AuRico Gold Provides an Update on the 2013 El Chanate Exploration Program
TORONTO, September 12, 2013 /PRNewswire/ --
AuRico Gold Inc. (TSX:AUQ) (NYSE: AUQ), ("AuRico" or the "Company") is pleased to provide an update on its exploration program at the El Chanate mine located in Sonora, Mexico. The objective of the 2013 program is to further delineate mineralization within the existing open pit and expand the known mineralization along the Chanate trend in order to potentially convert this mineralization into mineral resources.
El Chanate Exploration Program
Since May, two reverse circulation drills have completed 80 holes (19,175 metres) to date within the current open pit and in the three target areas located along trend of the open pit (Rono, North West Extension and Loma Prieta) (Figure 1).
The drilling program within the current open pit has intersected a new type of mineralization below the ultimate open pit floor, which is significantly higher in grade than the current reserve grade and is hosted within a strongly silicified siltstone adjacent to a fault structure. Drilling highlights include:
Hole ID From (m) To (m) Length (m)[1] Grade Au g/t CHCI-775 160.5 214.5 54.0 2.56 CHCI-776 126.0 174.0 48.0 2.90 CHCI-799 246.0 252.0 6.0 7.60 CHCI-836 246.0 270.0 24.0 2.70
[1]. Not true width
Outside the open pit, the drilling program is focused on three targeted areas along the Chanate Fault:
- The North West Extension area, located 50 metres northwest of the ultimate open pit design (Figure 2), where 24 of 26 holes intersected grades that are equal to, or exceed, current cut-off grades;
- The Rono target area, located 600 metres northwest of the ultimate open pit design (Figure 3), where 19 of 23 holes drilled in 2012 and 2013 intersected a broad zone of gold mineralization with grades that are equal to, or exceed, current cut-off grades; and
- The Loma Prieta target area, located 1.2 kilometres southeast of the ultimate open pit (Figure 4), where 11 of 18 holes have intersected a quartz vein structure with grades that are equal to, or exceed, current cut-off grades.
Drilling highlights include:
Hole ID From (m) To (m) Length (m)[1] Grade Au g/t Target CHCI-769 186.0 223.5 37.5 0.94 NW Extension CHCI-800 169.5 198.0 28.5 0.67 NW Extension CHCI-760 174.0 192.0 18.0 0.88 Rono CHCI-761 67.5 109.5 42.0 0.50 Rono CHCI-766 130.5 181.5 51.0 0.33 Rono CHCI-821 171.0 178.5 7.5 0.74 Rono 207.0 226.5 19.5 0.93 Rono CHCI-815 60.0 79.5 19.5 0.78 Loma Prieta CHCI-817 76.5 85.5 9.0 1.37 Loma Prieta CHCI-818 79.5 88.5 9.0 0.58 Loma Prieta CHCI-829 73.5 79.5 6.0 1.18 Loma Prieta
[1]. Not true width
El Chanate Expanded Land Package
On June 28th AuRico completed an Option/Joint Venture agreement with Highvista Gold to explore approximately 11,600 hectares of claims located to the northwest of the open pit that provides access to an additional 15-20 km of the El Chanate Fault (Figure 5). The agreement grants AuRico the option to earn a 51% undivided interest in the El Chanate Extension by incurring an aggregate of $3 million in exploration expenditures over the next three years. The Company can earn a further 19% interest in the joint venture (bringing its aggregate interest to 70%) by funding the preparation of a feasibility or prefeasibility study on the property.
"The 2013 exploration program continues to report encouraging results from both the in-pit drilling program where intercepts reported grades significantly higher than reserve grades, as well as from the target areas that lie along the Chanate fault where the majority of holes were higher than current cut-off grades," stated Chris Rockingham, V.P. Exploration. He continued, "The results to date provide additional confidence in the potential for resource growth and mine life extension at El Chanate."
