montanar
16 years ago
Kinross to buy Aurelian in C$1.2 bln friendly deal
Thu Jul 24, 2008 7:29am EDT
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TORONTO, July 24 (Reuters) - Kinross Gold Corp (K.TO: Quote, Profile, Research, Stock Buzz) said on Thursday it planned to buy Aurelian Resources Inc (ARU.TO: Quote, Profile, Research, Stock Buzz) in a friendly deal worth C$1.2 billion ($1.19 billion), giving the Canadian mid-tier gold miner ownership of the Fruta del Norte discovery in south-eastern Ecuador.
Kinross said it would offer Aurelian shareholders 0.317 of a Kinross common share, plus 0.1429 of a warrant, valuing it at C$8.20 per Aurelian common share. This is a 63 percent premium over the 20-day volume-weighted average price of Aurelian common shares.
The deal will add a major gold deposit to Kinross's development portfolio, the companies said.
The Fruta del Norte deposit is the most significant discovery within Aurelian's Condor Project, part of more than 95,000 hectares of exploration concessions that Aurelian holds in Ecuador.
"This particular combination creates value for both Aurelian and Kinross shareholders, and provides a strong partner for local employees and communities in Ecuador to develop this asset in a responsible manner, which will generate significant economic benefits for the country," Tye Burt, Kinross president and chief executive, said in a release.
Aurelian's board recommended that Aurelian shareholders tender their shares, and the directors and senior officers of Aurelian have entered into lock-up agreements with Kinross and have agreed to tender all of their Aurelian common shares to the offer.
The proposed deal is subject to a break fee of C$42 million. ($1=$1.01 Canadian) (Reporting by Jennifer Kwan; Editing by Scott Anderson)
veteran98
17 years ago
Ecuador May Be Worth a Punt
By Ben Abelson
22 Apr 2008 at 03:50 PM GMT-04:00
http://www.resourceinvestor.com/pebble.asp?relid=42145
SEATTLE (ResourceInvestor.com) -- The recent announcement by the Ecuadorian government of a dramatic revamping of mining policy has left investors in the country scrambling to dump shares of miners remotely affiliated with the developing South American nation.
While the language in the recent mining mandate is far from positive, it stops well short of outright nationalization. The new mandate calls for a 180-day suspension of all mining activities until a new mining code can be approved, and a limit of three concessions to any given mining company.
Investors would do well to be concerned by these new regulations. But, that being said, as any investor involved in developing nations knows, the risks of outright nationalization of mining projects is often well overblown. Beyond the disaster called Venezuela, government scares in Turkey, Mongolia, Eritrea and others over the past few years have created tremendously profitable opportunities for risk-seeking investors.
Witness the share price of Aurelian Resources [TSX:ARU], for one, which owns rights to one of the largest undeveloped gold deposits in the world. Worth more than C$10/share just days ago, Aurelian’s shares have sunk to as low as C$4 in the past few days on concern over its ownership stakes.
Aurelian’s FDN deposit contains some 13.7 million ounces of inferred gold – and Aurelian’s stake is worth only about C$500 million at today’s share prices. Even if one factors in the Ecuadorian government taking a very large ownership stake in this project upwards of 50%, these numbers don’t make much sense.
The price obviously reflects uncertainty in the outcome in Ecuador, which is certainly binary in nature – either the deposit is confiscated, or Aurelian retains some reasonable ownership stake and builds it. There are many good reasons to believe the odds favour the latter.
Given that the new mining mandate was reportedly drafted by a small faction of legislators, and that the Aurelian had previously made reasonable progress in negotiating with the Ministry of Mines for a stability agreement, there appears to be a reasonable hope that logic will eventually succeed in Ecuador.
Logically speaking, Ecuador will need an experienced mining company involved to have any hope of profitably developing FDN to help the country. The Ministry of Mines understands the difficulty of developing a large-scale mine, has generally been supportive of Aurelian’s efforts, and will likely get involved in the process long before any nationalization takes place.
That’s not to say there aren’t likely to be massive delays in FDN’s development, and that the government isn’t likely to take a big cut. But even with these reasonable assumptions for an outcome in effect, the numbers simply don’t make a tonne of sense.
CIBC analyst Barry Cooper finds a fair value of FDN at $12/share, assuming gold prices of $1,000/ounce, that Aurelian trades at its NAV, that the government takes a 50% ownership stake, and that there is a 10% discount rate for the project. Given the political situation and resolutions to prior conflicts in developing markets, these don’t appear to be unreasonable expectations to price in.
While tremendous risk remains in Ecuador, the fact of the matter remains that this is not another Venezuela run by pseudo-socialist dictator. For investors with speculative risk-taking ability, the shares warrant a close look. The prize of FDN’s massive deposit is too potentially lucrative to both the government and investors that it doesn’t get built in some shape or form. With the massive haircut in Aurelian’s share price, it seems more likely than ever that some of the major gold miners experienced in such political uncertainty start taking a very close look at the firm.
The same is true for other up and coming Ecuadorian developers, particularly Dynasty Metals & Mining [TSX:DMM], which was close to developing several sizeable deposits in the country. While exploration firms also have been tremendously bruised, we’d prefer to speculate on the rebound of developing producers as the value of these firms has been more clearly defined, and these firms have a more involved history of working with the government on the permitting and development of their deposits.
Rocketred
17 years ago
2nd UPDATE: Ecuador's Assembly Revokes Mining Concessions
18:30 EDT Friday, April 18, 2008
(Updates with comments from mining undersecretary and Corriente Resources)
By Mercedes Alvaro
Of DOW JONES NEWSWIRES
QUITO -(Dow Jones)- Ecuador's Constituent Assembly on Friday froze mining activity in the Andean nation by revoking most current mining concessions, and by suspending the remainder.
The Assembly, which is acting as the nation's legislature, passed the mining sector decree with 95 votes of its 130 members.
The move is another step in the government's program to gain more control over natural resources. A majority of the members of the Assembly are allied with left-leaning President Rafael Correa.
The Assembly is also drafting a new constitution for Ecuador.
There are around 4,112 mining concessions in the exploration phase in Ecuador, 590 in early development and 1,500 requests for new concessions.
"We have revoked around 80% of the mining concessions and have suspended the other 20%. We are recovering our natural resources. The concessions revoked will pass into the state's hands and in the future will be administrated by a new State Mining Corporation, which will be created soon," Betty Tola, a member of the government's Alianza Pais party, told Dow Jones Newswires.
Small mining concessions as well as the concessions for the mining of materials used in construction were excluded from the decree.
Assembly President Alberto Acosta called it "a historic day."
The Assembly decided to suspended the concessions for 180 days, starting Friday.
