Paramount Gold Nevada Corp. (NYSE American: PZG) ("Paramount”)
today announced it has begun the first phase of an exploration
program at its 100% owned Grassy Mountain Gold Project (“Grassy”)
in Eastern Oregon. The program will focus on identifying and
drilling the highest priority targets with the potential to add
additional resources at Grassy.
Paramount recently completed a positive
Pre-Feasibility Study (“PFS”) for Grassy and is currently working
toward completing all the baseline study reports and other
requirements prior to submitting the consolidated permit
application to the State of Oregon.
Paramount’s CEO Glen Van Treek commented: “Our
PFS demonstrates that Grassy is a robust project in the current
metal price environment with low technical and geopolitical risks
using established, conventional technologies. We have always been
excited about Grassy’s exploration potential. The geological model
for the main deposit suggests that mineralization occurred within a
district-scale basin and a number of promising gold occurrences are
known in the immediate area. The style of mineralization is ideal
for the effective use of inexpensive geophysical tools to identify
and refine high priority targets before drilling.”
“Deposits like Grassy Mountain naturally occur in similar
geological environments around the world similar to the ones
occurring in the Hauraki Gold district in New Zealand, with million
ounces of gold discovered. It is our belief that the Grassy
Mountain project is no exception”, Van Treek added.
The first phase of the program consists of a
helicopter mag and radiometric survey to be conducted by Precision
Geosurveys Inc. over the entire 9,300 acre claim area to map
structures and magnetic anomalies. This part of the program begins
this week. Lines on 50 meter spacing are being flown for a total of
1,100km. The magnetometer survey data will then be integrated with
previously completed surface geochemistry, geological mapping and
resistivity surveys to better define drilling locations.
Grassy’s mineralization is associated with
siliceous sinter deposition and hydrothermal eruption in a hot
spring environment. Geothermal activity occurred contemporaneously
with sedimentation. Enriched gold mineralization occurs at depths
of 200 ft. to 850 ft. below the current topographic surface and is
directly correlated with silicification, quartz stockwork veining
and hydrothermal brecciation. Superficial deposition of silica
(sinter) has been preserved at surface throughout the property,
Increased silica in mineralized areas makes the rock more resistant
to electrical current. This resistivity can be detected by various
geophysical surveys. In addition, alteration products formed along
mineralizing “feeder” structures and subsequent oxidation produce a
low magnetic response which can be mapped by magnetometry. Using
these geophysical tools together with geochemical sampling and
geological mapping is enabling Paramount to establish priority
targets.
High priority target areas for drilling include
the following:
- Wally/Wood is located approximately one mile north-northwest of
the main deposit. Sinter has been seen on surface and previous
shallow drilling has intersected up to 90 ft. grading 0.025 opt
gold (0.71 g/t). In addition, this area has a well-defined
resistivity anomaly which is similar to the anomaly identified at
the Grassy deposit. Three 700-800 ft. holes are planned in this
area.
To view Figure 1, please click on the following link:
http://www.globenewswire.com/NewsRoom/AttachmentNg/a572ea02-00b1-47da-a5e6-7144f07a34db
- North Spur is located 500 ft. north of Grassy and consists of
silicified structures in an area surrounded by low grade gold which
was identified in historic shallow drilling. None of the drilling
in this area penetrated these silicified structures. Three holes
are initially planned for this target.
- Denis Folley is located about two miles north of Grassy. To
date, there has been no drilling completed in this area. However,
surface mapping and sampling identified strong silicified outcrops
with several geochemistry anomalies that are expected to represent
the surface expression of a mineralized system below. Three 700 ft.
holes are planned for this target.
To view Figure 2, please click on the following
link: http://www.globenewswire.com/NewsRoom/AttachmentNg/53a435f2-6031-430c-8bfc-a462e21f504c
To view Figure 3, please click on the following link:
http://www.globenewswire.com/NewsRoom/AttachmentNg/dc3543e5-5bce-4e94-81e9-4947eff61f70
NI 43-101 Disclosure
The exploration program will be overseen by Michael F. McGinnis,
Project Manager. Mr. McGinnis is a Qualified Person under National
Instrument 43-101. He has reviewed and approved this press
release.
To stay informed of future press releases,
subscribe to our E-Alerts Program and to learn more about our
projects visit the projects section of our website.
About Paramount Gold Nevada Corp.Paramount Gold
Nevada is a U.S. based precious metals exploration and development
company. Paramount’s strategy is to create shareholder value
through exploring and developing its mineral properties and to
realize this value for its shareholders in three ways: by selling
its assets to established producers; entering into joint ventures
with producers for construction and operation; or constructing and
operating mines for its own account.
