Barrick Gold drilling Precipitate Gold’s Pueblo Grande Project, Dominican Republic
Precipitate Gold Corp. [TSXV: PRG; OTCQB: PREIF] reported that Barrick Gold Corp. [TSX: ABX] has commenced a diamond drilling program designed to test two distinct, high priority target areas within Precipitate’s 100%-owned Pueblo Grande Project located immediately adjacent to the Pueblo Viejo gold mine operated by Barrick in the Dominican Republic.
The Phase III drill program tests targets at both the Pueblo Grande Norte and Pueblo Grande Sur zones within the Project. Drilling at the Pueblo Grande Norte zone will follow up on a horizon of favorable alteration related to silica and sulphide hydrothermal brecciation intercepted in Barrick’s previous drilling campaigns. Barrick has also mobilized a drill rig to Pueblo Grande Sur to test a blind target associated with chargeability anomalies identified below a limestone and sedimentary rock sequence.
Jeffrey Wilson, Precipitate’s President and CEO stated, “We’re pleased to see the commencement of a third phase of drilling at our Pueblo Grande project, as Barrick’s geophysical and geochemical work to date within the Project’s Pueblo Grande Norte and Pueblo Grande Sur zones has delineated priority drill targets. The program is designed to test for postulated high sulphidation epithermal style gold mineralization concealed at relatively shallow depths to 250 metres, related to northeast trending structures. We look forward to receipt of assays as results become available.”
Barrick’s work is part of an earn-in agreement whereby Barrick has the right to earn a 70% interest in Precipitate’s Pueblo Grande Project by, among other things, spending US$22.0 million on work expenditures and delivering a Pre-feasibility study by April 14, 2030. Under an amendment to the earn-in agreement, Precipitate and Barrick agreed to increase the earn-in agreement’s total required work expenditure from the original US$10.0 million to US$22.0 million, representing an increase in expenditures of over 120%.
The Pueblo Grande Project is owned 100% by Precipitate Gold and is located in the Sanchez Ramirez province, Dominican Republic, immediately adjacent to the Pueblo Viejo mining operation operated by Barrick. Pueblo Grande is contiguous to the Pueblo Viejo mine operated by Barrick and surrounds the Pueblo Viejo mine site on the west, north and east sides, covering about 7,105.73 contiguous hectares.
Precipitate Gold is focused on exploring and advancing its mineral property interests in the Pueblo Viejo Mining Camp and Tireo Gold Trend of the Dominican Republic.