Precipitate's Phase 2 IP Survey Extends Ginger Ridge Chargeability Anomaly Additional 800 metres North
Vancouver, B.C. - January 7, 2015 - Precipitate Gold Corp. (the "Company" or "Precipitate") (TSXV: PRG) is pleased to announce results from its recently completed Phase 2 induced polarization ("IP") geophysical survey at the Ginger Ridge Zone within the Company's Juan de Herrera project in the Dominican Republic.
The second phase of IP geophysical surveying at Ginger Ridge consisted of a total of 7.5 line kilometers primarily focused on four parallel grid lines (at 200 metre intervals) which extend 800 metres ("m") northwest from the northern limit of the initial IP survey (Line 10), and 850 metres north of the Company's highlight discovery drill hole 5 ("Hole 5"). Line 10 and Hole 5 represent a target signature of coincidental high chargeability readings with the discovery of 98.1 m of massive and semi-massive sulphide carrying multiple intervals of elevated gold mineralization (including 13.4 grams per tonne ("g/t") gold over 5.0 m within 4.5 g/t gold over 18.0 m). The goal of the Phase 2 geophysical survey was to test for the continuation, and possible increase in strength, of the chargeability anomaly to the north as a means of delineating possible follow up drill targets. Highlights from the latest geophysical surveying include:
- Extending chargeability anomaly by an additional 850 m northward on-strike from the discovery Hole 5;
- Discovery of the strongest and widest chargeability readings to date in newly surveyed lines 6 and 8, which extend the anomaly to the northwest (readings up to 13.5 mV/V on Line 8); and
- Delineating over 1 kilometre of continuous strike length of a strong chargeability readings largely coincident with the surface multi-element geochemical anomaly, warranting systematic follow up drill testing
See the accompanying figures and the Company's website for additional compilation illustrations.
Jeffrey Wilson, Company President & CEO stated, "We are very pleased with the follow up Phase 2 Ginger Ridge IP survey results, as they extend the main gold target chargeability anomaly an additional 850 m north from our discovery Hole 5. This new northwestward extension provides us with more than one kilometre of on-strike gold exploration potential with similar signature characteristics to those encountered in Hole 5. It's additionally encouraging that the gold target chargeability anomaly increases in strength between lines 12 and 6, which may indicate higher sulphide content and increased potential for gold bearing mineralization. We are excited that the results of this survey have provided a significant target area for follow up drilling and the potential for expansion of this exciting new gold zone."
Ginger Ridge IP geophysical surveying now covers an area measuring approximately 1.6 kilometres by 1.0 kilometre "km"), blanketing much of the zone's multi-element surface geochemical anomaly that marks anomalous mineralization in Tireo volcanic rocks. Field crews have reported numerous visual observations of variably mineralized surface exposures roughly coincident with the chargeability high, extending from line 2 to line 14; a distance measuring about 1.2 km.
From line 2 to 18, the main high chargeability anomaly is more than 1.6 km long, with elevated chargeability readings starting at bedrock surface on lines 6, 8, 10 and 12 (up to 13.5mV/V on line 8). Readings on the north and south survey lines project the chargeability anomaly deeper to the northwest and also to the southeast, each with a reduced relative strength of up to 4.5 to 5.5 mV/V. A petrophysical study carried out on select Hole 5 drill core indicates that massive and disseminated pyrite samples have chargeability responses of 84 and 27 mV/V, respectively.
Together, the resistivity and chargeability readings appear to map mineralization, major rock types and structures well. On the western side of the survey area, a possible regionally mapped thrust fault is inferred to dip vertically to steeply to the northeast, marking a possible structural contact between limestone rocks and the overlying gold enriched Tireo volcanic lithologies.
The two phases of induced polarization/resistivity surveys (April & December 2014) used a 10 kW generator Time Domain IP system using the Elrec Pro 10 channel receiver with a receiver dipole spacing of 50 metres, which provided quality subsurface resolution for each 2D section schlumberger-style array. The survey was conducted by Insight Geophysics Inc. of Oakville Ontario.
Michael Moore, VP Exploration of the Company and Qualified Person for purposes of National Instrument 43-101 has reviewed the technical information in this news release.
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.,
President & CEO
For further information, please contact:
Jeffrey Wilson, President & CEO
Toll Free: 855-558-0335
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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.
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