South Atlantic Gold’s Drone Survey Identifies Multiple Sub-Surface Structural Features Coincident with Previously Defined Gold Mineralization
TSX-V: SAO
South Atlantic Gold’s Drone Survey Identifies Multiple Sub-Surface Structural Features
Coincident with Previously Defined Gold Mineralization
Kelowna, British Columbia, June 13, 2022 - SOUTH ATLANTIC GOLD INC. (TSX-V: SAO) (“South Atlantic”
or the “Company”) announces another milestone for the Phase II exploration program which included a
high-resolution Unmanned Airborne Vehicle (“UAV” or “drone”) magnetic survey at its 100 percent (“%”)
owned Pedra Branca project, located in Cear á state, northeastern Brazil. The initial results of the UAV
survey define a distinct signature over areas of known mineralization that, when combined with other
datasets demonstrates the potential for gold mineralization to extend well beyo nd the limits of the
current resource ( click here for technical report and here for UAV program news release dated April 8,
2022 ).
Highlights
• Licensing and Permitting: The Company filed exploration reports required by Agencia Nacional
de Mineração (“ANM”), the Brazilian mining agency, on -time and secured legal status for 15
tenements.
• Phase I and II Exploration Consolidation: Click here for a table of total exploration work for both
Phase I and Phase II. Pedra Branca consolidated exploration now has a total of 165 R everse
Circulation and 90 Diamond Drill (historical) holes with a total of 15,592 meters (“m”) drilled and
9,353 samples assayed. The RC hole depth averaged 38.5 m. Consolidated results can be seen
here with previously published data available on our website.
• Magnetic Signature: The high-resolution drone survey has identified geological structures that
are coincident with previously defined gold mineralization. These geological structures have been
delineated farther than the extents of the known gold mineralization and provide numerous
targets that will need to be tested with further exploration.
• Phase II was completed on time and on budget.
Douglas Meirelles, CEO stated, “The Phase II exploration program enabled the Company to successfully
deliver 15 detailed exploration reports to ANM which required very specific exploration work and, in
addition to meeting these requirements, we also successfully completed the drone magnetic survey. The
initial results of the drone survey added another dimension t o the collective Phase I and II exploration
program results, with several new targets identified.
“The continued consolidation of exploration data and new magnetics results confirm the previous
geological model—including the lengthening of previously identified mineralized trends —along with the
discovery of structures requiring further geological work. With several new compelling targets, the path
forward for Pedra Branca is clear and further drilling will help define the boundaries of this district -scale
asset.”
Consolidated Exploration
The completion of the drone magnetic survey provided significant results t hat will help guide and focus
the next steps of the exploration program. In the National Instrument 43-101 technical report, click here
to view (NI 43-101 report standards dated April 25, 2021 and entitled “ Mineral Resource Estimation for
TSX-V: SAO
the Pedra Branca Gold Project Cear á State – Brazil” authored by Rodrigo Mello, FAusIMM, of RBM
Consultoria Mineral Belo Horizonte, Brazil filed under the Company’s profile on the SEDAR website at
www.sedar.com), the largest target, Queimadas, has an Inferred Resource of 3.2 million tonnes grading
1.24 grams per tonne gold for 128,000 ounces Au at an average 40 meters depth. The magnetic signature
at this target leaves the possibility to expand the current Inferred resource with additional drilling. Click
here to see the resource statement qualification statements.
As seen on the map below, the section of Queimadas is contrasted with the consolidated exploration
programs completed at surface ( average 40 m depth) in conjunction with the magnetic survey ,
demonstrating the new potential of this entire target area.
TSX-V: SAO
The drone survey also highlighted the area between Mirador and Queimadas as seen on the map below,
which greatly aided the interpretation of the structures that connects these two main targets for a total
length of 60 km. The Company has also completed the magnetic survey between these two areas and is
expecting to receive the data in the next few weeks.
TSX-V: SAO
Total Exploration from Phases I and II
In the 1.5 years that South Atlantic has been exploring the Pedra Branca property, a significant amount of
current and historical work has been completed within a limited budget. This geological work provides a basis
for the initial understanding of the mineralization at Pedra Branca.
TSX-V: SAO
Exploration Results for Phase I and II Combined
Activity Unit Phase I Phase II Total
Stream Sediment Sample Samples 0 231 231
Soil Sample Samples 0 1,239 1,239
Trenching # 92 48 140
Meters 12,324 9,966 22,290
Samples 12,170 5,038 17,208
RC Drilling # 122 43 165
Meters 5,022 1,657 6,679
Samples 5,022 729 5,751
DD Drilling
(Historical – performed in
2007/2008 by Jaguar Mining)
# 90
Meters 8,913
Samples 3,602
Geophysics
One of the important take-aways from the geophysical program is that the ore intercepts are seen to be
concentrated at the flexures between magnetic highs (red and pink colors) and magnetic lows (blue color)
at Queimadas, Mir -Quelho and Mirador Norte target areas. An interesting gap located to the south,
southeast and northeast of the Inferred resource area of Queimadas has been interpreted as areas of
interest from the geophysical data (see map below).
The density of the geophysical grid allows the trendlines in the gaps between Queimadas and Mirador
and similar geophysical structures in the southern portion of Pedra Branca. These trendlines are clear in
the mafic domain where most of the ore/mineralization i s accompanied by magnetic minerals
(pyrrhotite).
The geophysics results have identified dozens of potential mineralized -like anomalies that have not yet
been investigated in the Phase I and II exploration programs. A host of prospective exploration target s
have been identified from the magnetic results. These prospective targets require investigation as they
may provide important geological information to resolve questions on structural issues.
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.
Resource Estimate
The mineral resource estimate is that material within the block models using a cut-off grade of 0.4 g/t Au.
The effective date for the mineral resource is March 16, 2021 and a corresponding technical report
disclosing the mineral resource estimate in accordance with NI 43-101 was prepared by RBM Consultoria
TSX-V: SAO
Mineral for the Company endorsed by Mr. Rodrigo Mello, FAusImm. Mr. Mello is also a QP as defined
under NI 43-101. South Atlantic filed the technical report on SEDAR at www.sedar.com.
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 the 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 in 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]
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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,
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results will not be consistent with the Company’s expectations, as well as other assumptions risks and uncertainties
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applicable to mineral exploration an d development activities and to the Company, including as set forth in the
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