Ann: Share Purchase Plan Closes, Oversubscribed, page-11

Hi Brynndustries

Slowly, slowly.... that is a long term target price. What needs to happen first .....is they find high grade near surface at one of the target sites. If they can hit good grades this year I think 5+ cents is very possible by Christmas.

Have a look at this announcement from November 2013

http://www.sovereigngold.com.au/sit...iple high-grade structures at Mount Adrah.pdf

Speculative at this stage and not nearly enough money in the tin to test it all.

The geologic model they are working to is IRGS [intrusion related gold systems] i.e. basically a high tonnage low grade pluton which is surrounded on all sides by high grade reefs [formed by hydrothermal activity]. Hobbs pipe 1 is the pluton and they have confirmed high grade at depth .... if it carries to the surface this is a goer. The model predicts multiple pipes. So far they have merely tickled Hobbs Southeast and it is an unknown at this stage.

Another ann to look at closely is:-

http://www.sovereigngold.com.au/sit... Adrah Gold identifies additional targets.pdf

If you look at page 3 there is a copy of the mine data sheet [dated 1974] for the Southern Cross mine which was last worked by hand in 1913 ..... it is basically a single shaft 200m long at 31m depth. That produced 690ozs which doesn't sound much but if you look at the grades it shows a range of 300g/t down to 30g/t. SOC has done a bit of preliminary sampling and intends to go back for a better look.

The other thing to be aware of is the SUGEC JV. Nothing really spectacular but still shaping up to be economic. The MOU is for SUGEC to commit another $15M for exploration [so far they have tipped in $6.5M] SOC will retain 55%. There is probably around 5 cents/share worth of value long term.

http://www.sovereigngold.com.au/sit...Completed drill holes continue to impress.pdf