Assembly members said the concessions have been terminated because of a lack of investment, the absence of environmental impact studies, tax issues, problems with local communities, or the location of the concessions inside national parks, among other reasons.
The decree doesn´t specify which concessions were suspended and which revoked. That work will be carried out by the Mining and Oil Ministry.
According to the Assembly's decree, each private company will be allowed to have only three concessions. "We cannot accept that only one of the biggest mining companies has 33 concessions, with 90,000 hectares. We are saving the biodiversity and we are stopping the depredation of our natural resources," said Ana Mosser, an Alianza Pais member of the Assembly.
Ian Harris, general manager of EcuaCorriente SA, a subsidiary of Corriente Resources Inc. (ETQ), said that affected companies or their shareholders could file lawsuits against Ecuador.
"This is a possibility for all companies' boards and for their shareholders," he said.
Harris said that on Thursday and Friday, Aurelian Resources Inc. (ARU.T) and Corriente Resources "lost $400 million in stock market capitalization" brought about by a drop in their stock prices. "These resources could be invested in Ecuador," he said. "The country is losing the opportunity to capture investments."
Mining Undersecretary Jose Serrano told Dow Jones Newswires the ministry will begin work on the definition of the concessions that will be revoked and those that will be suspended for 180 days.
In January, the government revoked 587 mining concessions of local and foreign companies.
Local units of Corriente Resources, Aurelian Resources Inc., International Minerals Corp. (IMZ.T) and IamGold Corp. (IAG), among others, have mining concessions in Ecuador.
Ecuador's mining chamber said in a press release that the Andean country will scare away investment that it estimates could be worth some $2.0 billion. According to the chamber, the country also will lose $1.7 billion in projected taxes.
Correa, who took office last year, is following a model developed by Venezuela's socialist president, Hugo Chavez, to take more state control of resources and to engineer a new constitution for the nation via the a constituent assembly. Correa's actions also have extended to the petroleum sector, where the government is changing participation contracts with private companies into service contracts.
-By Mercedes Alvaro, Dow Jones Newswires; 59-39-9728-653; mercedes.alvaro@ dowjones.com
(END) Dow Jones Newswires
04-18-08 1829ET
Copyright (c) 2008 Dow Jones & Company, Inc.
© Copyright Dow Jones
Tackler
17 years ago
Avalanche names Barron as adviser, grants option
2008-04-08 08:57 MT - News Release
Mr. Sandy MacDougall reports
AVALANCHE MINERALS ANNOUNCES APPOINTMENT OF ADVISOR
Dr. Keith Barron, co-founder of Aurelian Resources Inc. and recipient of the PDAC International Discovery Award, has entered into a consulting agreement for advisory services with Avalanche Minerals Ltd. Dr. Barron has worked in mineral exploration for more than 25 years, for a wide variety of commodities and on all the continents except Antarctica. He has consulted for both junior and senior companies, as well as investment houses, with an expertise in epithermal gold deposits. He has previously worked for Gold Fields Mining, Battle Mountain Mining and Santa Fe Pacific Gold. Dr. Barron is co-founder of Aurelian Resources and founder of U3O8 Corp. He holds a PhD in geology from the University of Western Ontario and has written numerous scholarly works, as well as general mining interest articles for trade publications.
Dr. Barron's role will include lending his geological expertise as Avalanche advances its Ecuadorian and Colombian projects. Dr. Barron's experience dealing with industry and government officials will be welcomed by Avalanche. Avalanche has also granted Dr. Barron 400,000 incentive stock options as announced in it's news release in Stockwatch of April 3, 2008.
Avalanche's president, Sandy MacDougall, commented: "We are extremely fortunate to have a person of Keith's credentials join our team. His experience in South America will greatly benefit the company as we advance our projects in Ecuador and Colombia."
Tackler
17 years ago
On January 24th /08 CIBC World Markets analyst Barry Cooper initiated coverage on Aurelian Resources.
Company Profile
Aurelian Resources Inc. (TSX: ARU) focused on their wholly-owned Condor Project, consisting of approximately 95,000 hectares in south-eastern Ecuador. Fruta del Norte (FDN), their flagship epithermal gold-silver deposit, was discovered in April 2006 and has a NI 43-101 compliant initial inferred resource of 13.7 million ounces of gold (58.9 million tonnes grading 7.23 g/t gold.
Event
In a note entitled “Scarcity Has A Price And It’s Higher Than Here” Cooper explains the reasons behind his Sector Outperform – Speculative rating and $20.00 target.
Takeaways From The Event
Cooper’s investment thesis is as follows “Aurelian holds the rights to a very large
profitable gold deposit in an era where there are few similarities. We think that there will be the potential for multiple bidders for the company as gold producers have outgrown Mother Nature's supply capabilities.”
Cooper believes that one of the main characteristics of the Fruta Del Norte (FDN) deposit is its high grades. He estimates that 35% of the ounces grade more than one-half ounce per ton. With initial underground costs for the operations in its first years estimated to be less than $150/oz, discounted cash flow analysis (11%if considering only an underground operation) or 13% for a more valuable underground/open pit combination) indicate that the company trades at 1x NPV using $800/oz gold (valuation includes royalties of 4%).
With Ecuador currently in the midst of assessing new mining laws which will be incorporated into constitutional reform, mining laws are scheduled to be determined before mid year thereby removing much of the political uncertainty (regarding royalties and profit sharing between Aurelian and the Ecuador government) overhanging the stock.
Cooper expects that initial mining at FDN is going to be based on a method known as long hole mining, which is similar to the extraction method used at the Hemlo camp in Canada. He estimates a mining rate of approximately 4,000 tonnes/day initially rising to 12,000 tonnes/day if the operation remains an underground mine.
Since there is no commercial power supply in the surrounding area of FDN, Aurelian has proposed using a nearby river to support power generation. This could possibly keep electricity costs “well below world averages and more importantly build goodwill if extra capacity were made available to local users.”
Cooper estimates $500 million in capital expenditures to build the mine.
Lastly, Cooper writes “with average production growth of major gold producers rising about 70% in the period 1996-02 versus flat to declining since then, the need for more deposits has never been more critical. [He] think[s] that Newmont’s announcement of its inability to replace reserves in 2007 is an omen of things to come for the industry. Companies have exceeded the production capacity that can be provided by both Mother Nature and social obstacles that exist in today’s environment.” With that as a backdrop, he believes the odds are high for Aurelian to be acquired. Furthermore, “Regardless of the probability of unfavorable political events, [Cooper is] convinced the market will apply some discount to Ecuadorian assets. Evidence of the discount is in the current Aurelian share price. But quantifying the right discount is difficult and [he] also knows that political discounts will ebb and flow with general market sentiment. What [he is] more convinced of is that the longer the bull market for gold continues, the more the discount will shrink due to the scarcity factor of the deposit.”
