Southern Cross Drills 204.1 G/T GOLD over 1.7 Metres
NEWS RELEASE
Mariana Bermudez – Corporate Secretary
+1 604 685 9316 [email protected]
1305 – 1090 West Georgia Street Vancouver, BC, V6E 3V7, Canada
Nicholas Mead – Corporate Development
+61 415 153 122 [email protected]
Level 21, 459 Collins Street, Melbourne, VIC, 3000, Australia
SOUTHERN CROSS GOLD CONSOLIDATED LTD
TSXV: SXGC | ASX: SX2
www.southerncrossgold.com
www.mawsongold.com
JANUARY 29, 2025
SOUTHERN CROSS DRILLS 204.1 g/t GOLD OVER 1.7 METRES
IN 350 METRE DOWN DIP EXTENSION AT CHRISTINA
Vancouver, Canada and Melbourne, Australia - Southern Cross Gold Consolidated Ltd (“SXGC”,
“SX2” or the “Company”) (TSXV:SXGC) (ASX:SX2) announces significant results from drill holes
SDDSC150 and SDDSC153, the deepest holes at the Christina prospect, part of the 100% -owned Sunday
Creek Gold-Antimony project in Victoria.
HIGH LEVEL TAKEAWAY
Today's results from SDDSC150 and SDDSC153 at Christina mark several pivotal developments that
increase the project's significant potential.
What is particularly significant about these intersections? SDDSC150 - the deepest hole at Christina -
delivered 1.7 m @ 204.1 g/t Au at approximately 450 m below surface. Most encouragingly, this high-grade
intersection came 350 m down-dip from previous drilling that returned 1.7 m @ 254.0 g/t AuEq
(SDDSC137W2), demonstrating that the mineralization system maintains its high grade at depth.
Perhaps most compelling is the emergence of Christina as a fourth major mineralized body alongside
Apollo, Rising Sun and Golden Dyke. What was initially planned as control drilling has instead revealed
multiple high-grade veins with consistent frequency—a hallmark of robust system development.
The project footprint now spans 1,350 m strike from Christina to Apollo prospects, though only approximately
620 m has been more intensively tested. SXGC have defined at least 70 'rungs' or mineralized vein sets to
date, characterized by high-grade intercepts (20 g/t to >7,330 g/t Au). Most importantly, the consistency in
grade distribution, structural characteristics, and host rock properties remains predictable at depth.
The success of these control holes in intersecting the mineralized system not only validates the geological
model but provides valuable data points for targeting future drilling in this expanding zone. The consistent
way the system is developing - with predictable structural controls and high grades at depth - gives us
increased confidence in our ability to efficiently target mineralization as we test the system's extent. This
systematic approach to understanding the "Golden Ladder" structure has proven particularly effective, with
the relationship between the host dyke ("rails") and mineralizing veins ("rungs") becoming increasingly
predictable.
Sunday Creek represents one of the Western world's most significant gold-antimony discoveries. The
strategic value of the antimony component (20% of in-situ value) has only increased following China's recent
export restrictions. Most importantly, these results confirm our geological model and demonstrate that the
system extends well beyond historical mining areas, both in grade and scale.
Twelve holes are currently being processed and analyzed, with five holes in progress. With A$20M in cash
and one of the largest global exploration drill programs (60 km ) planned through Q3 2025, Southern
Cross Gold Consolidated is well-positioned to continue expanding this significant discovery in a tier -one
jurisdiction.
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NEWS RELEASE
FOR THOSE WHO LIKE THE DETAILS
Michael Hudson, President & CEO of SXG C states: "A great start to life for Southern Cross Gold
Consolidated as a dual -listed company (TSXV:SXGC and ASX:SX2). These results mark a significant
milestone in our understanding of Christina’s potential as we continue to expand and demonstrate high
grades further west and at depth at Sunday Creek.
“Intersecting such exceptional grades, including 1.7 m @ 204.1 g/t Au, in the deepest hole at Christina,
located 350 m down dip from previously drilled 1.7 m @ 254.0 g/t AuEq (SDDSC137W2) is a remarkable
result. What's particularly encouraging is that these intersections came from what were initially planned as
control holes to test the east-west mineralized host location (the “rails of the ladder”). Instead, they have
revealed multiple high- grade veins (“the rungs of the ladder”) and demonstrated that high grades are
maintained at depth.
"The consistency of the vein frequency continues to demonstrate that we are dealing with a robust and well-
developed system. This provides confidence in the potential for further high-grade discoveries as we continue
to test the depth extensions of the Christina prospect. Most importantly, these results confirm our geological
model and demonstrate that the Sunday Creek system continues to extend well beyond the historical mining
areas, both in terms of grade and scale.
