Aton Provides Corporate Update
April 28 2020 - 7:30AM
Aton Resources Inc. (AAN: TSX-V) (“Aton” or the “Company") is
pleased to announce that it requested and has been granted a three
year extension to the final exploration period of its current
exploration license at its Abu Marawat Concession. This allows Aton
to carry on with exploration work on the concession whilst awaiting
the final regulations and amendments to Egypt’s mining laws, which
are designed to make investment and development in the mining
sector much more attractive to investors. The three year
extension should allow ample time for Aton to migrate to the new
regime from its existing concession agreement and benefit from the
improved terms.
Following Aton’s announcement on February 12,
2020 of the approval of its application for an exploitation license
at Hamama and its retained exploration areas within the Abu Marawat
Concession, the Company had numerous discussions with
representatives of the Egyptian Mineral Resource Authority (“EMRA”)
and Ministry of Petroleum and mutually agreed it was in the best
interests of the Company to proceed with a three year extension to
its current exploration license for a number of reasons,
including:
- Avoiding the expense and time
commitment of immediately forming a Joint Venture company with EMRA
to advance the exploitation of the Hamama deposit, in accordance
with the Company’s existing concession agreement;
- Allowing the Company additional
time to continue its exploration program, while at the same time
retaining its right to declare a commercial discovery during the
three year extension period, should it choose to;
- The ability of the Company to
retain more exploration ground given the relinquishment required
under the three year extension is reduced; and
- Avoiding the expense of paying
rental fees on retained areas, given no rental fees will now be
payable during the three year exploration period.
“We are very pleased with this recent
development,” said Mark Campbell, President and CEO, “as it will
allow us to carry on with an aggressive three year work program
that we have planned for our targets such as Rodruin and Abu
Gaharish, as well as at Hamama West while allowing us to negotiate
with the Egyptian authorities a transition from the existing PSA
regime to the new tax, rent and royalty regime.”
The Company has relinquished 25% of the Abu
Marawat concession area, as is required by the existing concession
agreement. The areas relinquished are sterile ground and have
no impact on the Company’s identified exploration targets.
About Aton Resources Inc. Aton
Resources Inc. (AAN: TSX-V) is focused on its 100% owned Abu
Marawat Concession (“Abu Marawat”), located in Egypt’s
Arabian-Nubian Shield, approximately 200 km north of Centamin’s
world-class Sukari gold mine. Aton has identified numerous gold and
base metal exploration targets at Abu Marawat, including the Hamama
deposit in the west, the Abu Marawat deposit in the northeast, and
the advanced Rodruin exploration prospect in the south of the
Concession. Three historic British mines are also located on the
Concession at Sir Bakis, Semna and Abu Garida. Aton has identified
several distinct geological trends within Abu Marawat, which
display potential for the development of a variety of styles of
precious and base metal mineralisation. Abu Marawat is over 596 km2
in size and is located in an area of excellent infrastructure; a
four-lane highway, a 220kV power line, and a water pipeline are in
close proximity, as are the international airports at Hurghada and
Luxor.
For further information regarding Aton Resources
Inc., please visit us at www.atonresources.com or contact:
MARK CAMPBELL
President and Chief Executive Officer Tel:
+202-27356548 Email: mcampbell@atonresources.com
Note Regarding Forward-Looking
Statements Some of the statements contained in this
release are forward-looking statements. Since forward-looking
statements address future events and conditions; by their very
nature they involve inherent risks and uncertainties. Actual
results in each case could differ materially from those currently
anticipated in such statements.
Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
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