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11-01

Pilot Gold Inc. ("Pilot Gold" or the “Company”) is pleased to report that the previously announced plan of arrangement involving the Company, Fronteer Gold Inc. ("Fronteer") and Newmont Mining Corporation (the “Arrangement”) was completed effective April 6, 2011. As a result of the  completion of the Arrangement, Pilot Gold became a reporting issuer in each of the provinces of Canada. The Toronto Stock Exchange (the "TSX") has approved the listing of the common shares of Pilot Gold and the Company expects that the Pilot Gold common shares will commence trading on Monday, April 11, 2011 under the stock symbol "PLG".

Pilot Gold owns, and will be engaged in, the exploration and potential development of 15 exploration properties previously held by Fronteer. These projects include Halilaga, an early-stage copper-gold porphyry deposit and TV Tower, a series of high-sulphidation gold systems, both located in northwestern Turkey. In Nevada, the Company's Regent project is a low sulphidation gold system with a historic, shallow gold deposit with potential for discovery of additional high-grade, vein-hosted mineralization.

Technical reports on Halilaga, TV Tower and Regent have been electronically filed with regulators concurrent with the filing of this news release and are available for viewing on the SEDAR website (www.sedar.com) under Pilot Gold’s Issuer Profile.

For further information with respect to the Arrangement, please refer to Fronteer Gold’s Management Information Circular, dated March 2, 2011 and posted on SEDAR (www.sedar.com) under Fronteer Gold’s Issuer Profile. The Information Circular is also filed under the Company's SEDAR profile. Appendix E to the Information Circular contains information relating to Pilot Gold and its business operations.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration and development company led by members of the team that discovered or advanced seven deposits since 2003 under the name Fronteer Gold. Pilot Gold is now focused on advancing Halilaga, TV Tower and Regent— three gold and copper-gold projects located in Turkey and Nevada. For more information on Pilot Gold, please contact:

Matt Lennox-King, President & CEO

Patrick Reid, VP Corporate Development

Phone 604-632-4677 or Toll Free 1-877-632-4677

This email address is being protected from spambots. You need JavaScript enabled to view it.

Forward-Looking Information: Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Such forward-looking information, including, but not limited to,the listing date for the Pilot Gold common shares on the TSX.  While such forward-looking statements are expressed by Pilot Gold, as stated in this release, in good faith and believed by Pilot Gold to have a reasonable basis, they are subject to important risks and uncertainties.  As a result of these risks and uncertainties, the events predicted in these forward-looking statements may differ materially from actual results or events. These forward-looking statements are not guarantees of future performance, given that they involve risks and uncertainties. Pilot Gold does not undertake any obligation to release publicly revisions to any forward-looking statement, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued forward-looking statement constitutes a reaffirmation of that statement. Continued reliance on forward-looking statements is at investors' own risk.

 

 

11-02

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) reports initial 2011 work programs for its key gold and copper-gold projects in northwestern Turkey and Nevada, and introduces the Company’s new management structure.

Pilot Gold is a newly listed gold exploration company spun out of Fronteer Gold Inc. (“Fronteer”) as part of Newmont Mining Corporation’s (“Newmont”) acquisition of Fronteer for $2.3 billion on April 6, 2011. As a result of the plan of arrangement involving the Company, Fronteer and Newmont (the “Plan of Arrangement”), Pilot Gold has been seeded with $9.5 million in cash and 16 strategic exploration properties from the Fronteer portfolio. 

Pilot Gold’s objective is to achieve rapid growth and build value through the advancement of three key exploration assets located in Turkey and Nevada. These high conviction exploration projects, previously held by Fronteer, include Halilaga, a large porphyry copper-gold deposit and TV Tower, a large gold system, both located in northwestern Turkey’s Biga District. Pilot Gold’s third project, Regent, is located in Nevada and boasts potential for vein-hosted, high-grade mineralization and expansion of the existing disseminated gold mineralized footprint. These projects provide a strong foundation both for discovery and building new gold resources.

“Pilot Gold will continue Fronteer’s strategy of creating value by advancing high-quality assets located in excellent mining jurisdictions and maintaining a pipeline of projects to build an enduring growth business,” says Pilot Gold Chairman Dr. Mark O’Dea. “We have an experienced board of directors and management team, and the financial resources for ongoing exploration and development success.”

TURKEY
Since 2004, Fronteer Gold played a key role in establishing the prospectivity and gold endowment of Turkey’s Biga District. Pilot Gold’s technical teams helped define the Agi Dagi and Kirazli gold deposits, and we are now advancing two projects with our 60% joint venture partner and operator Teck Madencilik Sanayi Ticaret A.S. (“TMST”), Teck Resources Limited’s Turkish subsidiary.

Halilaga

  • 10,000-metre, four rig drill program focused on main porphyry zone

Located in northwestern Turkey, Halilaga is a significant copper-gold porphyry system in the early stages of development. It is accessible by road, situated in favourable terrain, and surrounded by excellent infrastructure. Drilling to date has intersected copper-gold porphyry mineralization over a strike length of 1,200 metres and a width of 750 metres, with thicknesses of up to 600 metres. The Central Zone at Kestane remains open for expansion in all directions. A Phase 1, four rig exploration/development drill program is ongoing and includes an initial 10,000 metres of drilling at the Central Zone. Pilot Gold’s share of the 2011 budget is approximately $1.99-million.

TV Tower

  • 15,000-metre, four rig drill program targeting new gold system

TV Tower is the third large gold system in the Biga District being advanced by the joint venture. TV Tower is a large road-accessible property covering more than 65 square-kilometres and located adjacent to the Kirazli gold deposit. Seven targets have been identified with widespread epithermal to porphyry characteristics, typical of other deposits in the Biga District. A Phase 1 drill program of approximately 4,184 metres was completed in January, 2010.  A Phase 2, four rig, 15,000-metre drill program commenced in early April, 2011. Exploration in 2011 will focus on expanding the success of the Phase 1 program and will test additional high priority targets at TV Tower. Pilot Gold’s share of the 2011 budget is approximately $1.51-million.

NEVADA
In Nevada, Fronteer built a high quality project pipeline including Long Canyon, a ‘best-in-class' asset with excellent production attributes and significant growth potential. As a result of the Plan of Arrangement, Pilot Gold retained a portfolio of 11 high quality exploration projects in Nevada that provides ongoing exposure to exploration success.

Regent

  • 10,000-metre two rig drill program testing historic district

The 100% owned and operated Regent project is a low-sulphidation epithermal gold and silver system located in the prolific Walker Lane district of western Nevada.  The shallow, historic gold deposit has strong property-wide growth potential, including both bulk-mineable and high-grade vein mineralization. The average depth of historic drill holes at Regent is approximately 145 metres, with only five holes deeper than 250 metres. There is significant potential to expand the historic bulk-tonnage deposit down-plunge and along strike. In addition, there are multiple high-grade vein intercepts not followed up by deeper drilling and high-grade locally derived float northwest of the project area indicating high-grade gold mineralization nearby. A Phase 1, two rig drill program will include 10,000 metres of drilling with an initial budget of $2.50 million. Drilling is anticipated to begin in late-April and will continue through to Q3-2011. 

PROJECT PIPELINE
Pilot Gold has a pipeline of projects in Turkey, Nevada and Peru to sustain future growth. For project maps of each country, please click on the following links:

      Turkey– http://www.pilotgold.com/sites/default/files/TurkeyProjectMap.pdf

      Nevada – http://www.pilotgold.com/sites/default/files/NevadaProjectMap.pdf

      Peru – http://www.pilotgold.com/sites/default/files/PeruProjectMap.pdf

MANAGEMENT TEAM:
Pilot Gold’s board and management teams are comprised of the same key members of Fronteer Gold who were instrumental in the company’s growth from a $2-million venture shell into a well-funded gold company acquired by Newmont Mining for approximately $2.3 billion.

Pilot Gold’s Board of Directors is led by Chairman Dr. Mark O’Dea, former President, CEO and founder of Fronteer Gold. The management team is spearheaded by CEO Matt Lennox-King, former Senior Geologist and Project Manager for Fronteer Gold and a key member of their team since the company’s startup in 2001. The remainder of Pilot Gold’s management team includes:

  • Ian Cunningham-Dunlop, Chief Operating Officer and V.P. Exploration
    Mr. Cunningham-Dunlop will oversee Pilot Gold’s global exploration and development projects. He previously served as V.P. Exploration for Fronteer Gold where he led the company’s exploration success over a period of seven years. He also served as V.P. Exploration for Aurora Energy Resources during this period and oversaw the development of the Michelin Uranium deposit in Coastal Labrador. He brings over 30 years ofglobal exploration management experience to the Pilot Gold team.  
     
  • Moira Smith, Chief Geologist
    Dr. Smith will be providing geologic insight and guidance on the Company’s global projects. She was formerly Chief Geologist, Nevada for Fronteer Gold, where she played a key role in successfully advancing Long Canyon, Fronteer’s flagship project. Prior to joining Fronteer, Dr. Smith was U.S. Exploration Manager for Teck Resources where she managed exploration programs throughout the Americas including the 5.5-million ounce Pogo gold deposit; the 1.5-billion tonne Petaquilla Cu-Mo-Au porphyry deposit in Panama; and the 3.5-million ounce El Limon gold deposit in Mexico.
  • Vance Spalding, U.S. Exploration Manager and President of Pilot Gold USA Inc.
    Mr. Spalding formerly served as Fronteer’s Nevada Exploration Manager where he assembled the portfolio of Nevada projects retained by Pilot Gold.  Previous to Fronteer, Mr. Spalding spent 12 years with Centerra Gold where he led the discovery and delineation of the 2-million ounce Ren gold deposit in Nevada.
  • Patrick Reid, V.P. Corporate Development
    Mr. Reid will work to broaden Pilot Gold’s reach with institutional investors, analysts and other members of the investment community. Mr. Reid was formerly Senior Director, Institutional Marketing for Fronteer Gold, and previous to that was Senior Vice President and Partner with AGF Investments Inc.
  • John Wenger, Chief Financial Officer and Corporate Secretary
    Mr. Wenger joins the Company after 10 years in Ernst & Young LLP’s mining group, where he specialized in both major producers and junior explorers.  

Pilot Gold’s management team is supported by more than 15 former Fronteer employees and consultants, providing the company a strong base on which to build growth and value creation.

Additional details on our projects, management team and Board of Directors can be found on the Pilot Gold website at www.pilotgold.com. Technical reports on Halilaga, TV Tower and Regent are also available for viewing on the SEDAR website (www.sedar.com) under Pilot Gold’s Issuer Profile.

All technical information contained in this release has been reviewed and approved by Ian Cunningham-Dunlop, P. Eng., COO, Pilot Gold, and a “qualified person” within the meaning of National Instrument 43-101.

For more information contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Halilaga, please view the NI 43-101 technical report entitled "NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Turkey," February 15, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot

Gold (formerly VP Exploration, Fronteer Gold) on SEDAR. For further details on TV Tower, please view the NI 43-101 technical report entitled "NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng., Chief Operating Officer and VP Exploration, Pilot Gold (formerly VP Exploration, Fronteer Gold) on SEDAR. For further details on Regent please view the NI 43-101 technical report entitled "Summary Technical Report : Regent Gold Project  Mineral County, Nevada ," dated January 4, 2011, Paul Klipfel  Ph.D CPG #10821, Consulting Economic Geologist , Mineral Resource Services Inc. (Reno), on SEDAR. Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programsinvolve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others,risks related tothe interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in Appendix "E" of Fronteer Gold Inc.'s Management Information Circular dated March 2, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-03

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) reports that a 10,000 metre, Phase 1 drill program has commenced at the Company’s 100%-owned and operated Regent Project in southwestern Nevada.

Regent is a low sulphidation epithermal gold and silver mineralized system situated on the eastern margin of the prolific Walker Lane epithermal gold-silver belt. Walker Lane deposits include Round Mountain (7 million ounces of gold produced to date), the historical Comstock Lode (8 million ounces of gold and 192 million ounces of silver produced) and the Rawhide/Denton Mine (1.4 million ounces of gold and over 10 million ounces of silver produced between 1990 and 2004). Pilot Gold recently staked 153 new claims, bringing the overall Regent property to 263 claims totaling 1803 hectares (4456 acres).

“This drilling marks the start of an aggressive and systematic exploration program on our key Nevada property,” says Matt Lennox-King, President and CEO of Pilot Gold.  “Our goal at Regent is to define a significant new epithermal gold and silver deposit by expanding the historic disseminated deposit and following up on the abundant high-grade intervals on the property.”

Gold-silver mineralization at Regent is centered on Regent Hill and is partly controlled by the Silver Hill Vein, a 1,200 metre-long vein system. Veins vary from 0.3 to 12 metres in width, with surface values up to 61.4 grams per tonne (1.79 opt) gold and 480.0 grams per tonne (14 opt) silver. Disseminated gold and silver mineralization is hosted within felsic tuffs, and stratigraphically overlies the vein hosted mineralization. 

The Regent Hill area was previously explored for near-surface, disseminated gold and silver resources by Newmont Mining Corporation and Kennecott Mining Company. These programs resulted in over 580 shallow drill holes, the vast majority of which were vertical, reverse circulation holes drilled on a grid within a limited area. These holes were used to define a near-surface, bulk-mineable deposit, which included historical intercepts of:

  • 2.4 grams per tonne gold over 62.48 metres in hole NRE-054;
  • 1.4 g/t gold over 47.24 metres in hole RK-1918; and
  • 1.1 g/t gold over 47.24 metres in hole RK-2043.

