Pirate Gold Intersects 0.24% Cu Eq over 299.4m, Including 0.43% Cu Eq over 56.5m, at Moby Dick Discovery

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0:30over 299.4 meters, including 0.43 % copper equivalent, over 56.5 meters at its Moby Dick discovery. In its August 28th news release, Pirate Gold intersected 30.6 grams per tonne gold over 1.35 meters and 4.25 grams per tonne gold over 6.65 meters at its moose head and identified a new gold structure. Follow Pirate Gold on its YouTube channel where there is a video to accompany both news releases. Denny Lavulette is CEO. Denny, welcome back to Mining Stock Daily. Thanks for having me back, Mike. Excited to be here to talk to you today. Let's get into it. Let's start with today's news release. PGC-26-118 was collared approximately 100 meters west of the discovery holes.

1:2158 and 68 drove parallel to them. What did 118 tell you that 58 and 68 could not well it's pretty amazing so it it really didn't i mean what it told us is that you know we could step out 100 meters and hit you know 500 meters of effectively copper and gold the uh it's interesting because that zone we had to truncate we had to split it up into two sections because there was a dike that came through um like a later dike that comes through that hole and a few hundred meters down. And we ended up having to kind of split it in parts. But, you know, if that dike wasn't there, let's say we would have had a continuous 500 meters of that stuff.

2:08It's very, very neat. I mean, it's really cool to be able to drill that much mineralized rock. I mean, when you're, you know, hoping to one day work towards resources, things like that, to be drilling that amount of volume, to add that amount of volume to the picture. It's really amazing. And those numbers are good. Like they're not spectacular, but they're not, you know, they're really, really just good numbers, I think. That's right in sort of where we want to be for, you know, for what we would call sort of par for the course for Moby Dick now. From there, you know, did we get the high grade that we got in 58 and 68?

2:46Did we get that real high grade core? I don't think so. what role did the dike play in that not not entirely sure but that's okay i mean you know you're going to get a lot of different ups and downs as we fence off this entire now four kilometer long we'll be dick anomaly so it's it's it's it's grown and it's awesome you you did mention the broad mineralization from bedrock surface down uh four five hundred meters uh just regarding a porphyry discovery, is that worth paying attention to? Well, absolutely. I mean, to get these sort of numbers, I mean, if you're running like a big copper mine, so if you look at some of the big copper mines today in production, that sort of 0.2 equivalency range is really what the sort of par for the course is for these big mines.

3:36And the differentiator is normally just a higher grade payback zone. I mean, in this hole, we ended up with about a 50 meter, I think it was 56 meter zone of of 0.46 or 0.43%, something like that, which is pretty good. I mean, again, is that what would I call that payback? No, but in 58 and 68 and 68 in particular thing, we had about 50 meters of one and a half percent. Now that would definitely be a payback zone. So we want to see some more of that as we continue to defense off Moby Dick. But what's nice is that we can step out so coarsely and end up with such an analogous numbers to what we got in 58 and 68.

4:17So it's telling us that we're dealing with the big behemoth that we can just kind of, we don't have to pin cushion it with holes. We can get pretty coarse with our drilling, but it will be interesting to see how that high grade component, where that goes and how we can better target that moving forward. Now, 118 came in at 0.13 % copper, but there was a drop for gold about a drop of about 75 % compared to 58 and 68. What was the drop in gold? Well, it was really just the lack of that high-grade zone, I think, made a big difference there. And when you're with these systems, you want to sort of follow the gold.

5:03We're 100 meters west of 58 and 68. A lot of our drilling now has been to the east of it, so we're fencing east of it. So we're sort of edging towards the extent, the western extent of the Moby Dick zone with this hole. And so the next range of holes that we've been drilling are basically fencing east of 58 and 68. This is west of 58 and 68 towards the edge of Moby Dick. So the various controls, and I don't want to talk too much out of school because we'll have news coming out in future. but you know we're starting to really get a handle on what that control is and why we have the high grade where we have it what some of the lithological gradients and what they're doing and why we can you know why the high grade occurs where it occurs and how better to target it a big problem we have right now and i'm sure we'll get into it with one of your questions here mike but um what a big problem we have is there's you know we're limited how we can actually drill this zone.

6:06We have to come in south of the lake on the shore or south of the shore. And, you know, the zone's quite far away. So we're, we're, we're targeting by the time we get into Moby Dick, we're hitting it pretty deep. Right. Um, so we really, really need that barge to get up on top of that lake and drill that wedge of rock that we're not, we haven't tested so far. Yeah. So you're kind of at this point right now, you're kind of drilling, um, uh, almost horizontally underneath that lake and so the arrival of the barge again what you know what specifically in terms of that angle and that drill results are it going to kind of give you when you have that barge put in well let's just bring all of this mineralization closer to surface and we're making some relationships now in the orientation of that high grade and the orientation of where we think there might be even more spectacular values and we really want to be drilling it from over top so we want to get we want to get down and drill like the best angle to drill it is actually semi-vertically and we want to we want to get on top of that lake and drill down basically uh within this news release you also announced a um uh electromagnetic anomaly

