Aurelian Resources Inc.
TSX : ARU

Aurelian Resources Inc.

November 29, 2007 08:55 ET

Aurelian Intersects 216.6 Metres Grading 12.85 g/t of Gold at FDN With Infill Drilling; 13.5 Metres Grading 16.86 g/t of Gold in Step-Out Drilling to the South

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2007) - Aurelian Resources Inc. (TSX:ARU) today announced additional drill results at the Fruta Del Norte ("FDN") deposit, discovered last year in its Condor Project in southeastern Ecuador. The results are for step-out holes designed to test the southern and northern extensions of FDN as well as infill holes in the central high grade part of the system on 50 m spaced sections.

The results from the infill holes include 216.6 metres grading 12.85 g/t of gold ("Au") and 10.5 g/t of silver ("Ag") in CP-07-152 on section 9583350N and 140.45 metres grading 16.91 g/t of Au and 14.8 g/t of Ag in CP-07-151 on section 9583450N. In step-out drilling to the south, CP-07-158, the first hole drilled on section 9582500N, assayed 13.50 metres @ 16.86 g/t of Au and 27.4 g/t of Ag, thereby extending the mineralization for a further 100 m.

As of October, calculations at the FDN deposit returned an initial inferred mineral resource of 58.9 million tonnes grading 7.23 g/t of gold and 11.8 g/t of silver for 13.7 million ounces of contained gold and 22.4 million ounces of contained silver, determined at a cut off grade of 2.3 g/t gold-equivalent (ARU PR 4/10/2007). The results reported in this release were not included in that calculation.

"Our results on the 50 m infill sections validate the recently released inferred resource estimate, which was completed using drill sections spaced 100 m apart. They illustrate the robust nature of the epithermal system and its continuity," says Patrick F.N. Anderson, Aurelian's President and CEO.

"Moving FDN toward production is one of three main value catalysts we are pursuing," Mr. Anderson adds. "We are also targeting an accord with Ecuador's government to develop FDN. The government has shown itself to be highly motivated to move the best mining projects forward in a timely manner and under a structure that will create a long-term, sustainable mining industry. Thirdly, we are actively drilling regional gold targets on the rest of our large land position. Each of these initiatives is led by an expert team in production, lobbying or exploration."

FDN Results

Mineralized intercepts (uncut and cut) from eight recent FDN drill holes are tabulated below followed by brief descriptions of each hole. Beginning with this press release, Aurelian will report intercepts calculated with the 2.3 g/t Au Eq lower cut used in the inferred resource estimate (ARU PR, 4/10/2007); this cut off is used in the description of results in the following text (unless otherwise stated). Tables showing drill intersections composited using the lower cut (0.5 g/t Au) of all previous press releases are presented for comparison. Maps, cross sections, photos, gold and silver assay data from this and previous press releases may be viewed at www.aurelian.ca.



