RNS Number : 6991K
AEX Gold Inc
09 May 2022
("AEX" or the "Corporation")
2021 Exploration Results Materially Increase the Vagar Ridge
Gold Discovery with Sample Results of up to 86.7g/t Gold
Five additional significant targets with similar geological
characteristics within 50 km long structural corridor with results
up to 9.25g/t gold identified
TORONTO, ONTARIO - May 9, 2022 - AEX Gold Inc. (AIM: AEXG; TSXV:
AEX), an independent mining company with an unrivalled land package
of gold and strategic mineral assets covering an area of 4,090
km(2) in Southern Greenland, is pleased to announce results of its
2021 exploration campaign across the Vagar licence, South
Vagar is a large gold exploration licence containing multiple
high priority targets including the 'Vagar Ridge' in the heart of
the Nanortalik Gold Belt in close proximity to the Corporation's
flagship Nalunaq project. The 2021 program comprised Mineral System
Modelling, high resolution airborne geophysics, surface
hyperspectral imagery and reconnaissance sampling designed to
assess, define and prepare a number of key targets for more
substantial exploration into 2022.
References to figures and tables relate to the version visible
in PDF format on the website by clicking the link below:
-- The exploration results more than double the Vagar Ridge
footprint, confirming its potential to be a multi-million ounce
prospect. As a result of the 2021 exploration results, AEX believes
that Vagar Ridge may host up to four Orogenic gold veins with new
rock chip samples giving up to 86.7 g/t gold.
-- The 2021 program included hyperspectral imaging,
reconnaissance sampling and a 385 km(2) high resolution airborne
magnetic survey, interpreted by SRK Consulting, which has defined a
significant deformation zone which extends for more than 50 km
across the licence and into AEX's neighbouring licences,
highlighting five further high priority targets.
-- Vagar Ridge was historically sampled and drilled across 2km
discovering up to 2,533 g/t gold in vein material and 13m at 70.1
g/t gold from follow up channel sampling and a core drilling
program*. It also identified granodiorite-hosted mineralisation up
to 14.4 g/t gold therefore opening up the potential for a large
scale Intrusion Related Gold mineralisation.
-- 2021 results also confirmed gold mineralisation within the
host rock, verifying the presence of widespread granodiorite-hosted
mineralisation including 9.25 g/t gold in scree samples from a
previously unexplored northern target.
-- Ground-based hyperspectral imaging, a powerful tool for areas
with limited vegetation such as in Southern Greenland, is proving
to be an effective method for identifying hydrothermal alteration
and altered granodiorite, the preferential host of both Orogenic
and Intrusion Related Gold mineralisation in the Vagar licence.
*Refer to announcement by Nuna Mineral A/S on 28th August 2013
titled "NunaMinerals intersects exceptional high-grade gold
mineralisation during follow-up drilling and channel sampling at
their Vagar Gold Prospect, South Greenland"
Eldur Olafsson, CEO of AEX, commented:
"The 2021 results from our Vagar licence, just 25km north of
Nalunaq, are extremely encouraging. It was always our belief that
the 'Vagar Ridge' discovery had the potential to be significantly
larger than the previously mapped extent of 2km. With the
conclusion of our exploration studies in 2021, this has materially
increased in footprint with not only Orogenic but also Intrusion
Related Gold mineralisation potential.
At Nalunaq, the Mineral Resource is hosted in one Orogenic vein
while at Vagar Ridge our studies have suggested the potential for
multiple mineralised veins as well as mineralised granodiorite host
rock. If this proves to be the case, we believe Vagar Ridge has the
potential to become a globally significant discovery. We aim to
further test the size and prospectivity of this target during the
Additionally, we have discovered five further prospects over the
Vagar Licence with similar structures and alteration as seen at
Vagar Ridge, and these will also be the focus of further
Our mineral system model and geophysical interpretations
continue to highlight that we are sitting on a highly prospective
land package that is associated with regional scale geological
systems that link Southern Greenland to North-East Canada and
The growing potential in our portfolio is happening with the
backdrop of Greenland emerging as a strategically important,
sustainable, low risk OECD jurisdiction for gold and other mineral
Discussion on Results
The Vagar licence is situated 25km north of the Nalunaq project
and AEX's exploration camp and centre of operations.
