Sego Exposes 30m of 1.02 g/t Gold in Trenches Within the 150 X 200m Southern Gold Zone at Miner Mountain Project, British Columbia

Vancouver, British Columbia--(Newsfile Corp. - July 7, 2020) - Sego Resources Inc. (TSXV: SGZ) ("Sego" or "the Company") is pleased to announce the delineation of a large zone of gold mineralization completed during a trenching program at the Miner Mountain Porphyry Copper-Gold project near Princeton, BC.

Sampling Highlights

• 62 meters (m) grading 0.65 grams per tonne (g/t) gold from 60.5m in trench MM20TR105. Including:

• 30 m grading 1.02 g/t gold from 84.5m, and

• 2 m grading 8.76 g/t gold from 112.5m

• 40 m grading 0.31 g/t gold from 31.6m in trench MM20TR109. The interval includes 8.7m of unsampled overburden that was assigned a grade of 0 g/t for compositing. The interval is open to the south.

CEO J. Paul Stevenson comments, "The Southern Gold Zone expansion is an exciting development at Miner Mountain where mechanical trenching has defined a 150 x 200m zone of mineralization that remains wide open to the northeast and southwest. The company is currently drilling copper-gold targets on the project and will complete additional trenching to define the full extent of the Southern Gold Zone prior to drilling."

Southern Gold Zone details

Southern Gold Zone is a significant geochemical anomaly identified in soil sampling and historical trench results that indicated potential for a broader zone of gold mineralization. The zone is almost entirely covered by a thin veneer of till cover and recent mechanical trenching was designed to cross the apparent northeast trend of the mineralization evident in sparce mapping and sampling. The results of five trenches are released below and additional results are pending.

Figure 1: Plan map of trenches completed in the Southern Gold Zone with significant gold grades posted in the intervals. (* refers to intervals that include unsampled overburden that was assigned a grade of 0 g/t for compositing - see Table 1).

To view an enhanced version of Figure 1, please visit:
https://orders.newsfilecorp.com/files/1056/59245_6aa5a7c76480caaa_002full.jpg

Trenches in 2020 have exposed a 150 by 200m zone of mineralization that contains multiple 10 to 125.5 metre long intervals of 0.19 to 1.02 g/t gold (Figure 1, Table 1). The zone is open to the northeast and southwest.

Gold mineralization is associated with a broad band of pervasive chlorite-calcite-sericite assemblages, lesser potassium feldspar, epidote and albite alteration with finely disseminated pyrite and traces of chalcopyrite with rare oxidized intervals. The mineralization is mainly hosted in fine-grained diorite and andesitic volcaniclastic rocks in fault contact with sediments to the south. This fault truncates mineralization to the southeast.

Table 1: Significant intervals from trenches at the Southern Gold Zone at the Miner Mountain project. Intervals covered by overburden (o/b) were not sampled and were assigned no grade for compositing.

Drilling Update

Drilling is underway at the Miner Mountain project with hole MM-42 completed at 663.55 m depth. Hole MM-42 was designed to test deep beneath the western end of the Cuba Zone and intersected broad alteration in the upper part of the hole before intersecting a post mineral fault that appears to offset the Cuba mineralization at depth.

The current hole MM-43 will test the relatively new Empress target located approximately 240 m north of the Cuba Zone trend. Logging, cutting and sampling for analysis are in progress.

Quality Assurance / Quality Control

Drill core and rock samples were shipped to MSALABS in Langley, BC for sample preparation and analysis. MSALABS is ISO/IEC 17025 and ISO 9001 certified. Samples were analyzed using an aqua regia digestion with an ICP finish.

Control samples comprising certified reference samples and blank samples were systematically inserted into the sample stream and analyzed as part of the Company's quality assurance / quality control protocol.

Qualified Person

This news release was reviewed and approved by Selina Tribe, Ph.D., P.Geo., a Qualified Person under NI 43-101.

About the Project

Sego is 100% owner of the Miner Mountain project, an alkalic copper-gold porphyry exploration project near Princeton, British Columbia. The property is 2,056 hectares in size and is located 15 kilometres north of the Copper Mountain Mine operated by Copper Mountain Mining Corporation and Mitsubishi Copper. Sego has a Memorandum of Understanding with the Upper Similkameen Indian Band on whose Traditional Territory the Miner Mountain project is situated. Sego has received an Award of Excellence for its reclamation work at Miner Mountain.

For further information please contact:

J. Paul Stevenson, CEO (604) 682-2933

For investor & shareholder information, please contact:

MarketSmart Communications Inc.
Ph: +1 +1 877 261-4466
Email: info@marketsmart.ca

Neither the 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. No regulatory authority has approved or disapproved the information contained in this news release.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statement of historical facts that address future production, reserve potential, exploration drilling, exploitation activities and events or developments that the Company expects re forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, statements are not guarantees of future performance and actual results or developments may differ materially from the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, continued availability of capital and financing, general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and those actual results or developments may differ materially from those projected in the forward-looking statements.

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