LAKEWOOD, Colo., Feb. 4,
2015 (PR NEWSWIRE) -- Pershing Gold Corporation (OTCQB:PGLC)
("Pershing Gold" or the "Company") is pleased to announce that the
core-drilling program at the Relief Canyon Mine in Pershing County, Nevada has discovered the
highest-grade gold intercept drilled to date at the Relief Canyon
Mine. The Company has drilled a number of holes with high-grade
gold intercepts in the North Target Area, located north of the
North Pit. Drill hole RC15-264, a step-out drill hole located near
the western boundary of the presently defined gold mineralization,
hit an extremely high-grade intercept of 4.7 feet of 76.8 grams
per tonne ("gpt") gold ("Au")/2.24 ounces per ton ("opt") Au.
This intercept is within a much wider high-grade zone measuring
39.0 feet of 10.12 gpt Au/0.295 opt Au.
The 2014 – early 2015 drilling program continues to expand the
size of the high-grade gold zone in the North Target Area. The
high-grade gold zone shown in Figure 1 is approximately 1,350 feet
long in a north-south direction and varies from 275 feet to 400
feet wide in an east-west direction. The holes reported today
extend the length of the high-grade zone by roughly 450 feet beyond
the 900-foot long zone reported in our October 29, 2014 news
release.
PDF -
http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/1247504-1-Figure-1-High-Grade-Zone-in-the-North-Target-area-2-3-2015a.pdf
The 76.8 gpt Au/2.24 opt Au intercept in RC15-264 is
hosted in a zone of muscovite-carbonate schist with crenulation
folds, multiple generations of pyrite, and hematite. This
high-grade intercept occurs within a broader zone of the white clay
(illite)-fluorite mineral assemblage that is typically associated
with high-grade mineralization in the North Target Area. Figure 1
shows the location of RC15-264 and other high-grade holes, and the
area defined to date with high-grade mineralization. The Company is
still defining the extent of the high-grade zone, which is open to
the west and north.
RC15-264 and the other high-grade intercepts being reported
today are shown in Table 1. Eight holes contain high-grade gold
intercepts, with six holes encountering mineralized intervals that
exceed 4.35 gpt Au/0.127 opt Au. Some of the thicker
high-grade intercepts include 77.9 feet of 3.03 gpt Au/0.089 opt
Au in RC14-242, 114.6 feet of 2.19 gpt Au/0.064 opt Au
in RC 14-247, and 59.8 feet of 2.65 gpt/0.077 opt Au in
RC14-249.
The holes listed in Table 1 are part of a drilling program
designed to offset previously drilled core holes with high-grade
mineralization and to confirm the grade and extent of gold
mineralization in areas defined mainly by historic reverse
circulation holes. Many of the historic reverse circulation drill
holes may under report the grade of the gold mineralization due to
poor sample recovery. The Company believes that the enhanced sample
recovery achievable using core-drilling has the potential to
increase the overall resource as well as to upgrade ounces
classified as inferred in the current resource estimate to the
measured and indicated resource classifications.
Table 1: Highlights of new drilling results in the North
Target Area
Core
Hole
|
From
|
to
|
Width
|
Gold
|
Gold
|
Number
|
feet
|
gpt
|
opt
|
|
|
|
|
|
|
RC14-226
|
394.7
|
423
|
28.3
|
5.004
|
0.146
|
including
|
394.7
|
413.8
|
19.1
|
6.909
|
0.202
|
RC14-234
|
60
|
124
|
64
|
1.000
|
0.029
|
|
385
|
455
|
70
|
1.507
|
0.044
|
including
|
426.2
|
439.2
|
13
|
4.346
|
0.127
|
|
516
|
567.5
|
51.5
|
1.830
|
0.053
|
RC14-236
|
43.7
|
175
|
131.3
|
0.857
|
0.025
|
|
190.9
|
234.8
|
43.9
|
1.051
|
0.031
|
|
437
|
471.5
|
34.5
|
2.379
|
0.069
|
RC14-239
|
40
|
125
|
85
|
0.647
|
0.019
|
|
515
|
558.6
|
43.6
|
1.093
|
0.032
|
RC14-240
|
400.6
|
462.5
|
61.9
|
2.519
|
0.074
|
RC14-242
|
0
|
20
|
20
|
1.320
|
0.039
|
|
386.1
|
464
|
77.9
|
3.031
|
0.089
|
including
|
388.4
|
400
|
11.6
|
5.599
|
0.163
|
including
|
453
|
462.3
|
9.3
|
14.060
|
0.411
|
RC14-247
|
185
|
299.6
|
114.6
|
2.193
|
0.064
|
including
|
215
|
220
|
5
|
10.230
|
0.299
|
including
|
278
|
284.7
|
6.7
|
12.390
|
0.362
|
RC14-249
|
443.2
|
503
|
59.8
|
2.651
|
0.077
|
including
|
443.2
|
452
|
8.8
|
10.890
|
0.318
|
RC15-264
|
164.7
|
200
|
35.3
|
0.272
|
0.008
|
|
241
|
254.7
|
13.7
|
2.087
|
0.061
|
|
274.2
|
315
|
40.8
|
1.752
|
0.051
|
including
|
281.9
|
285.3
|
3.4
|
7.380
|
0.215
|
|
364.9
|
390
|
25.1
|
0.929
|
0.027
|
|
450
|
489
|
39
|
10.120
|
0.295
|
including
|
462.8
|
467.5
|
4.7
|
76.8
|
2.24
|
|
509.4
|
543
|
33.6
|
3.896
|
0.114
|
including
|
531.8
|
540
|
8.2
|
14.99
|
0.438
|
|
562
|
575
|
13
|
3.950
|
0.115
|
including
|
562
|
565.4
|
3.4
|
9.990
|
0.292
|
including
|
573.5
|
575
|
1.5
|
8.537
|
0.249
|
Notes:
- RC14-XXX/RC15-XXX denotes "Relief Canyon 2014/Relief Canyon
2015" followed by the drill hole number.
