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Aguila American Gold (TSX.V:AGL) is focused on developing its 100% owned Angostura gold project in Peru.
Located in southern Peru's Apurimac Departimento, in Grau Province, the Angostura project is 430 kilometres southwest of Lima, and 180 kilometres southwest of the city of Cuzco.
Daily flights from Lima to Cuzco provide access to the project. A paved highway and gravel roads surround the property.
Multiple sources of water guarantee a steady flow year-round. A power line transects the project boundary.
Lying within a highly prolific gold and copper mining district, major mines and exploration projects near Angostura are the $4.5B Las Bambas Project and $1.4B Tintaya Mine, both owned by mining giant Xstrata Mining.
The Angostura project area totals 7,835 hectares of fully titled concessions.
Between 1993 and 2011, exploration activity on the project has traced oxide mineralization over a 4.8 km strike length.
Mineralization has been interpreted as gold-bearing limestone replacement bodies with mineralization identified at the limestone/sediment contact and at the surface.
Zone 1 has a surface trace of 170 metres by up to 26 metres wide.
Located just to the east, Zone 2's surface trace measures 420 metres in length and up to 75 metre wide with an average width of about 45 metres.
Sampling from both these zones has returned excellent gold and silver values.
Previous work programs at Angostura include geological mapping and trenching in 1993 -1994 on Zone 1, where nine rock chip and grab samples revealed average grades of 3 to 7 g/t gold.
In 2003, 47 trenches and pits measuring up to 17.5 metres in length by 1 metre wide returned up to 5.24 g/t gold over 17.5 meters. Compilation of trench samples from 6 trenches returned an average grade of 3.46 g/t Au over 75 metres for Zone 2. Typical grades ranged from 1.3 g/t gold to 8.2 g/t gold over approximately three metres.
Continued exploration by Aguila in 2010 and 2011 has confirmed the widespread mineralization on multiple zones at the Angostura project.
In 2010, 13 surface samples from Zones 1 and 2 collected along a 150-meter section revealed up to 16 g/t gold over 2 meters, with an average grade of 4.97 g/t gold over 2 meters.
Results of the 2011 surface exploration program successfully extended the known zone of iron carbonate alteration that is associated with the mineralization for more then 800 meters east of the known mineralization.
As a result of the continued success, Aguila has budgeted for a two phase, 8,000 m drill program slated to begin in the May of 2012.
With a binding agreement in place with the local community, all land titles in place and $3.8 million in the bank, Aguila American is well positioned to unlock the potential wealth within the Angostura project.
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