PC Gold Inc.
TSX : PKL

PC Gold Inc.

June 22, 2009 08:01 ET

PC Gold Begins Drilling at Pickle Crow, Identifies Gold Target in Thick Conglomerate Unit

OTTAWA, ONTARIO--(Marketwire - June 22, 2009) - PC Gold Inc. (TSX:PKL) ("PC Gold" or "the Company") is pleased to report that the Company's Phase II drill program on its past producing Pickle Crow gold mine property in northwestern Ontario, Canada, has begun. The first hole of the Phase II program, PC-09-028, is following up on the discovery of high grade gold in heavily sulphidized iron formation made in PC-08-027, the last hole of the fall 2008 Phase I program. Drilling will attempt to trace the mineralization encountered in PC-08-027 down plunge to the north.

In a press release dated June 1, 2009, the Company announced that previously unrecognized potential exists on the Pickle Crow property for disseminated-replacement-style gold mineralization associated with the unconformable contact of the Pickle Crow and Confederation assemblages. Ongoing compilation and 3D modeling of historical data has identified an excellent candidate for this style of mineralization within the workings of the Pickle Crow gold mine, occupying a near surface portion of a thick conglomerate unit. This newly identified target has significant near term exploration implications and will be tested during the current drill program.

The target is associated with disseminated arsenopyrite, pyrrhotite and pyrite located near the eastern contact of a conglomerate unit that lies between the No. 1 and No. 3 shafts and is completely covered by overburden. Although the full extent of the gold-bearing disseminated mineralization is unknown, the conglomerate unit is interpreted to have horizontal dimensions of approximately 1,740 by 90 metres (5,700 by 300 feet), and has been traced to a depth of 880 metres (2,900 feet).

The mineralized conglomerate was first encountered by underground drilling in 1961 on the 750 foot level of the mine. Diamond drill hole 3-7-5, targeting the No. 13 vein, encountered a separate zone of gold-bearing disseminated arsenopyrite-pyrrhotite-pyrite mineralization to the southeast of the vein. Subsequently, a second hole, 3-7-25, was drilled through the zone from the No. 13 vein drift to guide development. The following are the results returned from these two historical drill holes (note: the intersections are believed to be approximately 90% of true widths):



Historical DDH 3-7-5
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From To Width Au Au
(m) (m) (m) (g/t) (oz/t)
--------------------------------------------------------
127.46 140.70 13.24 3.82 0.11
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including 131.21 140.09 8.88 5.28 0.15
--------------------------------------------------------
including 131.21 135.94 4.73 8.80 0.26
--------------------------------------------------------
including 131.21 133.32 2.11 14.47 0.42
--------------------------------------------------------
including 131.94 133.32 1.38 21.02 0.61
--------------------------------------------------------

Historical DDH 3-7-25
--------------------------------------------------------
From To Width Au Au
(m) (m) (m) (g/t) (oz/t)
--------------------------------------------------------
1.53 44.38 42.85 1.33 0.04
--------------------------------------------------------
including 31.42 44.07 12.65 3.74 0.11
--------------------------------------------------------
including 37.52 44.07 6.55 5.72 0.17
--------------------------------------------------------
including 37.52 40.78 3.26 8.65 0.25
--------------------------------------------------------
including 37.52 39.19 1.67 10.30 0.30
--------------------------------------------------------


Approximately 100 metres (328 feet) of drifting was conducted through the gold-bearing conglomerate on the 750 foot level with individual chip samples returning values of up to 10.97g/t Au (0.32 oz/t) over 0.91 metres (3 feet).

Holes 3-7-5 and 3-7-25 are the only two holes definitively known to have encountered the zone. Other nearby holes intersected conglomerate but, as the focus at the time was on narrow high-grade quartz veins, much of the core for these holes and holes 3-7-5 and 3-7-25, was not sampled. For example, discovery hole 3-7-5 was sampled for just 50 feet (15.24 metres) of a total length of 276 feet (84.12 metres), notwithstanding that almost the entire length of the hole was in conglomerate, and those portions that were sampled indicated scattered gold values along much of its length. As a result, the potential for wide zones of medium grade mineralization hosted within the conglomerate was not recognized at the time and remains to be assessed.

Neil Pettigrew, M.Sc., P.Geo., Vice President, Exploration for PC Gold and the Company's Qualified Person as defined by NI 43-101, has reviewed and approved the technical information in this press release.

About PC Gold

PC Gold is a focused gold junior owning 100% of the past-producing Pickle Crow Gold Mine Property in northwestern Ontario, Canada. The Property lies within the prolific Uchi geological subprovince which also hosts the rich gold mines of Red Lake. Pickle Crow was a long life (31 years, 1935-1966), high-grade (16.14 g/t / 0.47 oz/T (tons milled)), profitable operation (28 years). During its lifetime, it produced a total of 1.45 million Troy ounces of gold, predominantly from quartz-carbonate veins. The mine closed in 1966 due to increasing costs as operations extended to deeper levels and revenues declined in real dollar terms in a fixed gold price environment ($35/oz). Pickle Crow closed with all productive high-grade veins open at depth and largely untouched zones of gold in iron formation within or in close proximity to the workings. Additionally, since the mine shut down, historical exploration programs have produced several non NI 43-101 compliant resource estimates for the Property, detailed in Chapter 5.4 of the Pickle Crow Property NI 43-101 Technical Report. Consequently, there is believed to be strong potential for expanding known gold zones, and making new discoveries. The Pickle Crow Gold Mine Property has excellent access and exploration infrastructure, including a new 225 tonne per day mill.

The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.

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