San Lorenzo drills 10.7 m of 1.33 g/t Au at Salvadora

Executive Summary

• San Lorenzo Gold Corp. released assay results from the first hole (SAL 04-25) of its current drilling program at the Salvadora property in Chile.
• The hole intersected 5 sections of mineralization totaling 222.4 meters, interpreted as the upper levels of a mineralized porphyry system at the Cerro Blanco target.
• Results suggest the mineralized system continues to the northeast, prompting plans for further induced polarization (IP) surveys and drilling in that direction.

Key Details

• Hole ID: SAL 04-25
• Location: Cerro Blanco porphyry target, Salvadora property, Chile; located approximately 350 meters northeast of hole SAL 01-25.
• Total Intercept: 5 sections of mineralization totaling 222.4 meters.
• Geological Interpretation: Mineralization is assumed to represent the upper levels of a mineralized porphyry system.
• Context: This is the fourth hole drilled at the Cerro Blanco target and the first hole of the current campaign. It follows two holes drilled last year on the east side of the Cerro Blanco litho-cap feature.
• Target Identification: The hole was drilled on a chargeability/resistivity anomaly identified during last year's geophysical program (expanded induced polarization coverage).
• Future Plans: San Lorenzo intends to conduct further IP surveys and drilling to the northeast, where significant alteration is visible from the valley floor (1.7 km away), to test for system extension.
• Qualified Person: Terence Walker, MSc, PGeo.

Notable Quotes

• "The mineralization is assumed to represent the upper levels of a mineralized porphyry system, and the results suggest continuation -- to the northeast -- of the system encountered in the first two holes drilled last year on the east side of the Cerro Blanco litho-cap feature."
• "San Lorenzo is hopeful that the system extends farther to the northeast to where significant alteration can be seen from the valley floor, 1.7 kilometres to the northeast. Further IP followed by drilling is warranted and will be undertaken by San Lorenzo."