News

200 m Down Dip Extension from Previously Announced Results, Best Hole to Date

7 Intersections >100 g/t Gold, up to 4,190 g/t Gold

Rising Sun Area Remains Open with Assays Pending for 18 Holes

Vancouver, Canada — Mawson Gold Limited(“Mawson” or the “Company”) (TSX:MAW) (Frankfurt:MXR) (PINKSHEETS: MWSNF) announces the best hole drilled to date, SDDSC082, at SXG’s 100%-owned Sunday Creek Project in Victoria, Australia, a spectacularly wide and high grade intersection of gold-antimony mineralization of 331.5 m @ 6.8 g/t Au from 413.6 m (uncut) in a 180 m to 290 m (average 200 m) down dip extension of a previous drilled mineralized zone (Figure 5).

SDDSC082 contains the highest grades (up to 4,190 g/t Au) and includes three of the top five individual intersections at Sunday Creek: 13.1 m @ 91.7 g/t Au from 413.6 m, 68.5m @ 4.8 g/t Au from 506.3 m and 5.0 m @ 60.9 g/t Au from 588.0 m.  Seven assayed intervals have >100 g/t Au (up to 4,190 g/t Au), 20 assayed intervals have >15 up to 100 g/t Au and seven intervals have >5% Sb (up to 24.3% Sb).

Sunday Creek is 100% owned by Southern Cross Gold (“SXG”), which is an ASX listed company owned 51% by Mawson. Four rigs continue to drill in the main drill area at Sunday Creek where 18 holes (SDDSC079, 83, 85-86, 88-99, 101, 103) are currently being geologically processed and chemically analyzed, and four holes (SDDSC0100, 102, 104, 105) are in drill progress (Figures 1-2).

Noora Ahola, Mawson Interim CEO, states: “Sunday Creek is proving the old adage correct that great projects keep getting better with further, targeted drilling.  So it is with the release of SDDSC082 (331.5 m @ 6.8 g/t Au (uncut)) as the best hole, and the most significant, drilled so far at Sunday Creek.  It is, on average, a 200 m down dip extension from SDDSC077B, SXG’s previous best hole, from only a little more than a month ago, and intersected 18 veins with super high grades (up to 4,190 g/t Au) intersected in a new vein, only 400 m vertically below the surface.

SXG has a highly targeted 19,000 m drill program at the Rising Sun and Apollo zones at Sunday Creek to April 2024 which leads us to believe we will see further outstanding drill results in the coming months.”

Results Discussion

Drill hole SDDSC082 331.5 m @ 7.1 g/t AuEq (6.8 g/t Au, 0.2 %Sb) from 413.6 m (uncut) was drilled as a 180 m to 230 m down dip extension from SDDSC077B in the upper parts of the mineralized system, and lower in SDDSC082 up to 290 m down dip from SDDSC050 (305 m @ 2.4 g/t AuEq, reported November 20, 2022). Mineralization in SDDSC082 extended from 331.5 m to 1,065.3 m down hole, for a total length of 733.8 m.

On a grade-thickness basis, SDDSC082 (cumulative 2,418 AuEq g/t x m) is the best hole drilled on the project to date and exceeded SDDSC077B (cumulative 2,272 AuEq g/t x m) and SDDSC050 (cumulative 852 AuEq g/t x m).

Drill hole SDDSC082 is a significant expansion of the mineralized footprint. The hole hit continuous mineralization that can be extended from surface to 500 m depth and also drilled the deepest mineralization on the project to 1 km vertical depth (0.6 m @ 20.0 g/t AuEq (16.4 g/t Au, 2.3 %Sb) from 1,064.5 m (Figures 1-3).

SDDSC082 traverses 18 individual high grade vein sets (Figures 1-3). Seven intervals contained >100 g/t Au (up to 4,190 g/t Au), 20 intervals have >15 g/t Au up to 100 g/t Au and 7 intervals have >5% Sb (up to 24.3% Sb). The hole was drilled parallel to the enveloping host breccia dyke but at a high angle to the predominant NW-SW high-grade vein trend.  As the hole was relatively steeply drilled into the steep mineralised veins sets, the true thickness of the mineralised interval is interpreted to be approximately 40% to 50% of the sampled thickness.

