Sulliden Gold Corporation
TSX : SUE
OTCQX : SDDDF

Sulliden Gold Corporation

March 28, 2011 07:30 ET

Sulliden Continues Drilling Success at Shahuindo-Intersects 1.64 g/t Gold Over 69 Metres

TORONTO, ONTARIO--(Marketwire - March 28, 2011) - Sulliden Gold Corporation Ltd. ("Sulliden", or the "Company") (TSX:SUE)(OTCQX:SDDDF) is pleased to announce new drilling results from its 100%-owned Shahuindo Gold and Silver Project in northern Peru. Six drills are currently operating on the property, and the Company is advancing with this year's 70,000 metre exploration program (see December 8, 2010 press release).

Significant gold and silver intercepts from this group of exploration results are highlighted below. Complete results for 28 new drill holes are reported in Table 1. An economic cut-off grade of 0.17 g/t in gold oxides was established by AMEC in the NI 43-101 Preliminary Assessment (see December 8, 2009 news release).

Significant Gold drill intercepts:

  • Hole RSH11-122 in the West Zone
    • 1.64 g/t Gold over 69.0 meters including 2.99 g/t Gold over 19.5 metres and 2.89 g/t Gold over 12.0 metres
  • Hole RSH11-111 in the West Zone
    • 0.87 g/t Gold over 46.5 metres including 1.19 g/t Gold over 27.0 metres and 0.93 g/t Gold over 27.0 metres

Significant Silver drill intercepts:

  • Hole RSH11-118 in the West Zone
    • 85.3 g/t Silver over 28.5 metres including 153.8 g/t Silver over 10.5 metres
  • Hole RSH11-114 in the West Zone
    • 75.9 g/t Silver over 31.5 metres including 119.4 g/t Silver over 4.5 metres

The Company will be issuing a new NI 43-101 Mineral Resource by the end of May 2011, which will be used to complete the Feasibility Study expected for release during the third quarter of 2011.

Summary of Results

The new results from 28 holes representing approximately 5,050 meters of drilling are presented below in Table 1. The locations of the new holes in the East, Central and West zones are shown in Figure 1. Figure 2 shows the continuity and growth of the mineralized zones with new drilling in section 550W of the West Zone. In this section, the Company has graphically demonstrated the interpretation of newly identified mineralization (in purple) being added to the mineral envelopes as defined in the Preliminary Assessment (in red).

To view Figure 1 – Plan View of Mineral Deposit with New Collar Locations, please visit the following link: http://media3.marketwire.com/docs/sue338%20Figure%201.jpg

To view Figure 2 – West Zone, Section 550W*, please visit the following link: http://media3.marketwire.com/docs/sue328%20Figure%202.jpg

*The new grade shells highlighted in the section above are geological interpretations that are preliminary in nature and should not be relied on. 

Table 1 – Drill Results
WEST ZONE
Drill hole # From
(metres)
To
(metres)
Interval
(metres)
True Width
(metres)
(1)
Gold
(g/t)
Silver
(g/t)
 
RSH11-109 0.0 13.5 13.5 8.7 0.41 0.4
RSH11-109 57.0 73.5 16.5 10.6 0.42 0.9
 
RSH11-110 3.0 13.5 10.5 6.8 0.65 0.6
RSH11-110 19.5 31.5 12.0 7.7 0.59 1.0
 
RSH11-111 78.0 124.5 46.5 29.9 0.87 13.5
including 78.0 105.0 27.0 17.4 1.19 17.0
RSH11-111 (2) 135.0 162.0 27.0 17.4 0.93 24.5
 
RSH11-112 (2) 93.0 171.0 78.0 50.1 0.71 11.5
including 106.5 135.0 28.5 18.3 1.27 20.4
 
RSH11-113 58.5 73.5 15.0 9.6 0.76 47.2
Including 64.5 72.0 7.5 4.8 1.21 69.7
RSH11-113 (2) 87.0 159.0 72.0 46.3 0.70 19.0
including 102.0 123.0 21.0 13.5 1.32 22.6
 
