Pure Gold Strengthens Leadership Team to Drive New Discoveries at Madsen Gold
Strong treasury, consolidated land package and strategic shareholder
base position Pure Gold to become a leading Red Lake exploration
VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 06/26/14 -- Pure
Gold Mining Inc. (TSX VENTURE: PGM) (formerly TSX VENTURE: LGF)
("Pure Gold" or the "Company") is pleased to announce that with a
strengthened Board and Management team, and recently consolidated
ownership of 12 kilometres of the Madsen Mine Trend, the Company is
well positioned to advance the high-grade, permitted Madsen Gold
Project ("Madsen" or the "Project") in the prolific Red Lake district
of northwestern Ontario.
"We believe the Madsen Gold Project has the potential to host the
next multi-million ounce deposit in the prolific Red Lake district,"
stated Darin Labrenz, President & CEO of Pure Gold. "By applying
contemporary science and a new model of exploration to this historic
region, we intend to discover new zones of high grade mineralization
and increase the existing gold resource."
Established high-grade resource, infrastructure, and multiple
prospective exploration targets
Pure Gold recently consolidated its position in the Red Lake district
with the acquisitions of the Madsen Gold property and the adjacent
Newman-Madsen property (see news releases dated March 4, 2014 and
June 25, 2014). Together, these properties make up a 50 square
kilometre land package of contiguous, patented ground, collectively
known as the Madsen Gold Project. Pure Gold now holds the third
largest land package in the Red Lake region.
The property is host to two past-producing mines; existing mine
infrastructure inclusive of an operational headframe, a 1,275
metre-deep shaft, and a 500 tonne per day mill; an Indicated mineral
resource of 928,000 ounces gold (3.24 million tonnes grading 8.93 g/t
gold) and an Inferred mineral resource of 297,000 ounces gold (0.79
million tonnes grading 11.74 g/t gold(1); and, multiple highly
prospective exploration targets in a geological setting analogous to
other modern high-grade discoveries in the Red Lake district.
A new interpretation of the role of folded ultramafic contacts and
structural controls have resulted in multiple recent discoveries in
the district, including Goldcorp's High Grade Zone at the Red Lake
Mine Complex, the Bruce Channel system at the Cochenour Mine, and the
F2 Gold System at Rubicon's Phoenix Mine. Pure Gold believes that
opportunity exists to apply modern exploration science and a new
understanding of the district to achieve similar success along the 10
kilometres of ultramafic contact at the Madsen Gold Project.
Madsen's 'Zone 8', discovered in 1969 along the ultramafic contact
zone, has historic drill intersections that include 10.6 metres
grading 16.7 g/t gold and 6.4 metres grading 21.9 g/t gold. These
were followed up in recent years, returning drill intercepts as high
as 7.9 metres grading 26.4 g/t gold(2). Zone 8 is a system of
high-grade gold hosted in quartz carbonate veins, with mineralization
similar in style and host environment to more recent discoveries in
At Madsen, the 10 km-long ultramafic contact is highly prospective
for additional high-grade discoveries, and numerous recent
discoveries along this contact have only been partially advanced.
Pure Gold is pursuing a strategy of exploring for additional near
surface high-grade mineralization along the 12 km-long Madsen Mine
trend and the 10 km-long ultramafic contact. The Company plans to
announce the launch of their 2014 exploration program in July 2014.
Strong treasury, strategic shareholder base
Pure Gold raised $18.6 million in March 2014 to fund the recent
acquisitions, and for exploration to advance high-priority targets on
the property. Major shareholders who participated in the financing
include Evanachan Limited, wholly-owned by Robert McEwen, and
AngloGold Ashanti Ltd.
Strong leadership with Red Lake, technical and capital markets
Pure Gold has strengthened its board and management team with the
recent appointment of established mining professionals with extensive
knowledge of Red Lake, and proven technical and capital markets
expertise. The new Pure Gold team includes:
RED LAKE AND TECHNICAL EXPERTISE
Darin Labrenz, President, CEO & Director
Mr. Labrenz's history in the Red Lake district is extensive, having
previously served as Chief Geologist at Placer Dome's Campbell Mine.
As Chief Geologist, he was responsible for the design and supervision
of exploration programs, and management of geological activities at
the operating Red Lake Mine. Mr. Labrenz also held the position of
Vice President, Business Development for Terrane Metals Corp, which
was acquired by Thompson Creek Metals Co. in 2010.