Quality Control - Analyses and Sample Location
Details of quality assurance/quality control procedures for sample analysis and drill hole survey methodology are reported in the Canadian National Instrument 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101") compliant Technical Reports filed on SEDAR (http://www.sedar.com) on November 27, 2009 for El Chanate. Gold analyses for the project were performed by an accredited commercial laboratory using standard fire assay procedures with an AA finish. The Company maintains a Quality Assurance - Quality Control program including the insertion of commercial certified reference materials (CRM's) and blanks in all its assay programs. Sample lengths are not necessarily true widths.
Qualified Persons
The program design, implementation, quality assurance/quality control and interpretation of the results are under the control of AuRico's geological staff, which includes a number of individuals who are qualified persons as defined under NI 43-101. Christopher Rockingham, P. Geol., V.P. Exploration, is responsible for the overall supervision of the program at El Chanate.
About AuRico Gold
AuRico Gold is a leading Canadian gold producer with mines and projects in North America that have solid production growth and exploration potential. The Company is focused on its core operations including the Young-Davidson gold mine in northern Ontario and the El Chanate mine in Sonora State, Mexico. AuRico's project pipeline also includes development opportunities in Canada and Mexico. AuRico's head office is located in Toronto, Ontario, Canada.
Cautionary Statement
This press release contains forward-looking statements and forward-looking information as defined under Canadian and U.S. securities laws. All statements, other than statements of historical fact, are forward-looking statements. The words "expect", "believe", "anticipate", "will", "intend", "estimate", "forecast", "budget" and similar expressions identify forward-looking statements. Forward-looking statements include information as to strategy, plans or future financial or operating performance, such as the Company's expansion plans, project timelines, production plans, projected cash flows or capital expenditures, cost estimates, projected exploration results, reserve and resource estimates and other statements that express management's expectations or estimates of future performance.
Forward-looking statements are necessarily based upon a number of factors and assumptions that, while considered reasonable by management, are inherently subject to significant uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include: uncertainty of production and cost estimates; fluctuations in the price of gold and foreign exchange rates; the uncertainty of replacing depleted reserves; the risk that the Young-Davidson and El Chanate mine may not perform as planned; the risk that projects will not be developed accordingly to established budgets or timelines; changes in laws or regulations in Canada, Mexico and other jurisdictions in which the Company may carry on business; risks of obtaining necessary licenses, permits, authorizations or approvals for operations or projects such as Kemess; contests over title to properties; the speculative nature of mineral exploration and development; risks related to aboriginal title claims; compliance risks with respect to current and future environmental regulations; disruptions affecting operations; opportunities that may be pursued by the Company; employee relations; availability and costs of mining inputs and labor; the ability to secure capital to execute business plans; volatility of the Company's share price; any decision to declare dividends; the implementation and continued availability of the dividend reinvestment plan; the effect of future financings; litigation; risk of loss due to sabotage and civil disturbances; the values of assets and liabilities based on projected future cash flows; risks arising from holding derivative instruments; risks arising from the absence of hedging; adequacy of internal control over financial reporting; changes in our credit rating; and the impact of inflation.
Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained herein. Such statements are based on a number of assumptions which may prove to be incorrect, including assumptions about: business and economic conditions; commodity prices and the price of key inputs such as labour, fuel and electricity; credit market conditions and conditions in financial markets generally; revenue and cash flow estimates, production levels, development schedules and the associated costs; our ability to procure equipment and supplies in sufficient quantities and on a timely basis; the timing of the receipt of permits and other approvals for our projects and operations; our ability to attract and retain skilled employees and contractors for our operations; the accuracy of our reserve and resource estimates; the impact of changes in currency exchange rates on our costs and results; interest rates; taxation; and our ongoing relations with our employees and business partners.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by applicable law.
Cautionary Note to U.S. Investors Concerning Measured, Indicated and Inferred Resources
This press release uses the terms "measured," "indicated" and "inferred" resources. We advise investors that while those terms are recognized and required by Canadian regulations, the United States Securities and Exchange Commission does not recognize them. "Inferred" resources" have a great amount of uncertainty as to their existence and as to their economic and legal feasibility. It cannot be assumed that all or any part of an inferred resource will ever be upgraded to a higher category. Under Canadian rules, estimates of inferred mineral resources may not form the basis of feasibility or other economic studies. United States investors are cautioned not to assume that all or any part of measured or indicated mineral resources will ever be converted into mineral reserves. United States investors are also cautioned not to assume that all or any part of an inferred mineral resource exists, or is economically or legally mineable.
