Sarama Resources Reports Q1 2017 Drill Results for Karankasso Project in Burkina Faso

VANCOUVER, BC --(Marketwired - March 03, 2017) - Sarama Resources Ltd. (the "Company" or "Sarama") advises that Savary Gold Corp. ("Savary"), the operator of the Karankasso Project Joint Venture⁷ between Sarama and Savary, provided an update on March 3, 2017 of ongoing drilling campaigns. The drilling was undertaken across multiple target zones in the Serakoro 1 property within the Karankasso Project area.

Highlights

• 24 holes totalling approximately 3,000 metres of reverse-circulation ("RC") were completed.
• Downhole intersections highlighted by Savary include:

• Follow-up drilling on selected targets is planned for Q1/Q2 2017.

Note: mineralisation true widths are estimated at 65-80% of listed downhole intersection lengths except HE-RC-006 and HE-RC-007 where there is not enough information to estimate true widths

Note: assays in hole HE-RC-17-019 have been top-cut to 30 g/t Au to produce main reported composite

Further details of these drill results, including sampling and QA/QC procedures, are contained in Savary's news release dated March 3, 2017.

Sarama's President and CEO, Andrew Dinning, commented:

"The results reflect early stage exploration on the Serakoro 1 property. Sarama looks forward to the integration of recently collected geophysical, geochemical and prospecting data into the forward exploration program to reinforce target quality."

ABOUT SARAMA RESOURCES LTD

Sarama Resources Ltd. (TSX VENTURE: SWA) is a West African focused gold explorer with substantial landholdings in Burkina Faso. Sarama is focused on consolidating under-explored landholdings in Burkina Faso and other established mining jurisdictions.

Sarama's flagship properties are situated within the Company's South Houndé Project area in south-west Burkina Faso. Located within the prolific Houndé Greenstone Belt, Sarama's exploration programs have built on significant early success to deliver an inferred mineral resource estimate of 2.1 Moz gold^1,2. Acacia Mining plc is earning up to a 70% interest in the South Houndé Project by satisfying certain conditions, including funding earn-in expenditures of up to US$14 million, over a 4-year earn-in period and may acquire an additional 5% interest, for an aggregate 75% interest in the Project, upon declaration of a minimum mineral reserve of 1.6 million ounces of gold.

Sarama holds a 31% participating interest in the Karankasso Project Joint Venture ("JV") which is situated adjacent to the Company's South Houndé Project in Burkina Faso and is a JV between Sarama and Savary Gold Corp. ("Savary"). Savary is the operator of the JV and in October 2015, declared a maiden inferred mineral resource estimate of 671,000 ounces of contained gold^3,4 at the Karankasso Project JV.

Sarama has also agreed to acquire a 100% interest in the Bondi Deposit from Orezone Gold Corporation (refer news release May 24, 2016). Bondi has a historical estimate of mineral resources of 0.3Moz Au (measured and indicated) and 0.1Moz Au (inferred)^5,6.

Together, the South Houndé Project, Bondi Deposit and the Karankasso Project form a cluster of advanced gold deposits, within trucking distance of one another, which potentially offers a development option for a multi-source fed central processing facility in the southern Houndé Belt region of Burkina Faso.

Incorporated in 2010, the Company's Board and management team have a proven track record in Africa and a strong history in the discovery and development of large-scale gold deposits. Sarama is well positioned to build on its current success with a sound exploration strategy across its property portfolio.

1. 43.0 Mt @ 1.5 g/t Au (reported above cut-off grades ranging 0.3-2.2 g/t Au, reflecting the mining methods and processing flowsheets assumed to assess the likelihood of the inferred mineral resources having reasonable prospects for eventual economic extraction)
2. The effective date of the Company's inferred mineral resource estimate is February 4, 2016. For further information regarding the mineral resource estimate please refer to the technical report titled "NI 43-101 Independent Technical Report South Houndé Project Update, Bougouriba and Ioba Provinces, Burkina Faso," dated March 31, 2016. The technical report is available under Sarama Resources Ltd.'s profile on SEDAR at www.sedar.com.
3. 9.2 Mt @ 2.3 g/t Au (at a 0.5 g/t Au cut-off)
4. The effective date of the Karankasso Project JV mineral resource estimate is October 7, 2015. For further information regarding the mineral resource estimate please refer to the technical report titled "Technical Report and Resource Estimate on the Karankasso Project, Burkina Faso," dated October 7, 2015. The technical report is available under Savary Gold Corp's profile on SEDAR at www.sedar.com. Sarama has not independently verified Savary's mineral resource estimate and takes no responsibility for its accuracy.
5. 4.1Mt @ 2.1g/t Au for 282,000 oz Au (measured and indicated) and 2.5Mt @ 1.8g/t Au for 149,700 oz Au (inferred), reported at a 0.5 g/t Au cut-off
6. The effective date of the historical estimate of the Bondi Deposit mineral resource estimate is February 20, 2009. For further information regarding the mineral resource estimate please refer to the technical report titled "Technical Report on the Mineral Resource of the Bondigui Gold Project," dated February 20, 2009. The technical report is available under Orezone Gold Corporation's profile on SEDAR at www.sedar.com.
7. Sarama has 31% and Savary Gold has 69% ownership interests