SOURCE: San Gold Corporation

September 13, 2007 08:00 ET

"98" Vein High Grades and Length Significantly Increased

BISSETT, MB--(Marketwire - September 13, 2007) - Dale Ginn, CEO of San Gold Corporation (TSX-V: SGR) is pleased to report that lateral mine development within the high grade "98" vein on the 29th level (4350 feet) of the Rice Lake Gold Mine has significantly extended the strike length to over 550 feet (168 m), with an average vein grade of 1.27 oz/ton (43.6 g/tonne) over an average true width of 5.0 feet (1.5 m). Details on the development results are contained below:

29th level, "98" vein:

--  Over 550 feet (168 m) of horizontal development completed.
--  Over 600 feet (183 m) of raise development completed on the "98" vein
    to date.
--  Average face grade of 1.27 oz/ton (43.6 g/tonne) on lateral
    development from chip samples.
--  True width of the vein established at 5.0 feet (1.5 m).
--  54 faces were sampled and 270 samples were assayed.
--  21 faces displayed vein grade averages between 1.0 oz/ton (34.2
    g/tonne) and 6.46 oz/ton (221.2 g/tonne).
--  14 faces displayed vein grade averages between 0.50 oz/ton (17.1
    g/tonne) and 1.0 oz/ton (34.2 g/tonne).
--  19 faces displayed vein grade averages between 0.16 oz/ton (5.5
    g/tonne) and 0.50 oz/ton (17.1 g/tonne).
--  Individual sample values ranged from 0.10 oz/ton (3.4 g/tonne) to 7.64
    oz/ton (261.6 g/tonne).
    

The "98" vein continues to be open in an upward direction with the plunge or "shoot" direction nearly perpendicular to the main plunge of previously mined zones. The recent development of this vein is also significant in that it stretches across the full width of the host gabbro unit, from footwall to hangingwall. This is consistent to the recent exploration drill results (see press release dated September 5, 2007) which are confirming the new geological model whereby high grade mineralization exists on the under-explored footwall side of the gabbro host. A new decline is now underway from the 26th level in order to access the high grade "93" and "98" veins at various elevations above the 29th level in order to establish numerous stoping blocks within the high grade veins.

The above program was carried out under the supervision of D. Ginn, P.Geo., the Qualified Person for San Gold under National Instrument 43-101. Chip, muck and mill samples are assayed on site in the company's assay lab using the fire assay method with an AA and gravimetric finish. San Gold's quality control and assurance program includes the insertion of blanks and standards, the retention of pulps and rejects, and spot checks utilizing independent labs including TSL Laboratories in Saskatoon, SK and Accurassay Laboratories of Thunder Bay, ON.


For further information contact Dale Ginn, President of San Gold Corporation, at (204) 794-5818 or investor information at 1-800-321-8564 or visit www.sangoldcorp.com.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

(TSX-V: SGR) www.sangoldcorp.com

Contact Information

  • Dale Ginn
    President
    San Gold Corporation
    (204) 794-5818

    Investor Information
    1-800-321-8564
    www.sangoldcorp.com