LAKEWOOD, Colo., Nov. 9, 2016 /CNW/ -- Pershing Gold
Corporation (NASDAQ:PGLC) (FWB:7PG1) ("Pershing Gold" or the
"Company"), the emerging Nevada
gold producer advancing the Relief Canyon mine, today announces
results from Phase 1 of its 2016 Drilling Program (the "Program")
and the initiation of Phase 2 of the Program. Results are reported
in feet ("ft") and meters ("m"), and in grams per tonne ("gpt") and
ounces per ton ("oz/ton") of gold ("Au") or silver ("Ag").
"Phase 1 of our 2016 Drilling Program continues to successfully
extend the in-pit mineralization at Relief Canyon," stated
Stephen D. Alfers, Pershing Gold's
Chairman, President and CEO. "Recent results from the step-out
drilling confirm that the deposit remains open to the west.
Notably, we successfully offset RC16-462, our discovery of 166.3 ft
(50.7 m) with an average grade of 1.597 gpt, 0.046 oz/ton Au, and
23.5 gpt, 0.70 oz/ton Ag. These offsets further extend to the
west the high-grade zone discovered in the North Target Area in
2015," explained Alfers. "The Company started Phase 2 of the 2016
Drilling Program last week. Phase 2 will test targets to the south
and east of the pits and has the potential for satellite
discoveries that could be a source of future production at Relief
Canyon's existing state-of-the-art processing facilities," stated
Alfers.
Phase 1 Drilling Program Results
Pershing Gold has
received results from 11 additional core drill holes from Phase 1
of its 2016 Drilling Program. Highlighted results are listed in
Table 1 below. A complete list of results received to date is
available on our website at www.pershinggold.com.
Notable intercepts include:
- RC16-470: 24.4 ft (7.44 m), 714 gpt, 20.85 oz/ton Ag
- including: 4.4 ft (1.34 m), 1,050 gpt, 30.66 oz/ton
Ag
- including: 8 ft (2.44 m), 1,576 gpt, 46.01 oz/ton
Ag
- RC16-475: 32.5 ft (12.19 m), 0.801 gpt, 0.075 oz/ton Au
- including: 3.6 ft (1.1 m), 10.2 gpt, 0.298 oz/ton
Au
- RC16-478: 3.4 ft (1.03 m), 949 gpt, 27.21 oz/ton Ag
A plan view of these drill holes is listed below in Figure
1.
The Company has completed 18 core holes to date as a part of the
Phase 1 Program, totaling about approximately 12,500 ft (3,810 m).
Most of the Phase 1 drilling is designed to extend the western
boundary of economic mineralization at Relief Canyon. Recent
drilling confirms that significant portions of the western margin
of the mineral zones remain open to the west. Several of these
holes were drilled to test and confirm the metallurgical
characteristics of higher grade zones currently excluded from the
leachable resource in the 2016 estimate. Test work to date suggests
that some of the higher grade gold mineralization may be
economically recovered by heap leaching, and may be included in
future resource estimates. Finally, several of the Phase 1 holes
were designed to check grades and gold distribution in shallow
historic reverse circulation drill holes.
Table 1
Drill
|
From
|
To
|
Width
|
gpt
|
oz/ton
|
gpt
|
oz/ton
|
Hole
|
|
feet
|
|
gold
|
gold
|
silver
|
silver
|
|
|
|
|
|
|
|
|
RC16-470
|
285
|
309.4
|
24.4
|
<0.01
|
<0.001
|
714
|
20.85
|
including
|
285
|
289.4
|
4.4
|
<0.01
|
<0.001
|
1,050
|
30.66
|
including
|
293
|
301
|
8
|
<0.01
|
<0.001
|
1,576
|
46.01
|
RC16-473
|
371.9
|
388.6
|
16.7
|
0.564
|
0.016
|
3.2
|
0.09
|
|
631.6
|
685
|
53.4
|
0.886
|
0.026
|
9.9
|
0.29
|
|
742.8
|
768
|
25.2
|
0.736
|
0.021
|
1.9
|
0.06
|
RC16-475
|
640
|
680
|
40
|
0.801
|
0.023
|
2.3
|
0.07
|
|
825
|
850
|
25
|
0.2
|
0.006
|
2.6
|
0.08
|
|
889
|
921.5
|
32.5
|
2.569
|
0.075
|
4.9
|
0.14
|
including
|
889
|
892.6
|
3.6
|
10.2
|
0.298
|
9.0
|
0.26
|
|
905
|
910
|
5
|
4.82
|
0.141
|
8.0
|
0.23
|
RC16-478
|
354
|
357.4
|
3.4
|
0.035
|
0.001
|
949
|
27.71
|
|
482.4
|
584
|
101.6
|
0.097
|
0.003
|
NA
|
0.05
|
|
620.7
|
639.3
|
18.6
|
0.386
|
0.011
|
2.0
|
0.06
|
RC16-485
|
344
|
449.3
|
105.3
|
0.527
|
0.015
|
4.8
|
0.14
|
RC16-486
|
335.8
|
553.3
|
217.5
|
0.454
|
0.083
|
2.4
|
0.07
|
All intercepts reported here are within the oxide or mixed zones
of the deposit and have cyanide leach gold values that indicate
leachable material. The deeper intercepts at Relief Canyon,
including the deepest jasperoid zone intercept encountered to date
(RC16-475 from 889.0 to 921.5 feet at 0.075 opt Au), continue to
show good leach-ability. This intercept demonstrates the
western extension of the oxide and mixed boundary within the
structural zones that control gold mineralization.
