Reported additional high-grade gold intersections at its 007 discovery, which included 1.55 ounces per ton over 31.5 feet.

Lowered the size of its bought deal financing from C$130 million to C$80 million. The revised transaction includes 20 million common shares at C$4.00 per share, with an over-allotment option for an additional 3 million shares.

Announced a C$130 million common equity offering on a bought deal basis, with an over-allotment option for an additional C$19.5 million.

The firm raised its price target on shares of San Gold from C$4.75 to C$5.20 - a 16.1% premium to yesterday's closing price of C$4.48 per share, and reiterated its "Outperform" rating.

Reported drill results demonstrating that surface exploration drilling has considerably expanded the vertical dimensions of the 007 zone in both the up and down directions, establishing a continuous, high grade deposit from surface extending to a depth of 450 meters (1,500 ft) to date.

CIBC initiated coverage of San Gold with a "Sector Performer" rating and a 12-18 price target of C$6.00 - a 44.2% premium to yesterday's closing price of C$4.16 per share.

The firm noted that "We expect that production growth will be quickly helped by high grades and multiple zones to exploit. The Hinge and 007 zones can displace lower grades with higher costs thereby offering investors a double impact to bottom line profits."

Reported first quarter 2010 gold sales of 11,984 ounces of gold - a 19.9% rise over the fourth quarter of 2009.

Announced initial diamond drill results from Davidson-Tisdale project in Timmins, Ontario, Canada. San Gold has a 31.5% stake in the project under a joint venture with VG Gold (VG.TSX).

Wellington West raised its target price on San Gold from C$4.00 to C$4.30 per share.

Dale Ginn, San Gold's CEO, called the company's discovery of 121 grams per tonne (3.53 ounces per ton) of gold across 13.2 meters (44 feet) "one of the most impressive intersections ever within Rice Lake."