VANCOUVER, British Columbia, Oct. 28, 2021 (GLOBE NEWSWIRE) — Pure Gold Mining Inc. (TSX-V:PGM, LSE:PUR) (“PureGold” or the “Company”), is pleased to report high-grade drill intercepts returned from surface and underground drilling completed during the third quarter of 2021. This drilling was successful in demonstrating the tenor and continuity of gold mineralization for planned, near-term mine production from both the Main Ramp and the East Ramp areas, as well as establishing the potential for resource expansion close to existing development. Infill and extension drilling continues from both surface and underground to establish and prioritize mine sequencing, optimize mine development, and identify potential for resource expansion. Drill results are being integrated into the near-term mine plan on an ongoing basis.
Underground drilling results highlights:
- 55.4 g/t gold over 5.0 metres from drill hole PGP-00072; including
83.2 g/t gold over 2.0 metres; and including
50.3 g/t gold over 2.0 metres;
- 14.5 g/t gold over 13.2 metres from drill hole PGP-00086; including
116.7 g/t gold over 1.0 metre;
- 10.1 g/t gold over 7.8 metres from drill hole PGP-00091; including
44.2 g/t gold over 1.0 metre;
- 18.2 g/t gold over 3.9 metres from drill hole PGP-00070; including
30.1 g/t gold over 1.9 metres.
A summary table of results is set out at the end of this News Release.
“Our drilling program continues to return outstanding high-grade results from both infill and step-out drilling conducted at the PureGold Mine,” stated Darin Labrenz, President & CEO of PureGold. “Highlighted drill results from this quarter represent some of the best results returned this year, with many targeting extensions to production areas planned for extraction within the next three months. Results from the East Ramp area are particularly encouraging, as they indicate significant potential for expansion of the existing resource along strike and down plunge of currently active development. With the success of this quarter’s drilling, the Company is expanding the ongoing drill program from both surface and underground with the goal of further delineation and growth of our near-term mine plan.”
Expanded Drilling Program
As of the end of the third quarter, two drill rigs—one surface core drill and one underground core drill—were active on the site and focused on delineating gold mineralization with both infill and extension drilling. Two more diamond drill rigs are expected to commence by the end of October bringing the total diamond drill rigs to four, with a focus on targeting production areas in the near-term mine plan. Results from this underground drilling will be reported on a timely basis as received.
Drill Results Summary
New assay results from select drill holes are outlined below:
|Hole ID||From (m)||To (m)||Length (m)||Gold (g/t)||Infill / Extension|
*Assay composites were calculated using uncut assays and true widths are interpreted to vary from 80-95% (90%, on average) of reported core lengths above.
Grant of Options
The Company has granted 200,000 restricted share units and incentive stock options exercisable to purchase up to 350,000 common shares in the capital of the Company until October 27, 2026 at an exercise price of $0.97 per share to a director. The incentive stock options were granted in accordance with the Company’s Stock Option Plan.
QA/QC and Core Sampling Protocols
Drill core samples are submitted to SGS Minerals in Red Lake, Ontario and ALS Minerals in Thunder Bay, Ontario. NQ, BQ, and AQTK size core samples are whole core sampled after being detail logged and photographed. Samples are bagged, sealed, and shipped from the mine property to the analytical labs.
Samples processed at SGS are prepared by drying and crushing to 75% less than 2 mm, a riffle split of 250 g, and pulverization of the split to better than 85% passing 106 microns. Gold analysis is completed in the SGS Red Lake lab with a 30 g fire assay and AAS finish (code GE-FAA30V10). Samples returning >100 g/t Au are re-assayed with a gravimetric finish (code GO-FAG30V). Mineralized zones with visible gold are also analyzed by a 500 g screen fire assay with screening to 106 microns (code GO-FAS30M). Duplicate 30 g fire assays are conducted on the screen undersize and combined with an assay of the entire oversize fraction.
Samples processed at ALS include sample preparation by crushing to 70% less than 2 mm, a riffle split of 250 g, and pulverization of the split to better than 85% passing 75 microns. Sample pulps are shipped to the ALS assay laboratory in North Vancouver, BC for gold analysis with a 30 g fire assay and AAS finish (code Au-AA25). Samples returning >100 g/t Au are re-assayed with a gravimetric finish (code GRA21). Control samples (certified standards and uncertified blanks), along with field, prep and pulp duplicates, are inserted on a regular basis. Results are assessed for accuracy, precision, and contamination on an ongoing basis.
Further details of drilling, analytical process, quality assurance and control, and sampling are available in the Feasibility Study technical report.1
Qualified Persons and 43-101 Disclosure
Phil Smerchanski, P. Geo., Vice President, Exploration for the Company, is the designated Qualified Person for this news release within the meaning of National Instrument 43-101 (“NI 43-101”) and has reviewed and verified that the technical information contained herein is accurate and approves of the written disclosure of same.
About Pure Gold Mining Inc.
PureGold is a growth company, located in the very heart of Red Lake, Canada. Our objective is pure and simple. To develop a highly-profitable long life gold mining company, becoming Canada’s next iconic gold producer. Our plan is very disciplined, very methodical and financially sound. To expand organically, and develop PureGold’s multi-million ounce high-grade gold asset incrementally, step-by-step, using a phased mining development plan to deliver maximum return.
- For further information, see the technical report titled “Madsen Gold Project Technical Report Feasibility Study for the Madsen Deposit Red Lake, Ontario, Canada” with an effective date of February 5, 2019, and dated July 5, 2019 (the “Feasibility Study”), for further information please see www.puregoldmining.ca or under the Company’s Sedar profile at www.sedar.com
ON BEHALF OF THE BOARD
Darin Labrenz, President & CEO
Adrian O’Brien, Director, Marketing and Communications
Non-IFRS Financial Performance Measures
The Company has included certain non-IFRS measures in this new release. Refer to the Company’s MD&A for an explanation of non-IFRS measures. The Company believes that these measures, in addition to measures prepared in accordance with International Financial Reporting Standards (“IFRS”), provide readers with an improved ability to evaluate the underlying performance of the Company and to compare it to information reported by other companies. The non-IFRS measures are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to similar measures presented by other issuers.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
All statements in this press release, other than statements of historical fact, are “forward-looking information” with respect to PureGold within the meaning of applicable securities laws, including, but not limited to statements with respect to those that address proposed timing of development plans for the PureGold Mine complex, timing of expected production, timing and size of exploration activities, potential for advancing the amount and timing for higher grade ore, potential for additional resources and expansion of known deposits and potential for making new discoveries and the focus of the Company in the coming months. Forward-looking information is often, but not always, identified by the use of words such as “seek”, “anticipate”, “plan”, ”progress”, “continue”, “planned”, “expect”, expectations”, “expand”, “increasing”, “project”, “predict”, “potential”, “targeting”, “intends”, “believe”, “improved”, “potential”, and similar expressions, or describes a “goal”, or variation, of such words and phrases or state that certain actions, events or results “may”, “should”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made including, among others, assumptions about future prices of gold and other metal prices, currency exchange rates and interest rates, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of PureGold and there is no assurance they will prove to be correct.
Such forward-looking information, involves known and unknown risks, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, risks related to the interpretation of results at the PureGold Mine complex; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; the costs and timing of the development of new deposits; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; the timing and success of exploration and development activities generally; delays in permitting; possible claims against the Company; the timing of future economic studies; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration as well as those factors discussed in the Annual Information Form of the Company dated March 31, 2021 in the section entitled “Risk Factors”, under PureGold’s SEDAR profile at www.sedar.com.
Although PureGold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. PureGold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.