TSX.V:

Savary Gold Drilling Returns 1.95 G/T Gold Over 14 Metres And 19.91 G/T Gold Over 2 Metres Both Approximately 60 Metres From Surface

Toronto, Canada – April 10, 2017 – Savary Gold Corp. (TSX-V: SCA) (“Savary” or the “Company”) is pleased to announce the second set of drill results from a 9,500 metre, 92-hole drill program that commenced at the end of January on the Karankasso JV Project in south western Burkina Faso. This news release presents results for 41 holes totalling 4,489 metres that were completed from February 13 to March 16, 2017.  Results for another 26 holes for the Kueredougou West and S-Nosa Zone areas are pending. The phase 3 drill program of approximately 80 holes totalling up to 8,000 metres will commence in early May.

A summary of select results, in the order they were drilled, are presented below (see Figure 1 for locations).

Serakoro 1 Main area

  • HE-RC-17-030 - 2.04 g/t gold over 5 metres

Karangosso Zone area

  • HE-RC-17-044 - 3.62 g/t gold over 3 metres
  • HE-RC-17-046 - 1.66 g/t gold over 9 metres
  • HE-RC-17-049 - 6.30 g/t gold over 2 metres
  • HE-RC-17-049 - 0.96 g/t gold over 5 metres

Diosso South Zone area

  • HE-RC-17-051 - 1.17 g/t gold over 8 metres
  • HE-RC-17-051 - 3.12 g/t gold over 5 metres
  • HE-RC-17-052 - 1.63 g/t gold over 4 metres
  • HE-RC-17-053 - 3.38 g/t gold over 5 metres
  • HE-RC-17-056 - 1.25 g/t gold over 5 metres
  • HE-RC-17-057 - 19.91 g/t gold over 2 metres
  • HE-RC-17-059 - 5.26 g/t gold over 1 metre
  • HE-RC-17-060 - 1.92 g/t gold over 18 metres
  • HE-RC-17-062 - 1.36 g/t gold over 5 metres
    • HE-RC-17-062 - 2.33 g/t gold over 6 metres
  • HE-RC-17-064 – 1.72 g/t gold over 17 metres

West Trend Zone area

  • HE-RC-17-066 – 6.28 g/t gold over 2 metres
  • HE-RC-17-067 – 1.34 g/t gold over 12 metres
  • HE-RC-17-070 – 2.74 g/t gold over 4 metres (new zone)
  • HE-RC-17-071 – 1.57 g/t gold over 5 metres
    • HE-RC-17-071 – 1.54 g/t gold over 8 metres (new zone)
    • HE-RC-17-072 – 3.91 g/t gold over 3 metres (new zone)

“This part of our phase two drill program focussed on expanding the resource* footprint of the Diosso South, Karangosso and West Trend Deposit areas.  Significant progress was made at the DIosso South Zone along with intriguing new mineralization intersected along the north strike extension of the West Trend Zone” stated Don Dudek, President and CEO of Savary. Mr. Dudek further noted “Results are pending for recent holes completed along the Kueredougou West Zone and to follow-up on a 2016 drill discovery at the S-Nosa Zone. Planning has commenced for the phase three drill program which will include more follow-up holes at the Diosso South, West Trend, Kueredougou, Serakoro Main and Serakoro West zones and the first pass testing of the >100 ppb, gold-in-auger anomalies. Drilling is set to resume on or about May 1 after a one month hiatus.”

 Karankasso jvS

Figure 1 - Karankasso JV Project – Locations of Select, New 2017 Drill Intercepts.

This portion of the drill program materially extended the gold mineralization along strike and to depth of the project’s current pit constrained mineral resources* and extended a new, 2017 discovery, along strike. 

Phase 2 of the program is complete with 92 holes totalling 9,496 metres, drilled. A summary of significant results predominantly using 0.5 g/t gold cut-off, are presented in Table 1 at the end of the release.

Diosso South Area

The recent series of holes were successful in intersecting significant amounts of gold mineralization between the current pit constrained mineral resource pits and along strike, both to the north and south of the previously identified mineral resource estimate. This mineralized trend is still open along strike to the north, south and to depth. Follow-up holes have been planned for the phase 3 drill program.

