Aurelian Resources Inc.
TSX VENTURE : ARU

Aurelian Resources Inc.

December 15, 2006 10:10 ET

Aurelian Intersects 260.45 Metres at 6.59 g/t Gold and 248.60 Metres at 3.09 g/t of Gold in Drilling at FDN

TORONTO, ONTARIO--(CCNMatthews - Dec. 15, 2006) - Aurelian Resources Inc. (TSX VENTURE:ARU) today announced results from seven additional drill holes from the buried epithermal gold-silver discovery at Fruta Del Norte (FDN) on its wholly-owned Condor Project in south-eastern Ecuador. These include a 260.45 metre interval grading 6.59 g/t Au (2.25 g/t Au using a 105 g/t top cut) and 6.6 g/t Ag in drill hole CP-06-83, and a 248.6 metre interval grading 3.09 g/t gold (Au) and 11.7 g/t silver (Ag) in drill hole CP-06-85. A number of bonanza grade epithermal veins were intercepted in both these holes including 1.70 metres grading 763.15 g/t Au and 216.9 g/t Ag (CP-06-83), 5.02 metres grading 43.14 g/t Au and 54.3 g/t Ag (CP-06-85), and 2.07 metres grading 50.67 g/t Au and 199.6 g/t Ag (CP-06-85).

Maps, cross sections, photos and full gold and silver assay data from this and previous press releases may be viewed at www.aurelian.ca.

"These latest results give the FDN deposit a strike length of at least one kilometre and prove the system continues strongly beneath the sandstone cover to the south", says Aurelian President & CEO Patrick F. N. Anderson. "The intersection of bonanza grade veins at the south end of the system is extremely exciting. The vein textures and correlation between the drill holes indicates they will have continuity along strike and down dip".

Results are summarized in the tables below. Intervals containing high grade assays have been re-calculated usingg a geostatistical top cut of 105 g/t gold.



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Uncut data
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Cross From To Interval
section Drill hole (metres) (metres) (metres) Au g/t Ag g/t
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CP-06-83 379.20 639.65 260.45 6.59 6.6
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Including 476.20 477.20 1.00 75.20 33.3
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And 624.88 626.58 1.70 763.15 216.9
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9582900N CP-06-85 374.40 623.00 248.60 3.09 11.7
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Including 421.00 435.00 14.00 21.10 26.4
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And 615.81 617.88 2.07 50.67 199.6
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CP-06-85 649.80 651.05 1.25 20.50 26.8
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CP-06-78 345.60 362.15 16.55 4.04 5.9
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CP-06-78 391.88 528.40 136.52 1.73 10.3
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9583000N CP-06-78 548.92 602.58 53.66 1.26 9.5
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CP-06-80 hole not completed due to technical problems
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CP-06-81 379.60 397.60 18.00 1.11 1.3
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CP-06-81 416.60 534.60 118.00 1.56 1.4
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9583100N CP-06-77 no significant mineralization
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9583800N CP-06-75 157.32 174.30 16.98 5.39 10.2
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Note: intervals are calculated using a lower cut of 0.5g/t Au and
no top cut, they include a maximum of 5m internal waste.
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CP-06-83 intervals using 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
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CP-06-83 379.20 639.65 260.45 2.25 6.6
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9582900N Including 476.20 477.20 1.00 75.20 33.3
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And 624.88 626.58 1.70 96.95 216.9
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Note: intervals are calculated using a lower cut of 0.5g/t Au and
a 105g/t Au top cut, they include a maximum of 5m internal waste.
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CP-06-75 (azimuth 088/dip -46) was drilled on line 9583800N, from the same drill pad as, but at a shallower angle than, hole CP-06-69. Beneath 159 metres of Suarez Formation conglomerate, the hole intersected strong epithermal veining in silicified andesites which continued to 269 metres, before passing into altered but un-mineralized andesite to the end of the hole at 372.90 metres. The best intercept in the mineralized zone assayed 16.98 metres grading 5.39 g/t Au and 10.2 g/t Ag.

CP-06-77 (azimuth 088/dip -84) was drilled on section 9583100N to test the fault block west of the FDN mineralization. The hole intersected 383 metres of basin fill conglomerate (Suarez Formation) before entering a zone of propyliticaly altered andesite that continued to the end of hole at 691.89 metres. No significant mineralization was encountered.

CP-06-78 (azimuth 091/dip -60) was located on section 9583000N, directly south of CP-06-74. The hole traversed Hollin and Suarez Formation cover rocks to a depth of 388 metres. Within the Suarez Formation, from 345 to 362m, a zone of intense silicification was intersected assaying 16.55m @ 4.04g/t Au. Epithermal stockwork and crackle brecciation style mineralization in silicified andesite was encountered immediately bellow the conglomerates. The best interval in this hole assayed 136.52 metres grading 1.73 g/t Au and 10.3 g/t Ag.

CP-06-80 was also drilled on line 9583000N, but was stopped in Suarez Formation conglomerates at 202 metres due to technical problems. The hole was not sampled.

Drill hole CP-06-81 (azimuth 091/dip -67) was drilled on section 9583000N, collared from the same pad as CP-06-78 and 80. The hole encountered strongly silicified and mineralized andesite below 361 metres of Suarez Formation. After 488 metres the occurrence and size of veining perceptibly declines and the hole was ended at 540.56 m. The best interval in this hole assayed 118 metres grading 1.56 g/t gold and 1.4g/t silver.