7:25uh electric magnetic anomaly yeah i mean well that's always been the the case with um with Moby Dick is it's a coincident electromagnetic anomaly. And so we, you know, the whole thing shows up really nicely on the, on the, on the geophysics that we had done. So what we did was a frequency domain EM, which is really sharp for that top kind of hundred to 150 meters. Now you got to remember, we haven't really drilled that top hundred to 150 meters. We've drilled beneath it. um so because of where we have have to stage our holes and how far away from it we have to be and the maximum angle you can kind of drill these holes out is basically 50 55 degrees so you can't you can't get us you can't get a flatter hole than that um from where we're drilling from so by the time we're getting under like what really jumps out at us over at moby dick is the the conductive anomalies those are actually in the shallower portion of the rock that we can't target right now without the barge.

8:31We have to go right underneath. Let's just stick with Moby Dick for a sec as well, just before we get to Moosehead. What are you looking at in terms of the pace of news and what's going to be dropping for this specifically? Pace of news is going to be continuing to release our holes. We're waiting on final results back from our scurvy drilling. uh just south so about a kilometer south of uh of moby dick we had hit a whole bunch of veining uh and our arsenal pyrite and it looked it was organic and it looked uh awful awful nice and we had committed about 13 holes to that program um it looked like a basically a splay fault that comes off the valentine so that's all in for assay we put visuals out on that in early august so we're expecting finals out anytime now on those, uh, on that round of drilling to put out a release on that.

9:31And then beyond that, we've got all of the, uh, the additional fence holes. A lot of them we've laid out in, uh, in the PR, this particular PR, um, that shows you where the traces are east of 58 and 68. And so we've got sort of every a hundred meters or so we've got another hole. And so we've got a whole litany of drilling that we've done now that, you know, we're hoping to be able to get out to market sometime between now and the end of October. So it all just depends when the assays get completed for these holes. So expect more Moby Deck holes. Expect us to tie up a few loose ends with some of the visuals that we had put out in the summer on other varietals regionally.

10:17and then last but not least we're really excited to get into get the barge going likely if we get once we get that barge going we'll be sure to put visuals out on what we're seeing in that barge prior to assay so that should be something that could hit the tape between now and the end of September and then we have as well Clipper Brook which we're preparing to get into and that's about 10 kilometers east or so there's another 12-kilometer Moby Dick look-alike zone that we call Clipperbrook. And so we're really, really excited to get in there. And so we can expect visuals out on that. So it's going to be a very exciting fall.

10:58Between September and October, lots of assays from stuff that's been drilled throughout the summer and then lots of visuals from stuff heading into the fall and into the winter. It is September 2nd, talking about talking about the barge one more time, Denny. We are going to be getting into the winter months or it's going to be getting colder. Any operational issues? No, a barge is good until probably like, you know, we should be okay until the first sort of week of December with the barge. So we'll, we'll have a few good months there of barge drilling. That's for sure. And again, because this fencing of holes is targeting that depth story, The barge is really earmarked to drill from surface down.

11:45So subvertical holes is really the idea there. And just kind of pouncing along and doing that. We're going to have effectively three drills or two dedicated drills to this and then maybe one drill continuing to test regional targets in the area like Clipper Brook, things like that. let's turn to your august 28th news release for moosehead in the video said there was a lot of similarities what's happening at moosehead and your past experience at queensway now denny you founded newfound gold and led the discovery effort at queensway describe the similarities and why they matter well the similarities are we're in the same rocks it's organic high grade veining uh the there's some really really spectacular stuff there um you know i don't think there's any met work done on the moose head stuff uh at least not formally uh to my knowledge and for to that extent i would suspect looking at the two that the metallurgy is exactly the same with what you see over at uh at newfound gold i mean they're identical rocks identical mineralization and all that i think the only difference is newfound gold had with queensway had these high grade veins but it also had these very uh broad zones uh sometimes uh like keats and iceberg and i can i can rhyme off uh you know dozens of them uh keats west things like that where you would end up with these like extremely bonanza high grade veins but you'd also get all this connective tissue these these halos around them that were prolifically also mineralized moose head still seems a little bit more discreet it's like you've got you know nice high grade veins and then the surrounding wall rock i don't want to say he's dead but is more or less dead it's it's very discreet so i'd say moose heads a little bit narrower um it's it's sort of narrower uh than than uh queensway with what we've seen so far that being said it's way further it's way early on moosehead so the like the the eastern trend western trend there's quite a bit of drilling in those we're starting to find some of the other ancillary veins like the rib vein um we found a new trend to the west as well that we're pretty excited about again a lot of discrete things there's a big picture story there and I don't think we've teased it out and there's also a deeper story there so we have yet to really find what we're looking for over at Moosehead but we're going to continue to look I think parts of the crippleback regional play become more difficult I think the core area of of you know whether it be Clipper Brook or Moby Dick will be able to continue throughout the winter no problem at all but I think a lot of the regional work it's we We might be just breaking our pick a little bit on trying to get a rig into that stuff.

