Vancouver, B.C., January 25th, 2021 – Providence Gold Mines Inc. (TSX.V: PHD) (USOTC: PRRVF) (7RH1 “GR- FRANKFURT”) (“Providence Gold Mines” or the “Company”) is pleased to report stockpile percussion drilling assay results of up to 165 g/t Au.
Drilling results has verified that the stockpile contains a significant nugget effect along with lower grading material. Metallurgy is now planned to determine the best design for gold recovery.
This is further to the news release of November 5, 2019 where assay results of up to 253.6 g/t were announced from hand trenching of the Providence mine stockpile located in Tuolumne County, California.
Dr. Lee Groat Ph.D. states “These results and the previously reported assay results of November 5th, July 19 and September 4, 2019 advances the support of the stockpile, and as well, verifies the high-grade nature of the mineralization historically reported.”
Percussion drilling is a hammer drill that uses compressed air from down the hole to blow the hammered material to surface it is known for poor gold recovery, however, it was considered the most effective method of drilling the stockpile material.
The stockpile samples were tested by Bureau Veritas Minerals of Sparks Nevada, using 30 gm lead collection fire assay fusion for total sample digestion with AA finish. All Au>10 ppm is automatically analyzed by gravimetric method.
The processed percussion drill material was collected by Brian Ray PGeo under the supervision of Dr. Lee Groat Ph.D the Company’s Qualified Person. The material sampled was pulverised to a fine dust size and blown to surface. Each sample taken was approximately 1.5 meters in length. Results from the sampling program are reported as follows:
The Company believes that the trenching samples taken by hand previously in 2019 represent an enhancement in accuracy assay representation from that of those produced utilising the Percussion drilling technique.
Previously reported Assay Results 2019:
Modeling of the stockpile is now underway as well as planned metallurgical studies.
Dr. Lee Groat Ph.D and Professor of Earth Science at UBC is the Company’s qualified person (as defined under NI 43-101) and has read and approved the technical information contained in this news release.
ON BEHALF OF THE BOARD
Ronald A. Coombes, President & CEO
Office: (604) 688-8200
All statements, trend analysis and other information contained in this press release relative to markets about anticipated future events or results constitute forward-looking statements. All statements, other than statements of historical fact, included herein, including, without limitation, statements relating to the permitting process, future production of Providence Gold Mines, budget and timing estimates, the Company’s working capital and financing opportunities and statements regarding the exploration and mineralization potential of the Company’s properties, are forward-looking statements. Forward- looking statements are subject to business and economic risks and uncertainties and other factors that could cause actual results of operations to differ materially from those contained in the forward- looking statements. Important factors that could cause actual results to differ materially from Providence Gold Mines expectations include fluctuations in commodity prices and currency exchange rates; uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; the need for cooperation of government agencies and native groups in the exploration and development of properties and the issuance of required permits; the need to obtain additional financing to develop properties and uncertainty as to the availability and terms of future financing; the possibility of delay in exploration or development programs and uncertainty of meeting anticipated program milestones; and uncertainty as to timely availability of permits and other governmental approvals. Forward-looking statements are based on estimates and opinions of management at the date the statements are made. Providence Gold Mines does not undertake any obligation to update forward-looking statements except as required by applicable securities laws. Investors should not place undue reliance on forward- looking statements.
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