Provenance Gold (CSE:PAU) has mobilised a second diamond core rig to the Eldorado Gold Project in eastern Oregon, US, with newly permitted drill sites set to provide “valuable” insights for the company.
The gold-focused explorer says the core from the newly permitted area will support the company in understanding key geological controls of the gold system in these areas.
Titan Drilling has been engaged to conduct a minimum of 1,000m of drilling in the Herman and Zone 4 areas which are within a small portion of the Eldorado West claim package.
At Herman, the first hole will follow-up initial reverse circulation drillholes. The data from diamond drilling will provide more clear geological information of the gold system and of this new exploration target.
CEO Rauno Perttu says historical and metallurgical testwork results from 2023 support the company’s belief that the deposit is amenable to conventional low-cost open-pit mining techniques.
“I am excited to continue to open the mineralisation footprint up at Eldorado not only within the Tyee area as well as to depth but also through expansive step-outs that we are currently well into drilling,” Perttu says.
“The scope and potential of this project continue to impress.”
Results from an ongoing reverse circulation drilling program are expected imminently. Provenance says these results will also include the first assays from Herman.
Additionally, select bulk samples are undergoing gravity and float metallurgical testing, with results expected in due course.
This news comes after gold’s spot price has been continuing breaking several records, reaching the US$3,750 ($5,732) per ounce mark earlier this week.
Trading Economics says demand for gold has remained strong, underpinned by expectations of further Federal Reserve rate cuts and ongoing geopolitical tensions in Ukraine.
The US is ranked fifth for gold production, totalling 158 tonnes in 2024, as reported by the World Gold Council.
Write to Aaliyah Rogan at Mining.com.au
Images: Provenance Gold
