Vancouver, British Columbia – August 12, 2015 – Auryn Resources Inc. (TSX-V: AUG, OTCQX: GGTCF, “Auryn” or the “Company”), is pleased to announce that it has arranged a non-brokered private placement to raise approximately $4,800,000CAD. The placement will consist of up to 4.0 million units of the Company at a price of $1.20 per share (the “Offering”) where each unit consists of one common and one common share purchase warrant. Each purchase warrant is exercisable into a common share of the Company at a price of $1.70 per share for a period of 24 months (a “Warrant”). In the event that the Company’s common shares trade at a closing price on the TSX Venture Exchange of greater than $2.40 per share for a period of 20 consecutive trading days at any time after four months after the Closing Date, the Company may accelerate the expiry date of the Warrants by giving notice to the holders thereof and in such case the Warrants will expire on the 30th day after the date on which such notice is given by the Company.
The Company intends to use the net proceeds, as well as its existing treasury, to further the development of the Committee Bay Gold Project in Nunavut, and to continue its pursuit of mineral property opportunities throughout the Americas.
The shares under the Offering will be subject to a four-month hold period and will not be registered in the United States. Commission may be paid on curtained amounts placed by brokers.
Closing of the Offering is anticipated to occur on or before September 15, 2015 and is subject to customary closing conditions including, but not limited to; the negotiation, execution of definitive placement agreements and receipt of applicable regulatory approvals, including approval of the TSX Venture Exchange.
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.
Auryn has signed an agreement to acquire the remaining issued and outstanding common shares of North Country Gold Corp., whom they are currently working with, under a joint exploration agreement, to advance the Committee Bay Gold Project.
On Behalf of the Board
President, CEO and Director
Forward Looking Information
This news release does not constitute an offer to sell or a solicitation of an offer to buy nor shall there be any sale of any of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful. The Common Shares have not been and will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”) or any state securities laws and may not be offered or sold within the United States or to, or for the benefit of, U.S. persons (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or pursuant to an exemption from such registration requirements.
The TSX Venture Exchange Inc. has in no way passed upon the merits of the proposed transaction and has neither approved nor disapproved the contents of this news release.
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.