*Wednesday, February 22, 2012
Sunridge Gold Announces New Higher Grade Resource For The Adi Nefas Deposit
Asmara Project, Eritrea*
------------------------------
Sunridge Gold Corp. (TSX.V:SGC) is pleased to announce that it has received
a new independent resource estimate for the Adi Nefas zinc-gold-copper
volcanogenic-massive-sulphide (VMS) deposit on the Company's 100% owned
Asmara Project, Eritrea. This new resource was completed by Snowden Mining
Industry Consultants Inc. ("Snowden") as part of its ongoing prefeasibility
study on the Asmara North Deposits which include the Emba Derho
copper-zinc-gold deposit, the Adi Nefas zinc-copper-gold VMS deposit, the
Debarwa copper-gold VMS deposit, and the Gupo gold deposit. Adi Nefas is
located only six kilometres from the 70 million tonne Emba Derho Deposit.
The prefeasibility study is being conducted by Snowden and GBM Minerals
Engineering Consultants Ltd. and is scheduled for completion in April 2012.
*Highlights:*
*
- Indicated resources in the primary zone are 1.8 million tonnes
averaging 10.05% zinc, 3.31 g/t gold, 1.78% copper and 115g/t silver
- Total contained metals in the Indicated categories at Adi Nefas are
estimated as:
- 408.0 million pounds of zinc
- 72.2 million pounds of copper
- 196,000 ounces of gold
- 6.81 million ounces of silver.
*Note: Contained metal calculations are as follows: copper and zinc: tonnes
x grade (%) x 2204.622. Gold and silver: tonnes x grade (g/t) ÷ 31.10348.
Results were rounded and no allowance was made for mining dilution or metal
losses in the recovery process.
Sunridge President and CEO Michael Hopley says, "The average grade of all
metals in the Adi Nefas deposit has significantly increased in this new
resource estimate compared to the previous estimate in 2008.This high-grade
material should enhance the economics of the Asmara Project when this
material is mined and blended as a high-grade feed to a central North
Asmara processing plant in conjunction with the nearby Emba Derho deposit
as well as the sulphide material from the Debarwa deposit. We expect that
most of these resources will be converted to reserves with the completion
of the pre-feasibility study in April."
*Indicated Mineral Resources at Adi Nefas*
*Zone*
*Cut-off grade*
*Million
Tonnes*
*Copper*
*%*
*Zinc*
*%*
*Gold*
*g/t*
*Silver*
*g/t*
*Primary*
2.0 % Zn
1.841
1.78
10.05
3.31
115
*Total Metal in Indicated Mineral Resources at Adi Nefas*
*Zone*
*Cut-off grade*
*Million
Tonnes*
*Copper
M lbs.*
*Zinc
M lbs.*
*Gold
K oz.*
*Silver
M oz.*
*Primary*
2.0 % Zn
1.841
72.3
408.0
196
6.83
Note: Resource and contained metal estimates are rounded and remain subject
to factors such as mining dilution and process recovery losses.
*NOTES*
This new Adi Nefas resource estimate, completed by Snowden, is as of
February 20, 2012 and complies with the CIM Definition Standards on Mineral
Resources and Mineral Reserves, as required by National Instrument 43-101.
Resource modeling and grade estimation was undertaken by Snowden and
reviewed by Andrew F. Ross, FAusIMM (CP Geo), P.Geo (APEGBC #145711)(Senior
Principal, Snowden), a Qualified Person as defined by NI 43-101, based on
geological interpretations and a drill database (current to August 2011)
provided by Sunridge. The database and the Sunridge sampling and assaying
QA/QC procedures and results were reviewed by Snowden. Further details of
the estimation procedure will be available in the NI-43-101 report which
will be posted on the Company's profile on SEDAR (
http://www.sedar.com) no
later than 45 days from the date of this press release.
*GEOLOGICAL BACKGROUND*
The Adi Nefas deposit occurs as a prominent outcropping gossan at surface
that is the expression of deeper volcanogenic massive sulphide (VMS)
mineralization. The gossan is traceable over a strike length of 700 metres
and is north-northeast trending. The deposit is a steeply east dipping
massive sulphide layer that is hosted within a sequence of felsic
meta-volcanic and meta-sedimentary rocks. The massive sulphide layer has an
average width of 6 m to 12 m and is largely hosted within a hydrothermally
altered felsic quartz-sericite-chlorite pyrite schist which is flanked in
the hanging wall and footwall by altered meta-basaltic rocks. The deposit
is partitioned into upper oxide and transition zones with precious metal
enrichment and base metal depletion, underlain by a zinc and copper rich
supergene zone, and a lower primary zinc-rich sulphide zone.
