Auryn Resources Inc.
TSX : AUG
OTCQX : GGTCF

Auryn Resources Inc.

February 24, 2017 07:00 ET

Auryn trenches 53m at 1.75g/t Au at the Sombrero Project, Peru

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 24, 2017) - Auryn Resources Inc. (TSX:AUG)(OTCQX:GGTCF) ("Auryn" or the "Company") is pleased to provide an exploration update from its Sombrero skarn-porhyry gold-copper oxide project located in southern Peru. Trenching results include 53 meters of 1.75g/t Au (including 14 meters of 5.23g/t Au) of oxide mineralization at the margin of a newly discovered 2.3 kilometer by 500 meter gold in soils anomaly (see Figure 1). True widths of these intervals have not yet been determined. In addition, the mineralized footprint of the Sombrero project was significantly expanded with selective grab samples returning up to 7.54g/t gold and 16.0 % copper in areas that have not been sampled historically (see Figure 2 and 3).

Chief Geologist and COO, Michael Henrichsen commented, "The results of our brief two week sampling campaign has expanded the known footprint of gold-copper mineralization to 4.5 kilometers by 4.2 kilometers which has increased the potential scalability of the mineralized system at Sombrero considerably. The discovery of high grade trench intercepts, cohesive gold in soil anomalies and newly identified mineralized skarn bodies within a limited area in the southern part of the project is an excellent start to our property wide exploration program planned for Q2, 2017."

Auryn undertook a two week reconnaissance sampling program in December 2016 which covered the southern half of the project area where 697 meters of trenching, 336 rock chip and 261 soil samples were collected. The results of this program have significantly expanded the known mineralization, defining an area of anomalous gold values that is approximately 2.3 kilometers by 500 meters in a region that had only seen limited historical grab sampling.

Rock chip samples were selectively taken within the area of the soil anomaly on mineralized structures of the outcropping southern skarn system. The rock chip sampling program produced results up to 7.54g/t gold and 16.0% copper in oxides. The top forty rock samples for gold and copper from this program are presented in tables 1 and 2. A newly identified mineralized skarn body has been discovered measuring 300 by 350 meters located 850 meters to the southwest of any previously known mineralization in an erosional window of overlying volcanic cover (see Figure 1). A total of 113 samples were collected from this zone with average grades of 0.13g/t Au and 0.16% Cu. This new discovery is considered significant as we believe it is at the edge of a larger buried skarn system outlined by the magnetics data (see Figure 2 and 3).

The trenching program was designed to test structural trends identified by field mapping and magnetics data in areas where historical grab samples returned multi-gram gold. The northern most trench returned three distinct zones of oxide gold mineralization (see Figure 1) as follows:

  • 53 meters at 1.75 g/t Au (including 14m at 5.23 g/t Au)
  • 37 meters at 1.07 g/t Au (including 11m at 2.65 g/t Au)
  • 11 meters at 0.7 g/t Au

These intervals are estimated to be 35 - 50% of true width based on limited observations of northerly trending structures within the trench. However, it is possible that the mineralization is related to large scale northeast trending structures identified in geophysics and by the previous operator. Additional geological mapping, trenching and geophysical surveys are required to establish the geologic framework on the property to establish the true width of mineralization.

About Auryn

Auryn Resources is a technically driven junior mining exploration company focused on delivering shareholder value through project acquisition and development. The Company's management team is highly experienced with an impressive track record of success and has assembled an extensive technical team as well as a premier gold exploration portfolio. Auryn is focused on scalable high-grade gold deposits in established mining jurisdictions, which include the Committee Bay gold project located in Nunavut, the Homestake Ridge gold project in British Columbia and a portfolio of gold projects in southern Peru, through Corisur Peru SAC.

ON BEHALF OF THE BOARD OF DIRECTORS OF AURYN RESOURCES INC.

Shawn Wallace, President and CEO of Auryn Resources Inc.

Cautionary Statements

The Toronto Stock Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.

This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that the company expects are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. For more information on the Company, investors should review the Company's continuous disclosure filings that are available at www.sedar.com

Soils 2016 (Sombrero, Peru):

Approximately 2 kg of soil material per sample were collected and sent to ALS Lab in Lima, Peru for preparation and then to ALS Lab in Vancouver for analysis. All samples are analyzed for gold and multi-element using 50g nominal weight trace level method by aqua regia digestion and ICP-MS finish (AuME-TL44). QA/QC program for soil samples using internal standard and blank samples; field and lab duplicates indicate good overall accuracy and precision.

