AURYN Mining Corporation (OTC: AUMC) is pleased to share our Q1 2021 accomplishments, Q2 2021 objectives, and outlook for the future.
Q1 2021 – ACCOMPLISHMENTS
- AURYN has a temporary permit for exploration and exploitation. Under this permit AURYN shipped 9 tons of ore at 45 g/t Au to Enami for processing. We expect the definitive permit to be issued next week.
- AURYN began constructing the new Fortuna tunnel. This tunnel, 3 meters x 3 meters in size, is critical to achieving production goals. Construction images are available on AURYN’s gallery. AURYN removed 25 meters of the mountainside to reach a competent rock structure for the tunnel opening, and then advanced an additional 27.5 meters underground. Intersection with the Don Luis vein body is expected to take another 10-15 meters and is likely to be accomplished within a week. During construction of the tunnel, two additional veins were crossed. Samples from these veins have been sent to the lab for assaying.
- In response to the Covid-19 pandemic, AURYN adopted specified protocols providing individual quarters for each worker at the mine. Once pandemic conditions improve AURYN will evaluate plans for the development of a new all-weather camp suitable for year-round conditions.
- AURYN’s objective for Q1 was to achieve a mining rate of 40 tons per day. However, this was not possible without completing the tunnel. With the tunnel being completed shortly, AURYN will hit the 40 tons per day target this quarter.
- AURYN is analyzing which type of concentration and processing plant is best for ore from La Fortuna de Lampa. Meanwhile, we will continue to sell ore to Enami.
AURYN acquired production equipment, including two new compressors, two jackleg drills, and a Bobcat in order to reduce the time required for drilling, blasting, and removal of material. In addition, AURYN acquired a crusher and conveyor belt to reduce the size of the ore and match Enami’s processing requirements. - Students from Universidad San Sebastian conducted 15 practicums resulting in a large repository of data and tools that are extremely helpful to AURYN. These include:
- strategic control & management tools;
- special protocols for management of common and wild animals; and
- new safety standards and protocols to be implemented on our project.
- strategic control & management tools;
- AURYN postponed environmental campaigns with the local community due to the current pandemic situation. Once conditions allow for people to move freely around the country, AURYN expects to execute these campaigns.
Q2 2021 – OBJECTIVES
- Intersect the Don Luis vein and begin exploitation on multiple fronts with regular shipments of ore to Enami. AURYN will ship to two different processing plants. Material with grades over 25 g/t Au will be shipped to one location for direct smelting. Grades below 25 g/t Au will be sent to a second location for flotation processing.
- Continue developing the tunnel to intersect two massive, known structures encountered during previous trenching operations. (See: trenching program update.) These structures are each greater than 2 meters width in the trench. AURYN expects to intersect them this quarter.
- Continue our geological studies and assessment in order to increase production and establish reserves.
- Explore the feasibility, timing, and permitting requirements for the development of an on-site concentration and processing plant.
- Execute a second agreement with the Universidad de San Sebastian to further analyze the entire district including, but not limited to:
- Feasibility of a Flotation Plant project;
- Evaluation and feasibility of improving roads and access;
- A new evaluation of La Fortuna and Lipangue district geology; and
- Feasibility of an infield lab for gold, silver, and copper results from samples taken from the area.
- Feasibility of a Flotation Plant project;
OUTLOOK
The Board of Directors is extremely pleased with, and grateful for, the accomplishments and hard work of our mining team during this challenging time. AURYN expects to become cashflow positive in Q2 or Q3 of FY21.
For further information please visit our website, https://aurynminingcorp.com.
Submitted on behalf of the Board of Directors.
Forward-Looking Statements
This news release contains certain forward-looking statements within the meaning of the United States Securities Exchange Act of 1934, as amended. This forward-looking information includes, or may be based upon estimates, forecasts and statements of management’s expectations with respect to, among other things, the completion of transactions, the issuance of permits, the size and quality of mineral resources, future trends for the company, progress in development of mineral properties, future production and sales volumes, capital costs, mine production costs, demand and market outlook for metals, future metal prices and treatment and refining or milling charges, the outcome of legal proceedings, the timing of exploration, development and mining activities, acquisition of shares in other companies and the financial results of the company. There can be no assurances that such statements will prove to be accurate and actual results and future events could differ materially and substantially from those anticipated in such statements. Mineral resources that are not mineral reserves do not have demonstrated economic viability. Inferred mineral resources are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as mineral reserves. There is no certainty that mineral resources will be converted into mineral reserves.
Contact Information
Auryn Mining Corporation
https://aurynminingcorp.com/
ir@aurynminingcorp.com