Recent Exploration At McCarthy Gold Deposit Focused On Surrounding Area

VANCOUVER – Providence Gold Mining Inc. reported that a 3.77 Kg sample of quartz material taken from the surface at the McCarthy mine yielded gold values of 77.0 to 97.0 grams. Historical records indicate that until 1916 the McCarthy mine produced multi-ounce material over a width of 2 to 3 meters to a depth below surface of less than 60 meters. An underground drift was designed but not followed through on McCarthy gold deposit.

Samples were sent to Bureau Vertis in Sparks, Nevada for analysis using FA430 fire assay fusion with AAS finish. The recent exploration program focused on the area surrounding the McCarthy mine. Two trenches were dug with a Spidex excavator some 90-meters south of the mine. One target remains untested due to the steepness of the hillside which exceeded the ability of the excavator.

Assaying of samples collected along a 100-meter strike length exposing a lode structure 1.0 to 1.4 meters wide returned anomalous gold values ranging from 400 to 700 ppb. The overall width (10 to 20 meters) and intensity of the alteration bloom (which is mostly in the footwall beneath the 45-to-50-degree NE dipping lode) suggests potential for a high-grade offshoot target at a vertical depth of approximately 90 meters. Further modeling is currently underway. Once completed we plan to drill 3,000 to 4,000 meters of HQ core within and beneath the historical Providence, Fairplay, McCarthy, Mexican, Consuelo, Goodenough, and Bonita historic high-grade mines.