AUGC Provides Update on Ponderosa Gold Project and Work Plan for 2023
AU GOLD CORP.
NR2-2023
AUGC Provides Update on Ponderosa Gold Project and Work Plan for 2023
Vancouver, British Columbia — May 23, 2023 – Au Gold Corp. (TSXV: AUGC) (“AUGC” or the
“Company”) is pleased to provide an update for the 2023 exploration season at Ponderosa.
Management continues to be enthusiastic about the project and believe s it has the potential to
host a significant gold discovery.
“Au Gold Corp remains extremely positive that a significant gold discovery will be made at
Ponderosa” states AUGC President and CEO, Marc Blythe. “While the initial drilling at Tomahawk
has verified the presence of high -level gold -silver-bearing epithermal style mineralization, six
priority targets bearing moderate to strong gold -arsenic soil g eochemical responses and/or
prospecting sample results remain to be tested”.
The Ponderosa Gold Property is located with the unceded traditional territory of the Nlaka’pamux
People.
2022 Exploration Summary – Why We Are Excited About Ponderosa
During 2022, exploration focused exclusively on the Tomahawk and Flat Iron targets. Drilling
successfully identified epithermal alteration and mineralization in all 20 holes drilled with 10 of 20
holes yielding anomalous gold ( >0.20 g/t – 2.20 g/t Au) and silver intervals (described in the News
Release dated August 4, 2022 ). Management focused its efforts at the Tomahawk and Flat Iron
zones on the basis of significant outcrop exposure (Tomahawk) and historical trench references
(Flat Iron). Both target areas are represented by only intermittent weak gold/arsenic -in-soil
anomalism but host broad outcrop exposures indicative of a high-level low sulphidation epithermal
system. Sections showing the geology and assay results for the 2022 drilling have been p osted to
the Company’s website at https://augoldcorp.com/project/ponderosa-2022-drill-results/.
Following industry expert Dr. Jeffery Hedenquist’s drill core review and property visit in September
2022 (the details of which are described in the news release dated October 24, 2022), the Company
has been progressing a number of the recommendations from this visit in addition to conduct ing a
detailed compilation of the project data including a revised interpretation of the Ponderosa
mineralizing system.
The Company believes the Tomahawk and Flat Iron targets are associated with secondary structural
elements parallel to a primary northerly trending structural system newly termed the “Ponderosa
Structural Corridor” (PSC) which bisects the property along its main access road through the central
part of the claim block . This structural feature is dextrally offset with en -echelon geometry and
hosts a series of intermittent moderately- to well-defined gold-arsenic soil geochemical anomalies
along a 1.7 km trend from the T-Bone to the Cattle Guard South zones and the Ribeye Zone. Recent
and historical gold-bearing prospect samples largely fall within or very near the traces of the PSC.
Work Program for 2023
Infill soil sampling of strategic gaps along the PSC will commence shortly as conditions permit . A
series of RAB drillhole fences has also been designed to test the best coincident gold -arsenic
geochemical anomalies and areas of gold bearing surface prospecting samples along the PSC trend
from the T-Bone to the Cattle Guard zones and the Ribeye target. The RAB program will evaluate a
much broader area both laterally and vertically below the relative position of the Tomahawk target
to identify epithermal mineralization associated with structural feeder zones.
The company expects to begin field work in May 2023 and will provide further updates as work
progresses.
About the Ponderosa Gold Project
The Ponderosa Gold Property is located 16 km southwest of Merritt, BC, within the Spences Bridge
Gold Belt which forms a northwest trending belt roughly 180 km long and up to 24 km wide.
Exploration by AUGC and others, notably Westhaven Gold Corp., has id entified the potential for
gold associated with low -sulphidation epithermal mineralization (quartz -adularia). Examples of this
style of mineralization include Waihi (Oceanagold), Hishikari (Sumitomo Metal Mining) and Fruta
Del Norte (Lundin Gold).
Rocks of immediate interest in the belt and underlying much of the Property comprise successions
of Cretaceous subaerial and pyroclastic volcanic flows which host significant gold mineralization at
Westhaven Gold Corp.’s Shovelnose project approximately 20 km sou theast of the Ponderosa Gold
Property. Geology across the Ponderosa Gold Property is broadly divided into two Cretaceous age
volcanic sequences comprising subaerial and pyroclastic volcanic flows of the Pimainus and Spius
Formations.
Further information o n the Property can be found on the Company’s website:
https://www.augoldcorp.com/ponderosa-property/.
Qualified Person Statement
All scientific and technical information in this press release h as been prepared by William
Wengzynowski, P. Eng., a qualified person as defined by NI 43 -101. Mr. Wengzynowski is the
Exploration Manager for the Company.
Au Gold Corp.
Marc G. Blythe, MBA, P.Eng., President & Chief Executive Officer
Sandrine Lam, Investor Relations Phone: 1-604-687-3520 Ext. 250
Email: [email protected]
To learn more visit: https://www.augoldcorp.com
Forward Looking Information
Certain statements made, and information contained herein may constitute "forward looking
information" and "forward looking statements" within the meaning of applicable Canadian
and United States securities legislation. All statements in this news release, other than statements
of historical facts, including statements regarding future estimates, plans, objectives, timing,
assumptions or expectations of future performance, including without limitation, the statement
that the Company intends to complete the A cquisition and all actions in connection with the
Acquisition are forward -looking statements and contain forward- looking information. These
statements and information are based on facts currently available to the Company and there is no
assurance that actu al results will meet management's expectations. Forward- looking statements
and information may be identified by such terms as "anticipates", "believes", "targets",
"estimates", "plans", "expects", "may", "will", "could" or "would". Forward -looking statements and
information contained herein are based on certain factors and assumptions regarding, among
other things, the closing of the A cquisition, the receipt of regulatory approvals for the Acquisition
and other matters. While the Company considers its assum ptions to be reasonable as of the date
hereof, forward-looking statements and information are not guaranteeing of future performance
and readers should not place undue importance on such statements as actual events and results
may differ materially from those described herein. The Company does not undertake to update any
forward-looking statements or information except as may be required by applicable securities laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this
release.