Upcoming Catalysts
1. Drill results will continue to be released and Cooper expects a combination of in-fill information and newly found ounces should corroborate the prior high-grade data.
2. Resolution of mining law is scheduled to be addressed by mid-year which should remove much of the uncertainty about economic participation by Aurelian and the government.
3. A resource update incorporating new drill data is expected to be released in the first half of the year. It is possible that some of the mineralization will move up a category in certainty and there could also be additions to the total ounces contained in the deposit.
4. Scoping studies on the deposit are being worked on with completion later in the year. Cooper thinks he has built in reasonably conservative estimates for mine construction in the present environment of rising costs.
5. He also thinks that clarity is likely to breed corporate interest in Aurelian and suspects that a bid for the shares will come within the 12-18 month investment timeframe.
Valuation and Price Target
On an Enterprise value (EV) per ounce in the ground basis (which is one of the most common valuations methods utilized for early stage development projects but also ignores capital costs, operating costs and recovery costs from ounces in nature to ounces for sale), Aurelian’s “shares sit near the median of simplistic EV/ounce calculations although at almost 50% below the average. When additional economic parameters are considered however, (as ounces are not created equally) [Cooper] believe[s] that FDN is not deserving of a discount that is this high.”
On a Total Acquisition Cost (TAC) basis, Cooper’s evaluation implies “that a takeover bid could be supported by paying a price of $184/oz. for the recovered resources at Aurelian with no value for upside.” This would equate to $17.83/share but the difficulty with this approach is that “for every $50/oz. move in the gold price there is an implied change in the ARU share price of $3.” The suitability of the TAC method lies in its ability to account for recoveries, capex and operating costs and then interweaving
the enterprise value to give a more comparable number on a per ounce basis.
On a discounted (10%) cash flow basis, “Aurelian is trading at a P/NAV of 0.7x compared to peers trading at 0.8x using the lower discount rate (of 5%).”
Cooper has envisaged a number of different valuations methods for Aurelian and he believes that “in the absence of political discounts [he] see[s] the share price being supported at prices above $15/sh.”
Investment Risks
Without limitation, some of the risks associated with Aurelian include, Cooper’s assumption for the gold price to average $1,000/oz in 2009, the expectation that Aurelian is acquired in the next 12-18 months, reserve and resource risks, development risk, country risk (including changes in mining law and government regulations) and economic risk, etc.
Lone Clone
17 years ago
Geography, politics chill Aurelian takeover allure
ANDY HOFFMAN
00:00 EDT Thursday, July 19, 2007
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
It is the proud owner of what is widely acknowledged as the greatest gold discovery of the decade. It is part of an industry undergoing rapid consolidation due to buoyant metal prices and a willingness by major producers to pay up for large deposits. Its shares rocketed up almost 13 per cent yesterday after it unveiled more positive drilling results.
So why is Aurelian Resources Inc. still here and not yet swallowed up in the takeover boom?
The answer, it seems, is geography and politics. Aurelian's Fruta del Norte gold and silver discovery, which analysts estimate could contain between 10 million and 16 million ounces of gold, is in Ecuador. The South American country has yet to unveil a new mining policy, and uncertainty about the intentions of its recently elected leftist President Rafael Correa are a millstone around Aurelian's potential fortunes.
"It is all about politics," Patrick Anderson, chief executive officer of the Toronto-based company, conceded in an interview yesterday.
All of the world's major gold producers are understood to have sized up Aurelian and mulled a potential takeover bid for the miner, which has a market value of $1.1-billion. Its stock has risen 80 per cent over the past year, and more than 2,300 per cent over three years. Aurelian has signed so-called confidentiality agreements with more than a dozen parties, Mr. Anderson said. But the company, which first began drilling the Fruta Del Norte deposit in April, 2006, has no firm offers so far and is not currently in discussions with any potential suitors.
An executive at one major gold producer said Aurelian's Ecuador holdings, the "Condor project," are some of the best undeveloped gold mining assets in the world. "We've been on site. We've had a look, and it is a bona fide discovery. It's real. This is not a Bre-X."
Despite a severe shortage of new gold discoveries and a desperate desire to add to gold reserves, the source said his company's board is unwilling to bid for assets it may not have full control over.
The gold majors want to avoid the political waiting game bedevilling Toronto's Crystallex International Corp., which is trying to develop its Las Cristinas mine in Venezuela but has waited roughly three years for a final government permit to allow mining to begin.
Mr. Anderson said Ecuador is nothing like Venezuela, and that Aurelian has had positive and constructive discussions with government officials.
"They've stated over and over again that they will respect contracts under the law as they stand. We've asked the minister of mines point blank, 'do you intend nationalization?' [and he has said] 'no.' ... They need to create a thriving industry to diversify their economy," Mr. Anderson said.
A number of foreign mining companies, including Iamgold Corp. of Toronto and Dynasty Metals and Mining Inc. of Vancouver, are also developing projects in the country.
Mr. Anderson expects Ecuador to complete a new mining policy in 2008 that will include a government royalty on mining profits. He anticipates royalties will be similar to those levied in Peru and Chile.
AURELIAN RESOURCES
Close: $8.40, up 96¢
Lone Clone
17 years ago
Aurelian Intersects 172.70 Metres Grading 7.71 g/t of Gold in Infill Drilling and 158.64 Metres Grading 8.13 g/t of Gold at the Eastern Edge of FDN
08:50 EDT Wednesday, July 18, 2007
http://www.globeinvestor.com/servlet/WireFeedRedirect?cf=GlobeInvestor/config&vg=BigAdVariableGe...
TORONTO, ONTARIO--(CCNMatthews - July 18, 2007) - Aurelian Resources Inc. (TSX:ARU) today announced results from 10 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 172.70 metres grading 7.71 g/t of gold ("Au") and 8.2 g/t of silver ("Ag") in infill drill hole CP-07-130 and 158.64 metres grading 8.13 g/t Au and 11.3 g/t Ag in CP-07-126 at the eastern edge of the deposit. The drill holes are from sections 9583300N and 9583200N respectively.
"We've had good success in this most recent round of drilling. The results confirm the geometry and grade of known zones of FDN, while also adding new mineralisation at depth and to the east," says Patrick F.N. Anderson, Aurelian's President and CEO. "Drilling is now complete for the inferred resource estimate and once all the assays are in from the lab, our independent engineers, Micon International, will finalise their interpretation."
Mr. Anderson adds, "Drilling will continue at FDN as we build on the initial resource by targeting open areas of the deposit to the south, north and east. Meanwhile, a separate regional exploration team is continuing to drill at the El Tigre gold target and preparing other gold targets for drilling along strike from FDN."
A table containing more complete intercepts from the 10 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 Results
Results are summarized in the tables below. Intervals containing high grade assays have also been re-calculated using a top cut of 105 g/t of gold.
