Aurania Provides Update on Application for Large Tract of Mineral Concessions in Northern Peru

Toronto, Ontario, May 22, 2020 – Aurania Resources Ltd. (TSXV: ARU) (OTCQB: AUIAF) (Frankfurt: 20Q) (“Aurania” or the “Company”) is pleased to provide additional detail about its application for mineral concessions in northern Peru.  Following careful review of existing geological data from its Lost Cities – Cutucu Project (“Project”) in southeastern Ecuador, the Company believes that is has identified an opportunity for additional copper and gold exploration as a result of the possible extension of a mineral belt from our project in Ecuador into northern Peru (see press release dated Jan 17, 2020).  In order to be able to capitalize on this potential opportunity, Aurania has applied for 419 mineral concessions covering 413,200 Hectares (“Ha”) in northern Peru.  Although the concessions may not formally be granted for several months under Peruvian law, we have already commenced a detailed review of existing data that is available from the Peruvian government.  The Company will provide updates in respect of the gold and copper potential as work progresses.

Dr. Keith Barron, Aurania’s Chairman and CEO commented, “We recognized in March, 2019 that copper-silver sediment-hosted mineralization of a similar style and grade to that we have discovered ourselves in the Cutucu Cordillera in Ecuador was discovered by a competitor company in Peru, approximately 300 kilometres to the south.  Moreover, their mineralization lay within the same geological formation as that mapped in Ecuador, albeit with a different name in Peru.  The Peruvian occurrences appeared to occur in proximity to salt domes, and within our concessions in Ecuador are two areas that have been utilized by the Shuar community for decades, if not centuries, for salt.  Believing that salt is geochemically a significant piece of the puzzle and potentially the reason for the extent and distribution of the copper and silver, it was considered too compelling to ignore the Peruvian opportunity, and we filed for open ground covering the prospective sedimentary horizons in proximity to salt deposits previously discovered during oil exploration.   We believe that the areas may also have some copper porphyry potential if they prove to be an analogous geological setting to our ground across the border in Ecuador.”

Concession Application Process

Aurania has registered a subsidiary in Peru, through which applications were submitted to the Peruvian Mining and Metallurgical Geological Institute “INGEMMET” for 419 concessions covering 413,200Ha in late 2019.  The applications have been progressing through the review process since then.  The granting process is in the hands of the Government and the Company does not have a timetable for this, nor is it guaranteed that all of the applications will be approved.  Mineral concession fees in Peru are US$3.00 per hectare per annum and the next payment will likely be due by the end of June 2021 and will be payable on the number of hectares still held at that time.

Exploration Data

The concession applications are divided into 20 blocks located where the sedimentary layers that are prospective for copper-silver are located either at, or near, surface (Figure 1).  The concession areas in Peru have been extensively covered with seismic, magnetic, and gravimetric geophysical surveys undertaken by oil and mineral exploration companies, as well as by the Peruvian State.  In addition, regional stream sediment sampling has been undertaken by the State over part of the area, and assays of rock-chip sampling are also available.  This data is available at nominal cost from the Peruvian government.  Hence, Aurania’s exploration of the concession blocks has started with a compilation of these large datasets to refine targets before any exploration is undertaken in the field.

Figure 1.  Map showing the approximate location of the mineral concession applications in Peru made by Aurania’s subsidiary, Vicus, relative to Aurania’s Lost Cities – Cutucu Project in Ecuador. The map shows the distribution of geophysical data of different types relevant to exploration of the concessions that is available from the Peruvian State.

Qualified Person

The technical information contained in this news release has been verified and approved by Jean-Paul Pallier, MSc.  Mr. Pallier is a designated EurGeol by the European Federation of Geologists and is a Qualified Person as defined by National Instrument 43-101, Standards of Disclosure for Mineral Projects of the Canadian Securities Administrators.

About Aurania

Aurania is a mineral exploration company engaged in the identification, evaluation, acquisition and exploration of mineral property interests, with a focus on precious metals and copper in South America.  Its flagship asset, The Lost Cities – Cutucu Project, is located in the Jurassic Metallogenic Belt in the eastern foothills of the Andes mountain range of southeastern Ecuador.

Information on Aurania and technical reports are available at www.aurania.com and www.sedar.com, as well as on Facebook at https://www.facebook.com/auranialtd/, Twitter at  https://twitter.com/auranialtd, and LinkedIn at https://www.linkedin.com/company/aurania-resources-ltd-.

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Forward-Looking Statements

This news release may contain forward-looking information that involves substantial known and unknown risks and uncertainties, most of which are beyond the control of Aurania. Forward-looking statements include estimates and statements that describe Aurania’s future plans, objectives or goals, including words to the effect that Aurania or its management expects a stated condition or result to occur. Forward-looking statements may be identified by such terms as “believes”, “anticipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or “plan”. Since forward-looking statements are based on assumptions and address future events and conditions, by their very nature they involve inherent risks and uncertainties. Although these statements are based on information currently available to Aurania, Aurania provides no assurance that actual results will meet management’s expectations. Risks, uncertainties and other factors involved with forward-looking information could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Forward looking information in this news release includes, but is not limited to, Aurania’s objectives, goals or future plans, statements, exploration results, potential mineralization, the corporation’s portfolio, treasury, management team and enhanced capital markets profile, the estimation of mineral resources, exploration and mine development plans, timing of the commencement of operations and estimates of market conditions. Factors that could cause actual results to differ materially from such forward-looking information include, but are not limited to, failure to identify mineral resources, failure to convert estimated mineral resources to reserves, the inability to complete a feasibility study which recommends a production decision, the preliminary nature of metallurgical test results, delays in obtaining or failures to obtain required governmental, regulatory, environmental or other project approvals, political risks, inability to fulfill the duty to accommodate indigenous peoples, uncertainties relating to the availability and costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects, capital and operating costs varying significantly from estimates and the other risks involved in the mineral exploration and development industry, and those risks set out in Aurania’s public documents filed on SEDAR. Although Aurania believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Aurania disclaims any intention or obligation to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, other than as required by law.