Element79 Gold Reports Multiple High Grade Results from Pillune Area, Lucero Project, Arequipa, Peru

Vancouver, BC – TheNewswire - February 6, 2024 – Element79 Gold Corp. (CSE:ELEM) (OTC:ELMGF) (FSE:7YS0) ("Element79 Gold", the "Company") is pleased to announce additional underground chip sample assay results from the 2023 work campaign at the Pillune Area of the Lucero mine project in Arequipa, Peru.

HIGHLIGHTS:

• Assays from 2023 underground grab- and channel samples completed by SLM Resource Group from the Pillune Area of the past-producing Lucero mine project have been received, reviewed and reporting here  

• Multi-ounce Gold and Multi-ounce Silver, reinforce the significant potential of restarting this past-producing mine today 

  • 10.5 oz/t Gold and 29 oz/t Silver in sample LUC2023-33 

  • 4.7 oz/t Gold and 29 oz/t Silver in Sample LUC2023-34 

• Further lab assays from remaining 2023 work campaigns are being received shortly and will be released as soon as available. 

“This batch of 24 assay results from the 2023 underground sampling program conducted by  contractor SLM Resource Group completed on the Pillune Area of the Lucero project revealed impressively high-grade gold and silver mineralization, up to 10.5 ounces per ton gold and >29 ounces per ton silver, in addition to some great base metals results.  This is encouraging to us as it further validates the potential for a significant high-grade future operation.” said James Tworek, CEO and Director of Element79 Gold.

The assay results were collected during the 2023 program consists of underground chip samples across several veins from the Apacheta Zone which retuned up to 11.7 oz/t gold and 247 oz/t silver (see April 27th 2024 news release), Pillune Area (the focus of this release), and Sando Alcalde

Area, where local Informal miners have worked sporadically for the last several years. The 2023 work program carried out by SLM Resource Group revealed high-grade gold-silver mineralization confirming two orientations of mineralized structures. These comprise a roughly E-W orientation associated with higher precious metals and a more NW orientation associated with higher base metals, both with economic grades (Table 1.).

Table 1. Underground chip sample assay results for the Pillune Area of the Lucero Project

*Upper detection limit of silver analysis was 1,000 g/tonne

"The latest assay results confirm the high-grade nature of the Lucero project, consistent with visible mineralization observed during our team’s site visits and by prior operators," said James Tworek, CEO of Element79 Gold. "We have the benefit of a running start as the Lucero project has been in production in the past, local artisanal miners are actively working in the region today, and barring annual rainy season conditions, many underground workings remain accessible.  These new results provide high-grade results from SLM’s 2023 campaign on the Pillune Area of Lucero and continue to encourage our belief that the project hosts significant commercially exploitable veins as it has seen little modern exploration.  We await one more batch of assays from the SLM campaign, as well as the results of the mapping and more thorough channel sampling campaign carried out by the Ore Discovery team, which ended on December 31st.  We look forward to sharing additional results shortly, as lab results are received."

Tworek added, "These positive results, along with historical data are being modeled and analyzed to produce underground and surface drill targets for our upcoming drill program.  We look forward to updating our investors on additional results from the 2023 work campaigns as we receive and analyze them. "

Figure 1. Lucero Project showing major historic mining areas, including Pillune Area

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Figure 2. Satellite image showing the Pillune Area of the Lucero Project, mine workings and veins that were sampled during the 2023 work program.

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Figure 3. Photographs of select underground chip sample locations: A LUC2023-33 (10.5 oz/t gold, >29 oz/t silver), B LUC2023-34 (4.7 oz/t gold, >29 oz/t silver), C LUC2023-40, 41 & 42 (2.2 oz/t gold / 7 oz/t silver, 0.8 oz/t gold / 2 oz/t silver & 0.8 oz/t gold / 8 oz/t silver respectively), D LUC2023-45 (1.4 oz/t gold, >29 oz/t silver.

About the Lucero Project

Formerly operated as the Shila mine from 1989 to 2005 by Buenaventura (NASDAQ:BVN), Lucero consists of 10,813 hectares located in the Shila range of southern Peru, which contains several historic high-grade gold-silver mines. Lucero consistently delivered high grades during 16 years of operations, and between 1998 and 2004 reported production averaging approximately 18,800 ounces of gold and 435,000 ounces of silver per year at grades of 14.0 g/t gold and 373 g/t silver, with recoveries at the ore processing facility averaging 94.5% for gold and 85.5% for silver.

