South Atlantic Gold Highlights Phase II Exploration Program, Pedra Branca Project, Ceará, Brazil
TSX-V: SAO
South Atlantic Gold Highlights Phase II Exploration Program,
Pedra Branca Project, Ceará, Brazil
Kelowna, British Columbia, February 3, 2022 - SOUTH ATLANTIC GOLD INC. (TSX-V: SAO) (“South
Atlantic” or the “ Company”) is pleased to announce the commencement of a Phase II exploration
program over its flagship 100% owned exploration project located in Cear á State, northeast Brazil . The
Phase II program has been developed utilizing field observations from recent site visit s by management
and a comprehensive review of Phase I exploration results by the newly formed Technical Committee.
Technical Committee Observations
As previously announced (news release dated January 5, 2022 ), the South Atlantic Gold Technical
Committee consists of Rick Brown (Chair), Mitch Wasel and Jon Hill.
The Phase I exploration program completed in 2021 clearly identified the potential for structurally -
controlled orogenic -style mineralization along the strike -continuous 40 km primary crustal scale -
structural trend that traverses the Company’s extensive tenement package of more than 45,000 hectares.
Notably, South Atlantic now holds a dominant, contiguous land position over this emerging Troia
Greenstone Belt in Ceará State. (Highlighted in Figure 1)
The consolidated result s of the Phase I program , focused on a 2 km segment of the main structure ,
enabled the Company to define a National Instrument (“ NI”) 43-101 technical report surficial Inferred
mineral resource (Highlighted in Figure 2) (click here to view NI 43 -101 technical report dated April 25,
2021 with effective date March 16, 2021 ). Importantly, this initial exploration phase also identifie d, to
date, the presence of five secondary zones parallel to or as splay structures emanating from the primary
structure that are considered to also be prospective for gold mineralization. Initial surface geochemical
assays have detected anomalous zones of gold mineralization in all five secondary zones.
Environmental Social Governance (“ESG”)
The Company will continue to prioritize local resources, by utilizing and train ing local field personnel to
assist in the Phase II geological program. It has been the intent from the beginning of South Atlantic’s
presence in the district to engage and hire locally as part of its commitment to ESG best practices.
Phase II Exploration Program Strategy
Building on the success of the Phase I exploration program, Phase II will focus on continued systematic
evaluation of the geology and structure along the untested or under -tested remaining 38 km of
prospective structure (and additional parallel and splay structures) with the concomitant generation and
prioritization of future drill targets for testing by future exploration programs.
Phase II Detail
The Phase II exploration program will consist of the following:
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• Extensive geologic mapping concentrating on alteration zones and the identification of structures
and kinematic indicators which help to identify areas of potential mineralization.
• Stream sediment sampling program to cover gaps in the tenement areas that were not covered
in the Phase I exploration pr ogram. The results of the sampling program will be used to identify
and evaluate areas potentially associated with additional mineralized structures that were not
tested in Phase I.
• Trenching program similar to the trenching that was conducted in the Phase I exploration
program. South Atlantic uses trenching as a relatively inexpensive alternative to drilling and this
technique was successful in the Phase I program.
• Multi-element geochemistry can be used to determine mobility of certain elements and help to
determine which elements are associated with gold and thereby will often assist vectoring into
prioritizing the targeted mineralized trend . Multi-element geochemistry will be augmented by
spectral orientation and niche sampling that enable litholog y characterization. The more
geological knowledge that can be acquired at Pedra Branca, the better the ability to identify and
target mineralization across the tenement area and, where appropriate, to add tenements to the
land package area.
• Review and ana lysis of existing core to determine which geophysical techniques will be will be
most effective in complementing geological mapping and geochemical data collection including
Induced Polarization, Electromagnetic Induction, and/or Electrical Resistivity.
• High resolution drone magnetic orientation survey over the areas with known gold mineralization
detected from earlier campaigns. Pending positive results from the initial survey, the program will
be expanded ov er other prospective targets on the extensive land holdings of the Company’s
existing tenements.
