Southern Arc Minerals Inc.

Southern Arc Minerals Inc.

March 25, 2013 07:00 ET

Southern Arc Intersects 24.8 m @ 4.27 g/t gold at Tibu Serai and Commences Further Drilling of Epithermal Gold and Porphyry Copper-Gold Targets at the West Lombok Project

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 25, 2013) - Southern Arc Minerals (TSX VENTURE:SA)(OTCQX:SOACF) ("Southern Arc" or "the Company") is pleased to report encouraging drilling results from the Tibu Serai target at Mencanggah on Southern Arc's West Lombok property, as well as the commencement of a further phase of drill holes testing both epithermal gold and porphyry copper-gold targets on the property.

Seven shallow drill holes have been completed (1,124.2 m) at Tibu Serai to test down dip from high-grade surface channel samples (Figure 1 and Table 1). Highlight intercepts include:

MCG055 24.8 m @ 4.27 g/t gold and 0.6 g/t silver from 48.6 m
including 0.5 m @ 71.0 g/t gold and 1.9 g/t silver from 49.4 m
and 5.4 m @ 9.44 g/t gold and 1.3 g/t silver from 67.2 m
including 0.55 m @ 71.0 g/t gold and 6.8 g/t silver from 71.75 m
MCG050 10.77 m @ 1.01 g/t gold and 4.0 g/t silver from 100.23 m
including 2.15 m @ 3.87 g/t gold and 17.0 g/t silver from 108.85 m
including 0.5 m @ 15.0 g/t gold and 67.4 g/t silver from 110.5 m
MCG051 8.7 m @ 1.56 g/t gold and 0.71 g/t silver from 114.7 m
including 3.5 m @ 3.33 g/t gold and 1.0 g/t silver from 119.9 m
8.85 m @ 0.74 g/t gold and 0.4 g/t silver from 136.45 m
MCG049 12.1 m @ 1.07 g/t gold and 1.2 g/t silver from 31.3 m
including 4.2 m @ 2.17 g/t gold and 1.7 g/t silver from 34.65 m
3.3 m @ 1.21 g/t gold and 1.2 g/t silver from 78.7 m

These results confirm the down dip continuity of mineralization below surface at Tibu Serai. The seven widely spaced drill holes have tested only a fraction of the strike of the mineralized breccias at Tibu Serai and many zones of highly anomalous surface sampling remain to be tested.

Drillhole MCG055 is particularly encouraging as this mineralization lies adjacent to an inferred major cross-cutting structural break evidenced from the magnetic survey data and mapped outcrop patterns. Southern Arc's exploration team believes this major structural break may be influencing higher gold grades in its proximity. Several other anomalous vein targets lie adjacent to this feature and represent encouraging targets for future exploration.

Tibu Serai comprises a 2 km by 2 km area at the northern end of the Mencanggah prospect and hosts numerous northwest and north-northwest trending linear gold mineralized structures. The majority of these well-exposed mineralized zones have been systematically channel sampled and have returned numerous highly gold-anomalous intervals. Highlight channel samples include 7.1 m @ 53.53 g/t gold, 2.25 m @ 12.13 g/t gold, 0.6 m @ 69.0 g/t gold and 2.0 m @ 9.8 g/t gold.

To view Figure 1, please visit the following link:

Ongoing Drilling

A review of drill results from the Bising and Tibu Serai targets has indicated that additional drilling is warranted in both these areas.

A further three drill holes are planned at Tibu Serai to test extensions of the high-grade intercept observed in MCG055. Two holes will step out 40 meters either side of MCG055 to test mineralization along strike, and one hole will drill below MCG055 to test whether mineralization continues at depth. These holes will allow for interpretation of potential high-grade shoot geometry and help to determine the role of proximal cross-cutting structures in controlling such shoots.

At Bising three additional drill holes are in progress to infill between holes MCG031 and MCG032 (see February 28, 2013 press release), testing an inferred plunge to higher-grade mineralization and the continuity of the broad mineralized intercepts identified in previous drilling.

Southern Arc's Board of Directors has approved drilling three holes to test high-priority porphyry targets identified in the Porphyry Prospectivity Study carried out by industry-leading consultant Dr. Steve Garwin (see February 9, 2012 news release along with the Porphyry Prospectivity Study and associated presentation posted on Southern Arc's website at A PMC700 drill rig has been mobilized with the expectation of completing drill holes up to 500 meters deep. The first two holes will test high-priority targets based on geophysical anomalies beneath the Mencanggah lithocap, which has encouraging geochemical and structural geological signatures.

