Latest Drilling Builds High-Grade Continuity
VANCOUVER, B.C. – Pure Gold Mining Inc. (TSX-V; PGM) (“Pure Gold” or the “Company”) is pleased to announce that new drill results have expanded the near-surface, high-grade gold zones recently identified near the Madsen mine. Drilling has been focused on two locations (Russet South and Fork Zone), both of which appear to be geologically related to important zones of mineralization at depth in the mine. The early success we have had in defining additional gold mineralization in shallow targets around the mine continues to indicate near surface exploration upside.
Madsen hosts an operational head frame, a permitted mill and tailings facility, and access to power, water and labour. The Madsen Project has an Indicated Resource of 928,000 ounces gold at 8.93 g/t Au (in 3.24 million tonnes) and an Inferred Resource of 297,000 ounces gold at 11.74 g/t Au (in 0.79 million tonnes)1 and is situated in one of the most active exploration and mining camps in North America.
“Despite being Red Lake’s second largest past producer, previous operators conducted limited systematic generative exploration around the mine since its closure in 1974,” stated Darin Labrenz, President and CEO of Pure Gold. “Our focus is to unlock the exploration potential of this 50km2 property. Over the past eight months our new geological model has delivered high-grade gold mineralization in two key areas, and we are now building continuity in Russet South and Fork Zone.”
Mineralization at Russet South, located 1,400 metres west of the headframe, is analogous to the Madsen deposit and other recent high-grade discoveries in the Red Lake district, such as Goldcorp’s HG Young, Cochenour, and High Grade Zone. Drilling in 2015 has delineated near-surface high-grade gold mineralization over a 350 metre x 150 metre area and remains open down-dip and along strike with additional drill results pending.
New reported drill highlights from Russet South include:
- 6.5 g/t gold over 1.3 metres in PG15-034
- 20.0 g/t gold over 0.7 metres in PG15-038
Previously reported results from Russet South (see news releases dated March 2, 2015 and March 16, 2015):
- 9.5 g/t gold over 3.5 metres in PG15-027
- 15.0 g/t gold over 5.0 metres in PG15-028
- 39.1 g/t gold over 2.9 metres in PG15-031
- 37.5 g/t gold over 1.7 metres in PG15-032
For a cross-section showing continuity of gold mineralization at Russet South, please click here: http://www.puregoldmining.ca/sites/default/files/NR1508drillsection.pdf
In 2014, drill results from the Fork Zone, located 1.7 kilometres southwest of the Madsen mine, identified near-surface, high-grade gold mineralization situated on the same geologic contact as Madsen’s high-grade 8 Zone. In 2015, 4 holes tested the southern extent of the high-grade structure and expanded the strike length to 350 metres where it remains open along strike and down dip.
New reported drill highlights include:
- 8.4 g/t gold over 1.6 metres and
- 7.3 g/t gold over 2.5 metres in PG15-037
(both within an interval of 3.9 g/t gold over 12.1 metres)
Additional holes intercepted mineralization associated with a new gold-bearing structure 150 metres west of the related Fork structure.
For a table of 2015 drill results to date, please click here:http://www.puregoldmining.ca/sites/default/files/NR1508drillresults.pdf
For a drill map showing extent of the Fork Zone structure, please click here:
Assay composites were calculated using uncut assays and are reported as drilled widths and interpreted to vary between 70% to 100% of true widths.
The 2015 exploration program consists of ~6,000 metres focused on Russet South and the Fork Zone. Twenty-seven holes were completed with results pending for nine drill holes, all from Russet South.
QA/QC and Core Sampling Protocols
Check samples were submitted to ALS Minerals in Thunder Bay, Ontario for sample preparation by crushing to 70% less than 2mm, rotary split off 1kg, and pulverize the split to better than 85% passing 75 microns. Sample pulps are shipped to the ALS assay laboratory in North Vancouver, B.C. for gold analysis with a 30 gram fire assay and AAS finish (code Au-AA23). Samples returning >5 g/t Au are re-assayed with a gravimetric finish (code GRA21). Mineralized zones with visible gold are re-analyzed by a 1kg screen fire assay with screen to 100 microns. A duplicate 30g fire assay is conducted on the screen undersize while assaying of entire oversize fraction (code Au-SCR21). Control samples (accredited standards and blanks) were inserted on a regular basis.
Qualified Persons and 43-101 Disclosure
Darren O'Brien, 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.
(1) See the National Instrument 43-101 technical report entitled “Technical Report for the Madsen Gold Project Red Lake, Ontario, Canada,” prepared by SRK Consulting (Canada) Inc. dated effective February 18, 2014. Mineral Resources are not Mineral Reserves and do not have demonstrated economic viability.
ABOUT PURE GOLD
Our mandate is pure and simple. To dream big. To colour outside the lines. To use smart science and creativity to unlock the next major discovery at the Madsen Gold Project in Red Lake, Ontario. And become Canada’s next iconic gold company.
ON BEHALF OF THE BOARD
Darin Labrenz, President & CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements made and information contained in this news release and elsewhere constitutes “forward-looking information” within the meaning of Canadian securities legislation. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may constitute forward-looking statements. Such forward-looking statements are based on certain assumptions and are subject to risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements. Such factors include, but are not limited to, fluctuations in the price of gold, continued exploration success, risks and uncertainties relating to the interpretation of drill results and the estimation of mineral resources and reserves, the geology, grade and continuity of mineral deposits, the possibility that future exploration and development results including any pending results set out herein will not be consistent with past results or the Company’s expectations, changes in government legislation, taxation, controls, regulations and political or economic developments in Canada, risks associated with mining or development activities, the speculative nature of exploration and development, including the risk of obtaining necessary licenses, financing risk, and other risks and uncertainties including those described under Risk Factors in each management discussion and analysis and in the Company's annual information form which are available under the Company's profile at www.sedar.com. Many of these uncertainties and contingencies can affect the Company's actual performance and could cause actual performance to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those acknowledged in such statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws. Accordingly, readers are advised not to place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statement that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws.