Mr. Tonno Vahk reports

ATON REPORTS WIDE ZONES OF SURFACE MINERALISATION FROM CHANNEL SAMPLING AT SEMNA AND FINAL RC DRILL RESULTS FROM ZENO

Aton Resources Inc. has provided an update to investors on further exploration results from its Abu Marawat concession, in the Eastern Desert of Egypt, including channel sampling results from the new Semna drill discovery and the final reverse circulation (RC) percussion drilling results from the Zeno prospect.

Highlights:

• Seven mechanical saw-cut channel sampling profiles have been completed at the Semna prospect, for a total length of 331 metres, along exposed rock faces and drill road cuttings. The channel profiles were sampled at nominal two m intervals. Significant mineralized intersections from this program include:
  • 2.80 grams per tonne (g/t) gold (Au) over a 39.3 m interval (profile SMC-065), associated with shallow-dipping stockwork veins on the Central vein zone;
  • 2.60 g/t Au over a 39.3 m interval (profile SMC-066), associated with exposed mineralization on the eastern extension of the Main vein zone; and
  • 3.02 g/t Au over a 21.6 m interval (profile SMC-069), associated with a narrow footwall structure to the Main vein zone.
• At the Zeno prospect, 21 RC holes were drilled for a total of 3,216 m, with the program designed to test a number of different mineralized veins and structures, which had been identified at surface. Significant mineralized intersections from this program include:
  • 9.77 g/t Au over a three m interval, from a downhole depth of 42 m (hole ZEP-005);
  • 4.16 g/t Au over a six m interval, from a downhole depth of 107 m (hole ZEP-020); and
  • 2.60 g/t Au over a five m interval, from a downhole depth of 74 m, and 8.63 g/t Au over a one m interval, from a downhole depth of 87 m (both from hole ZEP-016).

"We are pleased to announce more very positive exploration results from our new Semna discovery today, this time the results from a recent surface channel sampling program," said Tonno Vahk, chief executive officer. "The results show broad zones of good grade mineralization outcropping at surface, and appear to confirm the continuity of the high-grade mineralization identified in the 2023 RC drilling all the way up to surface. Perhaps most importantly, the results continue to support the interpretation of a major structural system at Semna with high-grade mineralization hosted in multiple veins and structures, and in various orientations. We have now executed a contract with Geodrill to undertake a second phase of diamond drilling at Semna, as we fast-track the project. We now expect the drilling to be under way next week, with an initial 5,000 m of drilling planned. We are also pleased to report the final results from the RC drilling at Zeno last year, which returned a number of high-grade intersections, from a prospect which is only about four km away from Semna. Aton firmly believes that the wider area, on which we are planning an aggressive exploration program, stretching all the way from Sir Bakis in the west through Bohlog, Zeno and Black Gaharish, to Semna East, has excellent potential to host additional very significant structurally controlled orogenic gold deposits, similar to what Semna already appears to be shaping up to be."

Semna prospect

The Semna prospect is located approximately 27 km east-northeast of the Hamama West deposit and 13 km north-northeast of the Rodruin deposit, and is accessed via desert tracks from either Hamama, Rodruin or the Abu Marawat deposit to the north. The Semna area has a long history of gold mining, during both ancient and modern times. Archeological evidence suggests that mining dates back as far as the Old Kingdom period, over 4,500 years ago. In modern times, Semna was exploited between 1904 and 1906 by two British companies, which worked the Main vein on two underground levels. There was also some further development work carried out at Semna in the 1950s by an Egyptian company.

Semna channel sampling

Seven channel profiles, SMC-065 to SMC-071, were cut and sampled at the Semna prospect, for a total sampled length of 331.1 m during late 2023. Profiles were marked up along exposed faces and drill roads, where appropriate, in areas of potential surface mineralization. After the faces and road cuttings had been exposed and cleaned up by an excavator, they were prepared for channel sampling. The channels were created by cutting two parallel cuts, approximately 50 millimetres (mm) apart, with a large generator-powered angle grinder. The channel was subsequently sampled using a hammer and chisel with the sampled material excavated from between the two saw cuts, at nominal two m sample intervals. All channel profiles were mapped and photographed, and the start and end positions of each sample were surveyed using a differential GPS (Global Positioning System) survey system.

Discussion of results

Details of the mineralized intersections from the channel profile sampling are provided in the table entitled "Mineralized intersections from the Semna channel sample profiles." Several well-mineralized zones were identified with intersections including 2.80 g/t Au over a 39.3 m interval (profile SMC-065), 2.60 g/t Au over a 39.3 m interval (profile SMC-066) and 3.02 g/t Au over a 21.6 m interval (profile SMC-069).

The mineralization in profile SMC-065 was associated with a stockwork zone consisting of narrow, primarily shallow southeast-dipping quartz veins, and included several discrete high-grade zones. These high-grade zones returned individual sample assays including 19.3 g/t, 17 g/t, 11.95 g/t and 8.59 g/t Au, the last of which was associated with a shallow ancient working approximately 1.5 m in width. The mineralization is interpreted as being associated with a shallow cross-structure, which was not intersected in the reverse circulation drilling. This is highly encouraging as it is suggestive of a significant structural system at Semna with a broader array of mineralized veins and zones, rather than just a few discrete mineralized structures such as the Main vein zone (MVZ), which was targeted by the RC drilling (see news release dated Dec. 18, 2023).

The mineralized intersection in profile SMC-066 was sampled at the foot of the mountainside on the margin of wadi sediments, and is located approximately 40 m to 50 m up-dip of the high-grade mineralization intersected in RC hole SMP-018 (11.98 g/t Au over a 16 m interval, see news release dated Dec. 18, 2023). The results from SMC-066 indicate probable near-vertical continuity of this mineralization to the base of the overlying wadi alluvium, and to surface, where its exposed margin was sampled in SMC-066.

The wider zone of mineralization in profile SMC-069 was associated with a narrow quartz vein located in the footwall of the MVZ, and returned an assay of 41.9 g/t Au from a one m wide individual sample, again indicating the presence of multiple high-grade structures at Semna. Lower-grade mineralization was also intersected at the end of this profile, and is possibly indicative of further blind mineralization concealed under wadi sediments immediately to the south of this channel profile.

Profiles SMC-067 and SMC-068 tested a massive white quartz vein approximately two m wide, which is interpreted as being a faulted offset of the MVZ. The lower grades in this zone were consistent with the samples being taken largely from the quartz vein in these profiles, with the gold interpreted as being largely in the altered wall rocks, rather than the quartz vein itself. A single 1.7 m wide sample from SMC-067 returned an assay of 5.69 g/t Au from the immediate hanging wall of the quartz vein.

Zeno prospect

The Zeno prospect area is located approximately four km west of the Semna gold mine and 12 km north of the Rodruin mineral deposit. Artisanal miners have been very active in the general Zeno area since about 2020, and have excavated numerous open-pit and underground workings over a wide area on what Aton believes to be potentially high-grade gold mineralized veins and structures. Surface sampling by Aton of visible gold-and-iron-oxide-bearing quartz veins has returned assays including 117.5 g/t Au and 100.5 g/t Au (see news release dated May 30, 2018), and, more recently, 104.5 g/t Au and 67.1 g/t Au (see news release dated June 26, 2023). The quartz veins and mineralized structures are almost universally hosted in granodioritic intrusive rocks at Zeno, belonging to the basement Older Granites suite.

Zeno RC drilling

Twenty-one drill holes, ZEP-001 to ZEP-020, were drilled at the Zeno prospect, for a total of 3,216 m during the 2023 regional RC drill program. The first-pass program was designed to test a number of mineralized veins and structures, many of which have been exploited near to surface by artisanal miners, or dahabbas, in recent years.

Discussion of results

Mineralized intersections from the drilling are presented in the table entitled "Final mineralized intersections from the Zeno RC drilling." The majority of the holes intersected narrow zones of mineralization, returning intersections including 9.77 g/t Au over a three m interval (hole ZEP-005), 4.16 g/t Au over a six m interval (hole ZEP-020), and 2.60 g/t Au over a five m interval and 8.63 g/t Au over a one m interval (both from hole ZEP-018a).

