Sage Gold Inc.
TSX VENTURE : SGX

Sage Gold Inc.

September 03, 2009 14:00 ET

Sage Gold Inc.: Exploration Update-Beardmore Properties

TORONTO, ONTARIO--(Marketwire - Sept. 3, 2009) - Sage Gold (TSX VENTURE:SGX) is focused on their three main properties; Golden Extension, Paint Lake and King Solomon Pillars in the Beardmore Geraldton Gold Camp (BGG) and is currently active with ongoing drilling, trenching and channel sampling, prospecting, geophysics and geological mapping. The exploration program has been accelerated following the completion of Sage's acquisition of Consolidated Puma (PR August 10, 2009).

Exploration Highlights

- Completed first phase of drilling on Golden Extension - further drilling in 2009

- Commenced drilling on Paint Lake - ongoing trenching and sampling

- Drilling to commence on Solomon Pillars

1) Golden Extension - Sage has drilled 17 holes on the Golden Extension vein system totaling 1068 metres. The initial drill program was designed to test near surface targets related to surface channel results. Further drilling is planned for the Fall to test both near surface and deeper mineralization. Sage continues to expose new veins in the immediate area of the Golden Extension with assays expected on additional channel samples. Prospecting crews have been deployed throughout the property and are sampling vein structures both within the Elmhirst intrusion and into the surrounding volcanics.



Selected highlights to date include:

From (m) To (m) g/t Au M
Drill
indicated
width

09GE007a 8.34 9.10 9.54 0.76
incl 8.64 9.10 14.9 0.46

09GE007b 13.81 15.08 1.49 1.27
incl 13.81 14.11 5.38 0.3

09GE008a 10.10 10.80 1.06 0.7

09GE008b 17.58 17.90 2.42 0.32

09GE011 6.68 7.07 4.01 0.39

09GE012 11.30 11.80 1.05 0.5

09GE015 58.41 58.71 2.59 0.3

- All values reported are metallic screen fire assays

Holes 7a, 7b, 8a and 8b were drilled on different locations
on Vein 1. Holes 11 and 12 were drilled on Vein 4.


Sage has completed detailed geological mapping of the eastern side of the property and has identified two corridors of deformation/shearing and mylonitization hosting extensive vein systems. The corridors are defined by a magmatically related magnetic-high within ferrodiorite, with mineralized zones related to 'relative' magnetic-low features, presumably related to demagnetization of ferrodiorite during deformation /shearing /mylonitization. The northern NW structural corridors hosts the Golden Extension vein system where gold has been panned, observed and/or assayed in Trenches 1, 2b, 3b (newest discovery), 4 and 9-10. Vein 3b yielded a recent grab sample of 27.61 g Au/T. The southern NW corridor comprises demagnetized ferrodiorite, including many smaller shear zones with intense quartz veining. Similar to the northern corridor, demagnetization is presumably related to shearing, mylonitization and alteration. The southern corridor is being actively prospected with the aim of discovering more gold bearing vein systems similar to those in the northern NW corridor. Refer to www.sagegoldinc.com for a detailed geological map illustrating the northern and southern structural corridors.

Sage Gold President and CEO, Nigel Lees stated; "We have greatly accelerated our exploration program on our three primary gold properties; Golden Extension, Paint Lake and King Solomon Pillars. The gold mineralization at the Golden Extension occurs as coarse gold grains. Therefore, the results of surface sampling and drilling will be highly variable and our exploration program is oriented to intensive surface sampling and highly targeted drilling. We are planning to acquire additional properties in the BGG to augment our extensive land position".

Technical Information

Assays from drill core reported in this news release were completed by the ALS Chemex Laboratory in Thunder Bay, ON. Drill assays reported above were analyzed using a metallic screen fire assay comprising a fire assay analysis of the plus and minus 100 micron sieved fractions. This process is considered to produce a more accurate evaluation of total gold content in coarse gold systems such as seen in the BGG. These analyses are combined and a total gold content calculated. The fire assay procedure uses lead collection with a silver inquart. The beads are then digested and an atomic absorption finish is used.

The technical content of this news release relating to the Jacobus/Golden Extension project has been reviewed by Sage's consulting geologist Robert B. L'Heureux, M.Sc., P.Geol., of APEX Geoscience Ltd., who is a qualified person as defined by NI 43-101.

SAGE is a mineral exploration and development company which has interests in exploration properties in Ontario, Nevada and Arizona. Its main properties are the Jacobus, Paint Lake, Solomon Pillars and Onaman properties in the Beardmore Geraldton Gold camp and the Kerrs property in Ontario. Technical reports relating to the properties can be obtained from the System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com.

For all Sage Gold Inc. investor relations needs, investors are asked to visit the Sage Gold Inc. IR Hub at http://www.agoracom.com/IR/sagegold where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to sgx@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

This release was prepared by management of the Company who takes full responsibility for its contents. Some statements contained in this release are forward-looking and, therefore, involve uncertainties or risks that could cause actual results to differ materially. Such forward-looking statements include comments regarding mining and milling operations, mineral resource statements and exploration program performance. Factors that could cause actual results to differ materially include metal price volatility, economic and political events affecting metal supply and demand, fluctuations in mineralization grade, geological, technical, mining or processing problems, exploration programs and future results of exploration programs, future profitability and production. The Company disclaims any obligation to update forward-looking statements.

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

Contact Information

  • Sage Gold Inc.
    Nigel Lees
    President and C.E.O.
    416-204-3170
    416-260-2243 (FAX)
    or
    Sage Gold Inc.
    Mike O'Brien
    Manager/Investor Relations
    416-204-3170
    416-260-2243 (FAX)