The company said a single trench, #17, dug in the central part of the trenched area at Notches prospect encountered conglomerated hosted pervasive silica-sulfide alteration and mineralisation with 1-15% sulphides, magnetite, tourmaline "and rare visible gold".

The best assay from the conglomerate was 3.2g/t gold over 4.4m, including 0.87m at 8.94g/t, while the best channel sample from the vein was 0.6m at 3.54g/t.

Aurion said more than 4,950 rock samples collected from Risti to date averaged 8.23g/t and the 1,487 samples from Notches averaged 3.6g/t.

"Trenching has proven to very effective in following up surface boulder discoveries across the Risti project," president and CEO Mike Basha said.

"Moreover, encountering a new style of gold mineralisation in the conglomerates presents a new target throughout the whole Risti project."

He said the company was well funded to advance the Aamurusko discovery and the Risti project "into the foreseeable future". 

Aurion reported having C$3.4 million (US$2.5 million) in cash at the end of September to settle liabilities of $1.1 million ($0.8 million).

Despite strength in the gold price this week, Aurion shares dropped more than 11.8% or C13c yesterday to 97c, capitalising it $67.3 million.

Its shares had been above $2 in January and again briefly in September but have spent much of the year around 80c.