TORONTO, Dec. 06, 2017 (GLOBE NEWSWIRE) — Aurania Resources Ltd. (TSX-V:ARU) (“Aurania” or the “Company”) is pleased to report on the first of a number of targets defined by the recently-completed airborne geophysics survey over its Lost Cities – Cutucu Project (“Project”) in southeastern Ecuador. The data continue to be processed, analyzed and then integrated with geological information and satellite imagery in order to identify priority targets. The “Awacha Target” is defined by magnetic features and a structural setting similar to the known porphyry copper-gold and copper deposits in the adjacent Cordillera del Condor.
A photo accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/742fddeb-b999-47fe-ab3c-fa2af8880844
Jeremy S. Brett, P.Geo., senior geophysical consultant, was retained to assure quality control and to interpret the data on behalf of Aurania as the survey progressed. He commented, “The quality of the geophysical data that MPX Geophysics Ltd. acquired over the large survey area is excellent. An examination of preliminary data from the Awacha area has led me to conclude that the multiple kilometre-scale magnetic signatures could conform to intrusive centres, such as porphyries.”
Geophysical Characteristics of the Awacha Target
The Awacha Target area consists of ten magnetic centres that are similar in size and intensity contrast to magnetic features related to known porphyry deposits in the adjacent Cordillera del Condor, that lies along geological trend. Principal features of the Awacha Target are as follows (Figure 1):
- The ten centres of discrete magnetism (pink to red colours on Figure 1A) are aligned within two northeast trending zones 5km-8km long;
- The areas of discrete magnetism are 0.5km – 2km in diameter – similar in size to the magnetic core of porphyry stocks in the adjacent Cordillera del Condor mineral belt;
- The centres of discrete magnetism are partially bordered by magnetic lows that may be caused by structurally-controlled alteration in which magnetite may have been replaced by non-magnetic clay minerals;
- The northeast-orientated trends in the magnetic data are disrupted by many northwest-trending features that are interpreted as faults. The San Carlos and Panantza copper porphyries, that lie approximately 40km from the southern boundary of the Project, occur in an area similarly transected by northwest-trending faults; and
- Many of the mineral deposits in the Cordillera del Condor are related to a 200km-long granitic body, the Zamora Batholith, which is the probable source of magma and metal for the associated porphyry copper and copper-gold deposits, and related epithermal gold-silver and gold skarn deposits. The new aeromagnetic data suggest that a similar granitic batholith lies beneath the central part the Project area. If this interpretation is correct, this Cutucu Batholith may have provided a similar source as the Zamora Batholith for porphyry, epithermal and skarn mineralization in the Project area.
Comparison of Magnetic Signature of the Awacha Target with SolGold’s Cascabel Project
Public domain geophysical images from SolGold PLC’s (“SolGold’s”) large copper-gold porphyry system in northern Ecuador provide useful context for the targets identified in the geophysical data from the Lost Cities – Cutucu Project. The images in Figure 1 show data from our newly identified Awacha Target compared with SolGold’s Cascabel Project after Reduction to the Pole (“RTP”) processing.
Statement: The data presented in SolGold’s NI 43-101 report from which the image presented in Figure 1B was taken have not been independently verified by Aurania.
Additional Data Supporting Geophysical Interpretation
Interpretation of satellite imagery that was completed months before the geophysics survey started, identified three possible intrusive centres or stocks within the same window of magnetic data shown in this press release (Figure 1A). Two of those interpreted intrusive centres coincide with areas of elevated magnetism that were identified as possible porphyry centres on the basis of the magnetic data alone. The fact that these areas were identified as possible porphyries from two completely different data sets elevates their status in ranking targets for more detailed follow-up exploration.
The final report on the geophysical survey is expected in mid-December and details of additional targets will be press released as their merits are evaluated. Stream sediment sampling is in progress by the reconnaissance exploration teams, and will be reported as results become available. Experienced geologists are leading teams dedicated to the more detailed exploration of identified targets. The aim is to have multiple targets ready for initial scout-drilling in mid-2018.
The heliborne survey contract was undertaken by MPX Geophysics Ltd. (“MPX”), a Markham, Ontario-based company, using an Ecuadorian helicopter and local pilots. Jeremy S. Brett, a Senior Geophysical Consultant with MPH Consulting Limited of Toronto, was retained by Aurania to undertake QA/QC verification of the airborne survey data, every few days as it was collected, and to assist with its interpretation.
The technical information contained in this press release has been verified and approved by Jean-Paul Pallier, MSc. and Jeremy S. Brett, MSc. Mr. Pallier is a designated EurGeol by the European Federation of Geologists and Mr. Brett is designated a P.Geo. through his registration with the Association of Professional Geoscientists of Ontario. Both Messrs Pallier and Brett are Qualified Persons as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators.
Aurania is a junior exploration mining company engaged in the identification, evaluation, acquisition and exploration of mineral property interests, with a focus on precious metals and copper. Its flagship asset, The Lost Cities – Cutucu Project, is located in the Jurassic Metallogenic Belt in the eastern foothills of the Andes mountain range of southeastern Ecuador.
Information on Aurania and technical reports are available at www.aurania.com and www.sedar.com, as well as on Facebook at https://www.facebook.com/auranialtd/, Twitter at https://twitter.com/auranialtd, and LinkedIn at https://www.linkedin.com/company/aurania-resources-ltd-.
For further information, please contact:
|Dr. Richard Spencer
Aurania Resources Ltd.
Chief Financial Officer
Aurania Resources Ltd.
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This news release contains forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Aurania. Forward-looking statements include estimates and statements that describe Aurania’s future plans, objectives or goals, including words to the effect that Aurania or its management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to Aurania, Aurania provides no assurance that actual results will meet management’s expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward-looking information in this news release includes, but is not limited to, Aurania’s corporate objectives, goals or future plans, statements, exploration results, potential mineralization, the corporation’s portfolio, treasury, management team and enhanced capital markets profile, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, regulatory, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate certain indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in Aurania’s public documents filed on SEDAR. Although Aurania believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Aurania disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.