A total of 15 holes totalling 1,497 metres were drilled in the Diosso South Zone area (see Figure 2 for detailed locations). The goal of this drilling was to support extensions to the current inferred pit constrained mineral resource estimate* of 820,000 tonnes grading 2.93 g/t gold. The Diosso South Zone lies predominantly within an up to 70- to 80-metre-wide sericite-quartz-pyrite altered shear zone that is hosted by intermediate volcanic rocks. Better gold bearing intervals occur near the contacts of the shear zone and sometimes within it and these higher-grade zones appear to plunge shallowly to the north. Drilling has traced, up to six lenses of gold mineralization, for approximately 1,900 metres along strike from an initial inferred mineral resource pit strike length of approximately 860 metres.

Highlights include the following (see Figure 2 for hole locations):

  • 1.72 g/t gold over 17 metres including 2.71 g/t gold over 8 metres in hole RC-17-064, centred 58 metres below surface, immediately south of the current Inferred Mineral Resource pit limits

  • 3.14 g/t gold over 9 metres between the two Diosso South Inferred Mineral Resource* pits, centred at 12 metres below the surface in hole RC-17-060

  • 19.91 g/t gold over 2 metres immediately north of the Diosso South pit constrained Inferred Mineral Resource* pit in hole RC-17-57 at approximately 61 metres below the surface

  • 3.12 g/t gold over 5 metres (63 metres from surface) and 3.38 g/t gold over 5 metres (80 metres from surface), located approximately 400 and 500 metres north of the Diosso South Inferred Mineral Resource* pit

 diossoS

Figure 2 - Diosso South and West Trend Areas, New 2017 and Select Results

Karangosso

A total of 11 holes totalling 1,094 metres have been drilled predominantly to the north and south of the current Inferred Mineral Resource* pit limits (see Figure 3 for locations). Six of the holes were drilled to the north of the resource area. For the most part, these holes returned gold bearing intervals where expected with better intercepts of:

-        3.62 g/t gold over 3 metres at 69 metres below the surface, and below the current Inferred Mineral Resource* pit

-        6.30 g/t gold over 2 metres at 45 metres below the surface and 180 metres north of the current Inferred Mineral Resource* pit

-        1.66 g/t gold over 9 metres at 69 metres below the surface and 300 metres north of the current Inferred Mineral Resource* pit

Five holes were drilled to trace the mineralization both up dip of previous intercepts of 3.45 g/t gold over 5.5 metres and 6.73 g/t gold over 7 metres and along strike. Two of the holes were not completed due to drilling complications and the other three holes, did not intersect any significant mineralization. The higher-grade intercepts noted above, lie approximately 144 metres below the surface; no significant mineralization was returned from hole RC-17-041 that intersected the mineralized lens at 75 metres below the surface. A significant, deeper, higher grade target exists in this area, but, testing it is beyond the scope of the current program.

 karangosso zoneS

Figure 3 - Karangosso Zone Area New 2017 and Select Results

West Trend Area

A total of 9 holes comprising 1,137 metres were drilled in the West Trend Zone area (see Figure 2 for hole locations). Four of the holes tested the limits of the current Inferred Mineral Resource and five holes tested the inferred, West Trend northern strike extent. Two of the four holes at the West Trend Zone intersected significant amounts of gold mineralization including 1.34 g/t gold over 12 metres at approximately 95 metres depth, near the base of the Inferred Mineral Resource* pit and 3.25 g/t gold over 4 metres at 59 metres depth, both below the Inferred Mineral Resource* pit.

The remaining five holes were drilled a minimum of 1,200 metres north of the West Trend Zone where a previous hole returned a near surface intercept of 2.09 g/t gold over 6 metres. Four of the five holes tested both the down-dip and strike extension of this new occurrence. These few holes have resulted in the delineation of a 300-metre-long zone to 100 metres depth with three mineralized lenses interpreted across a 100-metre-wide area. New intercepts from a newly recognized gold mineralized lens WTN2 comprise 2.74 g/t gold over 4 metres in hole RC-17-70, 1.54 g/t gold over 8 metres in hole RC-17-71 and 3.91 g/t Au over 3 metres in hole RC-17-72. Lens WTN2 has now been intersected in six holes. Lens WTN1 was discovered during November, 2016 with a near surface intercept of 2.09 g/t gold over 6 metres. Hole RC-17-71 intersected the same zone with an intercept of 1.57 g/t gold over 5 metres at 37 metres vertical. Narrow intercepts of gold mineralization in hole RC-17-70 of 0.96 g/t gold over 1 metre and 1.37 g/t gold over 1 metre may be the strike continuation of lens WTN1, 100 metres to the south and north, respectively.

