Auryx Gold Significantly Expands the Length and Width of the Mineralized System at the Otjikoto Gold Project in Namibia
TORONTO, ONTARIO -- (Marketwire) -- 11/04/10 -- Auryx Gold Corp. ('Auryx' or the 'Company')(TSX: AYX) is pleased to announce that the results of the first six diamond drill holes drilled at Otjikoto since acquiring the project in June 2010 have been received. The Company has been testing targets on a rotational basis and these first six holes have tested three different targets. Four of the holes were significant step-outs and two were re-testing previously drilled zones.
Otjikoto is a strata-bound, sheeted-vein, gold deposit. Higher grade 'shoots' (finger or cigar shaped lineaments) occur within the deposit at the intersection of planar structures. These shoots sit within the strata-bound veins and require drill spacing, perpendicular to strike, of 50m or 25m to be defined. The initial step-out holes were widely spaced and drilled to test the extension of the sheeted vein system. More similarly spaced step-outs are being drilled over a strike length of 1.8 km. If this initial phase confirms the strike and dip extensions of the sheeted veins, then the next phase of drilling will use these results to prioritize zones for tightly spaced drilling in search of more high-grade shoots. Otjikoto has a current NI 43-101 resource of 1.22 Moz Indicated at 1.34 g/t, and 0.71 Moz Inferred at 1.28 g/t (SRK March 2010 - for full details see the report filed on www.sedar.com).
Auryx' President, Mr. Searcy comments 'I am very encouraged by the results of these first holes. We have taken some significant step-outs and have encountered mineralization in every hole. This confirms our theory that Otjikoto is a much larger system than previously defined. The results from the step-outs are typical of sheeted-vein intercepts from within the current resource.'
True
Hole ID From To Intercept Au Thickness
(m) (m) (m) (g/t) (m)
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OT201 98 102 4.00 2.03 3.60
OT202 72 80 8.00 0.63 7.20
and 99 106 7.00 0.89 6.30
and 116 119 3.00 0.43 2.70
OT203 254 261 7.00 0.41 6.30
and 284 330 46.00 0.71 41.40
including 294 303 9.00 1.27 8.10
OT96 160 169 9.00 1.19 8.10
and 262 266 4.00 1.04 3.60
and 360 366 6.00 0.56 5.40
and 386 389 3.00 0.43 2.70
and 397 400 3.00 0.52 2.70
OTG2D 406 409 3.00 0.55 2.70
and 439 442 3.00 0.43 2.70
OTG1D 350 365 15.00 0.67 13.50
including 359 362 3.00 1.72 2.70
Holes OT201 and OT202 were drilled on the southwestern edge of the resource in a region previously designated as waste (see the plan map at
http://www.auryxgold.com/projects/otjikoto_drill_program/plan_view/ for drill locations). These holes targeted and intersected the up-plunge extensions of mineralization drilled further to the southwest.
Holes OT203, OT96D, and OTG2D were drilled along line 6800 and tested the down dip extension of mineralization by 100m, 260m, and 440m respectively. Each hole intersected widths of gold mineralization almost doubling the known width of the mineralized system at Otjikoto (see the cross section for line 6800 http://www.auryxgold.com/projects/otjikoto_drill_program/cross_sections/ ). Visible gold (VG) was noted in OTG2D in at least one instance; however, as part of Auryx' QA/QC processes, the Company consistently sends the south half of the core for assay and retaining the north half for reference. In this instance, the VG was in the north half of the core and was not sampled. Although, the mineralization in OTG2D was not strong, this hole had approximately 200m of intense albitization, the host alteration for mineralization at Otjikoto. This is the widest intercept of intensive albitization at Otjikoto and indicates the fluid flow system was very strong down dip.
Hole OTG1D was drilled to test 400m of downplunge extension on the western shoot. As OTG1D, is a depth extension to a previously drilled hole, its location was not ideal for the target, Nonetheless, the hole returned mineralized intercepts confirming the extension of mineralization; however, there was no shoot development. The plunge trend lies 25m to 50m east of the OTG1's collar.
