Patagonia Gold Reports Final Drilling Results From the Monte Leon Target, Santa Cruz, Argentina
July 13 2023 - 6:44AM
Patagonia Gold Corp. (“Patagonia” or the “Company”) (TSXV: PGDC) is
pleased to announce receipt of the final analytical results from
drilling at the Monte Leon (“MLN”) target near its Cap Oeste
(“Capo”) mine in the Santa Cruz province of southern Argentina.
Highlights
- Results from samples from 28 new HQ
core holes, prepared and analyzed by Alex Stewart International
(Figure 1, Table 1) in their Mendoza, Argentina facilities.
- To date, a total of 5,601.64 meters
in 33, HQ-sized core holes have been completed at MLN.
- Favorable analyses were received
from all but 3 of the 28 new, HQ core holes. Results from 4,678.64
meters of drilling are reported in this news release (MLN-875-D
through MLN-902-D).
- Gold (“Au”) values up to 132.9 g/t
and silver (“Ag”) values up to 46.7 g/t, within 5 meters grading
45.5 g/t Au and 14 g/t Ag, were reported in samples from core hole
MLN-896-D.
Mr. Christopher van Tienhoven, CEO of Patagonia,
commented, “Results from this phase of Company drilling
continue to discover encouraging precious metals in a new geologic
setting within our 66,215 hectare-sized El Tranquilo concession
block. El Tranquilo also hosts other mineralized areas including
our Capo mineral deposit and the now depleted Cose zone to the ESE
of Capo. However, only MLN is deemed to be diatreme hosted. We will
thoroughly model all the data to design follow-up work.”
Historical Work
Prior to this new program of core drilling at
MLN, the Company identified gold mineralization in oxidized and
brecciated structures at MLN, with 104 trenches and 21 core holes
(see the Company’s December 29, 2020 news release on
www.patagoniagold.com). In addition, Patagonia Gold Plc (the
AIM-listed predecessor to the Company), drilled 75 reverse
circulation and 21 core holes in the general area surrounding the
recent MLN drilling in 2011 and 2015. The location of the historic
work in noted in Figure 1. In addition, 43.9 line-kilometers
(‘’km”) of ground-based, induced polarization and resistivity
(pole-dipole IP-Res) surveying was completed in 2021, and more than
800 line-km of ground magnetics.
Current Activities
In 2023, Company geologists continued with
surface mapping and modeled all the data, including its own IP/Res
survey data, and believe MLN mineralization is contained within a
diatreme setting that occurs at the SE end of larger NW-SE
structural corridor extending from the Capo mine. Composited Au and
Ag analyses from the new core samples are shown in Table 1.
Figure 1. Location of MLN and Capo in the
El Tranquilo concession black.(New drill holes are noted
in yellow font)
Table 1. Analytical Results (composited)
from Latest MLN Core Drilling
Notes to Table 1:
- “Incl.” means including, “NSR” means no significant
results.
- Samples were collected from HQ-diameter
core.
- Core recoveries were high (+ 80%) for all reported intervals
with the exception of hole MLN-880 with 20% recovery in the
mineralized interval and hole MLN-882 with 69.5% recovery in the
mineralized interval at starting at 45 meters down-hole.
- Mineralized intervals are down-hole lengths. True widths are
not yet known.
- A 0.5 g/t Au minimum grade was used in compositing and no more
than 1 consecutive grades less than 0.5 g/t Au were used
in
compositing.
- Grades were not capped.
- All analyses were performed by Alex Stewart International, a
certified, independent analytical services provider, in their
Mendoza, Argentina facilities using fire assaying for Au and
four-acid digestion, ICP-MS for Ag.
- No assays are pending.
- For QA/QC purposes, a total
of 203 blanks, 471 Certified Reference Material
standards were inserted into the primary, drill sample stream by
Company personnel at a ratio of one QA/QC sample to 9 primary
samples. All QA/QC results were within acceptable limits.
- There has been insufficient exploration to define a mineral
resource at this time and it is uncertain if further exploration
will result in the target being delineated as a mineral
resource.
Figure 2. MLN Geologic and Mineralization
Cross Section Looking Northeast
Qualified Person’s Statement
Donald J. Birak, an independent geologist and
Registered Member of SME and Fellow of AusIMM and a qualified
person as defined by NI 43-101, supervised the preparation of the
scientific and technical information that forms the basis for this
news release and has reviewed and approved the scientific and
technical disclosure herein. The Qualified Person visited the MLN
property in November 2022 and viewed the historic drill sites, new
RAB drilling then underway, and the surface geology and
mineralization exposed in a shallow pit, as well as Company core
sample preparation activities from other drilling.
About Patagonia Gold
Patagonia Gold Corp. is a South America focused,
publicly traded mining company listed on the TSX Venture Exchange.
The Company seeks to grow shareholder value through exploration and
development of gold and silver projects in the Patagonia region of
Argentina. The Company is primarily focused on the Calcatreu
project in Rio Negro and the development of the Cap-Oeste
underground project. Patagonia, indirectly through its subsidiaries
or under option agreements, has mineral rights to over 430
properties in several provinces of Argentina and Chile and is one
of the largest landholders in the province of Santa Cruz,
Argentina.
FORWARD-LOOKING STATEMENTS
This news release contains certain
forward-looking statements, including, but not limited to,
statements with respect to, among other things, plans related to
additional drilling and the results of such drilling; the belief
that the exploration results herein present viable exploration
targets for the Company to evaluate with additional drilling; and
the anticipated growth in shareholder value. Wherever possible,
words such as “may”, “will”, “should”, “could”, “expect”, “plan”,
“intend”, “anticipate”, “believe”, “estimate”, “predict” or
“potential” or the negative or other variations of these words, or
similar words or phrases, have been used to identify these
forward-looking statements. These statements reflect management’s
current beliefs and are based on information currently available to
management as at the date hereof.
Forward-looking statements involve significant
risk, uncertainties and assumptions. Many factors could cause
actual results, performance or achievements to differ materially
from the results discussed or implied in the forward-looking
statements. These factors should be considered carefully, and
readers should not place undue reliance on the forward-looking
statements. Although the forward-looking statements contained in
this news release are based upon what management believes to be
reasonable assumptions, the Company cannot assure readers that
actual results will be consistent with these forward-looking
statements. These forward-looking statements are made as of the
date of this news release, and the Company assumes no obligation to
update or revise them to reflect new events or circumstances,
except as required by law.
Neither the TSX Venture Exchange nor its
Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for
the adequacy or accuracy of this news release.
Maps accompanying this announcement are available
at:https://www.globenewswire.com/NewsRoom/AttachmentNg/bf5df748-7e36-4fcd-9b17-5a24af4cc489
https://www.globenewswire.com/NewsRoom/AttachmentNg/b1361077-6474-42c4-8d77-3b29b9356293
Table accompanying this announcement is available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/f3705859-4875-40df-869f-a238b7bf21f4
Christopher van Tienhoven, Chief Executive Officer
Patagonia Gold Corp
T: +54 11 5278 6950
E: cvantienhoven@patagoniagold.com
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