Significant high-grade intervals were also encountered, with 31 intercepts greater than 6.86 g/t gold (0.2 opt) including:

  • 49.9 g/t gold over 1.52 metres in hole RK-2549;
  • 12.0 g/t gold over 3.05 metres in hole NRE-080; and
  • 10.7 g/t gold over 4.57 metres in hole RK-1918.       

For a table of historical drill intercepts, please click:
http://www.pilotgold.com/sites/default/files/RegentHistoricalDrillResults.pdf


For a map of Pilot Gold’s Nevada properties, including Regent, please click:
http://www.pilotgold.com/sites/default/files/NevadaProjects.pdf

Past operators focused on defining bulk mineable mineralization and as a result did not incorporate the high grade intercepts into their development plans. Pilot Gold believes there exists strong potential for expansion of the bulk-tonnage deposit both down-plunge and along strike, as well as the discovery of additional high-grade, vein-hosted gold and silver mineralization at moderate depths.

Pilot Gold’s 2011 exploration program at Regent commenced in February with the collection of 142 line kilometers of ground magnetics and 780 gravity stations over the project. Pilot Gold has also acquired the majority of historic data on the Regent Project and believes this data will be instrumental in driving exploration success. 

The Phase 1 drill program commenced on April 20, 2011, with 10,000 metres of reverse circulation and core drilling planned.

All technical information contained in this release has been reviewed and approved by Ian Cunningham-Dunlop, P. Eng., COO, Pilot Gold, and a “qualified person” within the meaning of National Instrument 43-101. Drill results contained in this release are historical in nature and have not been verified by Pilot Gold.

ABOUT PILOT GOLD                                                   

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent— three strategic gold and copper-gold projects located in Turkey and Nevada. For more information on our pathway to creating value, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Regent please view the NI 43-101 technical report entitled "Summary Technical Report : Regent Gold Project  Mineral County, Nevada," dated January 4, 2011, Paul Klipfel Ph.D CPG #10821, Consulting Economic Geologist, Mineral Resource Services Inc. (Reno), on SEDAR (www.sedar.com) under Pilot Gold’s Issuer Profile.

 Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programsinvolve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others,risks related tothe interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in Appendix "E" of Fronteer Gold Inc.'s Management Information Circular dated March 2, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-04

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report that ongoing drilling at the Halilaga porphyry project in northwest Turkey continues to intersect significant copper-gold mineralization, including 0.22% copper and 0.34 grams per tonne gold over 466.7 metres. Results from 11 new drill holes reported below further enhance this project, building size and continuity.

The latest drill results are part of the 2011 Phase 1, four-rig, 10,000 metre exploration/delineation drill program designed to infill the Central Zone of the Kestane target, as well as test prominent magnetic anomalies on the remainder of the property.

Drill results from the Central Zone at Kestane include:

- 0.34 grams per tonne gold and 0.22% copper over 466.7 metres in HD-76, including:

-  0.68 g/t gold and 0.37% copper over 90.4 metres

-  0.75 g/t gold and 0.63% copper over 73.0 metres starting from 2.0 metres in HRC-68, including:

-  0.87 g/t gold and 0.88% copper over 34.5 metres

- 0.26 g/t goldand 0.33% copper over 253.2 metres starting from surface in HD-60, including:

                       - 0.39 g/t gold and 1.58% copper over 14.9 metres starting from 33.9 metres

- 0.33 g/t gold and 0.26% copper over 196.4 metres in HD-67A

- 0.20 g/t gold and 0.23% copper over 146.5 metres in HD-61

- 0.25 g/t gold and 0.20% copper over 51.6 metres in HD-62

In addition, exploration drilling to the north, west and south of Kestane has intersected anomalous levels of molybdenum, along with continued strong copper and gold grades including:

- 0.26 g/t gold, 0.37% copper and 0.03% molybdenum over 40.0 metres in HD-60

- 0.11 g/t gold, 0.15% copper, and 0.02% molybdenum over 468.20 metres in HD-61, including:

- 0.24 g/t gold, 0.25% copper and 0.05% molybdenum over 49.40 metres

All true widths are 80-90% of reported widths unless otherwise stated. All intervals of no sampling have been assigned zero grade for the purposes of compositing.  Composites were calculated at 0.5, 1.0 and 2.0 gold equivalent cut-offs using $1000/oz gold and $3.00/lb copper for consistency with  historic reporting practice. For a PDF of comprehensive drill results to date, including new and non-reportable intercepts, please click: http://www.pilotgold.com/sites/default/files/HalilagaDrillResults1104.pdf

For a map highlighting recent drilling, please click:
http://www.pilotgold.com/sites/default/files/HalilagaDrillMap1104.pdf

Halilaga is a recently discovered copper-gold porphyry deposit and to date, drilling has intersected mineralization over a strike length of 1,200 metres, a width of 750 metres, and thicknesses of up to 600 metres. Halilaga is also endowed with a supergene enrichment zone that is locally up to 40 metres in thicknessat grades of 1%-to-2% Cu. 

Since 2004, Pilot Gold’s technical team (formerly of Fronteer Gold Inc.) played a key role in establishing the prospectivity and gold endowment of the Biga District in northwest Turkey, and were instrumental in the discovery of the Halilaga porphyry. Teck Resources Limited’s Turkish subsidiary, Teck Madencilik Sanayi Ticaret A.S. (“TMST”) is Pilot Gold’s 60% joint-venture partner and project operator.  Pilot Gold’s share of the 2011 budget is approximately $2.0-million and the drill program is approximately 70% complete to-date. 

All drill samples and analytical data for Halilaga are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, VP Exploration and Chief Operating Officer for Pilot Gold, and a “Qualified Person” within the meaning of National Instrument 43-101, isresponsible for compiling the technical information contained in this release.   Mr. Cunningham-Dunlop has not verified all the assay data generated by TMST as project operator; however, the grades and widths reported here agree well with the Company’s past results on the project and correspondence with TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent - three strategic copper-gold and gold projects located in Turkey and Nevada.  For more information on Pilot Gold, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Halilaga, please view the NI 43-101 technical report entitled "NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Turkey," February 15, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) under Pilot Gold’s Issuer Profile on SEDAR(www.sedar.com).

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in Appendix "E" of Fronteer Gold Inc.'s Management Information Circular dated March 2, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-05

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) is pleased to announce that final assays from Phase 1 drilling at the TV Tower property in northwest Turkey have returned significant copper and silver grades associated with this exciting new gold system.

Drilling focused on zones of outcropping epithermal mineralization at the Kücükdag and Kayali targets, which were identified and advanced to the drill stage over the past three years.  Teck Madencilik Sanayi Ticaret A.S. (“TMST”), Teck Resources Limited’s Turkish subsidiary, has been Pilot Gold’s 60% joint-venture partner and project operator since 2007.

Drilling highlights from the Kücükdag and Kayali targets include:

Kücükdag target

  •  4.28 grams per tonne gold, 0.68% copper, and 15.82 grams per tonne silver over 136.2 metres and starting from 12.3 metres depth in hole KCD-02, including:

o   9.51 g/t gold, 1.51% copper, and 34.54 g/t silver over 57.8 metres, including:

-  30.59 g/t gold, 3.77% copper, and 91.74 g/t silver over 4.7 metres.

  • 16.62 g/t gold, 2.49% copper, and 55.21 g/t silver over 24.2 metres and starting from 78.2 metres depth in hole KCD-03 (located 100 metres northwest of KCD-02), including:

o    39.54 g/t gold, 5.91% copper, and 142.59 g/t silver over 5.3 metres.

Kayali target

  • 0.87 g/t gold over 114.5 metres starting from 4.5 metres depth in hole KYD-01, including:

o 2.83 g/t gold over 15.4 metres.

  •  0.78 g/t gold over 88.6 metres starting from 0.4 metres depth in hole KYD-02 (located 200 metres northwest of KYD-01), including:

o 1.98 g/t gold over 22.5 metres.

All true widths are uncertain due to limited drilling to date but are expected to be 50-90% of reported widths unless otherwise stated.  All intervals of no sampling have been assigned zero grade for the purposes of compositing. For a comprehensive table of drill results to date, including new and non-reportable intercepts, please click: http://www.pilotgold.com/sites/default/files/TVTowerDrillResults1105.pdf

“We are very encouraged by the results of this first round of drilling, which have intersected high-grade gold, copper and silver values near surface,” says Ian Cunningham-Dunlop, COO for Pilot Gold.  “Given our history of discovery and project advancement in this part of Turkey over the past seven years, and our continued success at the neighbouring Halilaga copper-gold porphyry, we are well positioned to make additional discoveries on the TV Tower property.”

The Kücükdag target is characterized by a 750 m x 100 m zone of strong silicification. Gold-copper-silver mineralization is related to multi-phase sulphidic breccias cutting a north-dipping sequence of silicified felsic ash and ash-lapilli tuff. The geometry and extent of this breccia development is unknown at this time and is the focus of further drilling.

The Kayali target, 8 km south of Kücükdag comprises extensive outcroppings of massive to vuggy silica and a strong advanced argillic-argillic alteration pattern over a 2 km x 1.5 km area.  Oxide gold mineralization is hosted mainly by an E-W trending structural zone within a silicified lapilli tuff unit.  Surface rock channeling returned encouraging values up to 1.3 g/t gold over 74 metres. 

Collectively, Kücükdag and Kayali make up only two of eight high priority targets defined on the TV Tower property.

A follow-up 15,000-metre Phase 2 drill program (Pilot Gold’s share is approximately $1.5 million) commenced in early April, 2011 with three core drills. The program is focused on expanding the results from Kücükdag and Kayali, with exploration on two additional targets.

TV Tower is a large, road-accessible property covering more than 65 square-kilometres located in the Biga District of northwest Turkey.  Target evaluation of the property was first conducted by members of Pilot Gold’s technical team (formerly of Fronteer Gold Inc.) in the summer of 2008.  Since 2008, TMST has completed detailed geological mapping, PIMA alteration studies, extensive soil and rock geochemical sampling, and ground-based magnetic and IP/Resistivity surveys. Eight high-conviction targets have been identified with widespread epithermal to porphyry characteristics typical of those seen at other deposits in the Biga District.

A total of 19 core holes were drilled (4,184 metres) as part of Phase 1 between August 2010 and January 2011.  Preliminary gold-only assays were previously released in the NI 43-101 report entitled “NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey,” dated February 15, 2011, as well as in Fronteer Gold’s Management Information Circular dated March 2, 2011. Both documents are available at www.pilotgold.com or on SEDAR at http://www.sedar.com under Pilot Gold’s Issuer Profile.

Drill samples and analytical data at TV Tower are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, Vice President, Exploration and COO for Pilot Gold, who is the QP responsible for compiling the data contained in this release, has not verified all the data; however, TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent - three strategic gold and copper-gold projects located in Turkey and Nevada.  For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on TV Tower, please view the NI 43-101 technical report entitled "NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP, Exploration and COO for Pilot Gold (formerly VP, Exploration for Fronteer Gold), which is available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programsinvolve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others,risks related tothe interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in Appendix "E" of Fronteer Gold Inc.'s Management Information Circular dated March 2, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-06

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) is pleased to announce that it has entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc., and including CIBC World Markets Inc., Scotia Capital Inc., UBS Securities Canada Inc., Canaccord Genuity, Cormark Securities Inc., Haywood Securities Inc. and NCP Northland Capital Partners Inc. (collectively, the “Underwriters”) pursuant to which the Underwriters have agreed to purchase, on a bought deal basis, 8,333,334 common shares of the Company (the “Common Shares”) at a price of C$3.00 per Common Share (the “Issue Price”) for aggregate gross proceeds of C$25,000,002 (the “Offering”).

In addition, Pilot Gold has granted the Underwriters an option (the “Underwriters’ Option”) to acquire up to an additional 1,250,000 Common Shares exercisable at the Issue Price at any time until 30 days following the closing of the Offering to cover over-allotments, if any, for total gross proceeds up to C$28,750,002. 

In accordance with the arrangement agreement dated February 3, 2011 between the Company, Newmont Mining Corporation, (“Newmont”) and Fronteer Gold Inc. (the “Arrangement Agreement”), Newmont, the Company's largest shareholder holding approximately 19.9% of the Company's issued and outstanding shares, has a right to subscribe for, and purchase (directly or through an affiliate) additional Common Shares of the Company at the same price as under the Offering to maintain its pro rata interest.  If Newmont exercises this right under the Arrangement Agreement, such additional Common Shares will be sold by way of a private placement concurrent with the offering, subject to regulatory approval.

The net proceeds of the offering will be used to fund exploration and development of Pilot Gold’s mineral projects and for general working capital purposes.

Pilot Gold intends to file with the securities commissions and other similar regulatory authorities in the provinces of Canada, other than Quebec, a preliminary short form prospectus relating to the issuance of the Common Shares by May 30, 2011.  The Offering is scheduled to close on or about June 14, 2011 and is subject to a number of conditions including, but not limited to, receipt of all necessary approvals including the approval of the Toronto Stock Exchange and applicable securities regulatory authorities.

