Mawson's Subsidiary SXG Reports More High Grade Drilling Including 3.4 meters at 24.8 g/t AuEq at Sunday Creek, Victoria, Australia

Rhea-AI Summary

Mawson Gold Limited (MWSNF) announced significant gold mineralization at Sunday Creek Project, Victoria, following drilling results from two holes SDDSC051 and SDDSC052. The drilling extended the mineralization strike by 40 m with intersections of high-grade zones, including 10.7 m at 4.8 g/t AuEq and a remarkable 0.4 m at 95.0 g/t AuEq. The project continues to show promise, supported by a strong market value of Mawson's stake in Southern Cross Gold, valued at A$68 million. Mawson's CEO noted the continuity of high-grade structures at Sunday Creek, indicating ongoing exploration potential. Future news related to these drilling efforts is anticipated.

Positive

• High-grade gold mineralization confirmed at Sunday Creek project with notable intersections.
• Market value of Mawson's shares in Southern Cross Gold estimated at A$68 million.
• Ongoing drill projects with continuous news flow expected.

Negative

• None.

VANCOUVER, BC / ACCESSWIRE / January 23, 2023 / Mawson Gold Limited("Mawson" or the "Company") (TSX:MAW)(Frankfurt:MXR)(OTC PINK:MWSNF) announces further high-grade gold mineralization from a step out from the most easterly extensions of Apollo at the Sunday Creek Project in Victoria (Figure 1). Sunday Creek is 100% owned by Southern Cross Gold ("SXG"), which is an ASX listed company owned 51% by Mawson. Two drill holes SDDSC051 and SDDSC052 are reported here.

Highlights:

• 40 m step out extends strike of mineralization east, with three separate vein sets intersected in drill hole SDDSC052. Higher grade zones including:
  • 10.7 m @ 4.8 g/t AuEq (3.9 g/t Au, 0.6 %Sb) from 88.5 m
    • Including 0.3 m @ 20.2 g/t AuEq (20.2 g/t Au, 0.0 %Sb) from 88.5 m
    • Including 0.4 m @ 95.0 g/t AuEq (73.2 g/t Au, 13.8 %Sb) from 96.3 m
  • 19.5 m @ 1.9 g/t AuEq (1.7 g/t Au, 0.1 %Sb) from 166.5 m
    • Including 0.3 m @ 33.0 g/t AuEq (33.0 g/t Au, 0.0 %Sb) from 172.9 m
    • Including 0.7 m @ 6.1 g/t AuEq (3.7 g/t Au, 1.5 %Sb) from 175.9 m
  • 11.6 m @ 7.5 g/t AuEq (6.4 g/t Au, 0.7 %Sb) from 209.4 m
    • Including 3.4 m @ 24.8 g/t AuEq (21.2 g/t Au, 2.3 %Sb) from 210.2 m
• 6 high-grade intersections >20 g/t Au with assays up to 73.2 g/t Au and 13.8% Sb (95.0 g/t AuEq).
• Drilling of three holes is in progress at Sunday Creek at the Golden Dyke, Rising Sun and Apollo prospects, and 11 holes are being geologically processed and analyzed (Figure 2). Continual news flow expected.
• Mawson owns 51% of SXG following SXG's recent A$16.0 million capital raise. Mawson's 93.75 million SXG shares have a market value of A$68 million (C$62 million) based on SXG's closing price on January 20, 2022.

Ivan Fairhall, Mawson CEO, states: "Sunday Creek continues to grow, this time in the eastern extent, and demonstrate continuity of the high grade structures typical of the project. The quality shines through strongly again, with grades up to 73.2 g/t Au and 13.8% Sb, and widths including 11.6 m @ 6.4 g/t Au and 0.7 % Sb within three individual mineralized structures in hole 52.

With 14 holes being drilled or analyzed, continual news flow is expected from Southern Cross providing Mawson with huge exploration exposure alongside the Skellefteå project in Sweden, and the 100% owned 1Moz AuEq Rajapalot project in Finland."

Results Discussion

The Sunday Creek epizonal-style gold project is located 60 km north of Melbourne within 19,365 hectares of granted exploration tenements. SXG is also the freehold landholder of 132.64 hectares that forms the key portion in and around the drilled area at the Sunday Creek Project.

Sunday Creek has a 10 km mineralized trend that extends beyond the drill area and is defined by historic workings and soil sampling which have yet to receive any exploration drilling and offers potential future upside.

