VANCOUVER, British Columbia, Sept. 09, 2019 (GLOBE NEWSWIRE) -- Pure Gold Mining Inc. (TSX-V: PGM, LSE: PUR) (“Pure Gold” or the “Company”) is pleased to announce it has awarded the surface Engineering and Procurement (E/P) contract to JDS Energy & Mining (“JDS”) in partnership with Hatch Ltd. ("Hatch") and Knight Piesold Ltd. (Knight Piesold) for it’s Madsen Red Lake Mine (the “Project”). Additionally, the Company has awarded the underground mine design engineering contract to Dumas Mine Contracting Ltd. (“Dumas”).
With the engagement of our engineering partners, the Company has commenced construction. Detailed design work on surface infrastructure, as well as underground electrical distribution, mine ventilation, mine service design and stope optimization has been initiated, as well as equipment sourcing and the procurement of long lead time items.
“Today we hit yet another key milestone on our road to near term cash flow,” stated President & CEO, Darin Labrenz. “I am incredibly proud of our team for what they have accomplished over the last five years. Madsen began as an exploration concept in late 2014, and has evolved into a multi-million ounce gold deposit that is now under construction as Canada`s highest grade gold development project.1 Along the way, the team has hit every milestone we set: from first resource estimate, to early conceptual studies, through a comprehensive feasibility study, an agreement with our First Nation partners, and now a fully funded financing package. Today, as we commence construction, our project is perfectly timed to benefit from a rising gold market, and looks set to generate well over C$800 million in cumulative pre-tax cash flow with gold currently near C$2,000 per ounce.”
Project and Site Operations Appointments
The Company is also pleased to announce Mr. Dimitry Demianyuk has joined Pure Gold as Project Manager, Madsen Red Lake Mine. As a key member of the Site Owner’s Team, Mr. Demianyuk will work with the VP Operations, Ken Donner, providing Engineering Management and Project Management focussed on the optimization of project scope, budget, quality and schedule. Mr. Demianyuk is an engineering professional with 15 years of industry experience in mine development at all project stages, having worked for established EPCM firms earlier in his career and then transitioning to specialize in Project Management and Engineering Management as part of Owner’s Teams at Rio Tinto, Frontera Mining, Newcrest, and Nevsun Resources.
We are also pleased to announce that Ms. Barbara Womersley has been engaged as a Human Resources lead for the Company. Ms. Womersley is a Chartered Professional in Human Resources and brings over 20 years of experience in human resources with a focus on the mining industry. Ms. Womersley responsibilities include working with executive management to advance the human resources strategy, policies and procedures for the expanding workforce as the mine moves into operation.
With the commencement of site development activities, the Company has developed a hiring plan to build out the operational team, with key site-based roles in safety, procurement and human resources now in place. Current employment opportunities can be found at http://puregoldmining.ca/contact-us/careers.
The Madsen Red Lake Mine is Canada’s highest grade development-stage gold project1 and is fully funded to production with first gold pour projected for late 2020. The orebody is situated within a five kilometre long gold system in the heart of the Red Lake gold district. It is wide open in all directions, and multiple discoveries by the Company suggest potential opportunities for significant near-term resource growth. Concurrent with construction activities, the Company is continuing its exploration drilling program designed to expand and define the extensive gold system in place at Madsen.
Source – S&P Global Market Intelligence, October 2018
Qualified Persons and 43-101 Disclosure
Ken Donner, P. Eng., Vice President, Operations for the Company, is the designated Qualified Person for this news release within the meaning of National Instrument 43-101 (“NI 43-101”) and has reviewed and verified that the technical information contained herein is accurate and approves of the written disclosure of same.
About Pure Gold Mining Inc.
Our mandate is pure and simple. To dream big. To colour outside the lines. To use smart science and creativity to unlock the Madsen Gold Project in Red Lake, Ontario. And become Canada’s next iconic gold company.
ON BEHALF OF THE BOARD
Darin Labrenz, President & CEO
Adam Buchanan, Manager, Investor Relations
Gareth Tredway / Annabel de Morgan – Tavistock
Tel: +44 (0) 20 79207150
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
All statements in this press release, other than statements of historical fact, are "forward-looking information" with respect to Pure Gold within the meaning of applicable securities laws, including, but not limited to statements with respect to those that address potential quantity and/or grade of minerals, potential size and expansion of a mineralized zone, proposed timing of exploration and development plans, the growth potential of the Madsen Gold Project and opportunities for scalability, the potential for the Russet South, Fork and Wedge deposits to be economically viable, potential conversion of inferred resources to measured and indicated resources, potential extension and expansion of mineral resources, potential timing of first gold pour, potential size of cumulative cash flows 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", “growth”, "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 Pure Gold 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 Madsen Gold Project; 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 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 20, 2019 in the section entitled "Risk Factors", under Pure Gold’s SEDAR profile at www.sedar.com.
Although Pure Gold 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. Pure Gold 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.