INTERCEPTS ADDITIONAL HIGH-GRADE GOLD MINERALIZATION AT SONA HILL AND ANNOUNCES NEW DISCOVERY OF MINERALIZATION AT WYNAMU HILL

 

Sandspring Resources Ltd. (SSP.V) has completed the 2016 exploration program at its measured and indicated 6.9-million-ounce-resource Toroparu gold deposit (1) in Guyana, South America.

Sona Hill

The 2016 program for drilling at the Sona Hill satellite deposit consisted of 8,084 metres of infill and stepout drilling. The results of the first 20 infill holes (2,776 m) were reported in a Nov. 3, 2016, press release. Highlights from results of the remaining 4,568 m infill and 740 m stepout drilling program at Sona Hill include 7.89 grams per tonne Au over 13.5 m in Sona Hill drill hole (SOD) 081 (infill), 39.56 g/t Au over 10.5 m in SOD090 (infill), 3.58 g/t Au over 14.6 m in SOD097 (infill), 1.94 g/t Au over 28.5 m in SOD100 (infill), 2.49 g/t Au over 15.7 m in SOD107 (stepout) and 4.91 g/t Au over 3.0 m in SOD109 (stepout).

Wynamu Hill

The 2016 program for Wynamu Hill consisted of 1,127 m of drilling. Highlights from the discovery of gold mineralization in saprolite and fresh rock include 1.18 g/t Au over 19.5 m in Wynamu drill hole (WYD) 003 and 7.51 g/t Au over 21.5 m in WYD013.

2016 program

The 2016 program also included completion of geochemical and geophysical surveys west of Sona Hill and infill geochemical sampling at the Otomung concession, which is located 25 kilometres to the northwest of Toroparu.

Rich Munson, chief executive officer, states: "We are very pleased to have completed the 2016 program on schedule and within budget, and to be able to report both continuing positive results at Sona Hill and the presence of an additional potential satellite deposit at Wynamu Hill. We are further encouraged that these near-surface systems contain areas of higher-grade mineralization and remain open at depth and on strike, providing the potential for gold-only satellite deposits in proximity to existing reserves that could have a meaningful impact on the development of Toroparu. Exploration success to the southeast of Toroparu at Sona Hill, to the northwest at Wynamu Hill and encouraging results from geochemical surveys at Otomung further supports our geologic model for the area, and we expect the detailed evaluation of the results will support further exploration efforts in these areas as well as the other high-priority gold features within the 20 km by seven km regional hydrothermal alteration halo surrounding Toroparu."

2016 program -- Sona Hill resource drilling

The company has received all assay results from the 68 core holes (8,084 m) drilled within the Sona Hill prospect during the 2016 program, which included 64 infill and four stepout boreholes. Results from the first 20 infill boreholes (SOD042-SOD061, 2,776 m) were announced in the Nov. 3, 2016, press release. Highlights of the remaining infill boreholes (SOD062 through SOD105) and the stepout boreholes (SOD106 through SOD109) are presented in the attached list.

HIGHLIGHTS FROM THE SONA HILL DRILL PROGRAM -- BOREHOLE SOD-062 TO SOD-109
                                                                         
                          Interval (m)                Weighted
                                                       average
Hole ID                 From       To      Length*  gold grade
                                                          (g/t)

SOD062                  74.0     79.0         5.0         3.56
incl.                   74.0     75.5         1.5         5.96
incl.                   78.0     79.0         1.0         7.89
SOD064                  69.5     73.4         3.9         6.40
incl.                   70.6     71.8         1.2         7.54
incl.                   71.8     73.4         1.5         7.50
SOD066                  48.5     59.0        10.5         2.87
incl.                   50.1     51.7         1.6        13.20
SOD081                  13.5     27.0        13.5         7.89
incl.                   13.5     16.7         3.2        31.14
SOD082                  60.5     65.0         4.5         4.23
SOD090                  63.0     73.5        10.5        39.56
incl.                   63.0     65.2         2.2        16.73
incl.                   69.0     72.0         3.0       123.00
SOD091                   0.0     11.0        11.0         4.61
incl.                    6.5      8.0         1.5         9.53
incl.                    9.5     11.0         1.5        15.60
SOD095                  22.6     28.1         5.5         3.55
incl.                   27.0     28.1         1.1        12.30
SOD095                  86.0     90.0         4.0         5.66
incl.                   89.0     90.0         1.0        14.80
SOD096                  88.4     99.1        10.7         3.57
incl.                   88.4     89.9         1.5        14.60
incl.                   91.1     92.2         1.1         8.55
SOD097                  73.3     87.9        14.6         3.58
incl.                   73.3     74.7         1.4        16.80
incl.                   77.0     78.1         1.1         7.81
incl.                   78.1     79.1         1.0        10.80


Qualified persons review

The technical information in this document has been reviewed and approved by Lucas W. Claessens, PGeo, and Pascal van Osta, PGeo, both senior exploration consultants for Sandspring Resources, who have experience with the style of mineralization under consideration and are qualified persons under National Instrument 43-101.

About Sandspring Resources Ltd.

Sandspring Resources is a Canadian junior mining company currently moving toward a definitive feasibility study for the multimillion-ounce Toroparu project in Guyana, South America. A prefeasibility study completed in May, 2013 (National Instrument 43-101 technical report, prefeasibility study, Toroparu gold project, Upper Puruni River area, Guyana, dated May 24, 2013, completed by SRK Consulting (U.S.), Inc., available on SEDAR) outlined the design of an open-pit mine producing more than 200,000 ounces of gold annually over an initial 16-year mine life. Sandspring and Silver Wheaton have entered into a gold and silver purchase agreement for the Toroparu project.