San Gold Corporation is a Canadian mining company focused on gold exploration and mining in the Rice Lake Greenstone Belt in SE Manitoba, Canada. The Company’s Rice Lake Gold Project includes two mines: the deep underground, high-grade Rice Lake mine and the nearby near-surface, ramp accessed Hinge deposit. Both mines feed the 1250 ton per day Rice Lake mill which will be expanded to 1900 tons per day by the end of 2011. Both mines are in development and are anticipated to be producing a total of approximately 800 tons per day during 2009.

In 2006, the Cartwright gold deposit was discovered 800 metres west of the Rice Lake mine and in early 2008 the high grade Hinge gold zone was discovered one kilometre east of the Rice Lake mine. The Hinge Zone is currently undergoing development production while intense surface and underground exploration is rapidly developing new high grade gold zones.

San Gold also owns or controls nearly 15,000 hectares of exploration lands along the Rice Lake Greenstone Belt of SE Manitoba. The Company has increased its ore resources and reserves from 550,000 gold ounces (audited, all categories) when it acquired the Rice Lake Project in 2004 to over 1,600,000 gold ounces (audited, all categories) by the end of 2006. A new 43-101 resource report is in preparation to incorporate the substantial discoveries made in 2007 and 2008.

Operations

The Rice Lake Gold Project includes two underground gold mines, a mill complex, treatment plant and crushing/grinding facilities. The Rice Lake Mine is projected to produce at an average rate of 400 tons per day by mid-2007 and the SG-1 Mine is projected to produce at an average of 400 tons per day in 2007 as well. The Cartwright Mine is projected to produce at 400 tons per day by the end of 2008. With the three mines producing at these capacities, the current mill configuration would be maximized at 1200 tons per day. The mill has a backend capacity of 1800 tonnes per day and would require an increase in the front-end (crushing/grinding) to reach that capacity.

Exploration

Regional Geology
The Rice Lake Greenstone Belt is located at the west end of the Uchi Volcanic-Plutonic Sub-province of the Superior Province of the Canadian Shield; a typical Archean volcanic-sedimentary greenstone belt. Canadian examples of major Archean age vein-type gold deposits are Red Lake, Kirkland Lake and Timmins.

Rice Lake Greenstone Belt
There are a number of major regional fault structures in the Rice Lake area. The major structures that trend in a generally east-west direction are the most prominent and movement along these structures have developed conjugate shear zones that splay off to the north and south. The major shear zone is the Normandy Creek Shear that radiates off the Wanipigow Fault.

All of the major gold occurrences in the Rice Lake area occur as quartz veins or quartz vein systems related to structural deformation (folding or faulting) of the host rocks.

Rice Lake Mine
The gold mineralization at the Rice Lake Mine is confined to the San Antonio Mine Unit ("SAM unit"), a layered, silt-like gabbroic unit that intrudes the Bidou Lake Subgroup.

San Gold Minerals Areas
The SG-1 (and SG-2 and 3) gold mineralized zones are situated on the volcanic stratigraphy of the Bidou Subgroup, beneath the SAM unit. The gold in the San Gold Minerals area is confined to the sericite schist and quartz-carbonate unit, which is historically called the Normandy Creek Shear.

The Cartwright Zone
The Cartwright mineralized zone is within the SAM unit and gives indications that the SAM unit may be a thick mafic volcanic flow rather than a sill. The bulk of the gold- bearing quartz veins in the Cartwright Zone and the Rice Lake Mine occur either as 16-Type shear zone veins or 38-Type tensional fracture stockwork veins or as a complex combination of the two vein types where they intersect.

Management & Board of Directors

Hugh Wynne - Director and Executive Chairman
Dale Ginn, B.Sc., P.Geol. - Director and CEO
Richard Boulay, B.Sc. - Director
Courtney Shearer, B.Sc., MBA - Director
Michael E. Power - Director
Ben Hubert, B.Sc., M.Sc., MBA - Director
James W. McCutcheon, QC, Director
Gestur Kristjansson, BA, MBA, CA - Chief Financial Officer
Ian Berzins - Chief Operating Officer, B.Sc., P.Eng.

Contact

Box 1000, Bissett MB R0E 0J0