• Reverse Circulation drilling will be used selectively to test mineralized structures below surface
gold anomalies, to a shallow depth.
Douglas Meirelles, CEO stated, “So far, Phase II will be one of the most exciting times for the Pedra Branca
asset. The current trenching and soil sampling program has already shown the Troia greenstone belt has
anomalous gold mineralization over at least 40 km of strike length, making Pedra Branca project a district-
scale exploration target. Our Phase II exploration will now focus on determining where these mineralized
structures are more likely to open up at depth and thereby aid in prioritizing drill hole placement for further
drill programs.”
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Figure 1 – The greenstone belt delineated with the tenement package of South Atlantic Gold
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Figure 2 – Pedra Branca current defined trend of 2km with 180k ounces at average 40m depth
and highlight the potential extension to 40+km
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Qualified Person’s Statement
The scientific and technical information that forms the basis for parts of this news release was reviewed
and approved by Marcelo Antonio Batelochi (P.Geo.), MAUSIMM (CP), the Company’s Exploration
Manager who is a Qualified Person as defined by NI 43-101.
About South Atlantic Gold
South Atlantic Gold is an exploration company engaged in acquiring and advancing mineral properties
located in the Americas. Our flagship asset is our 100% owned Pedra Branca project, located 280 km
southwest of Fortaleza, Cear á State, Brazil. South Atlantic Gold is focused on creating value for its
shareholders by engaging i n the development and acquisition of high -quality mineral assets located in
stable and mining-friendly jurisdictions. South Atlantic Gold is based in Kelowna, British Columbia, and is
listed on the TSX-V under the symbol “SAO”.
ON BEHALF OF THE BOARD
Douglas Meirelles, President and CEO
For more information regarding this news release, please contact:
Anne Hite, Vice President, Investor Relations
T: 250-762-5777
Email: [email protected]
Cautionary Note Regarding Forward-Looking Information
This news release contains statements that constitute "forward -looking Information", as such term is used in
applicable Canadian securities laws . Such forward -looking information involves known and unknown risks,
uncertainties and other factors that may cause the Company’s actual results, performance or achievements, or
developments in the industry to differ materially from the anticipated results, performance or achievements
expressed or implied by such forward-looking information. Forward-looking information includes statements that are
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"believes," "intends," "estimates," "projects," "potential" and similar expressions, or that events or condition s "will,"
"would," "may," "could" or "should" occur.
Although the Company believes the forward-looking information contained in this news release is reasonable based
on information available on the date hereof, by its nature forward-looking information involves assumptions and
known and unknown risks, uncertainties and other factors which may cause our actual results, level of activity,
performance or achievements, or other future events, to be materially different from any future results, performance
or achievements expressed or implied by such forward-looking information. There can be no assurance that the
Fundamental Acquisition will be completed as proposed or at all.
Examples of such assumptions, risks and uncertainties include, without limitation, a ssumptions, risks and
uncertainties associated with general economic conditions; the Covid -19 pandemic; adverse industry events; the
receipt of required regulatory approvals and the timing of such approvals; that the Company maintains good
relationships wi th the communities in which it operates or proposes to operate, future legislative and regulatory
developments in the mining sector; the Company ’s ability to access sufficient capital from internal and external
sources, and/or inability to access sufficient capital on favorable terms; mining industry and markets in Canada and
generally; the ability of the Company to implement its business strategie s; competition; the risk that any of the
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assumptions prove not to be valid or reliable, which could result in delays, or cessation in planned work, risks
associated with the interpretation of data, the geology, grade and continuity of mineral deposits, the possibility that
results will not be consistent with the Company’s expectations, as well as other assumptions risks and uncertainties
applicable to mineral exploration and development activities and to the Company, including as set forth in the
Company’s public disclosure documents filed on the SEDAR website at www.sedar.com.
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