Provenance Gold Provides Operational Update and a Review of Recent Activities at Eldorado

Rhea-AI Summary

Provenance Gold Corp (CSE: PAU) (OTCQB: PVGDF) has provided an operational update for its Eldorado Gold Property in Malheur County, Oregon. The company reported significant 2024 achievements, including expanded land holdings and completion of IP geophysical survey. Notable drilling results include EC-01 returning 2.01 g/t Au over 288.34m from surface, including 3.07 g/t Au over 175.26m, and discovery of a new high-grade zone yielding 13.18 g/t Au over 13.69m.

The company maintains a strong financial position with $2.5 million cash as of December 31, 2024, including $1.92 million generated through warrant exercises in Q4 2024. For 2025, Provenance has negotiated amended payment terms for its $400,000 USD Eldorado option payment, split into three installments. The company is planning a 10,000+ meter core and RC drill program at Eldorado, starting in early 2025.

Positive

• Strong drilling results: EC-01 returned 2.01 g/t Au over 288.34m including higher grade sections
• Discovery of new high-grade zone with 13.18 g/t Au over 13.69m
• Healthy cash position of $2.5M as of December 31, 2024
• Successfully raised $1.92M through warrant exercises in Q4 2024
• Restructured $400,000 option payment into manageable installments

Negative

• Option payment of $400,000 due in 2025 indicates ongoing financial obligations
• Results pending for two core holes (EC-02 and EC-03) creating uncertainty

Vancouver, British Columbia--(Newsfile Corp. - January 9, 2025) - Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) (the "Company" or "Provenance") is pleased to provide an operational update and a review of recent activities at its Eldorado Gold Property.

As we review an exceptional year for Provenance, the Company looks to aggressively advance the Eldorado Gold Property in Malheur County, Oregon in 2025. Recent exploration results from Eldorado suggest that the property hosts a large low sulfur gold system that extends significantly deeper than previously recognized and remains open in all directions.

2024 Highlights

• Increased its land position to secure the newly recognized expanded footprint of the gold system.
• Conducted an IP geophysical survey across the property that confirmed key structural controls for the gold mineralization and identified exciting exploration targets that remain untested.
• Completed a detailed geologic map of the property, including a surface alteration map.
• Drilled three core holes to follow up on the very positive 2023 RC drill results.

• EC-01 returned 2.01 g/t Au over 288.34m from surface including 3.07 g/t Au over 175.26m
• Discovered a new high-grade zone below the previously known mineralisation that returned 13.18 g/t Au over 13.69m including 21.70 g/t Au over 6.10m
• The zone appears to have a true thickness of 85 to 100 meters and to have a significant strike length
• Results for the remaining two core holes are pending

• Identified at least two previously unrecognized large, high-grade zones outside of the historically reported pre-NI43-101 non-compliant resource via new drilling and surface mapping.
• Expanded the target size potential at Eldorado significantly through increasing the grade as well as depth and strike extent.
• The Company saw increased market recognition in 2024 and expects to be even more active in its efforts to articulate the exceptional projects held by the Company and the excellent opportunity that we believe presents itself.

Current Cash Position

As of December 31, 2024 the Company had available cash on hand of approximately $2,500,000. A total of $1,921,753 was generated through the exercise of warrants during the fourth quarter of 2024.

Eldorado Option Payment

Provenance and Nevada Select Royalty, Inc., a subsidiary of Gold Royalty Corp., have agreed to amended payment terms for the 2025 $400,000 USD option payment due on the Eldorado property as follows:

• $133,333 USD to be paid on or before March 31^st 2025
• $133,333 USD to be paid on or before June 30^th 2025
• $133,334 USD to be paid on or before September 30^th 2025

2025 Drill Program

Provenance is planning a 10,000+ meter core and reverse circulation (RC) drill program at Eldorado that will be completed in stages starting in early 2025, with several drill locations currently permitted. The Company plans to issue a comprehensive update regarding details of this program in the coming weeks.

2024 Diamond Core Assay Results

The Company is currently awaiting assay results from core holes EC-02 and EC-03. Results will be released once available.

VRIC

The Company will be attending the Vancouver Resource Investment Conference (VRIC) on January 19^th and January 20^th 2025, booth #829.

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/236552

FAQ

What were the key drilling results from Provenance Gold's (PVGDF) Eldorado property in 2024?

The key drilling result was from hole EC-01, which returned 2.01 g/t Au over 288.34m from surface, including 3.07 g/t Au over 175.26m, and a new high-grade zone yielding 13.18 g/t Au over 13.69m.

How much cash does Provenance Gold (PVGDF) have as of December 31, 2024?

Provenance Gold reported approximately $2.5 million in cash as of December 31, 2024, with $1,921,753 generated through warrant exercises in Q4 2024.

What is Provenance Gold's (PVGDF) drilling plan for Eldorado in 2025?

Provenance Gold is planning a 10,000+ meter core and reverse circulation (RC) drill program at Eldorado, to be completed in stages starting in early 2025.

How will Provenance Gold (PVGDF) structure its $400,000 Eldorado option payment in 2025?

The $400,000 USD option payment will be split into three installments: $133,333 due March 31st, $133,333 due June 30th, and $133,334 due September 30th, 2025.