Precipitate Gold updates Pueblo Grande Project, Dominican Republic
Precipitate Gold Corp. [TSXV-PRG; OTC-PREIF] reported that Barrick Gold Corp. [TSX-ABX; NYSE-GOLD] has provided an exploration update on the Phase II diamond drilling program and continued advancement of additional targets within Precipitate’s 100%-owned Pueblo Grande Project, Dominican Republic. Barrick’s exploration is part of an earn-in agreement whereby Barrick has the right to earn a 70% interest in the project.
Pueblo Grande Norte Zone: Barrick’s Diamond Drill Program Update: Barrick completed 4 diamond drill holes totaling approximately 1,200 metres at the project’s Pueblo Grande Norte Zone, located immediately west of Barrick’s Pueblo Viejo mining pits.
Three of the four holes encountered encouraging permeable volcanic lithologies affected by high-sulfidation type alteration with several events of strong sulfide disseminations, similar to observations at the neighbouring Pueblo Viejo Mine.
Final multi-element laboratory analytical results are pending, but significant gold and silver values are not anticipated from these initial holes. However, the favourable high sulphidation type alteration encountered in these recently completed holes warrants follow up geophysics and diamond drilling with a second rig, and supports the zone’s potential to host gold mineralization
Barrick plans to conduct a detailed ground magnetic survey and a follow up drilling program within the Zone as part of the planned drilling program at Pueblo Grande Norte
Pueblo Grande Sur Zone: Barrick’s New Target Delineation and Ongoing Exploration: Exploration to date has identified two early-stage targets of coincident soil.
Barrick has conducted various phases of geological surface mapping, systematic grid soil sampling and reconnaissance scale IP ground geophysics.
Barrick’s exploration work for 2024 will delineate and refine drill-worthy targets in this emerging area of the Project, with Pueblo Grande Sur diamond drill testing permits expected during 2024.
The Pueblo Grande Sur Zone is located several kilometres to the southeast of Barrick’s Pueblo Viejo mining pits.
Jeffrey Wilson, Precipitate’s President and CEO stated, “We are pleased to report that Barrick’s drill program within the Pueblo Grande Norte Zone has yielded positive results, justifying the addition of a second drill rig for ongoing drill testing within this area of the project. Three of the four initial drill holes intersecting compelling high sulphidation type alteration with multi-episode sulphide mineralization, similar to that noted in the Pueblo Veijo Mine, is an excellent start toward identifying gold enriched horizons within our project. Barrick’s decision to conduct further geophysics and add a second drill rig at Pueblo Grande Norte speaks to the technical significance of these early holes and evidences the zone’s ongoing potential for discovery.
“We are equally pleased to see Barrick’s continued property-wide exploration work has identified two early-stage target areas within the Pueblo Grande Sur Zone, east of Barrick’s Pueblo Viejo Mine. To the end of 2023, Barrick has spent an approximately US$5.0 million on Pueblo Grande exploration, which speaks to Barrick’s ongoing commitment to systematically explore and advance the project. We look forward to pending assay results and ongoing updates as Barrick’s work continues.”
In accordance with the Earn-in Agreement between Precipitate and Barrick, as announced April 14, 2020, Barrick can earn a 70% interest in Precipitate’s Pueblo Grande project by incurring a minimum US$10.0 million in qualifying Work Expenditures and delivering a qualifying pre-feasibility study prior to the sixth anniversary of the entering into of the agreement.
In addition, Precipitate Gold granted stock options to certain of its directors, officers and consultants to purchase up to 2,570,000 common shares. Each option is exercisable to acquire one common share of Precipitate at a price of $0.09 until February 14, 2029. The options will vest in accordance with the company’s stock option plan and are subject to TSX Venture Exchange acceptance.
Precipitate Gold is a mineral exploration company focused on exploring and advancing its mineral property interests in the Pueblo Viejo Mining Camp and Tireo Gold Trend of the Dominican Republic.