Sanatana Announces Private Placement with Teuton Resources
Highlights:
- Teuton Resources Corp. (TSXV: TUO), the project generator behind the approximately $560 million Treaty Creek project, has agreed to subscribe for a $600,000 private placement ("PP") in Sanatana.
- The PP will consist of 4,000,000 units priced at $0.15 per unit comprising one share and one-half of a share purchase warrant exercisable at $0.20 for two years.
- The evaluation of Oweegee and the investment by Teuton provides a strong endorsement of Sanatana's Oweegee Dome project.
Vancouver, March 1, 2022 - Sanatana Resources Inc. (TSXV: STA) ("Sanatana" or the "Company") is pleased to report that Teuton Resources Corp. ("Teuton") has agreed to purchase 4,000,000 units of the Company for $600,000 and priced at $0.15 per unit. Each unit will consist of one share and one-half of a share purchase warrant, each full warrant exercisable at $0.20 for two years. The funds will be used for upcoming drilling and exploration of Sanatana's Oweegee Dome project scheduled to start in June 2022.
Peter Miles, CEO, stated, "We are extremely pleased to welcome Teuton, headed by Dino Cremonese, as an important Sanatana shareholder. Dino has over 40 years of exploration experience in the Golden Triangle of BC and notably Teuton is the project generator for Tudor Gold's Treaty Creek project (located approximately 40 kms west of Oweegee) with a combined market capitalization in excess of $560,000,000. We are confident that Dino's demonstrated knowledge, leadership and experience in vetting Golden Triangle projects, combined with Teuton's investment in Sanatana, provide a strong endorsement of Sanatana's Oweegee Dome project."
Dino Cremonese, President and CEO of Teuton, commented: "This investment was made because of the merit of Sanatana's Oweegee Dome property located east of Highway 37 and north of Meziadin Lake in the Golden Triangle region of northwestern British Columbia. The Oweegee Dome property is similar to Teuton's Treaty Creek property in that both are very large and host extensive gossans indicating pervasive hydrothermal activity. When I first staked Treaty Creek in 1984, the general consensus was that it was a separate system from the Sulphurets region to the south, an area now controlled by Seabridge Gold's KSM property (host to some of the largest reserves of copper and gold in the world) and the Brucejack property (recently acquired by Newcrest for $3.5 billion from owner Pretium Resources). Although five different companies optioned Treaty Creek from 1990 to 2007, it was not until the sixth optionee, Tudor Gold, took on the property and hired Ken Konkin in 2019 that its promise was realized. A re-interpretation of geology and a re-orientation of drilling led to a maiden resource of 19.4 million gold equiv. ounces in early 2021*. The main deposit, the Goldstorm, is still being explored for further expansion and three satellite zones hold promise for further resources to be developed. One might say that the Oweegee Dome property is at an earlier stage of its evolution, nevertheless, the new mineralized zones discovered in surface outcrop in 2021 do suggest potential for the discovery of a future porphyry copper-gold deposit. The property is scheduled for drilling at the beginning of the 2022 field season and Teuton's private placement investment insures it will have a substantial stake in this venture."
*815.7 million tonnes grading 0.74 g/t gold equiv. at a 0.30 g/t gold equiv. cut-off. For detailed results refer to the Teuton news release dated March 9, 2021, available on SEDAR.
Closing of the PP is subject to prescribed conditions, including, without limitations, approval of the TSX Venture Exchange.The securities to be issued under the PP will be offered by way of private placement pursuant to applicable exemptions from the prospectus requirements under applicable securities laws. Securities issued under the PP will be subject to a four-month hold period which will expire four months and one day from the date of closing of the PP. Teuton may be an insider of Sanatana after closing of the PP.
About the Oweegee Dome Project
In July 2021, the Company entered into an agreement with ArcWest Exploration Inc. ("ArcWest") to option up to 80% of ArcWest's 31,077-hectre Oweegee Dome porphyry copper-gold project in British Columbia's Golden Triangle. The Oweegee Dome project is situated 45 km east of Seabridge Gold Corp's KSM-Iron Cap porphyry Cu-Au project. The agreement is subject to TSX-V approval.
The Company can earn an initial 60% interest in the Oweegee Dome project by funding, over a four-year period, cumulative exploration expenditures of $6,600,000 and by making staged cash and share payments totaling $500,000 and 2,000,000 shares, respectively. Upon completion of the first option and receipt of the initial interest notice from Sanatana, Sanatana will have a 60-day period to elect to earn an additional 20% interest, for an aggregate 80% interest, or form a joint venture.
The technical information in this news release was prepared under the supervision of Buddy Doyle B.App Sc Geology, MAUSIMM. Mr. Doyle is a Qualified Person for the purposes of National Instrument 43-101 - Standards of Disclosure for Mineral Projects and has reviewed and approved the technical information disclosed in this news release.
About the Company
Sanatana Resources Inc. is a mineral exploration and development company focused on high-impact properties in Canada. With an award-winning technical team and experienced management and board of directors, Sanatana is based in Vancouver and is listed on the TSX Venture Exchange (TSXV: STA).
(signed) "Peter Miles"
Peter Miles
Chief Executive Officer
For additional information on the Company, please contact Mr. Peter Miles, Chief Executive Officer at (604) 408-6680 or email investor@sanatanaresources.com.
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Cautionary Statement Regarding "Forward-Looking" Information
Some of the statements contained in this news release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "plans", "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond Sanatana's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law.
Neither TSX Venture Exchange nor its Regulations 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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