TORONTO, June 11, 2013 /CNW/ - Aureus Mining Inc. (TSX: AUE / AIM: AUE) ("Aureus Mining" or the "Company") is pleased to announce the remaining fifteen drill results from the sixty two hole diamond drilling programme at the Weaju gold target, following the initial results announcement in March 2013. Weaju is located within the Company's 100% owned, Bea Mountain Mining licence in Liberia, and is situated approximately 30 km north-east of Aureus' flagship New Liberty Gold project.
- Results have been received from the remaining 15 diamond drill holes (2,583m) which form part of a 62-hole (8,726m) programme designed to test grade and geological continuity of a mineralised system at the Weaju gold target
- Significant new results, which are mainly from shallow intercepts, include:
- 9.1 g/t over 6.0m from 43.7m
- 6.9 g/t over 8.7m from surface
- 5.6 g/t over 14m from 39.0m
- 4.4 g/t over 8.0m from 40.7m
- 2.5 g/t over 6.0m from 59.7m
- 2.3 g/t over 9.0m from 82.6m
- 2.6 g/t over 6.1m from 1.3m
- 1.8 g/t over 9.0m from 66.8m
- 2.3 g/t over 10m from a surface trench
- Drilling completed to date has enabled the development of a robust geological model and demonstrated strong continuity of higher grade gold mineralisation along shallow dipping, westerly plunging zones. A western plunge to higher grade payshoots is also evident at the New Liberty deposit
- Current and historical drilling has outlined a total of approximately one kilometre of continuous gold mineralisation in three zones
- The Main Zone demonstrates high-grade oxide mineralisation and is open down plunge to the SW
- The Ridge and Creek zones form part of the same shallow fold zone which can be traced down plunge at 20 degrees for 400 metres. Mineralisation is open to the SW
- The North zone can be traced on the surface for 400 metres and followed down plunge to a vertical depth of 150 metres. Mineralisation is open in all directions
- Surface trenching outlined a potential easterly extension to the Creek and Ridge zones and returned 8m at 0.7 g/t and 14m grading 1.4 g/t. Follow up drilling will be undertaken in this area
- Pitting and trenching completed to the SW of the Main zone highlights a potential extension of one kilometre which will require follow up programmes
- Resources will be defined for Competent person sign off in Q3, 2013 and follow up drilling programmes in commence in Q4, 2013
Commenting on the Weaju results, David Reading, President and Chief Executive Officer of Aureus Mining, said:
"The completion of the first phase drilling programme at Weaju has significantly advanced our understanding of the geological model and confirms the potential for open pittable ounces from this attractive target. The high grade, near surface intercepts are particular positive and during the rainy season we will define the potential size, grade and geometry of this deposit to determine if it would be feasible to truck the high grade material to New Liberty or whether the deposit is better suited as a standalone mine."
Drilling improves the geological model and confirms cumulative strike potential of over one kilometre of gold mineralisation
The Weaju gold target is located less than 30km NE of the New Liberty Gold deposit within the Company's Bea Mountain Mining License of 457 km2. Previously 48 diamond drill holes were drilled at Weaju by former license holder Mano River during the period 2000 to 2005. Weaju has been subjected to intense artisanal mining activity and in July 2012 the Company announced the settlement of a legacy mining claims issue with a local Liberian company, Weaju Hill Mining Corporation. In November 2012 the Company commenced exploration activities at Weaju involving a LIDAR survey, geological mapping, soil geochemistry for gold, trenching and pitting, airborne geophysics and a diamond drilling programme. At the end of March 2013 the Company had completed a phase one drilling programme of 62 holes for approximately 8,726m. Results from the first 47 holes from this programme were reported in March 2013. This press release covers the results of the remaining 15 diamond drill holes from this programme as well as additional surface trenching.
The phase one exploration programme at Weaju was designed to determine the geometry and controls on gold mineralisation and to determine the potential for open pittable ounces.
The geology at the Weaju target consists of a sequence of folded ultramafic rocks which are enveloped by Archean gneisses and intruded by various generations of granite and pegmatite. This package of rocks has been subjected to shearing and folding which led to the gold mineralisation event. Gold is associated with disseminated sulphides and intense hydrothermal alteration involving silicification and the introduction of phlogopite, sericite, tourmaline and magnetite. The structure, alteration and mineralisation at Weaju are very similar in style to that developed at New Liberty which is located less than 30km to the SW, suggesting that both deposits are genetically related.
The gold mineralisation occurs on both north and south limbs of an asymmetrical synform (North and Main Zones) and within the fold closure (Creek and Ridge Zones). The North zone dip is variable due to folding and ranges from 40 to 70 degrees in the S-SW direction. The Main zone dips steeply at 50 to 60 degrees to the N-NW. The Creek and Ridge zones are linked by folding and locate in the nose of the synform. Dips are variable from shallow to steep. Gold mineralisation is all located at shallow levels from zero to 60 metres.
