- Core drilling at Penelas East discovery area intersected gold mineralization across a 170 feet (51.8 meters) interval in B-1454C, the last hole drilled in the area for 2014.
- Follow-up drilling is planned to explore the area further north of Penelas East given the deeper intercepts uncovered thus far.
- Core drilling at the historic resource area intersected gold mineralization across a 105.3 feet (32.1 meters) interval in B-1463C, the next-to-last hole drilled in the area for 2014 with considerable potential to expand the resource further north.
- Because both of these final holes of the 2014 drilling program indicate further exploration potential, drilling program proposals are already in the works for 2015 to pursue possible extensions in both areas.
With the last drill holes for 2014 complete, all drill hole data and related geologic information is currently being evaluated with an initial resource estimate expected to be delivered in the first quarter of 2015.
Bruner project rock samples
Penelas East Discovery Area Drilling Update
Core drilling at the northern extension of the Penelas East discovery area intersected gold mineralization across a 170 feet (51.8 meters) interval in the last hole drilled in the target area for 2014. Drill hole B-1454C intersected 51.8 meters (170 feet) grading 0.444 gm/tonne (0.013 oz/ton) Au from 208.2-260 meters (683-853 feet). This intercept is roughly 36.6 meters (120 feet) along strike of the intercept reported previously in hole B-1446C which intersected 22.9 meters grading 3.29 gm/tonne Au, occurring at approximately the same elevation as the intercept reported in hole B-1446C. Previous drill hole B-1437 intersected 25.9 meters near the surface from 6.1-32 meters depth grading 2.37 gm/tonne Au.
Further drilling is required to determine if the deep intercepts in B-1454C and B-1446C can be connected with the shallower intercept in B-1437. These intercepts are also open to the north. Follow-up drilling will be planned for 2015 to determine whether these deeper intercepts can be extended approximately 100 meters northward towards similar intercepts encountered earlier in reverse circulation (RC) holes B-1405 and B-1407.
Historic Resource Area Drilling Update
Core drilling at the northeast extension of the historic resource area intersected gold mineralization across a 105.3 feet (32.1 meters) interval in the next-to-last hole drilled in the target area for 2014. Core hole B-1463C intersected 105.3 feet (32.1 meters) from 51.7-157 feet (15.8-47.9 meters) grading 0.010 oz/ton (0.339 gm/tonne) Au. This intercept is the last drill hole in this area to the northeast of the historic resource area with considerable potential to expand the resource further northward. A prominent gold-in-soil and coincident potassium alteration anomaly continues north of the intercept in hole B-1463C for over 600 meters. This potential area for expansion is located entirely on patented claims and will be the focus of a proposed drilling program in 2015.
The Bruner Project
The Bruner Project is situated in central Nevada, 15 miles north of the Paradise Peak mine, 45 miles northwest of Round Mountain and 25 miles east of the Rawhide mine. Historic production from the Bruner property included about 100,000 ounces at an average grade of 0.56 opt gold.
Patriot Gold's Option To Optionee/Operator
Patriot Gold owns 100% undivided rights, title and interest in the project which is subject to certain royalties and an earn-in option agreement for 70% interest. The earn-in optionee/operator, Canamex Resources Corp. (TSX-V: CSQ) (OTCQX: CNMXF), has the right to earn 70% interest in the Bruner project by spending $6 million over seven years and may earn an additional 5% by completing a bankable feasibility study for a total of 75% interest in the project. Subsequent to the optionee/operator earn-in, financing of the project will be on a proportional basis.
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.