LAKEWOOD, Colo., Oct. 29, 2014 /PRNewswire/ -- Pershing Gold
Corporation (OTCQB:PGLC) ("Pershing Gold" or the "Company") is
pleased to announce that the ongoing step-out core drilling program
at Relief Canyon in Pershing County,
Nevada has hit additional significant intercepts of
high-grade gold in the North Target Area, located to the North of
the existing North Pit. As shown in Table 1, RC14-225 (Relief
Canyon 2014 drill hole 225) contains 55.0 feet of 0.117 ounces per
ton ("opt") gold ("Au")/4.020 grams per tonne ("gpt") Au.
The Company also announced that it is adding a third diamond
core drill rig to the Relief Canyon Project for the remainder of
2014. "The deployment of a third drill rig to the project is an
exciting milestone for Pershing Gold's geology team, well justified
by the results to date," said Steve
Alfers, Pershing Gold's Executive Chairman and Chief
Executive Officer. "We set out to expand and upgrade the deposit,
and this ramp up in the program will accelerate that effort."
The three drill rigs are deployed as follows: one drill rig will
continue step-out drilling in the North Target Area. A second drill
rig will focus on targets to the southwest extension of the Relief
Canyon deposit. The third drill rig is deployed to the diamond
drill program recently initiated at the Buffalo Mountain Project
located approximately two miles North of the Relief Canyon Mine and
approximately one mile south of the Packard Mine, a satellite
project operated by Coeur Mining, Inc. (NYSE:CDE). KB Drilling of
Mound House, Nevada is the
contractor. The Company is planning to drill up to 12 holes
at Buffalo Mountain.
"Buffalo Mountain is an exciting new high-grade gold and silver
target developed this year by Pershing Gold's exploration group. We
are eager to drill the Buffalo Mountain Project Area because we
believe Pershing Gold will be the first company to drill in this
area," said Alfers. The Company has conducted detailed surface
sampling, mapping and geophysical work to identify additional
Buffalo Mountain drilling targets, both on the Humboldt Range
front, and in the pediment to the West. The drilling of the
southwest extension is to test the continuity of mineralization to
the southwest of the Relief Canyon Main and Light Bulb pits.
The drill results listed in Table 1 provide an expanding picture
of a zone of high-grade gold mineralization that augments the
previously reported high-grade intercepts in holes drilled this
year in the North Target Area. The high-grade gold zone discovered
to date by the 2014 drilling program extends for about 900 feet in
a north-south direction.
Table 1: Highlights of new drilling results in the North
Target Area
Core
Hole
|
From
|
To
|
Width
|
Gold
|
Gold
|
Number
|
feet
|
gpt
|
opt
|
|
|
|
|
|
|
RC14-222
|
113.0
|
573.2
|
460.2
|
0.625
|
0.018
|
including
|
113.0
|
166.3
|
53.3
|
0.435
|
0.013
|
including
|
186.0
|
222.0
|
36
|
0.305
|
0.009
|
including
|
291.5
|
322
|
30.5
|
3.319
|
0.097
|
including
|
416.8
|
434.8
|
18
|
1.702
|
0.050
|
including
|
445.8
|
467.5
|
21.7
|
0.437
|
0.013
|
including
|
483
|
573.2
|
90.2
|
1.159
|
0.034
|
604.7
|
606.8
|
2.1
|
3.017
|
0.088
|
RC14-223
|
28.0
|
538.0
|
510
|
0.594
|
0.017
|
including
|
28.0
|
189.0
|
161
|
0.466
|
0.014
|
including
|
224.0
|
282.2
|
58.2
|
0.488
|
0.014
|
including
|
295.0
|
303.0
|
8
|
4.449
|
0.130
|
including
|
338.0
|
495.0
|
157
|
0.818
|
0.024
|
including
|
518.5
|
538
|
19.5
|
1.518
|
0.044
|
RC14-224
|
0.0
|
120.0
|
120
|
0.463
|
0.014
|
143.0
|
273.0
|
130
|
0.875
|
0.026
|
411.0
|
476.3
|
65.3
|
0.794
|
0.023
|
RC14-225
|
0.0
|
64.6
|
64.6
|
0.240
|
0.007
|
90.0
|
153.0
|
63
|
0.549
|
0.016
|
192.0
|
236.8
|
44.8
|
0.634
|
0.018
|
408.5
|
463.5
|
55
|
4.020
|
0.117
|
|
|
|
Notes:
|
1.
|
RC14-____ denotes
"Relief Canyon 2014 and is followed by the drill hole
number.
|
|
2.
|
The reported width is
not the true width of the intercept.
|
|
3.
|
Results from all
intervals for which we have received and verified results will be
posted on our website at www.pershinggold.com.
|
|
4.
|
gpt means grams per
metric ton ("tonne"); opt means troy ounces per short
ton
|
Figure 1: Map Showing Gold Intercepts in the 2014 Drilling
Program
As shown in Figure 1, the drill holes listed in Table 1 are
located South of the drill holes with high-grade intercepts
previously reported in the Company's September 15, 2014 and October
21, 2014 press releases and continue to add to the growing number
of holes drilled this year with gold mineralization. The four holes
shown in Table 1 also have wide intercepts of lower-grade
mineralization at or near the surface. The long intercepts in
RC14-222 and 223 include small zones below a gold cutoff grade and
in an open pit mine scenario would potentially be waste. These
intercepts illustrate the cumulative thickness of the stacked
zones.