The very highest-grade interval (0.2 m @ 4,190 g/t Au) was intersected in a previously undrilled vein on the undrilled western margin of the Rising Sun area (Figure 2).  It appears to form blind below a bulge in the dyke breccia host and is open down dip.  Development of these grades 400 m vertically below the surface also suggests the super high-grade epizonal system is telescoping up to higher levels than previously thought (440 m compared to the previously thought 700 m depth) at Sunday Creek, opening further opportunities for bonanza high grades at shallow levels. Additionally, the area immediately west of this new vein is open to the west and to depth.

A complete list of significant intersections from SDDSC082 include:

• 13.1 m @ 93.8 g/t AuEq (91.7 g/t Au, 1.3 %Sb) from 413.6 m, including:
  • 1.7 m @ 246.2 g/t AuEq (230.6 g/t Au, 9.9 %Sb) from 413.6 m
  • 0.2 m @ 4,190 g/t AuEq (4190 g/t Au, 0.1 %Sb) from 418.4 m
• 0.3 m @ 11.0 g/t AuEq (10.9 g/t Au, 0.0 %Sb) from 471.7 m
• 0.9 m @ 42.9 g/t AuEq (42.3 g/t Au, 0.4 %Sb) from 480.6 m
• 0.5 m @ 6.2 g/t AuEq (6.2 g/t Au, 0.0 %Sb) from 494.3 m
• 68.5 m @ 5.3 g/t AuEq (4.8 g/t Au, 0.4 %Sb) from 506.3 m, including:
  • 0.4 m @ 18.8 g/t AuEq (18.7 g/t Au, 0.1 %Sb) from 515.2 m
  • m @ 7.3 g/t AuEq (5.3 g/t Au, 1.3 %Sb) from 522.0 m
  • 0.7 m @ 6.9 g/t AuEq (5.2 g/t Au, 1.1 %Sb) from 532.5 m
  • 0.5 m @ 29.2 g/t AuEq (28.2 g/t Au, 0.6 %Sb) from 539.2 m
  • 1.7 m @ 14.1 g/t AuEq (12.3 g/t Au, 1.2 %Sb) from 544.5 m
  • 5.4 m @ 43.9 g/t AuEq (41.9 g/t Au, 1.3 %Sb) from 567.3 m
• 5.0 m @ 61.4 g/t AuEq (60.9 g/t Au, 0.4 %Sb) from 588.0 m, including:
  • 0.4 m @ 7.1 g/t AuEq (1.8 g/t Au, 3.4 %Sb) from 589.0 m
  • 0.9 m @ 351.3 g/t AuEq (351.2 g/t Au, 0.0 %Sb) from 591.4 m
• 21.7 m @ 6.5 g/t AuEq (6.5 g/t Au, 0.0 %Sb) from 622.0 m, including:
  • 0.6 m @ 12.2 g/t AuEq (12.2 g/t Au, 0.0 %Sb) from 641.2 m
  • 0.4 m @ 351.0 g/t AuEq (351.0 g/t Au, 0.0 %Sb) from 643.4 m
• 31.1 m @ 3.9 g/t AuEq (3.1 g/t Au, 0.5 %Sb) from 652.0 m, including:
  • 1.0 m @ 11.7 g/t AuEq (11.7 g/t Au, 0.0 %Sb) from 654.0 m
  • 1.6 m @ 48.6 g/t AuEq (39.3 g/t Au, 5.9 %Sb) from 658.9 m
  • 1.1 m @ 16.6 g/t AuEq (7.8 g/t Au, 5.6 %Sb) from 672.8 m
• 17.0 m @ 1.5 g/t AuEq (1.4 g/t Au, 0.0 %Sb) from 691.0 m, including:
  • 1.0 m @ 16.5 g/t AuEq (16.3 g/t Au, 0.1 %Sb) from 697.0 m
• 9.9 m @ 1.1 g/t AuEq (1.0 g/t Au, 0.1 %Sb) from 712.1 m, including:
  • 0.2 m @ 34.8 g/t AuEq (34.7 g/t Au, 0.1 %Sb) from 712.1 m
• 9.5 m @ 9.8 g/t AuEq (8.1 g/t Au, 1.1 %Sb) from 738.0 m, including:
  • 2.3 m @ 39.5 g/t AuEq (32.9 g/t Au, 4.2 %Sb) from 742.8 m
• 4.0 m @ 5.1 g/t AuEq (4.8 g/t Au, 0.2 %Sb) from 842.0 m, including:
  • 1.0 m @ 19.4 g/t AuEq (18.3 g/t Au, 0.7 %Sb) from 842.0 m
• 3.6 m @ 5.4 g/t AuEq (5.4 g/t Au, 0.0 %Sb) from 852.6 m, including:
  • 0.4 m @ 49.6 g/t AuEq (49.6 g/t Au, 0.0 %Sb) from 854.2 m
• 1.0 m @ 5.9 g/t AuEq (5.9 g/t Au, 0.0 %Sb) from 995.4 m, including:
  • 0.3 m @ 18.4 g/t AuEq (18.4 g/t Au, 0.0 %Sb) from 995.4 m
• 0.1 m @ 24.3 g/t AuEq (24.3 g/t Au, 0.0 %Sb) from 1,037.6 m
• 0.6 m @ 20.0 g/t AuEq (16.4 g/t Au, 2.3 %Sb) from 1,064.5 m

Additionally, a further 5 holes (SDDSC080, 81, 84, 87, 88) are reported here from a shallower fan of drilling at Rising Sun. These holes were drilled from the NE to SW and tested only one mineralised vein set each, for a total of three veins. All holes hit gold, except SDDSC088 which was drilled into a newly defined fault (the Monarch Fault) that offsets mineralisation. Highlights included:

• SDDSC080: 3.0 m @ 11.7 g/t AuEq (11.0 g/t Au, 0.4 %Sb) from 305.0 m
  • 0.9 m @ 5.7 g/t AuEq (4.9 g/t Au, 0.5 %Sb) from 318.0 m
• SDDSC081: 8.1 m @ 7.5 g/t AuEq (5.2 g/t Au, 1.4 %Sb) from 289.0 m, including:
  • 0.7 m @ 75.2 g/t AuEq (52.3 g/t Au, 14.5 %Sb) from 289.0 m
  • 0.2 m @ 30.9 g/t AuEq (14.6 g/t Au, 10.3 %Sb) from 294.7 m
• SDDSC084: 2.3 m @ 3.3 g/t AuEq (3.3 g/t Au, 0.0 %Sb) from 245.8 m, including:
  • 0.4 m @ 15.1 g/t AuEq (15.1 g/t Au, 0.0 %Sb) from 246.5 m
• SDDSC087: 0.8 m @ 12.8 g/t AuEq (12.8 g/t Au, 0.0 %Sb) from 222.9 m
  • 5.7 m @ 1.3 g/t AuEq (1.2 g/t Au, 0.0 %Sb) from 230.3 m, including:
    • 0.4 m @ 10.2 g/t AuEq (9.5 g/t Au, 0.5 %Sb) from 230.3 m

Pending Results and Update

With four diamond drill rigs operating at site, and A$11.8M cash (as of August 31, 2023) the Company has stated that it will drill an additional 19,000 m by April 2024.  SXG has drilled 54 holes for 24,555 m so far in 2023 within the main project area and 12 holes for 2,383 m in regional extensions.

Demonstrating Volume: 18 holes (SDDSC079, 83, 85-86, 88-99, 101, 103) are currently being processed and analyzed, with four holes (SDDSC100, 102, 104, 105) currently in progress (Figures 1-2).

Demonstrating Scale: Recent drilling between 4 km m to 8 km along strike from the main drill area has confirmed the presence of the same dyke breccia host and crosscutting high grade gold-bearing veins as at Sunday Creek. The results, with high grades up to 19.4 g/t gold hosted within a broad and extensive host, are commensurate with the very early drilling undertaken in what is now the core drill area at Sunday Creek.  The drill program has proved that the entire 8 km trend and beyond at Sunday Creek is highly prospective for future significant gold discoveries (Figure 4).

