Auryn Resources Inc. ("Auryn" or the "Company") is pleased to provide an exploration update from it's Huilacollo epithermal gold oxide project in the Tacna province of Peru. Two new gold-in-soil anomalies were defined in the southern half of the project area that are 1300 meters by 250 meters and 550 meters by 150 meters, respectively (see figure 1). These anomalies are in addition to the existing known mineralization located in the northwest portion of the project.
Chief Geologist and COO Michael Henrichsen commented, "The discovery of the new gold-in-soil anomalies in the southern half of the project supports our initial impressions as to the potential for a significant oxide gold discovery on the project. Our highly experienced technical team believes that together, the northern and southern gold systems share some of the characteristics of productive oxide gold systems similar to deposits that they have observed globally."
During the fourth quarter of 2016, Auryn undertook an extensive geochemical survey in the southern half of the property that consisted of 1,259 soil samples over a 3 km by 4 km area. The results of the survey have defined two significant newly discovered gold-in-soil anomalies that are contiguous at +50 ppb gold and are similar in magnitude and intensity to the known 1,100 meter by 400 meter soil anomaly that defines the northern Huilacollo gold system identified in 1995 by Cominco. This northern system has had limited exploration drilling focused over a 350 meter by 150 meter area and is open for expansion.
The newly defined gold anomalies in the southern half of the project are further characterized by strong silver, antimony and arsenic trace element association that is very typical of productive high sulphidation gold oxide deposits globally (see figure 2). The historical geochemical survey from Cominco in the northern half of the project area did not analyze for these elements, however, gold in the mineralized system defined by historical drilling shows a strong association with these same trace elements demonstrating the prospective nature of the newly defined gold anomalies.
Further exploration work on the project will consist of completing a multi-element geochemical soil survey across the northern half of the project as well as trenching, rock chip sampling, and detailed mapping to develop drill targets. An extensive drill program is anticipated once all the surface work is completed and permits are received.