Drilling has outlined multiple gold intercepts within the three zones and all results from the remaining 15 holes and eight trenches are presented in tables one and two below:
Table 1: Weaju Drill Hole Results
|Hole ID|| From
|To (m)|| Inter-
| Au Grade
|Assay grade data is un-cut|
Table 2: Trench Results from Weaju target
|Hole ID|| From
|To (m)|| Inter-
| Au Grade
|NSV - WJT005|
The following highlights are noted from the drilling results:
- Comprehensive QA and QC procedures and protocols were undertaken on all sampling and assaying. Due to the presence of both coarse and fine gold a proportion of the drill samples were prepared and re-analysed using screen fire assay and gravimetric finish. The correlation between standard fire assay methods and screened methods was good and confirmed the efficacy of the standard fire assay method for this material and the accuracy and repeatability of the results
- The latest results have resulted in a better understanding of the Creek and Ridge zones as comprising portions of a fold-nose area. Finally a full interpretation of all the data confirms the strong Westerly plunge control to the mineralisation in all three zones. The plunge direction is defined by the intersection of fold axes with shear zones
- In all three zones gold mineralisation locates within sheared and altered ultramafic rocks. Alteration is consistently defined by silicification and magnetite destruction. Alteration minerals include phlogopite, sericite and tourmaline. Gold is associated with disseminated pyrrhotite.
- These drilling results, in combination with those announced in March 2013, confirm the presence of the North, Main and Creek/Ridge zones and suggest a potential cumulative strike of mineralised rock of over one kilometre.
The North zone has been defined with an east to west strike continuity of 400 metres and has been drilled down to a depth of 150 metres. It is still open in all directions. Gold intercepts vary in width from 1 to 18 metres and many holes have multiple intercepts. Higher grade zones are controlled by a 45 degree plunge to the SW.
- The best Main zone grades locate within the shallow oxidized horizon and within a SW plunging extension at depth. Mineralized bodies can be traced over a NE-SW strike of 200 metres and widths of between 1 and 19 metres.
- The Ridge and Creek zones are mineralised bodies that are linked by folding and represent the fold nose of the Weaju synform. These zones have a shallow plunge to the WSW of about 20 degrees and can be traced to depths of 130 metres below surface in the down plunge direction.
- Trenching within the Main, North and Ridge zones (WJT002 - 4) confirm the continuity of mineralised zones to surface.
- A trench excavated 150 metres to the east of the Creek and Ridge zones intercepted two mineralised zones grading 8m at 0.7 g/t and 14m grading 1.4 g/t. These zones are interpreted to be the Eastern, surface extensions of the Creek and Ridge zones
In summary the Phase one exploration programme at Weaju has confirmed the mineralised systems at the North, Main and Creek/Ridge zones. Continuity of mineralisation is related to shallow dipping westerly and South Westerly plunges which are related to folding and shearing.
Exploration work at Weaju has now stopped due to the onset of the rainy season. Once all results from the repeat oxide drilling has been received, geological and grade modelling will be undertaken to determine Resources and assess the potential of the Weaju target. A metallurgical testwork programme is currently in progress to assess the amenability of this material to conventional CIL and gravity metallurgical recovery and to determine the rock hardness.
The following diagrams illustrate the location, geology and mineralisation of the Weaju Gold Target in plan view, section and longitudinal section:
Potential one kilometre south-western extension to Main Zone
The Company has completed soil sampling for gold within a 2.8km² area surrounding the Weaju target. Gridding was on a line spacing of 100 metre with samples taken at 25 metre intervals on each line, with 1,029 samples analysed. Results from this work has outlined a 1km SW extension to the Main zone as defined by anomalous gold in soil values ranging between 100ppb and 1.2 g/t gold. An eastwards extension of 200 metres has also been outlined in the fold nose area (Creek and Ridge zones) at similar levels of anomalism. Finally a potential westwards extension to the North zone has been identified on two soil lines. The soil results have been successful in outlining the potential size of the Weaju gold project which covers potentially double the area that has been drill tested.
Pitting and trenching programmes have been undertaken within the SW extension anomaly. The pitting results (14 pits) from in-situ soil materials range from values of 0.1 to 0.6 g/t. Similarly two trenches excavated into weathered rock highlight anomalous gold values in the range of 0.4 to 0.5 g/t. This surface prospecting work confirms that the soil anomaly is in-situ and not transported. After the rainy season this area will be followed up with fence line drilling to define additional, SW plunging, mineralised zones.
The following diagram illustrates the gold in soil results in the Weaju area:
The Company's Qualified Person responsible for preparing this release is David Reading, who holds a MSc in Economic Geology from University of Waterloo, Canada and is a Fellow of the Institute of Materials, Minerals and Mining. David Reading is the President and CEO of Aureus Mining Inc. and consents to the inclusion in the announcement of the matters based on their information in the form and context in which it appears and confirms that this information is accurate and not false or misleading.