The Common Shares are being offered and sold to qualified institutional buyers in the United States pursuant to Rule 144A and outside the United States pursuant to Regulation S under the United States Securities Act of 1933, as amended (the "Securities Act").  The Common Shares have not been, nor will they be, registered under the Securities Act or any state securities laws and may not be offered or sold in the United States or to, or for the account or benefit of, any person in the United States absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent – three strategic gold and copper-gold projects located in Turkey and Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of this release.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s AIF, dated May 12, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE UNITED STATES

11-07

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) is pleased to announce that it has successfully completed the previously announced public offering of common shares. The Company issued an aggregate of 8,333,334 common shares of the Company (the “Common Shares”) at a price of C$3.00 per Common Share (the “Issue Price”) for aggregate gross proceeds of C$25,000,002 (the “Offering”). The underwriting syndicate was led by National Bank Financial Inc., and included CIBC World Markets Inc., Scotia Capital Inc., Canaccord Genuity Corp., Cormark Securities Inc., UBS Securities Inc., Haywood Securities Inc. and NCP Northland Capital Partners Inc. (collectively, the “Underwriters”).

In addition, Pilot Gold has granted the Underwriters an option (the “Underwriters’ Option”) to acquire up to an additional 1,250,000 Common Shares exercisable at the Issue Price at any time until 30 days following the closing of the Offering to cover over-allotments, if any.  

The net proceeds of the Offering will be used to fund exploration and development of Pilot Gold’s mineral projects and for general working capital purposes.

The Common Shares have not been, nor will they be, registered under the Securities Act or any state securities laws and may not be offered or sold in the United States or to, or for the account or benefit of, any person in the United States absent registration or an applicable exemption from registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any state in which such offer, solicitation or sale would be unlawful.

In connection with the Offering, on June 8, 2011, the Company filed an amended NI 43-101 technical report for each of its Halilaga and TV Tower mineral properties (the "Amended Reports").  The Company also filed an amended annual information form (collectively with the Amended Reports, the "Amended Filings") incorporating the changes to the Amended Reports.  The revisions in the Amended Filings are not material.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent – three strategic gold and copper-gold projects located in Turkey and Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Neither the Toronto Stock Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Toronto Stock Exchange) accepts responsibility for the adequacy or accuracy of this release.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s AIF, dated May 12, 2011, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-08

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) reports financial results for the period ended March 31, 2011. Details are described in the unaudited condensed interim consolidated financial statements and corresponding Management’s Discussion and Analysis, available on SEDAR at www.sedar.com. Further details on Pilot Gold’s projects and activities can be found on the Company’s website at www.pilotgold.com. All amounts are in United States dollars, unless otherwise indicated.

“The end of the first quarter marks some significant milestones in our company’s short history,” says Pilot Gold President and CEO Matt Lennox-King. “Through the first quarter we built a strong management structure, acquired 16 high quality projects, and ended the quarter with solid finances. We are well capitalized to advance our three key projects in Turkey and Nevada, and fund future growth opportunities as they arise.”


HIGHLIGHTS

  • On February 3, 2011, Pilot Gold, Fronteer Gold Inc. (“Fronteer”), and Newmont Mining Corporation (“Newmont”) entered into an arrangement agreement (the “Arrangement Agreement”) pursuant to which Newmont acquired all of the outstanding common shares of Fronteer by way of a plan of arrangement (the “Fronteer Arrangement”). The Fronteer Arrangement was approved by the shareholders of Fronteer at a special meeting held on March 30, 2011, and became effective April 6, 2011, at which time Pilot Gold ceased to be a wholly-owned subsidiary of Fronteer. 
     
  • Received $9.8 million in cash on April 4, 2011 pursuant to the closing of the Fronteer Arrangement. 
     
  • Released a NI 43-101 technical report on the Halilaga Project, dated February 15, 2011, entitled “NI 43-101 Technical Report on the Halilağa Exploration Property, Canakkale, Western Turkey" (amended on June 7, 2011).
     
  • Completed the Phase 1 drill program at the TV Tower Project, and Released a NI 43-101 technical report, dated February 15, 2011, entitled “NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey”(amended on June 7, 2011). 
     
  • Subsequent to period end, on April 11, 2011, Pilot Gold’s common shares (“Common Shares”) began trading on the Toronto Stock Exchange (the “TSX”) under the symbol “PLG”.
     
  • On May 24, 2011, Pilot Gold announced a bought-deal financing of approximately CAD 23.75 million (net) in additional funds. These funds will provide us the ability to execute on our exploration plans, and the flexibility to react to opportunities if and when they present themselves. The financing closed June 14, 2011. 

SELECTED FINANCIAL DATA

The following selected financial data is derived from our financial statements for the three months ended March 31, 2011 and 2010, as prepared in accordance with International Financial Reporting Standards (“IFRS”), with application of the continuity basis of accounting.

(Expressed in US dollars)

Three months ended March 31,

 

2011

2010

Net income (loss) for the period

($414,074)

($420,555)

Basic and diluted earnings (loss) per share

($0.01)

($0.01)

(Expressed in US dollars)

As at

 

March 31,

2011

December 31, 2010

Cash, cash equivalents and short-term deposits

$43,159

$86,966

Working capital

$10,324,496

$326,385

Total assets

$18,734,582

$7,905,170

Current liabilities

$30,410

$74,807

Non-current liabilities

$1,742

$2,550

Shareholder’s equity

$18,701,642

$7,827,813

For the three months ended March 31, 2011, the Company recorded a loss of $414,074, compared to a loss of $420,555 for the three-month period ended March 31, 2010. The loss in both periods is a reflection of the allocation of costs incurred by Fronteer Gold Inc., the former parent company of Pilot Gold, on the properties and operations transferred to Pilot Gold on closing of the Fronteer Arrangement. Other comprehensive income for the quarter ended March 31, 2011 of $200,082, and $38,164 for the quarter ended March 31, 2010 includes the foreign exchange differences arising from the translation of foreign operations of $20,082 and $38,164 respectively, and for the quarter ended March 31, 2011, a net gain of $180,000 on the value of the Company’s investment in the common shares of Rae Wallace Mining Company.

Sale of Aktarma and Ispir properties

On May 16, 2011, the Company signed an agreement with Global Resources Corporation Ltd Pty (“GRCL”), a company traded publicly on the Australian Stock Exchange (symbol: GRM), whereby Pilot Gold would dispose of its interests in two exploration stage properties known as Aktarma and Ispir in exchange for 4,500,000 common shares in GRCL. The Company retains a 2% Net Smelter Return production royalty on all products mined on these properties.  The fair market value of the shares received at June 6, 2011, the date the transaction closed, was $154,613. The Company recorded a write-down of $68,566 to adjust the carrying value of these properties to their recoverable value.

Bought deal financing

On May 24, 2011, the Company announced that it had entered into an agreement with a syndicate of underwriters led by National Bank Financial Inc., (the “Underwriters”) pursuant to which the Underwriters agreed to purchase, on a bought deal basis, 8,333,334 common shares of the Company (the “Offered Shares”) at a price of C$3.00 per Offered Share (the “Issue Price”) for aggregate gross proceeds of C$25,000,002 (the “Offering”). Pilot Gold also granted the Underwriters an option to acquire up to an additional 1,250,000 Common Shares exercisable at the Issue Price at any time until 30 days following the closing of the Offering to cover over-allotments, if any, for total gross proceeds up to C$28,750,002.   

The Company filed a preliminary prospectus related to the Offering on May 31, 2011, and a final prospectus on June 8, 2011.  The closing date of the Offering was June 14, 2011.

UPDATE ON EXPLORATION

With the close of the bought deal financing, Pilot Gold anticipates an active second half of 2011, with approximately 60,000 metres of drilling to be completed with 10 drills operating on six projects through year-end. We are well capitalized and plan to advance our three key projects, Halilağa, TV Tower and Regent, throughout the year.  High priority early stage projects Brik, Viper and New Boston will be drill tested over the second half, building value in our portfolio of growth projects.

Halilağa, Turkey

Halilağa is a copper-gold porphyry project located in the Biga District of northwest Turkey. Teck Resources Limited’s Turkish subsidiary, Teck Madencilik Sanayi Ticaret A.S. (“TMST”) is Pilot Gold’s 60% joint-venture partner and project operator. In the first quarter of 2011, Pilot Gold continued with the Phase 1, four-rig, 10,000 metre exploration / delineation drill program designed to infill the Central Zone of the Kestane target, as well as test prominent magnetic anomalies on the remainder of the property. To date, drilling at Kestane has intersected mineralization over a strike length of 1,200 metres, a width of 750 metres, and thicknesses of up to 600 metres. Halilağa is also endowed with a supergene enrichment zone that is locally up to 40 metres in thickness at grades of 1%-to-2% Cu. 

Pilot Gold’s share of the 2011 budget is approximately $2.06 million. Through the first quarter 2011, the Company spent $500,760 on the project. In May 2011, we reported that ongoing drilling at Halilağa continued to intersect significant widths of copper-gold mineralization, including 0.22% copper and 0.34 grams per tonne gold over 466.7 metres. These results serve to further enhance the project, building size and continuity in the central Kestane zone.

As of March 31, 2011, TMST had completed 6,098 metres of core drilling in 15 holes. It is anticipated that the Phase 1 10,000 metre drill program will be completed by June, 2011, with a Phase 2 10,000 metre drill program contingent on results from Phase 1.

TV Tower, Turkey

The TV Tower gold project is located in the Biga District of northwest Turkey, approximately 20km to the north west of Halilağa. The property is accessible by road and covers more than 67-square kilometers. Eight high-conviction targets have been identified with widespread epithermal to porphyry characteristics, typical of those seen at other deposits in the Biga District. TMST is Pilot Gold’s 60% joint-venture partner and project operator at TV Tower.

A Phase 1 drill program was completed in January, 2011 with a total of 19 core holes drilled (4,184 metres). Drilling focused on zones of outcropping epithermal mineralization at the Kücükdag and Kayali targets, and final assay results returned significant gold grades, with associated copper and silver at Kücükdag.  The Company’s share of first quarter 2011 expenditures was $137,362.

A 15,000-metre Phase 2 drill program (Pilot Gold’s share is approximately $1.57 million) commenced in early April, 2011 with three core drills. The Phase 2 program is focused on expanding the results from Kücükdag and Kayali, with exploration drilling on additional high priority targets.

Regent, Nevada

Pilot Gold’s 100%-owned Regent project is located in Mineral County, Nevada, on the eastern margin of the prolific Walker Lane epithermal gold-silver belt. Regent hosts an extensive low sulphidation epithermal gold and silver mineralized system with both disseminated and high-grade vein hosted styles of mineralization.

In the first quarter of 2011, Pilot Gold completed limited geological mapping, re-logging of available historic drill core and RC chips, cross-sectional interpretative work, and initiated a ground-based gravity survey. The Company also staked 153 new claims, bringing the overall property to 263 claims totaling 1803 hectares (4456 acres).

In April 2011, the Company began a 10,000 metre, Phase 1 drill program as part of an aggressive and systematic exploration program. This work will be funded by a proposed expenditure of $1.93 million and will consist of geologic and alteration mapping, ground geophysics, RC drilling (2,000m) and diamond core drilling (3,000m), and initial metallurgical work.

A subsequent Phase 2 program, contingent on results from Phase 1, will build on results and increase RC and diamond core drilling by an additional 6,000m and 6,000m, respectively, with proposed expenditures of $3.3 million.

Our results are now being prepared in accordance with IFRS. Our accounting policies have changed and the presentation, financial statement captions and terminology used in this news release and the accompanying unaudited financial statements may differ from that used in our previously issued financial statements. The new policies have been consistently applied to all of the periods presented in this news release and all prior period information has been restated or reclassified for comparative purposes unless otherwise noted. Further details on the conversion to IFRS are provided in the Company’s Management’s Discussion and Analysis and in the notes to our unaudited condensed interim consolidated financial statements as at and for the quarter ended March 31, 2011.

This press release should be read in conjunction with our unaudited condensed interim consolidated financial statements and Management’s Discussion and Analysis as at March 31, 2011.  These documents can be found on the Company’s website (www.pilotgold.com) and on SEDAR at www.sedar.com. Shareholders may receive a copy of the complete unaudited financial statements free of charge upon request.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilağa, TV Tower and Regent - three strategic gold and copper-gold projects located in Turkey and Nevada.  For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on the Fronteer Arrangement refer to the Company’s Amended Annual Information Form (“AIF”) for the year ended December 31, 2010 dated May 12, 2011 (Amended June 3, 2011), available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

The National Instrument 43-101 technical reports prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) entitled “NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey,” dated February 15, 2011 (amended June 7, 2011), and the National Instrument 43-101 technical report entitled “NI 43-101 Technical Report on the Halilağa Exploration Property, Canakkale, Western Turkey," dated February 15, 2011 (amended June 7, 2011), respectively, are both available under Pilot Gold’s SEDAR profile athttp://www.sedar.com.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s AIF, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-09

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold”or the “Company”) is pleased to announce the start of 2011 drill programs on its 100%-owned Brik and New Boston projects in Nevada, with drilling on the 100%-owned Viper project to follow in early July.  Brik, New Boston and Viper join Regent as the focus of Pilot Gold’s 2011 Nevada exploration program, and all boast high grades at surface and high priority drill targets.

“Our 2011 Nevada exploration campaign will account for roughly 45% of our targeted 60,000-metre, 2011 global drill campaign,”stated Matt Lennox-King, Pilot Gold President and CEO. “Supported by a treasury of $31 million, we have sufficient capital to advance our projects into 2013 and beyond.”

BRIK
The Brik project anchors the emerging Stateline epithermal district in Lincoln County, south-eastern Nevada, where Pilot Gold controls over 6,600 hectares of mineral rights.  The Stateline district lies within the Caliente Calderas volcanic province, an underexplored belt of Tertiary-age volcanics, and was subject to historic gold production in the early 20th century.

