Aurelian Resources Inc.
TSX : ARU

Aurelian Resources Inc.

May 02, 2007 09:14 ET

Aurelian Intersects 88.99 Metres at 6.90 g/t Gold in Drilling at FDN

TORONTO, ONTARIO--(CCNMatthews - May 2, 2007) - Aurelian Resources Inc. (TSX: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 an eastward step out on line 9583200N with an 88.99 metre interval grading 6.90 g/t gold (Au) and 7.9 g/t silver (Ag) in drill hole CP-07-105, a scissor hole on section 9583300N with a 208.29 metre interval grading 6.27g/t Au and 10.6 g/t Ag in drill hole CP-07-107 and an infill hole on line 9583100N with a 189.70 metre interval grading 2.56 g/t Au and 7.8 g/t Ag in drill hole CP-07-103A.

A table containing more complete intercepts from the seven drill holes is listed below while maps, cross sections, photos and full gold and silver assay data from this and previous press releases may be viewed at www.aurelian.ca.

"FDN continues to deliver remarkable results from both infill and step-out drilling," says Aurelian President & CEO Patrick F.N. Anderson. "Results to the south indicate that the deposit is trending more to the east than originally thought and we have adjusted our drill program accordingly. Our current drilling program is designed to satisfy the data requirements for our initial inferred resource, which should be available mid-summer."

FDN Results

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




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Uncut data
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Cross Drill hole From To Interval Au Ag Comment
section (metres) (metres) (metres) g/t g/t
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9582600N CP-07-99 553.10 588.20 35.10 1.80 0.8
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including 553.60 569.30 15.70 3.28 0.9
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CP-07-104 423.70 648.50 224.80 2.06 5.8
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9582700N including 472.42 487.20 14.78 6.78 8.8
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and
including 594.70 604.60 9.9 9.24 5.6
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CP-07-102 523.30 549.55 26.25 3.63 1.9
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CP-07-102 555.55 564.50 8.95 2.24 1.7
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9582900N CP-07-102 573.50 587.60 14.10 2.21 1.2
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CP-07-102 594.60 633.25 38.65 1.56 1.1
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CP-07-102 645.85 652.60 6.75 1.10 0.9
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CP-07-102 690.65 699.52 8.87 1.27 1.8
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Epithermal
CP-07-103A 295.10 295.95 0.85 25.80 6.4 clast in
9583100N conglomerate
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CP-07-103A 304.20 493.90 189.70 2.56 7.8
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CP-07-105 219.77 308.76 88.99 6.90 7.9
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including 224.15 246.48 22.33 21.13 15.6
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CP-07-105 324.24 344.18 19.94 3.20 10.2
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Banded
including 327.56 328.27 0.71 57.00 45.9 epithermal
vein
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CP-07-105 351.00 362.73 11.73 1.46 9.8
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CP-07-105 372.50 389.48 16.98 4.87 8.1
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9583200N including 383.32 385.00 1.68 37.36 18.8
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CP-07-105 446.60 501.40 54.80 2.01 7.7
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including 447.50 450.63 3.13 18.34 16.5
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CP-07-106 443.00 537.60 94.60 2.19 2.8
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including 461.73 477.20 15.47 8.62 4.6
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CP-07-106 545.60 561.80 16.20 2.33 3.5
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CP-07-106 570.50 574.50 4.00 0.63 3.4
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CP-07-106 580.70 585.70 5.00 1.31 5.6
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CP-07-107 239.25 253.25 14.00 0.45 1.9
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9583300N CP-07-107 265.25 473.54 208.29 6.27 10.6
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including 287.20 325.30 38.10 8.83 7.3
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and
including 394.80 436.60 41.80 12.04 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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Intervals with a top cut of 105g/t Au
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Cross Drill From To Interval Au Ag
section hole (metres) (metres) (metres) g/t g/t
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9583300N CP-07-107 265.25 473.54 208.29 5.85 10.6
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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-07-99 (azimuth 090/dip -65) was drilled on section 9582600N, testing the southern extent of the system near the west fault. The drill hole intersected 35 metres of epithermal stockwork veining, assaying 1.80 g/t Au and 0.8 g/t Ag. It is interpreted that the system strikes in a SSE direction at the southern end, diverging eastward away from the West fault. A series of eastward step-out holes is planned to try and intercept the main body of mineralization on this section.

