Sur American Gold Corporation: Exploration Update-Major New Developments at Comval Gold and Copper-Gold Projects.

Business Editors

VANCOUVER, British Columbia--(BUSINESS WIRE)--Feb. 3, 2004

Sur American Gold Corporation (SUR-V) is very pleased to provide an update of progress at its Comval Gold, Comval Copper-Gold and T'Boli Gold Projects in the Philippines.

Major developments include:

-- Further excellent potentially bulk mineable grades from

Batoto.

-- Discovery of two further veins at the Tarale area of Batoto

which substantially increases the potential size of Batoto

stockwork system.

-- Gold-rich massive sulphide skarn deposit increases in

thickness to 85 metres.

-- Copper-gold massive sulphide zone at Tagpura doubles in

thickness to 25 metres.

-- Extensive geophysical survey to start shortly.

Following the recent creation of additional exploration teams in the Comval copper-gold belt and at the T'Boli gold project the Company is of the opinion that its shareholders and potential investors would now be best served by a regular update of progress at each of the three areas. By this means the progression of work programs at the three areas as well as new developments can be more easily tracked and understood.

COMVAL GOLD PROJECT

-- Discovery of two additional vein structures Tarale 55 and

Tarale 56 at the Tarale zone of the Batoto stockwork deposit.

Tarale 55 outcrop assayed 10.87 g/t gold over 0.7 metres and

Tarale 55a outcrop assayed 10.4 g/t gold over 0.5 metres. The

Tarale 56 vein structure has yet to be sampled but is a more

than 1 metre wide gray-white vein containing considerable

pyrite and chalcopyrite as well as appreciable fine free gold

in small cavities.

-- These discoveries further extend the known limits of gold

mineralization at the Batoto deposit. Like the rest of Batoto

extensive silicification and stockwork veining is apparent

between all vein structures. The distance from Tarale 55 to

the recently discovered Jennifer Vein (51 g/t gold) located to

the north is now more than 1,500 metres.

-- Bulk sampling of the Batoto roads and tunnels continues to

clearly demonstrate the potential bulk mineability of the

large Batoto stockwork deposit with long intervals grading

nearly 1/g gold not including any of the larger and higher

grade veins. As previously advised the focus continues to be

on sampling sample fresher (less oxidized and weathered) rock.

To this end a recently discovered tunnel cutting through the

stockwork deposit which, as previously advised assayed in

excess of 1g/t gold over the whole interval is being extended

a further 30 metres to the south to intersect the St.John

vein, a 1-1.5 metre wide high grade vein. The first 8 metres

of this extension is intensely fractured with appreciable

quartz veining which, at Batoto is a good indicator of strong

gold mineralization. (A random grab sample personally taken by

Company President Mr. Blair and recently assayed by IPL 

Laboratories in Vancouver assayed 113 g/t gold).

-- Development work continued the San Rafael, St John ,St James

and Alicia veins in the central Batoto area and at the Amy

vein in the southern Tarale zone of Batoto.

COMVAL COPPER-GOLD PROJECT

-- As previously advised gold rich skarn mineralization was

discovered in the Comval copper-gold belt on the eastern flank

of the Agusan River which broadly separates the gold belt from

the copper-gold belt. Many massive sulphide skarn bodies have

been located and the systematic evaluation of these is a major

task in itself. The initial skarn body assayed 1.4g/t gold

over an impressive 55 metres. This body has now been traced to

the north and south for more than 100 metres in both

directions. The body appears to widen to the north and

currently an 85 metre wide trench is being cut to fully expose

the body for mapping and sampling purposes.

-- At the Tagpura copper-gold deposit work continues to outline

further high grade massive sulphide copper-gold zones. The

initial massive sulphide zone on bench 2 of the old open cut

which assayed 3.9% copper and 2 g/t gold over 13.5 metres

(including 5.5% copper and 2.5 g/t gold over 8.5 metres)

significantly, has now been traced to bench 4 more than 40

metres lower where it has widened to a width of 25 metres.

Sampling at 5 metre intervals across the zone has commenced

and mapping of other sub parallel massive sulphide structures

is also underway.

T'BOLI GOLD PROJECT

-- Initial work at T'Boli has consisted of inspecting all the

workings to provide an initial assessment of the extent of

rehabilitation required in order for the Company to develop

access into the major south vein structure and also geological

mapping of all stopes from the surface to the Beehive Adit 

level which is approximately 175 metres from the surface.

-- Bulk samples have been taken from vein walls or the nearby

intervening host rock from some of the veins cutting the

Beehive Adit. The following grades were obtained 4.8 g/t, 1.33

g/t. 1.27 g/t, 0.48 g/t, 1.08 g/t and 0.85 g/t gold . Based on

these results it appears that any dilution resulting from the

mining of the high grade T'Boli veins will contain significant

gold values. These sampling results confirm the results of

diamond drilling completed on the property where high grade

veins were found to be commonly surrounded by medium to low

grade mineralization on both sides.

GEOPHYSICAL SURVEY

-- The Company has signed a contract for a very large Induced

Polarization/Resistivity gradient array geophysical survey to

be conducted over several areas within both the Comval Gold

and Comval Copper-Gold project areas. It is anticipated that

the survey will take approximately 150 days and should

commence in about three weeks. Following the evaluation of the

results of this survey as they come to hand for each area

drill tenders will be called. The actual commencement date of

drilling programs will be advised closer to the actual start

dates. Community consultation regarding the survey is now

underway.

All sampling is personally undertaken by experienced technical personnel who each have more than 15 years experience in correct sampling practices. Sampling practices are personally approved by Mr. Rennie Blair Msc, FAusIMM, the President of Sur American Gold Corporation who is a qualified person as defined by National Policy 43-101.

Sur American Gold Corporation trades on the TSX Venture Exchange under the symbol "SUR". The Company's directors, management and technical team are very experienced in all facets of the mineral resource industry.

On behalf of the Board of Directors

J. Rennie Blair, MSC., F.Aus.IMM, President

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of the content of this News Release.