Aurion Resources Ltd.
TSX VENTURE : AU

Aurion Resources Ltd.

February 29, 2016 11:41 ET

Aurion and B2Gold Report Positive Preliminary Metallurgy at Kutuvuoma

ST. JOHN'S, NEWFOUNDLAND--(Marketwired - Feb. 29, 2016) - Aurion Resources Ltd. ("Aurion") (TSX VENTURE:AU) and its partner B2Gold Corp. (TSX:BTO)(NYSE MKT:BTG)(NAMIBIAN:B2G); ("B2Gold") are pleased to report the results of a first-pass metallurgical test program at the Kutuvuoma gold project in Northern Finland.

Summary

The metallurgical tests were undertaken to examine the response of two composite surface trench samples to various processes for the concentration and recovery of the contained gold and to get a general view of the project metallurgy. The response of the samples to whole ore cyanide leaching and to concentration by froth flotation and gravity separation was examined at by SGS Canada Inc. at their Lakefield Ontario laboratory.

The samples responded well to all of the processes tested, with gold recoveries by a combination of methods in excess of 98% for both samples, including 80-84% recovery by gravity method alone. The material tested indicates the two areas tested would not require any treatment out of the ordinary. A much more extensive program would be required as the project develops.

It is important to note that these surface samples were variably oxidized and are a small sample set and thus there may be significant variability within the Kutuvuoma system and within fresh rock. As such these results are considered preliminary.

Methodology and Results

Two sets of saw-cut channel samples collected from two individual trenches (T2 and K15-02) were blended to prepare two composites for testing. The head analysis of the two composites, as determined by various assay methods and metallurgical processes, are listed in Table 1 below. The gold head analysis of the Trench T2 sample varied widely but the Trench K15-02 sample had very consistent head values. Later testing of the Trench T2 by gravity separation demonstrated that the sample contained large grains of free gold 1 to 2 millimetres in size, which would explain the range of gold head analysis observed.

Table 1. Head Grades of Composite Samples from the Kutuvuoma T2 and K15-02 Trenches
Head Determination Method Unit T2 K15-02 Method
Average of Three 30-gram Fire Assays g/t 1.58 5.99 Fire Assay
500-gram Screened Metallics Assay g/t 1.94 6.11 Fire Assay
1-kg Bottle Roll Leach Test (average of two) g/t 3.10 6.05 Metallurgical
2-kg Flotation Test g/t 2.47 6.41 Metallurgical
20-kg Gravity + CN Leach g/t 3.42 6.35 Metallurgical
50 gram Fire Assay (Labtium Oy) g/t 4.56 6.48 Fire Assay

The response of the two samples to various metallurgical processes was examined in a brief test program. The samples were tested by whole ore cyanide leaching, froth flotation, and gravity separation. The concentrate and tailings produced during these tests were also cyanide leached to further aid in the characterization of the two trench composites. The results of these tests are summarized in Table 2 below.

Table 2. Kutuvuoma Trench Samples - Gold Recovery by Process
T2 K15-02
Process Gold Extraction (%) Final Residue Assay (g/t) Gold Extraction (%) Final Residue Assay (g/t)
Whole Ore Cyanidation 96.9 0.11 98.6 0.04
Whole Ore Carbon-in- Leach 98.5 0.09 98.6 0.08
Rougher Flotation only (30 minutes) 96.0 0.11 96.7 0.26
Rougher Flotation plus Tail CN Leach 98.5 0.04 99.4 0.04
Rougher Flotation plus Conc & Tail CN 96.3 0.08 98.8 0.07
Gravity Separation only 83.7 0.56 79.6 1.30
Gravity Separation plus Tail CN Leach 98.7 0.04 98.9 0.07
Gravity Separation plus Conc & Tail CN 98.5 0.05 98.6 0.08

The metallurgy testing was fully funded and directed by B2Gold Corp. ("B2Gold"), under an agreement whereby B2Gold can earn up to an undivided 75% interest from Aurion in a project area of approximately 25,000 hectares in Northern Finland by completing $15 million in exploration expenditures, a positive feasibility study and issuing 550,000 B2Gold shares (see Aurion news release of January 20, 2016 for details). Fieldwork focused primarily on the high grade Kutuvuoma and Ahvenjarvi gold projects, and comprised mechanical trenching, geological mapping, prospecting, surface geochemical sampling and metallurgical testing.

Quality Assurance and Quality Control

The samples were cut with a diamond blade saw, bagged, tagged, crated and shipped by FEDEX to SGS Laboratory in Lakefield, Ontario. The head grades of the Kutuvuoma samples were analysed for gold using procedures 705P (Detection Limit - 0.005 gold; Upper Limit - 100.00 g/t gold) - 50g fire assay with AAS finish. Multi-element analysis was completed using procedure 511. This procedure detected 31 elements by aqua regia acid digestion, HCl leach followed by ICP-OES and ICP-MS analysis. Labtium is a Finnish, accredited, certified laboratory group. They are monitored by an internal QAQC program and include the inclusion of blank material, duplicates and certified reference material.

Qualified Person

Mike Basha, P.Eng., P.Geo., Aurion's President and CEO, is a Qualified Person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects and has approved the technical disclosure and verified the technical information in this news release.

Forward-Looking Statement

Certain statements contained in this release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could", "intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Companies' current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. The forward-looking information contained in this release is made as of the date hereof and Aurion is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

On behalf of the Board,

Mike Basha,

President & CEO

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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