Superior Gold Inc. Announces First Quarter 2020 Production Results
EXCEEDS FIRST QUARTER PRODUCTION GUIDANCETORONTO, April 14, 2020 - Superior Gold Inc. ("Superior Gold" or the "Company") (TSXV:SGI) announces detailed production results for the first quarter from the Company's 100%-owned Plutonic Gold operations, located in Western Australia.
FIRST QUARTER PRODUCTION DETAILS
Production details are summarized in the table below.
| Operating Parameters1 | Three month period ended March 31, 2020 |
| Stope material mined (Tonnes) | 121,141 |
| Stope grade mined (g Au/t) | 3.34 |
| Development material mined (Tonnes) | 61,248 |
| Development grade mined (g Au/t) | 2.36 |
| Surface material milled (Tonnes)2 | 175,931 |
| Surface material grade (g Au/t)2 | 0.42 |
| Total material milled (Tonnes) | 365,849 |
| Grade milled (g Au/t) | 1.71 |
| Gold recovery (%) | 82% |
| Gold Produced (ounces) | 16,351 |
| Gold Sold (ounces) | 16,850 |
| 1 Numbers may not add due to rounding. |
| 2 Surface material milled in Q120 is primarily the processing of low-grade stockpile. |
Chris Bradbrook, President and CEO of Superior Gold stated: "Production for the first quarter of 2020 exceeded our first quarter guidance with a total of 16,351 ounces. As previously indicated, the first quarter of 2020 was scheduled to be the weakest quarter. Additionally, as described in our press release dated March 13, 2020, the Plutonic Gold operations suffered from some unexpected events including power outages, higher than anticipated arsenic content in some of the mined areas, which resulted in lower than anticipated recoveries, and heavy rains, which lowered and delayed production. In combination, these caused a lower than forecast underground tonnage mined for the quarter. Consequently, we are pleased to have exceeded our expectations for the first quarter 2020.
With continued emphasis on improved development rates and the execution of our five-year Life of Mine plan, we anticipate a progressive improvement in our quarterly production results over the course of 2020 and beyond.
As the health and safety of our employees and contractors is of paramount importance to us, the measures that we have put in place to mitigate the threat of COVID-19 ("COVID") remain in full force (as described in the press release dated March 19, 2020). To date, we have had no incidences of infection from COVID at either our operations or corporate offices. We have stockpiled critical supplies on site and will continue to monitor the supply chain and work to ensure their ongoing availability.
Finally, we are pleased to announce the appointment of Maurice Swan as General Counsel and Corporate Secretary effective April 1, 2020. In connection with this appointment, 200,000 options were issued."
Qualified Person
Scientific and technical information in this news release has been reviewed and approved by Keith Boyle, P.Eng., Chief Operating Officer of the Company, who is a "qualified person" as defined by National Instrument 43-101 (NI 43-101).
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 underground gold mine and central mill, the Hermes open pit gold projects 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, including but not limited to the future impact of the COVID-19 pandemic and government responses to such pandemic that may impact the ability of the Company to continue operations at its mine site, 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.
SOURCE Superior Gold
Contact
Superior Gold Inc., Brian Szeto, Vice President Corporate Development and Kate Stark, Director of Investor Relations, investor@superior-gold.com, Tel: 647-925-1293