14:44So that'll be the perfect time to go back to Moosehead and try some new things. I think with Moosehead, it almost is what it is. It's a nice little deposit on the side of the road. There's a ton of upside and all the conditions are there to find these big blowout zones, these other big juicy zones like what we see at Newfound Gold at Queen's Way. But we've got to do a little bit more exploration to start to tease some of that stuff out. And there's a lot of like, uh, what do you want to say? Like, um, uh, loose ends over there. There's a lot of like open ended loose end places for things to go and concepts.

15:22It's a very, very big virgin area, uh, with almost all of its works concentrated in a very, very small unit area. And so, um, you know, it's just going to be a matter of time before we can get over there, but it's hard to prioritize that over what we've got right now, the burden hand we've got with Moby Dick. you're drilling hundreds of meters of golden copper yeah within the video that you have there you does do a real good flyover in terms of like looking at the closeness of the road to what you're looking at at moosehead right now so at that point are you looking at a particular type of hurdle particular type of projects that you need to kind of get to and then as you say that this could be economic it's a nice little mine yeah well i was you know that's what greg and I have been talking a lot about these days.

16:10And I mean, again, we still have to strategize to support exactly what we want to do there. But I think a case could be made for just, for just advancing this through and de-risking the de-risking process to try to get those ounces into play as soon as possible and get, get them onto the chessboard as actual producible ounces. And so, you know, we were sort of evaluating what would need to be done there. And if it would make sense to to maybe just rip the bandit go through that process for moosehead to get those ounces into play and i think that might be the that might be the the right move um just because of its location and its strategic value um to the to the sort of chessboard that is newfoundland right now um there's real hard value there i think and and it's a it's a matter of just getting it through the paces vis-a-vis a resource, vis-a-vis, you know, de-risking it from a permitting perspective and so on.

17:09There's a lot more to be found. I'm always apprehensive to do that when I know that things are so open-ended, right? It's hard to advance through that process. But, you know, as we learned from Newfound Gold, you know, we broke our pick against sort of speculation because the reality of the story was you had no edges on that stuff either. And to this day, he found, you know, I don't think investors quite understand what that is. And you've got, you know, shy of a couple million ounces in the top couple hundred meters from surface down to 200 meters. We've drilled that stuff down to 875 meters over there, right?

17:48But you're only getting any value in the market over that top 200. and in order to fence off the depth extent of all of that stuff to try to bring a resource and wrap a resource around that stuff and orgenic veining like that you know you're going to spend an absolute fortune and it's just not something that you need to do I mean when you can put the top couple hundred meters into production and and they are with the grade they have and the economics and the significance and so on so you've got everything you need to make a mining decision do you really need to prove out the next you know 20 years of of of your mind's future or are you good knowing the next you know 10 to 15 and uh and then you can find that later and i think that sort of begs the same question over here at moosehead it's like you could spend a lot of money chasing things deeper and yeah things could get unbelievable down there and i'm sure they do um But if you have a mine in that top couple hundred meters, why not just do that?

18:49The entire Abitibi was built that way. And so these are the biggest, you know, there's 300 million ounces of gold mined out of the Abitibi nearly. And almost all of it was that style of mine, that style of deposit. And in zero cases, absolutely zero cases, was multi-million ounces drilled out prior to a production decision being made. usually a production decision was made when you know maybe maybe a stump of that like the cratison i think classically was a production decision was made with with a resource of about 250 000 ounces and uh and then over the next 60 years mined out uh close to 12 million ounces gold right so they can just replace it replace it these mines go on forever these systems go on forever and ever, and ever at depth.

19:43And so do you really have to blow your brains out and prove out your 12 million ounces before making a production decision? And there's a mining infrastructure on Newfoundland too, is there not? Yeah, there's quite a bit. Well, you know, there's quite a bit of infrastructure. There's a lot of strategic neighbors around. I mean, look at Newfound Gold's going to be toll milling their material over at... So really their flow sheet looks like this. They've got Hammerdown going. They've got the Pine Cove mill. They're going to be trucking material from Queensway over into Pine Cove to basically bootstrap Queensway, right?

20:25And then they're going to do in-pit tailings on Queensway and build out the full processing over there. What that's going to do is create a vacuum at Pine Cove. So they're going to have a bit of a capacity vacuum at Pine Cove in three, four years, right? so you know that's where I could see Moosehead being a perfect fit for something like that and so um you know maybe the sooner that we can get our our ducks in a row here um and get and get or get get all of our check checks in our in our development developmental boxes um you know the quicker that we can maybe get those answers into production and uh and it may make a lot of sense given the state everybody will be in in the next two to three years.

21:10Daniel Avilad, I think you speak with Mining Stock Daily. Thanks, Mike. Take care. The information presented should not be considered investment advice. Mining Stock Daily and its affiliates are not responsible for any loss arising from any investment decision in connection with the material presented herein. Please do your own research or speak with a licensed financial representative before making any investment decisions.

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