- The reported width is not the true width of the intercept.
- Results from all intervals for which we have received and
verified results will be posted on our website at
www.pershinggold.com.
- gpt means grams per metric ton ("tonne"); opt means troy ounces
per short ton
"The 76.8 gpt Au/2.24 opt Au intercept in RC15-264 stands
out as the highest-grade hole ever drilled at Relief Canyon,"
commented Stephen D. Alfers,
Pershing Gold's Chairman and CEO. "Hole RC15-264 is an order of
magnitude higher than other high-grade intercepts in Table 1, and
adds to the pattern of high-grade intercepts encountered in the
2014 – early 2015 drilling program. Hole RC15-264 indicates the
discovery of a new zone of mineralization on the western edge of
Pershing's North Target Area. This
zone is open to the north, and to the west, and is perhaps the best
of several new high-grade zones discovered in the North Target Area
in the 2014 – early 2015 drilling program."
Many of the high-grade intercepts listed in Table 1 are
associated with a white clay-fluorite mineral assemblage ("WCF").
The WCF zones, which are soft and friable (crumbly), are
particularly susceptible to being washed away during reverse
circulation rotary drilling due to the higher volumes of drilling
fluids typically used with this drilling technique. Because the WCF
is associated with higher gold grades at Relief Canyon, management
expects the better sample recovery being achieved during the 2014 –
early 2015 core-drilling program to have significant potential to
increase the gold resource.
The March 2014 resource estimate is based on the drill hole
database through 2013; it does not include data from any of the 135
core holes (approximately 75,000 feet of drilling) that the Company
completed in its 2014 - early 2015 drilling program. As shown in
Figure 2, the 2014 – early 2015 drilling program focused primarily
on development drilling to define the high-grade zone in the North
Target Area. The analytical results from these 135 holes are being
incorporated into an updated resource estimate. The Company
anticipates an updated resource estimate will be completed in April
of this year. Once the updated resource estimate is published, the
Company plans to complete an independent Preliminary Economic
Assessment on the Relief Canyon Project.
PDF -
http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/1247504-1-Press-Release-Figure-2-2014-January-2015-Drill-Hole-Location-Map-Relief-Canyon-2-3-2015a.pdf
Assay data are currently pending for approximately 30 holes. The
Company plans to continue to announce the results of the 2014 –
early 2015 drilling program as these results become available. In
addition, metallic screen assaying for gold is in progress for
selected intervals in the program. This type of analysis is part of
Pershing Gold's routine Quality Assurance/Quality Control ("QA/QC")
procedures whenever very high gold grades are intercepted or if
coarse gold is suspected. The results reported for RC15-264
have been checked with metallic screens. The results to date
indicate that there is not a coarse gold problem with RC15-264 or
in other drill holes at the Relief Canyon deposit.
Additionally, the Company is announcing results from ten drill
holes, which were completed to the southwest of the South Pit on a
historic waste rock storage facility (Figure 2.) Previous drilling
of this waste rock indicated that portions of it contains material
with grades from 0.005 to 0.015 opt Au. The recent drilling of this
waste rock area has confirmed that it contains leach-grade gold
that may make this material suitable for use as pad over liner or
run-of-mine mineralization. For example, RC14-232, which is a
fairly representative drill hole through this waste rock,
intercepted 0.010 opt Au from 0 to 51 feet.
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 or Inspectorate
America Corporation also 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 is
currently permitted to resume mining at Relief Canyon under the
existing Plan of Operations.
Pershing Gold's landholdings cover approximately 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 planned
reopening of the Relief Canyon mine commencement of production,
anticipated drilling and other exploration on Pershing Gold's
Relief Canyon properties, anticipated expansion and upgrade of the
Relief Canyon deposit and resource as a result of the 2014 and
early 2015 drilling programs, estimates of mineralized material and
measured, indicated and inferred resources, interpretations of
exploration results and other geologic information at Relief
Canyon, anticipated expansion of the resource at the Relief Canyon
properties, drilling results from waste rock facility and potential
suitability of material for and those 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, inability to obtain
external financing to fund the development of plans for and the
reopening and commencement of production at the Relief Canyon Mine,
planned exploration, permit modifications or to maintain property
rights; interpretations or reinterpretations of geologic
information or unfavorable exploration results that could
negatively affect estimates of mineralized material and resources;
timing and results of updated mineral resource estimates; timing
and results of anticipated Preliminary Economic Analysis; whether
waste rock material is suitable for use as pad over liner or
run-of-mine mineralization; whether coarse gold is present in the
anticipated deposit and resource expansion area; whether the
historic reverse circulation drilling understated the resource;
delay or inability to obtain permits required for planned
production, including permits to mine the deposit below the water
table, 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; fluctuating 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