The Brik project totals 103 unpatented lode claims measuring 855 Ha (2,113 acres) and was transferred to Pilot Gold pursuant to a plan of arrangement between the Company, Newmont Mining Corporation, and Fronteer Gold Inc. (“Fronteer Gold”). In 2010, Fronteer Gold, collected 127 rock samples and 1,289 soil samples for geochemical analysis with a high of 15.8 grams/tonne gold. Based on the results of this work additional claims were staked, geologic mapping was completed, and the Sinter, Maui Wash, and Hidden Treasure targets were identified.

Brik represents an extensive gold-mineralized, low-sulphidation system that has had limited past exploration. Strong gold values in surface rock sampling coupled with multiple gold-in-soil anomalies provide strong targets for drilling. The main Brik Vein target hosts gold-mineralized, east-west striking, epithermal quartz veins outcropping over a strike length of 600 metres, within a 20-plus metre wide, steeply-south-dipping structural zone highlighted by a large gold-in-soil anomaly and rock samples up to 15.8 g/t Au.

A Phase 1 3,500 metre RC drill program commenced on May 25th with trenching and geologic mapping also underway.

NEW BOSTON
The New Boston project, located on the northern margin of the Walker Lane structural belt, is a copper-molybdenum porphyry and skarn prospect located in Mineral County, Nevada, approximately 100 kilometres southeast of the Yerington porphyry district.

New Boston totals 136 unpatented lode claims measuring 1,082 Ha (2,674 acres), and is an extensive copper and molybdenum mineralized porphyry and skarn system with a strike length of over five kilometres. Encouraging historic drill results and high copper grades occur at surface. Since the fall of 2010, Pilot Gold’s team has completed 74 line kilometres of ground magnetic surveys and 211 gravity surveys over the project; conducted soil and rock geochemical surveys with 213 and 965 samples collected respectively, and; developed a series of priority exploration targets. 

Highlights of past drill programs include:

•       NB-4: 992 feet of 0.082% MoS2 including 371 feet of 0.14% MoS2.

•       NB-3: 459 feet of 0.61% MoS2 and 0.14% Cu.

•       NB-1: 319 feet of 0.076% MoS2 and 0.14% Cu.

•       GBR-5: 203 feet of 0.114% MoS2.

The highest copper grades were returned in drill hole BR-1 from the Blue Ribbon prospect, which returned 92 feet (28.04 metres) of 1.38% Cu in shallow drilling.

A Phase 1 2500 metre core drilling program commenced on June 8th to test the Blue Ribbon, New Boston and Eastern Area high-conviction targets.

VIPER
The Viper project is located in Elko County, Nevada, approximately 70 kilometres northeast of Montello, and consists of 163 unpatented lode claims measuring 1,004 ha (2,483 acres) along with 831 hectares (2,054 acres) of private mineral rights. The Viper project was generated through grass roots exploration by Fronteer Gold and is located in an emerging off-trend district in north-eastern Nevada. 

Viper is hosted within Mississippian carbonate stratigraphy and displays low-sulphidation, epithermal-style gold and silver mineralization in three primary zones, the largest of which is approximately 1.5 kilometres long by 0.5 kilometres wide. In 2010 an airborne magnetic survey and geological mapping were completed to follow up on encouraging gold-in-rock and soil results received in 2009.

A Phase 1 2,500 metre RC drill program is scheduled to commence at Viper in early July to test for vein-hosted and possible stratigraphic targets.

Brik, New Boston and Viper, together with Regent form a strong foundation for growth in Nevada. The remainder of our 2011 Global Program is dedicated to advancing our Turkish properties Halilaga and TV Tower, with our joint venture partner Teck Resources Limited. Pilot Gold brings a proven management team to bear on quality projects in mining-friendly jurisdictions, with a solid treasury to advance our projects well into the future.

For a map of Brik, please click:
http://www.pilotgold.com/sites/default/files/BrikMap.pdf

For a map of New Boston, please click:
http://www.pilotgold.com/sites/default/files/NewBostonMap.pdf

For a map of Viper, please click:
http://www.pilotgold.com/sites/default/files/ViperMap.pdf

All technical information contained in this release has been reviewed and approved by Ian Cunningham-Dunlop, P. Eng., COO, Pilot Gold, and a “qualified person”within the meaning of National Instrument 43-101. Drill results contained in this release are historical in nature and have not been verified by Pilot Gold.

ABOUT PILOT GOLD                                                  
Our team has a successful track record in the discovery and advancement of world-class deposits. We have a solid treasury to advance our portfolio of projects in Turkey and Nevada, two mining-friendly jurisdictions that our technical teams know very well.  For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Regent please view the NI 43-101 technical report entitled "Summary Technical Report : Regent Gold Project  Mineral County, Nevada," dated January 4, 2011, Paul Klipfel Ph.D CPG #10821, Consulting Economic Geologist, Mineral Resource Services Inc. (Reno), on SEDAR (www.sedar.com) under Pilot Gold’s Issuer Profile.

 Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects”or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might”or “will”be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile atwww.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-10

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) announces that, as contemplated under the plan of arrangement pursuant to the Business Corporations Act (Ontario) involving Newmont Mining Corporation, Fronteer Gold Inc. (“Fronteer Gold”) and Pilot Gold (the "Plan of Arrangement"), the board of directors of Pilot Gold has determined that the fair market value of one Consolidated Common Share of Pilot Gold (as defined below) as at the effective time of the Plan of Arrangement was CAD $2.76. 

Under the Plan of Arrangement, each common share of Fronteer Gold (“Fronteer Common Share”) was exchanged for one Class A Share of Fronteer Gold and one Pilot Gold common share on April 6, 2011.  Each Pilot Gold common share was consolidated on a one-for-four basis upon completion of the Plan of Arrangement (“Consolidated Common Share of Pilot Gold”). 

Pilot Gold has also determined that the paid-up capital of the Fronteer Gold Common Shares for purposes of the Income Tax Act (Canada) (the "Tax Act") exceeded the aggregate fair market value of the Consolidated Common Shares of Pilot Gold delivered to the former shareholders of Fronteer Gold (“Fronteer Shareholders”). Accordingly, management has concluded that the exchange will not give rise to a deemed dividend for purposes of the Tax Act.

This information is being provided to assist shareholders who received Pilot Gold shares under the Plan of Arrangement in completing their tax filings. This summary is not intended to be, nor should it be construed to be, legal or tax advice to any particular shareholder. Shareholders should consult their own tax advisors for advice with respect to their particular circumstances including, where relevant, the application and effect of the income and other taxes of any country, province, territory, state or local tax authority.

ABOUT PILOT GOLD
Our team has a successful track record in the discovery and advancement of world-class deposits. We have a solid treasury to advance our portfolio of projects in Turkey and Nevada, two mining-friendly jurisdictions that our technical teams know very well.  For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677

For further details on the Plan of Arrangement refer to the Management Information Circular Relating to the Special Meeting of the Securityholders of Fronteer Gold Inc. (the “Information Circular”), dated March 2, 2011, available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

If, at the time the Fronteer Common Shares were exchanged for Fronteer Class A Shares and Pilot Gold common shares under the Arrangement, the fair market value of all Pilot Gold Shares transferred to Fronteer Shareholders on such exchange were to exceed the paid-up capital of all exchanged Fronteer Shares immediately before the exchange, Fronteer would be deemed to have paid a dividend on the exchanged Fronteer Common Shares equal to the amount of such excess, and each Resident and Non-resident Shareholder would be deemed to have received a pro rata portion of such dividend, based on the proportion of Fronteer Common Shares held by such Fronteer Shareholder immediately before the exchange. At the date of the Information Circular, Fronteer Gold concluded that the fair market value of all Pilot Gold common shares at the time of such exchange was expected to be substantially lower than the amount that will be the aggregate paid-up capital of all exchanged Fronteer Common Shares immediately before such exchange. Accordingly, Fronteer Gold did not expect to be deemed to have paid a dividend as a result of the exchange.  A Resident Shareholder is a Fronteer Shareholder who is, or is deemed to be, resident in Canada for purposes of the Tax Act.    

 

11-11

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) announces that High Desert Gold Corporation (HDG-TSX:V) (“HDG”) has completed its earn-in option on the Gold Springs gold project on the Nevada-Utah border (“Gold Springs”). The Option and Earn-in Agreement dated January 10, 2010 (the “Earn-in Agreement”) called for HDG to incur $1 million in exploration expenditures and pay $160,000 to Pilot Gold. These obligations have been met, and a notice of completion confirming HDG’s earn-in has been provided to, and acknowledged by Pilot Gold. Pilot Gold has elected to participate at a 40%-interest in a newly established jointly-owned company called Gold Springs LLC. On closing of the earn-in, and signing of an operating agreement, each company’s respective interests in Gold Springs will be conveyed to Gold Springs LLC.

To date, HDG has completed 16 RC holes totalling 1,569 metres and two diamond drill holes totalling 276 metres, together with a property-wide ZTEM geophysical survey at Gold Springs. Early assay results from RC drilling are expected to be available by late July.

“We are pleased to be working with HDG to advance the Gold Springs property,” says Matt Lennox-King, Pilot Gold’s President and CEO. “Together with our Brik, Easter and Stateline properties, Gold Springs provides the Company with a dominant position in the emerging Stateline District.”

Pilot Gold’s Nevada exploration platform includes Regent, Brik and Viper, three gold-mineralized, low-sulphidation epithermal systems; and New Boston, a copper-molybdenum porphyry prospect. Drilling is currently underway at all four projects. The Company also has a pipeline of six additional properties in Nevada with compelling drill targets to sustain future growth.

ABOUT PILOT GOLD                                                  
Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent – three strategic gold and copper-gold projects located in Turkey and Nevada. For more information, visit www.pilotgold.com or contact:
Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

11-12

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report that ongoing core drilling at the Halilaga copper-gold porphyry project in northwest Turkey (“Halilaga”) continues to intersect significant copper-gold mineralization, including 0.27 grams per tonne gold and 0.34% copper over 306.7 metres, extending mineralization  approximately 100 metres to the north. Hole HD-82D, drilled 750 metres to the east of HD-80, intersected gold and copper grades in an area that has had minimal drilling to date.

The latest drill results are from the Phase 1, four-rig, 10,000 metre exploration/delineation drill program focused on the Central Zone of the Kestane target, as well as prominent magnetic anomalies on the remainder of the property.  Approximately 11,000 metres have been completed as part of this program and will form the basis of ongoing exploration and development work at Halilaga. In addition to the results stated in this news release there are another 10 completed holes for which results are pending.

Pilot Gold and its 60% joint venture partner, Teck Madencilik Sanayi Ticaret A.S. (“TMST”, a subsidiary of Teck Resources Limited), recently approved an additional 10,000 metres of drilling for the second half of 2011, which will be carried out in conjunction with ongoing metallurgical and hydrological testing. This program will be focused on infill drilling the Kestane Zone ahead of a Q4-2011 project resource estimate, compliant with National Instrument 43-101 – Standards of Disclosure for Mineral projects of the Canadian Securities Administrators (“NI 43-101”). This will be the first resource at Halilaga. Additional drill tests will be conducted on high priority exploration targets outside the main Kestane zone.

Significant recent drill results from the Central Zone at Kestane include:

- 0.27 grams per tonne gold and 0.34% copper over 306.7 metres in HD-80, including:

- 0.41 g/t gold and 0.51% copper over 112.8 metres;

- 0.37 g/t gold and 0.20% copper over 113.2 metres in HD-82, and;

- 0.44 g/t gold and 0.22% copper over 110.6 metres in HD-82D, and:

-  0.28 g/t gold and 0.25% copper over 63.50 metres, and

- 0.30 g/t gold and 0.23% Cu over 23.6 metres

All true widths are 80-90% of reported widths unless otherwise stated. All intervals of no sampling have been assigned zero grade for the purposes of compositing.  Composites were calculated at 0.5, 1.0 and 2.0 g/t gold equivalent cut-offs using $1000/oz gold and $3.00/lb copper for consistency with historic reporting practice. For a PDF of comprehensive drill results to date, including new and non-reportable intercepts, please click: http://www.pilotgold.com/sites/default/files/HalilagaDrillResults1112.pdf

For a map highlighting recent drilling, please click:
http://www.pilotgold.com/sites/default/files/HalilagaDrillMap1112.pdf

Drilling to date at Halilaga has intersected mineralization over a strike length of 1,200 metres, a width of up to  850 metres, and thicknesses of up to 600 metres. Halilaga is also endowed with a shallow supergene enrichment zone that is locally up to 40 metres thickat grades of 1%-to-2% Cu.

Since 2004, Pilot Gold’s technical team has played a key role in establishing the prospectivity and gold endowment of the Biga District in northwest Turkey, and were instrumental in the discovery of the Halilaga porphyry. TMST is Pilot Gold’s 60% joint-venture partner and project operator.  Pilot Gold’s share of the 2011 budget is approximately $2.0-million.

All drill samples and analytical data for Halilaga are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, VP Exploration and Chief Operating Officer for Pilot Gold, and a “Qualified Person” within the meaning of NI 43-101, is responsible for compiling the technical information contained in this release.   Mr. Cunningham-Dunlop has not verified all the assay data generated by TMST as project operator.  However, the grades and widths reported here agree well with the Company’s past results on the project and TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD
Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and Regent - three strategic copper-gold and gold projects located in Turkey and Nevada.  For more information on Pilot Gold, visit www.pilotgold.comor contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Halilaga, please view the NI 43-101 compliant technical report entitled "NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, as amended June 7, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) under Pilot Gold’s Issuer Profile on SEDAR(www.sedar.com).