Demonstrating Grade: SDDSC082 traverses 18 individual high grade vein sets (Figures 1-3). Seven intervals contained >100 g/t Au (up to 4,190 g/t Au), 20 intervals have >15 g/t Au up to 100 g/t Au and 7 intervals have >5% Sb (up to 24.3% Sb). The hole was drilled parallel to the enveloping host breccia dyke but at a high angle to the predominant NW-SW high-grade vein trend (Figures 1-2).

Further discussion and analysis of the Sunday Creek project by Southern Cross Gold is available on the SXG website at www.southerncrossgold.com.au.

No upper gold grade cut is applied in the averaging and intervals are reported as drill thickness. However, during future Mineral Resource studies the requirement for assay top cutting will be assessed.

Figures 1-5 show project location, plan, longitudinal and cross-sectional views of drill results reported here and Tables 1–3 provide collar and assay data. The true thickness of the mineralized intervals reported are interpreted to be approximately 40 to 50% for SDDSC082 and 60 to 70% of the sampled thickness for other holes reported. Lower grades were cut at 0.3 g/t Au lower cutoff over a maximum width of 3 m with higher grades cut at 5.0 g/t Au cutoff over a maximum of 1 m width, unless otherwise stated.

Technical Background and Qualified Person

The Qualified Person, Michael Hudson, Executive Chairman and a director of Mawson Gold, and a Fellow of the Australasian Institute of Mining and Metallurgy, has reviewed, verified and approved the technical contents of this release.

Analytical samples are transported to the Bendigo facility of On Site Laboratory Services (“On Site”) which operates under both an ISO 9001 and NATA quality systems. Samples were prepared and analyzed for gold using the fire assay technique (PE01S method; 25 gram charge), followed by measuring the gold in solution with flame AAS equipment. Samples for multi-element analysis (BM011 and over-range methods as required) use aqua regia digestion and ICP-MS analysis. The QA/QC program of Southern Cross Gold consists of the systematic insertion of certified standards of known gold content, blanks within interpreted mineralized rock and quarter core duplicates. In addition, On Site inserts blanks and standards into the analytical process.

MAW considers that both gold and antimony that are included in the gold equivalent calculation (“AuEq") have reasonable potential to be recovered at Sunday Creek, given current geochemical understanding, historic production statistics and geologically analogous mining operations. Historically, ore from Sunday Creek was treated onsite or shipped to the Costerfield mine, located 54 km to the northwest of the project, for processing during WW1. The Costerfield mine corridor, now owned by Mandalay Resources Ltd contains two million ounces of equivalent gold (Mandalay Q3 2021 Results), and in 2020 was the sixth highest-grade global underground mine and a top 5 global producer of antimony.

SXG considers that it is appropriate to adopt the same gold equivalent variables as Mandalay Resources Ltd in its Mandalay Technical Report, 2022 dated 25 March 2022. The gold equivalence formula used by Mandalay Resources was calculated using recoveries achieved at the Costerfield Property Brunswick Processing Plant during 2020, using a gold price of US$1,700 per ounce, an antimony price of US$8,500 per tonne and 2021 total year metal recoveries of 93% for gold and 95% for antimony, and is as follows: AuEq =  Au (g/t) + 1.58 x Sb (%).

Based on the latest Costerfield calculation and given the similar geological styles and historic toll treatment of Sunday Creek mineralization at Costerfield, SXG considers that a AuEq =  Au (g/t) + 1.58 x Sb (%) is appropriate to use for the initial exploration targeting of gold-antimony mineralization at Sunday Creek.

About Mawson Gold Limited (TSX:MAW, FRANKFURT:MXR, OTCPINK:MWSNF)

Mawson Gold Limited is an exploration and development company. Mawson has distinguished itself as a leading Nordic exploration company with its 100% owned flagship Rajapalot gold-cobalt project in Finland, and right to earn into the Skellefteå North gold project in Sweden. Mawson also currently owns 51% of Southern Cross Gold Ltd (ASX:SXG) which in turn owns or controls three high-grade, historic epizonal goldfields covering 470 km2 in Victoria, Australia.