The results from the first pass of drilling are encouraging, with many of the holes intersecting depth extensions of the mineralization identified at surface. There are numerous mineralized veins and structures covering a wide area at Zeno, and intersection of the narrow, high-grade, vein-style mineralization at depth, notably in hole ZEP-005 (9.77 g/t Au over a three m interval), is encouraging from a first-pass program with only a single hole drilled into most of the tested structures. It is noted that many of the veins and structures can be mapped on the ground at Zeno over strike lengths of hundreds of metres, and while the first-pass program has identified good grades of gold in several of the structures, this first-pass drill program was very preliminary in nature.

Exploration activity update

A contract was signed with Geodrill For Leasing and Specialized Services Freezone LLC (the local Egyptian subsidiary of Geodrill) on Jan. 30, 2024, to undertake a second-phase program of diamond drilling at Semna, consisting of an initial 5,000 m. Geodrill completed the 2023 regional RC drilling program at Abu Marawat, and is a leading exploration drilling company with operations currently on two continents and seven countries, and operates a fleet of 82 surface and underground drill rigs. Geodrill will supply a crawler-mounted UDR200 diamond drill rig and service unit to undertake the program, which is expected to start within the next seven days.

A second batch of lower-grade samples from Semna has been submitted for metallic screen fire assay analysis, to assess the relative abundance of coarse gold in the Semna mineralization. The results of both batches of samples will be released when they become available.

Aton geologists have been undertaking a continuing mapping and surface sampling program covering the northern Zeno, Bohlog and Black Gaharish areas, focusing on areas recently exploited and exposed by artisanal miners, and the company expects to release the results of this exercise in the coming weeks.

Sampling and analytical procedures

Semna channel sampling

Exposed faces and access road cuttings selected for channel sampling initially had their exposed faces cleaned by an excavator, prior to sampling. A single continuous sample channel was cut along each profile using a large, generator-powered angle grinder. Sample intervals were marked up on the cleaned faces with spray paint, with the start and end points of individual samples marked on the exposed faces. The channels were created by sawing two parallel cuts, approximately 50 mm apart, with the angle grinder. The cut channel was subsequently sampled using a hammer and chisel, with the sampled material excavated from between the two cuts. The profiles were sampled at nominal two m intervals, but with individual sample lengths varying from less than one m to greater than three m, as appropriate.

Samples were bagged up in cloth bags, and dried and crushed to minus-four mm at Aton's on-site Rodruin sample preparation laboratory, and split to a nominal approximately 250-gram to 500 g sample size.

The dried, crushed and split samples were shipped to ALS Minerals sample preparation facility at Marsa Alam, Egypt, where they were pulverized to a size fraction of better than 85 per cent passing 75 microns. From this pulverized material, a further subsample was split off with a nominal approximately 50 g size, which was shipped on to ALS Minerals at Rosia Montana, Romania, for analysis.

Samples were analyzed for gold by fire assay with an atomic absorption spectrometry (AAS) finish (analytical code Au-AA23) and for silver, copper, lead and zinc using an aqua regia digest followed by an AAS finish (analytical code Ag-AA45). Any high-grade overlimit gold samples (more than 10 parts per million (ppm) Au) were reanalyzed using analytical code Au-GRA21 (also fire assay, but with a gravimetric finish).

Zeno RC drilling

The RC holes were drilled at 5.75-inch or 5.5-inch diameter, and the bulk percussion chip samples were collected directly into prewritten large plastic bags from the cyclone every metre, numbered with the hole number and hole depths, and laid out sequentially at the drill site. Between each metre of drilling, the cyclone and top box were cleaned out with compressed air. The bags were logged on the drill sites by Aton geologists. The bulk one m samples were weighed, and subsequently riffle split through a three-tier splitter on site by Aton field staff to produce an approximately one-eighth split, which was collected in cloth bags, numbered, and tagged with the hole number and depth. The splitter was cleaned with compressed air between each sample. The reject material from this initial bulk split was rebagged, labelled and tagged, and retained on the drill site. A representative sample of each metre was washed, stored in marked plastic chip trays, each containing 20 m of samples, photographed and retained on site as a permanent record of the drill hole.