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

11-13

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report a new gold discovery at its 100% owned Brik Project in southeast Nevada. The first holes drilled on the Hidden Treasure Target have intersected wide intervals of near surface oxide gold mineralization from a sub-horizontal zone that remains open in all directions.

Highlights from the Hidden Treasure target area include:

  • 2.41 g/t gold over 16.7 metres, including 14.95 g/t gold over 1.5 metres, and
    0.99 g/t gold over 18.3 metres, from surface in hole PB-24;
  • 1.30 g/t gold over 19.8 metres from surface in hole PB-17;
  • 0.82 g/t gold over 35.0 metres from surface in hole PB-25;
  • 0.98 g/t gold over 10.6 metres from 47 metres in hole PB-19.

Intervals were calculated using a 0.20 g/t cut-off and maximum 3 metres of internal waste. True thickness of intercepts varies, but in most cases is believed to represent 70 to 80% of true thickness, as holes were angled across mineralized structures.For a PDF of comprehensive drill results, please click: http://www.pilotgold.com/sites/default/files/BrikDrillResults1113.pdf

Gold intercepts at Hidden Treasure are from a near-surface, sub-horizontal mineralized zone characterized by massive silicification, as well as a deeper, higher-grade, southwest-dipping zone. All drill holes bottomed in strong chalcedonic alteration and quartz veining.

“These results from Brik demonstrate the potential for new discoveries in Nevada and the Stateline District,” says Matt Lennox-King, President and CEO of Pilot Gold. “We intend to aggressively follow up the discovery zone at Hidden Treasure.”

An additional four target areas at Brik also saw their first round of drill testing as part of a recently completed 27 hole, 3,481 metre (11,400 feet) RC drill program.  Encouraging oxide gold mineralization was intersected in eight of these holes including a shallow gold intercept of 1.00 g/t over 7.6 metres at the Sinter Target, which has the potential to be expanded in all directions with additional drilling. 

For a map highlighting drilling, please click:
http://www.pilotgold.com/sites/default/files/BrikDrillMap1113.pdf

The Brik area has seen little historic mineral exploration, and the 2011 Pilot Gold effort represents the first comprehensive modern exploration program on the property.  The Brik property consists of 135 unpatented lode claims located on BLM ground covering 1,123 hectares (2,774 acres). 

Brik lies within an underexplored but highly prospective part of Nevadacalled the Stateline District.  Pilot Gold has assembled a dominant land package of approximately 6,600 hectares in this emerging district which, in addition to Brik, includes the Gold Springs, Easter and Stateline projects.

For a location map of the Stateline District, please click:
http://www.pilotgold.com/sites/default/files/StatelineMap1113.pdf

A second phase program is underway at Brik, consisting of CSAMT geophysical surveys and geologic mapping, with Phase 2 drilling expected to commence shortly. 

All technical information contained in this release has been reviewed and approved by Vance Spalding, Nevada Exploration Manager for Pilot Gold and a “qualified person” within the meaning of National Instrument 43-101. Intervals were calculated using a 0.20 g/t cut-off and maximum 3 metres of internal waste. True thickness of intercepts varies, but in most cases is believed to represent 70 to 80% of true thickness, as holes were angled across mineralized structures.  Pilot Gold employs a rigorous quality control system by inserting a blank, standard or duplicate into the sample stream for every 10 drill samples.  All gold values reported are 30 gram Fire Assay with Atomic Absorption finish.  All assays were performed by ALS Chemex at their Reno and Vancouver labs following preparation in the Elko lab.

ABOUT PILOT GOLD                                                   

Pilot Gold is a gold exploration company focused on advancing Halilağa, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-14

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report that ongoing core drilling at the Kücükdag target (“Kücükdag”), at the TV Tower Project in northwest Turkey continues to intersect significant intervals of gold, silver and copper mineralization. Step out drill hole KCD-15 intersected strong gold mineralization over 48 metres, expanding the footprint of the Kücükdag mineralized system by 100 metres to the northeast. 

Assay highlights from KCD-15 are as follows:

Hole KCD-15 (located 100 metres northeast of KCD-02):

- 1.87 grams per tonne gold, 0.19% copper, and 7.26 g/t silver over 48.0 metres, starting at 128.9 metres, including:

                      - 13.83 g/t gold, 0.31% copper, and 25.29 g/t silver over 5.4 metres.

- 42.16 g/t silver over 11.0 metres, starting at 10.5 metres.

Encouraging results were also returned from drill holes KCD-11 and KCD-14, with strong intervals of silver mineralization intersected in targets outside the main mineralized zone.

Hole KCD-14 (located 125 metres east-northeast of KCD-02):

- 63.68 g/t silver over 5.5 metres, starting at 6.9 metres;

- 40.25 g/t silver over 6.1 metres, starting at 25.2 metres;

- 3.03 g/t gold, 0.27% copper, and 29.99 g/t silver over 3.7 metres, starting at 39.2 metres.

Hole KCD-11 (located 450 metres northwest of KCD-02):

- 44.36 g/t silver over 11.8 metres, starting at 112.7 metres

All true widths are 60-90% of reported widths unless otherwise stated. All intervals of no sampling have been assigned zero grade for the purposes of compositing. 

For a map highlighting recent drilling at Kücükdag, please click:
http://www.pilotgold.com/sites/default/files/KCDDrillMap1114.pdf

For a comprehensive table of drill results from Kücükdag to date, including new and non-reportable intercepts, please click:
http://www.pilotgold.com/sites/default/files/KCDDrillResults1114.pdf

The Kücükdag targetis a high sulphidation gold system characterized by a 750 m x 100 m zone of strong silicification. Gold-silver-copper mineralization is related to multi-phase breccias hosted within a north-dipping sequence of silicified volcaniclastics. The geometry of this breccia development appears to be conformable with stratigraphy.

These results are from an ongoing 15,000 metre diamond core drilling program at the TV Tower Project currently focused on the Kücükdag and Kayali targets, where phase 1 drilling in 2010 resulted in the discovery of two large gold-bearing mineralized systems. Five core drills are currently operating on the property, with 6,400 metres of drilling completed to date. At Kücükdag, a total of 2,600 metres have been drilled with results from four exploration holes currently pending. 

Phase 1 highlights include KCD-02 (4.28 g/t gold over 136.2 metres) at Kücükdag and KYD-01 (0.87 g/t gold over 114.0 metres) at Kayali. The Kücükdag target is the northernmost zone at the TV Tower Project. The Kayali target represents the southernmost zone, with Phase 2 drilling currently underway.In addition to Kücükdag and Kayali, six other highly prospective zones of surface alteration and gold mineralization have been identified at the TV Tower Project.   

Teck Madencilik Sanayi Ticaret A.S. (“TMST”), a Turkish subsidiary of Teck Resources Limited (“Teck”), is Pilot Gold’s 60% partner and the project operator

About the TV Tower Project:
The TV Tower Project is a large, road-accessible property covering more than 65 square-kilometres located in the Biga District of northwest Turkey.  Since 2004, Pilot Gold’s technical team has played an important role in establishing the prospectivityand gold endowment of the Biga District, following staking of the area by Teck. Eighthigh-conviction targets have been identified with widespread epithermal to porphyry characteristics typical of those seen at other deposits in the Biga District.

All drill samples and analytical data for TV Tower are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, VP Exploration and Chief Operating Officer for Pilot Gold, and a “Qualified Person” within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”), is responsible for compiling the technical information contained in this release.  Mr. Cunningham-Dunlop has not verified all of the assay data generated by TMST as project operator.  However, the grades and widths reported here agree well with the Company’s past results on the project and TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD                                                  
Pilot Gold is a gold exploration company focused on advancing Halilağa, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

 Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on TV Tower, please view the NI 43-101 compliant technical report entitled "NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, as amended on June 7, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) under Pilot Gold’s Issuer Profile on SEDAR (www.sedar.com).

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-15

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) reports financial results for the three and six months ended June 30, 2011, and provides a review of exploration activities on our gold, silver and copper projects.

“With a carefully managed treasury of almost $28 million in cash and short-term investments, no debt, and the proven track record of our technical team, we are well positioned to advance our portfolio of projects in Türkiye and Nevada,” says Pilot Gold President and CEO Matt Lennox-King. “Throughout the remainder of 2011, we will explore and grow our projects with 60,000 metres of drilling and 13 drill rigs operating on eight projects.”

HIGHLIGHTS

  • Received cash of $9.8M on April 4, 2011 pursuant to the closing of an arrangement agreement (“Fronteer Arrangement”) entered into by Pilot Gold, Fronteer Gold Inc. (“Fronteer”), and Newmont Mining Corporation. 
  • Trading of Pilot Gold’s common shares began on the Toronto Stock Exchange under the symbol “PLG” on April 11, 2011.
  • Received $24.5M cash and issued 8,333,334 common shares on June 14, 2011, further to the close of bought-deal financing announced May 24, 2011.
  • Accelerated drilling on our key projects and initiated drilling on additional projects in our portfolio.
  • Through a wholly-owned subsidiary, completed the substantive disposal on June 6, 2011 of our interests in the Aktarma and Ispir exploration properties located in northwest Türkiye to Global Resources Corporation Limited (“GRCL”), a company publicly traded and listed on the Australian Stock Exchange.    As consideration, we received 4,500,000 common shares of GRCL.
  • Executed an earn-in agreement with GRCL on June 27, 2011, providing an option for GRCL to earn into our Yunt Dag property, located in northwest Türkiye.  We received 500,000 common shares of GRCL as initial consideration for the option.
  • First pass drilling at our Brik Project in southeast Nevada intersected significant widths of gold mineralization, including 0.82 g/t Au over 35 metres.
  • Continued to intersect strong gold mineralization at, and near, surface including 4.28 g/t gold over 136.2 metres at the TV Tower Project in Türkiye.
  • Subsequent to period end, elected to participate at a 40%-interest in a newly established jointly-owned company with High Desert Gold Corporation (“HDG”), following HDG’s successful earn-in on the Gold Springs 2 gold property, located on the Nevada-Utah border.

Details of financial results for the three and six months ended June 30, 2011 are described in the unaudited condensed interim consolidated financial statements and corresponding Management’s Discussion and Analysis, available on SEDAR at www.sedar.com. Further details on the Company’s projects and activities can be found on Pilot Gold’s website at www.pilotgold.com. All amounts are in United States dollars, unless otherwise indicated.

SELECTED FINANCIAL DATA

The following selected financial data is derived from our financial statements for the three- and six-months ended June 30, 2011 and 2010, as prepared in accordance with International Financial Reporting Standards (“IFRS”), with application of the continuity basis of accounting.

 

Three months ended  June 30,

Six months ended                June 30,

 

2011

2010

2011

2010

Loss for the period

($7,269,816)

($350,007)

($7,683,890)

($770,562)

Loss and comprehensive loss for the period

($7,210,193)

($385,296)

($7,424,185)

($767,687)

Basic and diluted loss   per share

($0.30)

($0.01)

($0.30)

($0.03)

 

As at

 

June 30,

2011

December 31, 2010

Cash and short-term investments

$30,789,854

$86,966

Working capital

$29,554,215

$326,385

Total assets

$43,163,270

$7,905,170

Current liabilities

$2,071,090

$74,807

Non-current liabilities

$387,289

$2,550

Shareholder’s equity

$40,704,891

$7,827,813

  • For the three- and six-months ended June 30, 2011, the Company recorded a loss of $7.27 million and $7.68 million, compared to a loss of $0.35 million and $0.77 million for the three- and six-month periods ended June 30, 2010. Losses and comprehensive losses through June 30, 2011 reflect primarily the $4.93 million non-cash stock-based compensation expense related to our initial stock option grant, as well as costs associated with the start-up and listing of the Company; including, initial listing fees, and the associated legal, advisory and audit fees. Losses through the comparative period correspond to the allocation of certain costs incurred by Fronteer, the former parent company of Pilot Gold, related to those properties and operations transferred to Pilot Gold, prior to and in connection with the close of the Fronteer Arrangement.
  • Other comprehensive losses for the three- and six-months ended June 30, 2011 of $0.06 million and $0.26 million include the foreign exchange differences arising from the translation of foreign operations of $0.27 million and $0.29 million respectively, and net losses of $0.21 and $0.04 million on the value of the Company’s investments in common shares.
  • Working capital of $29.5 million at June 30, 2011 includes $30.8 million in cash and short-term investments, net of $2.1 million in accounts payable and accrued liabilities.   Total assets at June 30, 2011 include $5.0 million of deferred exploration expenditures, and $4.9 million related to our investment in associates.

Bought deal financing

On June 14, 2011, the Company closed the offering of 8,333,334 common shares of the Company (the “Offered Shares”) at a price of C$3.00 per Offered Share (the “Issue Price”) for aggregate gross proceeds of C$25,000,002 (the “Offering”) announced on May 24, 2011.      

UPDATE ON EXPLORATION IN Türkiye

Through the six-months ended June 30, 2011, Pilot Gold continued to advance, in partnership with Teck Madencilik Sanayi Ticaret A.S. (“TMST”), an indirect subsidiary of Teck Resources Limited, the Halilaga copper-gold porphyry property and the TV Tower gold-silver-copper property, both of which are located in northwest Türkiye’s Biga District. TMST is Pilot Gold’s 60% joint-venture partner and operator for both projects. Through the six-months ended June 30, 2011 our share of expenditures on the Halilaga Project and the TV Tower Project, amounted to $1.69 million.    

