LAKEWOOD, Colo., April 26, 2012 (GLOBE NEWSWIRE) — Pershing Gold Corporation (OTCBB:PGLC) is pleased to announce the results from its 2011 exploration activities at its Red Rock Mineral Prospect gold property in Lander County, Nevada, which Pershing holds under a long term lease. The exploration program consisted of CSAMT surveys, location of 67 lode claims, and drilling of 10,426 feet of combined core and reverse circulation drilling (15 drill holes). The Red Rock Mineral Prospect is located in the Mt. Springs Mining District at a triple intersection of the gold-producing Battle Mountain-Eureka and Rabbit Creek Trends, with the Caetano Break Trend. (See November 21, 2011 Press Release).
CSAMT Survey Completed at Red Rock
One of the focuses for the Red Rock Property 2011 exploration program was conducting several Controlled Source Audio Magneto-Telluric (CSAMT) surveys. The most recent survey was finished in December and defined a complex structural zone in the central target area. The 2011 CSAMT surveys delineate a previously unrecognized complex series of north-south trending, high-angle faults and the intersection of these north-south trending structures with the Caetano Graben fault zone.
Management believes that the presence of this north-trending series of faults is encouraging because north-trending structures typically control gold mineralization at deposits within the Battle Mountain- Eureka trend. The results of the CSAMT surveys should be helpful in developing new drill targets.
New Lode Claims Located
Pershing Gold located 67 new lode claims in 2011 to control the projected trend of a major north-south structural zone along the west side of the Red Rock claim block. The Company plans to conduct geologic mapping and sampling of the new claims focused on identifying new mineralized targets that merit drilling in the future.
Drill Program
Pershing Gold drilled 15 rotary and core holes totaling 10,426 feet at the Red Rock Mineral Prospect in 2011. All of the drill holes intersected intervals containing 0.050 grams per ton (gpt) gold (Au) or greater. In addition to the anomalous gold, each hole contained elevated trace element values of arsenic, mercury, thallium, and tellurium which correlate with the gold intervals. ALS Minerals of Reno, NV performed the drill assays.
Logging of the core and cuttings reveals that most of the drill holes contain sooty carbon alteration, strong quartz veining, and abundant pyrite. The trace element geochemistry and mineralization and alteration styles encountered in these holes are geologic characteristics typically associated with the upper zones of a Carlin-type gold deposit.
The best 2011 drill-hole intercept was 10 feet grading 1.23 gpt Au (including 5 feet of 2.18 gpt Au) in RRC-11-15. Pershing Gold interprets the rock alteration styles and assay data from RRC-11-15, and the high trace-element metal values in three nearby holes, to represent leakage of mineralizing fluids from a potentially large tonnage, Carlin-type gold system at depth. The target consists of soil and rock samples that contain elevated gold and Carlin-style trace elements that are located at the center of a gravity high that is thought to represent altered rocks at depth. In addition, data from one of the CSAMT geophysical surveys indicates the area is an uplifted block that should bring lower plate rocks, including the Silurian – Devonian-age Roberts Mountains Formation (a proven gold-bearing host rock at a number of Carlin-type deposits), closer to the surface. All of the drill results will be posted on the Pershing Gold website.
Two potentially productive structural trends with west-northwest (WNW) and north northeast (NNE) faults cut the Red Rock property. The east end of the Red Rock claim block is located on the north rim of the WNW-trending Caetano Caldera, some 2 kilometers (km) WNW of the Horse Mountain gold prospect, that is hosted within a window of lower-plate carbonate rocks of Ordovician to Devonian age. In addition, NNE-trending gravity structures are interpreted to cut the west side of the Red Rock property on the east edge of the Reese River Valley, approximately 18 km east-southeast of the historic Cove-McCoy gold mine.
“The 2011 year drill program was designed to help focus high-priority targets that can be drilled in 2012 to advance our search for a Carlin-type gold deposit at depth. The drilling results showed very favorable indications of Carlin-type mineralization. Additionally, the 2011 CSAMT geophysical surveys reveal many zones of structural preparation that will be the focus of additional exploration work,” said Director of Exploration, Art Leger.
Stephen Alfers, Pershing Gold Executive Chairman, President, and CEO added, “We believe that the Red Rock property provides excellent potential for the discovery of new Carlin-type gold mineralization. This large property has an impressive geologic address – at the intersection of two of the most prolific Nevada gold belts, the Battle Mountain-Eureka Trend and the Rabbit Creek Trend. We think there are many promising gold exploration targets at Red Rock and we are seeking arrangements under which we can retain a significant interest in the Red Rock property while a third party advances the property.”
About Pershing Gold Corporation
Pershing Gold Exploration is a new gold exploration and development company focusing on acquiring, exploring, and developing gold deposits in Pershing County and elsewhere in Nevada. The Relief Canyon Mine in Pershing County is owned and operated by Gold Acquisition Corp., the Company’s wholly owned subsidiary.
Legal Notice and Safe Harbor Statement
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, including, without limitation, those with respect to the objectives, plans and strategies of the Company set forth herein including the planned drilling and exploration programs, and those preceded by or that include the words “believes,” “expects,” “given,” “targets,” “intends,” “anticipates,” “plans,” “projects,” “forecasts” or similar expressions, are “forward-looking statements.” Although the Company’s management believes that such forward-looking statements are reasonable, it cannot guarantee that such expectations are, or will be, correct. These forward-looking statements involve a number of risks and uncertainties, which could cause the Company’s future results to differ materially from those anticipated. Potential risks and uncertainties include, among others : inability to obtain external financing to fund planned exploration or maintain property rights, reinterpretations of geologic information, unfavorable exploration results, inability to obtain permits required for its planned exploration and other activities, general economic conditions and conditions affecting the industries in which the Company operates; the uncertainty of regulatory requirements and approvals; fluctuating mineral and commodity prices; risks of junior exploration and pre-production activities; and maintenance of important business relationships. Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in the Company’s filings with the SEC including the Annual Report on Form 10-K for the year ended December 31, 2011 and each subsequently filed Current Report on Form 8-K. The Company assumes no obligation to update any of the information contained or referenced in this press release.
CONTACT: Stephen D. Alfers
Executive Chairman, President and CEO
Phone Number: 720.974.7248
Email: investors@pershinggold.com
www.PershingGold.com
Source: Pershing Gold Corporation
Released April 26, 2012