Auryn Closes Non-Brokered Private Placement and Bridge Loan Amendment

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[{"type":"text","content":"Auryn Closes Non-Brokered Private Placement and Bridge Loan AmendmentVANCOUVER, BC / ACCESSWIRE / February 6, 2020 / Auryn Resources Inc. (TSX:AUG)(NYSE American:AUG) (\"Auryn\" or the \"Company\") is pleased to announce that it has closed its previously announced non-brokered private placement for gross proceeds of CAD$10.1 million which consisted of the issuance of 6,312,500 common shares (the \"Shares\") priced at CAD$1.60 per Share (the \"Offering\"). The private placement included total insider participation of 271,875 Shares for proceeds of $435,000.Concurrent with the closing of the Offering, the Company completed the amendment to its September 2019 bridge loan (the \"Loan Amendment\"). The Loan Amendment allows the lender to convert the $3 million of principal that has been advanced to-date, and $123,334 of interest that has accrued to-date, into common shares at the placement price of $1.60, allowing for the issuance of up to 1,952,084 common shares on conversion. The Loan Amendment also gives the Company the right to require conversion if the Company's common shares trade on the TSX at a price of $2.50 or more for any five consecutive trading days prior to the loan's maturity date. The interest rate of the bridge loan has been reduced to 5% per annum from the date of the Loan Amendment.The Company intends to use the net proceeds from the placement to fund continued surface exploration at its Sombrero and Curibaya projects located in southern Peru and for general working capital.The Shares issued under the Offering are subject to a four-month hold period under Canadian securities laws. A total of $59,000 was paid in commissions for the Offering.On Behalf of the Board,Ivan BebekExecutive Chairman and DirectorFor further information on Auryn Resources, please contact Natasha Frakes, Manager of Corporate Communications at (778) 729-0600 or [email protected] AurynAuryn Resources is a technology-driven junior exploration company focused on finding and advancing globally significant precious and base metal deposits. The company has a portfolio approach to asset acquisition and has seven projects, including two flagships: the Committee Bay high-grade gold project in Nunavut and the Sombrero copper-gold project in southern Peru. Auryn's technical and management teams have an impressive track record of successfully m...

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