“The project footprint now spans 1,350m strike from Christina to Apollo prospects, with only approximately
620 m has been more intensively drill tested. We've defined at least 70 'rungs' to date, characterized by
HIGHLIGHTS
• SDDSC150 was drilled 450 m vertically below the historic Christina Mine and 350 m vertically below the
high-grade interval in SDDSC137W2 (1.7 m @ 254.0 g/t AuEq - 28 October, 2024). The hole contained
four intervals >20 g/t Au (up to 1,060 g/t Au) and intercepted three new mineralized vein sets. Highlights
include:
o 1.7 m @ 204.2 g/t AuEq (204.1 g/t Au, 0.1% Sb) from 570.8 m, including:
0.6 m @ 630.8 g/t AuEq (630.5 g/t Au, 0.1% Sb) from 572.0 m
• including 0.3 m @ 1,060 g/t Au from 572.0 m
o 0.7 m @ 14.7 g/t AuEq (14.7 g/t Au, 0.0% Sb) from 584.4 m
o 0.7 m @ 137.7 g/t AuEq (137.7 g/t Au, 0.0% Sb) from 591.3 m, including:
0.3 m @ 340.0 g/t AuEq (340.0 g/t Au, 0.0% Sb) from 591.3 m
• A second control hole, SDDSC153, was drilled to 390 m vertically below Christina and intercepted a
prospective corridor of 45 m. Highlights include:
o 3.5 m @ 3.1 g/t AuEq (3.1 g/t Au, 0.0% Sb) from 549.2 m
• SDDSC150 and SDDSC153 were planned as ‘control’ holes (drilled more north south at a higher angle
to the dyke/breccia host), to test the host (rails of the ladder) at significant depth (390 m to 450 m) below
the surface. Both drill holes intercepted the host package and significant mineralization in large down dip
extensions in the deepest drilling at Christina to date.
• Ongoing Exploration: With $20 million in cash and no debt. Twelve holes (SDDSC140, 142, 146 –
149, 146W1, 149W1, 151, 154, 155, 157A) are currently being processed and analysed, with five holes
(SDDSC152, 155A, 156, 157, 158) in progress (Figure 1 and 2).
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NEWS RELEASE
high-grade intercepts (between 20 g/t to >7,330 g/t Au) and now have a total of fifty-five (55) >100 g/t AuEq
x m intersections. Most importantly, the consistency in grade distribution, structural characteristics, and host
rock properties remains predictable at depth.
“Twelve holes are currently being processed and analyzed, with five holes in progress. With A$20 M in cash
and a large 60km drill program planned through Q3 2025, we are well-positioned to continue expanding this
globally significant discovery in a tier-one jurisdiction.”
Drill Hole Discussion
Both SDDSC150 and SDDSC153 were drilled at high angles to the dyke host rock, creating a relatively short
but highly prospective corridor for intersecting mineralization. Despite being designed primarily as control
holes to test the dyke location below the Christina Mine, these holes intersected multiple high-grade veins,
which is particularly significant as it demonstrates consistent vein frequency continuing at depth. The success
of these control holes in intersecting the mineralized system not only validates the geological model but also
provides valuable data points for targeting future drilling in this expanding zone.
SDDSC150 represents the deepest hole drilled to date at the Christina prospect, reaching a vertical depth of
approximately 450 m below surface. The hole contained four intervals >20 g/t Au (up to 1,060 g/t Au) and
intercepted three new mineralized vein sets. The hole delivered several outstanding intersections, highlighted
by:
o 1.7 m @ 204.2 g/t AuEq (204.1 g/t Au, 0.1% Sb) from 570.8 m, including:
0.6 m @ 630.8 g/t AuEq (630.5 g/t Au, 0.1% Sb) from 572.0 m
o 0.7 m @ 14.7 g/t AuEq (14.7 g/t Au, 0.0% Sb) from 584.4 m
o 0.7 m @ 137.7 g/t AuEq (137.7 g/t Au, 0.0% Sb) from 591.3 m, including:
0.3 m @ 340.0 g/t AuEq (340.0 g/t Au, 0.0% Sb) from 591.3 m
SDDSC153, drilled approximately 100 m higher and 80 m west of SDDSC150, returned 3.5 metres at 3.1 g/t
Au from 549.2 m. This intersection, along with the multiple high-grade veins intersected in SDDSC150,
confirms that the grade, structural characteristics, and host rock properties maintain their consistency at
significant depths and now allows new drilling to be planned perpendicular to the vein sets, that remain within
the host sequence.