Paramount owns 100% of the Grassy Mountain Gold
Project which consists of approximately 9,300 acres located on
private and BLM land in Malheur County, Oregon. The Grassy Mountain
Gold Project contains a gold-silver deposit (100% located on
private land) for which results of a positive PFS have been
released and key permitting milestones accomplished (see press
release dated May 24, 2018). Additionally, Paramount owns a 100%
interest in the Sleeper Gold Project located in Northern Nevada.
The Sleeper Gold Project, which includes the former producing
Sleeper mine, totals 2,322 unpatented mining claims (approximately
60 square miles or 15,500 hectares).
Cautionary Note to U.S. Investors
Concerning Estimates of Indicated, Inferred Resources and
ReservesThis news release uses the terms "measured and
indicated resources", "inferred resources" and “proven and probable
reserves”. We advise U.S. investors that while these terms are
defined in, and permitted by, Canadian regulations, these terms are
not defined terms under SEC Industry Guide 7 and not normally
permitted to be used in reports and registration statements filed
with the SEC. "Inferred resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to
their economic and legal feasibility. It cannot be assumed that all
or any part of an inferred mineral resource will ever be upgraded
to a higher category. Under Canadian rules, estimates of inferred
mineral resources may not form the basis of a feasibility study or
prefeasibility studies, except in rare cases. The SEC
normally only permits issuers to report mineralization that does
not constitute SEC Industry Guide 7 compliant "reserves", as
in-place tonnage and grade without reference to unit measures. U.S.
investors are cautioned not to assume that any part or all of
mineral deposits in this category will ever be converted into
reserves. U.S. investors are cautioned not to assume that any part
or all of an inferred resource exists or is economically or legally
minable. Under SEC Industry Guide 7 standards, a “final” or
“bankable” feasibility study is required to report reserves, the
three-year historical average price is used in any reserve or cash
flow analysis to designate reserves and the primary environmental
analysis or report must be filed with the appropriate governmental
authority.
Safe Harbor for Forward-Looking StatementsThis
release and related documents may include "forward-looking
statements" and “forward-looking information” (collectively,
“forward-looking statements”) pursuant to applicable United States
and Canadian securities laws. Paramount’s future expectations,
beliefs, goals, plans or prospects constitute forward-looking
statements within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and other applicable
securities laws. Words such as "believes," "plans,"
"anticipates," "expects," "estimates" and similar expressions are
intended to identify forward-looking statements, although these
words may not be present in all forward-looking statements.
Forward-looking statements included in this news release include,
without limitation, statements with respect to: production
estimates and assumptions, including production rate and grade per
tonne; revenue, cash flow and cost estimates and assumptions;
statements with respect to future events or future performance;
anticipated exploration, development, permitting and other
activities on the Grassy Mountain project; the economics of the
Grassy Mountain project, including the potential for improving
project economics and finding more ore to extend mine life; and
mineral reserve and mineral resource estimates. Forward-looking
statements are based on the reasonable assumptions, estimates,
analyses and opinions of management made in light of its experience
and its perception of trends, current conditions and expected
developments, as well as other factors that management believes to
be relevant and reasonable in the circumstances at the date that
such statements are made, but which may prove to be incorrect.
Management believes that the assumptions and expectations reflected
in such forward-looking statements are reasonable. Assumptions have
been made regarding, among other things: the conclusions made in
the PFS; the quantity and grade of resources included in resource
estimates; the accuracy and achievability of projections included
in the PFS; Paramount’s ability to carry on exploration and
development activities, including construction; the timely receipt
of required approvals and permits; the price of silver, gold and
other metals; prices for key mining supplies, including labor costs
and consumables, remaining consistent with current expectations;
work meeting expectations and being consistent with estimates and
plant, equipment and processes operating as anticipated. There are
a number of important factors that could cause actual results or
events to differ materially from those indicated by such
forward-looking statements, including, but not limited to:
uncertainties involving interpretation of drilling results;
environmental matters; the ability to obtain required permitting;
equipment breakdown or disruptions; additional financing
requirements; the completion of a definitive feasibility study for
the Grassy Mountain project; discrepancies between actual and
estimated mineral reserves and mineral resources, between actual
and estimated development and operating costs and between estimated
and actual production; and the other factors described in
Paramount’s disclosures as filed with the SEC and the Ontario,
British Columbia and Alberta Securities Commissions.
Except as required by applicable law, Paramount
disclaims any intention or obligation to update any forward-looking
statements as a result of developments occurring after the date of
this document.
Paramount Gold Nevada Corp. Glen Van Treek, President,
CEO and DirectorChristos Theodossiou, Director of
Corporate
Communications866-481-2233Twitter:
@ParamountNV
Paramount Gold and Silver (AMEX:PZG)
Historical Stock Chart
From Apr 2024 to May 2024
Paramount Gold and Silver (AMEX:PZG)
Historical Stock Chart
From May 2023 to May 2024