Gold79 Receives Acceptance Letter for Its Plan of Operations to Drill the Jefferson Canyon Project

Rhea-AI Summary

Gold79 Mines (TSXV: AUU) (OTCQB: AUSVF) has received an Acceptance Letter from the United States Forest Service (USFS) for its Plan of Operations (POO) to explore the Jefferson Canyon Project in Nevada. This marks a positive step in the permitting process, although drilling has not yet been approved. The next steps include public consultation, state heritage agency review, and other assessments before a final decision and bonding.

The Jefferson Canyon project, located 7 km from Kinross's Round Mountain operations, has 145 historical drill holes with promising results. Gold79 entered an Exploration and Option agreement with Kinross in 2022. While there's a possibility of drilling in 2024, it's more likely that the permitting process will extend beyond this year.

Additionally, Gold79 has issued 306,396 common shares related to a US$48,000 payment for its Gold Chain project option agreement.

Positive

• Acceptance Letter received from USFS for Jefferson Canyon Project Plan of Operations
• Progress in the permitting process for Jefferson Canyon exploration
• Jefferson Canyon project has 145 historical drill holes with promising results (e.g., 41.2m at 6.4 g/t gold and 402 g/t silver)
• Exploration and Option agreement with Kinross for Jefferson Canyon project
• Kinross has made all required payments associated with the agreement to date

Negative

• Drilling at Jefferson Canyon not yet approved, further steps required
• Permitting process likely to extend beyond 2024, delaying potential drilling
• Issuance of 306,396 common shares for Gold Chain project payment, potentially diluting existing shareholders

Ottawa, Ontario--(Newsfile Corp. - August 27, 2024) - Gold79 Mines Ltd. (TSXV: AUU) (OTCQB: AUSVF) ("Gold79" or the "Company") has received an Acceptance Letter from the United States Forest Service ("USFS") for its Plan of Operations ("POO") to explore the Jefferson Canyon Project in Nevada.

The Acceptance Letter indicates that the USFS believes that the POO submitted is acceptable based upon studies and documentation submitted to date. The next steps include consultation with both the public and state heritage agency, along with other reviews, which are expected to be followed by a Record of Decision and bonding, before drilling can commence.

Derek Macpherson, President and CEO of Gold79, states, "This is a positive step forward in the Jefferson Canyon permitting process; and, while we are not yet able to start drilling, we continue to make progress towards that end." Mr. Macpherson continued, "It is important to note that while there is still a possibility that drilling could occur this year, the most likely scenario emerging is that the permitting process will not be completed in-time to drill in 2024."

The original Plan of Operations for Jefferson Canyon was submitted in July 2021 and the cultural and biological studies were completed and submitted in Q2 2022. Gold79 received feedback on the proposed areas of disturbance relative to identified cultural sites in March 2023. After multiple revisions to the plan, it was resubmitted on December 12, 2023. After some additional minor revisions, the Acceptance Letter was received on August 26, 2024. The application is for 20 drill sites and associated roads to service them.

The Jefferson Canyon project in Nye County, Nevada is located 7 kilometres from Kinross's Round Mountain operations. The project has 145 historical drill holes, including 41.2m at 6.4 g/t gold and 402 g/t silver (GJ-81). In 2022, Gold79 entered into an Exploration and Option agreement with Kinross. Kinross has made all the required payments associated with the agreement to date and has been working with Gold79 on completing the permitting process.

Gold Chain share payment

Further to its press release dated July 27, 2023, the Company announces that it has issued 306,396 common shares of the Company in connection with a US$48,000 (C$66,024) share payment due under the option agreement covering a portion of the Company's landholdings for the Gold Chain project. The common shares issued have a statutory hold period until December 16, 2024.

Qualified Person / Quality Control and Quality Assurance

Robert Johansing, M.Sc. Econ. Geol., P. Geo., the Company's Vice President, Exploration is a qualified person ("QP") as defined by NI 43-101 and has reviewed and approved the technical content of this press release.

About Gold79 Mines Ltd.

Gold79 Mines Ltd. is a TSX Venture listed company focused on building ounces in the Southwest USA. Gold79 holds 100% earn-in option to purchase agreements on three gold projects: the Jefferson Canyon Gold Project and the Tip Top Gold Project both located in Nevada, USA, and, the Gold Chain Project located in Arizona, USA. In addition, Gold79 holds a 32.3% interest in the Greyhound Project, Nunavut, Canada under JV by Agnico Eagle Mines Limited.

For further information regarding this press release contact:
Derek Macpherson, President & CEO
Phone: 416-294-6713
Email: dm@gold79mines.com
Website: www.gold79mines.com

Book a 30-minute meeting with our CEO here.

Stay Connected with Us:
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Facebook: https://www.facebook.com/Gold79Mines
LinkedIn: https://www.linkedin.com/company/gold79-mines-ltd/

FORWARD-LOOKING STATEMENTS:

This press release may contain forward-looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business including any proposed private placement or any future private placements, the uncertainty as to whether further exploration will result in the target(s) being delineated as a mineral resource, capital expenditures, operating costs, mineral resources, recovery rates, grades and prices, estimated goals, expansion and growth of the business and operations, plans and references to the Company's future successes with its business and the economic environment in which the business operates. All such statements are made pursuant to the 'safe harbour' provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company's most recent annual MD&A and the Company's continuous disclosure documents that can be found on SEDAR+ at www.sedarplus.ca. Gold79 does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/221179

FAQ

What is the current status of Gold79's Jefferson Canyon Project in Nevada?

Gold79 Mines (OTCQB: AUSVF) has received an Acceptance Letter from the USFS for its Plan of Operations to explore the Jefferson Canyon Project in Nevada. This is a positive step in the permitting process, but further reviews and approvals are needed before drilling can commence.

When is Gold79 Mines (AUSVF) expected to start drilling at Jefferson Canyon?

While there's a possibility of drilling in 2024, it's more likely that the permitting process for Gold79's Jefferson Canyon Project will extend beyond this year. The company is still awaiting final approvals and bonding before drilling can begin.

What is the significance of the Jefferson Canyon Project for Gold79 Mines (AUSVF)?

The Jefferson Canyon Project is significant for Gold79 Mines (AUSVF) as it's located 7 km from Kinross's Round Mountain operations and has 145 historical drill holes with promising results, including 41.2m at 6.4 g/t gold and 402 g/t silver. The company has an Exploration and Option agreement with Kinross for this project.

Has Gold79 Mines (AUSVF) issued any new shares recently?

Yes, Gold79 Mines (AUSVF) has issued 306,396 common shares in connection with a US$48,000 share payment due under the option agreement for a portion of its Gold Chain project landholdings. These shares have a statutory hold period until December 16, 2024.