83 Meters of 1.74 g/t Gold Widens Pan Global's Providencia Zone

Pan Global Resources reported that drillhole PVD16 at the Providencia target on its 100%-owned Cármenes project in northern Spain returned 83 meters averaging 1.74 g/t gold from 9 meters depth, including 4.88 g/t gold over 9 meters and a peak of 32.2 g/t gold over 0.5 meters — the widest high-grade intercept of its Phase 3 drill campaign.

Pan Global Resources Inc. (TSXV: PGZ; OTCQB: PGZFF; FRA: 2EU) has reported the widest high-grade gold intercept yet from its Cármenes project in northern Spain, with drillhole PVD16 returning 83 meters averaging 1.74 grams per tonne (g/t) gold starting from just 9 meters below surface.

The hole was collared at Providencia, one of the targets on the 100%-owned Cármenes property, and forms part of an ongoing Phase 3 drill campaign. Inside the 83-meter run, the company reported several higher-grade slices: 4.88 g/t gold over 9 meters, 12.57 g/t gold over 2 meters, 2.65 g/t gold over 12 meters, and a peak assay of 32.2 g/t gold over half a meter. Gold is not the only metal in the rock — Pan Global described associated copper, cobalt, nickel, platinum and palladium mineralization alongside the gold zones.

What the intercept actually describes

Two features of PVD16 matter more than the headline grade. The first is depth: the mineralization starts 9 meters from surface and, according to the company, extends to surface. Shallow mineralization is cheaper to test and, should a deposit ever be defined, cheaper to mine, because the waste rock that has to be moved to reach it is thinner.

The second is geometry. Pan Global characterized the results as revealing a network of steeply dipping, northerly trending higher-grade gold zones sitting within a broader carbonate breccia system measuring 500 meters by 200 meters. A breccia is rock that has been shattered and then re-cemented, and those broken zones often act as the plumbing that mineralizing fluids travel through. Steeply dipping, north-trending structures inside that envelope suggest a set of feeder zones rather than a single flat blanket — which changes how future holes need to be angled to test them.

On a simple illustrative basis, a 500-meter by 200-meter footprint covers roughly 100,000 square meters in plan view. That is the outer envelope of the breccia system as described, not a mineralized area, and no resource has been declared at Providencia.

Open laterally, open at depth

Pan Global said the mineralization remains open both laterally and at depth, and flagged potential to extend the footprint southwards. In exploration language, "open" means the drilling has not yet found the edge — assays continued to return values where the hole ended or where the tested area stops. That is the most consequential line in the release, because scale in a gold system is a function of how far mineralization continues, not how high a single half-meter assay reads.

The 32.2 g/t peak over 0.5 meters is eye-catching but narrow. The more informative numbers are the wide, continuous ones: 83 meters at 1.74 g/t, and the 12-meter run at 2.65 g/t. Continuity over tens of meters is what eventually supports tonnage; isolated spikes can reflect coarse gold and rarely survive into a resource estimate at anything like their headline value.

The company described PVD16 as the widest high-grade intercept to date in the Phase 3 program. Pan Global did not publish a hole-by-hole comparison against earlier Phase 3 results in this release, so the fair reading is a relative one: this is the best width the current campaign has produced, and it came from a target the company is now trying to push south.

The market's response was to sell

Shares did not reward the news. In over-the-counter trading in the United States, PGZFF changed hands at 0.11 as of 13:56 GMT on September 17, 2026, down 4.81% from the previous close of 0.12, having traded between 0.11 and 0.12 on the day. The currency of that quote is not specified in the live data feed; Pan Global's primary listing is on the TSX Venture Exchange under PGZ, with a further quotation in Frankfurt under 2EU.

The move came against a firm broad market. The S&P 500 tracker (NYSEARCA: SPY) was at $761.11, up 0.94% on the day from a $754.05 close, while the Nasdaq 100 fund (NASDAQ: QQQ) sat at $715.03, up 1.46%, and the Dow tracker (NYSEARCA: DIA) was at $517.40, up 0.42%. So this was stock-specific, not tape-driven.

There is nothing unusual about that pattern in junior exploration. At an OTC price near a dime, the float is thin, the bid-ask spread is wide relative to the price, and a single seller can set the day's direction regardless of the assay sheet. Investors in this part of the market also tend to discount drill results until they are stitched into a geological model with continuity between holes — one wide intercept, however good, does not yet do that. Results were announced by the company and reported by INN Precious Metals.

