Provenance Gold Corp. (CSE: PAU | OTCQB: PVGDF) has announced that assay results from its recent outcrop sampling at its Eldorado project in Malheur County, Eastern Oregon, support and augment historic work and help to illustrate the pervasiveness of the near-surface gold mineralization.
The Eldorado project is a porphyry hosted gold occurrence that has mineralization starting at the surface, and in which higher grade gold values occur in breccia zones and structures. The property was the site of extensive historic placer mining, and more recently, of more than 242 historic drill holes and trenches.
In 1990, the first mineral inventory was calculated by Pincock, Alan and Holt (PAH), a reputable engineering firm that was used industry-wide for this type of work. PAH modelled 158 of the historic drill holes which identified approximately 52,896,000t that graded 0.578g/t gold (0.0169oz/t gold) at a cut-off of 0.274g/t (0.008oz/t) in the completely open-ended gold system.
The company is aware of a second historical resource estimate that was calculated by Ican Minerals and a further projected resource estimate by Ican from work completed between 1989 and 1997 where the tonnage and grade were substantially higher.
The company is not treating any of these estimates as current mineral resources and a qualified person has not done sufficient work to classify the estimates as current mineral resources. The estimates were prepared prior to the enactment of National Instrument 43-101 and should not be relied upon for investment decisions. The purpose of presenting this information is to show that the Eldorado project has potential to hold a large mineral inventory.
Provenance plans to update these historical estimates into a current resource model. Near-term work includes confirmation drilling by twinning several the historic holes, certifying, and comparing assays between the old and new holes, validating all historic holes in the field with a GPS, and confirming historic metallurgical test results.
When the company is comfortable with these upgrades in compliance, then a new stand-alone current resource can be calculated. Other than these, the Company is not aware of any more recent estimates prepared for the property.
Steve Craig, project manager, stated that: “Compilation of these two historic data sets with our own recent rock chip assays has provided significant confidence that the Eldorado gold system is large. Looking at just the “onion skin” of surface gold anomalies has provided Provenance with significant future exploration direction. Our next compilation project will be synthesizing the past 500+ historic rock chip samples, trench samples and integration of the historic magnetic and IP surveys.”
To find out more, please visit www.provenancegold.com