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Uncut data, 2.3 g/t Au Eq(i) lower cut
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Cross From To Interval
section Drill hole (metres) (metres) (metres) Au g/t Ag g/t Au Eq(i)
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9582500N CP-07-158 439.30 452.80 13.50 16.86 27.4 17.30
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9582700N CP-07-152 508.80 524.60 15.80 4.42 4.7 4.49
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9583350N CP-07-162(ii) 199.40 416.00 216.60 12.85 10.5 13.02
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including 334.15 371.10 36.95 45.38 16.0 45.63
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9583450N CP-07-151 175.90 196.65 20.75 5.05 13.3 5.27
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CP-07-151 212.70 353.15 140.45 16.91 14.8 17.15
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including 226.70 272.00 45.30 37.43 18.1 37.72
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CP-07-151 549.90 559.50 9.60 17.61 930.7 32.65
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including 553.49 558.50 5.01 31.70 1495.4 55.86
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CP-07-157 187.20 289.00 101.80 8.89 13.7 9.11
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including 213.71 229.84 16.13 15.71 10.2 15.87
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and 278.65 287.95 9.30 19.01 27.3 19.45
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CP-07-157 307.40 308.37 0.97 51.40 52.6 52.25
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CP-07-157 433.40 435.85 2.45 11.82 32.8 12.35
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CP-07-157 471.55 473.06 1.51 15.59 614.0 25.51
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CP-07-161 149.88 206.61 56.73 3.28 5.6 3.37
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CP-07-161 242.32 244.40 2.08 28.69 30.7 29.19
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9583800N CP-07-149 466.75 475.55 8.80 2.69 3.5 2.75
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CP-07-154 526.65 527.65 1.00 44.30 34.1 44.85
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CP-07-154 544.43 545.40 0.97 33.70 40.4 34.35
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Note: intervals are calculated using a lower cut of 2.3 g/t Au Eq and no
top cut, they include up to 6m of internal waste.
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Intervals with a 2.3 g/t Au Eq(i) lower cut and a top cut of 105g/t Au
and 97 g/t Ag
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Cross From To Interval
section Drill hole (metres) (metres) (metres) Au g/t Ag g/t Au Eq(i)
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9583350N CP-07-162(ii) 199.40 416.00 216.60 11.82 10.5 11.99
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9583450N CP-07-151 212.70 353.15 140.45 15.50 14.8 15.74
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CP-07-151 549.90 559.50 9.60 17.61 97.0 19.18
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CP-07-157 187.20 289.00 101.80 8.89 13.6 9.11
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CP-07-157 471.55 473.06 1.51 15.59 97.0 17.16
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Note: intervals are calculated using a lower cut of 2.3 g/t Au Eq and a 105
g/t Au and 97 g/t Ag top cut, they include up to 6m of internal waste.
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Uncut data, 0.5 g/t Au lower cut
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Cross From To Interval
section Drill hole (metres) (metres) (metres) Au g/t Ag g/t
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9582500N CP-07-158 434.43 467.75 33.32 7.23 15.3
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CP-07-158 516.9 533.1 15.45 1.02 3.7
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CP-07-158 540.1 576.8 36.7 0.96 5.2
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9582700N CP-07-152 415 424.3 9.3 1.36 6.6
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CP-07-152 442.9 448.9 6 1.67 14.2
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CP-07-152 456.15 569.9 113.75 1.56 3.5
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CP-07-152 577.1 617.55 39.45 1.46 1.1
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9583350N CP-07-162(ii) 194.33 417.2 214.02 12.60 10.4
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including 334.15 371.10 36.95 45.38 16.0
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9583450N CP-07-151 173.9 373.05 199.15 12.62 13.1
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including 226.70 272.00 45.30 37.43 18.1
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CP-07-151 549.9 575.8 25.9 6.80 367.0
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including 553.49 558.50 5.01 31.70 1495.4
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CP-07-157 187.2 290 102.8 8.81 13.8
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including 213.71 229.84 16.13 15.71 10.2
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and 278.65 287.95 9.30 19.01 27.3
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CP-07-157 301.58 358.61 56.53 1.74 6.7
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CP-07-157 433.4 435.85 2.45 11.82 32.8
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CP-07-157 471.55 473.06 1.51 15.59 614.0
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CP-07-161 149.88 216.56 66.68 2.85 5.3
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CP-07-161 235.8 248.2 12.4 5.28 7.2
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9583800N CP-07-149 464.75 506 41.25 1.11 2.5
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CP-07-154 436.05 534.65 98.6 1.50 2.4
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CP-07-154 542.65 548.06 5.41 6.91 9.8
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Note: intervals are calculated using a lower cut of 0.5 g/t Au and no top
cut, they include a maximum of 5m internal waste.
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--------------------------------------------------------------------------
Intervals with a 0.5 g/t Au lower cut and a top cut of 105g/t Au
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Cross From To Interval
section Drill hole (metres) (metres) (metres) Au g/t Ag g/t
--------------------------------------------------------------------------
9583450N CP-07-151 173.9 373.05 199.15 11.63 13.1
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9583350N CP-07-162(ii) 194.33 417.2 214.02 11.60 10.4
--------------------------------------------------------------------------

Note: intervals are calculated using a lower cut of 0.5 g/t Au and a 105
g/t Au top cut, they include a maximum of 5m internal waste.
--------------------------------------------------------------------------


(i) Au equivalent grade was calculated on the basis of US$550/oz Au, US$10/oz Ag, 90% Au recovery, 80% Ag recovery which combine for an Au Eq ratio of 61.9 grams Ag equals 1 gram Au.

(ii) CP-07-162 is a geotechnical drill hole from which seven samples were taken from the mineralised interval for geotechnical test-work. These samples have not yet been assayed, but should not materially change the grade of the calculated interval as they represent only 3% of its length.

Step-out hole CP-07-158 (azimuth 90/dip -65) extends the southern end of FDN to section 9582500N, 100m south of previously reported results. Although the hole indicates the system is narrowing to the south, it intersected a zone of intense epithermal quartz stockwork that assayed 13.50 m @ 16.86 g/t Au and 27.4 g/t Ag.

A scissor hole (CP-07-152, azimuth 275/dip -75) tested the western edge of the system on section 9582700N. The hole passed through a broad zone of low grade mineralisation which included 15.80 m @ 4.42 g/t Au and 4.7 g/t Ag before hitting the fault that bounds the system to the west.

The first drilling on the 50 m infill sections was particularly successful, with holes on sections 9583350N and 9583450N showing excellent correspondence with the predictions of the block model. Scissor hole CP-07-162 (azimuth 265/dip -56) intersected a broad zone of epithermal stockwork and brecciation on infill section 9583350N that assays 12.85 g/t of Au and 10.5 g/t of Ag over 216.60 m. This interval includes 36.95 m @ 45.38 g/t of Au and 16.0 g/t of Ag from 334.15 to 371.10 m.

