VANCOUVER - Pure Gold Mining Inc. (TSX-V: PGM, LSE: PUR) ('PureGold' or the 'Company'), is pleased to provide an operations and underground drilling update, including drill results, for the second quarter at its high-grade PureGold Mine in Red Lake, Ontario.
Production highlights for the second quarter include: Average daily throughput of 509 tpd for the quarter and 577 tpd for the month of June; Average daily ramp development rate for the Main and East Ramps of 5.2 metres and 4.5 metres per day for the second quarter, respectively, a new quarterly record for the Main Ramp and a 53% increase compared to the first quarter; A 46% increase in second quarter gold production compared to the first quarter; Average head grade of 7.0 g/t Au from all stopes mined during the second quarter and Average head grade of 5.8 g/t Au for the high-grade portion of the mill feed, which includes all stopes mined plus high-grade development ore, a 51% increase compared to the first quarter and in line with expectations for the period.
Key de-risking milestones achieved in the second quarter include: Underground drilling successfully confirmed stopes planned for mining in the second half of 2021 and identified new areas with potential to expand mineable inventory beyond known reserves close to existing development, highlights include 15.1 g/t Au over 5.6 metres and 33.1 g/t Au over 2.2 metres from the Main Ramp and 120.8 g/t Au over 1.0 metre and 21.4 over 2.0 metres from the East Ramp; First ore production from the East Ramp achieved, with the first high-grade stopes from the east side of the mine expected to come online in August; Ramp development contract awarded to accelerate the Main Ramp development at a projected rate of 6.0 metres/day for the balance of 2021, beginning in July; Arrival of interstage screens for CIP tanks and trommel screen for the SAG discharge which are currently being installed with completion expected in August, positioning the mill to operate above design capacity in the second half of 2021 and beyond; Over 4,500 metres of diamond drilling in over 70 drill holes completed to further delineate planned production for the second half of 2021 and Continued excellent grade reconciliation for stopes mined to date with respect to the Mineral Reserves.1
8 Zone Update
In addition to improving access to high-grade ore in the near-term, the ramp development rates achieved to date coupled with the acceleration of the Main Ramp beginning in July present an opportunity to bring forward underground drilling and development of the high-grade 8 Zone. Based on projected Main Ramp development rates from July 2021 onward, first access to 8 Zone ore is currently expected to be achieved by July 2024, approximately 8 months earlier than was envisioned in the Feasibility Study.1 Additionally, the Company is currently evaluating opportunities to begin underground infill and step-out drilling of 8 Zone from the Main Ramp earlier than planned, with first results now potentially possible before the end of 2021. Further updates on plans to begin drilling 8 Zone from underground will be provided over the coming months.
Darin Labrenz, President & CEO of PureGold, commented, 'The second quarter was one of achieving critically important milestones and making key investment decisions for the PureGold Mine, balancing both long-term and short-term objectives. As we continue opening up the mine and accelerating the development of our two key haulage ways, we are seeing consistent quarter-over-quarter improvements in all key operating metrics and, importantly, excellent grade reconciliation to our Mineral Reserves. With two active ramps now mining ore, an additional dedicated crew to focus on Main Ramp development beginning in July, and nearly 30,000 tonnes of longhole stopes developed in front of us, we are entering the third quarter in our strongest position ever.'
During the second quarter, 63% of the mill feed was comprised of high-grade stope and development ore grading 5.8 g/t Au on average, in line with expectations and a significant increase from 46% grading 3.8 g/t Au in the first quarter. The balance of the mill feed has been comprised of low-grade development ore and stockpiles to date. Increasing the proportion of high-grade ore in the mill feed to 100% going forward remains the primary focus for the Company during ramp-up, with the key performance metrics being ramp development rates and number of active ore headings and stopes. Commencement of high-grade stope production from the East Ramp and acceleration of the Main Ramp development in July are expected to jointly drive continued and sustained quarter-over-quarter increases of high-grade ore production and average grades for the third quarter and for the balance of the year.
About Pure Gold Mining Inc.
PureGold is a growth company, located in the very heart of Red Lake, Canada. Our objective is pure and simple. To develop a highly-profitable long life gold mining company, becoming Canada's next iconic gold producer. Our plan is very disciplined, very methodical and financially sound. To expand organically, and develop PureGold's multi-million ounce high-grade gold asset incrementally, step-by-step, using a phased mining development plan to deliver maximum return.
Contact:
Adrian O'Brien
Tel: 604-809-6890
Email: aobrien@puregoldmining.ca
All statements in this press release, other than statements of historical fact, are 'forward-looking information' with respect to PureGold within the meaning of applicable securities laws, including, but not limited to statements with respect to those that address proposed timing of development plans for the PureGold Mine complex, timing of expected production, potential for accelerating development of the two main ramps, potential for advancing the amount and timing for higher grade ore, potential for additional resources and expansion of known deposits and potential for making new discoveries and the focus of the Company in the coming months . Forward-looking information is often, but not always, identified by the use of words such as 'seek', 'anticipate', 'plan', 'continue', 'planned', 'expect', 'project', 'predict', 'potential', 'targeting', 'intends', 'believe', 'potential', and similar expressions, or describes a 'goal', or variation of such words and phrases or state that certain actions, events or results 'may', 'should', 'could', 'would', 'might' or 'will' be taken, occur or be achieved. Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management at the date the statements are made including, among others, assumptions about future prices of gold and other metal prices, currency exchange rates and interest rates, favourable operating conditions, political stability, obtaining governmental approvals and financing on time, obtaining renewals for existing licences and permits and obtaining required licences and permits, labour stability, stability in market conditions, availability of equipment, accuracy of any mineral resources, successful resolution of disputes and anticipated costs and expenditures. Many assumptions are based on factors and events that are not within the control of PureGold and there is no assurance they will prove to be correct.
Such forward-looking information, involves known and unknown risks, which may cause the actual results to be materially different from any future results expressed or implied by such forward-looking information, including, risks related to the interpretation of results at the Pure Gold Red Lake Mine complex; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; the costs and timing of the development of new deposits; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; the timing and success of exploration and development activities generally; delays in permitting; possible claims against the Company; the timing of future economic studies; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals, financing or in the completion of exploration as well as those factors discussed in the Annual Information form of the Company dated March 31, 2021 in the section entitled 'Risk Factors', under PureGold's SEDAR profile at www.sedar.com.
Although PureGold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. PureGold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise unless required by law.
PURE GOLD MINING INC. 
