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San Gold Postpones AGM to August 19

WINNIPEG, MANITOBA -- (Marketwired) -- 05/16/14 -- San Gold Corporation (TSX:SGR)(OTCQX:SGRCF) announced today that, in conjunction with the Company's continuing operational and strategic review process, the Toronto Stock Exchange has granted the Company's request to postpone this year's annual general meeting until August 19.

The Company is currently reviewing every aspect of its operation, including mining methods, grade control initiatives, mill recovery and supply chain management. Details of this review were provided as part of the Company's quarterly financial statements, released May 12, and during its subsequent analyst conference call on May 13.

As part of this review, the Company is also considering strategic alternatives that could result in the necessity for a shareholder vote before they could be implemented. The TSX has therefore granted the extension to avoid the potential duplication of costs associated with having two meetings within a short timeframe.

"We are making changes and want to provide our shareholders with a comprehensive solution to our challenges and a solid plan for profitability. We are very pleased with our progress to date and we are also concurrently reviewing other strategic options that may have the potential to amplify the positive results of these changes," says Greg Gibson, Chair of the Board's technical committee.

A Notice of Meeting, Information Circular and form of Proxy for the AGM will be provided in advance of the annual general meeting, to be held August 19, 2014, at 10 am at the Victoria Inn Hotel & Convention Centre in Winnipeg.

About San Gold

San Gold is an established Canadian gold producer, explorer, and developer that owns and operates the Rice Lake Mining Complex near Bissett, Manitoba. San Gold is on the Toronto Stock Exchange under the symbol "SGR" and on the OTCQX under the symbol "SGRCF".

For further information on San Gold, please visit www.sangold.ca.

Cautionary Note

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

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