Hole ID From (m) To (m) Interval(m) Grade Au g/t Target CHCI-759 No significant values RONO CHCI-760 174.0 192.0 18.0 0.88 RONO CHCI-761 67.5 109.5 42.0 0.50 RONO CHCI-762 154.5 177.0 22.5 0.38 RONO CHCI-763 No significant values RONO CHCI-764 No significant values RONO CHCI-765 67.5 127.5 60.0 0.35 RONO CHCI-766 130.5 181.5 51.0 0.33 RONO CHCI-767 157.5 174.0 16.5 0.52 RONO NORTH WEST CHCI-768 213.0 250.5 37.5 0.24 EXTENSION NORTH WEST CHCI-769 186.0 223.5 37.5 0.94 EXTENSION NORTH WEST CHCI-770 165.0 228.0 63.0 0.28 EXTENSION NORTH WEST CHCI-771 No significant values EXTENSION NORTH WEST CHCI-772 210.0 241.5 31.5 0.31 EXTENSION CHCI-773 31.5 64.5 33.0 1.15 PIT 103.5 133.5 30.0 0.67 147.0 156.0 9.0 0.49 CHCI-774 46.5 81.0 34.5 0.90 PIT CHCI-775 160.5 214.5 54.0 2.56 PIT CHCI-776 126.0 174.0 48.0 2.90 PIT CHCI-777 85.5 118.5 33.0 1.26 PIT CHCI-778 124.5 168.0 43.5 0.45 PIT CHCI-779 114.0 139.5 25.5 1.37 PIT NORTH WEST CHCI-780 169.5 190.5 21.0 0.34 EXTENSION 208.5 225.0 16.5 0.42 NORTH WEST CHCI-781 81.0 91.5 10.5 0.63 EXTENSION 114.0 126.0 12.0 0.47 139.5 154.5 15.0 0.84 NORTH WEST CHCI-782 No significant values EXTENSION CHCI-783 NORTH WEST EXTENSION CHCI-784 RONO CHCI-785 195.0 223.5 28.5 0.77 RONO CHCI-786 84.0 117.0 33.0 0.46 RONO CHCI-787 No significant values RONO CHCI-788 RONO CHCI-789 RONO CHCI-790 207.0 238.5 31.5 0.28 RONO CHCI-791 No significant values RONO CHCI-792 RONO CHCI-793 51.0 105.0 54.0 0.19 RONO CHCI-794 15.0 34.5 19.5 0.68 PIT NORTH WEST CHCI-795 No significant values EXTENSION CHCI-796 10.5 21.0 10.5 0.73 PIT NORTH WEST CHCI-797 No significant values EXTENSION CHCI-798 90.0 106.5 16.5 0.61 PIT CHCI-799 246.0 252.0 6.0 7.60 PIT NORTH WEST CHCI-800 169.5 198.0 28.5 0.67 EXTENSION CHCI-801 No significant values PIT CHCI-802 202.5 213.0 10.5 0.64 RONO CHCI-803 87.0 105.0 18.0 0.72 PIT CHCI-804 94.5 111.0 16.5 2.24 PIT CHCI-805 40.5 51.0 10.5 0.43 PIT 73.5 88.5 15.0 0.29 CHCI-806 192.0 214.5 22.5 0.61 PIT NORTH WEST CHCI-807 No significant values EXTENSION CHCI-808 SE OF PIT NORTH WEST CHCI-809 177.0 183.0 6.0 2.9 EXTENSION 192.0 220.5 28.5 0.27 CHCI-810 No significant values SE OF PIT CHCI-811 RONO CHCI-812 SE OF PIT CHCI-813 PIT CHCI-814 LOMA PRIETA LOMA CHCI-815 60.0 79.5 19.5 0.78 PRIETA CHCI-816 No significant values RONO LOMA CHCI-817 76.5 85.5 9.0 1.37 PRIETA LOMA CHCI-818 79.5 88.5 9.0 0.58 PRIETA CHCI-819 No significant values RONO LOMA CHCI-820 PRIETA CHCI-821 171.0 178.5 7.5 0.74 RONO 207.0 226.5 19.5 0.93 LOMA CHCI-822 No significant values