Historical exploration on the Vagar Ridge target provided
initial indications of both Orogenic and Intrusion Related Gold
(IRG) mineralisation with up to 2,533g/t gold in auriferous quartz
veins and up to 14.4g/t gold in the host granodiorite. This
Orogenic mineralisation, similar in style to that seen at Nalunaq,
was historically drilled by Nuna Minerals A/S and AEX has been
conducting follow up exploration to ascertain the controls and
scale of mineralisation, not only in the two identified vein hosted
bodies at Vagar Ridge, but also in the granodiorite host and
elsewhere across the licence.
The 2021 exploration program included the following
-- Mineral System Modelling - an ongoing program to understand
the geological context of the Vagar licence and the whole of
Southern Greenland to assist in the delineation of prospective
areas and critical exploration targeting criteria
-- Airbourne Geophysics - 385 km(2) high definition airborne
magnetics and radiometrics flown by New Resolution Geophysics on
100m spaced lines and interpreted by SRK Consulting to provide a
structural control and context to mineralisation
-- Rock Chip Sampling - 150 rock chip and scree slope samples
and 10 stream sediment samples collected and assayed at ALS
Geochemistry to target both Orogenic and Intrusion Related Gold
-- Spectral Imagery - surface spectral images collected across
five target areas aimed at mapping exposed hydrothermal alteration
associated with gold mineralisation.
AEX's Mineral System Modelling has highlighted the importance of
the Vagar area to the controlling geodynamics of the Nanortalik
Gold Belt of Southern Greenland. The licence is located on the
controlling boundary of an important sedimentary basin within an
interpreted subduction-arc system that transects Greenland and into
Eastern Canada. It is also an important intersection point of a
number of key deep structures (translithospheric faults) that acted
as the plumbing for gold mineralisation of the region. Sedimentary
basins within a subduction-arc system can be significant sites of
Orogenic or IRG gold mineralisation as they are often locations of
structural reactivation during collisional tectonics.
The licence wide airborne geophysics has allowed AEX to build on
this model and has further highlighted a significant deformation
zone which extends for more than 50 km across the licence with
abundant elevated gold associated with major structural releasing
bends. A combination of these two studies has resulted in the
identification of six high priority targets with the central target
existing over the Vagar Ridge area.
Follow up reconnaissance sampling in the Vagar Ridge area has
confirmed the presence of high grade Orogenic style gold
mineralisation as well as mineralisation within the granodiorite.
Grab samples have returned up to 86.7g/t gold in a newly identified
quartz vein system on the eastern flanks of the Vagar Ridge area.
These results have allowed AEX to define an advanced gold target of
significant size centring on Vagar Ridge. This 4x3 km target area
hosts the previously recognised Orogenic Veins 1 and 2, as well as
at least two further auriferous veins and widespread granodiorite
mineralisation indicative of an IRG system.
The AEX team has also been assessing this area in terms of
logistics ahead of an expected 2022 exploration campaign.
In summary, the key observations from the 2021 results
-- An understanding of the structural architecture of the region
from Mineral Systems modelling that highlights the significance of
the Vagar licence area regionally and within the Nanortalik Gold
Belt mineral system.
-- Confirmation of the presence of multiple high grade Orogenic
gold veins in the Vagar Ridge area with grade up to 86.7g/t
-- Confirmation of the presence of mineralisation hosted within
granodiorites, indicative of IRG style mineralisation at both the
Vagar Ridge area and in a newly identified northern target (Tom's
Vein area) which returned 9.25 g/t gold.
-- Delineation of a 4km by 3km advanced gold target
incorporating Orogenic and IRG mineralisation styles across the
Vagar Ridge area.
-- The identification of six high priority targets hosting
favourable structures across a 50km long deformation zone.