QA/QC

All samples were collected by Helmut Herrera of SLM Mining Services S.A.C of Peru (Lima) and submitted to Certimin  S.A. of Peru (Lima). Samples were prepared by crushing to 90% passing <2mm, with a 250-gram split pulverized to 85% passing 75 micrometers, and analysed by four acid digestion followed by Inductively Couple Plasma with an Optical  Emission Spectrophotometry detector (ICP-OES) for 35 elements including silver, while gold was analyzed by Fire Assay with a 30-gram sample with an Atomic Absorption Spectrophotometry detector (AAS) finish for assay up to 10 g/t. Overlimit gold was analysed by fire assay with a gravimetric finish. Overlimit Silver (>100 g/t) was analysed by four acid digestion and AAS finish.  Overlimit lead and zinc were analysed by ore grade techniques using four acid digestion and ICP-OES finish.

Qualified Person

The technical information in this release has been reviewed and verified by Neil Pettigrew, M.Sc., P. Geo., Director of Element79 Gold and a "qualified person" as defined by National Instrument 43-101.

About Element79 Gold Corp

Element79 Gold Corp is a gold and silver mining company committed to maximizing shareholder value through responsible mining practices and sustainable development of its projects.  Element79 Gold's core focus is on developing its past-producing, high-grade gold and silver mine, the Lucero project located in Arequipa, Peru, with the intent to restart production in 2024.  In January 2024 the Company entered into a non-binding LOI with Compañía de Minas Buenaventura regarding the potential offtake of minerals produced from the Lucero project.

The Company also holds a portfolio of 5 properties along the Battle Mountain trend in Nevada, with the Clover and West Whistler projects believed to have significant potential for near-term resource development. Three properties in the Battle Mountain Portfolio are under contract for sale to Valdo Minerals Ltd., with an anticipated closing date in the first half of 2024.  The Company has also signed an Option Agreement to sell the Maverick Springs project, an advanced-stage exploratory property with an Inferred Resource of 3.71Moz AuEq (1.37Moz Au and 175Moz Ag) and anticipates completing this sale on or before July 21, 2024.  

In British Columbia, Element79 Gold has executed a Letter of Intent and funded a drilling program to acquire a private company that holds the option to 100% interest of the Snowbird High-Grade Gold Project, which consists of 10 mineral claims located in Central British Columbia, approximately 20km west of Fort St. James.

The Company has an option to acquire a 100% interest in the Dale Property, 90 unpatented mining claims located approximately 100 km southwest of Timmins, Ontario, and has recently announced that it has transferred this project to its wholly-owned subsidiary, Synergy Metals Corp, and is advancing through the Plan of Arrangement spin-out process.

The Company’s 2023 review and Corporate Update can be reviewed HERE

For more information about Element 79 Gold Corp., please visit www.element79.gold.

For corporate matters, please contact:

James C. Tworek, Chief Executive Officer

Email: jt@element79.gold

For investor relations inquiries, please contact:

Investor Relations Department
Phone: +1 (403)850.8050
Email: investors@element79.gold

Cautionary Note Regarding Forward Looking Statements 

This press contains "forward‐looking information" and "forward-looking statements" under applicable securities laws (collectively, "forward‐looking statements"). These statements relate to future events or the Company's future performance, business prospects or opportunities that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management made in light of management's experience and perception of historical trends, current conditions and expected future developments. Forward-looking statements include, but are not limited to, statements with respect to: the Company's business strategy; future planning processes; exploration activities; the timing and result of exploration activities; capital projects and exploration activities and the possible results thereof; acquisition opportunities; and the impact of acquisitions, if any, on the Company. Assumptions may prove to be incorrect and actual results may differ materially from those anticipated. Consequently, forward-looking statements cannot be guaranteed. As such, investors are cautioned not to place undue reliance upon forward-looking statements as there can be no assurance that the plans, assumptions or expectations upon which they are placed will occur. All statements other than statements of historical fact may be forward‐looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives or future events or performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan", "continue", "estimate", "expect", "may", "will", "project", "predict", "forecast", "potential", "target", "intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical fact and may be "forward‐looking statements". 

Actual results may vary from forward-looking statements. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results to materially differ from those expressed or implied by such forward-looking statements, including but not limited to: the duration and effects of the coronavirus and COVID-19; risks related to the integration of acquisitions; actual results of exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; commodity prices; variations in ore reserves, grade or recovery rates; actual performance of plant, equipment or processes relative to specifications and expectations; accidents; labour relations; relations with local communities; changes in national or local governments; changes in applicable legislation or application thereof; delays in obtaining approvals or financing or in the completion of development or construction activities; exchange rate fluctuations; requirements for additional capital; government regulation; environmental risks; reclamation expenses; outcomes of pending litigation; limitations on insurance coverage as well as those factors discussed in the Company's other public disclosure documents, available on www.sedarplus.ca. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. The Company believes that the expectations reflected in these forward‐looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward‐looking statements included herein should not be unduly relied upon. These statements speak only as of the date hereof. The Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by applicable laws. 

Neither the Canadian Securities Exchange nor the Market Regulator (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.

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