-------------------------------------------------------------------------
Uncut data
-------------------------------------------------------------------------
Cross Drill From To Interval
section hole (metres) (metres) (metres) Au g/t Ag g/t
-------------------------------------------------------------------------
9582700N CP-07-117 358.10 388.88 30.78 1.02 6.2
---------------------------------------------------------------
CP-07-117 397.88 589.44 (EOH) 191.56 1.84 11.9
-------------------------------------------------------------------------
CP-07-124 376.00 502.00 126.00 1.72 5.0
---------------------------------------------------------------
CP-07-124 513.64 538.00 24.36 2.70 6.1
---------------------------------------------------------------
CP-07-124 547.00 557.60 10.60 15.86 6.3
---------------------------------------------------------------
9582900N including 555.20 555.70 0.50 311.00 84.2
---------------------------------------------------------------
CP-07-124 563.71 611.00 47.29 15.19 12.6
---------------------------------------------------------------
including 563.71 564.85 1.14 59.90 70.6
---------------------------------------------------------------
and 591.20 591.60 0.40 1535.00 643.0
---------------------------------------------------------------
CP-07-124 619.00 625.50 (EOH) 6.50 5.05 59.0
-------------------------------------------------------------------------
CP-07-126 215.00 373.64 158.64 8.13 11.3
---------------------------------------------------------------
including 235.00 247.10 12.10 14.51 15.3
---------------------------------------------------------------
9583200N and 341.47 344.62 3.15 256.81 208.6
---------------------------------------------------------------
CP-07-126 566.12 568.12 2.00 22.40 19.2
---------------------------------------------------------------
CP-07-127 369.00 374.00 5.00 1.03 3.0
-------------------------------------------------------------------------
9583300N CP-07-130 250.00 422.70 172.70 7.71 8.2
---------------------------------------------------------------
including 252.00 293.40 41.40 22.32 11.2
-------------------------------------------------------------------------
CP-07-128A 425.80 503.80 78.00 2.73 31.8
---------------------------------------------------------------
9583400N including 453.10 489.10 36.00 4.68 49.6
---------------------------------------------------------------
CP-07-128A 551.60 595.40 43.80 0.96 21.3
-------------------------------------------------------------------------
9583500N CP-07-121 443.50 448.15 4.65 1.02 2.1
-------------------------------------------------------------------------
CP-07-120 150.70 423.50 272.80 5.79 8.0
---------------------------------------------------------------
including 239.79 256.80 17.01 11.18 9.8
---------------------------------------------------------------
9583600N and 269.35 308.60 39.25 8.06 8.0
---------------------------------------------------------------
and 318.50 332.05 13.55 21.26 17.9
---------------------------------------------------------------
and 356.50 368.00 11.50 22.88 15.1
-------------------------------------------------------------------------
9583700N CP-07-123 No significant intercepts
-------------------------------------------------------------------------
9583900N CP-07-122 No significant intercepts
-------------------------------------------------------------------------
Note: intervals are calculated using a lower cut of 0.5 g/t Au and no top
cut, they include a maximum of 5 metres internal waste.
-------------------------------------------------------------------------
-------------------------------------------------------------------------
Intervals with a top cut of 105g/t Au
-------------------------------------------------------------------------
Cross Drill From To Interval
section hole (metres) (metres) (metres) Au g/t Ag g/t
-------------------------------------------------------------------------
9582900N CP-07-124 547.00 557.60 10.60 6.14 6.3
---------------------------------------------------------------
CP-07-124 563.71 611.00 47.29 3.10 12.6
-------------------------------------------------------------------------
9583200N CP-07-126 215.00 373.64 158.64 4.75 11.3
-------------------------------------------------------------------------
9583300N CP-07-130 250.00 422.70 172.70 7.53 8.2
-------------------------------------------------------------------------
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 5 metres internal waste.
-------------------------------------------------------------------------
CP-07-117 (azimuth 095/dip -65) was drilled on section 9582700N to test the south-southeast trend of the system towards the Bonza-Las Penas epithermal deposit 500 metres further south. The drill hole intersected quartz sinter buried below the Suarez formation sediments at 350 metres before drilling into a well-developed epithermal stockwork assaying 30.78 metres at 1.02 g/t Au and 6.2 g/t Ag, followed by 191.56 metres at 1.84 g/t Au and 11.9 g/t Ag to end of hole at 589.44 metres.
On section 9582900N, infill drill hole CP-07-124 (azimuth 95/dip -62) intersected epithermal stockwork veining and narrow veins. The initial zone of stockwork was a 126 metre interval assaying 1.72 g/t Au, followed at depth by less intense stockwork and narrow veins, but containing some significant visible gold. Assays from this zone include 0.4 metres grading 1535 g/t Au and 643 g/t Ag from stockwork veining and 0.5 metres grading 311 g/t Au and 84.2 g/t Ag and 1.14 metres grading 59.90 g/t Au and 70.6 g/t Ag from narrow-banded epithermal veins.
Two holes have been completed on section 9583200N, with CP-07-126 (azimuth 90/dip -58) intersecting a zone of intense epithermal mineralisation at 215 metres below the Suarez formation sediments. Mineralisation weakened down hole but still returned 158.64 metres at 8.13 g/t Au and 11.3 g/t Ag, including 12.10 metres at 14.51 g/t Au and 15.3 g/t Ag and a narrow high grade vein assaying 3.15 metres at 256.81 g/t Au and 208.6 g/t Ag. The intercept is east of previously released drill holes on this section.
Further east again, drill hole CP-07-127 (azimuth 90/dip -58) intersected only weak mineralisation, with best assays of 5.00 metres at 1.03 g/t Au and 3.0 g/t Ag.
CP-07-130 (azimuth 88/dip -54) was drilled as an infill hole on section 9583300N but was also angled to test the eastern extent of the system. The hole intersected very intense stockwork veining, returning 172.70 metres at 7.71 g/t Au and 8.2 g/t Ag, with the upper part including an interval assaying 41.40 metres at 22.32 g/t Au and 11.2 g/t Ag.
Further north on section 9583400N, hole CP-07-128A (azimuth 100/dip -61) was completed to test the system at depth. The hole successfully intersected epithermal stockwork veining below previous drilling. The best interval assayed 78 metres at 2.73 g/t Au and 31.8 g/t Ag which includes 36 metres at 4.68 g/t Au and 49.6 g/t Ag.
From the same drill platform drill hole CP-07-121 was angled north (azimuth 76/dip -66) to test the system at depth on section 9583500N. The hole dropped significantly from the collar orientation, resulting in the hole intersecting the system below where it is truncated by the west fault. The best intercept returned was 4.65 metres at 1.02 g/t Au and 2.1 g/t Ag.
