Aton pleased with changes to re­sources act in Egypt

Stockwatch Daily - - MINES & METALS - Mr. Mark Camp­bell re­ports

ATON RE­SOURCES Inc. has up­dated in­vestors on the sta­tus of pro po sed changes to the terms of the Min­eral Re­sources Act in Egypt.


It was to­day an­nounced by Prime Min­is­ter Mad­bouly’s Cabi­net that it has ap­proved the long awaited changes to the Min­eral Re­sources Act, and will be mov­ing away from the oil and gas fo­cused Pro­duc­tion Shar­ing Agree­ment (PSA) model and abol­ish­ing the re­quire­ment for a 50:50 Joint Ven­ture with EMRA (the Egyp­tian Min­eral Re­sources Au­thor­ity). The Govern­ment hopes to have the changes rat­i­fied by the Par­lia­ment by the end of the year.

“This is won­der­ful news, not only for Aton share­hold­ers, but for the fu­ture of in­vest­ment into the Egyp­tian min­ing sec­tor and the Egyp­tian econ­omy as a whole” re­marked Mark Camp­bell, Pres­i­dent and CEO. “The recog­ni­tion by the Govern­ment of Egypt that min­eral ex­plo­ration and min­ing are wholly dif­fer­ent busi­nesses to oil and gas has been a long time com­ing. Aton be­lieves the ef­fect that these changes will have on in­vest­ment in ex­plo­ration and min­ing will be sig­nif­i­cant — the scrap­ping of the PSA, for a trans­par­ent tax, rent and roy­alty sys­tem, along with get­ting rid of the re­quire­ment for a 50:50 joint ven­ture with EMRA, should be of great in­ter­est to ex­plo­ration com­pa­nies all around the world. Egypt has vast un­ex­plored ar­eas and is one of the last un­touched min­eral ex­plo­ration fron­tiers in the world. One only has to look at what oc­curred in Ecuador af­ter its Govern­ment amended the min­ing law, to get an idea of what could tran­spire in Egypt. Aton un­der­stands that the Govern­ment plans to stream­line and sim­plify the ac­qui­si­tion of ex­plo­ration li­cences and do away with oil and gas style bid rounds. It is a tes­ta­ment to the vi­sion of Presi--

dent El Sisi and the Min­is­ter of Petroleum and Min­eral Re­sources, Tarek El Molla that these changes are be­ing made, and in short or­der too, and also in choos­ing Wood Macken­zie to ad­vise the Govern­ment on amend­ments and to help im­ple­ment them. Aton ex­pects to ben­e­fit from the pro­posed changes - within our 738 km2 Abu Marawat li­cence area, we have a devel­op­ment project at Ha­mama and 17 solid ex­plo­ration tar­gets, in­clud­ing our ma­jor ex­plo­ration project at Ro­druin. I am con­fi­dent that the fu­ture for Aton and the Egyp­tian ex­plo­ration and min­ing busi­ness is very bright in­deed.”

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, con­tain­ing 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.

We seek Safe Har­bor.

Giles Ed­ward Bayn­ham, Mark Wal­lace Camp­bell, An­thony Paul Cle­ments, William Kout­souras, David Charles Laing, Tonno Vahk

(AAN) Shares: 267,783,223

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