Paramount Gold and Silver Expects Results From Preliminary Economic Assesment of its Nevada Sleeper Gold Project in July
Paramount Gold and Silver Corp. (NYSE: PZG) reported today that it expects results from the NI 43-101-compliant Preliminary Economic Assessment (PEA) of its 100%-owned Sleeper Gold Project to be released in July, 2012. In accordance with NI 43-101, Paramount will file a technical report supporting the disclosure of the PEA within 45 days after the results are released.
The Sleeper Gold Project is located off a main highway about 25 miles from the town of Winnemucca, Nevada. Acquired by Paramount in 2010, the project area includes the original Sleeper high-grade open pit mine operated by Amax Gold from 1986 to 1996 as well as staked and purchased claims stretching south down trend to Newmont`s Sandman project.
SRK estimated that the Sleeper Gold Project contains an in situ measured and indicated resource of 2.6 million ounces of gold and 25.3 million ounces of silver and an additional inferred resource of 1.1 million ounces of gold and 8.2 million ounces of silver using a cut-off grade of 0.20 grams of gold per tonne (g/T) for oxide and alluvial material and 0.25 grams per tonne (g/T) for sulfide material. (See tables below for details.) Subsequent drilling in 2011 discovered the new PAD zone beneath the old heap leach pads and extended both the Facilities zone and the Wood Vein zone, returning intercepts comparable to the high grades exploited in the historical Sleeper vein.
These results are expected to increase the project`s mineral resource estimate. Reports from Amax Gold, the Sleeper Mine`s original operator, state that about 66 million tonnes of waste rock were extracted during mining of which an estimated 54 million tonnes were placed on three dumps. Systematic drilling and metallurgical testing of this material and some of the property`s historic tailings are expected to make a further addition to the project`s mineral resources in the PEA.
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