-- The development of usage of ground based hyperspectral
imagery in guiding exploration and therefore the identification of
significant structurally controlled hydrothermal alteration
signatures at the Vagar Ridge area with repeated signatures also
discovered at the John's Lake and Bismuth Valley targets.
AEX continue to review and assess these results both internally
and with external consultants and will look to action on the
recommendations of this work during the 2022 field season.
Sampling and QAQC Disclosure
All samples were placed into thick Hubco fabric bags with a
sample ticket. Each sample bag was sealed and transported from site
to an accredited laboratory, ALS Geochemistry, Loughrea, Ireland,
Sample preparation scheme PREP-31BY was used on all rock
samples. This involves crushing to 70% under 2 mm, rotary split off
1 kg, and pulverizing the split to better than 85% passing 75
microns. Samples were then analysed by 50 g fire assay with Au-AA26
which has a detection limit of 0.01 ppm Au. In addition, all
samples were assayed with a 48-element Four-Acid Digestion ICP-MS
Stream sediment samples were dried and sieved to 2 mm in the
field before being sent to the lab, where sample preparation scheme
PREP-41 was used on all samples. This involves drying at
<60degC/140degF, sieving the sample to -180 micron (80 mesh).
Samples were assayed for Au, Pd and Pt by 50 g fire assay with
ICP-MS finish using method PGM-MS24 which has detection limits of
0.001 ppm for Au and Pd and 0.005 ppm for Pt. All sediment samples
were assayed with a 48-element Four-Acid Digestion ICP-MS technique
with super trace detection limits (ME-MS61L).
The QA/QC program of AEX consists of the systematic insertion of
certified standards of known gold content and blanks at a rate of 1
in 20 or 5% per QA/QC type. In addition, ALS insert blanks and
standards into the analytical process. The average sample mass was
Qualified Person Statement
The technical information presented in this press release has
been approved by James Gilbertson CGeol, VP Exploration for AEX
Gold and a Chartered Geologist with the Geological Society of
London , and as such a Qualified Person as defined by NI
AEX Gold Inc.
Eldur Olafsson, Executive Director and CEO
+354 665 2003
Eddie Wyvill, Investor Relations
+44 (0)7713 126727
Stifel Nicolaus Europe Limited (Nominated Adviser and
+44 (0) 20 7710 7600
Panmure Gordon (UK) Limited (Joint Broker)
+44 (0) 20 7886 2500
SI Capital Limited (Joint Broker)
+44 (0) 1483 413500
Camarco (Financial PR)
+44 (0) 20 3757 4980
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AEX's principal business objectives are the identification,
acquisition, exploration and development of gold and strategic
metal properties in Greenland. The Corporation's principal asset is
a 100% interest in the Nalunaq Project, an advanced exploration
stage property with an exploitation license including the
previously operating Nalunaq gold mine. The Corporation has a
portfolio of gold and strategic metal assets covering 4,090km(2) ,
the largest mineral portfolio in Southern Greenland covering the
two known gold belts in the region. AEX is incorporated under the
Canada Business Corporations Act and wholly owns Nalunaq A/S,
incorporated under the Greenland Public Companies Act.
This press release contains forward-looking information within
the meaning of applicable securities legislation, which reflects
the Corporation's current expectations regarding future events and
the future growth of the Corporation's business. In this press
release there is forward-looking information based on a number of
assumptions and subject to a number of risks and uncertainties,
many of which are beyond the Corporation's control, that could
cause actual results and events to differ materially from those
that are disclosed in or implied by such forward-looking
information. Such risks and uncertainties include, but are not
limited to the factors discussed under "Risk Factors" in the Final
Prospectus available under the Corporation's profile on SEDAR at
www.sedar.com. Any forward-looking information included in this
press release is based only on information currently available to
the Corporation and speaks only as of the date on which it is made.
Except as required by applicable securities laws, the Corporation
assumes no obligation to update or revise any forward-looking
information to reflect new circumstances or events. No securities
regulatory authority has either approved or disapproved of the
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to be inside information prior to its release, as defined in
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May 09, 2022 13:10 ET (17:10 GMT)
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