RSH11-114 0.0 18.0 18.0 11.6 0.59 3.3
RSH11-114 24.0 34.5 10.5 6.8 1.78 63.2
RSH11-114 55.5 73.5 18.0 11.6 0.53 2.9
 
RSH11-115 12.0 31.5 19.5 13.8 0.55 3.3
RSH11-115 81.0 93.0 12.0 8.5 0.68 4.4
 
RSH11-116 34.5 52.5 18.0 11.6 1.06 20.0
including 43.5 51.0 7.5 4.8 1.36 20.3
 
RSH11-117 7.5 19.5 12.0 7.8 0.31 2.0
 
RSH11-118 (3) 84.0 112.5 28.5 16.4 0.85 85.3
including (3) 91.5 102.0 10.5 6.1 1.20 153.8
 
RSH11-119 24.0 54.0 30.0 21.9 1.13 13.6
including 37.5 46.5 9.0 6.6 1.80 16.5
 
RSH11-120 (4) 27.0 85.5 58.5 37.7 0.95 10.8
including (4) 27.0 36.0 9.0 5.8 2.09 4.1
including 75.0 81.0 6.0 3.8 1.86 33.1
RSH11-120 99.0 121.5 22.5 14.4 0.45 49.5
 
RSH11-121 (4) 97.5 127.5 30.0 19.6 1.67 11.8
including (4) 120.0 127.5 7.5 4.9 2.91 10.2
 
RSH11-122 (4) 0.0 69.0 69.0 42.8 1.64 10.0
including (4) 0.0 19.5 19.5 12.4 2.99 4.6
including 46.5 58.5 12.0 7.3 2.89 45.4
RSH11-122 (2) 93.0 147.0 54.0 32.0 0.57 14.1
 
RSH11-123 99.0 118.5 19.5 11.9 0.84 20.5
RSH11-123 129.0 138.0 9.0 5.5 1.93 52.3
 
RSH11-124 (2,3)  109.5 141.0 31.5 18.7 0.88 75.9
including 126.0 130.5 4.5 2.7 1.86 119.4
 
 
CENTRAL ZONE
Drill hole # From
(metres)
To
(metres)
Interval
(metres)
True Width
(metres)
(1)
Gold
(g/t)
Silver
(g/t)
 
SH10-170 (4) 61.8 91.8 30.0 19.3 1.30 3.6
including (4) 78.3 88.9 10.6 6.8 2.59 5.1
SH10-170 154.8 214.8 60.0 38.6 0.51 1.7
SH10-170 226.8 237.3 10.5 6.8 0.73 5.3
SH10-170 271.8 289.8 18.0 11.6 0.54 1.7
 
SHV10-173 (5) 29.1 138.6 109.5 73.8 0.59 3.3
including 32.1 41.9 9.8 6.7 0.91 1.2
 
SH10-175 (3) 17.1 108.6 91.5 44.7 0.67 12.9
including 17.1 33.6 16.5 8.2 0.84 2.6
 
SHV10-176 (5,6) 9.5 39.5 30.0 21.4 0.62 4.6
SHV10-176 81.5 110.0 28.5 18.9 0.47 0.6
 
SH10-177 120.0 201.0 81.0 55.8 0.61 13.8
Including 171.0 183.5 12.5 8.6 1.51 66.6
SH10-177 (2,4) 288.0 322.5 34.5 23.1 0.99 13.0
Including (4) 307.7 315.0 7.3 4.9 3.26 44.7
 
SH10-180 152.1 179.1 27.0 19.1 0.52 9.8
Including 168.6 174.6 6.0 4.2 1.37 28.9
 
RSH11-125 21.0 39.0 18.0 11.1 1.21 4.8
Including 31.5 37.5 6.0 3.7 1.77 4.4
RSH11-125 (2) 142.5 160.5 18.0 10.7 0.51 4.0
 
RSH11-126 42.0 90.0 48.0 31.6 0.40 2.3
RSH11-126 96.0 129.0 33.0 21.7 0.43 8.1
RSH11-126 133.5 145.5 12.0 7.9 0.63 24.3
 
RSH11-127 10.5 109.5 99.0 61.9 0.49 4.8
including 39.0 46.5 7.5 4.8 0.90 5.9
 
 
EAST ZONE
Drill hole # From
(metres)
To
(metres)
Interval
(metres)
True Width
(metres)
(1)
Gold
(g/t)
Silver
(g/t)
 
