Company News – Tue 12 Sep, 2017

Auryn Resources commences trenching and submits drilling application on the Huilacollo Project, Peru

Here is the latest news out of Auryn today. While not market moving the Company continues to move forward with its significant exploration program this year. Starting the trenching at Huilacollo and submitting drill applications are all part of the process of exploration. I continue to believe that this project in Peru is being given very little value by the market but through my conversations with the team at Auryn they are very excited about what could come from upcoming drilling.

Make sure you read the Canada update as that is the next news I am expecting out of Auryn. There is a lot of assay results from Committee Bay that should be released as soon as they are received from the labs plus 7,000 meters of drilling at Homestake. If any of these holes hit the stock could get a nice bump.

Click here for my last interview with Ivan (segment 2).

… Here’s the news…

Vancouver, British Columbia – September 12th, 2017 – Auryn Resources Inc. (TSX: AUG, NYSE American: AUG “Auryn” or the “Company”)is pleased to announce that it has initiated extensive surface work at its Huilacollo Project located in Southern Peru in advance of an initial drill program excepted to commence in Q4, 2017.

The surface targeting work, which includes an aggressive trenching and soil survey program, commenced in the northern half of the Huilacollo project (see Figure 1). The goal of this program is to further define significant extensions to the existing gold mineralization in advance of drilling. This work commenced on the back of recently completed revised surface agreements with the local communities which provide long-term access to the project.

The Company has also submitted the required drill permit applications for the program. Once approved, the drill permit will allow for up to 20 drill pads and is designed to target resistivity highs and chargeability lows coincident with oxide gold mineralization (see Figure 1).

Michael Henrichsen C.O.O. and Chief Geologist commented, “We are very pleased that we were able to achieve long-term agreements with the two communities within the Huilacollo project area which will allow us to rapidly advance the project. We strongly believe there is excellent potential for additional oxide gold discoveries across the project area and are excited to be conducting our own systematic work programs as we move toward drilling.”

Other Peru updates:

Auryn is actively pursuing long-term surface rights agreements on the balance of its Peruvian Portfolio including the Sombrero and Baños del Indio properties. Once completed, extensive surface work will commence and in some properties resume, which will be followed by initial drill programs.

Canada update:

In Nunavut, the Company is expecting its second batch of Committee Bay results shortly followed by the geochemical surface results from its Gibson MacQuoid project (located approximately 100km northwest of Agnico Eagles’ Meliadine deposit).

At Homestake Ridge, Auryn has drilled at total of 7,000 meters to date in 15 drill holes along target structural corridors. The first batch of results is expected in the month of October.

Shawn Wallace, President and CEO, commented, “It’s a very exciting time for Auryn shareholders with drill results pending from two projects in Canada and soon from Peru. We believe the opportunity for discovery in Peru represents an exceptional opportunity for value creation and is a strong complement to our high-grade Committee Bay and Homestake projects.”

The Company has approximately $15 million in cash less immediate payables and is financed through the planned programs in 2017.

Michael Henrichsen, P.Geo, COO of Auryn, is the Qualified Person who assumes responsibility for the technical disclosures in this press release.

ON BEHALF OF THE BOARD OF DIRECTORS OF AURYN RESOURCES INC.
Shawn Wallace

President and CEO
For further information on Auryn Resources Inc., please contact Jay Adelaar, Vice-President of Investor Relations at (778) 729-0600 or info@aurynresources.com

About Auryn

Auryn Resources is a technically driven junior mining exploration company focused on delivering shareholder value through project acquisition and development. The Company’s management team is highly experienced with an impressive track record of success and has assembled an extensive technical team as well as a premier gold exploration portfolio. Auryn is focused on scalable high-grade gold deposits in established mining jurisdictions, which include the Committee Bay and Gibson MacQuoid gold projects located in Nunavut, the Homestake Ridge gold project in British Columbia and a portfolio of gold projects in southern Peru, through Corisur Peru SAC.


Forward Looking Information

This release includes certain statements that may be deemed “forward-looking statements”. Forward-looking information is information that includes implied future performance and/or forecast information including information relating to, or associated with the acquisition and title to mineral concessions. These statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements of the Company to be materially different (either positively or negatively) from any future results, performance or achievements expressed or implied by such forward-looking statements. Readers should refer to the risks discussed in the Company’s Annual Information Form and MD&A for the year ended December 31, 2016 and subsequent continuous disclosure filings with the Canadian Securities Administrators available at www.sedar.comand the Company’s registration statement on Form 40-F filed with the United States Securities and Exchange Commission and available at www.sec.gov.

Disclaimer

The Toronto Stock Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.


Figure 1: Illustrates the location of the proposed drill hole and trench locations within the northern half of the Huilacollo property.

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Comments:
  1. On September 12, 2017 at 2:03 pm,
    CFS says:

    A quarterly dividend payment of one cent per common share will be paid on Oct. 16, 2017, to Kirkland Lake Gold Ltd. shareholders of record as of the close of business on Sept. 29, 2017. The payment represents the second quarterly dividend payment made to shareholders following the company’s adoption of a dividend policy in March, 2017. The company’s quarterly dividend qualifies as an eligible dividend for Canadian income tax purposes.

  2. On September 12, 2017 at 2:08 pm,
    CFS says:

    Mirasol JV drills 114.1 m of 1.07 g/t Au at Atlas

  3. On September 13, 2017 at 12:41 am,
    Ulf says:

    Auryn sure has an exciting year ahead. On another note, Mexus Gold has finally started production. Looking to have better average grade than first thought too. A nice bonus.

    • On September 13, 2017 at 1:50 pm,
      Excelsior says:

      Ulf – Yes, I’m very constructive on how things are going now that Mexus is FINALLY in production. Their costs are going to blow away most of their competitors as they are lean & mean and have virtually no debt.

      The marketplace just doesn’t understand their strategy at this point, but that will change…

      Cheers!

  4. On September 14, 2017 at 2:35 am,
    Ulf says:

    Excelsior, one question. The low costs. Is there any reason to believe they will have changed much due to the delays we have seen? (I sound paranoid, I know). I suspect very soon Mexus will declare they are debt free. That should boost us. I do not know how their drill plans are once cash flow is big enough, but imagine the impact if they sink a few holes into the surface Julio vein and announce 5 oz of gold !!!
    Also very much looking forward to an update on the next mine San Felix. Next year, two mines producing. I will kick myself for not buying more, but there is a little thing called risk management of a portfolio, he he.
    best regards