RECORD QUARTERLY SALES OF 25,842 OUNCES
ANNUALIZED PRODUCTION RATE OF MORE THAN 100,000 OUNCES PER YEAR
OVER THE PAST SIX MONTHS
(In US Dollars unless otherwise stated)
TORONTO, October 18, 2018 - Superior Gold Inc. ("Superior Gold" or the "Company") (TSXV: SGI) is pleased to announce detailed production results for the third quarter of 2018 from the Company's 100%-owned Plutonic Gold operations, located 800 kilometres northeast of Perth, in Western Australia. The Plutonic Gold operations include the Plutonic underground mine and the Hermes open pit mine.
Production details are summarized in the table below.
|Operating Parameters1||Q1||Q2||Q3||YTD Nine month period
ended September 30, 2018
|Stope material mined (Tonnes)||152,101||157,479||176,068||485,649|
|Stope grade mined (g Au/t)||2.61||3.18||2.75||2.84|
|Development material mined (Tonnes)||55,401||35,483||49,219||140,103|
|Developmentgrade mined (g Au/t)||1.58||1.79||1.96||1.76|
|Hermes material mined (Tonnes)||157,179||252,521||245,672||655,373|
|Hermes grade mined (g Au/t)||1.58||1.51||1.40||1.49|
|Hermes waste mined (Tonnes)||2,517,823||2,269,357||2,789,275||7,576,455|
|Surface material milled (Tonnes)2||133,741||199,315||216,797||549,853|
|Surface material grade (g Au/t)\2||1.52||1.64||1.45||1.53|
|Total material milled (Tonnes)||343,932||388,513||437,067||1,169,512|
|Grade milled (g Au/t)||2.01||2.27||2.02||2.10|
|Gold Produced (ounces)3||19,232||25,608||24,719||69,559|
|Gold Sold (ounces)3||18,940||25,797||25,842||70,579|
|1 Numbers may not add due to rounding.|
|2 Surface material milled in Q1, Q2, and Q3 is primarily from Hermes but includes additional material totalling 33,169 tonnes
(at 0.62 g Au/t), 18,707 tonnes (at 0.52 g Au/t), and 8,555 (at 0.79 g Au/t), respectively.
|3 Gold produced and gold sold in Q1 includes a contribution from Hermes prior to commercial production being declared.|
Chris Bradbrook, President and CEO of Superior Gold stated: "We are pleased to have achieved record quarterly gold sales for the second successive quarter at our Plutonic Gold operations. The ounces sold in the third quarter of 2018 represent a 24 percent year over year increase. Of particular significance is the fact that, with cumulative production of 50,327 from the second and third quarters, we have now maintained an annualized production rate of more than 100,000 ounces for the past six months.
During the quarter, we commissioned the gravity circuit and saw the positive benefits from its operation. A scheduled tank reline was expected to negatively affect recoveries, but this was offset by the beneficial impact of the gravity circuit. Recently announced site changes are achieving the intended improvements, which we believe will lead to improved operating performance".
The Company will be releasing complete financial and operating results for the third quarter and first nine months of 2018 before market open on November 13, 2018.
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.
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 and central mill, the Hermes open pit gold mine 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 in this news release includes, but is not limited to, the Company's objectives, goals or future plans, and statements regarding exploration results and exploration plans.
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.