A scissor hole CP-07-120 (azimuth 270/dip -75) was completed on section 9583600N and was designed to help define where the system intersects the west fault. The drill hole intersected the top of the mineralised FDN block at 150.70 metres down hole and stayed in mineralisation until hitting the west fault at 423.50 metres, the interval assaying 272.80 metres at 5.79 g/t Au and 8.0 g/t Ag.
Two holes were completed at the north end of the FDN deposit to close off the system to the east for the upcoming resource modeling. Holes CP-07-123 (azimuth 91/dip -50) and CP-07-122 (azimuth 90/dip -50) were drilled on sections 9583700N and 9583900N respectively. Both holes intersected only weak, low grade mineralisation without significant assays, as anticipated.
Results from 74 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-mineralisation 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.
Drilling at the FDN deposit has outlined a mineralised envelope that is traceable continuously for over 1200 metres along strike, exceeds 100 metres in width through the central and southern portions, 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.
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 gold 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. 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.
FOR FURTHER INFORMATION PLEASE CONTACT:
Aurelian Resources Inc.
Patrick F. N. Anderson
President & CEO
(416) 868-9100
Email: pfnanderson@aurelian.ca
or
Aurelian Resources Inc.
Marla Gale
Investor Relations
(416) 868-9100
Email: mgale@aurelian.ca
Website: www.aurelian.ca
Tackler
17 years ago
Post says manager likes Aurelian despite political risk
2007-07-17 06:06 MT - In the News
The Financial Post reports in its Tuesday edition that Robert Decker, managing partner in Aurion Capital Management, likes Aurelian Resources ($7.32). The Post's Sonita Horvitch, writing in Buy & Sell, says Mr. Decker, Craig MacAdam and Greg Taylor look after Aurion's Canadian equity portfolio. Aurelian is a Toronto-based company that has a market cap of $1.2-billion and represents 1 per cent of the portfolio. The company holds the Cordillera del Condor gold prospect, made up of 95,464 hectares in Ecuador. Cordillera del Condor is an early-stage mining project but it has huge potential, says Mr. Taylor. The stock trades at a discount to its peers on "the perceived sovereign risk, but we consider that this discount is unwarranted." Aurelian will be coming out with a reserve estimate shortly, he says, "and the political situation in the country should be resolved." The three managers have been taking money out of higher beta (more volatile) stocks and those with higher valuations and putting the proceeds into less volatile stocks that trade at lower valuations. They have been reducing their bank and base metals holdings and adding to their gold weightings, with some emphasis on the juniors.
Rocketred
17 years ago
Aurelian Resources 4:1 share split
2007-07-06 19:23 ET - Share Split
Shares issued 133,242,460
ARU Close 2007-07-05 C$ 28.61
TSX bulletin 2007-0963
The common shares of the company will be posted for trading at the open on Tuesday, July 10, 2007, on a 4:1 split basis. The subdivision will be effected by issuing on or about July 13, 2007, to holders of common shares of record as of the close on Thursday, July 12, 2007, a certificate representing three additional common shares for each common share held as of such record date.
The common shares will commence trading on an ex distribution basis on the Toronto Stock Exchange at the open on Tuesday, July 10, 2007, and on any transactions on or after this date, delivery may be made covering only one-quarter of the common shares sold, with the balance of such transactions being on a when-issued basis, delivery to be completed when the additional common shares have been received by the registered shareholders.
Lone Clone
17 years ago
Aurelian Intersects 72.83 Metres Grading 7.63 g/t Gold and 78.00 Metres Grading 5.26 g/t Gold in Drilling at FDN
Wednesday June 6, 9:10 am ET
http://biz.yahoo.com/ccn/070606/200706060395400001.html?.v=1
TORONTO, ONTARIO--(CCNMatthews - June 6, 2007) - Aurelian Resources Inc. (TSX:ARU - News) today announced results from 11 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 72.83 metres grading 7.63 g/t gold ("Au") and 15.3 g/t silver ("Ag") in CP-07-110 and 78.00 metres grading 5.26 g/t Au and 5.6 g/t Ag in CP-07-112. Both drill holes have added significant mineralisation, bringing the deposit closer to the surface on sections 9583700N and 9583500N respectively. In the northern portion of the deposit on section 9583800N, infill hole CP-07-119 intercepted 82.90 metres grading 4.11 g/t Au and 7.8 g/t Ag.
On section 9583700 N, scissor hole CP-07-114 intersected 77.70 metres grading 6.26 g/t Au and 15.3 g/t Ag and further down in the same hole there is an intercept of 190.85 metres grading 6.09 g/t Au and 7.5 g/t Ag.
At the south end of the FDN system, drill hole CP-07-116A intersected 147.70 metres grading 2.37 g/t Au and 6.6 g/t Ag followed by 89.70 metres grading 3.27 g/t Au and 12.6 g/t Ag, in an area where the mineralisation has spread over a horizontal width of approximately 300 metres.
"FDN continues to expand based on excellent results from our infill and step-out drilling," says Patrick F.N. Anderson, Aurelian's President and CEO. "Work on our Condor project carries on unabated and Aurelian has become the largest employer in the local area, with more than 200 personnel on-site. We expect the environment in Ecuador to continue to be favourable for business as the government develops and then finalizes its mining policy and laws. We anticipate any new policy or laws to be based on the framework the Ministry of Energy and Mines released publicly in March - no nationalization, possible introduction of a royalty similar to those seen in Chile and Peru and respect for the environment and local communities. 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."
Mr. Anderson adds, "We are within several weeks of completing the drilling to be included in our 43-101 resource, which should result in release of the report summary in mid-summer along with metallurgical studies."
A table containing more complete intercepts from the 11 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 Results
Results are summarized in the tables below. Intervals containing high grade assays have also been re-calculated using a top cut of 105 g/t gold.