The one m split samples, weighing approximately five kilograms (kg) each, were then transported to the Rodruin sample processing facility, where they were one-half riffle split into two separate subsamples weighing approximately 2.5 kg. One of these subsamples was marked and labelled, and retained at the laboratory for storage. The second one m subsamples were then combined into four m composite samples, weighing approximately 10 kg. These were thoroughly mixed and again riffle split to produce a nominal approximately 250 g to 500 g four m composite sample which was dispatched to ALS Minerals for analysis. Again, the splitter was cleaned with compressed air between each sample. The laboratory composites were allocated new sample numbers. The bulk reject material from the riffle split four m composite samples was disposed of.

Quality assurance/quality control (QA/QC) samples were inserted into the four m composite sample stream at a rate of approximately one certified reference material (or standard sample) every 60 samples, one blank sample every 30 samples and one field duplicate split sample every 30 samples.

The four m composite samples were shipped to ALS Minerals sample preparation laboratory at Marsa Alam, Egypt, where they were pulverized to a size fraction of better than 85 per cent passing 75 microns. From this pulverized material a further subsample was split off with a nominal approximately 50 g size, which was shipped on to ALS Minerals at Rosia Montana, Romania, for analysis.

The four m composite samples were analyzed for gold by fire assay with an atomic absorption spectroscopy finish (analytical code Au-AA23). Any high-grade samples (more than 10 g/t Au) were reanalyzed using analytical code Au-GRA21 (also fire assay, with a gravimetric finish).

Upon receipt of the final assay results from the four m composite samples from ALS, some of the one m subsamples retained at Rodruin were selected by a senior Aton geologist for reassaying, corresponding to four m composite assays, deemed to be of significance. These selected one m split samples were again riffle split to produce a nominal approximately 250 g to 500 g one m split sample which was dispatched to ALS Minerals for the same sample preparation at Marsa Alam and analysis at Rosia Montana. The bulk reject material from the one m subsample splits was rebagged and retained on site for storage at Rodruin.

The one m split samples were analyzed for gold by fire assay with an atomic absorption spectroscopy finish (analytical code Au-AA23), and for silver, copper, lead and zinc using an aqua regia digest followed by an AAS finish (analytical code Ag-AA45). Any high-grade gold samples (more than 10 g/t Au) were reanalyzed using analytical code Au-GRA21 (also fire assay, with a gravimetric finish).

All intersections herein reported relate to one m split samples.

About Aton Resources Inc.

Aton Resources is focused on its 100-per-cent-owned Abu Marawat concession, located in Egypt's Arabian-Nubian Shield, approximately 200 kilometres north of Centamin's world-class Sukari gold mine. Aton has identified numerous gold and base metal exploration targets at Abu Marawat, including the Hamama deposit in the west, the Abu Marawat deposit in the northeast and the advanced Rodruin exploration prospect in the south of the concession. Two historic British gold mines are also located on the concession at Semna and Sir Bakis. Aton has identified several distinct geological trends within Abu Marawat which display potential for the development of a variety of styles of precious and base metal mineralization. The Abu Marawat exploitation lease is 57.66 square km in size, covering the Hamama West and Rodruin mineral deposits, and was established in January, 2024, and is valid for an initial period of 20 years. The concession also includes an additional 255 square km of exploration areas at Abu Marawat, retained for a further period of four years from January, 2024. Abu Marawat is located in an area of excellent infrastructure -- a four-lane highway, a 220-kilovolt (kV) power line and a water pipeline are in close proximity, as are the international airports at Hurghada and Luxor.

Qualified person

The technical information contained in this news release was prepared by Javier Orduna, BSc (honours), MSc, MCSM, DIC, MAIG, SEG(M), chief geologist of Aton Resources. Mr. Orduna is a qualified person under National Instrument 43-101 -- Standards of Disclosure for Mineral Projects.

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