The Sombrero copper-gold property comprises over 100,000 hectares located 340 kilometres SE of Lima in southern Peru.
The Sombrero property is hosted in the Andahuaylas-Yauri belt and is interpreted to be on the north-western margins of the Eocene-Oligocene aged copper-gold porphyry and skarn belt that hosts the Las Bambas, Haquira, Los Chancas, Cotambambas, Constancia, Antapaccay and Tintaya deposits. The principal target at Sombrero is copper-gold skarn mineralization that Auryn feels has similarities to the Tintaya and Las Bambas mines in terms of their geological setting.
Historical surface samples from Sombrero indicate significant copper and gold values. Geological mapping and geochemical sampling were completed over the project in 2007, and high-resolution ground magnetic and induced polarization surveys were completed during 2008. Importantly there has been no drilling that has occurred on the project to date.
The Mollecruz concessions are approximately 1,000 hectares and represent another cluster of mineralizing intrusive bodies in the Sombrero district that are characterized by copper-gold skarn mineralization. The Mollecruz concessions were acquired in June 2018 and include the Good Lucky prospect. The principle skarn body at the Good Lucky prospect demonstrates high-grade copper-gold mineralization sampled over a 600-meter length and over 250 vertical meters. Rock samples graded up to 5.12 g/t gold and 4.29% copper in sulphide mineralization.
In addition, two new prospects, Totora and Uchuy, have also been discovered through sampling. At Totora, Auryn’s geologists have sampled gold values up to 5.07 g/t and copper values up to 3.14%. At Uchuy, strong arsenic and antimony values have been sampled which indicate the potential for proximal base and precious metal mineralization.
The Company acquired the rights to the Sombrero property through an option agreement with Alturas Minerals Corp. In order to exercise the Option and acquire a participating interests (“Interest”) for 80% of the Sombrero concessions, Auryn must incur up to US$2.1 million work expenditures within a five year period and make cash payments of $200,000 as follows:
- $140,000 upon entering into this Agreement which has been paid; and
- $60,000 on or before the first anniversary of the Effective Date
Upon Auryn having completed its requirements to earn an 80% interest in the Sombrero Project, the parties shall form a customary 80:20 joint venture vehicle. For a period of 1 year after the formation of the Joint Venture (the “Initial Period”), Alturas’ 20% interest shall be “free carried” and Auryn shall have a right to acquire the remaining 20% from Alturas for $5 million.
The best results Auryn’s technical team has seen at the project have been in Trench 18, with 30 meters of 1.93% CuEq, 24 meters of 0.73% CuEq and 54 meters of 0.34% CuEq.
Broad zones of oxide copper and gold mineralization (endoskarn) have been encountered within a diorite-monzondiorite intrusive complex. This is peripheral to the main exoskarn target areas between the intrusive body and the Ferrobamba limestone sequence. Importantly, the endoskarn mineralization has been encountered over an approximate width of one kilometer, demonstrating the potential size of the mineralized system at Sombrero.
The encountered mineralized intervals in Trench 18 are separated by an interval where the trench was unable to reach bedrock. If the intervals of copper-gold mineralization are composited together with the area where no bedrock was encountered, using values of zero for both the copper and gold grades in the unsampled part of the trench, Trench 18 has a result of 109 meters at 0.7% CuEq.
Trench highlights are presented in the table below.
Sombrero Trench 2018 – Copper & Gold Significant Intercepts*
|79||104||not sampled||bedrock not encountered|
|*No less than 5m of >= 0.1 g/t Cu, maximum dilution 5m|
Metal price used for Eq calculations: Au $1300/oz and Cu $3.28/lb, no adjustments for metallurgical recoveries have been made.
Auryn believes these trenches represent true widths of the mineralized system.
High-grade gold mineralization has been encountered in several discrete structures approximately 1 – 3 meters in width across a 400 meter by 1.5 kilometer long corridor. These samples were taken within the same endo-skarn intrusive body as our trenches with assays up to 193g/t gold. The structures sampled extend up to 1.5 kilometers north of the mineralized trenches and demonstrate a strong component of gold mineralization within the larger mineralized skarn complex. In addition, isolated gold-bearing jasperoid veins were sampled within the Ferrobamba limestone and returned assays up to 7.75g/t gold. This indicates the potential for an exo-skarn body at depth along the contact zone with the intrusive complex. A summary of 2018 rock samples are presented below.
Sombrero Rock 2018 Highlights
|Sample ID||Au (g/t)||Cu (ppm)|
MORE NEWS FROM SOMBRERO:
September 5, 2018: Auryn Identifies 3.5 Kilometer Drill Target at Sombrero and Initiates Permitting
June 25, 2018: Auryn Acquires Good Lucky Prospect and Discovers New Prospects at Sombrero
June 19, 2018: Auryn Trenches 99 meters of 0.46% Copper Equivalent and Samples up to 193g/t Gold in High-Grade Structures at Sombrero
April 26, 2018: Auryn Expands Sombrero District
April 17, 2018: Auryn initiates work and expands land position at the Sombrero Gold and Copper Project
February 24, 2017: Auryn trenches 53m at 1.75g/t Au at the Sombrero Project, Peru