Signal Gold intersects 20.59 g/t gold over 3 metres at Goldboro, Nova Scotia

Signal Gold Inc. [SGNL-TSX; SGNLF-OTCQX] has released diamond drill results from a growth exploration program at its 100%-owned Goldboro project in Nova Scotia. The growth exploration program, comprising 2,870 metres in 15 drill holes of diamond drilling, has successfully discovered continued gold mineralization up to 325 metres to the west of the existing Goldboro deposit mineral resource, and mineralization remains open along strike to the west and at depth.

Critically, the results demonstrated the same style of gold mineralization and host environment as the Goldboro deposit. Eight occurrences of visible gold were observed in 102 separate intersections of gold mineralization. Drilling also demonstrated that increased gold mineralization and alteration are coincident with the targeted induced polarization chargeability and very-low-frequency trends. This geophysical signature, along with the current geological interpretation, suggests that the structure which hosts the Goldboro deposit potentially extends 2 km west of the current mineralization and is coincident with the past-producing Dolliver Mountain mine.

Select composited highlights from the drill program include 20.59 g/t gold over three metres (122.4 metres to 125.4 metres) in hole BR-23-383, including 113.9 g/t gold over 0.5 metres.

Hole BR-23-381 returned 9.46 g/t gold over two metres (123.5 metres to 125.5 metres), including 15.4 g/t gold over 0.5 metre; 7.29 g/t gold over 2.5 metres (103 metres to 105.5 metres) in hole BR-23-382; 4.84 g/t gold over three metres (54.9 metres to 57.9 metres) in hole BR-23-385; and 2.72 g/t gold over 3.5 metres (72.6 metres to 76.1 metres) in hole BR-23-385, including 13.4 g/t gold over 0.5 metres.

Significant high grades were also intersected, including 130.7 g/t gold over 0.5 metres at 79.9 metres in hole BR-22-380; 47.2 g/t gold over 0.5 metre at 229.7 metres in hole BR-22-374; 77.7 g/t gold over 0.5 metre at 123 meters in hole BR-22-379; 21 g/t gold over one metre at 210.3 metres in hole BR-22-377; and 28.1 g/t gold over 0.5 metre at 112.1 metres in hole BR-23-381.

Kevin Bullock, president and CEO, commented: “We are very pleased with the results of the recent growth exploration program that demonstrates the near-surface expansion potential of the Goldboro deposit, with significant room to grow towards the historic Dolliver Mountain gold mine. These drill results importantly validate our exploration approach of targeting IP and VLF geophysical signatures to the west along the host anticline. Further drilling will be required to outline the detailed geometry of the new mineralization, but we are pleased to have proven with this drilling the very real expansion potential at Goldboro. The initial addition of 325 metres of strike has led us to initiate permitting for further drilling near, and west of, the deposit. With the recent financing announcement with Nebari Resources that will enable the execution of key optimization and derisking activities at Goldboro, combined with the significant increase in exploration licences adjacent to the Goldboro deposit, we are well situated to demonstrate expansion of mineral resources while developing a long-life project.”

The company has identified a significant opportunity to expand the existing mineral resource west of the IP survey where the host structure to the Goldboro deposit continues for another 2 km. This is demonstrated by historical, near-surface geophysical anomalies and previous drilling toward the past-producing Dolliver Mountain gold mine. Additional IP surveying will cover this area of strike potential and will be initiated following the receipt of required permits and land access.

The drill program was partially funded by the MRDF Shared Funding Exploration Grant (MRDF-2022-SF-05). The company wishes to thank the government of Nova Scotia for the partial funding of the drill program.

Signal Gold is advancing the Goldboro gold, a significant growth project subject to a positive feasibility study that demonstrates an approximately 11-year open-pit life of mine with average gold production of 100,000 oz/year and an average diluted grade of 2.26 g/t gold.

On August 3, 2022, the Goldboro project received its environmental assessment approval from the Nova Scotia Minister of Environment and Climate Change, a significant regulatory milestone that enables the company to commence site-specific permitting processes, including the industrial approval and Crown land lease and mining lease applications.

The Goldboro project also has the potential for further mineral resource expansion, particularly toward the west along strike and at depth. A future study will consider upgrading and expanding potentially minable underground mineral resources as part of the longer-term mine development plan.