---------------------------------------------------------------------------
Uncut data
---------------------------------------------------------------------------
Cross Drill hole From To Interval
section (metres) (metres) (metres) Au g/t Ag g/t
---------------------------------------------------------------------------
9582600N CP-07-108 No significant assays
---------------------------------------------------------------------------
CP-07-116A 405.50 553.20 147.70 2.37 6.6
--------------------------------------------------------------
including 453.65 472.40 18.75 4.19 5.4
--------------------------------------------------------------
9582700N CP-07-116A 560.00 649.70 89.70 3.27 12.6
--------------------------------------------------------------
including 593.20 607.60 14.40 10.54 31.9
--------------------------------------------------------------
which includes 593.20 593.50 0.30 304.00 688.0
---------------------------------------------------------------------------
CP-07-109 604.10 656.62 52.52 2.18 1.3
--------------------------------------------------------------
9582800N including 617.15 626.00 8.85 7.56 4.2
--------------------------------------------------------------
CP-07-109 663.34 693.00 29.66 1.03 2.0
--------------------------------------------------------------
CP-07-109 740.20 743.20 3.00 4.96 5.0
---------------------------------------------------------------------------
CP-07-118 317.79 403.00 85.21 2.94 5.5
--------------------------------------------------------------
including 338.10 360.60 22.50 8.60 6.5
--------------------------------------------------------------
which includes 359.00 359.57 0.57 199.50 54.5
--------------------------------------------------------------
9583000N CP-07-118 451.00 557.00 106.00 1.38 7.8
--------------------------------------------------------------
including 472.00 474.00 2.00 33.50 47.6
--------------------------------------------------------------
CP-07-118 618.00 646.91 28.91 1.80 8.9
--------------------------------------------------------------
including 629.50 630.50 1.00 34.10 113.0
---------------------------------------------------------------------------
9583400N CP-07-113 289.00 431.50 142.50 4.70 10.4
--------------------------------------------------------------
including 290.35 317.52 27.17 9.84 11.4
---------------------------------------------------------------------------
CP-07-112 164.30 242.30 78.00 5.26 5.6
--------------------------------------------------------------
9583500N including 164.30 216.00 51.70 7.26 7.2
--------------------------------------------------------------
CP-07-115 141.00 169.60 28.60 1.10 5.4
---------------------------------------------------------------------------
CP-07-110 112.35 185.18 72.83 7.63 15.3
--------------------------------------------------------------
including 151.57 184.18 32.61 14.33 21.6
--------------------------------------------------------------
CP-07-111 228.13 239.00 10.87 1.43 4.9
--------------------------------------------------------------
9583700N CP-07-114 144.00 221.70 77.70 6.26 15.3
--------------------------------------------------------------
including 158.80 201.60 42.80 9.69 17.6
--------------------------------------------------------------
CP-07-114 244.50 435.35 190.85 6.09 7.5
--------------------------------------------------------------
including 288.96 345.73 56.77 10.73 10.6
--------------------------------------------------------------
and including 397.90 425.90 28.00 10.18 12.2
---------------------------------------------------------------------------
9583800N CP-07-119 156.70 239.60 82.90 4.11 7.8
--------------------------------------------------------------
including 202.65 209.80 7.15 17.54 17.0
---------------------------------------------------------------------------
Note: intervals are calculated using a lower cut of 0.5 g/t Au and no top
cut, they include a maximum of 5 metres internal waste.
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Intervals with a top cut of 105g/t Au
---------------------------------------------------------------------------
Cross Drill hole From To Interval
section (metres) (metres) (metres) Au g/t Ag g/t
---------------------------------------------------------------------------
9582700N CP-07-116A 560.00 649.70 89.70 2.61 12.57
---------------------------------------------------------------------------
9583000N CP-07-118 317.79 403.00 85.21 2.31 5.52
---------------------------------------------------------------------------
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 five metres internal waste.
---------------------------------------------------------------------------
CP-07-108 (azimuth 090/dip -76) was drilled on section 9582600N to test the down faulted western block to the west of CP-07-99 (PR May 2, 2007). The hole did not intersect significant mineralisation.
On section 9582700N, CP-07-116A (Azimuth 91/dip -65) intersected a broad zone of epithermal stockwork veining and narrow veins returning best intercepts of 147.70 metres grading 2.37 g/t Au and 6.6 g/t Ag and 89.70 metres grading 3.27 g/t Au and 12.6 g/t Ag. The hole is part of a five-hole fence drilled to test the southern part of the system. The results and geological core logging indicate that the system is broadening to the south and is up to 300 metres wide on this section.
Drill hole CP-07-109 (azimuth 90/dip - 63) was drilled on section 9582800N and tested the area west and down dip of previously reported holes CP-06-90 and -94 (PR January 31, 2007 / March 27, 2007). The hole intersected dispersed epithermal stockwork veining between approximately 600 metres and 700 metres down hole, with the best intersection assaying 52.52 metres at 2.18 g/t Au and 1.3 g/t Ag, including 8.85 metres at 7.56 g/t Au and 4.2 g/t Ag.
An eastward step-out hole on 9583000N (CP-07-118; azimuth 089/dip -60) successfully intersected several broad zones of epithermal stockwork veining, including an intercept of 22.50 metres assaying 8.60 g/t Au and 6.5 g/t Ag within a wider interval of 85.21 metres assaying 2.94 g/t Au and 5.5 g/t Ag. This hole confirms the eastward broadening of the FDN mineralisation to the south, beginning at around 9583000N.
CP-07-113 (azimuth 0269/dip -60) is a second scissor hole on section 9583400N and intersected a broad zone of epithermal brecciation and veining with visible gold. The hole assayed 142.50 metres at 4.70 g/t Au and 10.4 g/t Ag, including 27.17 metres at 9.84 g/t Au and 11.4 g/t Ag. The hole went through a lower grade zone on section 9583400N but confirms the geometry and intensity of mineralisation previously intersected on this section.
Drill hole CP-07-112 (azimuth 090/dip -52) was drilled to test the extent of mineralisation on section 9583500N, up-dip of CP-06-60 (PR July 7, 2006). The drill hole intersected approximately 80 metres of epithermal stockwork veining, adding additional cross-sectional area to the eastern part of the FDN block on this section. The best interval in CP-07-112 assayed 78.00 metres at 5.26 g/t Au and 5.6 g/t Ag.
Also on section 9583500N, CP-07-115 (azimuth 090/dip -52) tested the FDN system further up-dip of CP-07-112. The hole intersected a zone of epithermal stockwork veining assaying 28.60 metres at 1.10 g/t Au and 5.4 g/t Ag. This hole and other recently drilled in a similar location on other sections show that a small internal fault has stepped the mineralisation down to the west by approximately 50 metres. This has added a significant volume of mineralisation.
Several holes were drilled on section 9583700N, including two shallower holes (CP-07-110 and -111) to test the area eastward and up-dip of CP-06-65 and -67 (PR September 14, 2006 / October 18, 2006). Hole CP-07-110 (azimuth 090/dip -59) intersected epithermal breccia, stockwork and veining with the best intercept assaying 72.83 metres at 7.63 g/t Au and 15.3 g/t Ag. Hole CP-07-111 (azimuth 089/dip -50) was drilled from the same drill pad but at a shallower angle. This hole also intersected epithermal stockwork and veining, but with weaker gold mineralisation. The best intercept assayed 10.87 metres at 1.43 g/t Au and 4.9 g/t Ag.
