ADY Adyton Resources Corp

Adyton Resources Corporation (TSX Venture: ADY) (“Adyton”) is pleased to provide an update on the current diamond drilling program at its 100% owned Gameta Gold Project on Fergusson Island, located within Papua New Guinea’s renowned “Rim of Fire”.

The assay results reported in this release continue to confirm or exceed the results of historical RC drilling and increase the confidence in the existing geological model. Recent results have confirmed the existence of a higher-grade zone of gold mineralisation. Encouragingly, ADD006 intersected 18.1m @ 4.88 g/t Au (from 60.7m), which is significantly higher than intersections returned by nearby historical RC drill holes (refer Figure 2).

Frank Terranova, Chairman, President and Chief Executive Officer of Adyton commented, “These results confirm and exceed the historical RC drilling results on Gameta. The dual objective of expanding as well as increasing the confidence in the Gameta Resource estimate remains on track. The Adyton team is greatly encouraged by the drilling results received to date and has initiated preliminary technical studies to further identify the scope for possible accelerated production scenarios on Fergusson Island. We look forward to reporting further results as they are received”.

HIGHLIGHTS:

• High-grade gold assay results continue at the 100% owned Gameta Gold Project
• Drilling program at Gameta extended. Work at 100% owned Wapolu Gold Project accelerated
• Further drill results expected imminently with all Gameta holes expected by 30 June 2021
• Significant results included:
  • ADD006
    • 18.10m (60.7 – 78.8m) @ 4.88 g/t AuIncl 3.0m (75 - 78m) @ 14.21 g/t AuIncl 1.0m (76 - 77m) @ 32.2 g/t Au
  • ADD004
    • 4.1m (65 – 69.1m) @ 0.87 g/t Au
  • ADD005
    • 6.50m (3 – 9.5m) @ 1.45 g/t AuIncl 1.5m (8 - 9.5m) @ 2.58 g/t Au
  • ADD007
    • 4.70m (1 – 5.7m) @ 1.43 g/t Au
  • ADD008
    • 3.0m (18 – 21m) @ 4.4 g/t Au
    • 3.1m (92 – 95.1m) @ 0.81 g/t Au

The above results are a continuation of the recently announced holes (TSX-V announcement dated 5 May 2021) which included 18.30m@ 2.65 g/t Au, 27.20m @ 4.38 g/t Au, and 5m @ 2.01 g/t Au

The current results confirm or exceed historical RC drilling results and are expected to support an increase in the confidence in the existing Inferred Resource for the Gameta Project. Holes ADD005 and 007 confirmed the outcropping at surface nature of the mineralisation leading to confidence in existing resource models, and ADD004 and ADD008 were drilled on the margin of the existing resources to close off the ore boundaries in these areas as part of various parameters relating to technical studies being commenced.

The recent drilling results have led to an extension to the initial drilling program with a further 6 holes for circa 400 metres, testing extensions to the existing Resource at Gameta. This release reports on the drill assay results from five diamond drill (“DD”) holes, and when combined with previously reported assay results, Adyton has received assay results from eight of the forty planned holes totalling circa 3,400 metres.

In addition, a limited, targeted 400m diamond drill program has been accelerated for the 100% owned Wapolu project also located circa 30km north-west of Gameta on Fergusson Island to provide core samples for technical studies (geotechnical and metallurgical) and to confirm previous historical RC drilling.

Geological Overview:

Fergusson Island is one of the D’Entrecasteaux Islands, which are in the western end of the Woodlark extension (Woodlark Basin).

Adyton has three separate exploration projects on Fergusson Island:

1. The Gameta Gold Project, which currently has a 360,000-ounce gold (oz Au) inferred mineral resource (1).
2. The Wapolu Project, which currently has a 140,000 oz Au inferred mineral resource(1).
3. Oredi Creek has widespread epithermal gold mineralisation associated with a fault zone with rock chips up to 1.4 g/t Au and a drill intersection of 70m @ 0.5 g/t Au from previous drilling programs. Importantly, this project, although early stage, adds significant strategic value to the Adyton landholding position on Fergusson Island.

The geological setting is dominated by Miocene-Recent crustal thinning created by extension (stretching) of the crust. This thinning has resulted in doming of metamorphic core complexes separated from an over-thrusted sub-seafloor oceanic mantle by a decollement (Detachment Fault Zone or DFZ), overlaying ultramafic rocks of the obducted block.

