Assays from 580m to End of Hole Remain Pending.



The Board of SolGold (LSE & TSX: SOLG) is pleased to provide an update on its Porvenir Project, held by Green Rock Resources S.A, a 100% owned and unencumbered subsidiary of SolGold.



Highlights



Ø Final assay results have been received for the first 580m of the first drill hole at Porvenir (PDH-20-001) returning 570m @ 0.69% CuEq (0.49% Cu, 0.27 g/t Au) from 10m to 580m at a cut-off grade of 0.20% CuEq (open at depth). Assay results from 580m to end of hole at 909.3m remain pending.



Ø The overall intersection in PDH-20-001 to 580m depth includes zones of higher-grade material, coincident with the presence of early dioritic and monzonitic intrusions, including:



? 188m @ 0.73% CuEq (0.56 % Cu, 0.23 g/t Au) from 392 m to 580m depth at a cut-off grade of 0.30% CuEq (open at depth). Assay results from 580m to end of hole at 909.3m remain pending.



? 106m @ 0.86% CuEq (0.67 % Cu, 0.25 g/t Au) from 474 m to 580m depth at a cut-off grade of 0.70% CuEq (open at depth).



Ø Remaining assay results for PDH-20-001 are expected later this month, and assays received to date confirm the potential for the presence of a large strongly mineralised porphyry system at Cacharposa as indicated by previously reported visual estimates.



References to figures relate to the version visible in PDF format by clicking the link below:

http://www.rns-pdf.londonstockexchange.com/rns/2110E_1-2020-11-4.pdf





Commenting on the assay results, Nick Mather, CEO of SolGold, said:



"The assay results so far for the first hole at Porvenir are highly encouraging, indicating a large and complex mineralising copper gold porphyry system. In comparison to the first hole at Alpala, the Cacharposa target at Porvenir presents longer and better results, an excellent start to the Porvenir campaign. "



Further Information

SolGold is continuing to pursue its strategy to systematically explore its extensive tenement portfolio in Ecuador. The first pass regional exploration program is fully funded until mid- to late- 2021.



PDH-20-001, the first drill hole on the Porvenir Project, at Cacharposa was completed at 909.3m depth on 11 October 2020, announced on 13 October, having intersected 893.4m of visual chalcopyrite mineralisation from 15.9m depth to the end of the hole.



Final assay results have been received for the first 580m of the first drill hole (PDH-20-001) at Cacharposa, Porvenir returning 570m @ 0.69% CuEq (0.49% Cu, 0.27 g/t Au) from 10m to 580m at a cut-off grade of 0.20% CuEq (open at depth). Assay results from 580m to end of hole at 909.3m remain pending.



The overall intersection in PDH-20-001 to 580m depth includes zones of higher-grade material, coincident with the presence of early dioritic and monzonitic intrusions and includes the following intersections (Table1).

Hole ID From m To m Interval m Cu % Au g/t CuEq % Cut-off (CuEq%) m% (CuEq%)
Comments
PDH-20-001 10 580 570 0.49 0.27 0.69 0.20 393.3 Open at Depth
PDH-20-001 10 96 86 0.55 0.32 0.79 0.30 67.9

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Table 1: PDH-20-001 down-hole intercepts.

True widths of downhole intersections are not well constrained as of yet. Drill hole one was drilled at an inclination of -55 degrees towards the east, and the interpreted orientation of the Cacharposa Intrusive Complex and its associated porphyry copper-gold mineralisation is subvertical, dipping approximately 85-90 degrees to the west. The true width of down-hole intersections reported are therefore expected to be approximately 55-60% of the down-hole lengths.


Remaining assay results for PDH-20-001 are expected later this month, and assays received to date confirm the potential for the presence of a large strongly mineralised porphyry system at Cacharposa as indicated by previously reported visual estimates.


PDH-20-001 tested the eastern limits of the Cacharposa porphyry system and SolGold geologists interpret that the hole passed across the upper periphery of the core of a large, strongly mineralised porphyry copper-gold system. PDH-20-001 passed beneath outcropping surface mineralisation in Cacharposa Creek that returned an open-ended rock-saw channel assay result of 147.8m @ 0.69% CuEq (0.43 g/t Au, 0.37% Cu) including, 82.63m @ 1.08% CuEq (0.71 g/t Au, 0.55% Cu).


PDH-20-001 intersected a number of different mineralised intrusive phases and mineralisation styles, exhibiting a wide range of porphyry style veining. The complex multi-phase nature of mineralisation observed in PDH-20-001 is considered favourable to the development of a significant porphyry Cu-Au system.

The current depth of PDH-20-002 is 839.9m and an update on visual mineralisation encountered so far will be forthcoming later this month.

Figure 1: Location plan showing Porvenir Project in Southern Ecuador, highlighting the locations of the Cacharposa and Alpala porphyry deposits.

Figure 2: Cross-section looking north-northeast with window thickness of 150m, showing assay results to 580m in PDH-20-001 as well as current and selected planned drill holes. Mineralisation and hydrothermal alteration intersected in drilling so far shows good correlation between down hole geology and 3D magnetic- and geochemical-models.

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