Sego Resources completes drill core relogging at Miner

Jun 17, 2015

SEGO RESOURCES INC. MAPS APPARENT THICKENING OF ZONE OF ELEVATED GRADES AND PORPHYRY ALTERATION WITH GRADE AT DEPTH

Sego Resources Inc. has completed relogging key drill core at Miner Mountain, near Princeton, B.C. The company’s geologic understanding of the project area benefited from a two-year study recently completed by the British Columbia Geological Survey. Results and geologic maps of the Miner Mountain/Princeton area were published in 2013 and 2014 by the British Columbia Geological Survey (Mihalynuk et. al., 2013, 2014) and are available under GeoFile 2015-2 on the British Columbia Geological Survey website.

Relogging several holes in the Cuba zone has confirmed the quality of original work and has revealed an apparent thickening of the near-surface mineralization discovered in DDH-21 (100 metres of 0.95 per cent copper, 0.55 gram per tonne gold and 3.47 grams per tonne silver). This zone is extremely altered and may be diorite. The zone appears to thicken to the northwest, providing targets for future drilling. The well mineralized zone appears to be cut off by a postmineral fault and may be offset.

At the bottom of DDH-28, the drilling encountered a second zone of mineralization consisting of Nicola Group volcanics with strong porphyry-style alteration (magnetite, potassium feldspar) and excellent grade. The final two assays at 202.69 metres of 0.42 per cent copper and 0.16 gram per tonne gold and at 205.74 metres of 0.62 per cent copper and 0.22 gram per tonne gold are at a vertical depth of 120 metres. This mineralization lies over 100 metres east of the mineralization in DDH-21. Extending this zone is also a future drill target.

The Granby-Cuba-Regal zone contains three of eight targets identified by geophysical surveys, as reported by Dr. Jules J. Lajoie, PhD, PEng, former chief geophysicist of Cominco, Teck-Cominco and Teck Resources in his Report to Sego, titled “Titan 24 Reprocessing, Heli-magnetics and Radiometrics Interpretation” (see news release dated June 28, 2013). The report is available on the company’s website.

J. Paul Stevenson, chief executive officer of Sego, stated: “Our plan going forward for the 2015 season is to raise funds to continue drilling both of these targets. We want to continue to test for continuity of copper-gold mineralization below the current known depths of the porphyry-style mineralization and extend the near-surface higher-grade zone to the north and northwest. Considering the style of alkalic copper-gold porphyries in the Nicola belt, we recognize the large role that structure can play in continuity of mineralization. To that end, we are also considering additional work and analysis to ascertain the structure and alteration of the Granby-Cuba zone.”

This news release was reviewed and approved by Dr. Selina Tribe, PhD, PGeo. A qualified person under National Instrument 43-101. Sego is 100-per-cent owner of the Miner Mountain project, an alkalic copper-gold porphyry exploration project near Princeton, B.C. The property is 2,056.54 hectares in size and located 15 kilometres north of the Copper Mountain mine operated by Copper Mountain Mining Corp. and Mitsubishi Copper. Sego has a memorandum of understanding with the Upper Similkameen Indian Band, in which traditional territory the Miner Mountain project is situated. Sego holds a five-year exploration permit for the property and has received an award of excellence for its reclamation work at Miner Mountain.

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