AMN - BURKINO FASO: Encouraging Karankasso drill results

Savary Gold Corp, the operator of the Karankasso Project Joint Venture in southwest Burkino Faso, has received the first set of drill results from a 100 hole, 10,000 metre drilling program which began at the end of January. Good first pass results were received which are encouraging for the JV partners – Savary and Sarama Resources.

The drill program is focused on first pass testing of strong gold-in-auger anomalies in the Serakoro 1 West area and follow-up of previous drilling carried out by Sarama in 2011/12 and Delta Gold in the late 1990s. The drilling was undertaken across multiple target zones in the Serakoro 1 property within the Karankasso project area.

To date 43 holes totalling 4474 metres have been completed with results coming from 24 of the initial 29 holes totalling 2978.4 metres.

Serakoro 1 West results include 3.21 g/t gold over 4 metres, 2.26 g/t over 11 metres, 2.52 g/t over 3 metres, 1.85 g/t over 7 metres, 2.22 g/t over 4 metres, 2.55 g/t over 17 metres and 2.26 g/t over 3 metres.

Serakoro 1 Main results include 14.66 g/t (6.65 g/t gold cut) over 6 metres, 1.69 g/t over 5 metres, 1.24 g/t over 8 metres and 1.79 g/t over 6 metres.

Savary president and CEO Don Dudek said, “This initial success has resulted in the recommended follow-up of an additional 20 holes, ensuring both follow-up of drill intercepts and the testing of all strong gold-in-auger anomalies.

“We were pleasantly surprised with a strong, higher grade intercept along the western edge of the Serakoro 1 Main area, that had not been previously tested and the strengthening of the gold-in auger anomalies at the north end of the Serakoro 1 concession.”

Sarama's president and CEO Andrew Dinning said,"The results reflect early stage exploration on the Serakoro 1 property. Sarama looks forward to the integration of recently collected geophysical, geochemical and prospecting data into the forward exploration program to reinforce target quality."

Sarama Resources is a West African focused gold explorer with substantial landholdings in Burkina Faso. Sarama is focused on consolidating under-explored landholdings in Burkina Faso and other established mining jurisdictions.

Sarama's flagship properties are within the company's South Houndé project area. Located within the prolific Houndé Greenstone Belt, Sarama's exploration has built on significant early success to deliver an inferred mineral resource estimate of 2.1 million ounces of gold.

Sarama holds a 31% participating interest in the Karankasso Project JV which is adjacent to the South Houndé project. Savary Gold is the operator of the JV and in October 2015, declared a maiden inferred mineral resource estimate of 671,000 ounces of contained gold.

Sarama has also agreed to acquire a 100% interest in the Bondi deposit from Orezone Gold Corporation. Bondi has a historical estimate of mineral resources of 300,000 measured and indicated ounces and 100,000 inferred ounces.

Together, the South Houndé project, Bondi deposit and Karankasso project form a cluster of advanced gold deposits, within trucking distance of one another, which potentially offers a development option for a multi-source fed central processing facility in the region.

www.savarygold.com or www.saramaresources.com