Drill holes SDDSC051 and SDDSC052 were drilled as 40 m step outs to test the most easterly extensions of the project at the Apollo prospect below historic mining areas from the 1880's (Figures 2-4). The holes are located 500 m east of drillhole SDDSC050. SDDSC052 intersected three separate high-grade veins sets (Figure 4). The same three veins sets were also observed in SDDSC051, in this case with anomalous arsenic and low levels of gold, the hole was considered a near miss by SXG. The development of gold bearing zones is restricted to the 50 m to 100 m wide host dyke breccia, with near miss interactions outside of this zone now able to be identified and traced towards higher grades, such as those located in SDDSC052.

Further discussion and analysis of the Sunday Creek project by Southern Cross Gold is available through the interactive Vrify 3D animations, presentations and videos all available on the on the SXG website www.southerncrossgold.com.au.

Figures 1-3 show project location and plan and longitudinal views of drill results reported here and Tables 1-3 provide collar and assay data. Holes reported here were drilled at a high angle to both the host breccia dyke and predominant NW high-grade mineralization trend and therefore the true thickness of the mineralized interval is interpreted to be approximately 60-70% of the sampled thickness. 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.

Update on Current Drilling

Drilling with three rigs is in progress at Sunday Creek at the Golden Dyke, Rising Sun and Apollo prospects. 11 holes (SDDSC53-60, 62, 63, 65) are being geologically processed and analyzed, with three holes (SDDSC061/64/66) in drill progress (Figure 3).

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.

Gold equivalent "AuEq" for Sunday Creek is = Au (g/t) + 1.58 × Sb (%) based on assumed prices of gold US$1,700/oz Au and antimony US$8,500/metal tonne, and total year metal recoveries of 93% for gold and 95% for antimony. Given the geological similarities of the projects, this formula has been adopted to align to TSX listed Mandalay Resources Ltd Technical Report dated 25 March 2022 on its Costerfield project, which is located 54 km from Sunday Creek and which historically processed mineralization from the property.

For previously reported exploration results referenced in this news release, refer to the following:

October 27, 2021 MDDSC021 December 13, 2021 MDDSC025 March 8, 2022 MDDSC026

May 30, 2022 SDDSC033 August 9, 2022 SDDSC 039 October 4, 2022 SDDSC046

November 2, 2022 SDDSC049 December 14, 2022 SDDSC050

Gold equivalent "AuEq" for Rajapalot is AuEq = Au x 95% + Co x 87.6% / 911 based on updated assumed commodity prices of Co USD27.22/lb and Au USD1,700/oz, and includes recovery factors for Au (95%) and Co (87.6%). Refer to Mawson's Technical Report: NI 43-101 Technical Report on a Preliminary Economic Assessment of the Rajapalot Gold-Cobalt Project, Finland, which may be found under the Company's profile on SEDAR. The PEA is preliminary in nature and includes resources are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA results will be realized. Mineral resources are not mineral reserves and do not have demonstrated economic viability.

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

Mawson Gold Limitedis an exploration and development company. Mawson has distinguished itself as a leading Nordic Arctic 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 kilometre tenement package held by NAG in Victoria.

On behalf of the Board, "Ivan Fairhall" Ivan Fairhall, CEO

Further Information www.mawsongold.com 1305 - 1090 West Georgia St., Vancouver, BC, V6E 3V7 Mariana Bermudez (Canada), Corporate Secretary +1 (604) 685 9316info@mawsongold.com

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 the current pandemic known as 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 www.sedar.com. 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.

Figure 1: Location of the Sunday Creek project, along with SXG's other Victoria projects.

Figure 2: Sunday Creek plan view showing locations of drillholes for results reported in this announcement, pending holes, and select prior reported drill holes.

Figure 3:Sunday Creek east-west longitudinal section looking towards 000, along the trend of the dyke/structure showing pierce point locations scaled by grade x width. Also, prior select reported drillholes shown.

Figure 4: Sunday Creek cross section (30m thickness) in plane of SDDSC052 looking towards 340 showing individual NW striking vein sets (coloured polygons) and select prior reported drillholes.

Table 1: Drill collar summary table for drillholes reported in this announcement (including in progress).