Halilaga Project

Through the first six-months of 2011, Pilot Gold continued with the Phase 1, four-rig, 10,000 metre exploration / delineation drill program focused on the Central Zone of the Kestane target, and testing prominent magnetic anomalies on the remainder of the property. Approximately 11,000 metres have been completed as part of this program, providing a sound base to proceed with the additional 10,000 metres of drilling for the second half of the year.    

To date, drilling at Kestane has intersected porphyry style copper-gold mineralization over a strike length of 1,200 metres, a width of 850 metres, and thicknesses of up to 600 metres. Halilaga is also endowed with a supergene enrichment zone that is locally up to 40 metres in thickness at grades of 1%-to-2% Cu. 

In May 2011, we reported that ongoing drilling at Halilaga continued to intersect significant widths of copper-gold mineralization, including 0.22% copper and 0.34 grams per tonne gold over 466.7 metres.  Additional drill results from July 2011 intersected 0.34% copper and 0.27 grams per tonne gold over 306.7 metres. Through the remainder of 2011, drilling will focus on infill drilling at the Kestane Zone, and will be carried out in conjunction with ongoing metallurgical and hydrological testing. A project-first NI 43-101 compliant resource estimate is expected by the end of 2011.

TV Tower Project

The TVTower gold project is located approximately 20 kilometres to the northwest of Halilaga. The property is accessible by road and covers more than 67-square kilometres. Initial drill results from the Kucukdag target continue to expand the footprint of the gold mineralized zone. Results from four additional exploration holes are currently pending, while drilling continues.

Phase 1 drilling in 2010 and early 2011 tested a total of 19 core holes (4,184 metres) confirming the presence of at least two large, gold-bearing, mineralized systems at the Kucukdag and Kayali targets. Six other highly prospective zones of surface alteration and gold mineralization have been identified at TV Tower, and remain the focus of further exploration and drilling. Eight high-conviction targets have been identified with widespread epithermal to porphyry characteristics, typical of those seen at other deposits in the Biga District.

A 15,000-metre Phase 2 drill program (Pilot Gold’s share is approximately $1.57 million) commenced in early April, 2011. Five drills are currently operating on the property. The Phase 2 program is focused on expanding the results from Kucukdag and Kayali, with exploration drilling on additional high priority targets.

UPDATE ON EXPLORATION IN NEVADA

Pilot Gold continued to advance its principal Nevada exploration projects in the second quarter of 2011, with active exploration and drill programs on the Regent, Brik, New Boston and Viper projects

Regent Project

Pilot Gold’s 100%-owned Regent project is located in Mineral County, Nevada, on the eastern margin of the prolific Walker Lane epithermal gold-silver belt. Regent hosts an extensive low-sulphidation epithermal gold and silver mineralized system with both disseminated and high-grade vein hosted mineralization.

On April 21, 2011, we announced the start of a 10,000 metre, Phase 1 core and reverse circulation (“RC”) drill program designed to expand the historic disseminated gold and silver deposit and follow-up on historic high-grade intervals. Geologic and alteration mapping and ground geophysics are underway in conjunction with the ongoing drill program, with initial metallurgical work to follow. 

Brik Project

The Brik project is located on the northern flank of the Cedar Range in east-central Lincoln County, Nevada and is comprised of 103 unpatented lode claims on land administered by the United States Bureau of Land Management.

The Brik project contains gold mineralization in a volcanic-hosted low-sulphidation quartz vein environment.  Previous exploration programs identified five prospective target areas on the property, which were identified through ongoing exploration programs by Pilot Gold. 

On August 3, 2011, we announced results of the Phase 1, 3,481 metre RC drill program, completed in late July 2011. Five areas were tested with 27 reverse circulation drill holes, with a new discovery at the Hidden Treasure target area generating significant near-surface gold intercepts. A second phase program is planned to commence fall 2011, as these mineralized zones remain open in all directions, indicating that there is substantial potential to increase the size of the discovery.

Viper Project

The Viper project located in Elko County, Nevada, hosts a gold mineralized low sulphidation epithermal vein system discovered on the property in 2009 by Pilot Gold’s exploration team. A Phase 1 3,500 metre RC drill program is underway and is expected to wrap up in the fourth quarter of 2011.

New Boston Project

New Boston is an extensive copper-molybdenum porphyry and skarn system located in southwest Nevada. A 2,500 metre drill program is currently underway to test outcropping copper mineralization and molybdenum targets at the Blue Ribbon, New Boston and Eastern areas. Drilling is expected to be completed by late August.

ABOUT PILOT GOLD

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Our results are now being prepared in accordance with IFRS. Our accounting policies have changed and the presentation, financial statement captions and terminology used in this news release and the accompanying unaudited financial statements may differ from that used in our financial statements for the year ended December 31, 2010. The new policies have been consistently applied to all of the periods presented in this news release and all prior period information has been restated or reclassified for comparative purposes unless otherwise noted. Further details on the adoption and application of IFRS are provided in the Company’s Management’s Discussion and Analysis and in the notes to our unaudited condensed interim consolidated financial statements for each of the quarter ended March 31, 2011 and the quarter ended June 30, 2011.

This press release should be read in conjunction with our unaudited condensed interim consolidated financial statements for the three and six months ended June 30, 2011, and related Management’s Discussion and Analysis, as at August 11, 2011.  These documents can be found on the Company’s website (www.pilotgold.com) and on SEDAR at www.sedar.com. Shareholders may receive a copy of the complete unaudited financial statements free of charge upon request.

The National Instrument 43-101 technical reports prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) entitled “NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Türkiye,” dated February 15, 2011 (amended June 7, 2011), and the National Instrument 43-101 technical report entitled “NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Türkiye," dated February 15, 2011 (amended June 7, 2011), respectively, are both available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

For further details on the Fronteer Arrangement refer to the Company’s Amended Annual Information Form (“AIF”) for the year ended December 31, 2010 dated May 12, 2011 (Amended June 7, 2011), available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s AIF, which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-16

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report that ongoing core drilling at the Halilağa Project in northwest Turkey continues to increase both the size and continuity of copper-gold mineralization at the Kestane porphyry.   

Drilling from within the Kestane porphyry has intersected shallow high-grade supergene mineralization that returned:

  • 0.77 grams per tonne gold and 1.51% copper over 37.4 metres in HD-86 within a broader interval that returned 0.48 g/t gold and 0.64% copper over 176.9 metres:
  • 1.09 g/t gold and 0.87% copper over 49.4 metres in HD-94A contained within a broader interval that returned 0.64 g/t gold and 0.51% copper over 117.3 metres

 Step-out drilling designed to expand the size of the porphyry body returned:

  • 0.22 g/t gold, 0.27% copper and 0.01% molybdenumover 316.3 metres in HD-92A
  • 0.20 g/t gold and 0.19% copper over 76.4 metres in HD-87
  • 1.51 g/t gold over 15.1 metres in HD-89

All true widths are 80-90% of reported widths unless otherwise stated. All intervals of no sampling have been assigned zero grade for the purposes of compositing.  Composites were calculated at 0.5, 1.0 and 2.0 g/t gold equivalent cut-offs using $1000/oz gold and $3.00/lb copper for consistency with historic reporting practice. For a PDF of comprehensive drill results to date, including new and non-reportable intercepts, please click: http://www.pilotgold.com/sites/default/files/HalilagaDrillResults1116.pdf

For a map highlighting recent drilling, please click:

http://www.pilotgold.com/sites/default/files/HalilagaDrillMap1116.pdf

These results are from the Phase 1, four-rig, 10,000 metre exploration/delineation drill program completed in H1 2011, focused on the Central Zone of the Kestane target, as well as, prominent magnetic anomalies on the remainder of the property. A Phase 2, 10,000 metre program is underway and is expected to wrap up in early October, with approximately 4,470 metres completed to date. Pilot Gold’s share of the 2011 budget is approximately $2.0-million.

The Kestane porphyry is mineralized over a strike length of 1,200 metres, a width of 850 metres, and a thickness of up to 600 metres, including a locally developed shallow supergene enrichment zone withgrades of 1%-to-2% Cu.

All drill samples and analytical data for Halilağa are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, VP Exploration and Chief Operating Officer for Pilot Gold, and a “Qualified Person” within the meaning of National Instrument 43-101, isresponsible for compiling the technical information contained in this release.   Mr. Cunningham-Dunlop has not verified all the assay data generated by TMST as project operator, however the grades and widths reported here agree well with the Company’s past results on the project and TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD
Pilot Gold is a gold exploration company focused on advancing Halilağa, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Halilaga, please view the NI 43-101 compliant technical report entitled "NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, as amended June 7, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) under Pilot Gold’s Issuer Profile on SEDAR(www.sedar.com).

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information. 

 

 

11-17

Pilot Gold Inc. (PLG – TSX) (“Pilot Gold” or the “Company”) is pleased to report a new bulk tonnage style gold discovery in northeastern Elko County, Nevada. The first five holes ever drilled on the Company’s 100% owned Viper Project have intersected widespread, sediment hosted, oxide gold and silver mineralization starting at surface.

Highlights from the first five holes at Viper include:

  • 1.09 g/t Au and 20.98 g/t Ag over 33.5 meters from surface, in hole PV-003; and,
    • 0.81 g/t Au and 11.18 g/t Ag over 3.0 meters from 45.7 meters; and, 
    • 0.65 g/t Au and 4.20 g/t Ag over 4.6 meters from 103.6 meters
  • 0.47  g/t Au  and 4.08 g/t Ag over 7.6 meters from 16.8 meters in hole PV-002
  • 0.51 g/t Au and 5.86 g/t Ag over 13.7 meters from surface, in hole PV-004; and,
    • 0.60 g/t Au and 7.48 g/t Ag over 6.1 meters from 21.3 meters

Intervals were calculated using a 0.20 g/t gold cutoff and maximum 3 meters of internal waste.  True thickness of intercepts is unknown at this time due to the presence of both high and low angle controls on mineralization.  Pilot Gold employs a rigorous quality control system by inserting a blank, standard or duplicate into the sample stream for every 10 drill samples.  All gold values reported are 30 gram Fire Assay with Atomic Absorption finish.  All assays were performed by ALS Chemex at their Reno and Vancouver labs following preparation in the Elko lab.  For a PDF of comprehensive drill results, please click:
http://www.pilotgold.com/sites/default/files/ViperDrillResults1117.pdf

For a map highlighting drilling, please click:
http://www.pilotgold.com/sites/default/files/ViperDrillMap1117.pdf

“The results at Viper are significant, as they share similarities with classic sediment-hosted replacement deposits in Nevada and, along with our Brik Project, mark the second new drill discovery made in Nevada by the Pilot Gold team in 2011. Our strategy of focusing regional exploration efforts off-trend is producing excellent results,” said Matt Lennox-King, President and CEO of Pilot Gold.

These first five holes were drilled at the Baja Target where the gold and silver mineralization zone is controlled in part by high angle epithermal veins, as well as a near horizontal stratigraphic contact between calcareous sandstone and underlying limestone.  Similar to mineralized zones at Long Canyon, receptive horizons at the top of the limestone, as well as within it, are strongly affected by decarbonatization, hematite, scorodite and jarosite flooding and jasperoidal replacement, particularly proximal to the epithermal quartz-calcite veins. 

Pilot Gold’s 2011 drilling campaign at Viper totaled 3,364 meters in 18 reverse circulation (RC) drill holes: 7 holes on the northern Baja Target, and 11 holes on selected targets to the south, within a large area of quartz veining, alteration and elevated gold in rock samples that measures in excess of 1.5 kilometers in a north-south direction by 700 meters in an east-west direction.  Additional target areas will be subject to future drilling. Assays are pending for 11 holes in the southern area as well as two follow up holes at the Baja Target.

Viper lies along the northern edge of the Long Canyon Trend in northeast Nevada in an area that has seen very little exploration, and was generated through grass roots exploration by the Pilot Gold team, while exploring for Long Canyon style targets in 2009.  The Viper Project totals 1,836 hectares, which is comprised of 831 hectares of private mineral rights owned and leased by Pilot Gold and 1,004 hectares of unpatented lode claims on land administered by the BLM and controlled by Pilot Gold.

On the heels of the Brik discovery in July of this year, the Viper discovery marks the second new drill discovery made in Nevada by the Pilot Gold team in 2011.

Table of recent gold discoveries in Nevada:

Project

Discovery date

Discovery intercepts

Viper (Pilot Gold)

2011

1.09 g/t gold over 33.5 metres

Brik (Pilot Gold)

2011

2.41 g/t gold over 16.7 metres

Red Hill (Barrick Gold Corp.)

2011

12.00 g/t gold over 35.36 metres

Gold Rush (Barrick Gold Corp.)

2011

12.75 g/t gold over 50.29 metres

Jake Creek (Evolving Gold Corp.)

2010

0.97 g/t gold over 45.7 metres

Carlin Project (Evolving Gold Corp.)

