Provenance Gold Confirms Gold Mineralization Extends to Depth in the First Drill Hole at Eldorado

Rhea-AI Summary

Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) has provided an update on its ongoing core drilling program at the Eldorado project in Eastern Oregon. The first core hole, EC-01, has reached a depth of 207m and has encountered highly altered and mineralized granodiorite with visible gold at multiple horizons (30m, 108m, and 158m). This confirms that gold mineralization extends deeper than previously recognized, potentially beyond 120 meters.

Key findings from EC-01 include:

• The high-grade portion of the gold system is not to a breccia zone
• Mineralization extends deeper than previously thought
• The core is not strongly silicified, suggesting a late-stage or separate lower temperature mineralizing event

The company expects to close the second tranche of its private placement, which is reportedly over-subscribed, around October 4th, 2024.

Positive

• Visible gold found at multiple horizons in core hole EC-01, indicating significant mineralization
• Gold mineralization extends deeper than previously recognized, potentially beyond 120 meters
• Core drilling confirms that the high-grade gold system is not to a breccia zone
• Private placement expected to be over-subscribed, indicating strong investor interest

Negative

• None.

Vancouver, British Columbia--(Newsfile Corp. - September 25, 2024) - Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) (the "Company" or "Provenance") is pleased to provide an update on its ongoing core drilling program at its Eldorado project in Malheur County, Eastern Oregon.

Drilling of the first core hole (EC-01: orientated N10W at - 68⁰ dip, with a planned depth of 300 m) is ongoing. At the time of this update, the hole was at a depth of 207 m in highly altered and mineralized granodiorite with visible gold located at multiple horizons (30m, 108m, and 158m). The hole was designed to test the down dip extent of Provenance's 2023 reverse circulation hole ED-07 which averaged 3.085 g/t gold over its entire length of 114 meters and terminated while still in strong mineralization (See Press Release dated July 31, 2023). In addition, EC-01 crosscuts the projected northeast trend of the high-grade mineralization in this part of the Eldorado gold system and the presence of visible gold in the mineralization continues to expand the known mineralization along strike and to depth. Logging and core processing is ongoing and additional results will be released once available.

Figure 1 - Down dip visible gold locations in EC-01.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/5654/224499_8c835af1b46a291f_001full.jpg

Provenance Gold's Chairman, Rauno Perttu, stated, "The first core hole has already demonstrated the gold mineralization extends much deeper than the depth of approximately 120 meters we went to on holes ED-07 and ED-11 during our RC drilling program last summer. Furthermore, our field work has identified additional mineralized zones well beyond the current and historic drilling. Even though we have 242 historic holes and EC-01 is our 12^th new hole, the gold system remains wide open for expansion with multiple visible gold occurrences over several intervals. We are very pleased with what we are seeing in the core at this early stage. This is an exciting time for our company."

Core hole EC-01 has already provided important and positive information about the gold system on three key fronts:

• The high-grade portion of the gold system is not controlled by or limited to a breccia zone, as had been previously postulated. The core to date is dominated by altered granodiorite with disseminated sulphides (predominantly pyrite) with multiple visible gold grains across multiple zones.
• At the current drilling depth of 207 meters, the mineralization extends deeper than previously recognized and additionally supports the presence of Provenance's postulated deeper high-grade zone.
• The core is not strongly silicified, confirming that the mineralization is a late-stage or even separate lower temperature mineralizing event which is consistent with the excellent gold recoveries experienced by Provenance and by historic laboratory testing (See Press Release dated February 07, 2024).

Private Placement

The Company expects to close on the second tranche of its private placement as announced on June 28^th, 2024, on or around October 4^th, 2024. The private placement is expected to be over-subscribed, and the Company would like to thank all that have indicated their participation.

Qualified Person

The technical content disclosed in this press release was reviewed and approved by Jo Price, P.Geo., M.Sc., a Qualified Person as defined under National Instrument 43-101.

About Provenance Gold Corp.

Provenance Gold Corp. is a precious metals exploration company with a focus on gold and silver mineralization within North America. The Company currently holds interests in Nevada, and eastern Oregon, USA.

Provenance is also active on social media and invites investors to follow us on X to stay up to date with our latest news and developments:

https://x.com/ProvenanceGold

For further information please visit the Company's website at https://provenancegold.com or contact:

Rauno Perttu, CEO
rkperttu@provenancegold.com
1-541-930-0986

On behalf of the Board,
Provenance Gold Corp.
Rauno Perttu, Chief Executive Officer

Safe Harbor Statement: Neither the Canadian Securities Exchange, nor its regulation services provider, accepts responsibility for the adequacy or accuracy of this press release. This news release may contain certain "Forward-Looking Statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. When or if used in this news release, the words "anticipate", "believe", "estimate", "expect", "target, "plan", "forecast", "may", "schedule" and similar words or expressions identify forward-looking statements or information. Such statements represent the Company's current views with respect to future events and are necessarily based upon a number of assumptions and estimates that, while considered reasonable by the Company, are inherently subject to significant business, economic, competitive, political and social risks, contingencies and uncertainties. Many factors, both known and unknown, could cause results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements. The Company does not intend, and does not assume any obligation, to update these forward-looking statements or information to reflect changes in assumptions or changes in circumstances or any other events affecting such statements and information other than as required by applicable laws, rules and regulations.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/224499

FAQ

What are the key findings from Provenance Gold's first core hole (EC-01) at the Eldorado project?

The first core hole (EC-01) at the Eldorado project revealed highly altered and mineralized granodiorite with visible gold at multiple horizons (30m, 108m, and 158m). It confirmed that gold mineralization extends deeper than previously recognized, potentially beyond 120 meters, and that the high-grade portion of the gold system is not to a breccia zone.

When is Provenance Gold (PVGDF) expected to close the second tranche of its private placement?

Provenance Gold expects to close the second tranche of its private placement on or around October 4th, 2024. The company reports that the placement is expected to be over-subscribed.

What is the significance of the core not being strongly silicified in Provenance Gold's Eldorado project?

The core not being strongly silicified suggests that the mineralization is a late-stage or separate lower temperature mineralizing event. This is consistent with the excellent gold recoveries experienced by Provenance and by historic laboratory testing, as mentioned in their February 07, 2024 press release.

How deep is the first core hole (EC-01) drilled by Provenance Gold at the Eldorado project?

At the time of the update, the first core hole (EC-01) at Provenance Gold's Eldorado project had reached a depth of 207 meters, with a planned total depth of 300 meters.