Hole_ID	Hole Size	Depth (m)	Prospect	East GDA94_Z55	North GDA94_Z55	Elevation	Azimuth	Plunge
SDDSC050	HQ	923.7	Rising Sun	330538.6	5867885.4	295.5	77	-63.5
SDDSC051	HQ	263.5	Apollo	331191.4	5867848.00	307.4	226.5	-74.5
SDDSC052	HQ	245.4	Apollo	331191.4	5867848.00	307.4	246.8	-67.4
SDDSC053	HQ	601.9	Rising Sun	330617.0	5867890.60	299.8	78.6	-62.0
SDDSC054	HQ	285	Apollo	331180.3	5867847.90	306.6	240	-77.0
SDDSC055	HQ	522.2	Gentle Annie	330883.0	5868075.00	306.7	224.2	-60.3
SDDSC056	HQ	194	Apollo	331110.8	5867850.90	303.1	231.2	-35.0
SDDSC057	HQ	414.2	Apollo	331111.65	5867975.1	319.1	184.3	-71.1
SDDSC058	HQ	303	Golden Dyke	330534.6	5867882.1	295.9	188	-69.8
SDDSC059	HQ	641.9	Root Hog	330883	5868075	306.7	214	-75.5
SDDSC060	HQ	263.8	Golden Dyke	330534.6	5867882.1	295.9	167.3	-69.9
SDDSC061	HQ	In progress plan 650	Gentle Annie	330754.2	5868022.2	294.3	209.5	-81.7
SDDSC062	HQ	339.3	Golden Dyke	330537.1	5867883.4	295.6	199	-74.2
SDDSC063	HQ	41.1	Apollo	331292.5	5867824.6	316.4	68	-35
SDDSC064	HQ	In progress plan 940	Root Hog	331031.5	5868097.6	325.1	239.6	-69.2
SDDSC065	HQ	40.1	Apollo	331292.5	5867824.6	316.4	92	-39
SDDSC066	HQ	In progress plan 750	Apollo	331291.1	5867823.1	316.8	278.9	-57

Table 2: Tables of mineralized drill hole intersections reported from SDDSC051 and SDDSC052 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.

Drill Hole	From (m)	To (m)	Width (m)	Au g/t	Sb %	AuEq g/t
SDDSC051	118.0	119.0	1.0	0.4	0.02	0.5
SDDSC052	81.9	82.2	0.3	0.4	0.00	0.4
including	88.5	88.8	0.3	20.2	0.02	20.2
SDDSC052	88.5	99.2	10.7	3.9	0.56	4.8
including	96.3	96.7	0.4	73.2	13.80	95.0
SDDSC052	145.0	146.0	1.0	0.6	0.00	0.6
SDDSC052	166.5	186.0	19.5	1.7	0.13	1.9
including	172.9	173.2	0.3	33.0	0.01	33.0
including	175.9	176.6	0.7	3.7	1.49	6.1
SDDSC052	200.9	202.0	1.1	0.5	0.01	0.5
SDDSC052	209.4	221.0	11.6	6.4	0.67	7.5
including	210.2	213.6	3.4	21.2	2.27	24.8
SDDSC052	228.0	229.0	1.0	0.5	0.00	0.5

Table 3: All individual assays reported from SDDSC051 and SDDSC052 >0.1g/t AuEq.

