Home / Mining Company News Releases (Unreviewed) / New Gold Intercepts Drilled at Greyhound Project, Nunavut/Follow-Up Work to Continue

New Gold Intercepts Drilled at Greyhound Project, Nunavut/Follow-Up Work to Continue

OTTAWA, ONTARIO–(Marketwired – Nov. 24, 2015) – Aura Silver Resources Inc. (TSX VENTURE:AUU) (“Aura Silver” or the “Company”) is pleased to report the results of this year’s exploration program on its 100% owned Greyhound property in Nunavut, Canada. The Greyhound property remains subject to an option earn-in agreement with Agnico Eagle Mines Limited (NYSE:AEM)(TSX:AEM) who is operator of the project. Highlights include prospecting and drilling discoveries that re-confirm untested auriferous (gold) targets and newly discovered gold drill intercepts that will be the subject of additional prospecting and drilling programs in 2016.

One hole (GHD15-017) located east of Aura Lake discovered a potential porphyry system with an intersection of greater than 25 metres of a stockwork zone of quartz-carbonate veining hosted within mafic volcanics. Of particular note is that the last 1.5 metres of the 195 metre length of core assayed an impressive 6.41 g/t gold. This hole will be deepened in the 2016 drill program to determine the extent of gold mineralization at deeper levels. In addition, one other hole (GHD15-012) located in the Dingo area intersected 3.31 g/t Au over 2.7 metres (including 1.5 metres of 5.68 g/t Au). This interval corresponds to a medium grained intermediate intrusive, which is weakly foliated. The dyke is injected with 2% of white quartz carbonate veinlets cross-cutting the foliation and contains traces of pyrite finely disseminated or related to veining. This dyke is injected in an intermediate to felsic volcanic unit, strongly sheared, sericitized, ankeritized and injected by up to 5-15% of millimeter to decimeter milky quartz ankerite veins over a few metres. It’s the only dyke of that kind within the drill hole.

No other significant mineralization was intersected in other holes drilled.

The 2015 summer drilling program was completed from August 8th to September 3rd and focused on two sectors, the Aura Lake area and the Dingo area. A total of 8 diamond drill holes were drilled, four in each area within the claim area. A total of 1,557 metres was drilled with drill hole lengths varying from 111 to 270 metres.

The final report of the 2015 campaign summarizes the final results of the drilling program and has recommended for 2016 an I.P. (induced polarization) survey to be carried out to the east and north of GHD15-017 to confirm the extent and strength of this potentially highly mineralized stockwork zone. The mineralization and drill target is close to a Spatiotemporal Geochemistry anomaly discovered by Activation Laboratories (Actlabs) which used detailed soil survey samples collected by Aura Silver in 2011. This target was given the “highest” rating of probability for intersecting gold mineralization. Depth of the gold mineralized intersection in hole GHD15- 017 is less than 200 metres which is consistent with Actlabs analysis.

Prospecting Results

Almost all of the surface sample grades identified from 2015 prospecting were located in the Dingo Area (located north east of Aura Lake). Grab samples varied with up to 14.6 g/t gold identified in one sample associated with a quartz vein within mafic volcanic rocks. A 2.9 g/t gold sample was also assayed and is associated with an intrusive rock carrying 5% chalcopyrite (copper mineral) and pyrite which is consistent with a previously discovered copper target at the south end of Dingo.

Drilling Highlights

The most significant highlight of this summer’s exploration effort is the discovery of a potential quartz-carbonate vein stockwork system which, at the bottom of drill hole GHD15-017 assayed 6.41 g/t over 1.5 metres. The size and extent of the veining remain unknown but was in fact intersected over a 25+ metre drill interval. Associated with the quartz-carbonate veining are porphyric felsic dykes carrying abundant (35-40%) feldspar phenocrysts in a fine silica-sericite matrix. The felsic porphyry textures illustrates that the melt is fractionating, which means the melt is getting richer in incompatible elements, that is, elements that do not crystallize into common rock forming crystal structures. This would include precious and base metals which would appear to be the case in portions of the stockwork. Of interest is that both copper and gold have been found at felsic intrusive/mafic volcanic contacts, both in the Dingo area and in the Aura Lake area. Previously, the significance of this was underappreciated.

The Greyhound property is ideally situated just 50 kilometres south of the Meadowbank Mine, and lies along an all-weather gravel road to the mine from the Hamlet of Baker Lake which lies some 40 kilometres to the south of Greyhound. Agnico Eagle entered into an option agreement with Aura Silver in June, 2014 in order to further exploration efforts on the property. The project consists of 15 claims which have been surveyed and are ready to be registered as a mining lease. Support for the exploration of the property is provided from the Meadowbank Mine site. Aura Silver was able to attract interest from its partner as the project area lies within the same Archean volcanic sequences as the Meadowbank Mine and has on site, prospecting samples assaying up to 28.2 g/t gold and 5,380 g/t silver.

In summary the 2015 exploration campaign concluded with recommendations for continuance of the project in 2016. Prospecting, I.P. geophysical work and further diamond drilling are some of the warranted field work programs to be carried out in 2016 based on “significant” 2015 results as well as to continue to explore additional areas of the property. Robert Boaz, CEO of Aura Silver reports “these are the best results we have seen in drill core from inception of exploration at Greyhound. At Aura Lake, it is exciting to learn of the discovery of a potential porphyry-style (quartz-carbonate vein stockwork) system which was intersected with the hole bottoming in exceptional gold mineralization grading better than 6 g/t. The system is at least 25m core width as it bottomed in veining. It is also exciting that future exploration will be expanding the zone on surface by conducting an I.P. geophysical survey in order to outline the size and strength of the sulphide mineralization further to the east and north of our Aura Lake porphyry discovery. At Dingo, one hole cut a 1.5m core length grading 5.68 g/t Au in a weakly foliated intermediate intrusive.”

Paul Pitman, P. Geo. is Aura Silver’s qualified person (as defined by National Instrument 43-101) and has reviewed and approved the scientific and technical information in this press release.

About Aura Silver

Aura Silver is a TSX Venture listed company engaged in the acquisition, exploration and development of precious metal prospects in Canada (Greyhound) and Mexico (East Taviche in Oaxaca State) with a focus on precious metals. The Company has 112,830,844 common shares outstanding.

Aura Silver’s web site is located at www.aurasilver.com.

FORWARD-LOOKING STATEMENTS:

This press release may contain forward looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business including the uncertainty as to whether further exploration will result in the target(s) being delineated as a mineral resource, capital expenditures, operating costs, mineral resources, recovery rates, grades and prices, estimated goals, expansion and growth of the business and operations, the private placement financing activities of the Company, plans and references to the Company’s future successes with its business and the economic environment in which the business operates. All such statements are made pursuant to the ‘safe harbour’ provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company’s most recent annual MD&A and the Company’s continuous disclosure documents that can be found on SEDAR at www.sedar.com. Aura Silver does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.

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

Aura Silver Resources Inc.
Robert Boaz
President and CEO
(905) 403-8010
[email protected]
www.aurasilver.com

 

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