Also on section 9583700N, hole CP-07-114 (azimuth 270/dip -80) was drilled as a scissor hole to test the mineralisation at depth. Drilled down dip, the hole encountered a very intense zone of epithermal brecciation, stockwork and veining, with significant intervals including 77.70 metres grading 6.26 g/t Au and 15.3 g/t Ag followed by 190.85 metres grading 6.09 g/t Au and 7.5 g/t Ag. As this was a scissor hole, the intercept does not represent a true width, although it does demonstrate the continuity of mineralisation over 250 vertical metres on this section.
Drill hole CP-07-119 (azimuth 091/dip -55) was an infill hole on section 9583800N between holes CP-06-69 and -75 (PR October 18, 2006 / December 15, 2006). The hole intersected a broad zone of epithermal brecciation and veining, with the best intercept assaying 82.90 metres at 4.11 g/t Au and 7.8 g/t Ag.
Results from 64 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-mineralisation 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 mineralisation between drill holes indicates that the system is vertical. South of 9583000N the system broadens into a zone of epithermal stockwork and larger veins that is up to 300 metres in horizontal width. In this part of the system the main upflow zone is interpreted to have moved from west to east.
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 and southern portions, 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.
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 - News) 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 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:
Patrick F. N. Anderson
Aurelian Resources Inc.
President & CEO
(416) 868-9100
Email: pfnanderson@aurelian.ca
Marla Gale
Aurelian Resources Inc.
Investor Relations
(416) 868-9100
Email: mgale@aurelian.ca
Website: www.aurelian.ca
Source: Aurelian Resources Inc.
Lone Clone
17 years ago
Aurelian Seeks Shareholder Approval for Stock Split
Monday May 28, 8:15 am ET
http://biz.yahoo.com/ccn/070528/200705280393253001.html?.v=1
TORONTO, ONTARIO--(CCNMatthews - May 28, 2007) - Aurelian Resources Inc. (TSX:ARU - News) today announced that it is seeking shareholder approval for a four-for-one split of its common shares. Shareholders will vote on the proposal at Aurelian's annual and special meeting, scheduled for June 20th.
"The proposed split should bring our share price below $10, allowing for broader participation in ARU stock and, ultimately, resulting in enhanced liquidity and an expanded shareholder base," says Patrick F.N. Anderson, Aurelian's President & CEO. "We appreciate the market's enthusiastic reaction to our gold discovery in Ecuador and the resulting increase in the value our shares over the past year. Our goal is to make ARU stock easily accessible once again to individual investors."
Currently, Aurelian has 33.3 million shares outstanding. Upon implementation of the stock split, this number will increase to 133.2 million shares.
About Aurelian:
Aurelian Resources Inc. is a publicly-listed (TSX:ARU - News) 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. See 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 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.
Contact:
Patrick F.N. Anderson
Aurelian Resources Inc.
President & CEO
(416) 868-9100
Email: pfnanderson@aurelian.ca
Marla Gale
Aurelian Resources Inc.
Investor Relations
(416) 868-9100
Email: mgale@aurelian.ca
Website: www.aurelian.ca
Source: Aurelian Resources Inc.
Lone Clone
17 years ago
False rumour based on misquote according to Aurelian spokesperson (update)
http://communities.canada.com/nationalpost/blogs/tradingdesk/archive/2007/05/25/false-rumour-based-o...
The rumour that sent Aurelian Resources Inc.'s (ARU/TSX) shares tumbling Friday is based on a misquote and has no basis, according to Aurelian investor relations spokesperson, Marla Gale.
According to a U.S.-based analysis service, known as Stratfor, Ecuadorian government minister Gustavo Larrea said Thursday that Ecuador plans on reforming laws regarding foreign investment in the country that would allow it to assume as much as 80% of the earnings from the oil&gas and mining sectors.
Mr. Larrea, however, never made mention of mining in his statement, Ms Gale said in phone interview, and was referring solely to the oil&gas industry, which Ms. Gale believes already has almost 65% of its earnings assumed by the state.
She added that the confusion could have stemmed from the fact that Ecuador does not have a dedicated mining ministry, but instead a combined Ministry of Energy and Mining.
"Hence, when the government makes statements about oil & gas (which is a much more established industry), sometimes the assumption is made that the statements also refer to mining. We have seen this happen before," she wrote in an email.
Friday is a national holiday in Ecuador and Ms. Gale said the government will make a statement of clarification on Monday.
David Pett
dpett@nationalpost.com
Tackler
17 years ago
Globe says Aurelian expected to remain a golden play
2007-05-23 04:50 MT - In the News
The Globe and Mail reports in its Wednesday, May 23, edition that Sprott Asset Management senior portfolio manager Jean-Francois Tardif sees opportunity in Aurelian Resources. The Globe's Maureen Darrigo writes in the BNN Market Call column that Aurelian stock climbed 93 cents Tuesday to close on the Toronto Stock Exchange at $32.90. The stock has an incredibly wide one-year trading range of $43 to $4.51. Mr. Tardif says gold and more gold drives this resource play. Mr. Tardif says he is looking for continued success at Aurelian. Mr. Tardif says he likes how Aurelian increased its reserves. Mr. Tardif says global stock markets continue to strengthen with some outperformers, such as China. Although earnings multiples continue to expand, Mr. Tardif sees a few cracks such as the continued weakening in the United States housing market. "It's time to be careful," says Mr. Tardif. He manages the Sprott Opportunities Hedge Fund. The fund's top six holdings are Aurelian, Aastra Energy Group, Universal Energy Group, Rally Energy, Major Drilling and Genivar Income Fund. In June, 2006, Mr. Tardif said buy Altus Group Income Fund when it was trading at $14.73. Altus units closed Tuesday at $13.65.
Tackler
17 years ago
Aurelian starts Condor follow-up exploration
2007-05-14 08:47 MT - News Release
Mr. Patrick Anderson reports
AURELIAN INITIATES FOLLOW-UP TO REGIONAL GOLD EXPLORATION AT THE CONDOR PROJECT
Aurelian Resources Inc. is providing an update on the continuing exploration of its regional gold targets within the company's wholly owned Condor project in southeastern Ecuador. The Fruta del Norte gold-silver epithermal discovery was just the first gold target to be tested from a list of more than 30 that was generated by the company's initial two-year regional exploration program. The current and continuing regional follow-up program will systematically advance the remaining targets to a point where they, too, can be tested by diamond drilling.
"It is evident that our FDN discovery occurs in a widespread belt of epithermal mineralization that is coincident with the Las Penas fault zone," says Aurelian president and chief executive officer, Patrick Anderson. "We have a team dedicated to advancing the targets that fall within this central corridor to a stage of drill readiness. The current areas of focus, outside of FDN and El Tigre are: Naranjilla, Barbasco and Emperador. As the targets reach a stage that we feel warrants drilling we will move one of our rigs to test the prospect."
Maps of the regional exploration targets mentioned in this press release may be viewed on the company website.