Why the by-product metals are part of the story

The copper, cobalt, nickel, platinum and palladium reported alongside the gold give Cármenes a second dimension. Cobalt and nickel are battery-chain inputs; platinum and palladium are catalyst metals; copper is the workhorse of electrification. A polymetallic signature inside a carbonate breccia can improve project economics if the additional metals are recoverable, because credits from by-products offset the cost of producing the primary metal.

It also matters where this sits. Cármenes is in northern Spain — inside the European Union, in a jurisdiction with existing mining infrastructure and a policy environment focused on sourcing critical raw materials closer to home. Pan Global has not put grades to the copper, cobalt, nickel or platinum-group results in the highlights disclosed, so the by-product case remains directional rather than quantified.

What to watch next

• Step-out holes to the south. The company has named the direction it wants to grow. Whether southward drilling reproduces PVD16-style widths is the single clearest test of whether Providencia scales.
• Depth extension. With mineralization open at depth, deeper holes will show whether the steeply dipping zones persist below the shallow interval or pinch out.
• Grades for the other metals. Reported assays for copper, cobalt, nickel, platinum and palladium would turn the polymetallic angle from qualitative to measurable.
• Continuity between holes. A cluster of holes tying the higher-grade zones together, rather than single long intercepts, is what would eventually underpin a maiden resource.

For now, Pan Global has the widest high-grade hole of its Phase 3 campaign, a mineralized system that reaches surface and stops at no known edge, and a share price that spent the session going the other way.

Key facts

• Headline intercept: 83 m at 1.74 g/t gold from 9 m depth (drillhole PVD16)
• Best internal grades: 4.88 g/t over 9 m; 12.57 g/t over 2 m; 2.65 g/t over 12 m; peak 32.2 g/t over 0.5 m
• Share price: PGZFF at 0.11, down 4.81% as of 13:56 GMT, Sept 17, 2026 (prev close 0.12)
• Host system: 500 m x 200 m carbonate breccia, Providencia target, 100%-owned Cármenes project, northern Spain

Frequently asked questions

What did drillhole PVD16 return?

PVD16 at the Providencia target returned 83 meters averaging 1.74 g/t gold from 9 meters depth. Within that interval Pan Global reported 4.88 g/t gold over 9 meters, 12.57 g/t gold over 2 meters, 2.65 g/t gold over 12 meters, and a single peak assay of 32.2 g/t gold over 0.5 meters. It is the widest high-grade intercept of the Phase 3 campaign.

Where is the Cármenes project?

Cármenes is in northern Spain and is 100%-owned by Pan Global Resources. Providencia is one of the targets within it. The location places the project inside the European Union, a jurisdiction that has made sourcing critical raw materials domestically a policy priority, though Pan Global has not declared a mineral resource there.

What does it mean that mineralization is "open" laterally and at depth?

It means drilling has not yet defined the edges of the mineralized zone. Assays were still returning values where the tested area ends, so the system could continue further sideways or deeper. For an exploration company this is a positive signal about potential scale, but it is untested until step-out and deeper holes are completed.

How did Pan Global shares react?

They fell. In US over-the-counter trading, PGZFF was quoted at 0.11 as of 13:56 GMT on September 17, 2026, down 4.81% from a previous close of 0.12, with a day range of 0.11 to 0.12. The declines came while the S&P 500, Nasdaq 100 and Dow trackers were all higher on the day.

Why does the 32.2 g/t assay matter less than the 83-meter interval?

Because it covers only 0.5 meters. Narrow, very high-grade assays can reflect coarse gold and rarely carry their headline value into a resource estimate. Wide, continuous intervals — 83 meters at 1.74 g/t, or 12 meters at 2.65 g/t — are what eventually support tonnage and mining economics.

What other metals were reported at Providencia?

Pan Global described copper, cobalt, nickel, platinum and palladium mineralization associated with the gold zones. Grades for those metals were not included in the disclosed highlights. If recoverable, by-product credits from base and platinum-group metals can offset the cost of producing the primary metal and improve overall project economics.

Sources

• Pan Global Intersects 83 Meters of 1.74 g/t Gold, Expanding New Gold Zone at Cármenes Project, Spain — INN Precious Metals

Photo: Niklas Jeromin · Pexels Licence — source