Aton announces repayment of bridge loan and exercise of warrants

CBJ Newsmakers

VANCOUVER, British Columbia, Dec. 18, 2018 (GLOBE NEWSWIRE) — Aton Resources Inc. (AAN: TSX-V) (“Aton” or the “Company“) is pleased to announce the repayment of the Company’s bridge loan with OU Moonrider (“Moonrider”), previously announced November 21, 2018 (the “Bridge Loan”).

Aton reports that all 20,500,000 warrants issued in its December 2015 private placement (the “Warrants”), have been exercised at an exercise price of $0.05 per Warrant, and the Company has issued a total of 20,500,000 common shares to the warrant holders. The proceeds from the exercise of these Warrants have been used to repay the $1,000,000 Bridge Loan, within the six month repayment date.

“I am very pleased to announce that we have repaid our bridge loan early.” said Mark Campbell, President and CEO, “The support from not only our cornerstone investors, but from all of our investors, is amazing and without this support we could not have accomplished our outstanding results. On behalf of all us at Aton, we thank them”.

The Company also reports that 20,000,000 of the Warrants were exercised by insiders, or companies controlled by insiders of the Company, namely, OU Hektik (“Hektik”), Moonrider, and Kouts Capital, a company controlled by director Bill Koutsouras.

Hektik acquired an aggregate of 6,500,000 common shares through the exercise of the Warrants, representing approximately 2.25% of Aton’s issued and outstanding common shares. Hektik previously held 36,673,077 common shares of the Company. Following the exercise of Warrants Hektik owns and controls 43,173,077 common shares of Aton, representing approximately 14.98% of the issued and outstanding common shares of the Company as of the date hereof. Prior to the exercise of Warrants, Hektik owned 13.70% of Aton’s issued and outstanding shares. In addition, if Hektik was to exercise all 16,923,077 share purchase warrants it holds which were acquired in earlier financings, Hektik would own approximately 19.69% of the issued and outstanding common shares of the Company (assuming no other convertible securities of Aton are exercised).

Moonrider acquired an aggregate of 5,500,000 common shares through the exercise of Warrants, representing approximately 1.90% of Aton’s issued and outstanding common shares. Moonrider previously held 64,134,154 common shares of the Company. Following the exercise of Warrants Moonrider owns and controls 69,634,154 common shares of Aton, representing approximately 24.15% of the issued and outstanding common shares of the Company as of the date hereof. Prior to the exercise of Warrants, Moonrider owned 23.95% of Aton. In addition, if Moonrider was to exercise all 57,027,972 share purchase warrants it holds which were acquired in earlier financings, Moonrider would own approximately 36.68% of the issued and outstanding common shares of the Company (assuming no other convertible securities of Aton are exercised).

The acquisition of the common shares by Hektik and Moonrider (the “Acquirers”) were effected for investment purposes. The Acquirers may from time to time acquire additional securities of Aton, dispose of some or all of the existing or additional securities they hold or will hold, or may continue to hold their current position.

The early warning report, as required under National Instrument 62-103, contains additional information with respect to the foregoing matters and will be filed by Hektik on Aton’s SEDAR profile at www.sedar.com.

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.

  Qualified person

The technical information contained in this News Release was prepared by Javier Orduña BSc (hons), MSc, MCSM, DIC, MAIG, SEG(M), FGS, Exploration Manager of Aton Resources Inc. Mr. Orduña is a qualified person (QP) under National Instrument 43-101 Standards of Disclosure for Mineral Projects. 

For further information regarding Aton Resources Inc., please visit us at www.atonresources.com or contact:

MARK CAMPBELL

President and Chief Executive Officer
Tel: +202-27356548
Email: mcampbell@atonresources.com

Note Regarding Forward-Looking Statements

Some of the statements contained in this release are forward-looking statements. Since forward-looking statements address future events and conditions; by their very nature they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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