Drill Hole	from	to	width	Au g/t	Sb %	AuEq g/t
SDDSC051	107.4	108.4	1.00	0.21	0.00	0.21
SDDSC051	109.4	110.65	1.25	0.19	0.00	0.19
SDDSC051	118	119	1.00	0.43	0.02	0.46
SDDSC051	173.15	173.55	0.40	0.12	0.01	0.13
SDDSC051	219.88	220.2	0.32	0.14	0.00	0.15
SDDSC051	220.2	221	0.80	0.13	0.00	0.13
SDDSC051	230.65	231.2	0.55	0.14	0.00	0.14
SDDSC052	81.9	82.2	0.30	0.40	0.00	0.40
SDDSC052	88.02	88.52	0.50	0.27	0.00	0.27
SDDSC052	88.52	88.8	0.28	20.20	0.02	20.23
SDDSC052	88.8	89.1	0.30	3.04	0.00	3.04
SDDSC052	89.1	89.85	0.75	2.96	0.01	2.97
SDDSC052	89.85	90.22	0.37	2.44	0.26	2.85
SDDSC052	91.3	92.2	0.90	0.48	0.00	0.48
SDDSC052	92.2	93.2	1.00	0.32	0.00	0.32
SDDSC052	93.2	94.15	0.95	0.09	0.01	0.10
SDDSC052	94.15	95.2	1.05	0.46	0.02	0.50
SDDSC052	95.2	95.7	0.50	0.03	0.05	0.11
SDDSC052	96.26	96.66	0.40	73.20	13.80	95.00
SDDSC052	96.66	97.75	1.09	0.68	0.03	0.73
SDDSC052	97.75	98.25	0.50	0.35	0.03	0.39
SDDSC052	98.25	98.66	0.41	0.57	0.50	1.36
SDDSC052	98.66	99.2	0.54	0.28	0.02	0.31
SDDSC052	99.2	99.6	0.40	0.11	0.01	0.12
SDDSC052	99.9	100.2	0.30	0.15	0.00	0.15
SDDSC052	100.2	101	0.80	0.19	0.00	0.19
SDDSC052	101.53	102.15	0.62	0.15	0.01	0.16
SDDSC052	119.56	120.34	0.78	0.26	0.00	0.26
SDDSC052	120.34	121.3	0.96	0.28	0.00	0.28
SDDSC052	145	146	1.00	0.58	0.00	0.58
SDDSC052	166	166.5	0.50	0.15	0.00	0.16
SDDSC052	166.5	167.2	0.70	2.48	0.68	3.55
SDDSC052	167.2	168	0.80	0.93	0.39	1.55
SDDSC052	168	168.5	0.50	1.13	0.32	1.64
SDDSC052	168.5	169	0.50	0.10	0.01	0.11
SDDSC052	169	170	1.00	0.12	0.00	0.13
SDDSC052	170	170.65	0.65	0.30	0.00	0.31
SDDSC052	170.65	171.35	0.70	0.29	0.00	0.30
SDDSC052	171.35	172.1	0.75	1.08	0.02	1.11
SDDSC052	172.1	172.85	0.75	1.99	0.01	2.01
SDDSC052	172.85	173.2	0.35	33.00	0.01	33.01
SDDSC052	173.2	174	0.80	1.54	0.01	1.55
SDDSC052	174	174.95	0.95	2.30	0.24	2.68
SDDSC052	174.95	175.9	0.95	3.25	0.15	3.49
SDDSC052	175.9	176.6	0.70	3.70	1.49	6.05
SDDSC052	176.6	177	0.40	0.54	0.01	0.55
SDDSC052	177	178	1.00	0.49	0.01	0.51
SDDSC052	178	179	1.00	1.28	0.01	1.30
SDDSC052	179	180	1.00	0.23	0.00	0.24
SDDSC052	180	181	1.00	0.17	0.01	0.18
SDDSC052	182	183	1.00	0.38	0.00	0.39
SDDSC052	183	183.9	0.90	2.61	0.01	2.62
SDDSC052	183.9	185	1.10	0.77	0.00	0.77
SDDSC052	185	186	1.00	0.31	0.00	0.31
SDDSC052	187	188	1.00	0.13	0.01	0.14
SDDSC052	189	189.55	0.55	0.18	0.01	0.19
SDDSC052	189.55	190.2	0.65	0.25	0.01	0.26
SDDSC052	190.2	190.85	0.65	0.07	0.02	0.10
SDDSC052	200.9	201.45	0.55	0.41	0.00	0.41
SDDSC052	201.45	202	0.55	0.58	0.01	0.60
SDDSC052	202	203	1.00	0.17	0.00	0.18
SDDSC052	208	208.9	0.90	0.09	0.02	0.12
SDDSC052	209.4	210.2	0.80	0.43	0.00	0.44
SDDSC052	210.2	211.05	0.85	5.53	0.04	5.60
SDDSC052	211.05	211.6	0.55	22.10	0.40	22.73
SDDSC052	211.6	212.3	0.70	1.42	0.31	1.91
SDDSC052	212.3	212.9	0.60	45.50	6.71	56.09
SDDSC052	212.9	213.6	0.70	38.55	4.62	45.85
SDDSC052	213.6	214	0.40	0.26	0.01	0.28
SDDSC052	214	215	1.00	0.64	0.00	0.64
SDDSC052	215	216	1.00	0.34	0.02	0.37
SDDSC052	216	217	1.00	0.46	0.00	0.47
SDDSC052	220	221	1.00	0.61	0.00	0.61
SDDSC052	221	222	1.00	0.12	0.00	0.12
SDDSC052	223	224	1.00	0.15	0.08	0.27
SDDSC052	227	228	1.00	0.10	0.00	0.10
SDDSC052	228	229	1.00	0.53	0.00	0.53
SDDSC052	233	233.45	0.45	0.18	0.00	0.18

SOURCE: Mawson Gold Limited

View source version on accesswire.com:
https://www.accesswire.com/736233/Mawsons-Subsidiary-SXG-Reports-More-High-Grade-Drilling-Including-34-meters-at-248-gt-AuEq-at-Sunday-Creek-Victoria-Australia

FAQ

What are the highlights of Mawson Gold's recent drilling report for MWSNF?

Mawson Gold's recent report highlights include significant intersections such as 10.7 m at 4.8 g/t AuEq with high-grade zones, indicating a strong potential for further exploration.

How much is Mawson Gold's stake in Southern Cross Gold worth as of January 2023?

Mawson Gold's 51% stake in Southern Cross Gold is valued at approximately A$68 million based on share prices as of January 20, 2022.

What drilling activities are currently ongoing at the Sunday Creek project?

Mawson Gold is conducting drilling activities at the Sunday Creek project with three rigs operational, focusing on the Golden Dyke, Rising Sun, and Apollo prospects.

What is the significance of the gold grades reported in MWSNF's press release?

The reported high-grade gold grades, including up to 95.0 g/t AuEq, indicate strong mineralization and potential economic viability for the Sunday Creek project.