Aton Resources Inc. - The CEO’s Review of 2018
FOR IMMEDIATE RELEASE
Aton Resources Inc. - The CEO’s Review of 2018
Vancouver, January 7, 2019: Aton Resources Inc. (AAN: TSX-V) (“Aton” or the “Company") is very pleased to
provide investors with a review of the preceding year 2018, by its President and CEO, Mark Campbell
Mark Campbell, President and CEO had the following reflections on 2018: “A year ago, I said that 2017 had
been an exceptional year for us and our exploration teams’ achievements, but these now pale almost into
insignificance not only compared to what they have accomplished in 2018, but also in comparison to what has
been accomplished by Aton as a whole, and everything that has transpired in Egypt over the last year.
This year has not only seen significant strides in the exploration program at Rodruin, but forward progress in
the development of Hamama West, success for the Company in attracting new investors to Aton, and a tectonic
shift in the Egyptian Government’s move to overhaul the mining code.
It seems hard to believe that it is a scant 13 months ago that our exploration team first climbed the remote and
extremely rugged and steep mountain near Eradiya that had no name, but turned out to be what was known
as the “lost mountain of gold” and that we now call Rodruin. With intrepid hard work by our geologists we were
able to perform the vital initial exploration work , carrying out a comprehensive surface sampling program that
indicated the presence of gold mineralization over a wide areal extent at Rodruin. We then built a 4.5-kilometer
road up the side of the mountain, as well as constructing several more kilometers of drill access roads around
the South Ridge along with numerous drill pads , while all along continuing our surface and channel sampling
program. We then began our reverse circulation percussion (“RC”) drilling program at the end of August, the
first in Egypt in twenty years. In spite of the early glitches with the rig, which were to be expected and with local
crews new to RC drilling, Capital Drilling performed like champs , getting into their stride and performing
impressively in tough drilling conditions. By early December, almost exactly a year after the first discovery of
Rodruin, we had completed our initial 4,000 meter drilling program, with some very impressive results. The
results have so far borne out our exploration team’s view that sub-surface gold mineralization occurs over a
wide area at Rodruin at good grades, with high-grade shoots and zones interspersed throughout, and also
carrying good zinc and silver values in places. Gossan-hosted oxide gold mineralization has been identified at
surface from several different zones, and good widths of primary sul fide mineralization at depth indicates the
potential for a large bulk minable target at Rodruin, and we have not even got to the North Ridge yet!
Our plan now is to start the second phase of the RC drilling program at Rodruin, following up on the successful
first phase and also to test the very high grades above 300 g/t Au sampled from surface on the North Ridge,
while taking breaks to drill some of the most prospective of our other 17 exploration targets, with a view to
building value into our overall exploration portfolio at Abu Marawat.
In November of 2017 the Company announced its intention to make a declaration of commerciality at Hamama
West and began the process of producing a study for the Egyptian Mineral Resources Authority ( “EMRA”) in
support of this declaration as per our Concession Agreement. We engaged the engineering co nsultancy,
Wardell Armstrong International (“WAI”) , to oversee the delivery of this study in support of a commercial
declaration. The study was submitted to EMRA on May 31 last year, two months ahead of t he contractually
required date, which was an outstanding result by WAI and the other subcontractors, Metallurg and Cube
Consulting. Again, another great achievement!
Additionally, belief in Aton’s exploration team, management and board saw us add new investors to our
shareholder list. Most significantly was Sandstorm Gold Royalties Ltd, the large and very successful TSX listed
gold royalty streaming company , as well as for the first time in the C ompany’s history, domestic Egyptian
investors. It is very gratifying and humbling to receive the confidence, trust and support f rom these new
shareholders.
But maybe the most significant development is one that will not only be transformational for Aton and its
worldwide shareholders, but most importantly for Egypt, its future exploration and mining industry, its economy
and its people, is the Government’s recognition of the need to reform its mining law and to attract much-needed
investment into the sector. The reason that Egypt has developed only one operating gold mine in the last 100
years is not due to its geological potential, which is recognized to hold vast undiscovered and under explored
mineral wealth, but from a misguided mining regime that had been put in place back in the early 1980’s. At the
time it was thought that as both oil & gas and mining are extractive industries, the oil & gas production sharing
agreement structure would work for both. However, this did not recognize that although both are extractive
industries, that is where the similarity ends, and that their economics are wholly different. It is like saying Uber
and American Airlines are the same business just because they are both in transportation! And because the
mining industry had lain dormant for so many decades, there was unfortunately nobody within the governing
bodies who had the experience to guide the lawmakers. Having been personally involved in gold exploration
in Egypt for the last quarter of a century, it was at times, soul des troying to see Egypt’s vast mineral potential
being wasted by its inability to attract exploration investment. What was needed was vision and at the beginning
of last year this started to appear. In my opinion, President El Sisi is the most pro-investment leader this country
has ever had and he saw that there was something wrong, resulting in the lack of development in the sector.
But just as importantly, Egypt has a Minister of Petroleum and Mineral Resources, whose accomplishments in
the oil & gas sector have been nothing short of amazing, who also saw that there was a problem. He also
recognized that not being from the mining business, he needed some experienced independent advice. Thus,
in March of last year the Ministry engaged the global resources consulting firm, Wood Mackenzie, to undertake
a study to highlight the impediments to investment in the sector, and to develop recommendations on the
required changes that needed to be made, and a roadmap to implement them. Wood Mackenzie have been
extremely successful in helping Ecuador to develop a new successful exploration industry. This is the biggest
shift in terms of thinking regarding Egyptian mining policy in 40 years. It has been very clear from the public
pronouncements made by the Minister that Egypt is totally committed to this reform and that they are working
at a very rapid pace to implement the required changes . We look forward to seeing these changes and the
positive benefits they will bring, not only to Aton shareholders, but for exploration investment in Egypt.
I would like to say that none of this could have been accomplished if not for our outstanding exploration team,
both expat and national, based at the Hamama exploration camp, and our staff in both Cairo and Vancouver.
It is a real privilege for me to be as sociated with them. It is also important to recognize the support that we
have received from our contractors, consultants, suppliers and legal advisors, for they have also helped to
make this possible. Furthermore, the support and guidance from our Directors and Advisory Directors over the
past year has been a huge help in achieving our goals and especially to me personally. And of course, it goes
without saying that I extend my gratitude to our investors, both new and old, who have supported us over the
years, and in particular to our two cornerstone investors OU Moonrider and OU Hektik . It has been through
their belief in Aton and unswerving support that we have gotten to where we are today. To all of them I extend
my most heartfelt thanks.
In closing may I take this opportunity on behalf of all of us at Aton Resources to wish everyone a happy, healthy
and prosperous 2019.”
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 200km
north of Centamin’s Sukari gold mine. Aton has identified
a 40km long gold mineralised trend at Abu Marawat,
anchored by the Hamama deposit in the west and the Abu
Marawat deposit in the east, c ontaining numerous gold
exploration targets, including three historic British mines.
Aton has identified several distinct geological trends within
Abu Marawat, which display potential for the development
of RIRG and orogenic gold mineralisation, VMS precious
and base metal mineralisation, and epithermal -IOCG
precious and base metal mineralisation. Abu Marawat is
over 738km2 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.
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: [email protected]
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.
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