A final hole, RC-17-073, is a 400-metre step-out along the mineralized trend to the north. This hole intersected a 57-metre-wide, strongly sericite-quartz-pyrite altered intermediate volcanic with the hole ending in alteration. This mineralization style is very similar to that associated with the Diosso South Zone. Several narrow zones of gold mineralization were intersected with the best returning 1 g/t gold over 2 metres.

Serakoro 1 Main Area

Results for four additional holes were received for the Serakoro 1 Main area including a new intercept of 2.05 g/t Au over 5 metres (see Figure 4). This intercept lies along the eastern edge of the Serakoro 1 Main area artisanal workings and appears to correlate with a 2017 intercept of 5.17 g/t gold over 2 metres, located 800 metres to the south and with several other 2017 drill intercepts along an approximate, 3,500 metre trend. Additional drilling should be carried out over this area to determine if the higher-grade portions of this mineralized structure have continuity.

SerakoroS

Figure 4 - Serakoro 1 Main Area, 2017 Drill Hole Plan and Summary Results

Phase 3 Drill Targeting

The Phase 3 drill program, of approximately 80 holes totalling up to 8,000 metres, is being designed to both follow-up on extensions to zones with current pit constrained Mineral Resources*, follow-up new gold zones/drill intercepts and to test approximately 70 gold-in-auger anomalies containing >100 ppb gold.  The gold-in-auger anomaly targets comprise seven mineralized trends ranging from 1,000 to 3,800 metres long and one distinct Kueredougou West Trend area target. Final hole selection is pending assays for the remaining drill holes of the Phase 2 drill program and a review by the Karankasso JV Board.

QA/QC Comments

Savary’s procedure for handling reverse circulation drill chips comprises initial riffle splitting of the rock chips from one metre drill length samples into approximately 2.5 kilogram samples, as well as description and logging into a database. A duplicate 2.5-kilogram sample, prepared at the same time as the assay sample, is kept as a reference for each sample.  NQ-size core assay samples are first logged into a database and then are sawn in half with half of the core submitted for analysis; the length of the core samples depends on logged geological controls with samples varying from 0.3 metres to 2.0 metres in length.  A sample duplicate and assay blank was inserted sequentially every 5 to 14 samples and an assay standard was inserted every 29 to 34 samples. This results in 8% of the assayed samples being reference/blank/control samples. Blanks and duplicates were preferentially inserted in visually mineralized zones to better test the assay results. This sampling procedure was periodically reviewed by Savary’s President and CEO, and the Company QP, Don Dudek, P. Geo. All assay samples were collected at site by staff from SGS Burkina Faso SA (‘SGS’) from Ouagadougou, Burkina Faso where sample preparation and analysis were performed. Each sample was dried, crushed to 75% passing 2 mm and then split to 1.5 kg by rotary splitter. This split was pulverized to 85% passing 75 mm. Fifty grams of the pulverized material was analysed for gold via fire assay with an atomic absorption spectroscopy (AAS) finish. SGS operates according to ISO 17025 standards and institutes a full Quality Assurance/Quality Control (QA/QC) program consisting of insertion of internal blanks, standard reference material, repeats and reject splits which in total account for up to 25% of all determinations conducted. All standards and blank control samples returned results within expected ranges.

About Savary Gold Corp.

Savary is a Canadian exploration company which, along with JV partner Sarama Resources Limited, is focused on exploring and developing the Karankasso Gold Project in Burkina Faso. Upon closing, it is anticipated that the Karankasso JV Project will be approximately 69.5% owned by Savary and 30.5% owned by Sarama Resources Limited (“Sarama”) with Savary as operator. The Project is located within the Birimian age, Houndé Greenstone Belt, which hosts Semafo’s Mana mine, Roxgold’s Yaramoko Mine and additional gold deposits that are presently subject to production decisions and extensive exploration efforts (including Endeavour Mining’s Houndé Project, Orezone’s (acquired by Sarama) Bondi Project and Sarama’s/Acacia’s South Houndé Project, which is adjacent to Savary’s property). The Project contains an Inferred open pit constrained mineral resource estimate of 9.16 million tonnes grading 2.28 g/t gold (Savary news release November 24, 2015). For additional information please visit our website at www.savarygold.com.

