Business
Provenance Gold Signs Definitive Joint Venture Agreement for the Drilling and Exploration of its Silver Bow Property
Vancouver, British Columbia--(Newsfile Corp. - January 13, 2021) - Provenance Gold Corp. (CSE: PAU) (FSE: 3PG) (the "Company" or "Provenance") is pleased to ann
About this update from Provenance Gold Corp.
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - January 13, 2021) - Provenance Gold Corp. (CSE: PAU) (FSE: 3PG) (the \"Company\" or \"Provenance\") is pleased to announce that the Company has signed a definitive Joint Venture Agreement (the \"JV\") with Palayan Resources, Inc. (OTC Pink: PLYN) (\"Palayan\"), to drill and explore its Silver Bow property in Nye County, Nevada. The companies believe the property hosts several excellent gold and silver exploration targets. Under the terms of this definitive agreement Palayan will receive a 49.5% interest (the \"Palayan JV Interest\") upon funding of an initial 20-hole drill program on Provenance's Blue Horse claim, within Silver Bow property. Under the terms of the agreement Palayan will commit up to USD$450,000.00 to earn its 49.5% interest in the property by way of a Phase I drill program anticipated to commence in February. Historically miners produced high-grade gold ores from veins on the claim. Provenance confirmed this with surface samples that returned 293 g/t Au, 12.4 g/t Au and 10.2 g/t Au, respectively, and silver values up to 785 g/t. Rauno Perttu commented, \"We are delighted to have entered into this JV which will enable us to drill and explore a strongly mineralized gold and silver system that is exposed on the surface for at least 500 meters before it goes under a shallow alluvial cover. This wide mineralized zone occurs along a structure that we have intermittently traced for more than two kilometers. We anticipate that our drilling will confirm strong continuous mineralization beginning at the surface along a width of up to 300 feet and extending the 1,500-foot length of the claim and beyond. We are excited about this program and believe it is the start of confirming a large gold and silver system on the Silver Bow property, while also enabling us to advance our White Rock property. This further helps to mitigate shareholder dilution while enabling us to explore and develop what we feel could become two very significant projects.\" Because of slight delays related to weather and scheduling of the drill rig, drilling is planned to begin in mid-February. The Company further announces that it intends to conduct a private placement of up to 3,000,000 units (each, a \"Unit\"), at a price of $0.10 per Unit. Each \"Unit\" will be comprised of one common share of the Compa...