High Grade Gold Drill Results and Successful Soil Sample Programme
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- Bathsheba Kennedy
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1 Sula Iron & Gold plc / Index: AIM / Epic: SULA / Sector: Natural Resources 26 September 2017 Sula Iron & Gold plc ("Sula" or the "Company") High Grade Gold Drill Results and Successful Soil Sample Programme Sula (AIM: SULA), the gold exploration company focused on Sierra Leone, is pleased to announce that the final assay results from the Phase 3 drill programme and "structural target" soil samples have been received for the 100% owned Ferensola Gold Project. Highlights: 19.3 g/t Au over 1.2m in FDD035 at the Southern Target (TZ4), where four out of six holes drilled have returned good gold grades; 8.6 g/t Au over 2m in FDD038 at ; 7.5g/t over 0.7m in near surface oxide ore in FDD029 at. This is one of multiple oxide mineralisation intervals encountered; and A regional soil sampling programme designed to ground-truth structural targets shows anomalous gold grades to the northeast of and so provides a low cost means to highlight new untested gold zones. Roger Murphy, Sula's CEO, commented: "These high-grade results once more provide strong evidence that in Ferensola we have a serious gold province. 19.3g/t further confirms that the Southern Target is a quality standalone gold target with more than one style of mineralisation observed. And again, we see evidence for high grade gold areas at. Equally the soil sampling programme validates our structural work and suggests that there are several other & Southern Targets to be found on our licence. "As planned, Sula will now switch from a high-cost drilling phase and enter a period of lowcost analysis and review where further interpretation work will be done on the large volume of data now accumulated as a result of the drilling. During this period, and on cessation of the current wet season, we will continue with ad hoc lower cost field exploration at Ferensola. In order to maximise the Company's exploration spend, and to further demonstrate the Board's commitment to the Company, the Board has agreed to defer all of its remuneration in cash for the foreseeable future. During this period of data review, the Board will also assess the various strategic opportunities that have been presented to the Company to determine the best path to advance Sula and to provide the best return we can achieve for shareholders." Phase 3 Drill Programme Sula completed a 5,185m Phase 3 drilling programme in July 2017 which targeted areas of known high-grade mineralisation at and the Southern Target, (TZ4). This brings drilling completed in 2017 to a total of 8,985m. Soil Sample Programme
2 Following a detailed structural review of the licence that identified a total of 19 target zones at Ferensola, a soil sampling programme was completed across 8 of the targets. Using a commonly employed low-detection bulk leach method, results show anomalous gold values within most of the targets. This exploration and accompanying assay method is therefore believed to provide a robust and low cost method of target generation going forward. Assay Results Highlights from these assays are: Further high-grade mineralisation identified at the Southern Target with 19.3 g/t Au intersected in FDD035 between 287m and 288.2m. This intersection lies near extensive regional high-grade grab samples and mineralisation identified in trench number 11 completed by Sula in It is also around 600m from the 5.2 g/t Au encountered in FDD021 at the Southern Target and has a different structural orientation, which suggests multiple controls on mineralisation. Four of the six holes drilled into the Southern Target have now returned good gold grades. This attests to the target's prospectivity; High-grade mineralisation identified in FDD038 at the northern extents of the drilling completed at. 8.6 g/t Au was returned from between 134m and 136m with the intersection being near high grade historic RAB assays and a high-grade oxide sample of 28.9 g/t Au that was returned from a re-assay of historic drill core; and Further mineralisation observed from drillholes FDD028, FDD029, FDD030, FDD034, FDD036 and FDD037 at and at FDD031 at the Southern Target. Geological Interpretation Process Commenced, Conclusions to Follow Sula's field work in 2017 has generated a significant quantity of geological data. This data has been captured into a geological database for analysis and interpretation. Interpretation of all the data collected at Ferensola through the three drill campaigns, the soil sampling, geophysics and other field activities is ongoing, and Sula intends to update the market on the conclusions of this work once it is completed. Sula intends to engage with third party geologists, expert in the field of Archaean Greenstone gold in Africa, who will assist in this process and review the exploration target and all other exploration data. Figure 1 summarises the exploration carried out to date across the and Southern Targets with Figure 2 showing the location and results from the soil sampling programme. For further information please contact: **ENDS** For further information please contact: Sula Iron & Gold plc Roger Murphy (CEO) +44 (0)
3 WH Ireland Limited (Nominated Adviser and Broker) +44 (0) Paul Shackleton / James Bavister VSA Capital Limited (Broker) Andrew Raca +44 (0) Blytheweigh (Public Relations) Camilla Horsfall/Nick Elwes +44 (0) Ongeza Mining (Financial and Technical Adviser) Iain Macpherson / Ilja Graulich +27 (0) Table 1: Drillhole Collar Information Batch Hole ID Target Easting Northing Elevation 1 FDD025 1 FDD026 1 FDD027 2 FDD028 2 FDD029 2 FDD030 Collar Dip Collar Azimuth Depth (m) FDD031 TZ FDD FDD033 TZ FDD FDD035 TZ FDD036 2 FDD037 2 FDD TOTAL 5,185m Table 2: Summary of Sample Submission
4 Batch Hole ID Standard Half Core Samples Blank Samples Certified Reference Samples 2 FDD FDD FDD FDD FDD FDD FDD FDD FDD FDD FDD Soil Samples 2 SOIL 117 Total 1, Table 3: Significant intersections from the batch 2 assays from drillholes FDD028 to FDD038. No samples were submitted for drillhole FDD032 Hole ID From To Fresh / Oxide Apparent Thickness (m) True Thickness (m) Au (g/t) FDD Oxide FDD Fresh FDD Fresh FDD Fresh FDD Oxide FDD Oxide FDD Fresh including Fresh including Fresh FDD Oxide including Oxide FDD Oxide FDD Fresh FDD Fresh FDD Fresh
5 FDD Oxide FDD Fresh FDD Oxide FDD Fresh FDD Fresh FDD Oxide FDD Oxide FDD Oxide FDD Oxide FDD Fresh FDD Oxide FDD Fresh including Fresh including Fresh Figure 1: (left) graphical summary of drill intersections and Southern Target (right) drilling and regional sampling results Figure 2: Summary of soil sampling results against the identified structural targets ( g/t Au detection limit) Notes: The information in this release that relates to Exploration Results has been reviewed by Mr Howard Baker, Non-Executive Technical Director of Sula Iron and Gold plc. Mr Baker is a Chartered Professional Fellow of the Australasian Institute of Mining and Metallurgy (Membership Number ) and a Competent Person as defined by the rules of International Reporting Codes that are aligned with CRIRSCO. Howard Baker has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration targets, Exploration Results, Mineral Resources and Ore Reserves', also known as the JORC Code. The JORC code is a national reporting organisation that is aligned with CRIRSCO. Howard Baker consents to the inclusion in the announcement of the matters based on his information in the form and context in which they appear. ** Ends **
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