AMN - SIERRA LEONE: High-grade gold at Ferensola

Sula Iron & Gold has received high-grade results from the Phase 3 drill program at Ferensola Gold Project in Sierra Leone. Results included 19.3 g/t gold over 1.2 metres in one hole in the Southern Target where four out of six holes drilled have returned good grades.

Sula completed a 5185 metre drilling program in July which targeted areas of known high-grade mineralisation at Sanama Hill and the Southern Target, (TZ4). This brings drilling completed in 2017 to a total of 8985 metres.

Other recent results include 8.6 g/t over 2 metres at Sanama Hill and 7.5 g/t over 0.7 metres in near-surface oxide at Sanama Hill. The latter was one of multiple oxide mineralisation intervals encountered.

The company has also received ‘structural target’ soil samples for Ferensola. The regional soil sampling program was completed across eight of the 19 target zones identified in a detailed structural review.

The program was designed the ground-truth structural targets and using a commonly employed low-detection bulk leach method, showed anomalous gold grades to the northeast of Sanama Hill.

Sula says this exploration and accompanying assay method is believed to provide a robust and low cost method of target generation going forward.

Sula’s CEO Roger Murphy said, “These high-grade results once more provide strong evidence that in Ferensola we have a serious gold province. 19.3 g/t further confirms that the Southern Target is a quality standalone gold target with more than one style of mineralisation observed. And again, we see evidence for high grade gold areas at Sanama Hill.

“Equally the soil sampling program validates our structural work and suggests that there are several other Sanama Hill and Southern Targets to be found on our licence.

“As planned, Sula will now switch from a high-cost drilling phase and enter a period of low-cost analysis and review where further interpretation work will be done on the large volume of data now accumulated as a result of the drilling.

“During this period, and on cessation of the current wet season, we will continue with ad hoc lower cost field exploration at Ferensola.

“In order to maximise the company’s exploration spend, and to further demonstrate the Board’s commitment to the company, the Board has agreed to defer all of its remuneration in cash for the foreseeable future.

"During this period of data review, the Board will also assess the various strategic opportunities that have been presented to the company to determine the best path to advance Sula."

www.sulairongold.com