Pershing Gold Discovers New Mineralization at Relief Canyon and Completes 2015 Drilling Program

LAKEWOOD, Colo., Dec. 15, 2015 /CNW/ -- Pershing Gold Corporation (NASDAQ: PGLC) (FWB:7PG1) ("Pershing Gold" or the "Company"), an emerging Nevada gold producer, announces the completion of its 2015 Drilling Program at the Relief Canyon project in Pershing County, Nevada. Results are reported in feet ("ft") and meters ("m"), and in grams per tonne ("gpt") and ounces per ton ("oz/ton") of gold ("Au").

Highlighted intercepts include:

  • Southwest Target Area:
    • RC15-429, 18.8 ft (5.7 m), 5.921 gpt, 0.172 oz/ton Au
  • North Target Area:
    • RC15-405, 2.3 ft (0.7 m), 9.337 gpt, 0.274 oz/ton Au
    • RC15-419, 20.8 ft (6.3 m), 2.098 gpt, 0.061 oz/ton Au
    • RC15-421, 33.7 ft (10.3 m), 3.716 gpt, 0.108 oz/ton Au

"We are pleased to report the completion of the 2015 Drilling Program at Relief Canyon. As of November 15, all five drill rigs have ceased operating on site. Preliminary results of this final phase of drilling are listed in the table below," stated Stephen D. Alfers, Pershing Gold's Chairman and CEO. "These results expand a high-grade zone of gold mineralization previously announced in the Southwest Target Area. In addition, these results extend high-grade zones discovered in 2015 in the North Target Area, the North Pit and the Jasperoid Target Area.  We expect these high-grade intercepts, taken together with those previously announced in 2015, to improve overall project economics by continuing to significantly drive down the already low-cost profile for Relief Canyon," Alfers explained.

Southwest Target Area
The Company has discovered a new block of mineralization in the Southwest Target Area, bringing mineralization 100 to 250 feet closer to the surface than was previously projected. RC15-429 with 18.8 ft (5.7 m), 5.921 gpt, 0.172 oz/ton Au (Figure 1) is the highest-grade intercept yet encountered in this area. This new discovery is associated with a repeated section of the stratigraphy along a generally northwest trending zone. RC15-429 tested the extreme northwest extension of an area of mineralization discovered earlier this year.

North Target Area
Recent drilling in the North Target Area primarily focused on step outs to the east designed to test the L and J mineralized zones (Figure 2). Noteworthy intercepts include RC15-405 with 2.3 ft (0.7 m) of 9.337 gpt, 0.274 oz/ton Au, RC15-419 with 20.8 ft (6.3 m), 2.098 gpt, 0.061 oz/ton Au and RC15-421 with 33.7 ft (10.3 m), 3.716 gpt, 0.108 oz/ton Au. These intercepts expand the deposit at Relief Canyon eastward and toward the surface in the Jasperoid Target Area.

Figure 1

PDF - http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/295855-PressRelease-DrillHoles_SW_Jasp_NT_Dec-2015-All.pdf

The 2015 Drilling Program concluded with a total of approximately 105,000 feet of drilling. In total, 177 holes, which include some re-drill holes, were completed. This includes approximately 160 development core-holes, 7 metallurgical holes, and 10 exploration holes. The 10 exploration holes account for approximately 10,000 feet of drilling to test green field targets. The average cost of contracted drilling for the 2015 program was slightly less than $38 per foot. In total, the Company spent approximately $5 million for the development drilling in this program.

Approximately 75% of the assay results have been received by the Company and have cleared Quality Assurance/Quality Control ("QA/QC") review. The Company plans to validate all assays, logging, and geotechnical data and incorporate the results into the Company's database by the end of this month. The Company will complete its review of the 2015 Drilling Program in the first quarter of 2016 and will then announce its 2016 Drilling Program to follow up on the success of the 2015 program.

The Company expects to publish an updated NI 43-101 resource update incorporating these results as well as a Preliminary Economic Analysis on Relief Canyon in the second quarter of 2016. Significant intercepts from the most recent drilling results are shown below in Table 1.

