Aton Resources Inc.
TSX VENTURE : AAN

Aton Resources Inc.

April 20, 2017 08:30 ET

Aton Returns 22.2 Metres of 2.77 Grams per Tonne Gold Equivalent from Hamama West; Visible Gold Discovered at Bohlog

VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 20, 2017) - Aton Resources Inc. (TSX VENTURE:AAN) ("Aton" or the "Company") is pleased to report the results of the first four drill holes from the recently completed 12 hole diamond drill program, totaling 1975 metres, at Hamama West (see news release dated February 21, 2017). In addition, the ongoing regional target identification program has resulted in the discovery of visible gold at Bohlog. Hamama West and Bohlog are both contained within the Company's 100% owned Abu Marawat Concession ("Abu Marawat" or the "Concession"), located in the Eastern Desert of Egypt.

Highlights:

  • All four drill holes intersected mineralization (see Table 1), with drill hole HAD-004 returning 22.2 metres of 2.77 grams per tonne gold equivalent (g/t AuEq).
  • Drill hole HAD-004 is one of the highest-grade and deepest drill holes that Aton has returned from Hamama West to date (see Figure 1).
  • Drill holes HAD-002, 003, and 004 demonstrate and confirm the potential for resource growth at Hamama West.
  • Regional target identification program continues to generate highly prospective exploration targets: visible gold discovered at Bohlog.

Table 1: Hamama West drill results

Hole ID From (m) To (m) Interval (m) Au (g/t) Ag (g/t) AuEq (g/t)* Zn (%)
HAD-001 151.0 158.0 7.0 0.41 36.56 0.93 -
194.0 202.6 8.6 0.14 32.63 0.61 -
HAD-002 87.0 131.9 44.9 0.81 21.64 1.12 0.42
incl. 87.0 118.0 31.0 0.49 16.04 0.72 0.05
incl. 121.0 131.9 10.9 1.90 41.47 2.49 1.57
incl. 127.0 131.0 4.0 3.81 78.18 4.93 4.12
HAD-003 61.0 65.0 4.0 0.07 6.80 0.17 1.37
and 72.0 74.1 2.1 0.04 7.67 0.15 1.05
and 131.0 171.0 40.0 0.96 23.99 1.30 0.13
HAD-004 128.0 131.0 3.0 0.06 5.50 0.14 1.19
and 140.0 143.0 3.0 0.12 12.73 0.31 3.64
and 194.1 200.0 5.9 0.42 15.61 0.64 1.44
and 202.0 224.2 22.2 2.17 41.92 2.77 0.10
*Using a 0.5 g/t AuEq cut off. Gold equivalent was calculated using a 70 gold-to-silver ratio and assumes 100% metallurgical recoveries. Cautionary note: this ratio changes over time.

Hole HAD-001 was designed to test the western extension of the Main Zone (MZ), which strikes under the Western Boundary Fault. Holes HAD-002, 003, and 004 were planned to test the potential for increasing sulphide resources on the eastern flank of the MZ at Hamama West. Today's assay results confirm that potential and the Company looks forward to receiving the balance of the assay results from the eastern flank.

"We're very pleased with the results from the first four drill holes," said Mark Campbell, President and CEO of Aton. "One of the primary goals of this drill program was to demonstrate the potential to grow resources at Hamama West and today's results confirm that potential. In addition, I'm very pleased to see the results that the regional target identification team is generating. In just a short period of time, they have identified a new, highly prospective target, Waayrah, and discovered visible gold in quartz veins at Bohlog in an area that has similar characteristics as Sukari. The presence of visible gold in strongly hydrothermally altered intrusive rocks makes Bohlog an exciting target that warrants further exploration work. The mineralization at Bohlog and Massaghat to the northeast, where Aton have previously returned channel samples assaying up to 470g/t Au (see news release dated August 15, 2012), appears to be of a similar nature and this is very exciting in terms of the potential overall size of the target area. It also demonstrates the large and varied geology within the Abu Marawat Concession and the potential it offers for new significant discoveries."

To view "Figure 1: Hamama West long projection" accompanying this press release, please visit the following link: http://media3.marketwire.com/docs/1092252_Fig1.pdf

To view "Figure 2: Drill hole collar plan" accompanying this press release, please visit the following link: http://media3.marketwire.com/docs/1092252_Fig2.pdf

Regional exploration

Bohlog, located approximately 17km northeast of Hamama (see Figure 3), was recently investigated as part of the Company's ongoing regional target identification program. Field crews uncovered extensive ancient mining apparently exploiting high-grade gold quartz veins, within strongly altered intermediate to felsic intrusive host rocks. Bohlog is comprised of a number of structures but the two main structures, Zone 1 and Zone 2, parallel each other and trend in a northeasterly direction. Zone 1, the northern structure, can be traced through old workings and outcrops for approximately 1.5km while Zone 2, the southern structure, can be traced for approximately 1.2km.

The main structures appear to be shallow dipping, 20-60 degrees to the southeast, and the quartz veins are hosted in an intense quartz-sericite-pyrite alteration zone. The iron-stained quartz veins have patches of iron-oxide boxwork that contain visible gold and supergene lead minerals. Copper staining is also present. The host rock at Zone 1 and the south west end of Zone 2 is phyllic altered quartz diorite or granodiorite. Kaolinite-argillic alteration is also widespread, particularly around Zone 2. The nature and the composition of the alteration suggests that the mineralization is related to an intrusion driven hydrothermal system. Furthermore, there appears to be strong structural controls on the mineralization.

Field crews have taken channel samples from Bohlog, primarily from Zones 1 and 2, and assay results are expected in May.

To view "Figure 3: Abu Marawat Concession area" accompanying this press release, please visit the following link: http://media3.marketwire.com/docs/1092252_Fig3.pdf

About the Hamama deposit

The Hamama deposit ("Hamama") is located at the western end of the 40-km long gold trend at the Abu Marawat Concession and is comprised of three zones, Hamama West, Hamama Central and Hamama East. Hamama West hosts an Inferred Mineral Resource of 341,000 ounces' gold equivalent ("AuEq") and an Indicated Mineral Resource of 137,000 ounces AuEq (see news release dated January 24, 2017). The mineralized horizon at Hamama has a strike length of approximately 3-km and mapping indicates that the prospective horizon (or the hanging wall contact) may be over 6-km long. Other potentially mineralized horizons, separate from the main mineralized horizon, have also been mapped in the general Hamama area.

About Aton Resources Inc.

Aton Resources Inc. (TSX VENTURE:AAN) 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 Sukari gold mine. Aton has identified a 40-km long gold trend at Abu Marawat, anchored by the Hamama deposit in the west and the Abu Marawat deposit in the east. In addition to the Hamama and Abu Marawat deposits, the trend contains numerous gold exploration targets, including three historic gold mines. 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.

Qualified Person

The technical information contained in this News Release was prepared by Roderick Cavaney BSc, MSc (hons), MSc (Mining & Exploration Geology), FAusIMM, SEG, GSA, SME, Vice President, Exploration, of Aton Resources Inc. Mr. Cavaney is a qualified person (QP) under National Instrument 43-101 Standards of Disclosure for Mineral Projects.

For further information regarding Aton Resources Inc., please visit us at www.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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