In drill holes CP-06-83 (azimuth 90/dip -60) and CP-06-85 (azimuth 91/dip -59) on section 9582900N, the FDN system is characterized by a number of large, banded, very high grade veins within a broad zone of epithermal stockwork and brecciation. Using a top cut of 105g/t Au and a lower cut of 0.5 g/t Au, the mineralized interval in drill hole CP-06-83 assays 260.45m @ 2.25 g/t Au. Without the top cut, the interval assays 260.45m @ 6.59g/t Au, but it should be noted that the average grade of this interval is carried by a bonanza grade epithermal vein that assays 1.70m @ 763.15 g/t Au and 216.9 g/t Ag. These large epithermal veins are finely banded, colloform-crustiform quartz-manganese carbonate-sulphide veins with significant quantities of visible gold. Other bonanza grade assays from the veins are shown in the table below. The veins are estimated to have true widths of between 70 and 90% of the reported down hole lengths.



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Banded epithermal veins in CP-06-83 and 85 (no top cut)
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Cross From To Interval Correlation
section Drill hole (m) (m) (m) Au g/t Ag g/t interpretation
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CP-06-83 476.20 477.20 1.00 75.20 33.3 Vein 1
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CP-06-83 624.88 626.58 1.70 763.15 216.9 Vein 2
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9582900N CP-06-85 426.78 431.80 5.02 43.14 54.3 Vein 1
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CP-06-85 526.53 529.02 2.49 4.71 8.9 Vein 2
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CP-06-85 615.81 617.88 2.07 50.67 199.6 Vein 3
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Drill holes with assays pending or in progress include CP-06-87 which was also drilled on section 9582900N and has intersected similar stockwork and banded epithermal vein mineralization as CP-06-83 and 85.

On section 9582800N, drill hole CP-06-90 is in progress and has intersected significant epithermal stockwork veining and brecciation with visible gold immediately below the Suarez Formation conglomerates. At depth the hole has intersected a large banded epithermal vein interpreted to be Vein 1.

Another 800m further south on line 9582000N, drill hole CP-06-91 is testing the southern continuation of the FDN system (south of the Hollin sandstone hill) and the recent interpretation that part of the system may diverge from the Bonza-Las Penas epithermal deposit. Encouragingly, the drill hole has intersected a zone of vuggy silicification within the conglomerate interpreted to be caused by hydrothermal fluids. The hole has yet to reach the underlying volcanics.

Infill drilling in support of a 43-101 compliant mineral resource estimate is also progressing on the FDN deposit, with drill hole CP-06-89 completed on section 9583200N (assays pending) and CP-06-92 in progress on section 9583600N. Both holes are designed to extend the mineralization down-dip to the west and both have intersected broad zones of epithermal stockwork veining and brecciation with visible gold.

Las Arenas

Results have now been received from four of the five diamond drill holes completed at the Las Arenas arsenic-antimony soil geochemistry target, located approximately 3 kilometres south of FDN. Holes CP-06-76, CP-06-79, CP-06-82 and CP-06-84 intercepted Misahualli andesites buried under Suarez Formation conglomerates within the same pull-apart basin that hosts the FDN deposit. The andesites displayed weak to moderate silicification and propylitic alteration, but lacked the characteristic epithermal textures seen at FDN. No significant mineralization was encountered in these drill holes. Assay results for the remaining hole at Las Arenas, CP-06-86, are still pending.

The Las Arenas scout drilling tested only a small portion of the approximately seven by three kilometre pull-apart basin that hosts the FDN deposit. The bulk of the basin remains unexplored and the company believes the structure continues to hold promise for new discoveries.

Summary

Thirty-eight diamond drill holes have been completed at the FDN prospect to date. The present and previous press releases describe the results from thirty-three of these holes, as well as four of the five holes drilled at Las Arenas. Further drill results will be released as analytical data are received, validated and compiled.

The FDN target is interpreted to be an intermediate sulphidation epithermal gold-silver system. The deposit is buried by dominantly post-mineralization basin infill sediments (Suarez Formation) of Jurassic age within a pull-apart basin. The hydrothermal system is characterized by a combination of multiphase quartz-carbonate-sulphide stock work veining and hydrothermal brecciation within intensely silicified andesitic volcanic rocks that underlie the basin. In the southern part of FDN (south of 9583500N), the system is interpreted to dip moderately to steeply westward with a vertical structure bounding it to the east, and is cut by a steep east-dipping fault to the west. At the north end of the system (including and north of line 9583500N), the vein orientations and correlation of mineralization between drill holes indicates that the system is vertical. This makes the true width of the system between 45% and 60% of the down hole intervals reported in this press release.

Samples consist of half 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 ICPAES or gravimetric finish at the ALS Chemex Vancouver Laboratory. A slightly different method is used for very high grade gold samples, including the high grade sample (1100g/t Au) in drill hole CP-06-83, which was assayed using the metallic screen fire method and a second high-grade gold sample (819.64 g/t Au) from drill hole CP-06-83 which was split, prepared and assayed at the SGS Lakefield laboratory in Lakefield, Ontario using the metallic screen fire assay method. 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 laboratories to verify gold and silver analyses. The remaining half core is retained on site for verification and reference purposes.

Stephen Leary (MAusIMM), Aurelian's Exploration Manager, is acting as 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 VENTURE:ARU) junior resource company engaged in the business of exploring, discovering and developing mineral wealth in Ecuador. The Fruta del Norte discovery lies at the heart of the Condor Project properties, located in south-eastern Ecuador and consisting of 38 mining concessions totaling approximately 95,000 hectares.

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 mineralization 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.

THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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