Sage Gold Inc.
TSX VENTURE : SGX

Sage Gold Inc.

August 17, 2010 10:40 ET

Sage to Focus on Clavos Mine

TORONTO, ONTARIO--(Marketwire - Aug. 17, 2010) - Sage Gold Inc. ("Sage") (TSX VENTURE:SGX) announced today that it intends to focus its exploration and mine development activities on the Clavos mine in Timmins, recently optioned from St. Andrew Goldfields Ltd. and in the Beardmore Geraldton Gold camp (BGG). Sage plans to incorporate previously unreleased drill results from the Clavos property into a new resource study and conduct a drill program during the fall of 2010 as announced August 13, 2010.

Sage is currently working with an independent consulting firm to compile the extensive digital library of technical data related to the Clavos deposit including the unreleased drill data as referenced in the press release of August 13, 2010. The data set will be imported into a resource modelling package to generate a new resource model as guide for future drilling and as the basis for a new resource study. Sage is also examining the utility of conducting an airborne geophysical EM and magnetometer survey on the Clavos property as an exploration tool to locate new gold zones peripheral to the Pipestone fault structure.

Nigel Lees, President & CEO of Sage remarked, "We have decided to focus our technical and financial resources on developing the Clavos project as a potential near term producer and to follow up on our recent discoveries in the Beardmore-Geraldton Gold camp (BGG). Clavos meets our stated objective of acquiring assets with near term production potential. This very advanced project will complement our exploration properties in the Beardmore-Geraldton Gold camp."

Sage owns and/or has optioned 86,686 acres of property in the BGG as of August, 2010. The principal assets include:

  • Onaman Property - Lynx Cu/Ag/Au deposit with a compliant inferred resource of 1,936,000 tonnes at an average grade of 1.44% Cu, 39.6 g Ag/T and 0.58 g Au/T – press release of 3/31/09
  • Paint Lake Property - Adjacent to Goldstone Resource's Brookbank gold deposit - Press Release of 9/17/09 - Sage drills 9.59 g Au/t over 1.65 metres
  • Pillars Property - Sage drilled 5.75 g Au/t over 5.19 metres including 17.27 g Au/t over 0.99 metres – press release of 11/12/09
  • Exploration properties include the Golden Extension and recent discoveries include the Bernadine, YM and Currie zones as announced in the press release 11/30/09.

Sage believes the BGG is an underexplored and underdeveloped area and the company intends to continue to explore its properties.

SAGE is a mineral exploration and development company which has primary interests in exploration properties in Ontario. Its main properties are the recently optioned Clavos Gold property in Timmins and its exploration properties in the Beardmore - Geraldton Gold Camp. Technical reports and information relating to the properties can be obtained from the System for Electronic Document Analysis and Retrieval (SEDAR) website at www.sedar.com and www.sagegoldinc.com.

This release was prepared by management of the Company who takes full responsibility for its contents.

This news release contains certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended and "Forward Looking Information" within the meaning of applicable Canadian securities legislation. Some forward looking statements and forward looking information 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.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this 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)
    www.sagegoldinc.com