Auryx has drilled 21 diamond drill holes ('ddh') for 5,762m and 47 reverse circulation holes ('RC') for 3,846m at Otjikoto. The location of all recently completed drill holes can be seen by following the above link to the drill plan map. Subsequent drill results will be forth coming.
Conference Call
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Thursday, November 4, 2010
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Quality Assurance/Quality Control
Auryx operates a rigorous QA/QC protocol on all aspects of sampling and analytical procedure. Drill core is checked, logged, marked for sampling and sawn in half. One half of the NQ core is maintained for future reference and one half of the core is sent for analysis. Due to the significant nugget effect present at Otjikoto, Auryx consistently samples only the south half of the core in order to avoid personal bias from affecting the samples and, ultimately, the resource. Core and RC samples are both collected in one (1) meter intervals. Each RC sample is riffle split twice to generate four samples - primary assay, field duplicate, reference, and metallurgical. All core and RC samples are stored in the company's secure core shack in Otjiwarongo. Samples are transported from the Otjiwarongo core shack to Windhoek and beyond by independent couriers. Samples are screen fire assayed at Genalysis laboratories and SGS South Africa laboratories, both of which are in Johannesburg, South Africa. Analysis is by the screen fire assay process whereby the sample is pulverized and sieved with into +106um and -106 um fractions. The +106 fraction is assayed until completion, typically 10g to 50g. At SGS a 50 g aliquot is split from the -106 fraction and assayed, while at Genalysis, two 25g aliquots are split and assayed. The final assay result is calculated by a weighted average of mass x grade of the two size fractions divided by the total mass of the unsplit sample. For both core and RC, blanks are inserted at every 25th sample and standards (for each size fraction) for every 20th sample. For the RC only, duplicates are submitted at every 20th sample. These QA/QC procedures provide several measures of data quality and assure the Company that the assay data is representative of the original sample. For a more detailed description of QA/QC procedures please see the SRK 43-101 report dated 31 March 2010.
About Auryx Gold Corp.
Auryx Gold Corp. (TSX: AYX) is a Canadian, growth-focused, resource company engaged in the acquisition and exploration of gold projects in Namibia. The Company is currently advancing the Otjikoto gold deposit, located 300km north of Namibia's capital city, Windhoek.
By virtue of its location, the Project benefits significantly from Namibia's well established infrastructure with paved highways, a railway, power grids, and the water grid all close by.
Located in southwest Africa, Namibia is mining-friendly and lauded as one of the continent's most politically and socially stable jurisdictions.
On behalf of the Board of Directors
Tim Searcy, P.Geo. President
Cautionary Notes
Certain information set forth in this press release contains 'forward-looking information' under applicable securities laws. Except for statements of historical fact, certain information contained herein constitutes forward-looking information which include management's assessment of Auryx Gold future plans and operations and are based on Auryx Gold current internal expectations, estimates, projections, assumptions and beliefs, which may prove to be incorrect. These risks and uncertainties include, but are not limited to: successful completion of the proposed transactions referred to herein; the satisfaction of the Escrow Release Conditions; liabilities inherent in mine development and production; geological, mining and processing technical problems; Auryx Gold inability to obtain required mine licenses, mine permits and regulatory approvals required in connection with mining and mineral processing operations; competition for, among other things, capital, acquisitions of reserves, undeveloped lands and skilled personnel; incorrect assessments of the value of acquisitions; changes in commodity prices and exchange rates; currency and interest rate fluctuations; various events which could disrupt operations and/or the transportation of mineral products, including labour stoppages and severe weather conditions; the demand for and availability of rail, port and other transportation services; and management's ability to anticipate and manage the foregoing factors and risks. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Auryx Gold undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.
Qualified Person Statement.
Tim Searcy, PGeo, Auryx Gold's President, is a Qualified Person as defined under National Instrument 43-101. Mr. Searcy has reviewed and approved of all of the technical disclosure in this document.
Contacts:
Auryx Gold Corp.
Elina Chow
Investor Relations Manager
Direct: +1 (416) 361-2213
Mobile: +1 (416) 400-0149
echow@auryxgold.com