VANCOUVER, BRITISH COLUMBIA–(Marketwired – Oct. 25, 2016) – Precipitate Gold Corp. (the “Company” or “Precipitate”) (TSX VENTURE:PRG) is pleased to announce results and interpretation of a ground magnetics geophysical survey at the Southeast and South Jengibre Zones within the Company’s Juan de Herrera project in the Dominican Republic.
Precipitate has completed a ground magnetic geophysical survey on the Southeast and South Jengibre Zones, both located about six kilometres (‘km’) southeast of the Company’s Ginger Ridge Zone. The primary goal of the magnetic survey is to aid interpretation of the lithological and structural features of the area to efficiently focus the forthcoming induced polarization (IP) survey program. This magnetic survey combined with the recently completed surface rock-soil geochemical sampling programs has successfully outlined priority areas for the current IP geophysics; particularly the Southeast Zone anomalies where a distinct gold and associated pathfinder anomaly coincides with a magnetic low and also a distinct copper geochemical anomaly coinciding with a magnetic high. See the accompanying magnetic-geochemical anomaly compilation map and the Company’s website for additional illustrations.
The IP crew is currently completing new surveys to infill and expand the geophysical grid at Ginger Ridge and will move to the Southeast and South Jengibre grids next. This geophysical work at Ginger Ridge is intended to provide final additional drill targeting data for the pending phase 2 drilling program expected to commence as soon as the Ginger Ridge IP survey is completed.
Highlight features of the magnetic / geochemical compilation:
- A linear, northwest trending, magnetic low measuring about 1,900 metres (‘m’) long by 175 m wide coincident with a surface geochemical anomaly of combined gold and various pathfinder elements; demonstrating characteristics quite similar to the Ginger Ridge Zone; and
- A large northwest trending, magnetic high measuring at least three kilometres in length coincident with a surface copper dominant geochemical anomaly, likely mapping underlying andesitic rocks;
South Jengibre Zone
- A large surface geochemical anomaly outlined by a loose collection of gold and various pathfinder elements, measures approximately 1.7 km x 0.6 km and is underlain by a subtle northwest trending magnetic low. The area is located only two kilometres south of GoldQuest Mining’s Jengibre zone, where past work has identified a noteworthy exploration target and reported highlight continuous channel sampling results of 59.5 metres grading 1.58 g/t gold (see GoldQuest news release of October 7, 2009) and rock samples to 17.7 g/t gold and 1.4% copper.
Jeffrey Wilson, Precipitate’s President and CEO commented that, “Regionally within the Tireo Gold Camp, a magnetic low geophysical signature is often a key feature that marks altered and mineralized volcanic rocks subjected to hydrothermal activity. These newly identified magnetic signatures within established geochemical surface anomalies offer a critical second layer of data to our ongoing exploration. We know from other discoveries made previously in the region that coincidental magnetic and geochemical anomalies provide strong targets for follow up ground IP surveying as a final critical step in advance of drill target delineation. With IP geophysical surveying currently underway throughout the project, these new target areas will undergo additional detailed geophysical surveying in the coming weeks. Any chargeability and/or resistivity anomalies identified by the IP equipment within these anomalies would provide the basis for compelling future drill targeting.”
The Southeast and South Jengibre target areas are underlain by regionally favoured Cretaceous aged Tireo formation intermediate volcanic rocks; similar to those which host the Company’s Ginger Ridge Zone’s gold-quartz-pyrite mineralization. Reduced magnetic signatures (‘magnetic lows’) with coincident surface geochemical anomalies are common features for many of the Tireo Gold Camp notable mineral showings. Rock outcropping are typically sparse, with poor rock exposure in the strongest areas of the Southeast and South Jengibre geochemical anomalies. Precipitate personnel were able to sample some scattered, small exposures in the South Jengibre are which reported gold results from nil to four metres grading 1.25 g/t gold from an exposure of sheeted and stockwork veins accompanied by disseminated pyrite and silica flooding. This and other new mineralized exposures are considered significant as they fit the “Tireo Gold Camp model” and provide further proof of concept in these new areas.
Work on the Southeast Zone has identified two adjoining and parallel target areas: (1) a priority area which has a similar tenor to the Ginger Ridge Zone (on regional strike about 6.0 km to the northwest), possessing a linear, northwest trending, +1,900 m long magnetic low with a coincident surface geochemical anomaly of combined gold and various pathfinder elements (including arsenic, antimony, bismuth and cadmium); and (2) a large northwest trending, magnetic high measuring at least 3.0 km long, coincident with a copper dominant surface geochemical anomaly which together are likely mapping copper enriched andesitic rocks. The gold and magnetic low anomalies are open to the northwest off property, while the copper and magnetic high anomalies are open along strike.
The South Jengibre Zone is marked by a large surface geochemical anomaly characterized by a loose assemblage of gold and other pathfinder elements (including lead, zinc, cadmium with lesser arsenic and antimony), measuring roughly 1.7 km x 0.6 km. The geochemical target area is underlain by a broad transitional magnetic response from low in the south to high in the north, along with a subtle and narrow northwest trending magnetic low.
Magnetic surveying of the Southeast and South Jengibre target areas covered about 30 line kilometres, with data collected at 12.5 metre station intervals over 200 metre spaced grid lines by a GSM-19 version 7 Overhauser magnetometer by company consultants.
This news release has been reviewed by Michael Moore P. Geo., Vice President, Exploration of Precipitate Gold Corporation, the Qualified Person for the technical information in this news release under NI 43-101 standards.
About Precipitate Gold:
Precipitate Gold Corp. is a mineral exploration company focused on exploring and advancing its mineral property interests in the Tireo Gold Trend of the Dominican Republic. The Company also maintains assets in northern British Columbia and southeast Yukon Territory and is actively evaluating additional high-impact property acquisitions with the potential to expand the Company’s portfolio and increase shareholder value.
Additional information can be viewed at the Company’s website www.precipitategold.com.
On Behalf of the Board of Directors of Precipitate Gold Corp.,
Jeffrey Wilson, President & CEO
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This press release may contain “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements, other than statements of historical fact, included herein are forward looking information. Generally, forward-looking information may be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “proposed”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases, or by the use of words or phrases which state that certain actions, events or results may, could, would, or might occur or be achieved. This forward-looking information reflects Precipitate Gold Corp.’s (“Precipitate” or the “Company”) current beliefs and is based on information currently available to Company and on assumptions it believes are reasonable. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Precipitate to be materially different from those expressed or implied by such forward-looking information. Such risks and other factors may include, but are not limited to: the exploration concessions may not be granted on terms acceptable to the Company, or at all; general business, economic, competitive, political and social uncertainties; the concessions acquired by the Company may not have attributes similar to those of surrounding properties; delay or failure to receive governmental or regulatory approvals; changes in legislation, including environmental legislation affecting mining; timing and availability of external financing on acceptable terms; conclusions of economic evaluations; and lack of qualified, skilled labour or loss of key individuals. Although Precipitate has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. Accordingly, readers should not place undue reliance on forward-looking information. Precipitate does not undertake to update any forward-looking information, except in accordance with applicable securities laws.