PRIETA CHCI-823 LOMA PRIETA CHCI-824 RONO LOMA CHCI-825 112.5 118.5 6.0 0.79 PRIETA CHCI-826 No significant values RONO LOMA CHCI-827 PRIETA CHCI-828 127.5 136.5 9.0 0.36 RONO LOMA CHCI-829 73.5 79.5 6.0 1.18 PRIETA CHCI-830 189.0 196.5 7.5 0.7 RONO CHCI-831 36.0 52.5 16.5 0.49 PIT 61.5 87.0 25.5 1.6 228.0 235.5 7.5 0.6 CHCI-832 No significant values PIT CHCI-833 75.0 87.0 12.0 0.59 PIT CHCI-834 246.0 256.5 10.5 1.67 PIT CHCI-835 0.0 13.5 13.5 0.72 PIT CHCI-836 13.5 22.5 9.0 4.00 PIT 246.0 270.0 24.0 2.70 CHCI-837 No significant values PIT CHCI-838 157.5 183.0 25.5 0.49 PIT CHCI-839 No significant values PIT CHCI-840 SE OF PIT CHCI-841 PIT CHCI-842 SE OF PIT CHCI-843 Assays pending SE OF PIT CHCI-844 PIT CHCI-845 SE OF PIT CHCI-846 PIT CHCI-847 PIT CHCI-848 SE OF PIT CHCI-849 LOMA PRIETA CHCI-850 PIT CHCI-851 PIT CHCI-852 LOMA PRIETA CHCI-853 NORTH WEST EXTENSION CHCI-854 LOMA PRIETA CHCI-855 LOMA PRIETA CHCI-856 LOMA PRIETA CHCI-857 LOMA PRIETA
Hole ID East North Elev. AZ DIP Depth Section Target CHCI-759 411137.50 3408353.00 485.92 33 -60 150.0 68 RONO CHCI-760 411126.30 3408294.00 481.66 33 -60 300.0 67 RONO CHCI-761 411151.60 3408277.00 483.70 33 -45 195.0 66 RONO CHCI-762 411185.30 3408349.00 489.18 33 -60 240.0 66 RONO CHCI-763 411213.90 3408309.00 494.06 33 -60 261.0 65 RONO CHCI-764 411322.20 3408425.00 502.37 33 -55 85.5 64 RONO CHCI-765 411250.60 3408318.00 499.04 33 -60 207.0 64 RONO CHCI-766 411222.70 3408221.00 488.13 33 -50 210.0 63 RONO CHCI-767 411347.20 3408082.00 488.42 33 -60 306.0 57 RONO NORTH WEST CHCI-768 411422.20 3408089.00 495.43 33 -60 283.5 55 EXTENSION NORTH WEST CHCI-769 411513.51 3408061.36 485.66 33 -63 285.0 52 EXTENSION NORTH WEST CHCI-770 411573.13 3408044.14 487.05 33 -60 250.5 50 EXTENSION NORTH WEST CHCI-771 411676.82 3408152.03 491.03 33 -60 181.5 49 EXTENSION NORTH WEST CHCI-772 411451.17 3408084.21 502.78 33 -60 294.0 54 EXTENSION CHCI-773 412767.95 3407526.96 437.44 33 -70 166.5 7 PIT CHCI-774 412703.11 3407515.71 443.60 33 -60 250.5 9 PIT CHCI-775 413058.06 3407422.69 469.71 20 -70 252.0 79 PIT CHCI-776 413005.70 3407453.27 443.23 20 -70 240.0 81 PIT CHCI-777 412803.02 3407465.73 442.92 33 -60 250.5 5 PIT CHCI-778 412921.47 3407475.22 437.36 33 -67 258.0 2 PIT CHCI-779 412889.32 3407476.75 437.31 33 -58 223.5 3 PIT NORTH WEST CHCI-780 411544.28 3407998.42 486.51 33 -60 289.5 50 EXTENSION NORTH WEST CHCI-781 411551.04 3408119.92 487.29 33 -60 210.0 52 EXTENSION NORTH WEST CHCI-782 411475.05 3407998.60 474.67 33 -62 304.5 52 