On behalf of the Board of Southern Arc Minerals Inc.

John Proust, Chairman & Chief Executive Officer

About Southern Arc

Southern Arc Minerals Inc. is a Canadian mineral exploration company focused on gold and copper-gold exploration. The Company's key exploration property is its West Lombok project, with several gold-rich copper porphyry and epithermal gold vein prospects. Southern Arc is listed on the TSX Venture Exchange under the symbol SA and on the OTCQX International under the symbol SOACF. More information is available at or by emailing

Qualified Person

The technical information in this document has been reviewed by Southern Arc's Executive Vice President, Andrew Rowe, B. App. Sc. Geology, MAusIMM. Mr. Rowe has over 20 years of international mineral exploration experience throughout Southeast and Central Asia and Australia. During this time he has held such positions as Principal Geologist - Feasibility Studies, Senior Geologist and Consulting Geologist. The technical information in this document has also been reviewed by Southern Arc's President & Chief Operating Officer, Dr. Mike Andrews, PhD, FAusIMM, who has sufficient experience relevant to the style of mineralization under consideration and qualifies as a Qualified Person as defined by National Instrument 43-101.

The drill program and sampling protocol is managed by Southern Arc under the supervision of Andrew Rowe. The diamond drill holes are drilled at PQ, HQ and NQ sizes depending on hole depth and core recovery to date has averaged better than 98.0%. Half core is cut by rock saw and is generally sampled using nominal 1-metre intervals; however, sample intervals are varied according to geological contacts and have ranged between 0.2 to 2.5 metres in length. Three quality control samples (one blank and two standards) are inserted into each batch of 40 samples. The half core samples are securely transported from the project site to the Intertek Testing Services ("ITS") sample preparation laboratory in Sumbawa Besar via private truck hired by Southern Arc. Sample pulps are then sent to the ITS Jakarta laboratory by ITS. Gold is analysed by fire assay with AAS finish and a four-acid digestion with ICP-MS finish is used to analyse a full suite of elements including silver and base metals. ITS is one of the world's largest product and commodity testing, inspection and certification organizations. The Jakarta laboratory is ISO 17025 accredited and employs a Laboratory Information Management System for sample tracking, quality control and reporting.

Forward-looking Statements

This news release contains forward-looking statements relating to expected or anticipated future events and operations, timing of projects and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, the regulatory process and actions, the need to obtain permits, the need to work with local communities and authorities to advance the properties, technical issues, new legislation, competitive and general economic factors and conditions, the uncertainties resulting from potential delays or changes in plans, the occurrence of unexpected events, and the Company's ability to execute and implement future plans. Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors, including uncertainty related to drill results and the inclusion of drill results in future resource estimates for the property. There is no representation by the Company that actual results achieved during the forecast period will be the same in whole or in part as that forecast.

Table 1 - Mencanggah Prospect, Tibu Serai Target, Phase 1 Drill Hole Statistics Summary
Drill Hole Target Depth Coordinates Az Dip From To Interval Gold Silver
(m) E N (m) (m) (m) (g/t) (g/t)
MCG049 Tibu Serai 144.0 387975.7 9024921.1 238 -50 31.3 43.4 12.1 1.07 1.2
Including 34.65 38.85 4.2 2.17 1.7
78.7 82 3.3 1.21 1.2
MCG050 Tibu Serai 156.0 387821.29 9024822.7 238 -50 100.23 111 10.77 1.01 4.0
Including 108.85 111 2.15 3.87 17.0
Including 110.5 111 0.5 15.0 67.4
MCG051 Tibu Serai 178.4 387765.9 9025245.9 238 -50 114.7 123.4 8.7 1.56 0.71
Including 119.9 123.4 3.5 3.33 1.0
136.45 145.3 8.85 0.74 0.4
MCG052 Tibu Serai 215.8 387704.6 9025293.3 238 -50 101.72 103.05 1.33 0.66 0.3
MCG053 Tibu Serai 146.5 387637.2 9025190.4 238 -50 31.4 41 9.6 0.35 0.3
MCG054 Tibu Serai 185.9 388359.9 9025311.2 238 -50 139.1 159.2 20.1 0.56 1.4
Including 156.6 157.7 1.1 3.11 10.9
MCG055 Tibu Serai 97.6 388778.8 9024790.9 238 -50 48.6 73.4 24.8 4.27 0.6
Including 49.4 49.9 0.5 71.0 1.9
And 67.2 72.6 5.4 9.44 1.3
Including 71.75 72.3 0.55 71.0 6.8

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

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