The Bull property located in White Pine County, east-central Nevada, approximately 30 km southeast of Eureka, lies on the southern extension of the gold-prolific Battle Mountain-Eureka Trend, and comprises 357 unpatented claims.
The property lies 6 km east of Midway Gold's Pan gold deposit, 8 km North of Midway Gold's Goldrock gold deposit and 8 km northeast of Ely Gold and Mineral's Mt Hamilton Centennial Deposit.
The property hosts gold-bearing jasperoid (up to 550 ppb Au over 3m from historical chip/channel sampling) cropping out in a shallow pediment at the apparent contact between the Joana Limestone and Chainman Shale, the host horizon for the nearby past producing Easy Junior and Green Springs deposits. Gold mineralization is associated with low silver, high antimony, arsenic, barium and mercury values typical of the geochemical signature in Carlin-style deposits.
In 1992, BHP drilled between 7 and 15 shallow reverse circulation holes (exact number unknown; records available for only 7 holes). The best intercept was 3 m of 2.05 g/t Au within a 9.15 m intercept grading 1.15 g/t Au starting at approximately 15 m below surface. Wildrose Resources Ltd. reportedly drilled holes immediately adjacent to the jasperoid and in 2002, Newcrest drilled nine holes in the general vicinity. Aurion believes that previous work did not adequately target the significant results of the BHP drilling. In addition, the Pilot Shale - Devil's Gate Limestone contact, host horizon for the Rain and Pan gold deposits, has yet to be adequately tested and remains a very prospective target.
During the summer of 2011, Aurion initiated a program of geologic mapping, rock-chip sampling and alteration studies in order to build a coherent model for the property. Detailed Aster and Geoeye imagery and topography were used to identify bedrock outcrops previously unidentified. Chip sampling recently completed over gold-bearing jasperoid at the contact between the Joana limestone and the Chainman shale located in a shallow pediment in the central part of the property returned values of up to 0.56 g/t Au over 3.5 m across an area of 80 m by 60 m (first reported in Aurion news release November 7, 2011). These samples were also anomalous in As, Ba, Hg and Sb, consistent with Carlin-style sediment--hosted gold deposit geochemistry.
In the southwest part of the Bull property, two silicified hydrothermal breccia bodies up to 320 m long and 30 meters wide and are aligned northwest contain abundant clasts of silicified Joana (?) limestone and appear to intrude the Pilot shale. Reconnaissance grab samples showed highly anomalous Ba, Hg and Sb and results of our systematic chip-channel sampling are pending.
A 320 line-km Z-TEM and magnetic survey was flown at 200 m line-spacing over the property. Preliminary results indicate the presence of a major NW trending structure linking the silicified hydrothermal breccias in the southeast with the gold-bearing jasperoid in the central part of the property. Moreover, this structure is on-strike with Ely Gold's Mt Hamilton gold deposit 8 km southeast of the property boundary. Final results and interpretation of the airborne survey are pending. Results of reconnaissance soil-lines and rock sampling across this structure are also pending.
Aurion recently announced the signing of a definitive "Exploration, Development and Mine Operating" agreement with Midway Gold US Inc.Under the terms of the agreement Midway can earn an initial 50% interest by completing $2 million in expenditures over 5 years ("Primary" earn-in), upon which it can elect to either declare a 50-50 joint venture or spend a further $2 million over 2 years ("Secondary" earn-in) to earn an additional 20% for a total 70% interest. Midway can also earn an additional 5% (75% total) by arranging mine financing. Midway will also maintain the underlying agreement (see Press Release dated March 21, 2011
) and make all claims maintenance fees through the agreement. Midway will be the project operator and is currently planning the 2013 exploration program that is anticipated to include drilling.