Nov 10 2010
Dale Ginn, CEO of San Gold Corporation (SGR: TSX) (SGRCF: OTCQX) has reported that underground exploration drilling is confirming and extending the new L10 Zone located below and to the footwall side (south) of the Hinge Mine.
Drill hole # H955-10-010 yielded 36.3 g/tonne (1.06 oz/ton) over 13.3 meters (43.4 ft), continuing to demonstrate robust widths. Significant grade was also encountered as highlighted by drill hole # H955-10-073, cutting 120 g/tonne (3.50 oz/ton) over 2.3 meters (7.5 ft). Six of the new holes listed below were successful in extending the L10 Zone upwards above the 300 meter level. The L10 zone is located 150 meters to the footwall (south) of the Hinge zone and has similar geological characteristics and strike direction as the 007 zone.
The L10 zone remains open along strike in both directions as well as to depth. The drill hole intersections as listed above within the L10 zone are located between 270 meters and 430 meters in depth and over a strike length of approximately 160 meters. The L10 Zone is tabular and steeply dipping to the north and possesses robust widths with consistent mineralization which appear to be amenable to mechanized (possibly longhole) mining methods. The L10 zone is accessible from the Hinge/007 decline; development is underway and will reach the L10 zone early in the first quarter of 2011.
This program was carried out under the supervision of W.S. Ferreira, P.Geo., the Qualified Person for this project under National Instrument 43-101. The drill core was split, with half sent to TSL Laboratories in Saskatoon, SK and fire assayed with an AA and gravimetric finish.