Sanatana Completes 2024 Drill Program at Oweegee Dome Project in BC's Golden Triangle

Rhea-AI Summary

Sanatana Resources Inc. (TSXV: STA) has completed its 2024 drill program at the Oweegee copper-gold porphyry project in Northern BC, drilling 2,359m in four holes. Two step-out holes (OW24-03 and OW24-04) successfully expanded the Delta Zone, intersecting visible mineralization and stronger alteration to the northwest. Two other holes tested the Junction IP anomaly but did not clearly explain it. This program fulfills the requirements to complete 6,000 metres of drilling and spend $6,600,000 under Sanatana's option agreement with ArcWest. The company is now positioned to earn a 60% interest in the property by paying $300,000 in cash and issuing 700,000 common shares to ArcWest before December 31, 2024.

Positive

• Successful expansion of the Delta Zone with visible mineralization and stronger alteration
• Completion of 6,000 metres drilling and $6,600,000 exploration expenditure requirements
• Positioned to earn a 60% interest in the Oweegee property

Negative

• Two drill holes testing the Junction IP anomaly did not clearly explain the anomaly
• Assay results are still pending, which may impact the interpretation of findings

• Sanatana completes 2,359m drill program in four drill holes.
• Two drill holes intersected visible mineralization and alteration, expanding the Delta Zone.
• Two drill holes tested the Junction IP anomaly encountered volcanoclastics and mudstones with no clear explanation of the anomaly.
• This program fulfills the requirements to complete 6,000 metres of drilling and to spend $6,600,000 under the terms of Sanatana's option agreement with ArcWest.

Vancouver, British Columbia--(Newsfile Corp. - September 12, 2024) - Sanatana Resources Inc. (TSXV: STA) ("Sanatana" or the "Company") has completed its 2024 drill program of 2,359m in four holes at the Oweegee copper-gold porphyry project in Northern BC. Assays are pending and will be reported when received and reviewed.

Sanatana's previous work on the Oweegee property successfully demonstrated that the Company has identified a porphyry copper-gold system. The purpose of the 2024 drill program was to enhance understanding of where the potassic core of the system might lie. The program tested the Junction IP anomaly with two holes (OW24-01 and OW24-02) that did not clearly explain the IP anomaly. Two additional step-out holes were drilled to the northwest of holes drilled in 2022 targeting extensions of known mineralization. The step-out holes (OW24-03 and OW24-04) successfully encountered altered intrusives and indicate stronger alteration to the northwest.

Sanatana has completed the 6,000-metre drilling and $6,600,000 exploration expenditures requirements under its option agreement with ArcWest. In order for Sanatana to earn a 60% interest in the property the Company must pay $300,000 in cash and issue 700,000 common shares to ArcWest before December 31, 2024.

Peter Miles, CEO, commented, "We are encouraged by our 2024 drill program as it has given us valuable vectoring information that will guide future drill programs. We expect that the assay results will provide further guidance. The 2024 program marks our fourth consecutive year at Oweegee Dome and we have achieved the exploration expenditure and drilling commitments that are critical to earning a majority interest in the property. We look forward to forming a joint venture with ArcWest and planning the next phase of exploration."

Expanding the Delta Zone.

Two recent drill holes have tested a geological concept in the Delta Zone, revealing mineralized altered intrusions and intrusion breccia. This work has expanded the known mineralized area and enhanced our understanding of the geological system. Assay results will provide crucial information to guide future drilling toward the high-grade centre of the porphyry.

Drill holes OW24-03 and OW24-04 collared 200m north-west of OW22-08 (the most mineralized hole drilled in 2022) and designed to test if this system extended in that direction (see Figures 2 and 3 below).

• Drill hole OW24-03 drilled to the southeast towards OW 22-08 at -50⁰ dip, intersected mineralized intrusive from surface and exited into to Stuhini mudstones and volcanics at 384.5m, encountering different intrusive phases mostly breccias interspersed with rafts of mudstones. The intrusives were variably altered and mineralized, with porphyry-style veining (see Figure 1).
• Drill hole OW24-04 drilled from the same collar, also to the SE but at a steeper -75⁰ dip, also encountered up to four separate intrusive phases, the majority brecciated, also with strong pervasive, texture destroying alteration and porphyry-style veins. The hole exited the intrusive into mudstone at 308m.

