The Greyhound project comprises 10 mining leases and 3 claims totaling 13,586 hectares located in the central Churchill region of Nunavut, Canada located north of the community of Baker Lake and approximately 32 km south of Agnico Eagle's Meadowbank gold mine. An all-weather road to the Meadowbank Mine from Baker Lake crosses portions of the Greyhound property which greatly enhances the project's access and infrastructure setting the project apart from many other exploration projects in the north.
The project is a highly prospective gold and silver property that lies within an under-explored Archean Greenstone Belt. Prospecting has uncovered sub-cropping rock assaying up to 28 g/t gold, 5,380 g/t silver, 9.2% copper and 18.5% zinc. These showings lie along a discontinuous horizon of Archean magnetite iron formation (BIF) which have been hosts to other Canadian producing precious metal mines.
In June 2014, Aura entered into an option agreement with Agnico Eagle Mines Limited which initially allowed Agnico Eagle to earn a 51% interest in the Greyhound project. During the first three years of the option agreement, as operator, Agnico Eagle incurred a total of $1,750,000 in exploration expenditures and provided a total of $210,000 in cash option payments to the Company in order to earn a 51% interest in the project. Following the earn-in, Agnico Eagle continues to act as operator and continues exploration programs at Greyhound under the terms of a joint operating agreement. Aura retains a right to co-fund its pro-rata share of exploration expenditures or be subject to dilution of its project interest. Aura currently holds a 43.54% interest in the Greyhound project.
The Greyhound project is located 40 km north of the community of Baker Lake, Nunavut and about 32 km south of Agnico's producing Meadowbank gold mine. An all-weather road to the Meadowbank Mine from Baker Lake crosses the Greyhound property making exploration relatively inexpensive compared to other areas in the high arctic. Compared to the prolific Abitibi Belt in Southern Canada the Woodburn Lake group has not seen much exploration and is considered to have high potential for discovery of precious metal deposits. However, due to the perceived remoteness of the area, past exploration for gold and base-metals has been relatively minor, particularly compared to that of other greenstone belts in the world.
The prospective trend that was staked occurs along a 25 kilometre-long, variably mineralized sulphide and iron oxide and carbonate iron formation where historic sampling of bedded, sulphide-mineralization returned silver assays along with significant base-metal content. Various airborne and ground surveys were conducted from 2006 to 2009 and in 2010 Aura initiated its first drill program directed towards discovery of VMS deposits (volcanic massive sulphides). Samples collected by the Company contained up to 4.1% Cu, 13.4% Zn, 8% Pb, 2,700 g/t Ag and 28g/t Au and to the northeast of Aura Lake a series of boulders contained up to 18.5% Zn and 9.2% Cu.