Southern Empire to Start Core Drilling at the Eastgate Gold Project, Nevada

Southern Empire Resources Corp. (Southern Empire; TSX-V: SMP; Frankfurt: 5RE) has engaged Falcon Drilling, Inc., of Carson City, Nevada to complete a fully-permitted, 914 metre (3,000 foot) confirmation core drill program at its Eastgate Gold Project located in Churchill County, Nevada.

Eastgate Gold Project – Core Drill Program Highlights:

  • Permits in-place for core drilling, drill pad preparation and road work
  • Drill pad preparation and road work to start imminently
  • Approximately 914 metres (3,000 feet) of core drilling expected to start in mid-May
  • Core drill program is intended to confirm historical gold mineralization outlined by a fan of Reverse Circulation (RC) drill holes completed by Cabot Resources Corp. in 1990, including:


RC Hole   Intercept*   Intercept*
  (metres of grams gold/tonne) (feet of oz gold/ton)
RC90 CEG-1 3.05 m of 7.58 g Au/t 10.0 ft of 0.22 oz Au/ton
RC90 CEG-2 4.57 m of 10.30 g Au/t 15.0 ft of 0.30 oz Au/ton
RC90 CEG-3 3.05 m of 3.77 g Au/t 10.0 ft of 0.11 oz Au/ton
RC90 CEG-4 1.52 m of 1.71 g Au/t    5.0 ft of 0.05 oz Au/ton
RC90 CEG-5 3.05 m * of 8.57 g Au/t 10.0 ft of 0.25 oz Au/ton

*drill intercept length – true thickness unknown


  • Drill program is expected to be completed in approximately four weeks.
  • Southern Empire is well financed having recently completed an oversubscribed $3.27-million financing (see Southern Empire’s news release of March 18, 2020)



About the Eastgate Gold Project, Nevada

The Eastgate Gold Project is 85% owned by Southern Empire and comprises 101 unpatented lode mining claims covering roughly 817 hectares (2,020 acres) located approximately 81 kilometres (50 miles) southeast of the city of Fallon in Churchill County, Nevada.

Southern Empire’s goal is to define a high-grade gold/silver deposit at Eastgate hosted by multiple, steeply dipping, subparallel low-sulphidation, quartz-adularia epithermal vein systems occurring throughout the property. Small scale, narrow-vein production occurred, between 1908 to 1920 and 1935 to 1957, at the Double Eagle and Gold Ledge mines on the property. Eastgate is located roughly 24 km (15 miles) northeast of the Bell Mountain Gold Project currently undergoing final mine permitting by Eros Resources Corp., a company that owns approximately 22% of Southern Empire.

For the Eastgate Gold Project, Southern Empire has received a notice-level permit from the Bureau of Land Management (BLM; an agency within the U.S. Department of the Interior) for road construction, surface clearing, pad preparation and the completion of five core drill holes. This permit is valid for two years expiring in 2022, extendible to 2023 (see Southern Empire’s news release of March 26, 2020).

Qualified Person

The scientific and technical information contained in this news release has been prepared, reviewed and approved by David Tupper, P.Geo. (British Columbia), Southern Empire’s VP Exploration and a Qualified Person within the context of Canadian Securities Administrators’ National Instrument 43-101; Standards of Disclosure for Mineral Projects.

Work Programs During the COVID-19 Pandemic

Having recently completed an oversubscribed, non-brokered private placement financing for gross proceeds of $3.27-million (see Southern Empire’s news release dated March 18, 2020) Southern Empire is well funded to start proposed exploration programs at both its Eastgate and Oro Cruz gold projects. However, timing of Southern Empire’s exploration programs will be contingent on governmental regulations regarding the COVID-19 pandemic and the availability of exploration-related personnel, drill equipment, lodging, et cetera. Southern Empire will adhere to COVID-19 directives regarding safe working practices putting worker, community and national safety first. Although mining has been declared an essential business in Nevada, Southern Empire plans only to proceed with work if potential COVID-19 risks can be effectively managed.

About Southern Empire Resources Corp.

Southern Empire is focused on the acquisition, exploration and development of gold deposits in the American southwest. In addition to the Eastgate Gold Project in Nevada, Southern Empire holds an option to acquire a 75% interest in the Oro Cruz Gold Project in the Cargo Muchacho Mountains of Imperial County, southeast California, approximately 22.5 km (14 miles) southeast of the Mesquite gold mine of Equinox Gold Corp. The Oro Cruz Gold Project currently comprises a total of 271 unpatented lode mining claims (~2,160 hectares; 5,338 acres), 13 unpatented placer mining claims (~105 hectares; 260 acres) and two State of California mineral prospecting permits (~518 hectares; 1,280 acres).

Extensive historical drilling of the Oro Cruz Property has outlined exploration targets over an existing high-grade gold zone as well as nearby satellite deposits. Based on historical mining, Oro Cruz oxide gold mineralization is amenable to conventional heap leach extractive methods.

Episodic gold mining between 1877 and 1941 in the Cargo Muchacho gold district, which included in order of importance, the Oro Cruz (Tumco), American Girl, Cargo Muchacho and Padre y Madre mines, produced an estimated 145,000 troy ounces of gold. The most recent gold production from the Oro Cruz Property was during 1995 and 1996 when, over a one-year period, the American Girl Mining Joint Venture produced approximately 61,000 troy ounces from oxide material extracted by both open-pit and underground mining operations. Owned 53% by MK Gold Co., a subsidiary of Morrison Knudsen Corp., and 47% by Hecla Mining Co., the joint venture subsequently ceased operations in 1996 due to low gold prices.


On behalf of the Board of Directors,


Dale Wallster, CEO and Director

Southern Empire Resources Corp.


For further information please visit our website or contact:


Lubica Keighery , (778) 889-5476,


Cautionary Notice on Forward-Looking Information


Information set forth in this news release may contain forward-looking statements that are based on assumptions as of the date of this news release. All statements, other than statements of historical fact, that address activities, events or developments that Southern Empire expects or anticipates will or may occur in the future are forward-looking statements that reflect management’s current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. Southern Empire cautions that all forward-looking statements are inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond Southern Empire’s control.  Such factors include, among other things: risks and uncertainties relating to Southern Empire’s limited operating history and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, Southern Empire undertakes no obligation to publicly update or revise forward-looking information or statements .


Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.


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