A similar eastward step-out hole on 9582700N (CP-07-104; azimuth 091/dip -66) successfully intersected a broad zone epithermal stockwork veining, with intercepts of 14.78 m assaying 6.78 g/t Au and 8.8 g/t Ag, and 9.9 m assaying 9.24 g/t Au and 5.6 g/t Ag, both within a wider interval of 224.80 m assaying 2.06 g/t Au and 5.8 g/t Ag. Continued step-out drilling to the east is underway on this section.

Drill hole CP-07-103A (azimuth 091/dip -63) was drilled as an infill hole on section 9583100N. The drill hole intersected epithermal stockwork veining in andesite at a depth of 304m immediately below the Suarez conglomerates, east of the previous intercept in hole CP-06-74. The interval in CP-07-103A assayed 189.70 m @ 2.56 g/t Au and 7.8 g/t Ag.

CP-07-102 (azimuth 089/dip -64/section 9582900N) and CP-07-106 (azimuth 090/dip -65/section 9583200N) both successfully tested the FDN system at depth (down dip) below previous mineralized intercepts. Both holes intersected epithermal stockwork veining with 26.25 m @ 3.63 g/t Au and 1.9 g/t Ag being the best interval from CP-07-102 and 94.60 m @ 2.19 g/t Au and 2.8 g/t Ag the best interval from CP-07-106, which includes 15.46 m @ 8.62 g/t Au and 4.6 g/t.

Drill hole CP-07-105 (azimuth 091/dip -64) was drilled on section 9583200N to test the up-dip and eastern extension of the system on this line. The hole passed through 220 metres of Suarez conglomerates before passing through 4 metres of sinter overprinted by a wider zone of intense epithermal silicification with associated brecciation and veining. The best interval assayed 22.33 m @ 21.13 g/t Au and 15.6 g/t Ag within a broader interval that assayed 88.99 m @ 6.90 g/t Au and 7.9 g/t Ag. Additional mineralization was intersected at depth, with the most significant interval being 16.98 m @ 4.87 g/t Au and 8.1 g/t Ag. Of note from this hole is the fact that mineralization appears to extend east of the east fault.

CP-07-107 (azimuth 0271/dip -60) is a scissor hole on section 9583300N and intersected a broad zone of epithermal mineralization assaying 208.29 metres @ 6.27 g/t Au and 10.6 g/t Ag including 41.80 m @ 12.04 g/t Au and 10.2 g/t Ag. The intercept confirms the geometry and intensity of mineralization previously intersected on section 9583300N.

Results from fifty three diamond drill holes have been released for the FDN prospect to date. 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 section 9583500N) the vein orientations and correlation of mineralization between drill holes indicates that the system is vertical.

Drilling at the FDN deposit has outlined a mineralized envelope that is traceable continuously for over 1200 metres along strike, exceeds 100 metres in width through the central portion, dips moderately westward through to vertical and has a vertical extent of over 250 metres. Drill holes intersect this envelope at an angle and therefore drill hole intercept widths reported in this press release are not true widths. The deposit remains open at depth and to the south. Both the infill and step out drilling programs continue to expand the size of the deposit. Independent experts Dr. Richard Sillitoe and B. Terrence Hennessey have confirmed that the orientation of Aurelian's drill holes is optimal for the FDN deposit. The NI 43-101 compliant mineral resource estimate that will be calculated by Micon International will be based on the dimensions of the overall mineralized envelope and the complete database of assay results.

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 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 laboratories to verify gold and silver analyses. Metallic screen fire analyses for Au are also regularly run as additional QA-QC checks. The remaining half core is retained 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:ARU) 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.

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