The primary zone is typically developed beyond a depth of 40 metres from
surface and is the focus of the prefeasibility study. The primary zone
includes a unit of low grade chert and exhalite which has been modeled
separately to the massive sulphides. Previous mineral resource estimates
did not partition this rock unit from the massive sulphides and as a result
were lower grade and higher tonnage than the current estimate.
*METHODOLOGY*
The mineralization on which this new Adi Nefas resource estimate is based
extends over a strike length of 455 metres and a width of up to 12 metres
and has been drilled to a maximum vertical depth from surface of
approximately 400 metres. The deposit has been explored using 101
exploration drill holes and 8 geotechnical drill holes. 70 drill holes
encountered mineralization and assays of split core have been used in this
estimation of resources.
The interpretations of mineralized zones were modeled using
three-dimensional wireframing techniques based on a distribution of drill
intersections ranging from less than 25 metre to up to 135 metre spacings
on 40 metre drill section intervals. The wireframe interpretations formed
the basis for the construction of a block model as well as the constraining
of samples for geostatistical analysis and grade estimation. A block model
was constructed in Datamine mining software with a parent cell dimension of
7.5 m (X) x 10 m (Y) x 5 m (Z) subcelled to 0.5 m x 5 m x 2.5 m (XYZ) for
accurate coding with the wireframe interpretations.
Grades for copper, zinc, gold, silver, lead and iron were estimated within
primary and weathered horizon control using Ordinary Kriging after
compositing the assay intervals to 1.5 m down-hole lengths. Search
ellipsoid dimensions and orientations were determined on structural
geological and geostatistical information. Density values were calculated
for blocks based on regression formulae for iron, copper, zinc and lead
estimates.
The interpreted mineralized zones were categorized for resource
classification as Indicated or Inferred in a series of steps. Each zone was
reviewed in the context of the spatial distribution of drill intersections
used to model and estimate grades for that zone, with due consideration for
the known geological and geostatistical continuities and confidences in the
base data and geological interpretations. On this basis the relatively
densely drilled (40 m section spacing) primary zone received Indicated
status.
Michael Hopley, President and CEO of Sunridge Gold Corp. is the Qualified
Person responsible for the contents of this press release and has reviewed
the information in the release and confirmed that it is consistent with
that provided by the independent Qualified Person responsible for the
resource estimate, Andrew F. Ross of Snowden.
*About Sunridge:*
Sunridge is a mineral exploration and development company focused on the
acquisition, exploration, discovery and development of base and precious
metal projects on the Asmara Project in Eritrea and exploration properties
in Madagascar. Sunridge currently has approximately 117 million shares
outstanding and trades on the TSX Venture Exchange under the symbol SGC.
For additional information on the Company and its projects please view the
slide show on our website at www.sunridgegold.com or call Greg Davis at the
numbers listed below.
*SUNRIDGE GOLD CORP.*
*"Michael Hopley" *
Michael Hopley, President and Chief Executive Officer
*For further information contact:*
Greg Davis, VP Business Development
Email: greg_at_sunridgegold.com
Tel: 604-688-1263 (direct)
*Neither the TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements that are based on the
Company's current expectations and estimates. Forward-looking statements
are frequently characterized by words such as "plan", "expect", "project",
"intend", "believe", "anticipate", "estimate", "suggest", "indicate" and
other similar words or statements that certain events or conditions "may"
or "will" occur. Such forward-looking statements involve known and unknown
risks, uncertainties and other factors that could cause actual events or
results to differ materially from estimated or anticipated events or
results implied or expressed in such forward-looking statements. Such
factors include, among others: the actual results of current exploration
activities; conclusions of economic evaluations; changes in project
parameters as plans to continue to be refined; possible variations in ore
grade or recovery rates; accidents, labor disputes and other risks of the
mining industry; delays in obtaining governmental approvals or financing;
and fluctuations in metal prices. There may be other factors that cause
actions, events or results not to be as anticipated, estimated or intended.
Any forward-looking statement speaks only as of the date on which it is
made and, except as may be required by applicable securities laws, the
Company disclaims any intent or obligation to update any forward-looking
statement, whether as a result of new information, future events or results
or otherwise. Forward-looking statements are not guarantees of future
performance and accordingly undue reliance should not be put on such
statements due to the inherent uncertainty therein.*
*You can also view this News Release on our website at:*
http://www.sunridgegold.com/s/PressReleases.asp?ReportID=508123
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Received on Wed Feb 22 2012 - 10:13:39 EST