Gold mineralisation is hosted in the DFZ and within the footwall dioritic gneiss and appears to be both fracture- and dyke-related, plus sulphide-hosted.

The mineralisation model for Gameta and Wapolu suggests that gold is associated with hydrothermal fluids and is concentrated in shallow-dipping deposits within or immediately adjacent to the DFZ, which bounds the metamorphic core complexes. This general setting is analogous to such deposits as Misima in PNG and Mesquite and Picacho in California.

The gold occurs in association with fine sulphides as disseminations and in epithermal quartz veins in lensoid zones parallel to the DFZ. (2)

Drill Program Overview:

The current diamond drilling program at the Gameta Project is testing continuity of mineralisation within the DFZ and below into the gneissic footwall, as well as increasing confidence on previous RC drilling programs from the mid-1990’s within the existing inferred resource envelope (refer Figure 1).

A graphic accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e6baf199-646e-4c5f-9179-b6356fa50d32

The drilling is focussed on the northern third (“the northern ore zone”) of the known resources with a strike extent of over 700m being tested (note the resource zone itself occurs over a strike interval of 2,000m).

Testing is targeting the shallower open pitable material, with drilling generally less than 120m and aims to provide confirmatory data to support the results from historical RC drilling programs ahead of an expected resource upgrade in Q3 2021.

Some extensional drilling is also part of the program, testing below and down dip from known resources.

Current drilling:

To date, 30 holes have been completed for 2,700m of diamond drilling. The original proposed program of 3,000m will be extended by 400m to 3,400m to allow some infill drilling of the higher-grade ore zones. It is expected that the extended program will be complete by mid-June.Results have been returned from Holes ADD001 to 008, with significant high-grade gold intercepts being recorded on holes ADD001, 002, 003 (TSX-V Announcement 05 May 2021) and 006 (reported in this release).

Holes ADD004, 005, 007 and 008 which are also reported in this release confirm the geological interpretation, further increasing confidence in existing geological models.

Hole ADD006 (Az 2200, -700 dip, EOH 99.4m)(2),(3) was proposed to test continuity of mineralisation between two historical RC drill holes. Drilling from surface to 55.6m hanging wall colluvium and altered ultramafics were cored. The drilling target (the mineralised detachment shear zone) was intersected between 55.6 – 76m, after which the hole passed into footwall felsic / mafic gneiss being terminated at 99.4m

The whole target interval was mineralised, including an interval of one metre at 32 g/t Au, which is extremely encouraging that we are seeing significant Au grades within the main target area. The hole reported a significant intersection of:

• ADD006
  • 18.10m (60.7 – 78.8m) @ 4.88 g/t AuIncl 3.0m (75 - 78m) @ 14.21 g/t AuIncl 1.0m (76 - 77m) @ 32.2 g/t Au

ADD006 was drilled on the same section as ADD005 (Az 2200, -650 dip, EOH 105.5m)(2),(3) and ADD008 (Az 2200, -800 dip, EOH 108.2m)(2),(3). ADD005 confirmed that the ore zone extended to surface, and ADD008, whilst not intersecting the strongly mineralised zone (it did intersect a shallower zone of mineralisation between 18 – 21m, and a deeper interval between 92 – 95.1m) provided invaluable geological information to be used in the next resource estimate. In particular, the understanding that the target zone does appear to “pinch and swell” in certain areas, most likely to do with structural controls.

A graphic accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/1b9c8842-5096-41b3-8894-48c2433adb66

Figure 3 presents a details view of cross section 27 which is located 100m to the north of #25, Holes ADD007 (Az 2200, -650 dip, EOH 60.0m) and ADD004 (Az 2200, -850 dip, EOH 99.8m) reported in this release were drilled on the same section as the previously reported ADD001 and ADD003 (see TSX-V Announcement dated 05 May 2021).

ADD007 intersected mineralisation at surface confirming that the ore zone outcrops at surface in this area, and continued into the footwall gneiss before being terminated at 60m.

ADD004 whilst not intersecting the mineralised shear zone, did intersect a thick puggy clay zone indicating that a fault may have been intersected, and a further follow up test hole was completed from this drill pad but drilling in the opposite direction to test for any continuation of mineralisation beyond the fault.

