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Southern Gold extends mineralization below Cannon gold project

Southern GoldLtd. said July 22 that drilling at the Cannon gold mine in Western Australia's Kalgoorlie hasextended previously identified mineralization.

The 10-hole, 1,823.2-meter drill program completed in Junehas intersected up to 5.22 meters at 3.44 g/t of gold, including 0.42 meter at37.7 g/t of gold, and 2.5 meters at 8.93 g/t of gold, including 0.27 meter at 76.4g/t of gold.

Drilling also intersected a structural position of highgrade mineralization indicating that the deposit remains open at length.

The company is developing a revised mineralization orstructural model.