|June 16, 2011|
Aura Silver Drilling Intersects Highly Sulphidized/ Silicified Zones at its Greyhound Project, NU
|Aura Silver Resources Inc. (TSX-V:AUU) ("Aura Silver" or the "Company") is pleased to release preliminary observations on its ongoing 4,000-metre drill program at its Greyhound property, Nunavut. This project is located 38 kilometres north of Baker Lake and 46 kilometres south of Agnico-Eagle Mines' Meadowbank mine. The drilling program is testing various targets for gold, silver and base metals where earlier surface sampling of rock float assayed up to 28.0 g/t gold and 5,300 g/t silver. In all, approximately 25 to 40 shallow holes will test both induced polarization (IP) geophysical anomalies and rock and soil geochemical targets. Several holes intersected broad zones of disseminated sulfide associated with strong silicification, each typically from 25 to 30 metres in core length. |
Locally, up to 2% arsenopyrite (a key indicator for gold), 4% sphalerite (zinc), minor chalcopyrite (copper) and traces of galena (lead, possibly associated with silver) have been recorded (all assays are pending). These observations indicate that the recent drill holes could be proximal to the sources of high grade gold and silver-bearing surface samples collected in 2010. The drill program is continuing to target the most anomalous areas south of Aura Lake.
In addition, the recently completed Max-Min geophysical survey, two kilometres east-northeast of Aura Lake, indicates a set of distinctly conductive zones, coincident with moderate intensity Megatem(tm) airborne geophysical conductors and soil geochemical anomalies. These occurrences are just west of distinctly altered felsic outcrops, and are the potential source of the high-grade sulfide boulders (9.2% Cu, 18.5% Zn) found in 2008 near the Meadowbank Road, about 1.4 kilometres to the west.
Aura Silver anticipates several additional holes will be drilled in these two areas prior to a mandated break at the end of June. We expect that assays will be completed shortly.
Further, in the northeastern section of the Company's extensive claim group, 25 km to the northeast of Aura Lake, over 40 km of ground geophysical surveys were recently completed covering 5 km strike length of banded iron formation. Reconnaissance sampling late last season discovered mineralized (sulphidized) iron formation assaying up to 4.0 g/t gold. Drilling in this area will commence in early August.
CEO Robert Boaz stated, "Preliminary observations of the core from the current drilling program are encouraging. While assays are pending, the rocks exhibit all the favourable characteristics of host rocks to gold and silver deposits including silica flooding and the presence of sulphides."
Further drilling continues to test the broad geophysical zone defined by IP and soil geochemistry.
Dr. James M. Franklin, P. Geo. is Aura Silver's qualified person (as defined by National Instrument 43-101) and has reviewed and approved the scientific and technical information in this press release.
About Aura Silver
Aura Silver is a TSX Venture listed company engaged in the acquisition, exploration and development of precious metal prospects in Canada (100% owned Greyhound project) and in Oaxaca, Mexico at the Taviche project. Aura Silver has 87,853,590 common shares outstanding.
For further information regarding this financing contact: Robert Boaz, President and CEO at (905) 403-8010 or by e-mail at email@example.com. Aura Silver's web site is located at www.aurasilver.com.
This press release may contain forward looking statements that are made as of the date hereof and are based on current expectations, forecasts and assumptions which involve risks and uncertainties associated with our business including the uncertainty as to whether further exploration will result in the target(s) being delineated as a mineral resource, capital expenditures, operating costs, mineral resources, recovery rates, grades and prices, estimated goals, expansion and growth of the business and operations, the private placement financing activities of the Company, plans and references to the Company's future successes with its business and the economic environment in which the business operates. All such statements are made pursuant to the 'safe harbour' provisions of, and are intended to be forward-looking statements under, applicable Canadian securities legislation. Any statements contained herein that are statements of historical facts may be deemed to be forward-looking statements. By their nature, forward-looking statements require us to make assumptions and are subject to inherent risks and uncertainties. We caution readers of this news release not to place undue reliance on our forward-looking statements as a number of factors could cause actual results or conditions to differ materially from current expectations. Please refer to the risks set forth in the Company's most recent annual MD&A and the Company's continuous disclosure documents that can be found on SEDAR at www.sedar.com. Aura Silver does not intend, and disclaims any obligation, except as required by law, to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.
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