High Gold Grades intersected at New Liberty Project
July 12, 2011Back
July 12, 2011
Aureus Mining Inc.
TSX and AIM: AUE
High Gold Grades intersected at New Liberty Project
Aureus Mining Inc. (“Aureus” or the “Company”) announces positive results from feasibility drilling at the New Liberty gold project, and encouraging exploration work on various prospects within the Company’s 100% owned Bea Mountain Mining License in Liberia.
· Results from the first 25 holes (6191 metres) of the New Liberty feasibility drilling programme returned good intercepts and include highlights of:
– 5.3 g/t over 13 metres
– 6.3 g/t over 10 metres
– 3.6 g/t over 33 metres
– 10.9 g/t over 4 metres
– 5.3 g/t over 11 metres
– 3.9 g/t over 20 metres
· The feasibility drilling programme is designed to estimate the number of ounces that could potentially fall within an open pit covering a strike length of 1.75 kilometres and a depth of 200 metres. These are the approximate dimensions of the open pit design as defined within the Preliminary Economic Assessment (“PEA”), based on the previous resource estimate, and filed by the Company in December 2010. The present drill programme is designed to fill in the gaps within the known mineralised ore body and outline potential extensions to the previous resource estimate.
· To date the Company has completed 85 holes and over 12,000 metres of the 20,000 metre programme and has four diamond drill rigs operating at New Liberty site. The remaining infill drilling is expected to be completed by the end of August 2011.
· Further surface trenching at the Ndablama prospect has outlined multiple mineralised intervals within new zones and returned intercepts include:
– 3.8 g/t over 11 metres,
– 2.0 g/t over 10 metres
– 7.8 g/t over 10 metres.
· Ndablama mineralisation is still open to the North and South West and further trenching is in progress. A phase two diamond drilling programme is planned to commence in Q3.
Commenting on the results, David Reading, Chief Executive Officer of Aureus said:
“The drilling at New Liberty continues to confirm the high grades and continuity both laterally and at depth. The Company has a quality asset with excellent grade that we believe can be mined by open pit mining methods. The opportunity to discover further high grade resource bodies within its large mining lease area is substantial. The feasibility study remains on track for completion by the end of Q4, 2011”.
New Liberty Project – Results highlight gold tenor
The principal objective of the feasibility drilling programme is to estimate the quantity of gold resources within the New Liberty deposit down to a depth of 200 metres below surface and over a strike length of 1.75 kilometres. These are the approximate dimensions of the open pit design as defined within the Preliminary Economic Assessment (“PEA”), which was filed on SEDAR in December 2010 and was based on the previous filed resource estimate. New Liberty has an estimated Indicated Mineral Resource of 751,000 ounces of gold grading 4.17 g/t (contained in 5,599,000 tonnes) and an estimated Inferred Mineral Resource of 762,000 ounces of gold grading 3.40 g/t (contained in 7,040,000 tonnes). This 43-101 resource estimate was filed on SEDAR in December 2010.
The 25 holes announced in this release cover 6,191 metres of a planned 20,000 metre programme which is designed to fill in the gaps and potential extensions to the previous resource wireframe model. To date 62% of the feasibility programme has been completed and covers 85 holes for 12,421 metres of diamond drilling. The company now has four diamond drill rigs on site and is utilising the drilling services of Boart Longyear. The results of the first 25 holes are outlined below.
|Table 1: New Liberty Diamond Drillhole Results|
Note: KGD198, 189, 184 and 180 were un-mineralised. KGD 181 was an abandoned hole.
KGD 192, 193 were metallurgical holes.
The results to date confirm the tenor of gold mineralisation outlined in the previous resource estimate. These holes are mainly located in the central and eastern portions of the ore body and designed to fill in gaps within the present wireframe model. This drilling is confirming and extending the continuity of the mineralised system and outlines the pinch and swell nature of this shear hosted ore body. Intercepts in the Marvoe area confirm the presence of multiple zones. In all cases the mineralised units are defined by the presence of disseminated sulphides which are hosted in altered and sheared ultramafic rocks.