EXTENSION NORTH WEST CHCI-783 411435.59 3408153.85 495.48 33 -60 259.5 56 EXTENSION CHCI-784 411297.59 3408333.51 501.22 33 -50 199.5 63 RONO CHCI-785 411099.24 3408297.56 481.18 33 -60 315.0 82 RONO CHCI-786 411282.75 3408255.54 490.83 33 -60 211.5 62 RONO CHCI-787 411109.47 3408365.50 482.39 33 -60 190.5 69 RONO CHCI-788 411091.52 3408229.17 477.93 33 -60 382.5 67 RONO CHCI-789 411220.35 3408268.35 500.09 33 -60 280.5 64 RONO CHCI-790 411118.74 3408216.31 480.47 33 -60 270.0 66 RONO CHCI-791 411361.51 3408156.29 492.76 33 -60 280.5 58 RONO CHCI-792 411325.54 3408213.26 501.15 33 -60 271.5 60 RONO CHCI-793 411247.89 3408353.72 505.05 33 -60 286.5 65 RONO CHCI-794 413023.85 3407503.26 443.00 20 -65 193.5 81 PIT NORTH WEST CHCI-795 411485.18 3408235.94 488.65 33 -60 172.5 56 EXTENSION CHCI-796 413066.52 3407486.83 443.09 20 -65 216.0 79 PIT NORTH WEST CHCI-797 411490.87 3408138.35 496.97 33 -55 241.5 54 EXTENSION CHCI-798 412993.55 3407335.12 478.59 20 -60 306.0 80 PIT CHCI-799 413082.47 3407314.24 497.29 20 -52 330.0 77 PIT NORTH WEST CHCI-800 411570.30 3408085.68 487.54 33 -60 300.0 51 EXTENSION CHCI-801 413039.85 3407286.66 496.46 20 -62 349.5 78 PIT CHCI-802 411204.53 3408178.31 479.74 33 -60 241.5 63 RONO CHCI-803 412971.79 3407360.37 478.57 20 -70 255.0 81 PIT CHCI-804 413089.17 3407419.13 467.38 20 -55 222.0 78 PIT CHCI-805 413239.58 3407396.36 498.36 20 -60 118.5 73 PIT CHCI-806 413158.95 3407349.51 496.53 20 -53 253.5 75 PIT NORTH WEST CHCI-807 411620.02 3408119.13 489.00 33 -60 222.0 50 EXTENSION CHCI-808 413361.32 3407372.04 504.18 20 -60 166.5 69 SE OF PIT NORTH WEST CHCI-809 411537.10 3408025.50 485.95 33 -60 276.0 51 EXTENSION CHCI-810 413395.96 3407292.36 502.44 20 -60 190.5 67 SE OF PIT CHCI-811 411055.95 3408234.30 480.75 33 -60 291.0 68 RONO CHCI-812 413468.65 3407236.32 502.79 20 -60 288.0 64 SE OF PIT CHCI-813 410987.63 3408355.25 482.40 33 -60 291.0 72 PIT CHCI-814 413788.69 3406982.76 493.54 20 -60 196.5 51 LOMA PRIETA CHCI-815 413789.96 3407065.49 495.95 20 -60 202.5 52 LOMA PRIETA CHCI-816 411311.56 3408232.74 496.56 33 -60 252.0 61 RONO CHCI-817 413872.30 3407013.90 495.08 20 -60 103.5 49 LOMA PRIETA CHCI-818 413726.56 3407065.86 496.18 20 -60 178.5 54 LOMA PRIETA CHCI-819 411142.53 3408472.89 486.92 33 -50 228.0 70 RONO CHCI-820 413758.22 3407053.22 490.19 20 -60 166.5 53 LOMA PRIETA CHCI-821 411073.48 3408325.77 478.32 33 -60 252.0 69 RONO CHCI-822 413872.30 3407113.76 499.03 20 -60 100.5 50 LOMA PRIETA CHCI-823 413631.69 3407169.26 503.21 20 -60 277.5 