The intercepts in RC16-473 and RC16-475 are offsets to the
mineralization encountered in RC16-462, and indicate a continuation
of gold mineralization to the west and southwest. RC16-473 and
RC16-475 are 100 ft and 225 ft step-outs from RC16-462,
respectively. Both RC16-473 and RC16-475 encountered all three
zones of mineralization previously identified at Relief Canyon.
These recent results indicate that the Relief Canyon deposit
remains open to the west and southwest. The Company believes that
these drill intercepts should expand the PEA pit limit to the west
and southwest. Mineralization remains open to the west and
offsets to these holes are being planned.
The high-grade silver intercepts recently encountered in
RC16-470 and RC16-478 are likely the result of supergene silver
enrichment. Similar zones have been intercepted in Pershing Gold's
previous drilling programs at Relief Canyon. Other notable silver
intercepts include:
- RC15-306A: 511.0-514.8 feet (3.8 feet, 1.16 m) at 1468
ppm or 42.9 opt Ag
- RC13-129: 260.6-268.0 feet (7.4 feet, 2.26 m) at 598 ppm or
17.5 opt Ag
- RC15-247: 215.0-220.0 feet (5.0 feet, 1.52 m) at 463 ppm or
13.5 opt Ag
The silver mineralization in RC16-470 and RC16-478 is located in
the Grass Valley formation, which has never before been encountered
at Relief Canyon. This suggests a different type of silver
mineralization than previously encountered in the jasperoid and
lower zones, which had very high silver values. Additional
evaluation is planned to further investigate these encouraging
results.
Additionally, the Company has completed six geotechnical holes
along the pit walls. These drill holes were conducted as a part of
the geotechnical analysis designed to determine the optimal slope
of the pit walls at the Relief Canyon mine. In total, these holes
comprised 3,495 feet of drilling. This pit-slope study is part of
the Company's planned Pre Feasibility Study on the Relief Canyon
mine. The pit-slope study is being completed by Golder Associates
of Reno, Nevada.
Pershing Gold has started condemnation drilling between the
leach pad and the Relief Canyon mine for a new waste rock disposal
site. HD Drilling, LLC from Winnemucca,
Nevada will be conducting this drilling, which is expected
to include five holes. Hydro Resources, also of Winnemucca, Nevada, is scheduled to begin
drilling and construction of two additional water monitor wells on
the north and east side of the proposed Relief Canyon pit.
Figure 1
PDF -
http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/FIgure-1.pdf
Phase 2 Drilling Program Initiation
Pershing Gold has
initiated Phase 2 of its 2016 Drilling Program. Phase 2 is designed
to test highly prospective drill targets that have been identified
through geophysics as well as rock and soil anomalies around the
Relief Canyon mine. Pershing Gold has completed geophysical surveys
at Relief Canyon to develop these targets, including an induced
polarization and chargeability survey over an approximately two
square mile area. Phase 2 is focused on discovering satellite
deposits, rather than on extensions to the current Relief Canyon
deposit. Satellite deposits could be processed at existing
facilities at Relief Canyon.
Figure 2
PDF -
http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/Figure-2.pdf
About Pershing Gold Corporation
Pershing Gold is an
emerging gold producer whose primary asset is the Relief
Canyon Mine in Pershing County,
Nevada. Relief Canyon includes three open-pit mines,
expanding adjacent open-pit-able gold deposits, 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.
Pershing Gold is listed on the NASDAQ Global Market under the
symbol PGLC and the Frankfurt Stock Exchange under the symbol
7PG1.
Figure 3
PDF -
http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/Figure-3.pdf
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 #11720, 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 QA/QC includes
the regular use of blanks, standards, and duplicate samples.
Legal Notice and Safe Harbor Statement
This press
release contains "forward-looking statements" within the meaning of
the safe harbor provisions of the U.S. Private Securities
Litigation Reform Act of 1995. All statements, other than
statements of historical fact, including results for Phase 1 and
plans for Phase 1 and Phase 2 of our 2016 Drilling Program
including areas planned for drilling, initial drill and solubility
test results from the Phase 1 program; the interpretation of
Phase 1 results including confirmation that the deposit remains
open to the west and southwest, the design of Phase 1 to extend the
western boundary of economic mineralization at Relief Canyon, the
belief that the results should expand the PEA pit limit to the west
and southwest, the potential of some of the higher grade gold
mineralization to be economically recoverable by heap leaching and
may be included in future resource estimates, and whether the high
grade silver intercepts are the result of supergene silver
enrichment ; the potential of Phase 2 for satellite discoveries
that a source of future production , and the planned pre
Feasibility Study on the Relief Canyon Mine 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, interpretations or reinterpretations of geologic
information, unfavorable exploration results, inability to obtain
permits required for future exploration, development or production,
general economic conditions and conditions affecting the industries
in which the Company operates; the uncertainty of regulatory
requirements and approvals; and fluctuating mineral and commodity
prices. 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
Securities and Exchange Commission, including the Annual Report on
Form 10-K for the year ended December 31,
2015. 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