The location of the drill intercepts in plan and section can be viewed in figures one and two by visiting the following link:
Ndablama Prospect – further trenching outlines new mineralised zones
The Ndablama prospect (“Ndablama”) is located approximately 40 kilometres north east of the New Liberty project and within the Company’s 100% owned Bea Mountain Mining Licence of 457 square kilometres. Ndablama is defined by a plus one kilometre zone of intensive artisanal activity and associated gold in soil anomalies with values of between 150 and 3000 ppb. Previously the Company reported trench and diamond drill hole results which defined an area of 150 metres east – west by 900 metres north – south. This zone is referred to as the Main zone.
Further trenching to the north and south east of the Main zone has highlighted additional mineralised zones, which are referred to as the North and East zones. In both cases gold bearing rocks are associated with sheared, folded and altered amphibolites and talc-tremolite schists close to their contacts with granite dykes and pegmatites.
Significant trench results from the North and East zones are highlighted in table 2 below:
|Table 2: Ndablama Prospect Trench Results|
Gold mineralization is outlined in multiple intervals in both zones. The North and East zones both have approximate dimensions of 200 metres in a north – south direction.
To date a total of 63 trenches and 15 drill holes have been completed at the Ndablama prospect. Results are still pending for 20 trenches. Interpretation of all available information indicates both vertical and shallow dipping orientations to the zones of gold mineralisation. A ground magnetics survey is planned for September 2011 and a phase two diamond drilling programme is planned for Q4 2011. The location of all the Ndablama trenches and drill holes and all the significant results can be viewed in figures three and four by visiting the following link:
Further soil sampling work is in progress to cover the area from Ndablama prospect to the Gondoja target, which locates some eight kilometres north east of Ndablama. Six line kilometres of soil gridding has been completed and to date 1,207 soil samples have been collected and sent for analysis. Results are pending. The location of Gondoja within the mining lease can be viewed in figure five within the following link:
New Liberty Extensions – ground geophysical work and soil sampling in progress
A ground geophysics survey involving magnetic and induced polarisation methods is presently in progress at the New Liberty site in order to determine potential western and eastern extensions to the ore body. To date a potential strike extension of 1.5 kilometres has been covered with these methods and the results of the interpreted geophysical data are pending. 19 kilometres of line cutting has been undertaken along the potential western and eastern extensions to New Liberty and over 500 soil samples have been collected with results pending. Further soil and geophysical work is presently in progress along the potential eastern extension to the New Liberty deposit.
The location of the soil and geophysical grids can be viewed on figure six within the following link:
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 the Alex Stewart-OMAC sample preparation facility in Monrovia where pulps are prepared and dispatched to the OMAC laboratory in Ireland for analysis 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 regular and specific programmes of re-assaying and umpire laboratory assaying.
About Aureus Mining Inc.
The Company’s assets include the New Liberty gold deposit in Liberia (the “New Liberty Gold Project”), which has an estimated Indicated Mineral Resource of 751,000 ounces of gold grading 4.17 g/t (contained in 5,599,000 tonnes) and an estimated Inferred Mineral Resource of 762,000 ounces of gold grading 3.40 g/t (contained in 7,040,000 tonnes). A preliminary economic assessment (“PEA”) of the New Liberty Gold Project filed in December 2010 outlined a robust open pit gold mine with a pre-tax NPV of US$234 million based on an $1100/oz. gold price and a 10% discount rate. The PEA outlined an 8.5 year mine life with approximate production of 100 000 ounces per year in the first five years. The New Liberty Gold Project is being advanced through to a definitive feasibility study.
The New Liberty Gold Project locates within the Bea Mountain mining license 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, Weaju, Silver Hills and Gondoja, which are the focus of exploration programs during 2011.
The company also has gold assets within exploration properties in Sierra Leone and Cameroon.
|Aureus Mining Inc.
David Reading, CEO
Tel: +44 (0) 20 7257 2930
Bobby Morse / Katharine Sutton
Tel: +44 (0) 20 7466 5000
|Evolution Securities Limited
Jeremy Ellis / Neil Elliot
Tel: +44 (0) 20 7071 4300
|RBC Capital Markets
Tel: +44 (0) 20 7653 4000