PC Gold Inc.

PC Gold Inc.

August 02, 2011 07:30 ET

Jean-Pierre Chauvin Joins Board of PC Gold in Support of Development Push at Pickle Crow

OTTAWA, ONTARIO--(Marketwire - Aug. 2, 2011) - PC Gold Inc. (TSX:PKL) is pleased to announce that Mr. Jean-Pierre (JP) Chauvin, B.A.Sc., P.Eng., has joined the board of the Company. Mr. Chauvin brings to PC Gold a strong operations background with companies such as Noranda and Battle Mountain, and past involvement in the start-up of several mines. Serving as Chairman of the Company's newly-established Technical Committee, Mr. Chauvin will provide technical oversight, guidance and assistance to management and the wider Board as the Company executes on its underground exploration and development push at its Pickle Crow gold mine project in northwestern Ontario, Canada, now underway, including the preliminary steps of permitting, dewatering and rehabilitation of shafts and lateral development.

The Pickle Crow gold mine hosts a high quality 1.26 million ounce NI 43-101 inferred gold resource* (10,150,000 tonnes averaging 3.9 g/t gold, cut, diluted and constrained). This includes a higher grade underground component comprising 1.1 million ounces averaging 5.4 g/t gold, including a high grade vein component of 600,000 ounces averaging 9.3 g/t gold, which the Company is focused on developing.

An engineer and graduate of Queen's University (B.Sc., Mining Engineering), Mr. Chauvin has more than 30 years experience in mining operations and construction management. This includes participating in the development of the Isle-Dieu mine in Matagami, Quebec for Noranda Mines Inc., which required the sinking of both production and exploration shafts, as well as the development and definition of the underground operation. Later, also for Noranda, Mr. Chauvin oversaw the rehabilitation of the Gaspe Copper mine. In 1992, he relocated to Manitouwadge to head the mine department at Noranda's Golden Giant mine, where he was subsequently promoted to Mine Manager, ultimately becoming General Manager of Canadian Operations for the successor company, Battle Mountain Gold.

In 2004, Mr. Chauvin moved to Toronto as CEO of Patricia Mining Corp. where he was responsible for the dewatering and rehabilitation of the Island Gold project. The mine was successfully dewatered and sufficient resources defined to allow Richmont Mines to exercise their option to bring the mine into production.

In 2006, Mr. Chauvin joined GlobeStar Mining Corp. as COO where he oversaw development of the Cerro de Maimon project in the Dominican Republic. A greenfields undertaking, Cerro de Maimon was taken to production in 2 years from start to finish, including all planning and engineering required to develop the mine and build the on-site processing plant.

A past director of Battle Mountain Canada Ltd., Crown Butte Resources Ltd., the Mining Association of Canada and the Ontario Mining Association, Mr. Chauvin currently serves as a director of Khan Resources Inc., Macusani Yellowcake Inc., and LakeSide Minerals Corp.

"We're really pleased to have an industry veteran of JP's calibre join our board," said Kevin Keough, President and CEO. "We appreciate his vote of confidence in the Company, and his commitment comes at an important juncture for us. As we push hard toward production, PC Gold needs someone intimately familiar with the ins-and-outs of permitting and building a mine. JP offers that in spades, and we anticipate drawing heavily on his expertise."

Options Grant

Pursuant to the Company's stock option plan, the Company has granted Mr. Chauvin options to purchase up to 230,000 common shares of the Corporation at an exercise price of $0.79 per share, expiring on July 21st, 2016.

An animated video and rotating 3D model of the Pickle Crow gold mine, including underground development, stopes, principal veins and BIF hosted gold zones, and resources, can be viewed on YouTube at: http://www.youtube.com/watch?v=YRtBY26PXy8

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.

* Entirely NI 43-101 Inferred category. The NI 43-101 resource estimate was prepared by Fladgate Exploration Consulting Corporation, and audited and approved by Micon International Limited under the direction of Mr. B. Terrence Hennessey, P.Geo., MAusIMM, Vice President of Micon, an independent Qualified Person as defined by NI 43-101. Mr. Neil Pettigrew, Vice President, Exploration for PC Gold and the Company's Qualified Person, is also a partner in Fladgate. Mineral resources that are not mineral reserves do not have demonstrated economic viability. The quantity and grade of reported inferred resources in this estimation are conceptual in nature and there has been insufficient exploration to define these inferred resources as an indicated or measured resource and it is uncertain if further exploration will result in upgrading them to an indicated or measured resource category.

A copy of the NI 43-101 compliant technical report dated June 2, 2011 containing full details of the resource estimation and entitled: "A Mineral Resource Estimate for the Pickle Crow Property, Patricia Mining Division, Northwestern Ontario, Canada" can be obtained from the Company's website at: http://www.pcgold.ca/en/Technical_Reports_52.html

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

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