Welcome to Sage Gold
Sage Gold Inc. (TSX.V-SGX) is a Canadian exploration and development company with projects in Timmins and Beardmore in Northern Ontario. The Company is focused on becoming a near-term gold and base metal producer.
In 2010, SGX optioned the Clavos gold property from St Andrew Goldfields (TSX-SAS) in the Timmins Gold Camp. Clavos was briefly in production between 2005 and 2007 and SAS invested $46 million in mine and infrastructure development.
Sage (60%) has formed a Joint Venture with SAS who own (40%). The new NI43-101 Resource estimate for Clavos was completed by Roscoe Postle Associates (RPA) in October 2012.The total resource includes Indicated mineral resources of 1,258,400 tonnes at 4.81 g/t Au totalling 194,600 ounces of gold and Inferred mineral resources of 796,000 tonnes at 4.7 g/t Au representing 120,000 ounces. These resources are reported at a base case cut-off grade of 2.75 g/t Au and individual assays have been capped at 60g/t. This 2012 resource estimate represents a 113% increase in total ounces relative to the last published resource of October 2006 (by SAS) and is based on a long term gold price assumption of USD$1600/Oz and a cut-off grade of 2.75 g/t Au.
A Preliminary Economic Assessment (PEA) for Clavos was released on March 1, 2013 highlighted by a $23MM Net Present Value and a 71% Internal Rate of Return based on $1500 Gold price. Please refer to NEWS section to view the details of the Clavos PEA. The PEA does not indicate the economic viability of the mineral resource. The PEA is preliminary in nature,includes inferred resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and that there is no certainty that the PEA will be realized. Mineral resources that are not mined reserves do not have demonstrated economic viability.
The Company also has a portfolio of exploration properties in the Northwestern Ontario Beardmore-Geraldton Gold Camp. W.A. Hubacheck Consultants Ltd. and Kirkham Geophysics completed a NI43-101 Resource on the Lynx Copper-silver-gold property on March 31,2009. The Inferred Resource defined to date comprises 1,936,000 tonnes at an average grade of 1.44% Cu, 39.6 g Ag/T and 0.58 g Au/T and contains 61.3 million pounds of copper, 2.24 million troy oz of silver and 33,000 troy oz of gold. These resources are reported at a cut-off grade of 0.5% copper.
Lersch-Grossman Pit Optimization techniques were utilized to evaluate the near surface potential of the Lynx resource that could be amenable to mining by open pit methods. The results indicate the potential for one pit located in the Lynx North area. Using cut-off grade sensitivity scenarios of 1%Cu and 0.5% inferred resources ranging from 485,000 tonnes at 2.1% Cu, 45.3 g Ag/T and 0.70g Au/T to 845,000 tonnes at 1.55% Cu, 34.6 g Ag/T and 0.51g Au/T could potentially be mined from two tonnage blocks determined by the cut-off grades.
Sage management has conducted an internal economic analysis in 2013 to determine the potential economics of the Lynx Deposit. Initial metallurgical work is planned followed by a Preliminary Economic Assessment.
The Sage Gold management team and board have extensive experience in finding, developing and financing new projects. SGX continues to identify additional properties for acquisition to further enhance shareholder value and create cash flows.