A graphic accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e3e44ea9-57d0-4898-95d9-4f32701fb2b1

Extension of Gameta drill program and targeted drill program for the Wapolu Project

Based on the highly encouraging drill results received to date from the Gameta drill program, the drill program will be expanded to include an additional 6 diamond drill holes totalling approximately 400m. The additional drill holes will test extensions to the existing Gameta resource.

The Company has also decided to undertake a 400m diamond drill program at the its 100% owned Wapolu project, also located on Fergusson Island and which currently has a 140,000 oz Au inferred mineral resource(1) The objectives of the Wapolu program will be to provide geotechnical and metallurgical samples and to confirm the results of historical RC drilling.

As part of the initial drilling program, preliminary technical studies have also commenced to further identify scope for accelerated production scenarios at the Gameta Project.

ON BEHALF OF THE BOARD OF ADYTON RESOURCES CORPORATION

Frank Terranova, Chairman, President and Chief Executive Officer

For further information please contact:

Frank Terranova, Chairman, President and Chief Executive Officer

E-mail: fterranova@adytonresources.com

Phone: +61 7 3854 2389

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

(1) Notes Regarding Inferred Mineral Resource Estimates

1. The Fergusson Island Project currently has a mineral ‎resource prepared in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (“NI 43-101”) dated December 17, 2020, which has outlined an initial inferred ‎mineral resource of: (i) at Gameta, 7.2 ‎million tonnes at an average grade of 1.55 g/t Au, for contained gold of 360,000 ounces, assuming a cut-off ‎grade of 0.8 g/t Au; and (ii) at Wapolu, 3.1 million tonnes at an average grade of 1.42 g/t Au, for contained gold ‎of 140,000 ounces, assuming a cut-off grade of 0.8 g/t Au.
2. See the NI 43-101 technical report entitled “NI 43-101 Technical Report on the Fergusson Gold Property, Milne Bay ‎Province, Papua New Guinea” (the “Fergusson Island Technical Report”) dated February 1, 2021 and prepared for XIB by Mark Berry ‎‎(MAIG), Simon Tear (MIGI PGeo), Matthew White (MAIG) and Ian Ryan Roy (MAIG), each an independent ‎mining consultant and “qualified person” as defined in NI 43-101‎, available under Adyton’s profile on SEDAR at www.sedar.com.
3. The Feni Island Project currently has a mineral ‎resource prepared in accordance with NI 43-101 dated December 17, 2020, which has outlined an initial inferred ‎mineral resource of 19.9 million tonnes at an average grade of 1.01 g/t Au, for contained gold of 650,000 ounces, ‎assuming a cut-off grade of 0.8 g/t Au.
4. See the NI 43-101 technical report entitled “NI 43-101 Technical Report on the Feni Gold-Copper Property, New Ireland ‎Province, Papua New Guinea” (the “Feni Technical Report”) dated February 1, 2021 and prepared for XIB by Mark Berry (MAIG), Simon ‎Tear (MIGI PGeo), Matthew White (MAIG) and Ian Ryan Roy (MAIG), each an independent mining consultant ‎and “qualified person” as defined in NI 43-101, available under Adyton’s profile on SEDAR at www.sedar.com.

(2)  Information regarding drill holes and exploration results reported in this release

Hole ID	East	North	RL (m)	Length (m)	Az (deg)	Dip (deg)	From (m)	To (m)	Interval (m)	Au g/t
ADD004	256,971	8,959,148	15	99.8	220	-85	65	69.1	4.1	0.87
ADD005	256,955	8,958,983	36	105.5	220	-65	3	9.5	6.5	1.45
ADD006	257,025	8,959,057	17	99.4	220	-70	60.7	78.8	18.1	4.88
Including							75	78	3	14.21
Including							76	77	1	32.2
ADD007	256,909	8,959,077	21	60.0	220	-55	1	5.7	4.7	1.43
ADD008	257,056	8,959,088	15	108.2	220	-80	18	21	3	4.4
							92	95.1	3.1	0.81

(Coordinates in UTM Zone 56, Southern Hemisphere (WGS84)

1. All drilling has been carried out by Diamond Drilling, in PQ and HQ core size.
2. ADD005, ADD006 and ADD007 to the extent known has been drilled perpendicular to / across the mineralised zone (the Detachment Fault Zone DFZ) and were drilled within the existing inferred resource zone, primarily to increase confidence in grade and continuity from previous RC drilling programs carried out in the 1990’s.
3. Holes ADD004, and 008 were drilled on the eastern margin of the resource zone, to determine boundaries in the existing resource model.
4. Core recovery has generally been very good >95%.
5. Sampling has been carried out on split core, with half being sent for assay and half core remaining in the core trays.
6. Nominal sampling intervals are 1.0m.
7. Assays are not capped.