2009

1.21 g/t gold over 35.1 metres

 

All technical information contained in this release has been reviewed and approved by Vance Spalding, CPG, Exploration Manager U.S.A. for Pilot Gold and a “qualified person” within the meaning of National Instrument 43-101. Intervals were calculated using a 0.20 g/t gold cutoff and maximum 3 meters of internal waste.  True thickness of intercepts is unknown at this time due to the presence of both high and low angle controls on mineralization. Drill samples were assayed by ALS Chemex (ISO9001:2000) in Reno, Nevada for gold by Fire Assay of a 30 gram (1 assay ton) charge with an AA finish, or if over 5.0 g/t were re-assayed and completed with a gravimetric finish. For these samples, the gravimetric data were utilized in calculating gold intersections. QA/QC included the insertion and continual monitoring of numerous standards and blanks into the sample stream, and the collection of duplicate samples at random intervals within each batch. All holes are also analyzed for gold by cyanide assay as well as a 51 element geochemical suite by ICP-MS.

ABOUT PILOT GOLD                                                   

Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

 

11-18

Pilot Gold Inc. (PLG - TSX) (“Pilot Gold” or the “Company”) is pleased to report that initial results from the 2011 exploration program on the Company’s 100%-owned Regent Project in southwest Nevada has identified new high-potential exploration targets and also confirmed mineralization in the historic resource area referred to as Regent Hill. Pilot’s drilling to date confirms both lateral and down-dip continuity of gold mineralization at Regent Hill, as well as gold and silver mineralization in new targets an additional 750 metres to the northeast.

Drill assay highlights to date include:

Regent Hill: Definition Drilling

  • 1.03 grams per tonne gold and 4.93 grams per tonne silver over 38.0 metres in hole R0502*;
     
  • 1.41 g/t gold and 5.18 g/t silver over 14.2 metres in hole PRE008C (core); and 0.48 g/t gold and 18.02 g/t silver over 15.7 metres in hole PRE008C (core);
  • 0.58 g/t gold and 4.67 g/t silver over 19.8 metres in hole PRE022 (RC).

North East Target: Exploratory RC Drilling

  • 0.78 g/t gold and 2.57 g/t Ag over 21.3 metres in hole PRE009;
  • 0.58 g/t gold and 4.56 g/t Ag over 15.2 metres in hole PRE004.

Intervals were calculated using a 0.24 g/t gold cutoff and maximum 3 metres of internal waste. True thickness of intercepts varies, but in most cases intercepts are believed to represent 70% to 90% of drilled intercept. *Hole drilled by previous operator, assayed in full by Pilot with complete QAQC program. For a table of 2011 drill intercepts, please click:
http://www.pilotgold.com/sites/default/files/RegentDrillResults1118.pdf

“These results from our early work support our belief that our Regent Project hosts a widespread gold-mineralized epithermal system,” says Ian Cunningham-Dunlop, COO of Pilot Gold.  “We continue to focus on developing targets across the Regent property, and are currently conducting follow-up of extensive gold-in-soil anomalies identified on the southern half of the property.”

Soil geochemical sampling carried out by Pilot Gold has defined multiple large, gold-in-soil anomalies in the southern half of the property; the largest of these has a footprint greater than that of Regent Hill. Drilling through the remainder of 2011 will focus on infill core drilling on the Regent Hill deposit and expanding known mineralized zones. Also, 14 line kilometres of CSAMT geophysical surveys will be conducted across the property to guide future exploration programs.

The 2011 exploration program is designed to prioritize and evaluate new exploration targets, as well as to delineate and define the known zones of mineralization surrounding Regent and Silver Hill. Targeting for this program was based on compilation and interpretation of the substantial archive of historic data on the project, consisting of geochemical, geophysical, geologic and drill holes, in conjunction with new ground magnetic/gravity surveys, and extensive rock and soil sampling completed by Pilot Gold.

For a map of 2011 drill holes and newly identified target areas, please click:
http://www.pilotgold.com/sites/default/files/RegentDrillMap1118.pdf

The Regent Project is an epithermal gold and silver system situated on the eastern margin of the prolific Walker Lane epithermal gold-silver belt. Walker Lane deposits include Round Mountain (7 million ounces of gold produced to date, current Reserve grade of 0.60 g/t Au), the historical Comstock Lode (8 million ounces of gold and 192 million ounces of silver produced, current Reserve grade of 0.931 g/t Au) and the neighbouring Rawhide/Denton Mine 1.5 km to the southeast. The Rawhide mine produced 1.56 million ounces of gold and over 11.5 million ounces of silver between 1990 and 2004, at average grades of 0.96 g/t Au and 16.4 g/t Ag)**. Regent and Rawhide are interpreted to be part of the same volcanic and hydrothermal system. 

Pilot Gold’s Nevada portfolio is characterized by large land positions, district wide potential and high-grades at surface, in off-trend areas highlighted by new gold discoveries at Brik and Viper.

** Data sourced from Metals Economics Group (www.metalseconomics.com)

All technical information contained in this release has been reviewed and approved by Vance Spalding, CPG, Exploration Manager U.S.A. for Pilot Gold and a “qualified person” within the meaning of National Instrument 43-101. Intervals were calculated using a 0.24 g/t gold cutoff and maximum 3 meters of internal waste.  True thickness of intercepts varies, but in most cases is believed to represent 70%-90% of drilled intercept. Drill samples were assayed by ALS Chemex (ISO9001:2000) in Reno, Nevada for gold by Fire Assay of a 50 gram charge with an AA finish, and if over 5.0 g/t were re-assayed and completed with a gravimetric finish. For these samples, the gravimetric data were utilized in calculating gold intersections. QA/QC included the insertion and continual monitoring of numerous standards and blanks into the sample stream, and the collection of duplicate samples at random intervals within each batch. All holes are also analyzed for gold by cyanide assay as well as a 51 element geochemical suite by ICP-MS.

ABOUT PILOT GOLD                                                  
Pilot Gold is a gold exploration company focused on advancing Halilaga, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on Regent please view the NI 43-101 technical report entitled "Summary Technical Report : Regent Gold Project  Mineral County, Nevada," dated January 4, 2011, Paul Klipfel Ph.D CPG #10821, Consulting Economic Geologist, Mineral Resource Services Inc. (Reno), on SEDAR (www.sedar.com) under Pilot Gold’s Issuer Profile.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

11-19

Pilot Gold Inc. (PLG – TSX) (“Pilot Gold” or the “Company”) is pleased to announce it has purchased the Mining Option Agreement for the Kinsley Mountain property from Animas Resources Ltd. (“Animas”).  The Kinsley Mountain property hosts a large sediment-hosted gold system and includes a past-producing gold mine and significant exploration potential on a large land position.

The Kinsley Mountain property consists of 141 claims and 2,807 acres (1,136 hectares) on BLM land in the Kinsley Mountains in southeast Elko County, Nevada. The property lies roughly 75 kilometers (45 miles) southeast of the Long Canyon property where Pilot Gold’s geologic team, as part of Fronteer Gold Inc., defined a significant gold resource in what is now recognized as an emerging gold district.

“Success at Long Canyon hinged on detailed geologic analysis, aggressive drilling and deposit modeling,” says Moira Smith, Pilot Gold’s Chief Geologist. “We intend to deploy the same exploration team and strategy to Kinsley Mountain. The presence of an open pit and drilled mineralization in adjacent areas gives Pilot Gold a great starting point.”

Gold mineralization was discovered on Kinsley Mountain in 1984.  Subsequent exploration defined sediment-hosted gold mineralization concentrated in the Kinsley Trend, and includes at least five distinct deposits hosted in strata ranging from Middle to Late Cambrian in age. The stratigraphic intervals hosting mineralization at Kinsley are the same horizons that host mineralization at Long Canyon.

Between 1994 and 1999, Alta Gold Co. (“Alta Gold”) produced approximately 138,000 ounces of gold at 1.4 g/t gold from oxide ore in a heap leach operation at Kinsley**.  Alta Gold abandoned the mine and left an undetermined amount of ore in the ground at Kinsley during a period of low gold prices.  At that time, gold discoveries were still being made and existing historic resources had not been exhausted. 

Under the Option Agreement, Pilot Gold will obtain access to a substantial technical archive on the property, consisting of over 1,100 drill holes averaging 218 feet in length, and extensive geophysical and geochemical surveys.  No drilling has been completed on Kinsley in over 13 years. Pilot Gold’s exploration activities will initially focus on geologic mapping and deposit model development, with confirmation and step-out drilling adjacent to the existing pits.  

In consideration for the purchase of the Option Agreement, Animas shall receive the following:

(i)            $US 350,000 cash and 50,000 common shares of Pilot Gold (“Common Shares”) on the date hereof  (the “Effective Date”);

(ii)           25,000 Common Shares on the first anniversary of the Effective Date;

(iii)          25,000 Common Shares on the second anniversary of the Effective Date; and,

(iv)         50,000 Common Shares upon Pilot Gold earning and vesting a 51% interest in the Amended Mining Lease, summarized below, pursuant to the Option Agreement.

The issuance of all Common Shares is subject to a statutory four-month hold period and conditioned upon the approval of any required governmental or regulatory authority, including the Toronto Stock Exchange.As of the date hereof, the Company has 59,035,286 issued and outstanding Common Shares.

If the Company terminates the Option Agreement prior to the due date for the issuance of any of the Common Shares, then Pilot Gold shall have no further obligation to make any subsequent issuances or deliveries of Common Shares to Animas.

Pursuant to the terms of the Option Agreement, Pilot Gold will have the exclusive right to earn:

(i)            a 51% undivided interest in the Kinsley Mountain property by incurring $US 1.18 million in exploration expenditures by March 30, 2013 (of which $US 0.18 million must be spent by May 31, 2012); and,

(ii)           an additional undivided 14% interest in the  Kinsley Mountain property by electing to incur a further $US 3.0 million in exploration expenditures within five years of meeting the initial earn-in.

Pilot Gold will also be required to make advance royalty payments to Nevada Sunrise, LLC (“NSL”), a private Nevada-based company, in accordance with an underlying lease agreement, beginning with a payment of $US 50,000 per year, through 2016, increasing up to $200,000 per year in 2020 and beyond.  A contract initiation payment of $US 50,000 is payable to NSL in 2011. A maximum 4% net smelter return royalty is also payable through the lease to NSL, and may be reduced to 2% through a series of payments at the Company’s election. 

The Kinsley Mountain property joins a robust Nevada portfolio headlined by new gold discoveries at the Company’s Brik and Viper projects.  Kinsley boasts historic resources and numerous untested exploration targets, and gives Pilot Gold the ability to earn a controlling interest in a high quality, past producing project that has the potential to support ongoing exploration success.

All technical information contained in this release has been reviewed and approved by Vance Spalding, CPG, Exploration Manager U.S.A. for Pilot Gold and a “qualified person” within the meaning of National Instrument 43-101.

** Data sourced from www.metalseconomics.com

ABOUT PILOT GOLD                                                   

Pilot Gold is a gold exploration company focused on advancing Halilaga and TV Tower in Turkey, and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:   

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, future issuances of Common Shares under the Option Agreement, proposed exploration and development of the Kinsley Mountain property, access to historical information on the Kinsley Mountain property, completion of expenditure obligations under the Option Agreement, proposed royalty payments, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of historical production at the Kinsley Mountain property, reliance on technical information provided by third parties on the Kinsley Mountain property, current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.

 

11-20

Pilot Gold (PLG – TSX) (“Pilot Gold” or the “Company”) is pleased to report that step-out core drilling has intersected thick intervals of high-grade near-surface silver mineralization at the Kücükdag target and broadened the footprint of the systemby an additional 100 metres to the north.  Kücükdagis one of four targets currently being drill-tested on the Company’s 40%-owned TV Tower project in northwest Turkey.

Highlights from recent step-out drilling at Kücükdag are as follows:

  • Hole KCD-18returned 171.00 grams/tonne silver over 47.50 metres: including;

o    259.97 g/t silver over 27.90 metres;

  • Hole KCD-17returned 45.15 g/t silver over 113.8 metres, including;

o    95.27 g/t silver over 11.2 metres;

  • Hole KCD-16 returned51.94 g/t silver over 74.50 metres.

Also noteworthy, hole KCD-19 was completed through the central part of the Kücükdag breccia as a PQ-core twin (large diameter) of the previously reported hole KCD-02.  KCD-19 was drilled to upgrade core recoveries within the mineralized interval and provide material for metallurgical testing.

  • Hole KCD-19returned3.80 g/t gold, 0.82% copper, and 20.06 g/t silver over 131.80 metres, including:

o   9.54 g/t gold, 2.16% copper, and 43.51 g/t silver over 45.00 metres.

All true widths are 60-90% of reported widths unless otherwise stated. All intervals of no sampling have been assigned zero grade for the purposes of compositing. For a comprehensive table of drill results to date, including new and non-reportable intercepts, please click: http://www.pilotgold.com/sites/default/files/KCDDrillResults1120.pdf

For maps highlighting recent drilling, please click:

http://www.pilotgold.com/sites/default/files/KCDDrillMap1120.pdf

“These new high-grade silver intercepts, coupled with the previously reported high-grade gold intercepts, demonstrate the strong multi-element nature of the Kücükdag area and greatly enhance the overall grade potential,” stated Ian Cunningham-Dunlop, COO for Pilot Gold.

The Kücükdag targetis a high-sulphidation epithermal system characterized by high-grade gold-silver-copper breccia hosted mineralization.  The mineralized breccia remains open to the north, east, and west with a current drilled footprint of 300 x 400 metres.

The 2011 drill program at Kücükdag is designed to aggressively expand the mineralized breccia.  Step-out drilling is planned through the remainder of 2011 with three core rigs.  To date, approximately 4,200 metres have been drilled at Kücükdag with assays pending for eight drill holes.

