SEMAFO Inc.

TSX : SMF
OMX : SMF


SEMAFO Inc.

March 20, 2013 09:37 ET

SEMAFO: Siou Deep Drilling Opens South Extension Potential

Including Values Up to 10.4 g/t Au Over 7.3 Meters

MONTREAL, QUEBEC--(Marketwire - March 20, 2013) - SEMAFO (TSX:SMF)(OMX:SMF) today announced results of a deep drilling program at Siou, which returned continuous mineralization over a strike length of 500 meters. In addition, the southernmost hole (WDC660) crossed four different zones within a 40-meter-wide corridor and returned values of up to 10.4 g/t Au over 7.3 meters.

Drill results (WDC653, WDC651 and WDC649) suggest that the mineralization continues at depth in both the Siou and the Nine zones up to 320 meters. The continuity of the quartz veining and gold grades of these three holes have added more than 300 meters for an aggregated 500 meters of strike length to the deeper mineralization of the sector. Finally, hole WDC660 was drilled on section 1321000N, representing the southernmost hole drilled at depth. This hole crossed four different mineralized zones, returning values of up to 10.40 g/t Au over 7.3 meters. Further drilling will be required to establish their relationship with the near-surface zones.

This drilling program at Siou was carried out in order to obtain an indication of the at-depth potential of the different zones and to validate the interpreted geometry of the different mineralized plunges identified from the near-surface drilling results (Figure 1).

The following table presents the highlights of the recent 2013 core drilling program.

Siou Deposit Drilling Results Highlights

DDH No. From To Au* / Length**
WDC653 344.0 345.9 11.92 g/t/1.9 m
WDC653 357.3 364.3 2.25 g/t/7.0 m
WDC651 355.3 356.2 10.01 g/t/0.9 m
WDC651 358.9 363.1 3.82 g/t/4.2 m
WDC649 367.7 375.0 9.41 g/t/7.3 m
(8.92 g/t uncut)
WDC649 363.1 363.8 9.59 g/t/0.7 m
WDC656 198.5 199.6 22.34 g/t/1.1 m
WDC656 298.0 300.0 1.83 g/t/2.0 m
WDC646 249.7 254.9 1.85 g/t/5.2 m
WDC654 237.5 241.5 4.63 g/t/4.0 m
WDC657 270.0 270.5 19.11 g/t/0.5 m
WDC659 283.4 293.0 1.88 g/t/9.6 m
WDC660 307.7 311.0 2.11 g/t/3.3 m
WDC660 321.6 322.6 18.37 g/t/1.0 m
WDC660 328.0 336.0 2.38 g/t/8.0 m
WDC660 340.2 347.5 10.40 g/t/7.3 m
* All individual samples are cut at 40 g/t Au for the Siou Zone and the Nine Zone, and 35 g/t Au for all other zones.
** All lengths are measured along the hole axis; which is interpreted to be roughly equivalent to true widths.

The Siou Sector is located 15 kilometers east of the Mana processing plant. Its current inferred in-pit resources stand at almost one million ounces (6.7 million tonnes at 4.62 g/t Au). The Siou Zone and the Nine Zone contain the bulk of the mineralization.

Drilling covered 3,809 meters in 11 holes during the first two months of 2013 in follow up to the previously reported seven holes (2,636 meters) completed in December 2012.

The current program at Siou includes two core drills and two reverse-circulation drills and consists of reducing the spacing to a 25-meter by 50-meter configuration followed by 25 meters by 25 meters where required for a reserve estimate scheduled for the third quarter of 2013. In addition, we have two reverse-circulation drill rigs investigating extensions and other targets along the 30-kilometer Kokoi Trend.

Michel Crevier, P.Geo MScA, Vice-President Exploration and Mine Geology is SEMAFO's Qualified Person and has reviewed this press release for accuracy and compliance with National Instrument 43-101.

All individual samples represent approximately one-meter in length of core, which was sawn in half. Half of the core is kept on site for reference and its counterpart is sent for preparation and gold assaying to the ALS Mineral Division laboratories in Ouagadougou, Burkina Faso or to SEMAFO's Mana Mine Lab, which uses separate sample preparation equipment exclusive to exploration samples. For reverse-circulation and air core drilling, all individual samples represent approximately one-meter in length of rock chips homogenized and riffle-split to an approximate two-kilogram subsample, which is sent for preparation and gold assaying to the ALS Mineral Division laboratories in Ouagadougou, Burkina Faso or to SEMAFO's Mana Mine Lab. Each sample (core, reverse-circulation and air core) is fire-assayed for gold content on a 50-gram subsample. In addition to ALS Mineral Division's own QA/QC (Quality Assurance/Quality Control) program and Mana Lab's own QA/QC program, an internal quality control and quality assurance program is in place throughout the sampling program, using blind duplicates, blanks and recognized industry standards.

About SEMAFO

SEMAFO is a Canadian-based mining company with gold production and exploration activities in West Africa. The Corporation currently operates three gold mines: the Mana Mine in Burkina Faso, the Samira Hill Mine in Niger and the Kiniero Mine in Guinea. SEMAFO is committed to evolve in a conscientious manner to become a major player in its geographical area of interest. SEMAFO's strategic focus is to maximize shareholder value by effectively managing its existing assets as well as pursuing organic and strategic growth opportunities.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

This press 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. Forward-looking statements include words or expressions such as "suggests", "will", "scheduled", "committed", "evolve", "become", "pursuing", "growth", "opportunities" 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 the ability of deeper drilling to suggest that the mineralization continues at depth in both the Siou Zone and the Nine Zone up to 320 meters, the ability to provide a reserve estimate for the third quarter of 2013, the ability to execute on our strategic focus, fluctuation in the price of currencies, gold or operating costs, mining industry risks, uncertainty as to calculation of mineral reserves and resources, delays, political and social stability in Africa (including our ability to maintain or renew licenses and permits) and other risks described in SEMAFO's documents filed with Canadian securities regulatory authorities. You can find further information with respect to these and other risks in SEMAFO's 2011 Annual MD&A and 2011 Annual Information Form, as updated in SEMAFO's 2012 First Quarter MD&A, 2012, Second Quarter MD&A and 2012 Third Quarter MD&A and other filings made with Canadian securities regulatory authorities and available at www.sedar.com. These documents are also available on our website at www.semafo.com. SEMAFO disclaims any obligation to update or revise these forward-looking statements, except as required by applicable law.

The above information has been made public in accordance with the Swedish Securities Market Act and/or the Financial Instruments Trading Act

Figure 1 is available at the following address : http://media3.marketwire.com/docs/Fig1_SMF0320.pdf.

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