"The high-grade zone being delineated in the North Target Area
by the 2014 drilling program is very significant because these
holes define a much broader zone of high-grade gold mineralization
than is included in the current resource estimate," commented
Alfers. "We are still determining the ultimate dimensions of this
high-grade zone, which could increase with additional step-out
drilling," stated Alfers. Pershing Gold is planning more drilling
this year to define the extent of this high-grade zone.
The March 31, 2014 resource estimate incorporates drill holes
completed through calendar year 2013. The Company is planning to
update the resource model in early 2015 to include the 2014
drilling results.
The current resource model in the vicinity of the holes listed
in Table 1 shows a narrow, steeply dipping mineralized zone. In
contrast, the 2014 drilling is defining a wider, flatter area with
gold mineralization. Commenting on the emerging shape and size of
the North Target Area high-grade zone, Alfers added, "we anticipate
the 2014 drill results will add ounces to the resource
estimate."
Like the drilling results discussed in recent news releases, the
drill holes listed in Table 1 include intervals with gold grades
that are significantly higher than the 0.02 opt Au average grade of
the March 2014 resource estimate for
the Relief Canyon deposit. The Company believes that the intercepts
of even lower grade mineralization reported today are also
significant because the lower grade zones encountered at or near
the surface would probably be above the mine cut-off grade and
could be mined as run-of-mine material with no stripping or with a
very low stripping ratio.
Figure 2: Cross Section Showing Gold Intercepts in the Four
Drill Holes in Table 1
The cross section shown in Figure 2 illustrates the continuity
of mineralization in this area of the deposit, as well as
highlighting the higher-grade intercepts and the at-the-surface or
near-surface zones of lower-grade mineralization. The cross section
also shows the stacked mineralized zones which generally dip to the
west at 20 to 30 degrees. Both the Main and Lower Zones are present
in this area.
Scientific and Technical Data
All scientific and
technical information related to drill and surface samples for the
Relief Canyon project has been reviewed and approved by
Larry L. Hillesland, Certified
Professional Geologist, who is a Qualified Person under the
definitions established by Canadian National Instrument 43-101.
Drill core at Relief Canyon is boxed and sealed at the drill rig
and moved to the Relief Canyon logging and sample preparation
facilities by trained personnel. The core is logged and split down
the center using a typical table-fed circular rock saw. One half of
the core is sent for assay to Skyline Assayers & Laboratories
of Sparks, Nevada, while the other
half is returned to the core box and stored at Relief Canyon in a
secure, fenced-off, area. Pershing Gold Corporation quality
assurance/quality control (QA/QC) procedures include the regular
use of blanks, standards, and duplicate samples.
About Pershing Gold Corporation
Pershing Gold is an
emerging Nevada gold producer on a
fast-track to re-open the Relief Canyon Mine, which includes three
open-pit mines and a state-of-the-art, fully permitted and
constructed heap leach processing facility. Pershing Gold's
landholdings cover over 25,000 acres that include the Relief Canyon
Mine asset and lands surrounding the mine in all directions. This
land package provides Pershing Gold with the opportunity to expand
the Relief Canyon Mine deposit and to explore and make new
discoveries on nearby lands.
Legal Notice and Safe Harbor Statement
This press
release contains "forward-looking statements" within the meaning of
Section 21E of the Securities Exchange Act of 1934. All statements,
other than statements of historical fact, including, without
limitation, those with respect to the objectives, plans and
strategies of the Company set forth herein including the potential
reopening of the Relief Canyon Mine under the currently held
permits, drill and assay results, expansion of the high-grade in
the Relief Canyon deposit and those statements preceded by or
that include the words "believes," "expects," "given," "targets,"
"intends," "anticipates," "plans," "projects," "forecasts" or
similar expressions, are "forward-looking statements." Although the
Company's management believes that such forward-looking statements
are reasonable, it cannot guarantee that such expectations are, or
will be, correct. These forward-looking statements involve a number
of risks and uncertainties, which could cause the Company's future
results to differ materially from those anticipated. Potential
risks and uncertainties include, among others, whether the Company
will be able to obtain external financing to fund the development
of plans for and the reopening and commencement of production at
the Relief Canyon Mine, results of exploration and infill and
step-out drilling including drilling in the North Target highwall
area and in the southern part of the deposit above the Main Zone,
interpretations or reinterpretations of geologic information or
unfavorable exploration results that could negatively affect
estimates of mineralized material and gold resources at Relief
Canyon; unfavorable of less favorable than anticipated results from
2014 drilling, delay or inability to obtain permits required for
exploration and other activities; general economic conditions and
conditions affecting the industries in which the Company operates;
the uncertainty of regulatory requirements and approvals; decreases
in gold and other mineral and commodity prices; risks of junior
exploration and pre-production activities; and maintenance of
important business relationships. Additional information regarding
the factors that may cause actual results to differ materially from
these forward-looking statements is available in the Company's
filings with the SEC including the Annual Report on Form 10-K for
the year ended December 31,
2013. The Company assumes no obligation to update any of the
information contained or referenced in this press release.
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SOURCE Pershing Gold Corporation