Three holes were completed on infill section 9583450N. CP-07-157
(azimuth 89/dip -55) intersected 101.80 m @ 8.89 g/t of Au and 13.7 g/t of Ag, CP-07-161 (azimuth 87/dip -43) intersected 56.73 m @ 3.28 g/t of Au and 5.6 g/t of Ag and CP-07-151 (azimuth 88/dip -65) intersected 140.45 m @ 16.91 g/t of Au and 14.8 g/t of Ag within the mineralized volume of the resource estimate. Hole CP-07-151 also discovered a mineralized vein zone east of and below this volume which assayed 17.61 g/t of Au and 930.7 g/t of Ag over 9.60 m.

Drill holes CP-07-149 (azimuth 91/dip -58) and CP-07-154 (azimuth 90/dip -55) tested the system at depth on section 9583800N near its northern limit. CP-07-149 intersected 8.8 m @ 2.69 g/t of Au and 3.5 g/t of Ag within a broader zone of lower grade mineralisation (41.25 m @ 1.11 g/t of Au and 2.5 g/t of Ag at a 0.5 g/t of Au lower cut). CP-07-154 intersected two narrow high grade veins (1 m @ 44.3 g/t of Au and 33.1 g/t of Ag; 0.97m @ 33.7 g/t of Au and 40.4 g/t of Ag) within the broad zone of lower grade mineralisation (98.6 m @ 1.50 g/t of Au and 2.4 g/t of Ag at a 0.5 g/t of Au lower cut).

Holes CP-07-148, 153, 156 and 159 were drilled for geotechnical information to aid development planning outside the FDN deposit envelope. No visible mineralization was encountered and these holes have not been sampled for assaying.

Drill holes CP-07-150, 155 and 160 were drilled at the Papaya prospect 700 m north of the northern end of FDN. The results will be released when all data has been received, validated and compiled.

With the results reported here, data for 100 diamond drill holes at FDN have been released, only 85 of which were complete and included in the initial inferred resource released in October. Infill drilling at FDN and exploration drilling on additional targets is ongoing with six drills currently operating on the property. Results for current and future drill holes will be released as analytical data are received, validated and compiled.

The FDN deposit is hosted by intensely silicified andesitic volcanic and intrusive rocks that are buried by clastic sedimentary rocks of the Suarez Formation of Jurassic age within a pull-apart basin. The hydrothermal system is characterized by multiphase quartz-carbonate-sulphide stock work veining and hydrothermal brecciation. FDN is interpreted to be an intermediate sulphidation epithermal gold-silver system that predates but is in part contemporaneous with infilling of the basin.

Drilling has outlined a mineralised envelope at FDN that is traceable continuously for over 1400 metres along strike, exceeds 100 metres in width through the central and southern portions, has a vertical extent of over 350m and dips moderately westward through to vertical with an eastern contact that dips steeply to the east south of 9583500N. Drill holes intersect this envelope at various angles and therefore drill hole intercept lengths reported in this and earlier press releases are not true widths. Inspection of drill cross sections allow the width of the mineralised envelope to be estimated visually.

Technical Information

Samples consist of half HQ, NQ, NTW and BTW-size diamond core that are split by diamond saw on site, prepared at the ALS Chemex laboratory in Quito, and assayed by 50g fire assay with an AAS or gravimetric finish at the ALS Chemex Lima Laboratory. The quality assurance-quality control (QA-QC) program of Aurelian includes the insertion of certified standards of known gold content every 20 samples, blanks at least every 20 samples and field or lab duplicates every 20 samples. Samples from significant drill intercepts are sent to two additional independent laboratories to verify gold and silver analyses. Metallic screen fire analyses for gold are also run regularly as an additional QA-QC check. The half core remaining after sampling is retained on site for verification and reference purposes.

Stephen Leary (MAusIMM), Aurelian's Exploration Manager, is the Qualified Person in compliance with National Instrument 43-101 with respect to this release. He has reviewed the contents for accuracy.

About Aurelian

Aurelian Resources Inc. is a publicly-listed (TSX:ARU) resource company engaged in the business of exploring, discovering and developing mineral wealth in Ecuador. The Fruta del Norte (FDN) discovery lies at the heart of the Condor Project properties, located in southeastern Ecuador and consisting of 38 mining concessions totalling approximately 95,000 hectares. The initial inferred resource for FDN was released in October 2007 and included 58.9 million tonnes grading 7.23 g/t gold and 11.8 g/t silver for 13.7 million ounces of contained gold and 22.4 million ounces of contained silver. Aurelian is committed to working with the government and people of Ecuador to achieve a modern, sustainable mining industry, which will play an important role in the future growth of the country. Visit www.aurelian.ca for more information.

Forward Looking Statement

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties. Without limitation, statements regarding potential mineralisation and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various degrees of risk. The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

Contact Information