NDABLAMA DELIVERS FURTHER HIGH GRADE GOLD INTERCEPTS FROM PHASE THREE DRILLING PROGRAMME
July 11, 2013Back
11 July 2013
Aureus Mining Inc.
TSX : AUE
AIM : AUE
NDABLAMA DELIVERS FURTHER HIGH GRADE GOLD INTERCEPTS FROM PHASE THREE DRILLING PROGRAMME
Aureus Mining Inc. (TSX: AUE / AIM: AUE) (“Aureus Mining” or the “Company”) is pleased to announce the results from its eighteen hole, phase three diamond drilling programme at the Ndablama gold target (“Ndablama”). Ndablama is located within the Company’s 100% owned, Bea Mountain Mining licence in Liberia, and is situated approximately 40 km north-east of Aureus’ flagship New Liberty Gold project.
- Results received from 18 diamond drill holes (2,327m in total) which form the phase three programme primarily designed to test grade, width and geological continuity of the Main Zone (“MZ”) at the Ndablama gold target
- Significant new results, mainly from shallow intercepts, include:
- 16.7 g/t over 11.0m from 108.0m
- 4.1 g/t over 43.0m from 78.0m
- 9.7 g/t over 14.0m from 78.0m
- 4.3 g/t over 27.0m from 70.0m
- 2.6 g/t over 18m from 89m
- 2.5 g/t over 18m from 52m
- 2.4 g/t over 17m from 68.0m
- 2.3 g/t over 15.0m from 83.0m
- 5.5 g/t over 12.0m from 51.0m
- 3.4 g/t over 9.0m from 67.0m
- 2.2 g/t over 10m from 66.0m
- The MZ has a very shallow westerly dip and has so far only been drilled to a maximum vertical depth of 130 metres below surface
- Current drilling at MZ has highlighted the presence of multiple, closely spaced, zones which when combined show broad mineralised envelopes of 20 to 80 metres
- Current and historical drilling and trenching has outlined a total of approximately one kilometre of continuous gold mineralisation in three north trending zones which dip shallowly to the West
- The MZ has been defined for 500 metres and down dip for 150 metres and is open in all directions. Multiple mineralised intervals have been intersected with widths of three to over 40 metres
- The South East Zone (“SEZ”) is outlined over 200 metres and hosts thin zones of three to ten metres which can be traced down dip for up to 100 metres and are still open to the west
- The North Zone (“NZ”) is outlined over 300 metres and hosts multiple zones of three to ten metres down to depths of 60 metres
- Resources will be defined for Competent person sign off in Q4, 2013 and follow up work will be defined once resource potential has been assessed
- The Ndablama target is located within a distinct 13km belt of gold in soil anomalies which straddle the geological contact between metamorphosed volcanic rocks and a regional granite batholith. Six gold targets have been subject to follow up exploration programmes and drilling has been undertaken at three of these: Gondoja, Ndablama and Leopard Rock. To date, less than 15% of the potential strike length has been drill tested
Commenting on the Ndablama results, David Reading, President and Chief Executive Officer of Aureus Mining, said:
“These results are excellent and not only highlight the potential for wide, high grade zones, but also, with the shallow dip, present considerable opportunity to increase the size of this deposit with further drilling. Ndablama forms part of a 13km gold belt and we believe we have located a new goldfield situated only 40 kilometres from the New Liberty Project.”
Drilling improves our understanding of the geometry and grade of the Main Zone and highlights the potential for wide, shallow dipping, gold mineralised bodies.
The Ndablama gold target is located within the Company’s 457 km2, 100% owned, Bea Mountain Mining licence in Liberia, and is situated approximately 40 kilometres north-east of Aureus’ flagship New Liberty Gold project. Historically 36 diamond drill holes covering 6,012 metres and 63 trenches for 3,967 metres have been completed at the dablama gold target.
