1105	-45	180	30	27.10	28.10	1.00	19.0	0.7
	UDD19666	4576	11706	1104	-50	40	53	33.80	36.60	2.80	7.9	2.0
CASPIAN	UDD19423	4776	11047	1273	39	230	44	37.70	40.80	3.10	6.6	2.2
	UDD19638	4345	10956	1334	-51	236	11	9.40	10.10	0.70	46.2	0.5
	UDD19647	4353	10950	1334	-63	198	15	2.00	2.50	0.50	42.6	0.4
CORTEZ	UDD19613	4876	12124	1161	15	10	178	71.40	72.60	1.20	34.4	0.8
	UDD19618	4876	12124	1161	15	0	167	111.40	115.40	4.00	36.5	2.8
	UDD19621	4876	12124	1161	7	15	188	100.30	101.70	1.40	29.1	1.0
	UDD19622	4809	12226	1145	60	97	100	34.25	37.20	2.95	30.6	2.1
						Including		34.25	35.25	1.00	30.0	0.7
						and		36.50	37.20	0.70	81.6	0.5
	UDD19623	4809	12225	1145	61	80	101	30.05	30.80	0.75	99.9	0.5
	UDD19624	4809	12226	1145	65	110	100	32.40	33.55	1.15	19.9	0.8
	UDD19625	4808	12227	1145	70	90	99	24.80	26.60	1.80	17.6	1.3
	UDD19626	4809	12225	1145	85	90	83	21.20	26.70	5.50	7.8	3.9
	UDD19627	4809	12226	1145	65	55	96	29.30	30.20	0.90	32.5	0.6
	UDD19628	4809	12225	1145	75	65	90	20.05	25.10	5.05	9.5	3.5
						Including		22.80	25.10	2.30	16.4	1.6
						and		63.15	67.10	3.95	12.4	2.8
	UDD19695	4977	12294	1153	3	350	44	33.20	33.70	0.50	116.0	0.4
	UDD19699	4980	12294	1153	15	48	100	64.80	82.00	17.20	8.0	12.0
	UDD19702	4981	12291	1156	55	90	100	7.00	7.40	0.40	247.0	0.3
	UDD19704	4981	12291	1155	50	120	101	26.00	33.45	7.45	10.6	5.2
						Including		27.00	29.00	2.00	18.8	1.4
						and		30.00	32.90	2.90	11.3	2.0
INDIAN	UDD19130	4154	11003	1396	-60	185	125	118.00	119.00	1.00	40.0	0.7
	UDD19558	4451	11239	1251	-18	94	52	45.10	46.30	1.20	16.5	0.8
	UDD19604	4320	11358	1141	40	136	118	78.50	79.20	0.70	35.3	0.5
	UDD19655	4283	11468	1146	55	19	23	8.00	8.30	0.30	108.0	0.2
	UDD19761	4339	11379	1173	35	160	47	30.70	33.40	2.70	10.2	1.9
PACIFIC	UDD19671	4624	12704	1073	62	80	56	0.75	2.50	1.75	18.1	1.2
	UDD19672	4625	12703	1071	29	91	83	38.30	40.80	2.50	15.9	1.8
	UDD19686	4621	12695	1072	70	275	72	5.55	15.70	10.15	25.2	7.2
						Including		5.55	10.75	5.20	45.0	3.6
	UDD19690	4623	12695	1072	88	100	61	9.55	11.15	1.60	17.3	1.1
	UDD19691	4621	12708	1073	89	90	36	9.65	10.10	0.45	58.4	0.3

Outlook and Strategy

In the near term, the Company is focused on re-establishing the Plutonic Gold Operations as a stable gold producer capable of producing at least 100,000 ounces of gold annually. To achieve this goal, the Company intends to focus on its growth strategy which includes:

Focusing on quality high-grade ounces
Optimizing recoveries
Increasing incremental production from underground and open pit sources
Resource and reserve additions through property wide exploration
Leveraging the excess mill capacity

With the proceeds raised from the completion of the initial public offering, and the cash generated from the Plutonic Gold Mine, the Company has the liquidity available to execute on its near-term growth and exploration strategy.

Qualified Person

Scientific and technical information in this news release has been reviewed and approved by Alfred Gillman, Fellow AusImm (Chartered Professional, Geology) and a "qualified person" within the meaning of NI 43-101. Mr. Gillman is a Consultant to Superior Gold Inc.

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

View original content with multimedia: http://www.newswire.ca/en/releases/archive/November2017/29/c6877.html