Pending Results and Update
Twelve holes (SDDSC140, 142, 146 – 149, 146W1, 149W1, 151, 154, 155, 157A) are currently being
processed and analysed, with five holes (SDDSC152, 155A, 156, 157, 158) in progress (Figure 1 and 2).
About Sunday Creek
The Sunday Creek epizonal -style gold project is located 60 km north of Melbourne within 16,900 hectares
(“Ha”) of granted exploration tenements. SXGC is also the freehold landholder of 1,054.51 Ha that forms the
key portion in and around the main drilled area at the Sunday Creek Project,
Gold and antimony form in a relay of vein sets that cut across a steeply dipping zone of intensely altered rocks
(the “host”). These vein sets are like a “Golden Ladder” structure where the main host extends between the
side rails deep into the earth, with multiple cross -cutting vein sets that host the gold forming the rungs. At
Apollo and Rising Sun these ind ividual ‘rungs’ have been defined over 600 m depth extent from surface to
over 1,100 m below surface, are 2.5 m to 3.5 m wide (median widths) (and up to 10 m), and 20 m to 100 m
in strike.
Cumulatively, 156 drill holes for 70,971.59 m have been reported from Sunday Creek since late 2020. An
additional 12 holes for 582.55 m from Sunday Creek were abandoned due to deviation or hole conditions.
Fourteen drillholes for 2,383 m have been reported regionally outside of the main Sunday Creek drill area. A
total of 64 historic drill holes for 5,599 m were completed from the late 1960s to 2008. The project now
contains a total of fifty -five (55) >100 g/t AuEq x m and sixty (60) >50 to 100 g/t AuEq x m drill holes
by applying a 2 m @ 1 g/t AuEq lower cut.
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NEWS RELEASE
Our systematic drill program is strategically targeting these significant vein formations, initially these have
been defined over 1,350 m strike of the host from Christina to Apollo prospects, of which approximately 620
m has been more intensively drill tested (Rising Sun to Apollo). At least 70 ‘rungs’ have been defined to date,
defined by high-grade intercepts (20 g/t to >7,330 g/t Au) along with lower grade edges. Ongoing step-out
drilling is aiming to uncover the potential extent of this mineralized system (Figure 3).
Geologically, the project is located within the Melbourne Structural Zone in the Lachlan Fold Belt. The regional
host to the Sunday Creek mineralization is an interbedded turbidite sequence of siltstones and minor
sandstones metamorphosed to sub-greenschist facies and folded into a set of open north-west trending folds.
Further Information
Further discussion and analysis of the Sunday Creek project is available through the interactive Vrify 3D
animations, presentations and videos all available on the SXGC website. These data, along with an interview
on these results with Managing Director Michael Hudson can be viewed at www.southerncrossgold.com .
No upper gold grade cut is applied in the averaging and intervals are reported as drill thickness. However,
during future Mineral Resource studies, the requirement for assay top cutting will be assessed. The Company
notes that due to rounding of assay results to one significant figure, minor variations in calculated composite
grades may occur.
Figures 1 to 4 show project location, plan and longitudinal views of drill results reported here and Tables 1 to
3 provide collar and assay data. The true thickness of the minerali zed intervals reported is approximately
40% of the sampled thickness for other reported holes. Lower grades were cut at 1.0 g/t AuEq lower cutoff
over a maximum width of 2 m with higher grades cut at 5.0 g/t AuEq lower cutoff over a maximum of 1 m
width unless specified unless otherwise* specified to demonstrate higher grade assays.
Critical Metal Epizonal Gold-Antimony Deposits
Sunday Creek (Figure 4) is an epizonal gold-antimony deposit formed in the late Devonian (like Fosterville,
Costerfield and Redcastle), 60 million years later than mesozonal gold systems formed in Victoria (for
example Ballarat and Bendigo). Epizonal deposits are a form of orogenic gold deposit classified according to
their depth of formation: epizonal (<6 km), mesozonal (6-12 km) and hypozonal (>12 km).
Epizonal deposits in Victoria often have associated high levels of the critical metal, antimony, and Sunday
Creek is no exception. China claims a 56 per cent share of global mined supplies of antimony, according to
a 2023 European Union study. Antimony features highly on the critical minerals lists of many countries
including Australia, the United States of America, Canada, Japan and the European Union. Australia ranks
seventh for antimony production despite all production coming from a single mine at Costerfield in Victoria,
located nearby to all SXG projects. Antimony alloys with lead and tin which results in improved properties for
solders, munitions, bearings and batteries. Antimony is a prominent additive for halogen-containing flame
retardants. Adequate supplies of antimony are critical to the world's energy transition, and to the high-tech
industry, especially the semi -conductor and defence sectors where it is a critical additive to primers in
munitions.
