VANCOUVER, March 20, 2015 /CNW/ - Auryn Resources Inc.
(TSX-V: AUG, "Auryn") and North Country Gold Corp. (TSX-V: NCG,
"North Country") jointly announce the execution of a definitive
Joint Exploration Agreement (the "JEA") whereby Auryn can earn a
51% interest in North Country's Committee Bay Project in
Nunavut, Canada, under the terms
of the Letter of Intent previously announced on February 5, 2015.
Under the JEA, Auryn has the option to spend $6,000,000 CDN over a 30-month period to earn a
51% interest in the mineral concessions comprising the Committee
Bay Project at which time the parties will share costs pro-rata in
a customary joint venture. Of this amount, $500,000 is a firm commitment to be incurred
within the first 12 months. A technical committee will be formed to
jointly plan and oversee exploration programs. Auryn will have
ultimate discretion over the nature and manner of exploration
undertaken during the earn-in period and will become the Operator
of the ensuing joint venture, while North Country will provide
staff, equipment and consumables as the Contractor to implement
programs.
As a condition of the JEA, Auryn has agreed to purchase
10 million North Country common shares at a price of
$0.05 each as part of a non-brokered
private placement of 20 million common shares of North Country
(the "Common Shares") also previously announced on February 5,
2015 (the "Private Placement").
The TSX Venture Exchange has provided final approval for the JEA
and the Private Placement.
The Common Shares are subject to a hold period expiring on
July 20, 2015.
In connection with the Private Placement, North Country paid
finders' fees of 5% cash to certain agents with respect to certain
subscription agreements. The total finders' fees paid was
$14,375.
With the completion of the JEA, the parties are currently
formulating exploration strategies for the 2015 season. The 2015
program is designed to create a district scale geologic model that
will pave the way for more intensive drill campaigns in 2016 and
2017.
Shawn Wallace President and
CEO of Auryn Resources stated: "We are very pleased to have
completed the definitive agreement with North Country on the
Committee Bay Project. Auryn is very excited to be
participating in unlocking the value of a district scale, high
grade gold exploration opportunity in Canada."
Brian Budd, President of North
Country stated, "North Country Gold welcomes Auryn to the Committee
Bay Project, and is very pleased to have a partner that shares our
belief in the exploration potential of the belt. The combined
expertise of the two companies will continue to create significant
shareholder value through discovery by implementing new ideas and
technologies, and accessing new investment for the
project."
About Auryn Resources: Auryn Resources is a
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 in the discovery, development, financing and
monetizing of mining assets for shareholders.
About North Country Gold Corp: As a proven industry
leader, North Country Gold's vision is to acquire, and aggressively
enhance existing assets while growing the aggregate
value of its high quality gold projects. Applied through
disciplined scientific exploration and development, in stable
and safe mining jurisdictions.
On Behalf of North Country Gold:
Brian Budd
President & Director
Email: brianb@northcountrygold.com
Tel: 604.697.2861
On Behalf of Auryn Resources:
Shawn Wallace
President, CEO and Director
Email: info@aurynresources.com
Tel: 778.729.0600
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) 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. Factors
that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continuity of mineralization, uncertainties
related to the ability to obtain necessary permits, licenses and
title and delays due to third party opposition, changes in
government policies regarding mining and natural resource
exploration and exploitation, and continued availability of capital
and financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees
of future performance and actual results or developments may differ
materially from those projected 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
SOURCE Auryn Resources Inc.