Provenance to Mobilize Its 2024 Core Drilling Program at Eldorado

Rhea-AI Summary

Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) announced the mobilization of its first core drilling program at the Eldorado property, starting on July 9, 2024. The 5-hole, 1000-meter minimum program aims to drill deeper into the system and will take about five weeks. This follows the 2023 reverse-circulation drilling that confirmed historic results and identified a new high-grade gold zone.

The 2023 highlights include notable drill results such as 140.208 meters of 1.15 g/t gold and 114.3 meters of 3.085 g/t gold. Provenance plans a more extensive RC drilling program later in 2024. The company also announced an investor relations agreement with Paradox Public Relations and a private placement aiming to raise funds through the issuance of up to 15 million units priced at $0.08 per unit.

Positive

• Mobilization of a 1000-meter core drilling program at Eldorado starting July 9, 2024.
• Previous 2023 RC drilling confirmed historic results and discovered a high-grade gold zone.
• Notable 2023 drilling highlights include 140.208 meters of 1.15 g/t gold and 114.3 meters of 3.085 g/t gold.
• Plans for an extensive RC drilling program later in 2024.
• Investor relations agreement with Paradox Public Relations for market awareness and investment introductions.
• Private placement to raise funds through the issuance of up to 15 million units at $0.08 per unit.

Negative

• The core drilling program is projected to last five weeks, causing potential delays in further exploration.

Vancouver, British Columbia--(Newsfile Corp. - June 19, 2024) - Provenance Gold Corp. (CSE: PAU) (OTCQB: PVGDF) (the "Company" or "Provenance") is pleased to announce that its first core drilling program at its Eldorado property is scheduled to mobilize on July 9^th. The planned 5-hole, 1000-meter minimum core drilling program will allow the Company to drill deeper into the system and is expected to take approximately five weeks to complete.

July 2024 Core Drilling Program

Since almost all of the historic drilling was conducted by rotary drilling and Provenance's 2023 program utilized reverse-circulation drilling, the diamond drilling program is essential to provide a visual confirmation of the nature of geological features, structures, and mineralization which is vital for modeling of the gold system and future exploration.

Provenance Chairman Rauno Perttu said, "As a geologist, rock chips are an important part of exploration, but I'm very excited to see the core. This will allow us to confirm our geological modeling. We are also looking to explore the extent to which the gold system extends deeper than exploration to date has been able to demonstrate. Our key 2023 holes bottomed while still in strong mineralization."

The drilling follows up excellent results received from the Company's 2023 initial 11 RC confirmation drilling program at Eldorado, which confirmed and exceeded historic results and identified a newly recognized high-grade zone that begins below most of the historic drilling.

Detailed information regarding the core drilling program including locations, cross-sections, mapping and additional analysis will be provided in subsequent news releases.

2023 Drilling Highlights

Hole ED-03: 140.208 Meters of 1.15 g/t Gold

Hole ED-04: 137.160 Meters of 1.639 g/t Gold

Hole ED-07: 114.3 Meters of 3.085 g/t Gold

Hole ED-11: 118.872 Meters of 3.278 g/t Gold

Please click here for a complete summary of our recent 11-hole RC drill program at Eldorado.

Further Drilling

Once the core drill holes are processed, assayed, and data interpretation and remodelling have been completed, Provenance plans to conduct a much more extensive RC drilling program later in 2024 to further grow the mineralized footprint both at surface and at depth.

Investor Relations

Provenance has entered into an investor relations services agreement with Paradox Public Relations Inc. ("Paradox") to provide certain services to the Company including market awareness, investment and mining introductions and presentations. Paradox is a Montreal based investor relations consultancy firm that has been in business for over 25 years. Paradox has represented a number of public companies through its extensive network and experience in the capital markets. The investor relations agreement with Paradox has a term of 36 months, effective immediately, and may be terminated at any time without charge by either party by giving 30 days' notice. Paradox will be paid a monthly fee of $20,000 and will be granted stock options to acquire up to 1,000,000 common shares at a price of $0.10 per share with a term of three years. The options will vest in stages over a period of 12 months, in equal portions, on a quarterly basis starting three months from the date of grant, in accordance with the Company's stock option plan and the policies of the CSE. The Company is at arms-length from Paradox.

Private Placement

The Company plans to close the previously announced private placement prior to the commencement of drilling.

On May 2, 2024, the Company announced the intent to complete a non-brokered private placement for up to 15 million units at a price of $0.08 per unit. Each unit consists of one common share of the issuer and one share purchase warrant with each warrant entitling the holder thereof to purchase one additional share of the issuer at a price of $0.12 per share for a period of three years from the closing date of the placement.

All securities issued in connection with the placement will be subject to restrictions on resale for a period of four months and one day in accordance with applicable securities laws. The Company may pay finders' fees to eligible third parties who have introduced subscribers to the placement.

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

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/213554

FAQ

When will Provenance Gold Corp. start its core drilling program at Eldorado?

Provenance Gold Corp. will start its core drilling program at Eldorado on July 9, 2024.

What are the details of Provenance Gold Corp.'s 2024 drilling program?

The 2024 drilling program includes a 5-hole, 1000-meter minimum core drilling to drill deeper into the system and is expected to take about five weeks.

What were the highlights of Provenance Gold Corp.'s 2023 drilling results at Eldorado?

The 2023 drilling highlights at Eldorado include 140.208 meters of 1.15 g/t gold and 114.3 meters of 3.085 g/t gold.

What is the stock symbol for Provenance Gold Corp.?

The stock symbol for Provenance Gold Corp. is PVGDF.

What is the structure of Provenance Gold Corp.'s private placement?

The private placement involves issuing up to 15 million units at $0.08 per unit, with each unit consisting of one common share and one share purchase warrant at $0.12 per share.