58 LOMA PRIETA CHCI-824 410931.39 3408387.99 475.62 33 -60 282.0 74 RONO CHCI-825 414150.66 3406919.66 558.86 20 -60 172.5 39 LOMA PRIETA CHCI-826 410924.01 3408479.34 486.12 33 -60 240.0 76 RONO CHCI-827 414016.42 3407068.80 502.09 20 -60 91.5 45 LOMA PRIETA CHCI-828 410961.69 3408663.29 491.72 33 -60 228.0 78 RONO CHCI-829 413928.64 3407011.02 503.71 20 -60 160.5 47 LOMA PRIETA CHCI-830 410875.28 3408519.93 487.23 33 -60 366.0 78 RONO CHCI-831 411986.19 3407793.84 383.86 33 -65 247.5 37 PIT CHCI-832 413092.62 3407419.31 467.29 20 -75 283.5 78 PIT CHCI-833 413053.86 3407406.25 467.43 20 -75 270.0 79 PIT CHCI-834 413008.38 3407372.67 467.19 20 -60 300.0 80 PIT CHCI-835 412085.06 3407892.34 383.43 33 -48 145.5 33 PIT CHCI-836 413110.15 3407301.02 494.13 20 -50 300.0 76 PIT CHCI-837 413190.99 3407262.31 495.92 20 -60 318.0 73 PIT CHCI-838 413192.76 3407358.00 496.82 20 -60 246.0 74 PIT CHCI-839 413164.00 3407272.65 495.37 20 -55 348.0 74 PIT CHCI-840 413427.24 3407212.72 539.16 20 -65 172.5 65 SE OF PIT CHCI-841 412598.86 3407303.00 530.43 33 -75 390.0 8 PIT CHCI-842 413425.19 3407306.85 540.74 20 -60 148.5 66 SE OF PIT CHCI-843 413454.80 3407108.00 537.09 20 -60 190.5 63 SE OF PIT CHCI-844 413249.80 3407338.00 536.37 20 -60 219.0 72 PIT CHCI-845 413390.40 3407371.00 505.15 20 -60 180.0 66 SE OF PIT CHCI-846 413296.70 3407380.00 500.84 20 -60 148.5 71 PIT CHCI-847 413202.30 3407380.00 497.83 20 -55 186.0 74 PIT CHCI-848 413571.50 3407252.00 505.57 20 -60 82.5 61 SE OF PIT CHCI-849 413692.50 3407071.00 498.70 20 -60 139.5 55 LOMA PRIETA CHCI-850 412733.20 3407514.00 437.30 33 -70 234.0 8 PIT CHCI-851 411820.93 3407931.19 461.40 33 -60 216.0 41 PIT CHCI-852 413808.01 3407025.14 495.00 20 -60 163.5 52 LOMA PRIETA NORTH WEST CHCI-853 411587.65 3407962.83 484.36 33 -60 258.0 48 EXTENSION CHCI-854 413841.53 3407118.81 498.90 20 -60 88.5 52 LOMA PRIETA CHCI-855 413910.23 3407128.72 500.80 20 -60 82.5 49 LOMA PRIETA CHCI-856 413979.58 3406972.56 517.84 20 -60 133.5 45 LOMA PRIETA CHCI-857 413855.99 3406983.91 493.12 20 -60 169.5 47 LOMA PRIETA
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For further information:
For further information please visit the AuRico Gold website at http://www.auricogold.com or contact:
Chris Rockingham
Vice President, Exploration and
Business Development
AuRico Gold Inc.
+1-647-260-8880
Anne Day
Vice President, Investor Relations and Communications
AuRico Gold Inc.
+1-647-260-8880
(AUQ. AUQ)
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