Mark O'Dea, Director
Dr. O'Dea's history in the Red Lake district dates back to 2001, when
he placed second in the Goldcorp Challenge, beating out more than
1,400 other competitors from 50 countries. Since then, he has gone on
to create well-financed companies built on high-quality projects, and
has led teams that have created more than $2.5 billion in shareholder
value. He was Founder and CEO of Fronteer Gold and Aurora Energy,
prior to their acquisitions, and today is the co-Founder and Chairman
of Pilot Gold and Executive Chairman of True Gold Mining.
Robert Pease, Director
Mr. Pease was employed by Placer Dome for 25 years and developed
extensive knowledge of the Red Lake district as General Manager,
Canada Exploration and Global Major Projects where he was responsible
for managing all aspects of Placer Dome's Canadian exploration, and
overseeing the geological aspects of worldwide advanced-stage
exploration and development projects. Mr. Pease is currently
President, CEO and Director of Sabina Gold & Silver Corp. Previously,
Mr. Pease was founder and CEO of Terrane Metals Corp. from its
inception in 2006 until its acquisition by Thompson Creek Mining in
late 2010 for $700 million. He is also a former Director and
Strategic Advisor to Richfield Ventures Corp., which was acquired in
2011 by New Gold Inc. for $500 million.
Darren O'Brien, VP Exploration
Mr. O'Brien worked for Placer Dome as Senior Exploration Geologist in
the Strategic Development Group, where he conducted exploration in
the Red Lake Camp within, and adjacent to, the Campbell Mine, which
is now part of Goldcorp's Red Lake Gold Mines Complex. Prior to
joining Pure Gold, he was Vice President of Exploration for Terrane
Metals Corp. prior to its acquisition by Thompson Creek Metals.
Phil Smerchanski, Director, Geoscience
Mr. Smerchanski recently worked as a technical advisor to Goldcorp's
Red Lake Gold Mines, where he developed strategies for near-mine
exploration in the Red Lake district utilizing extensive historical
data sets to identify new targets for high-grade mineralization. He
has also worked as a geologist for Falconbridge, Inco, and Anglo
American as an independent consultant with a focus on regional and
near-mine exploration for base and precious metal deposits.
Christopher Lee, Structural Geologist:
Like Dr. O'Dea, Mr. Lee's experience in the Red Lake district began
with the Goldcorp Challenge, where he placed as a semi-finalist. With
more than 20 years' experience in mineral exploration and resource
evaluation, Mr. Lee specializes in the application of structural
geology to target generation and resource modeling. Formerly, as
Chief Geoscientist at Fronteer Gold and Aurora Energy, he was
responsible for resource modeling, estimation and growth of 9 million
ounces of gold and 130 million pounds of uranium, in 11 deposits
located in Nevada, Turkey and Labrador.
Mark Pryor, Chief Exploration Geologist
Mr. Pryor has worked for junior, mid-tier and major mining companies
worldwide, developing a proven record in the successful discovery of
precious metal deposits. With over 25 years of generative through
near mine exploration experience, Mr. Pryor has held management
positions with companies including Anglo American, Monarch Resources,
Minefinders, Candente Gold Corp., Montero Mining & Exploration Ltd.
and Placer Dome.
Troy Fierro, Director
Mr. Fierro is a successful mining engineer with over 30 years of
industry experience. He has previously held executive positions with
Fronteer Gold Inc., Metallica Resources Inc., and Coeur d'Alene
Mines, where he has overseen the development, construction or
management of mines in Nevada, Mexico, Argentina, Chile, and Alaska.
At Metallica, he played the lead role in the construction of the
Cerro San Pedro Mine in Mexico.
CAPITAL MARKETS EXPERTISE
Graeme Currie, Chairman
Mr. Currie has over three decades of industry experience directed
specifically on junior exploration and development companies
worldwide, and has extensive knowledge of the capital markets as it
relates to the mineral exploration and mining industry. He most
recently served as Director, Investment Banking at Canaccord Genuity
Limited where he concentrated specifically on the junior mining
sector. He retired from Canaccord in August 2012. Prior to his role
in Investment Banking he was with Canaccord as a Senior Mining
Analyst and focused on the junior mining sector for over 22 years.
Lenard Boggio, Director
Mr. Boggio was a Partner with PricewaterhouseCoopers LLP (PwC) for 24
years until his retirement from PwC in May 2012. During that time, he
was Leader of the B.C. Mining Group, a senior member of PwC's Global
Mining Industry Practice and an audit practitioner for publicly
listed Canadian, U.S. and U.K. mineral resource and energy clients.