Assay and sampling information are taken from the Company's database as prepared on New Liberty site by the project geologists. Drill core is split on site and sent under custody to SGS Laboratory in in Monrovia where pulps are prepared and analysed by fire assay with an atomic absorption finish. Quality control and quality assurance procedures include the regular and methodical implementation of field duplicates, blank samples, standards and laboratory repeats as well as the regular and specific programmes of re-assaying and umpire laboratory assaying.
Screen fire assay samples are taken from course reject samples at SGS, they are repacked by an Aureus geologist before being sent back to SGS Laboratory in Monrovia where the samples are prepared and sent to SGS Tarkwa in Ghana where they are processed using screen fire assay and then the plus size fraction analysed using a gravimetric finish and the undersize done using atomic absorption. Any undersize fraction greater than 5ppm is finished using a gravimetric finish.
About Aureus Mining Inc.
The Company's assets include the New Liberty gold deposit in Liberia (the "New Liberty Gold Project" or the "Project"), which has an estimated proven and probable reserve of 924,000 ounces of gold grading 3.4 g/t and an estimated measured and indicated mineral resource of 1,143,000 ounces of gold grading 3.63 g/t and an estimated inferred mineral resource of 593,000 ounces of gold grading 3.2 g/t. A Definitive Feasibility Study has been completed on the Project and construction has commenced with initial earthworks. The Project is expected to have an 8 year mine life and annual production of 119,000 ounces for the first 6 years of production. The Company has financed the Project's equity funding requirement and has mandated two banks for the remaining debt balance.
The New Liberty Gold Project is located within the Bea Mountain mining licence, which covers 457 km² and has a 25 year, renewable, mineral development agreement. The Bea Mountain mining license also hosts the proximal gold targets of Ndablama, Gondoja and Weaju, which are the focus of exploration programs during 2013. The contiguous Archaen Gold exploration licence, which covers 89 km², is also a focus of exploration for 2013, with Leopard Rock being the main target.
The Company also has gold exploration permits in Cameroon.
This press release contains certain forward-looking information. All information, other than information regarding historical fact, that addresses activities, events or developments that Aureus Mining believes, expects or anticipates will or may occur in the future is forward-looking information. Forward-looking information contained in this press release includes, but may not be limited to, the future plans and objectives of Aureus Mining and their anticipated future growth, mineral resource estimates and the anticipated exploration and development activities of Aureus Mining. The foregoing and any other forward-looking information contained in this press release reflects the current expectations, assumptions or beliefs of Aureus Mining based on information currently available to Aureus Mining. With respect to the forward-looking information contained in this press release, Aureus Mining has made assumptions regarding, among other things: general business, economic and mining industry conditions; and it has also been assumed that no material adverse change in the price of precious and/or base metals occurs, no unusual geological or technical problems occur and no significant events occur outside of the normal course of Aureus Mining's respective business.
Such forward-looking information is subject to a number of risks and uncertainties that may cause actual results or events to differ materially from current expectations, including: risks normally incidental to exploration and development of mineral properties; uncertainties in the interpretation of results from drilling and test work; the possibility that future exploration, development or mining results will not be consistent with expectations; uncertainty of mineral resources estimates; adverse changes in precious and/or base metal prices; and future unforeseen liabilities and other factors including, but not limited to, those listed under "Risk Factors" in the Preliminary Prospectus of Aureus Mining Inc. dated April 20, 2011 a copy of which is available on SEDAR at www.sedar.com, and in the Aureus Mining Admission Document, a copy of which is available at www.aureus-mining.com.
Any mineral resource figures referred to in this press release are estimates and no assurances can be given that the indicated levels of minerals will be produced. Such estimates are expressions of judgment based on knowledge, mining experience, analysis of drilling results and industry practices. Valid estimates made at a given time may significantly change when new information becomes available. While Aureus Mining believes that the mineral resource estimates in respect of their respective properties are well established, by their nature mineral resource estimates are imprecise and depend, to a certain extent, upon statistical inferences which may ultimately prove unreliable. If such mineral resource estimates are inaccurate or are reduced in the future, this could have a material adverse impact on Aureus Mining, as applicable. Due to the uncertainty that may be attached to inferred mineral resources, it cannot be assumed that all or any part of an inferred mineral resource will be upgraded to an indicated or measured mineral resource as a result of continued exploration.
Forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable law, Aureus Mining disclaims any obligation to update or modify such forward-looking information, either as a result of new information, future events or for any other reason.
SOURCE: Aureus Mining Inc.
For further information:
Aureus Mining Inc.
David Reading / Jeremy Cave
Tel: +44(0) 20 7257 2930
Bobby Morse / Gordon Poole
Tel: +44(0) 20 7466 5000
RBC Capital Markets (Nominated Adviser and Joint Broker)
Martin Eales / Richard Hughes
Tel: +44(0) 20 7653 4000
GMP Securities Europe LLP (Joint Broker)
Richard Greenfield / Alexandra Carse
Tel: +44(0) 20 7647 2800