During Phase II, the Company's partner, Northern Vertex expects to advance approximately 20,000 feet of reverse circulation (RC) and core drilling at the promising western extension of the Moss gold-silver site. Drilling of four holes has already been completed and analytical results for these first four drill holes are expected shortly.
"We are very pleased to initiate our Phase II program on Moss as we continue to advance the project towards a production decision," said Joe Kircher, Moss Project Manager for Northern Vertex. "As evidenced by the Scott E. Wilson, Consulting (SEWC) resource estimate, Moss has already demonstrated consistent grades and remarkably uniform gold and silver distribution across its entire stockwork gold-silver vein system and has the attributes to become a substantial, near-term gold-silver producer. Through the current resource expansion program, we plan to further boost and expand the attractive resource foundation we currently have in place. We will also continue to develop our metallurgical, geotechnical , environmental, hydrological and economic scoping data base as a precursor to future mine permitting and feasibility."
"After receiving strong and favorable independent resource calculations following the completion of our Phase I drilling at the Moss Gold-Silver site, we believe that further investigation in other areas of the Moss site makes sense," said Bob Coale, President of Patriot Gold. "At the same time, we are excited about the progress that our partner, Northern Vertex, continues to make in progressing towards a final production decision."
As previously reported, in October 2011, the company received the results of an independent resource calculation completed by SEWC, a Colorado based engineering firm. The firm's independent resource calculation, which is NI 43-101 compliant, estimates that the Moss site contains a Gold Equivalent Resource total of 590,400 indicated and inferred ounces, based on a review of confirmed drilling samples obtained during Phase I of the Moss Gold-Silver Project. A summary of the findings are presented below:
In addition to additional drilling during Phase II, the company is also conducting the following activities:
- Continued scoping and baseline studies to advance the permitting process.
- Comprehensive metallurgical testing to determine precious metal recoveries.
- Preliminary pit design for open-pit, heap-leach mining.
- Initiation of environmental impact and feasibility studies.
National Instrument 43-101 (or NI 43-101) is a codified set of rules and guidelines for reporting and displaying information related to mineral properties owned by, or explored by, companies which report these results on stock exchanges within Canada. The NI 43-101 requires that companies traded on the Canadian stock exchange provide technical reports conducted by an independent source to provide information on mineral resources. The information is provided to ensure that misleading, erroneous or fraudulent information relating to mineral properties is not published and promoted to investors on the stock exchanges overseen by the Canadian Securities Authority.
Disclaimer: This announcement may contain forward-looking statements which involve risks and uncertainties that include, among others, limited operating history, limited access to operating capital, factors detailed in the accuracy of geological and geophysical results including drilling and assay reports; the ability to close the acquisition of mineral exploration properties, and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. More information is included in the company's filings with the Securities and Exchange Commission, and may be accessed through the SEC's web site at http://www.sec.gov.