Provenance Gold (CSE:PAU) will target unexplored contact areas containing diorite and black shale at the Sunday Hill prospect within its Eldorado East Project in Malheur County, Oregon after sampling identified rapid precipitation.
The company collected 13 samples at the Sunday Hill ridge to determine the gold content across stretches of surface material as long as 3m, and selected rock samples.
Results have yet to be received, and will be announced upon its return.
With thermal solutions spreading from diorite to centre towards north, Provenance believes black carbonaceous shale was likely to trigger the prompt precipitation, with the fractured contact area considered favourable to deposit precipitated gold.
Geologists have confirmed that the bottom of the valley, as well as upland areas in the Mormon Basin have been placer mined with potential for multiple times, which dot the newly staked landscape.
The company plans to conduct a drone magnetic survey to identify key geological features by viewing under the placer layers.
Provenance has selected 17 initial drill pad locations at Sunday Hill and surrounding areas, with permit applications currently being prepared to be followed by initial drilling after approval.
Chairman Rauno Perttu says that although the company is anxious to tackle it, he is excited for future prospects this new project brings, along with drilling at Eldorado West.
“Over all the many years and the countless projects I have looked at, I have seen very few if any that were as impressive on initial review as this new expansion,” Perttu says.
The Eldorado Project contains the historical Sunday Hill Mine, which was first drilled by Capri Resources in the 1980s, returning a near-surface gold-bearing zone that averaged 23.15 grams per tonne gold with a historical resource of 231,000 tonnes.
Provenance Gold is an exploration company focused on its portfolio of projects in North America.
Write to Maddison Elliott at Mining.com.au
Images: Provenance Gold