Table 1

Core Hole

From

To

Width

gpt gold

oz/ton gold

Target

Number


feet




Area

RC15-392

93

100

7

0.493

0.014

Jasperoid


137

157.1

20.1

0.259

0.008


RC15-396

22

39.8

17.8

0.420

0.012

Jasperoid

RC15-398

42

48.7

6.7

1.090

0.032

Jasperoid

RC15-400

39

44

5

1.006

0.0294

Jasperoid

RC15-404

117

118.9

1.9

1.978

0.058

Jasperoid

RC15-405

388

403

15

0.858

0.026

North


448

450.3

2.3

9.337

0.274


RC15-407

82

95.4

13.4

1.518

0.044

North

RC15-409

0

18

18

0.294

0.009

North


299.3

313

13.7

0.791

0.023


RC15-410

11.7

22

10.3

0.300

0.009

Jasperoid


114.7

118.8

4.1

0.548

0.016


RC15-411

520.6

555

34.4

0.392

0.011

North


569

624

55

0.884

0.026


RC15-412

50

54.3

4.3

1.082

0.032

Jasperoid


119

124.2

5.2

1.278

0.037


RC15-413

389.2

404.8

15.6

0.766

0.022

Southwest

RC15-417

0

11

11

0.347

0.01

North


298

313

15

0.614

0.018


RC15-418

284.7

302

17.3

0.372

0.011

Jasperoid

RC15-419

198

218.8

20.8

2.098

0.061

North

RC15-421

185

217.9

32.9

1.912

0.056

North


265

298.7

33.7

3.716

0.108


RC15-422

210

242.4

32.4

0.683

0.02

North

RC15-423

443.2

521.8

78.6

0.323

0.009

Southwest


543

658

115

.464

0.013


RC15-424

220.2

231

10.8

1.972

0.058

North

RC15-425

41.5

59

17.5

0.294

0.009

North

RC15-426

190.3

200.8

10.5

0.413

0.012

Jasperoid

RC15-427

542

558

16

0.487

0.014

Southwest

RC15-429

181.2

200

18.8

5.921

0.172

Southwest

RC15-430

218.7

222.2

3.5

0.577

0.017

North

Complete results stated in both imperial and metric units will be posted on the Pershing Gold website at www.pershinggold.com as those results clear quality assurance and quality control ("QA/QC"), and are finalized.

The geology encountered in the drilling at Relief Canyon includes three stacked mineralized zones, identified as the M Zone, the L Zone and the J Zone (Figure 2). The 2015 Drilling Program includes four target areas; The North Pit, the North Target Area, the Jasperoid Target Area and the Southwest Target Area (Figure 1). Recent drilling results discussed above highlight the North Target Area and Southwest Target Area. Additional results are pending for the central and eastern sections of the Jasperoid Target Area, as are results from recent drilling in the North Pit.

Figure 2

PDF - http://origin-qps.onstreammedia.com/origin/multivu_archive/ENR/295857-Cross-Section-1100N-copy.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 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.

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 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 current results from and expectations regarding the results of the 2015 drilling program, the potential update of and expansion of the Relief Canyon resource and publication of an updated NI 43-101 resource estimate and Preliminary Economic Analysis in the second quarter 2016; discovery of a new block of mineralization in the Southwest Target area; plans to complete by the end of December 2015 validation and incorporation into the Company's database of all assays, logging and geotechnical data; 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, less favorable results from and impact on Relief Canyon economics of results from the 2015 exploration program than currently anticipated; insufficient or insufficiently favorable information to include portions of the deposit or 2015 drill results in the Company's next updated resource; interpretations or reinterpretations of geologic and metallurgical information or unfavorable exploration results that could negatively affect estimates of resources of project economics; delays in completing the validation and database incorporation of 2015 drilling results; delays in completing or publishing the updated NI 43-101 resource estimate and Preliminary Economic Analysis; less favorable results of 43-101 resource estimate updates and Preliminary Economic Analysis than currently anticipated; 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, 2014. The Company assumes no obligation to update any of the information contained or referenced in this press release.

Photo - http://photos.prnewswire.com/prnh/20151214/295858-INFO

Photo - http://photos.prnewswire.com/prnh/20151214/295856

Logo - http://photos.prnewswire.com/prnh/20141201/161720LOGO

 

SOURCE Pershing Gold Corporation

For further information: Stephen Alfers, Executive Chairman, President and CEO, Jack Perkins, Vice President, Investor Relations, 720.974.7254, investors@pershinggold.com, www.PershingGold.com, http://www.PershingGold.com


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890