* Open pit constrained Mineral resource estimate presented in Savary news release dated October 8, 2015

Don Dudek, P.Geo., President and CEO of the Company and a qualified person under National Instrument 43-101, has reviewed and approved the scientific and technical information in this press release. 

SAVARY GOLD CORP.
On behalf of the Board
“Don Dudek”
President & Chief Executive Officer

For more information, please contact:
Don Dudek, President and CEO
T: 647-259-2097
E: info@savarygold.com; www.savarygold.com

Cautionary Notes

Neither 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 release.

This news release may contain forward-looking statements.  These statements include statements regarding the details of the potential value growth of the JV, the upside of the property, the drill program, the company’s exploration plans and the timing of results, the focus on existing drill targets and new targets. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could differ materially because of factors discussed in the management discussion and analysis section of our interim and most recent annual financial statement or other reports and filings with the TSX Venture Exchange and applicable Canadian securities regulations.  We do not assume any obligation to update any forward-looking statements, except as required by applicable laws.

Table 1 – Summary of Significant Intercepts

Hole # From To Length Au g/t Target Area
HE-RC-17-030 19 24 5 2.04 Serakoro Main
incl. 23 24 1 6.01 Serakoro Main
HE-RC-17-030 61 64 3 0.91 Serakoro Main
incl. 63 64 1 1.84 Serakoro Main
HE-RC-17-031 10 11 1 0.98 Serakoro Main
HE-RC-17-032       NSV Serakoro Main
HE-RC-17-034 14 15 1 0.66 Serakoro West
HE-RC-17-034 92 93 1 1.93 Serakoro West
HE-RC-17-035       NSV  
HE-RC-17-036 90 91 1 0.88 NWQV
HE-RC-17-037 27 33 6 0.80 Serakoro NW
incl. 32 33 1 1.39 Serakoro NW
HE-RC-17-037 37 38 1 0.64 Serakoro NW
HE-RC-17-037 80 84 4 1.27 Serakoro NW
HE-RC-17-038 41 42 1 0.60 Serakoro NW
HE-RC-17-038 83 84 1 0.69 Serakoro NW
HE-RC-17-039       NSV Karangosso
HE-RC-17-040 8 9 1 0.53 Karangosso
HE-RC-17-041 Hole not completed - lost NSV Karangosso
HE-RC-17-042 Hole not completed - lost NSV Karangosso
HE-RC-17-043       NSV Karangosso
HE-RC-17-044 38 41 3 0.61 Karangosso
Incl. 38 39 1 1.3 Karangosso
HE-RC-17-044 84 87 3 3.62 Karangosso
HE-RC-17-045 25 26 1 0.73 Karangosso
HE-RC-17-045 55 56 1 0.66 Karangosso
HE-RC-17-046 81 90 9 1.66 Karangosso
Incl. 88 90 2 5.44 Karangosso
HE-RC-17-047 90 92 2 0.81 Karangosso
HE-RC-17-048 22 23 1 1.76 Karangosso
HE-RC-17-048 36 39 3 1.39 Karangosso
HE-RC-17-048 76 77 1 4.01 Karangosso
HE-RC-17-049 57 59 2 6.30 Karangosso
HE-RC-17-049 69 74 5 0.96 Karangosso
HE-RC-17-049 95 97 2 0.76 Karangosso
HE-RC-17-049 105 106 1 1.54 Karangosso
HE-RC-17-050 78 84 6 0.73 Diosso South
Incl. 78 79 1 3.20 Diosso South
HE-RC-17-050 100 108 8 0.61 Diosso South
HE-RC-17-051 14 17 3 1.12 Diosso South
