December 23, 2014 at 11:31
AURYN Mining Chile SpA is pleased to provide an update on the drill program being conducted on the Altos de Lipangue property located approximately 30 kilometers northwest of Santiago, Chile and a brief outline of the plan for continued exploration in 2015. Deep hole L14-22A was recently completed and the drill rig is presently set up on hole L14-23 that is designed to continue to follow the Gordon Breccia to the west.
Hole L14-22A was drilled from the same platform as L14-22 that had to be abandoned at 419.2 meters due to technical problems associated with a clay rich fault zone in the interval 412 to 416 meters depth. L14-22A was started with PQ sized rods and then telescoped down to HQ before being completed at 781.35 meters depth with NQ. The system worked very well and gives confidence that deep holes can be drilled in the future on the property. The hole had multiple zones of propylitically altered granodiorite with quartz-pyrite veinlets and patches of pyrite (chalcopyrite). Highlights were: (i) a 3 meter section from 358 to 361 meters with brecciation and pyrite- chalcopyrite mineralization that is probably the on strike extension of the 7 meter gold-copper intersection (338.5 to 345.5 meters depth) reported in hole L14-22; (ii) a zone of brecciation (narrow zones of hydrothermal breccias), quartz-pyrite (chalcopyrite) veining and patches associated with moderate to intense propylitic alteration over an interval of 20 meters (468 to 488 meters depth) that is the down dip extension of the Gordon Breccia; (iii) a zone of downward increasing albitization and intense epidotization with up to 5% veinlet and disseminated pyrite (chalcopyrite) mineralization from approximately 578 meters to 603 meters depth where it is truncated by a dyke/ fault; (iv) increasing frequency of quartz-orthoclase veining to bottom of hole. Assays are pending for the hole.
The presence of distal quartz-orthoclase veinlets is a very positive indicator of the potential for a porphyry system on the Altos de Lipangue property. The area has been very seismically active with pre, contemporaneous and post mineral faults that show signs of repeated activity. Understanding the tectonics will be a very important factor in further targeting of deep drill holes.
L14-23 is targeted to test the Gordon Breccia 50 meters south of hole L99-09 and 50 meters west of L00-11. The hole is designed to follow the higher grade gold zone to the west and if successful will be followed up by a deeper hole sited at 100 meters west of L00-16. The intention is to follow the structure to the west to the andesite contact and then test the possibility that it extends under cover (30 meter wide valley between andesite outcrops) for some distance into the andesite domain. If the mineralized structure does persist within the andesite there is the possibility that it will be less disperse and with higher gold grades than that encountered in the granodiorite hosted breccia. Drilling has been suspended for the Christmas/ New Year break with hole L14-23 at 203.4 meters depth. Drilling will resume on January 03, 2015.
AURYN has made offers on the Mina Fortuna and Dos Marias properties that are contiguous to the Altos de Lipangue project. If the offers are accepted, the properties will be incorporated in the overall exploration plan for 2015 including the drill schedule. The additional property position would also increase the impetus for completing a high intensity helicopter borne magnetometer survey of the whole plateau. This survey would not only help to identify new mineralized breccia targets but would also be a major component in understanding the regional tectonics (faulting) and the assessment of porphyry targets. The geological and geochemical programs that are already underway will continue into 2015 and be complemented by ground geophysical surveying in selected areas.
This release was prepared and approved by David Bent, Exploration Manager for AURYN Mining Chile SpA who is a registered P. Geo (Nova Scotia) as well as a member of the Colegio de Ingenieros del Peru.