Drilling and trench results to date have outlined multiple gold intercepts associated with three mineralised zones referred to as the NZ, MZ and SEZ. In each zone the mineralised system strikes in a Northerly direction and dips westwards at shallow angles ranging between 30 and 45 degrees. The NZ is outlined over 300 metres and hosts multiple zones of three to ten metres down to depths of 60 metres. The MZ has been defined for 500 metres and down dip for 150 metres and is open in all directions. Multiple mineralised intervals have been intersected with widths of three to over 40 metres. The SEZcan be followed for 200 metres and hosts thin zones of three to ten metres which can be traced down dip for up to 100 metres and are still open to the west
A phase three drilling programme was recently completed at Ndablama for 18 diamond drill holes and 2,327 metres. The phase three programme was primarily designed to test the down dip extension of the MZ over the 500 metres of strike. Phase three drilling also included three holes in the SEZ and some infill holes in the MZ. The Phase 3 drilling has outlined multiple gold intercepts and these results are presented in table one below:
Table 1: Ndablama Phase Three Drill Results
The following highlights are noted from the drilling results:
- The diamond drilling cores outline a meta-volcanic package of ultramafic and mafic rocks. The mafic package consists of Amphibolite Schists and Gneisses which envelope a series of Ultramafic Schists. The Ultramafic rocks have been subdivided into magnetite rich and magnetite poor zones. The ultramafic and mafic rocks are located close to the contact with a large granitic batholith to the East. The Metavolcanic sequence has been intruded by granitic sills
- Gold intercepts occur at the contact between the mafic and ultramafic rocks, within altered ultramafics and in association with brecciated granitic intrusives. Gold mineralisation is associated with shearing, breccia’s, disseminated sulphides and hydrothermal alteration. Pyrrhotite is the dominant sulphide mineral and occurs as disseminations throughout the mineralised zone. Alteration is consistently defined by silicification, Magnetite destruction, Phlogopite and Chlorite
- Phase three results show wider zones and higher grades than those reported in phases one and two and this is related to the intensity of deformation. In the east and closer to the granite contact the deformation is more intense and the highly sheared rocks display weaker mineralisation. As the drilling moves away from this contact and down dip the strain intensity decreases and in these less deformed areas the mineralisation is broader and the grade improves
- Alteration and shearing within the MZ are associated with multiple gold intercepts in each borehole. The closely spaced gold intercepts define a broad mineralised envelope of between 20 and 80 metres in true width
- Three holes (NDD051-53) were drilled into the SEZ and intercepted thin zones (3 to 10m) at vertical depths of 50 metres below the surface. Deformation is more intense at these depths within the SEZ
Previous drilling and trenching from the phase one and two programmes at Ndablama were reported in the Company’s press release of September 10, 2012 and included 36 diamond drill holes covering 6,012 metres and 63 trenches for 3,967 metres. Highlights from these historical drilling and trenching programmes are presented in tables 2 and 3 below. For a summary of all results from phases one and two the Company refers the reader to the September 10, 2012 press release
Table 2: Significant Ndablama Phases One and Two Drill Results
|Borehole Values are Reported from North to South.|
|Borehole ID||From (m)||To (m)||Intersection Length (m)||Au g/t||Mineralized Zone|
|Assay grade data is un-cut|
Table 3: Significant Ndablama Trench Results
|Trench Values are Reported from North to South.|
|Trench ID||From (m)||To (m)||Intersection Length (m)||Au g/t|
|Assay grade data is un-cut|
Exploration work at Ndablama has now stopped due to the onset of the rainy season. Geological and grade modelling will be undertaken to determine Resources and assess the potential of the Ndablama target. This work will be evaluated by an independent Qualified person in Q4, 2013.
The following diagrams illustrate the location, geology and mineralisation of the Ndablama Gold Target in plan view and in section.
Ndablama is situated within a thirteen kilometre gold corridor with multiple gold targets.
A 13km by 2km geochemistry survey has demarcated a continuous zone of gold in soil anomalies with values up to 6 g/t. This work has outlined multiple targets which require follow up trenching and drilling programmes. To date work has been undertaken at six targets which include Ndablama, Gondoja, Leopard Rock, Ndablama North, Koinja and Gbalidee. Previously results have been published from reconnaissance drilling programmes undertaken at Leopard Rock and Gondoja. As with Ndablama the drilling confirmed that the soil anomalies are associated with bedrock mineralisation and that the geology and style of mineralisation is very similar to that observed at Ndablama. To date less than 15% of the gold corridor has been drill tested. Highlights of the previous and historical drill results at Gondoja and Leopard Rock are presented in tables 4 and 5 below:
Table 4: Significant Gondoja Drill Results
|Borehole Values are Reported from North to South.|
|Borehole ID||From (m)||To (m)||Intersection Length (m)||Au g/t|
|Assay grade data is un-cutNote: GD1-GD5 are historical boreholes|
Table 5: Significant Leopard Rock Drill Results
|Borehole Values are Reported from North to South|
|Borehole ID||From (m)||To (m)||IntersectionLength (m)||Au g/t|
|Assay grade data is un-cut.|
The airborne geophysical data covering the gold corridor clearly demonstrates that the hook shaped zone of gold anomalism is related to the contact zone between the Ndablama granite batholith and the Meta-volcanic sequences. This contact zone has been deformed and where it has been drill tested demonstrates the presence of gold mineralisation, shearing and hydrothermal alteration. In the Ndablama to Leopard rock area the Metavolcanic sequences locate within an interpreted pressure shadow occurring at the apex of the Ndablama granite. From Ndablama North to Gondoja, a distance of seven kilometres, the gold in soil anomalies are associated with a NE trending linear shear zone at the contact between the granite batholith and the Meta-volcanic sequences.
The following diagrams illustrate the gold in soil results, geology and geophysics within in the Gold corridor:
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.
|Aureus Mining Inc.David Reading / Jeremy CaveTel: +44(0) 20 7257 2930||BuchananBobby Morse / Gordon PooleTel: +44(0) 20 7466 5000|
|RBC Capital Markets (Nominated Adviser and Joint Broker)Martin Eales / Richard HughesTel: +44(0) 20 7653 4000||GMP Securities Europe LLP (Joint Broker)Richard Greenfield / Alexandra CarseTel: +44(0) 20 7647 2800|
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 100% owned 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.