Pershing Gold Announces Expansion of High-Grade Zone With 87.91 gpt (2.57 opt) Intercept at Relief Canyon
LAKEWOOD, Colo., Feb. 11, 2015 /CNW/ -- Pershing Gold Corporation (OTCQB: PGLC) ("Pershing Gold" or the "Company") announces that the core-drilling program at the Relief Canyon Mine in Pershing County, Nevada continues to discover numerous high-grade gold intercepts that further define a broad zone of high-grade gold mineralization in the North Target Area. Drill hole RC15-265A encountered 0.9 meters (3 feet) of 87.912 grams per tonne ("gpt") gold ("Au")/2.567 ounces per ton ("opt") Au that is included in a 9.2 meter (30.3 foot) intercept of 11.422 gpt/0.334 opt Au.
Drill hole RC15-269 is another significantly mineralized hole, which contains a 3.1 meter (10.2 foot) intercept of 9 gpt/0.263 opt Au within a 28 meter (91.8 foot) intercept of 1.74 gpt/0.051 opt Au. This hole also includes a 6.2 meter (20.2 foot) intercept of 3.05 gpt/0.089 opt Au.
"With these drilling results we now have many holes in the North Target Area defining new zones with high-grade intercepts. We announce here a second hole with an exceptionally high-grade gold intercept – the 3 feet (0.9 meters) of 87.912 gpt/2.567 opt Au in RC15-265A," said Stephen D. Alfers, Pershing Gold's Chairman and CEO. "For over a year our team has been drilling the three zones (Main Zone, Lower Zone and Jasperoid Zone) in the North Target area. We recently reported RC15-264, exposing a 76.8 gpt/2.24 opt intercept and a new high–grade zone within the Lower Zone. The results released today report holes suggesting lateral extent of multiple high-grade zones at least 800 feet east to RC15-265A. These two high–grade zones continue to be open to the north and west, adjacent to RC15-264 and to the north and east, adjacent to RC15-265A, and therefore suggest new targets to the north, east and west to expand these new zones."
The current Relief Canyon resource estimate does not include any of the 2014 and 2015 drill holes – including the many core holes in the North Target Area drilled during this time frame. The Company is planning to release an updated resource estimate 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.
"The grades in the North Target Area are much higher than the average grade (roughly 1 gpt/0.03 opt Au) of the Relief Canyon deposit that was mined in the 1980s. We expect that incorporating our drilling results in the North Target Area into an updated resource estimate will improve and increase the gold resource at Relief Canyon." said Alfers.
Figure 1 shows the locations of the holes discussed in this news release, as well as other high-grade holes in the North Target Area. Table 1 lists the highlights of the drilling results for the thirteen holes being reported today.
Table 1: Highlights of New Drilling Results in the North Target Area
| Core Hole |
From |
to |
Width |
Gold |
| Number |
meters |
gpt |
||
| RC14-255 |
46.0 |
64.6 |
18.7 |
0.993 |
| RC14-256 |
83.5 |
89.0 |
5.5 |
1.251 |
| 149.0 |
153.3 |
4.3 |
2.780 |
|
| RC14-260 |
132.2 |
148.9 |
16.8 |
0.998 |
| 168.6 |
173.3 |
4.6 |
2.426 |
|
| RC14-261 |
136.3 |
142.6 |
6.4 |
2.614 |
| RC14-262 |
74.7 |
80.8 |
6.1 |
1.969 |
| 93.0 |
100.3 |
7.3 |
1.685 |
|
| RC15-263 |
125.3 |
141.1 |
15.8 |
1.458 |
| RC15-265 |
114.3 |
128.1 |
13.8 |
2.854 |
| RC15-265A |
114.8 |
128.6 |
13.8 |
7.859 |
| including |
119.4 |
128.6 |
9.2 |
11.422 |
| including |
124.1 |
125.0 |
0.9 |
87.912 |
| RC15-266 |
16.2 |
28.3 |
12.2 |
0.763 |
| 64.3 |
69.5 |
5.2 |
1.205 |
|
| 81.4 |
95.4 |
14.1 |
0.857 |
|
| RC15-267 |
51.8 |
79.2 |
27.4 |
0.378 |
| 190.0 |
190.5 |
0.5 |
5.622 |
|
| RC15-268 |
74.9 |
99.4 |
24.5 |
1.031 |
| 110.0 |
117.9 |
7.8 |
2.167 |
|
| including |
116.7 |
117.5 |
0.8 |
19.990 |
| RC15-269 |
48.2 |
57.7 |
9.5 |
0.541 |
| 65.5 |
71.6 |
6.2 |
3.050 |
|
| 121.3 |
149.3 |
28.0 |
1.739 |
|
| including |
132.6 |
135.7 |
3.1 |
9.000 |
| 189.6 |
207.3 |
17.7 |
1.129 |
|
| RC15-270 |
138.0 |
146.9 |
8.9 |
1.145 |
Notes:
- "RC14-XXX" or "RC15-XXX" denotes "Relief Canyon 2014" or "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 in both meters/gpt and feet/opt
- Gpt means grams per metric ton ("tonne"); opt means troy ounces per short ton
- Gpt can be converted to opt using a conversion factor of 0.0292
Many of the high-grade gold intercepts encountered in the core holes drilled since 2013 in the North Target Area are associated with the previously reported white clay fluorite ("WCF") mineral assemblage within the Lower and Jasperoid zones. Since recognizing this association and the importance of the WCF, the Company has continued to refine the core-drilling techniques used to maximize recovery when drilling in the soft and fragile WCF zones.
One of the holes being reported today, RC15-265A, is a re-drill (a twin) of a previously drilled core hole, RC15-265, that encountered poor recovery in an important WCF zone. The Company believes that the improved core-recovery techniques used to drill RC15-265A significantly increased the grade of the same interval in the previously drilled hole. RC15-265 contained a 13.8 meter (45.4 foot) intercept from 114.3 meters to 128.1 meters (375 feet to 420.4 feet) of 2.854 gpt/0.083 opt Au. In this same interval, the re-drilled hole, RC15-265A, contained a 13.8 meter (45.2 foot) intercept from 114.8 meters to 128.6 meters (376.8 feet to 422 feet) of much higher grade mineralization consisting of 7.859 gpt/0.229 opt Au. The Company attributes the higher- grade intercept in RC15-265A to substantially improved recovery of the WCF mineralization, demonstrating the importance and effectiveness of the enhanced core-recovery techniques developed for drilling the Relief Canyon deposit.
Assay data are still pending for an additional 15 holes drilled in the North Target Area. The Company plans to announce the results from these holes when they become available.
Metallic Screen analysis is in progress for selected intervals listed in Table 1. 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 metallic screen results will be posted on the Company's web page when the results are available.
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 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; 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
For more information, please contact:, Jack Perkins, Vice President, Investor Relations, 720.974.7254, [email protected], www.PershingGold.com, http://www.pershinggold.com
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