HE-RC-17-051 38 46 8 1.17 Diosso South
Incl. 38 40 2 3.10 Diosso South
HE-RC-17-051 81 86 5 3.12 Diosso South
Incl. 82 84 2 6.72 Diosso South
HE-RC-17-051 118 119 1 0.51 Diosso South
HE-RC-17-052 71 75 4 1.63 Diosso South
HE-RC-17-053 1 2 1 0.30 Diosso South
HE-RC-17-053 18 20 2 0.83 Diosso South
HE-RC-17-053 52 53 1 1.14 Diosso South
HE-RC-17-053 57 58 1 0.79 Diosso South
HE-RC-17-053 100 105 5 3.38 Diosso South
Incl. 101 102 1 14.25 Diosso South
HE-RC-17-054 22 27 5 0.69 Diosso South
HE-RC-17-055 5 6 1 1.41 Diosso South
HE-RC-17-055 48 50 2 1.00 Diosso South
HE-RC-17-055 52 53 1 3.49 Diosso South
HE-RC-17-055 55 56 1 0.50 Diosso South
HE-RC-17-056 27 32 5 1.25 Diosso South
HE-RC-17-056 47 51 4 0.71 Diosso South
HE-RC-17-056 69 70 1 1.31 Diosso South
HE-RC-17-057 46 47 1 0.57 Diosso South
HE-RC-17-057 74 76 2 19.91 Diosso South
HE-RC-17-057 86 90 4 0.67 Diosso South
HE-RC-17-057 94 95 1 0.70 Diosso South
HE-RC-17-058 21 22 1 0.93 Diosso South
HE-RC-17-058 38 39 1 0.62 Diosso South
HE-RC-17-058 45 47 2 0.59 Diosso South
HE-RC-17-059 28 29 1 5.26 Diosso South
HE-RC-17-059 45 47 2 1.79 Diosso South
HE-RC-17-059 66 67 1 1.45 Diosso South
HE-RC-17-060 10 28 18 1.92 Diosso South
Incl. 12 21 9 3.14 Diosso South
Incl. 18 21 3 6.86 Diosso South
HE-RC-17-060 26 28 2 1.84 Diosso South
HE-RC-17-061 15 16 1 0.59 Diosso South
HE-RC-17-061 24 25 1 2.26 Diosso South
HE-RC-17-061 56 59 3 1.20 Diosso South
HE-RC-17-062 64 66 2 1.00 Diosso South
HE-RC-17-062 91 115 24 0.78 Diosso South
Incl. 100 105 5 1.36 Diosso South
HE-RC-17-062 122 128 6 2.33 Diosso South
HE-RC-17-062 134 143 9 1.32 Diosso South
Incl. 137 140 3 2.16 Diosso South
HE-RC-17-063 7 8 1 2.45 Diosso South
HE-RC-17-063 35 36 1 1.08 Diosso South
HE-RC-17-063 62 64 2 0.89 Diosso South
HE-RC-17-063 69 71 2 0.60 Diosso South
HE-RC-17-063 86 88 2 0.59 Diosso South
HE-RC-17-064 22 23 1 2.40 Diosso South
HE-RC-17-064 85 102 17 1.72 Diosso South
Incl. 85 99 14 1.94 Diosso South
Incl. 86 87 1 11.10 Diosso South
Incl. 92 93 1 6.37 Diosso South
HE-RC-17-066 31 34 1 0.53 West Trend
HE-RC-17-066 80 84 4 3.25 West Trend
Incl. 80 82 2 6.28 West Trend
HE-RC-17-067 85 87 2 0.60 West Trend
HE-RC-17-067 109 113 4 0.72 West Trend
HE-RC-17-067 115 128 13 1.26 West Trend
Incl. 121 125 4 2.54 West Trend
HE-RC-17-067 131 136 5 0.66 West Trend
HE-RC-17-069 86 88 2 0.87 West Trend
HE-RC-17-070 37 38 1 0.96 West Trend
HE-RC-17-070 99 103 4 2.74 West Trend
HE-RC-17-071 44 49 5 1.57 West Trend
Incl. 44 45 1 3.53 West Trend
HE-RC-17-071 119 127 8 1.54 West Trend
Incl. 124 126 2 3.58 West Trend
HE-RC-17-071 139 140 1 1.75 West Trend
HE-RC-17-072 42 43 1 1.04 West Trend
HE-RC-17-072 47 48 1 1.37 West Trend
HE-RC-17-072 108 111 3 3.91 West Trend
HE-RC-17-072 119 121 2 2.03 West Trend
HE-RC-17-073 93 95 2 0.77 West Trend
HE-RC-17-073 98 99 1 0.4 West Trend
HE-RC-17-073 140 141 1 0.61 West Trend
HE-RC-17-073 146 148 2 1.00 West Trend

 * true widths are estimated at 65% to 80% of drilled widths