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Medinah to off-load Altos de Lipangue gold-copper project to AURYN

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Medinah to off-load Altos de Lipangue gold-copper project to AURYN

Medinah MineralsInc. said April 5 that it signed a memorandum of understanding withAURYN Mining Chile SpAregarding the sale of the former's Altosde Lipangue group of gold-copper mining claims.

The deal calls for AURYN to assume all rights on the projectin exchange for a 25% stake in the company. AURYN will also grant an option to Medinahto acquire an additional 5% in AURYN for US$50 million within five years.

In conjunction with three previously reported acquisitions ofnearby exploration entities, this MOU effectively amalgamates 100% of the Altosde Lipangue project claims.

On completion of the deal, all previous option agreements willbe canceled. Medinah optioned85% of the project to AURYN in 2014.

The transaction is expected to be formalized in the week of April30.