Grabs 2016 (Sombrero, Peru):

Approximately 2kg of rock chips material per sample were collected for analysis and sent to ALS Lab in Lima, Peru for preparation and analysis. All samples are assayed using 30g nominal weight fire assay with ICP finish (Au-ICP21) and multi-element aqua regia digest ICP-AES/ICP-MS method (ME-MS41). Where ICP21 results were > 3 g/t Au (11 samples in total) the assay were repeated with 50g nominal weight fire assay with gravimetric finish (Au-GRA22). Where MS41 results were greater or near 10,000 ppm Cu (4 samples in total) the assay were repeated with ore grade Cu aqua regia digest method (Cu-OG46). QA/QC programs for 2016 rock grab samples using internal standard and blank samples; field and lab duplicates indicate good overall accuracy and precision.

Trenches 2016 (Sombrero, Peru):

Analytical samples were taken from each 1 meter interval of trench floor resulting in approximately 2-4kg of rock chips material per sample. Collected samples were sent to ALS Lab in Lima, Peru for preparation and analysis. All samples are assayed using 50g nominal weight fire assay with atomic absorption finish (Au-AA26) and multi-element aqua regia digest ICP-AES/ICP-MS method (ME-MS41). QA/QC programs for 2016 trench grab samples using internal standard and blank samples; field and lab duplicates indicate good overall accuracy and precision.

Intervals were calculated using a minimum of a 0.1 g/t Au cut-off at beginning and end of the interval and allowing for no more than seven consecutive samples (seven meters) of less than 0.1 g/t Au.

Michael Henrichsen, P Geo, COO of the Company, supervised the preparation or approved the scientific and technical disclosure within this news release.

To view 'Figure 1', 'Figure 2', 'Figure 3', please visit the following link: http://media3.marketwire.com/docs/1086890.pdf

Table 1

SAMPLE LONG LAT TYPE MINS Au ppm Ag ppm Cu %
Q921194 -74.417164 -13.899886 rock oxide 7.54 1.72 0.0227
Q921196 -74.417171 -13.899673 rock oxide 7.09 0.89 0.0465
Q921187 -74.416947 -13.900344 rock oxide 6.23 1.14 0.111
Q919731 -74.415436 -13.891167 rock oxide 5.94 0.41 0.0174
Q919732 -74.415424 -13.891188 rock oxide 5.63 0.55 0.0098
Q921188 -74.417014 -13.900224 rock oxide 5.36 1.02 0.045
Q921195 -74.417186 -13.899773 rock oxide 3.99 0.49 0.0777
Q921031 -74.417873 -13.901791 rock oxide 3.28 1.56 0.149
Q921191 -74.417099 -13.900057 rock oxide 3.16 0.6 0.188
Q921189 -74.417069 -13.900139 rock oxide 2.64 0.42 0.0652
Q919724 -74.415468 -13.891025 rock oxide 2.41 0.25 0.0074
Q919722 -74.415532 -13.890985 rock oxide 2.06 0.14 0.0073
Q921159 -74.428877 -13.900764 rock 1.74 0.21 0.0301
Q919723 -74.415505 -13.89101 rock oxide 1.33 0.07 0.0078
Q921001 -74.415179 -13.892474 rock oxide 1.325 2.54 0.0116
Q921035 -74.424161 -13.900526 rock oxide 1.165 11.7 0.012
Q921584 -74.42417 -13.904453 rock oxide 0.931 1.73 0.164
Q919734 -74.415359 -13.891274 rock oxide 0.896 0.22 0.0038
Q919748 -74.415456 -13.892079 rock oxide 0.834 0.43 0.0212
Q921192 -74.417129 -13.899988 rock oxide 0.813 0.46 0.0171
Q919742 -74.41534 -13.891871 rock oxide 0.739 0.43 0.0471
Q919736 -74.41539 -13.891369 rock oxide 0.738 0.1 0.0051
Q919744 -74.415291 -13.891952 rock oxide 0.693 0.48 0.033
Q921563 -74.425678 -13.90409 rock oxide 0.688 4.61 0.0166
Q919721 -74.415573 -13.890934 rock oxide 0.672 0.17 0.0028
Q919740 -74.4153 -13.891562 rock oxide 0.585 0.23 0.0225
Q921034 -74.41793 -13.902792 rock oxide 0.57 0.6 0.031
Q919746 -74.415422 -13.891981 rock oxide 0.545 0.32 0.0276
Q921037 -74.424026 -13.900299 rock sulphide 0.513 6.93 0.0047
Q921521 -74.425197 -13.902403 rock oxide 0.483 4.05 0.23
Q919735 -74.415401 -13.891287 rock oxide 0.461 0.31 0.0133
Q921158 -74.428688 -13.900634 rock 0.457 0.06 0.0653
Q921597 -74.424702 -13.904238 rock oxide 0.447 23.2 0.0692
Q919719 -74.415663 -13.890893 rock oxide 0.445 0.11 0.003
Q919675 -74.414316 -13.898073 rock oxide 0.393 8.18 16
Q919743 -74.415293 -13.891902 rock oxide 0.382 0.75 0.0419
Q921029 -74.417277 -13.90278 rock oxide 0.381 12.35 0.0644
Q919717 -74.415661 -13.890834 rock oxide 0.371 0.11 0.0049
Q919733 -74.41539 -13.891245 rock oxide 0.362 0.07 0.0033
Q921600 -74.415324 -13.892504 rock oxide 0.358 0.28 0.007