In August 2024, the Chinese government announced it will place export limits from September 15, 2024 on
antimony and antimony products. This puts pressure on Western defence supply chains and negatively affect
the supply of the metal and push up pricing given China’s dominance of the supply of the metal in the global
markets. This is positive for SXGC as we are likely to have one of the very few large and high-quality projects
of antimony in the western world that can feed western demand into the future.
Antimony represents approximately 20% in situ recoverable value of Sunday Creek at an AuEq of 1.88.
About Southern Cross Gold Consolidated Ltd. (TSXV:SXGC) (ASX:SX2)
Southern Cross Gold Consolidated Ltd. (TSXV:SXGC, ASX:SX2) controls the Sunday Creek Gold-Antimony
Project located 60 kilometre s north of Melbourne, Australia. Sunday Creek has emerged as one of the
Western world's most significant gold and antimony discoveries, with exceptional drilling results including 55
intersections exceeding 100 g/t AuEq x m from just 70.7 km of drilling. The mineralization follows a "Golden
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NEWS RELEASE
Ladder" structure over 12 km of strike length, with confirmed continuity from surface to 1,100 m depth.
Sunday Creek’s strategic value is enhanced by its dual -metal profile, with antimony contributing 20% of the
in-situ value alongside gold. This has gained increased significance following China's export restrictions on
antimony, a critical metal for defense and semiconductor applications. Southern Cross’ inclusion in the US
Defense Industrial Base Consortium (DIBC) and Australia's AUKUS-related legislative changes position it as
a potential key Western antimony supplier. Importantly, Sunday Creek can be developed primarily based on
gold economics, which reduces antimony-related risks while maintaining strategic supply potential.
Technical fundamentals further strengthen the investment case, with preliminary metallurgical work showing
non-refractory mineralization suitable for conventional processing and gold recoveries of 93-98% through
gravity and flotation.
With A$22M in cash, over 1,000 Ha of strategic freehold land ownership, and an aggressive 60 km drill
program planned through Q3 2025, SX2 is well-positioned to advance this globally significant gold-antimony
discovery in a tier-one jurisdiction.
NI 43-101 Technical Background and Qualified Person
Michael Hudson, President and CEO and Managing Director of SXGC, and a Fellow of the Australasian
Institute of Mining and Metallurgy and Kenneth Bush, Exploration Manager of SXGC and a Member of
Australian Institute of Geoscientists are the Qualified Persons as defined by the NI43-101. They have
reviewed, verified and approved the technical contents of this release.
Analytical samples are transported to the Bendigo facility of On Site Laboratory Services (“On Site”) which
operates under both an ISO 9001 and NATA quality systems. Samples were prepared and analyzed for gold
using the fire assay technique (PE01S method; 25 g charge), followed by measuring the gold in solution with
flame AAS equipment. Samples for multi-element analysis (BM011 and over-range methods as required) use
aqua regia digestion and ICP-MS analysis. The QA/QC program of SXGC consists of the systematic insertion
of certified standards of known gold and antimony content, blanks within interpreted mineralized rock and
quarter core duplicates. In addition, On Site inserts blanks and standards into the analytical process.
SXGC considers that both gold and antimony that are included in the gold equivalent calculation (“AuEq")
have reasonable potential to be recovered at Sunday Creek, given current geochemical understanding,
historic production statistics and geologically analogous mining operations. Historically, ore from Sunday
Creek was treated onsite or shipped to the Costerfield mine, located 54 km to the northwest of the project,
for processing during WW1. The Costerfield mine corridor, now owned by Mandalay Resources Ltd contains
two million ounces of equivalent gold (Mandalay Q3 2021 Results), and in 2020 was the sixth highest-grade
global underground mine and a top 5 global producer of antimony.
SXGC considers that it is appropriate to adopt the same gold equivalent variables as Mandalay Resources
Ltd in its Mandalay Technical Report, 2024 dated March 28, 2024. The gold equivalence formula used by
Mandalay Resources was calculated using Costerfield’s 2023 production costs, using a gold price of
US$1,900 per ounce, an antimony price of US$12,000 per tonne and 2023 total year metal recoveries of
94% for gold and 89% for antimony, and is as follows:
𝐴𝐴𝐴𝐴𝐴𝐴𝐴𝐴 = 𝐴𝐴𝐴𝐴 (𝑔𝑔/𝑡𝑡) + 1.88 × 𝑆𝑆𝑆𝑆 (%).