The scope of his clients' activities included exploration,
development and production stage operations in the Americas, Africa,
Europe and Asia.
Sean Tetzlaff, CFO
Prior to joining Pure Gold, Mr. Tetzlaff served as CFO of Blue Gold
Mining, which merged with Riverstone Resources in 2012 to become True
Gold Mining. He also served as CFO, VP Finance and Corporate
Secretary of Fronteer Gold where he was responsible for the
successful execution of numerous equity investments, asset
divestitures, and merger and acquisitions transactions including the
sale of Fronteer to Newmont for $2.3 billion in 2011. Mr. Tetzlaff
also served as CFO of Aurora Energy Resources, helping the company
grow from initial public offering through to the advancement of one
of the world's largest undeveloped uranium deposits.
The Company announced its name change from Laurentian Goldfields Inc.
to Pure Gold Mining Inc. on Wednesday, June 25, 2014. The company
will commence trading on the TSX Venture Exchange at the opening of
market on June 26, 2014, under the new symbol "PGM". The CUSIP number
assigned to the Company's shares is 74624E100. For more information
on the name change, please click here:
(1) See the National Instrument 43-101 technical report entitled
"Technical Report for the Madsen Gold Project Red Lake, Ontario,
Canada", prepared by SRK Consulting (Canada) Inc. dated effective
February 18, 2014. Mineral Resources are not Mineral Reserves and do
not have demonstrated economic viability.
(2) Historic drill holes from Zone 8 were completed in the early
1970s. A full discussion regarding historic sampling practices can be
found in the NI 43-101 Technical Report entitled "Technical Report
for the Madsen Gold Project Red Lake, Ontario, Canada," prepared by
SRK Consulting (Canada) Inc. dated effective February 18, 2014.
Darren O'Brien, P. Geo., Vice President, Exploration for the Company,
is the designated Qualified Person for this news release within the
meaning of National Instrument 43-101 ("NI 43-101") and has reviewed
and verified that the technical information contained herein is
accurate and approves of the written disclosure of same.
About Pure Gold
Our mandate is pure and simple. To dream big. To colour outside the
lines. To use smart science and creativity to unlock the next
multi-million-ounce gold discovery at the Madsen Gold Project in Red
Lake, Ontario. And become Canada's next iconic gold company.
Additional information about the Company and its activities may be
found on the Company's website at www.puregoldmining.ca and under the
Company's profile at www.sedar.com.
ON BEHALF OF THE BOARD
Darin Labrenz, President & CEO
Neither 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 release.
Certain statements made and information contained in this news
release and elsewhere constitutes "forward-looking information"
within the meaning of Canadian securities legislation. Any statements
that express or involve discussions with respect to predictions,
expectations, beliefs, plans, projections, objectives, assumptions or
future events or performance are not statements of historical fact
and may constitute forward-looking statements. Such forward-looking
statements are based on certain assumptions and are subject to risks
and uncertainties which could cause actual events or results to
differ from those reflected in the forward-looking statements. Such
factors include, but are not limited to, fluctuations in the price of
gold and other commodities, changes in government legislation,
taxation, controls, regulations and political or economic
developments in Canada, risks associated with mining or development
activities, the speculative nature of exploration and development,
including the risk of obtaining necessary licenses and other risks
and uncertainties including those described under Risk Factors in
each management discussion and analysis and in the Company's annual
information form which are available under the Company's profile at
www.sedar.com. Many of these uncertainties and contingencies can
affect the Company's actual performance and could cause actual
performance to differ materially from those expressed or implied in
any forward-looking statements made by, or on behalf of, the Company.
Readers are cautioned that forward-looking statements are not
guarantees of future performance. There can be no assurance that such
statements will prove to be accurate and actual results and future
events could differ materially from those acknowledged in such
statements. The Company disclaims any intention or obligation to
update or revise any forward-looking statements whether as a result
of new information, future events or otherwise, except to the extent
required by applicable laws. Accordingly, readers are advised not to
place undue reliance on forward-looking statements. The Company does
not undertake to update any forward-looking statement that may be
made from time to time by the Company or on its behalf, except in
accordance with applicable securities laws.
Pure Gold Mining Inc.
Press spacebar to pause and continue. Press esc to stop.