AURYN Mining Corporation Shareholder Update
AURYN Mining Corporation (OTC: AUMC) is pleased to share the following update with its shareholders.
Financing and Economic Planning
We are pleased to announce that on September 6, 2024, AURYN Mining Chile SpA, our wholly-owned Chilean subsidiary, successfully closed a financing agreement with Strategic Investments S.A.C., valued at up to $4 million. This follows the good faith advance of $500,000 received after the agreement on May 28th.
With financing now fully secured, we can begin the construction and operational launch of a 100-ton-per-day flotation plant. We anticipate the plant will be fully operational by May 2025.
This financial commitment and clear production plan are pivotal steps towards advancing our Fortuna de Lampa project and underscore the potential within the Altos de Lipangue mining district.
Fortuna Operations
In June 2024, we resumed operations at our Fortuna site. The initial tasks included:
- Repairing and enabling the access road to Fortuna and Altos de Lipangue: This road was severely damaged by recent bad weather and unexpected snowfall. Our team worked quickly to restore access, which was crucial for the upcoming tasks. As of this release, the access road has been fully repaired and meets operational standards.
- Constructing a new mining camp: The camp is being built to accommodate the personnel required for extraction and mineral processing tasks, as well as academic staff visiting our project. As of this release, construction is halfway complete, despite several involuntary suspensions due to bad weather fronts that affected the area.
- Draining the Antonino Tunnel and redesigning mining extraction operations: This was necessary to achieve optimal extraction levels. After several weeks of drainage work, the Antonino Tunnel is now fully drained, allowing mining operations to resume normally.
- Mining Plan Developments: Our management team is diligently developing the Mining Plan for Fortuna with the goal of achieving our mineral extraction production targets as quickly as possible. This will enable us to generate the necessary mineral stock to supply the flotation process once the plant becomes operational.
Our technical team is also designing all of our mining operations with the possibility of opening new ore extraction points that will efficiently feed the future flotation plant, which is initially planned to operate at a capacity of 100 tons per day.
Collaborating with Universities
Under the direction of Prof. Dr. Helmut Mischo, his team and students from the University of Freiberg have reviewed extensive data from both Fortuna and the entire Altos de Lipangue mining district. They have delivered comprehensive projects to improve all identified processes at our site for our team’s analysis and consideration.
Similarly, AURYN continues its collaboration with the University of San Sebastian. This semester, the focus has been on the conceptual development of a low-cost filtering and utilization system for the water generated in the Antonino Tunnel. A final report with conclusions and recommendations for its installation is expected to be delivered in September.
Permits
The current exploitation permit for Fortuna is set to expire in the second half of 2024 and must be renewed. We have engaged a specialist consultant to handle this task and to submit a 1,000-ton-per-month production project for Fortuna. The consultant is also preparing the technical dossier for the flotation plant project, which will be submitted for approval by the mining authority in Chile.
Both permits will be submitted under the small mining producers statute, which was enacted in Chile in January 2024. This statute grants a simplified assessment and ensures the continuity of our operations.
Commitment to Transparency and Engagement
AURYN is dedicated to maintaining open and transparent communication with our investors and stakeholders. We understand the importance of keeping you informed and engaged with our progress. Consistent with our practice, we will continue to provide updates through required financial disclosures on OTC Markets and our quarterly shareholder updates.
For further details and to stay up-to-date with AURYN Mining Corporation’s activities, please visit our website and subscribe to email notifications.
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