Based on the latest Costerfield calculation and given the similar geological styles and historic toll treatment
of Sunday Creek mineralization at Costerfield, SXGC considers that a 𝐴𝐴𝐴𝐴𝐴𝐴𝐴𝐴 = 𝐴𝐴𝐴𝐴 (𝑔𝑔/𝑡𝑡) + 1.88 × 𝑆𝑆𝑆𝑆 (%) is
appropriate to use for the initial exploration targeting of gold-antimony mineralization at Sunday Creek.
JORC Competent Person Statement
Information in this announcement that relates to new exploration results contained in this news release is
based on information compiled by Mr Kenneth Bush and Mr Michael Hudson. Mr Bush is a Member of
Australian Institute of Geoscientists and a Registered Professional Geologist and Member of the Australasian
Institute of Mining and Metallurgy and Mr Hudson is a Fellow of The Australasian Institute of Mining and
Metallurgy. Mr Bush and Mr Hudson each have sufficient experience relevant to the style of miner alization
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NEWS RELEASE
and type of deposit under consideration, and to the activities undertaken, to qualify as a Competent Person
as defined in the 2012 Edition of the Joint Ore Reserves Committee (JORC) Australasian Code for Reporting
of Exploration Results, Mineral Resources and Ore Reserves. Mr Bush is Exploration Manager and Mr
Hudson is the President, CEO and Managing Director of SXGC and both consent to the inclusion in this news
release of the matters based on their information in the form and context in which it appears.
Certain information in this announcement that relates to prior exploration results is extracted from the
Independent Geologist’s Report dated 11 December 2024 which was issued with the consent of the
Competent Person, Mr Steven Tambanis. The report is included the Company’s prospectus dated 11
December 2024 and is available at www2.asx.com.au under code “ SX2”. The Company confirms that it is
not aware of any new information or data that materially affects the information related to exploration results
included in the original market announcement. The Company confirms that the form and context of the
Competent Persons’ findings in relation to the report have not been materially modified from the original
market announcement.
The Company confirms that it is not aware of any new information or data that materially affects the
information included in the original document/announcement and the Company confirms that the form and
context in which the Competent Person’s findings are presented have not materially modified from the original
market announcement.
- Ends -
This announcement has been approved for release by the Board of Southern Cross Gold Consolidated Ltd.
For further information, please contact:
Mariana Bermudez – Corporate Secretary - Canada
[email protected] or +1 604 685 9316
Executive Office: 1305 – 1090 West Georgia Street Vancouver, BC, V6E 3V7, Canada
Nicholas Mead – Corporate Development
[email protected] or +61 415 153 122
Justin Mouchacca, Company Secretary - Australia
[email protected] or +61 3 8630 3321
Subsidiary Office: Level 21, 459 Collins Street, Melbourne, VIC, 3000, Australia
Forward-Looking Statement
This news release contains forward-looking statements. Forward-looking statements involve known and
unknown risks, uncertainties and assumptions and accordingly, actual results and future events could differ
materially from those expressed or implied in such statements. You are hence cautioned not to place undue
reliance on forward-looking statements. All statements other than statements of present or historical fact are
forward-looking statements including without limitation applicable court, regulatory authorities and applicable
stock exchanges. Forward-looking statements include words or expressions such as "proposed", "will",
"subject to", "near future", "in the event", "would", "expect", "prepared to" and other similar words or
expressions. Factors that could cause future results or events to differ materially from current expectations
expressed or implied by the forward-looking statements include general business, economic, competitive,
political, social uncertainties; the state of capital markets, unforeseen events, developments, or factors
causing any of the expectations, assumptions, and other factors ultimately being inaccurate or irrelevant; and
other risks described in SXGC’s documents filed with Canadian or Australian securities regulatory authorities
(under code SX2). You can find further information with respect to these and other risks in filings made by
SXGC with the securities regulatory authorities in Canada or Australia (under code SX2), as applicable, and
available for SXGC in Canada at www.sedarplus.ca or in Australia at www2.asx.com.au under code SX2.
Documents are also available at www.southerncrossgold.com We disclaim any obligation to update or revise
these forward-looking statements, except as required by applicable law.
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NEWS RELEASE
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies
of the TSX Venture Exchange) or the Australian Securities Exchange accepts responsibility for the adequacy
or accuracy of this release.
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ASX ANNOUNCEMENT
Figure 1: Sunday Creek plan view showing selected results from holes SDDSC150 and SDDSC153 reported here (blue highlighted box, black trace), with selected
prior reported drill holes and pending holes.