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Aurora Gold Corporation is Pleased to Announce That our Wholly Owned Brazilian Subsidiary, Aurora Gold Mineração Ltda, has Entered Into a Memorandum of Understanding Over the Bigode Property in the Tapajos Gold Province, Para State, Brazil. Recent Rock Chip Sampling Confirms High-Grade Mineralisation Friday April 21, 2:51 pm ET
BALCATTA, WA, AUSTRALIA--(MARKET WIRE)--Apr 21, 2006 -- (OTC BB:ARXG.OB - News); (Frankfurt:A4GFSE.F - News), (Frankfurt:A4GETR.F - News); (BERLIN-BREMEN: A4G.BER) Aurora Gold Corporation ("Aurora Gold", a mineral exploration company focusing on exploration and development in the Tapajos Gold Province, State of Pará, Brazil is pleased to announce that our wholly owned Brazilian subsidiary, Aurora Gold Mineração Ltda, has entered into a memorandum of understanding over the Bigode property in the Tapajos Gold Province, State of Pará, Brazil.
Based on the highly encouraging first pass rock chip results Aurora Gold is continuing with the initial exploration programs to fast track drilling targets for the near future.
Significant rock chip results from the Bigode Property include:
81.9 g/t Gold with 88 g/t Silver 48.1 g/t Gold with 32 g/t Silver 39.4 g/t Gold with 44 g/t Silver 12.7 g/t Gold with 10 g/t Silver 10.4 g/t Gold with 185 g/t Silver 8.52 g/t Gold with 8 g/t Silver 6.26 g/t Gold with 8 g/t Silver 4.74 g/t Gold with 4 g/t Silver
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Several samples are also anomalous for Copper and Zinc, and with the high grades of silver the property shows great potential to host a large mineralised system.
Aurora Gold conducted a rock chip program over an area recently being excavated for free gold in alluvial systems and the weathered granitic overburden via water canon and sluice. The sample results, listed above, demonstrate that the quartz vein systems are highly mineralised and can be traced across the river valley for at least 200m.
Aurora Gold is confident the quartz vein systems are part of a much more extensive mineralised system and is currently planning to continue mapping and sampling. Aurora Gold\'s exploration strategy for the southern Tapajos will include the Bigode property in the planned airborne geophysics over all the company\'s properties to locate further mineralised vein systems, and to drill test their depth extensions in the near future.
The Bigode property adjoins the southeast portion of our highly prospective São Domingos property, and is approximately 30 km North of our Santa Isabel property.
The property is located within the highly prospective Parauari Intrusive Suite, which is the host of several gold deposits and showings within the Southern Tapajos. Limited lithological inspection has shown the area is host to mineralised quartz veins. Similar to the Sao Domingo property, the dominant North and NNW structures are thought to represent relicts of the original mineralising event. Preliminary investigation of the property area has confirmed the existence of mineralised quartz veins and stockwork systems within these Intrusive Granite Suites.
The MOU provides Aurora Gold Mineração Ltda with a six month review period to access the gold potential of the property. If Aurora Gold Mineração decides to proceed with acquiring a 100 percent interest in the title to the mineral rights then Aurora Gold Mineração would give notice to the vendors of its intention to acquire title to the mineral rights at least five days prior to the expiration of the aforementioned period. Aurora Gold Mineração and the Vendors would then enter into an Option Agreement for the Assignment and transfer of the mineral rights.
The terms of the Bigode option agreement, as specified in the MOU, allow Aurora Gold Mineração to perform geological surveys and assessment work necessary to ascertain the existence of possible mineral deposits which may be economically mined and to earn a 100% interest in the Bigode property mineral rights via structured cash payments. The total option agreement payments for the licence are structured as follows: October 30, 2006 - USD $60,000; October 30, 2007 - USD $80,000; October 30, 2008 - USD $90,000; October 30, 2009 - USD $100,000; October 30, 2010 - USD $1,000,000 for a total of USD $1,330,000. The vendor will have a 0.75% Net Smelter Royalty. The Royalty payment can be purchased at any time upon written notice to the vendor and payment of USD $500,000. The option agreement can be terminated at any time upon written notice to the vendor and Aurora Gold Mineração will be free of any and all payment commitments yet to be due.
Aurora Gold Corporation is a mineral exploration company focusing on its newly acquired gold exploration property in the Tapajos Gold Province, State of Pará, Brazil, whose stock trades under the symbol "ARXG" on the NASD OTC Bulletin Board in the United States of America, and under the symbols "A4G.FSE" and "A4G.ETR" on the Frankfurt and "A4G.BER" on the Berlin-Bremen Stock Exchanges in Germany.
ON BEHALF OF THE BOARD
"Klaus Eckhof"
Klaus Eckhof
President, CEO and Director |