Many of the gold targets that were generated by the initial regional reconnaissance program are associated with the Las Penas fault zone, a major regional structure that hosts the FDN deposit and which is interpreted to have created the Suarez pull-apart basin. The north-south-trending structure can be traced on satellite images for over 20 kilometres, and sampling has returned anomalous gold values from outcrop along eight kilometres of the central portion of the fault. Equally encouraging is a 20-kilometre-long belt of anomalous gold, arsenic and antimony in stream sediments that coincides with the LPFZ and the Suarez pull-apart basin. These elements are important pathfinders for epithermal systems.
Three kilometres north of FDN, the Naranjilla target occurs where the Machinaza River bends to the east and cuts across the north-south-trending LPFZ. The target is marked by a cluster of stream sediment samples anomalous in gold (up to 1.90 grams per tonne Au) and the epithermal pathfinder elements arsenic and antimony, as well as lead and zinc. Recent mapping has identified quartz and quartz-sulphide float and outcrops of intensely silicified and pyritic andesite. Eight grab samples were taken from float and outcrop, with a sample of quartz-sulphide vein float assaying 11.20 g/t Au and 9.2 g/t Ag and a sample from outcropping silicified and pyritic andesite assaying 0.42 g/t Au and 8.1 g/t Ag. Outcrop in this area is limited by the Hollin sandstone cover present over much of the area between Naranjilla and FDN.
Approximately eight kilometres south of FDN, near the southern end of the Suarez pull-apart basin, prospecting at the Barbasco target has identified significant alluvial gold in the small streams that drain the area, with up to 45 colours in one pan of sediment and 46 of 149 pan concentrate samples containing 10 or more colours per pan of sediment. Silicified andesite, quartz vein and breccia float have also been identified in the streams, with grab samples assaying up to 1.12 g/t Au and up to 34.8 g/t Ag, with 11 out of 19 samples assaying over 0.1 g/t Au. Continuing mapping and sampling indicates the source of the mineralization is a one-by-two-kilometre area of Suarez conglomerate, within which zones of marcasite replacement of the conglomerate matrix have been identified. Marcasite replacement of the conglomerate is also an important feature of the buried FDN epithermal and was key in the discovery process. Grab samples have been taken and assays are pending.
Farther south along the LPFZ, prospecting has located boulders of vuggy silica at the Emperador target. Residual vuggy silica typically occurs due to leaching of volcanic rocks by acidic hydrothermal solutions associated with high-sulphidation epithermal systems. Although not anomalous in gold, the occurrence is considered significant as it may indicate the proximity to an epithermal system. Outcrop in the area is very limited, and exploration will be carried out by additional prospecting, mapping and sampling.
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.
Tackler
18 years ago
Aurelian begins exploratory drilling at El Tigre
2007-05-07 07:40 MT - News Release
Mr. Patrick Anderson reports
AURELIAN BEGINS DRILLING AT EL TIGRE
Aurelian Resources Inc. has begun a program of exploratory drilling at the company's El Tigre prospect. The program will attempt to locate the bedrock source of abundant, coarse, angular gold found in streams draining the target area, which is also marked by a distinct 800-metre-by-400-metre gold-in-soils anomaly. El Tigre falls within Aurelian's wholly owned Condor project in southeastern Ecuador and is approximately five kilometres to the east of the Fruta Del Norte (FDN) epithermal gold-silver discovery.
A tactic of step-out fan drilling is being adopted to test what is assumed to be a structure or intrusion-related target. The initial program will consist of approximately 3,600 metres of drilling, which may be extended depending on results. A man-portable diamond drill capable of reaching depths of 600 metres is being used in the program, which is designed to test the coincident structural, geochemical and geophysical trends. Drill results for El Tigre will be released as analytical data are received, validated and compiled.
"El Tigre is the first gold target generated by our extensive regional survey to be tested by diamond drilling since the FDN discovery," says Aurelian president and chief executive officer Patrick F.N. Anderson. "We have now reached a point where our infrastructure is sufficient to support and maintain multiple drill campaigns. While drilling at FDN continues to expand our flagship project, we plan to continue testing other targets identified in the regional program."
Tim Warman (PGeo), Aurelian's vice-president, corporate development, is acting as qualified person in compliance with National Instrument 43-101 with respect to this release. He has reviewed the contents for accuracy.
Lone Clone
18 years ago
Aurelian Intersects 88.99 Metres at 6.90 g/t Gold in Drilling at FDN
Wednesday May 2, 9:14 am ET
http://biz.yahoo.com/ccn/070502/200705020387922001.html?.v=1
TORONTO, ONTARIO--(CCNMatthews - May 2, 2007) - Aurelian Resources Inc. (TSX:ARU - News) 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 - News) 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.
Contact:
Patrick F. N. Anderson
Aurelian Resources Inc.
President & CEO
(416) 868-9100
Email: pfnanderson@aurelian.ca
Marla Gale
Aurelian Resources Inc.
Investor Relations
(416) 868-9100
Email: mgale@aurelian.ca
Website: www.aurelian.ca
Source: Aurelian Resources Inc.
Rocketred
18 years ago
Michael Gray, B.Sc., M.Sc., P. Geo writes
Aurelian has discovered a World Class +10M oz Gold System
on its Condor project, Ecuador called Fruta del Norte. We rate
the discovery as the best undeveloped gold system controlled
by a junior – anywhere on the planet. The FDN gold deposit is
documented by drilling over a 1100m strike length, is up to 325m
wide and up to 120m in thickness. We currently estimate Fruta del
Norte’s potential resource to be 11.1M oz.
Takeover Sweet Spot: We believe the Condor Project has
20M oz to 40M oz gold potential as part of a new Epithermal
Gold Belt – based on the architecture of Aurelian’s 100%
owned Fruta del Norte gold system, there is demonstrable upside
given the geological setting and attendant district scale land position.
We believe a number of senior and mid tier producers covet
Aurelian and its Fruta del Norte gold deposit and its outstanding
exploration potential.
At 35 g/t gold (uncut) over 250m, is hole CP07-100 not the
best gold drill intersection of all time? For a gold system with
only 46 holes reported to date and no 43-101 resource, hole 100 is
a monster intersection at almost three football fi elds long. This in-fi ll
hole has demonstrated the upside to tighter-spaced drill documentation of the Fruta del Norte gold system.
Exploration potential “west of the west fault” is extremely
high. Given the anatomy of the Fruta del Norte deposit as documented
to date and the structural model Aurelian is working with,
we see “the other half” of Fruta del Norte being eventually detected
through persistent drilling to the southwest.
Permissive setting for world class gold system on all fronts
– we believe the structural, geochemical and lithological settings at
of Fruta del Norte were extremely permissive for the development
of a world class gold system.
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