(3)  Information regarding QA / QC procedures in relation to exploration results reported in this release  

Gold assays have been carried out by Lead collection 50g charge Fire Assay with AAS finish at Intertek Laboratories, Lae, PNG, an accredited laboratory to ISO/IEC 17025 (2005) for quantitative gold determination.

All assays have been subject to quality control measures appropriate for diamond drilling where certified reference materials / standards have been included in each batch of samples submitted as part of the quality assurance / quality control process.

Qualified Person

The scientific and technical information contained in this press release has been prepared, reviewed, and approved by Rod Watt, BSc Hons (Geo), FAusIMM, Chief Geologist and a director of Adyton, who is a "Qualified Person" as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects ("NI 43-101"). Adyton Resources Corp press release dated May 05, 2021: “The technical information in this press release has been reviewed and approved by Rod Watt, who is a fellow of the Australian Institute of Mining and Metallurgy (AusIMM) and a Qualified Person as defined by National Instrument 43-101 - Standards of Disclosure for Mineral Projects (NI 43-101).  Mr. Watt consents to the inclusion of his name in this release. Mr Watt verified the data disclosed in this press release in accordance with industry standard best practices, including sampling, analytical, and test data underlying the information or opinions contained therein.

Forward looking statements

This press release includes “forward-looking statements”, including forecasts, estimates, expectations, and objectives for future operations that are subject to several assumptions, risks, and uncertainties, many of which are beyond the control of Adyton. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as "may", "will", "should", "expect", "intend", "estimate", "anticipate", "believe", "continue", "plans" or similar terminology. Forward looking statements in this news release include plans for additional drill testing, the intention to prepare additional technical studies, the timing of additional drill results, and the preparation of a resource upgrade in Q3 2021. The forward-looking information contained herein is provided for the purpose of assisting readers in understanding management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. Forward-looking information are based on management of the parties' reasonable assumptions, estimates, expectations, analyses and opinions, which are based on such management's experience and perception of trends, current conditions and expected developments, and other factors that management believes are relevant and reasonable in the circumstances, but which may prove to be incorrect. Such factors, among other things, include: impacts arising from the global disruption caused by the Covid-19 coronavirus outbreak, changes in general macroeconomic conditions; changes in securities markets; changes in the price of gold or certain other commodities; change in national and local government, legislation, taxation, controls, regulations and political or economic developments; risks and hazards associated with the business of mineral exploration, development and mining (including environmental hazards, industrial accidents, unusual or unexpected formations pressures, cave-ins and flooding); discrepancies between actual and estimated metallurgical recoveries; inability to obtain adequate insurance to cover risks and hazards; the presence of laws and regulations that may impose restrictions on mining; employee relations; relationships with and claims by local communities and indigenous populations; availability of and changes in the costs associated with mining inputs and labour; the speculative nature of mineral exploration and development (including the risks of obtaining necessary licenses, permits and approvals from government authorities); and title to properties. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. Such forward-looking information represents management’s best judgment based on information currently available. No forward-looking statement can be guaranteed, and actual future results may vary materially. Readers are cautioned not to place undue reliance on forward looking statements or information. Adyton Resources Corporation undertakes no obligation to update forward-looking information except as required by applicable law.

ABOUT ADYTON RESOURCES CORPORATION

Adyton Resources Corporation is focused on the development of gold and copper resources in world class mineral jurisdictions. It currently has a portfolio of highly prospective mineral exploration projects in Papua New Guinea on which it is exploring for copper and gold. The Company’s mineral exploration projects are located on the Pacific Ring of Fire which hosts several world class copper and gold deposits.

A graphic accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/d65b11d9-2221-4864-ae02-51cf881572c2

Adyton was formed by a reverse takeover transaction completed with XIB I Capital Corporation on February 17, 2021 and commenced trading on the TSX Venture Exchange under the symbol “ADY” on February 24, 2021.

Adyton is also quoted on the Frankfurt Stock Exchange under the code 701:GR.

For more information about Adyton and its projects, visit www.adytonresources.com.