Sanatana Enters Into Option Agreement to Acquire 2,200 Hectare Gold Rush Project in Ontario and Announces Private Placement for Up to $1.5 Million in Gross Proceeds

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VANCOUVER, British Columbia, July 07, 2020 (GLOBE NEWSWIRE) -- Sanatana Resources Inc. (“Sanatana” or the “Company”) is pleased to announce that it has entered into an option agreement (the “Option Agreement”) with South Shore Partnership Inc. (“South Shore”), an arm’s length party to Sanatana.  Pursuant to the Option Agreement, Sanatana can acquire: (i) a 100% interest in the Gold Rush North Project; and (ii) a 100% interest in the Gold Rush South Project (formerly the Turnbull-Carscallen Project) in the Timmins, Ontario region, which hosts five large gold systems and numerous base metal and nickel deposits, including the prolific Kidd Creek mine. Together, the Gold Rush North Project and the Gold Rush South Project are referred to as the “Gold Rush Project”.

Gold Rush Project Description

The Gold Rush North Project and the adjoining Gold Rush South Project (2,200 ha in total) comprise a significant area approximately 7 km by 4 km are located 25 km west of the city of Timmins, Ontario, in the Turnbull and Carscallen townships. The Gold Rush Project is 7 km North of Melkior Resources Inc.’s recent gold and base metal discovery and is approximately 11 km northwest of Pan American Silver Corp.’s West Timmins mine.

The Gold Rush Project is considered prospective for fault-controlled orogenic gold and gold-rich VMS style mineralization and has year-round road access and excellent infrastructure, making it one of the most cost-effective exploration areas in the world.

Mr. Buddy Doyle, Sanatana’s President, commented, “Numerous gold-bearing float and outcrop samples have been taken and assayed by prospectors and previous workers, from different zones across the property, and yet there has not been systematic exploration following these up. From 168 samples complied into a database from assessment reports, over half were anomalous in gold (0.3 g/t Au and 38% had assays over 1g/t Au).  Fifteen samples report over 10 g/t Au with the best result reporting 214 g/t Au. These anomalous gold samples are hosted in quartz veins often associated with chalcopyrite and are located in numerous zones across the property. There appear to be at least two sets of veins controlled by either E-W and N-S structures. The Company plans to aggressively pursue an exploration program consisting of prospecting, geophysics and trenching followed by an initial drill program.”