About Southern Cross Gold Ltd (ASX:SXG)

Southern Cross Gold holds the 100%-owned Sunday Creek project in Victoria and Mt Isa project in Queensland, the Redcastle and Whroo joint ventures in Victoria, Australia, and a strategic 10% holding in ASX-listed Nagambie Resources Limited (ASX:NAG) which grants SXG a Right of First Refusal over a 3,300 square kilometer tenement package held by NAG in Victoria.

Forward-Looking Statement

This news release contains forward-looking statements or forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). All statements herein, other than statements of historical fact, are forward-looking statements. Although Mawson believes that such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate, and similar expressions, or are those, which, by their nature, refer to future events. Mawson cautions investors that any forward-looking statements are not guarantees of future results or performance, and that actual results may differ materially from those in forward-looking statements as a result of various factors, including, Mawson’s expectations regarding its ownership interest in Southern Cross Gold, capital and other costs varying significantly from estimates, changes in world metal markets, changes in equity markets, the potential impact of epidemics, pandemics or other public health crises, including COVID-19, on the Company’s business, risks related to negative publicity with respect to the Company or the mining industry in general; exploration potential being conceptual in nature, there being insufficient exploration to define a mineral resource on the Australian-projects owned by SXG, and uncertainty if further exploration will result in the determination of a mineral resource; planned drill programs and results varying from expectations, delays in obtaining results, equipment failure, unexpected geological conditions, local community relations, dealings with non-governmental organizations, delays in operations due to permit grants, environmental and safety risks, and other risks and uncertainties disclosed under the heading "Risk Factors" in Mawson's most recent Annual Information Form filed on SEDAR. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, Mawson disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

Photo 2: SDDSC082 from 592 m (within assayed interval 0.9 m @ 351.3 g/t AuEq (351.2 g/t Au, 0.0% Sb) from 591.4 m to 592.3 m (Table 3)) showing uncut core with quartz-carbonate massive vein with visible gold. Millimetre scale.

Photo 3: SDDSC082 from 744 m (within assayed interval 0.7 m @ 88.9 g/t AuEq (78.2 g/t Au, 6.8% Sb) from 744.0 m to 744.6 m (Table 3)) showing cut core with brecciated dioritic dyke, with stibnite and quartz-carbonate veining with fine, disseminated frequent visible gold in stibnite. Note lime green fuchsite in altered dyke. Top to bottom 40 mm scale.

Figure 1: Sunday Creek plan view showing SDDSC082 reported here (red box), selected prior reported drill holes and pending holes.  For location see Figure 5.

Figure 2: Sunday Creek longitudinal section across C-D the plane of the dyke breccia/altered sediment host (see Figure 1) looking towards the north (striking 327 degrees) showing mineralized veins sets.  SDDSC082 reported here, with restricted visible gold intersections and prior reported drill holes shown.

Figure 3: Sunday Creek cross section A-B (25 m influence) (see Figure 1) across one vein set at the Rising Sun area looking towards 330 showing continuity from surface to 550m depth SDDSC082 and prior reported drill holes.  Note step out from SDDSC077B and SDDSC082 is 180m in plane of this vein.

Figure 4: Sunday Creek regional plan view showing LiDAR, soil sampling, structural framework, regional historic epizonal gold mining areas and broad regional areas (Tonstal, Consols and Leviathan) tested by 12 holes for 2,383 m drill program.  The regional drill areas are at Tonstal, Consols and Leviathan located 4,000-7,500 m along strike from the main drill area at Golden Dyke- Apollo.

Figure 5: Location of the Sunday Creek project, along with SXG’s other Victoria projects and simplified geology.

Table 1: Drill collar summary table for recent drill holes in progress.

Table 2: Tables of mineralized drill hole intersections reported from SDDSC080, 81, 82, 83, 84 and 87 using two cut-off criteria. Lower grades cut at 0.3 g/t lower cutoff over a maximum of 3 m with higher grades cut at 5.0 g/t AuEq cutoff over a maximum of 1 m.

Table 3: All individual assays reported from SDDSC080, 81, 82, 83, 84 and 87 reported here >0.1g/t AuEq.