Teck Madencilik Sanayi Ticaret A.S. (“TMST”), a Turkish subsidiary of Teck Resources Limited (“Teck”), is Pilot Gold’s 60% partner and the project operator

About The TV Tower Project:

The TV Tower Project is a large, road-accessible property covering more than 65 square-kilometres located in the Biga District of northwest Turkey.  Since 2004, Pilot Gold’s technical team has played an important role in establishing the prospectivityand gold endowment of the Biga District, following recognition of the potential and staking of the area by Teck. Eighthigh-conviction targets have been identified with widespread epithermal to porphyry characteristics typical of those seen at other deposits in the Biga District.

All drill samples and analytical data for TV Tower are collected under the supervision of TMST, using industry standard QA-QC protocols.  Ian Cunningham-Dunlop, P. Eng, VP Exploration and Chief Operating Officer for Pilot Gold, and a “Qualified Person” within the meaning of National Instrument 43-101 Standards of Disclosure for Mineral Projects (“NI 43-101”), is responsible for compiling the technical information contained in this release.  Mr. Cunningham-Dunlop has not verified all of the assay data generated by TMST as project operator.  However, the grades and widths reported here agree well with the Company’s past results on the project and TMST has given him no reason to doubt their authenticity.

ABOUT PILOT GOLD                                                   

Pilot Gold is a gold exploration company focused on advancing Halilağa, TV Tower and our pipeline of projects in Nevada. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone 604-632-4677 or Toll Free 1-877-632-4677
This email address is being protected from spambots. You need JavaScript enabled to view it.

For further details on TV Tower, please view the NI 43-101 compliant technical report entitled "NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey," dated February 15, 2011, as amended on June 7, 2011, prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) under Pilot Gold’s Issuer Profile on SEDAR (www.sedar.com).

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com. Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information. 

 

 

11-21

Pilot Gold Inc. (PLG-TSX) (“Pilot Gold” or the “Company”) reports financial results for the three and nine months ended September 30, 2011. Details of the Company’s financial results are described in the condensed interim consolidated financial statements and corresponding Management’s Discussion and Analysis for the three and nine months ended September 30, 2011.  These and further details on each of Pilot Gold’s projects and activities can be found on the Company’s website at www.pilotgold.com and on SEDAR at www.sedar.com. All amounts are presented in United States dollars unless otherwise stated.

OVERVIEW
Pilot Goldwas formed following the successful acquisition of Fronteer Gold Inc. (“Fronteer Gold”) by Newmont Mining Corporation in April, 2011. The Company was founded with a large portfolio of projects in Nevada and Turkey, and is led by the same team that built Fronteer Gold into a dynamic gold exploration and development company. Throughout 2011, Pilot Gold has used the same science-based approach to exploration that their team is known for, to undertake systematic and aggressive initial drill programs on their projects ahead of comprehensive exploration programs on high-potential assets in 2012.

“As we near 2012 we continue to focus and deploy our resources on high-conviction projects, while maintaining a solid pipeline of exploration and growth projects,” says Matt Lennox-King, President & CEO.   “To date in 2011 we have completed 87% of our planned drill program, with assay results pending on a number of projects.”

EXPLORATION HIGHLIGHTS – TURKEY
TeckMadencilik Sanayi Ticaret A.S. (“TMST”), a subsidiary of Teck Resources Limited, is the Company’s 60% joint venture partner on both the Halilağa and TV Tower projects.

  • At Halilağa, step-out drilling continues to increase the footprint of the copper-gold porphyry, while infill drilling continues to confirm the continuity of gold mineralization ahead of a maiden resource estimate expected by year end. To date, copper-gold mineralization extends over a strike length of 1,200 metres, a width of 850 metres and thicknesses up to 600 metres, including a locally developed, shallow supergene enrichment zone with grades of 1% to 2% copper. Approximately 17,700 metres of the planned 20,000 metre 2011 drill program have been completed.
     
  • In the three-months ended September 30, 2011 as part of on ongoing program, drilling returned the most significant holes on the project to date, including: 

o   0.34% copper (“Cu”) and 0.22 grams per tonne gold (“Au”) over 466.7 metres (HD-76)

o   0.48% Cu and 0.64 g/t Au over 176.9 metres (HD-86)

o   0.64% Cu and 0.51 g/t Au over 117.3 metres (HD-94A)

  • At TV Tower, drilling at the Kücükdag target continues to intersect high-grade gold and silver mineralization and has extended the 300m x 400m footprint of the system by an additional 100 metres to the north. To date, approximately 13,300 metres of the planned 15,000 metre drill program have been completed.

EXPLORATION HIGHLIGHTS - NEVADA

  • Pilot Gold announced the purchase of an option agreement for Kinsley Mountain, a sediment-hosted gold property located 75 kilometers southeast of the Long Canyon project where Pilot Gold’s geologic team, as part of Fronteer, defined a significant gold resource in what is now recognized as a new gold district. The Company plans to spend $0.5 million toward the earn-in through the remainder of 2011, and has also recently staked additional claims immediately to the north of the surrounding area of interest.
     
  • The Company announced a new gold discovery at the Brik gold project following a Phase 1, 3,481 metre drill program.A Phase 2 drill program is expected to commence in December, in addition to further geologic mapping and sampling, and geophysical surveys.
     
  • The Company announced a new gold discovery at the Viper project, following a Phase 1, 3,400 metre drill program.Assays are pending from 13 holes, and the Company plans to compile existing drill data and the results of surface exploration through the remainder of 2011.
     
  • Ongoing drilling at the Company’s Regent project continues to expand the historic deposit and evaluate new exploration targets. Initial drill results from the ongoing 10,000 metre program confirmed both lateral and down-dip continuity of gold mineralization at the historic deposit, as well as gold and silver mineralization in new targets an additional 750 metres to the northeast.

SELECTED FINANCIAL DATA
The following selected financial data is derived from our financial statements for the three- and nine-months ended September 30, 2011 and 2010, as prepared in accordance with International Financial Reporting Standards (“IFRS”), with application of the continuity basis of accounting.

 

Three months ended  September 30,

Nine months ended                September 30,

 

2011

2010

2011

2010

Loss for the period

($2,057,620)

($294,312)

($9,741,510)

($1,064,974)

Loss and comprehensive loss          for the period

($4,479,233)

($228,420)

($11,903,418)

($996,207)

Basic and diluted loss                    per share

($0.03)

($0.00)

($0.26)

($0.03)

 

As at

 

September 30,

2011

December 31, 2010

Cash and short-term investments

$22,978,698

$86,966

Working capital

$21,688,988

$326,385

Total assets

$38,920,182

$7,905,170

Current liabilities

$1,762,755

$74,807

Non-current liabilities

$51,428

$2,550

Shareholder’s equity

$38,920,182

$7,827,813

  • For the three- and nine-months ended September 30, 2011, the Company recorded a loss of $2.06 million and $9.74 million, compared to a loss of $0.29 million and $1.06 million for the three- and nine-month periods ended September 30, 2010. Losses and comprehensive losses through September 30, 2011 reflect primarily the $5.34 million non-cash stock-based compensation expense related to our initial stock option grant, and a $1.15 million incurred in general exploration and property investigation activities.   The loss through the period also reflects the impact of costs associated with the start-up and listing of the Company; including, initial listing fees, and the associated legal, advisory and audit fees. Losses through the comparative period correspond to the allocation of certain costs incurred by Fronteer, the former parent company of Pilot Gold, related to those properties and operations transferred to Pilot Gold, prior to and in connection with the close of the Fronteer Arrangement.
     
  • Other comprehensive losses for the three- and nine-months ended September 30, 2011 of $2.4 million and $2.2 million include the foreign exchange differences arising from the translation of foreign operations of $2.4 million and $2.1 million respectively, as the Canadian dollar depreciated significantly against the United States dollar, the currency used by the Company to report its financial results through the three-months ended September 30, 2011.   Other comprehensive losses for the three- and nine-months ended September 30, 2011 also includes net losses of $0.05 and $0.08 million recorded on the value of the Company’s investments in common shares.   
     
  • Working capital of $21.7 million at September 30, 2011 includes $22.9 million in cash and short-term investments, net of $1.8 million in accounts payable and accrued liabilities.   The Company’s balance of cash and cash equivalents, maintained primarily in Canadian dollars, was significantly impacted for reporting purposes by the depreciation of the Canadian dollar at September 30, 2011 as compared to preceding periods.    The balance of the Company’s cash and short term investments as at November 9, 2011 amount to approximately $21.0 million.
     
  • Total assets at September 30, 2011 include $7.5 million of deferred exploration expenditures, and $6.6 million related to our investment in associates. The increase to the value of the investment in the Company’s associates reflects those cash call contributions to the Turkish associates, and the addition of a new associate, Gold Springs LLC following the successful earn in by High Desert on the Company’s Gold Springs 2 property.

ABOUT PILOT GOLD
Pilot Gold was formed through the successful acquisition of Fronteer Gold by Newmont Mining Corporation. Pilot Gold was founded with a globally diversified asset portfolio in Nevada and Turkey and is led by the team that built Fronteer Gold into a dynamic gold exploration and development company valued at $2.3 billion at the time of acquisition. Through an aggressive and science-based approach to exploration, the Company is now advancing a portfolio of projects characterized by large land positions, district-wide potential, and highgrades at surface. In 2011 Pilot Gold will complete 60,000 metres of drilling on 9 properties with ongoing geological, geophysical and geochemical programs. For more information, visit www.pilotgold.com or contact:

Matt Lennox-King, President & CEO
Patrick Reid, VP Corporate Development
Phone: 604-632-4677 or Toll Free 1-877-632-4677
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Our results are now being prepared in accordance with IFRS. Our accounting policies have changed and the presentation, financial statement captions and terminology used in this news release and the accompanying unaudited financial statements may differ from that used in our financial statements for the year ended December 31, 2010. The new policies have been consistently applied to all of the periods presented in this news release and all prior period information has been restated or reclassified for comparative purposes unless otherwise noted. Further details on the adoption and application of IFRS are provided in the Company’s Management’s Discussion and Analysis and in the notes to our unaudited condensed interim consolidated financial statements for each of the quarter ended March 31, 2011 and the quarter ended September 30, 2011.

This press release should be read in conjunction with our unaudited condensed interim consolidated financial statements for the three and nine months ended September 30, 2011, and related Management’s Discussion and Analysis, as at November 9, 2011.  These documents can be found on the Company’s website (www.pilotgold.com) and on SEDAR at www.sedar.com. Shareholders may receive a copy of the complete unaudited financial statements free of charge upon request.

The National Instrument 43-101 technical reports prepared by Ian R. Cunningham-Dunlop, P. Eng. and VP Exploration and Chief Operating Officer, Pilot Gold (formerly VP Exploration, Fronteer Gold Inc.) entitled “NI 43-101 Technical Report on the TV Tower Exploration Property, Canakkale, Western Turkey,” dated February 15, 2011 (amended June 7, 2011), and the National Instrument 43-101 technical report entitled “NI 43-101 Technical Report on the Halilaga Exploration Property, Canakkale, Western Turkey," dated February 15, 2011 (amended June 7, 2011), respectively, are both available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

For further details on the Fronteer Arrangement refer to the Company’s Amended Annual Information Form (“AIF”) for the year ended December 31, 2010 dated May 12, 2011 (Amended June 7, 2011), available under Pilot Gold’s SEDAR profile at http://www.sedar.com.

Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking information" within the meaning of applicable Canadian securities laws. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “planning”, “planned”, “expects” or “looking forward”, “does not expect”, “continues”, “scheduled”, “estimates”, “forecasts”, “intends”, “potential”,  “anticipates”, “does not anticipate”, or “belief”, or describes a “goal”, or variation of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such forward-looking information, including, but not limited to, estimated future working capital, funds available, uses of funds, future capital expenditures, exploration expenditures and other expenses for specific operations, proposed exploration and development of our exploration properties, fully satisfying all cash call obligations to Pilot Gold’s joint venture partners, ultimate receipt of payment on proposed royalty payments, information with respect to exploration results, the timing and success of exploration activities generally, permitting timelines, government regulation of exploration and mining operations, environmental risks, title disputes or claims, limitations on insurance coverage, potential quantity and/or grade of minerals, potential size of mineralized zone, potential expansion of mineralization, potential type of mining operation, timing and possible outcome of any pending litigation, timing and results of future resource estimates or future economic studies and the timing and results of any future development programs involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Pilot Gold to be materially different from any future results, performance or achievements expressed or implied by such forward looking information. Such factors include, among others, risks related to the interpretation and actual results of historical production at certain of our exploration properties, reliance on technical information provided by third parties on any of our exploration properties, current exploration and development activities; changes in project parameters as plans continue to be refined; current economic conditions; future prices of commodities; possible variations in grade or recovery rates; failure of equipment or processes to operate as anticipated; the failure of contracted parties to perform; labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing or in the completion of exploration, as well as those factors discussed in the section entitled "Risk Factors" in the Company’s Amended Annual Information Form for the year ended December 31, 2010 dated May 12, 2011 (amended June 7, 2011), which is available under Pilot Gold’s SEDAR profile at www.sedar.com

Any inference of potential quantity and grade at Pilot Gold’s exploration properties, and those in which we have a joint venture disclosed in this press release are conceptual in nature. To date there has been insufficient exploration on any of our properties to define a mineral resource and it is uncertain if further exploration will result in targets at these projects being delineated as a mineral resource.

Although Pilot Gold has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Pilot Gold disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking information.