Table 2

SAMPLE LONG LAT TYPE MINS Au ppm Ag ppm Cu %
Q919675 -74.414316 -13.898073 rock oxide 0.393 8.18 16
Q921576 -74.424997 -13.904555 rock oxide 0.032 0.57 3.55
Q921482 -74.425175 -13.904164 rock oxide 0.017 1.55 2.36
Q921589 -74.424415 -13.904423 rock oxide 0.088 1.25 0.965
Q919674 -74.414347 -13.898065 rock oxide 0.025 0.28 0.666
Q921591 -74.424609 -13.904502 rock oxide 0.074 0.39 0.634
Q921525 -74.424816 -13.902698 rock oxide 0.087 1.49 0.627
Q919673 -74.414385 -13.898065 rock oxide 0.179 0.41 0.598
Q921582 -74.424449 -13.904242 rock oxide 0.012 0.13 0.561
Q921483 -74.425159 -13.904542 rock oxide 0.032 1.57 0.539
Q919677 -74.414492 -13.897801 rock oxide 0.167 0.99 0.52
Q921162 -74.424496 -13.90309 rock oxide 0.022 1.09 0.462
Q921529 -74.425276 -13.903292 rock oxide 0.228 3.44 0.43
Q921577 -74.424907 -13.904624 rock oxide 0.25 5.06 0.414
Q921167 -74.424099 -13.903535 rock oxide 0.125 4 0.401
Q921523 -74.425139 -13.902283 rock oxide 0.103 1.99 0.383
Q921478 -74.425397 -13.903865 rock oxide 0.044 1.14 0.364
Q921486 -74.424851 -13.904155 rock oxide 0.157 11.05 0.362
Q919679 -74.414508 -13.897736 rock oxide 0.072 1.32 0.339
Q921154 -74.424363 -13.902986 rock oxide 0.05 0.49 0.322
Q921156 -74.424387 -13.903163 rock oxide 0.056 1.14 0.318
Q919678 -74.414507 -13.897756 rock oxide 0.114 0.98 0.315
Q921520 -74.425475 -13.902968 rock oxide 0.044 0.95 0.295
Q921476 -74.425908 -13.90309 rock oxide 0.134 6 0.292
Q921489 -74.424477 -13.903793 rock oxide 0.142 8.39 0.291
Q921522 -74.424933 -13.902353 rock oxide 0.146 16.65 0.283
Q921524 -74.425063 -13.902266 rock oxide 0.282 2.91 0.273
Q921484 -74.42474 -13.90394 rock oxide 0.008 1.47 0.271
Q921166 -74.424691 -13.903056 rock oxide 0.011 0.57 0.251
Q921488 -74.424621 -13.903568 rock oxide 0.026 1.86 0.244
Q919691 -74.426034 -13.90307 rock oxide 0.068 0.71 0.237
Q921521 -74.425197 -13.902403 rock oxide 0.483 4.05 0.23
Q919669 -74.414379 -13.898216 rock oxide 0.032 5.8 0.229
Q921575 -74.425348 -13.90448 rock oxide 0.168 0.41 0.226
Q919699 -74.424122 -13.902871 rock oxide 0.05 0.22 0.223
Q921528 -74.424806 -13.902925 rock oxide 0.196 1.21 0.212
Q921565 -74.425594 -13.904332 rock oxide 0.023 0.31 0.207
Q921587 -74.424507 -13.904626 rock oxide 0.241 0.59 0.206
Q919680 -74.414535 -13.897747 rock oxide 0.008 0.48 0.202
Q919681 -74.414513 -13.897691 rock oxide 0.086 0.98 0.196

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