News on SUR.V........yipppeeee
-- Sur American Gold Corporation: Further Significant Exploration Developments at --
Comval Gold Project
Business Editors
VANCOUVER, British Columbia--(BUSINESS WIRE)--Nov. 22, 2004--Sur
American Gold Corporation (TSX VENTURE:SUR) is very pleased to provide
an update on further significant exploration developments at its
Comval Gold Project, Philippines.
COMVAL GOLD PROJECT, COMPOSTELA VALLEY
- Exploration continues to expand the size of the Batoto project
with the discovery of a further 600 metre wide zone adjacent to the
1000 metre wide zone recently announced. The Batoto alteration system
is now believed to be more than 3500 metes in a SW-NE direction and
2500 metres in a NW-SE direction. This represents a mineralized
system of potential world class size. Initial sampling is in progress
and free gold has been panned from several areas.
- The Clark exploration crosscut at Batoto which the Company
believes may represent typical grade type distributions for Batoto
has now progressed 100.5 metres from the tunnel portal. The crosscut
continues to encounter a wide higher grade zone now 40.5 metres wide
and averaging 3.10 g/t gold. Overall the crosscut averages about 2
g/t gold with every 2-4 metre sampling interval well mineralized.
- The sampling results from the Clark Crosscut which is between
20-50 metres below the surface clearly support the strong possibility
of bulk open cut mining at Batoto with processing by simple CIP
and/or heap leaching methods. It should be stressed that the crosscut
represents a very small percentage of the overall size of the Batoto
system.
- Given the excellent metallurgy of the plus 100 tonnes of
mineralization already extracted and treated from this area, and
based on other case studies around the world including Round
Mountain, Nevada which leaches 0.55 g/t gold and Yanaccocha, Peru
which leaches 0.9g/t gold, the Company is of the firm opinion that
grades in excess of 0.5g/t gold are potentially economically
"interesting".
- At the Tarale zone high grades continue to be obtained from
most vein developments and in particular Tarale 11 a flat lying vein
which averages about 1.2 metres in true thickness. The most recent
sample returned 79.73 g/t gold over a true thickness of 1.5 metres.
In addition the immediate zone below the vein for a distance of 1
metre returned 28.77 g/t gold and the immediate area above the vein
returned 0.73 g/t over a similar interval. These results continue to
support the possibility of future bulk mining of the overall Tarale
zone.
- As previously reported and following the continued excellent
metallurgical characteristics as determined from the CIP trial
processing the Company is now proceeding rapidly to establish an
on-site trial heap leaching operation at the JB Mining and processing
facility. The Company believes that positive results from this trial
could result in future operations at Comval involving both CIP and
heap leaching operations.
- Results from the gradient array induced polarization
geophysical survey are expected at the end of November. The survey
results will be reviewed along with all of the exploration data
collected in 2004 and a final decision of when and where the initial
drilling program will commence will be made in early December.
Assays are undertaken at the JBMM laboratory at Monkayo,
Compostela Valley Province using the 30 gram fire assay method with
frequent check assaying undertaken at the IPL Laboratories in
Vancouver, Canada, an ISO certified laboratory. To date the Company
has established excellent comparison between assays undertaken
locally and those completed in Vancouver.
The Company is also very pleased to report that 71.7% of the
$0.35 warrants issued during a financing in November 2003 (or
$1,004,000) have been exercised. Total cash now available to the
Company in Canada and the Philippines is approx. $2,500,000. The
remaining warrants are exercisable at $0.50 per warrant until
November 19, 2005.
All sampling practices are approved by Mr Rennie Blair, Company
President who is the qualified person as required by National Policy
43-101 and who is the technical person responsible for this news
release.
Sur American Gold Corporation trades on the TSX Venture Exchange
(Canada) with trading symbol SUR-V.
On behalf of the board of directors
J. Rennie Blair, President
The TSX Venture Exchange has neither approved nor disapproved the
contents of this news release
Sur American Gold Corporation (TSX VENTURE:SUR)
--30--CB/na*
CONTACT: Sur American Gold Corporation
J. Rennie Blair
President
(604) 601-8270
Email: suramerican@telus.net
OR
Renmark Financial Communications
Neil Murray-Lyon or Franca Filippone
(514) 939-3989