SHG10-174 (7) 9.0 23.0 14.0 9.9 0.43 11.6
SHG10-174 150.0 160.5 10.5 7.4 0.59 5.3
 
SHG10-178 (7) 0.0 23.6 23.6 16.7 0.71 9.0
 
SHG10-179 (7) 0.0 63.0 63.0 35.8 0.52 3.8
including 46.5 57.0 10.5 5.9 1.44 3.6
SHG10-179 211.8 231.0 19.2 10.1 0.61 13.0
SHG10-179 (2,4) 238.5 251.5 13.0 6.8 1.83 48.7
  1. Assuming vertical or near vertical zone, perpendicular or near perpendicular to the plane defined by the drill hole. Geological understanding of the mineralized zones is continuing to develop as the project advances.
  2. Mineralization found within 10 meters of EOH (End of Hole)
  3. Silver assays have been cut to 300 g/t Silver
  4. Gold assays have been cut to 7 g/t Gold
  5. Drill hole testing 035 degree cross-cutting structures
  6. Mineralization in overburden
  7. PQ twin hole (a "twin" hole is defined by being collared within 3 meters and at the same dip and inclination as its adjacent hole)

QUALITY CONTROL AND ASSURANCE

Stéphane Amireault, P.Eng., Vice President Exploration for Sulliden is the Qualified Person responsible for the management of the exploration program and disclosure of the drill results as defined by National Instrument 43-101. Mr. Amireault has read and approved the technical and scientific information in this news release.

The analyses for this drilling campaign were carried out by ALS Chemex in Lima, Peru exercising a thorough Quality Control and Assurance program (QA/QC). All ALS Chemex labs are ISO 9000 registered laboratories. All gold assays reported in the press release were obtained by standard 50g fire assaying with AA finish. All silver assays reported in the press release were obtained by Aqua-Regia dissolution followed by ICP-AES measurement.

ABOUT SULLIDEN

Sulliden is a Canadian-based precious metals company focused on the exploration and development of the Shahuindo Project, its 100%-owned flagship property located in a prolific gold producing district in northern Peru. This project neighbors world-class gold mines including Barrick Gold's Lagunas Norte Mine, 30 km to the south, and the Yanacocha Mine operated by Newmont Mining Company, 80 km to the north; both million-ounce per year producing mines. A positive Preliminary Assessment for the project was completed in February 2010 and a Feasibility Study is currently underway. While the Company progresses towards its goal of becoming a gold producer, a significant focus is being placed on exploration drilling to increase the mineral resource, which remains open in all directions and at depth. Based on the drilling success in 2009/2010, Sulliden is undertaking approximately 70,000 meters of drilling in 2011 to continue the mineral expansion on the property. Sulliden is led by a strong management team with the proven ability to develop, finance and operate mining projects and is poised to generate superior value for its shareholders.

On behalf of Sulliden Gold Corporation Ltd.:

Peter Tagliamonte, President and CEO 

Stan Bharti, Chairman 

For further information on Sulliden please visit the company website at www.sulliden.com.

If you would like to be added to Sulliden's news distribution list, please send your email address to contact@sulliden.com.

Caution regarding forward-looking information:

This press release contains "forward looking information" within the meaning of applicable Canadian securities legislation. Forward looking information includes without limitation, statements regarding the size and quality of the company's mineral resources, progress in development of mineral properties, future capital and operating expenses, future metal prices, the future financial or operating performance of the Company, the prospective mineralization of the properties, planned exploration programs and anticipated production schedule. Generally, forward looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will be taken", "occur" or "be achieved". Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking information, including but not limited to: general business, economic, competitive, geopolitical and social uncertainties; the actual results of current exploration activities; other risks of the mining industry and the risks described in the annual information form of the Company. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking information. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

Contact Information

  • Sulliden Gold Corporation
    Caroline Arsenault
    Investor Relations Manager
    (416) 861-5805
    or
    Sulliden Gold Corporation
    Scott Moore
    Vice President Corporate Development
    (416) 861-5903