SOURCE: SolGold plc

July 21, 2017 02:49 ET

SolGold PLC: Cascabel Exploration Update

LONDON, UNITED KINGDOM--(Marketwired - Jul 21, 2017) - SolGold PLC (TSX: SOLG)

TSX: SOLG

21 July 2017

SolGold plc
("SolGold" or the "Company")

Cascabel Exploration Update
Ground Magnetic Survey Refines Drilling Targets
Rig 5 Expands Alpala Drill Fleet

The Board of SolGold (AIM and TSX code: SOLG) is pleased to advise that a revised magnetic model for the Cascabel porphyry copper-gold exploration tenement in Northern Ecuador has been completed based on ground magnetic data.

HIGHLIGHTS:

  • Drilling to date at Alpala has established strong correlation between copper-gold grades and magnetite content.

  • Exceptionally high-quality ground magnetic data collected over Cascabel tenement allows upgrade of existing airborne 3D magnetic inversion models.

  • Amended models over greater Alpala replicate subsurface mineralised envelopes and reveal northwest trending line of significant magnetic bodies at Moran, Trivinio, Alpala Northwest, and Alpala Central.

  • Additional targets at Alpala West, Carmen and Parambas supported by ground magnetics and 3D models.

  • Alpala Southeast magnetic indicators masked by intense hydrothermal alteration.

  • Alpala Central is the only extensively drilled target along the greater Alpala trend.

  • Second constrained magnetic inversion models based on airborne data, ground magnetic data and magnetic susceptibility in 41,000m of drilling to date at Alpala - expected to provide highly predictive model to further refine drill targeting at Alpala.

  • Amendments to Aguinaga and Tandayama America targets underway.

  • Rig 5 has arrived at Alpala to expedite preparation for maiden inferred resource estimate expected to be completed by the end of December 2017.

  • Drilling progress update on four drill holes 23R-D1, 24-D1R, 26, and 27 in preparation and imminent.

  • Spartan Orion 3D Magnetotelluric survey planned to enable 3D sulphide mineralisation mapping to 3km depth, refining drill targets at Alpala and other prospects within the Cascabel concession.

References to figures and tables relate to the version of this release on the Company's website (www.solgold.com.au) or visible in PDF format by clicking the link below:

http://www.rns-pdf.londonstockexchange.com/rns/6994L_-2017-7-21.pdf

FURTHER INFORMATION:

Ground Magnetic Survey Refines Drilling Targets

Drilling to date at Alpala has established a strong correlation between copper-gold grades and magnetic susceptibility in drill core, confirming magnetite as a strong proxy for porphyry style copper-gold mineralisation within the Cascabel project area.

High-quality ground magnetic data, collected from 650km of total field data acquired at line spacing of 50m, over the Cascabel tenement has allowed upgrade of existing tenement wide airborne 3D magnetic inversion modelling. This dataset compliments the detailed geological and geochemical datasets used to more accurately model subsurface mineralised envelopes.

To view the full document, please paste the following URLs into the address bar of your browser.

http://www.rns-pdf.londonstockexchange.com/rns/7231L_1-2017-7-21.pdf

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