In both holes, the intensity of alteration varied among invasive units. However, where alteration was strong, it exceeded levels observed in 2022, with increased potassium feldspar flooding and new biotite alteration evident in both floods and veins. These findings suggest the program is approaching the centre of the porphyry system which lies north and west.

Assays are awaited and these will be used to confirm the observations made above from logging the drill core.

Figure 1 - Photo of Core from OW24-03; 300m depth. Diorite cemented breccia with relic potassic altered clasts which contain disseminated and blebby chalcopyrite and lesser pyrite with strong, pervasive sericite-pyrite replacement overprint.

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Figure 2 - Cross-section through A-A' as shown on plan view (Figure 3) looking northwest. Drill traces shown with lithology along with topography (scale on bottom left). Yellow arrow shows direction of increasing alteration as demonstrated by this drilling. Pinks and reds show intrusion, other colours are Stuhini sediments and volcanics.

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Figure 3 - Plan view of 2024 drill holes OW24-03 and OW24-04 along with the most mineralization from 2022 (OW22-08 and OW22-09). A-A' gives section in Figure 2. Yellow arrow shows direction of increasing alteration as demonstrated by this drilling.

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Testing the Junction IP Anomaly

The 2022 drilling demonstrated that the exploration program had located a porphyry copper system and in 2023 the Company expanded the IP (induced polarization) survey to locate the centre of this system. The survey identified a number of chargeability anomalies, the strongest and largest of these was named the Junction anomaly located to the south of drill hole OW22-08. Drill testing this target was one of the primary objectives of the 2024 drill program.

• Drill hole OW24-01 drilled 1.2km south of OW22-08 was designed to test the southern portion of the Junction IP anomaly and collared into Stuhini mudstone. The hole remained in this unit intercalated with sediments, ash and lesser volcanoclastics to the end of the hole.
• Drill hole OW24-02 drilled 625m south of OW22-08 was designed to test the northern part of the Junction IP anomaly and also collared into Stuhini mudstones. This hole exited the mudstones into a more volcanic dominated unit from 298m to 822m that showed propylitic alteration before exiting back into mudstone dominated units.

The Company geologists report no obvious changes in geology to explain the IP anomaly. Samples have been sent for petrophysical testing to measure chargeability. The IP method detects the electric properties of the rock which can often be associated with disseminated sulphides but can also be related to clays and or brines caught in pore spaces, and other causes. We will review and refine the IP model once the petrophysical results are received. The fact that the Junction IP anomaly was not caused by porphyry-style mineralization does not rule out that the other anomalies present in the survey might be caused by porphyry-style mineralization however it will be necessary to seek other layers of evidence before drill testing.

Drill hole locations

Table 1 and Figure 4 show the 2024 drill holes locations.

Table 1. Drill hole Location NAD83 Zone 9, with other hole parameters.

Drill hole	Easting	Northing	Total depth	Elevation	Azimuth	Dip
OW24-01	468873	6272685	606m	1189m	3550	-700
OW24-02	468935	6273309	927m	1394m	0500	-700
OW24-03	468397	6274050	453m	1635m	1200	-500
OW24-04	468397	6274050	373.3m	1635m	1200	-750

 

Figure 4 - Plan view of 2024 drilling. 2,359 m were drilled in four holes. Sanatana drilled 6,038 m in 16 holes in 2022 and 2024.

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Qualified Person

The technical information in this news release was prepared under the supervision of Buddy Doyle B. App. Sc. Geology, FAUSIMM who has reviewed and approved the contents. 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 with an experienced management team and board of directors. Sanatana is based in Vancouver and is listed on the TSX Venture Exchange (TSX-V: STA).

Sanatana's principal project is the Oweegee Dome copper-gold porphyry property which the Company optioned from ArcWest Exploration Inc. (see the Company's news release dated July 21, 2021). The Oweegee Dome copper-gold porphyry property is situated 40 km east of the KSM - Brucejack -Treaty Creek cluster of base and precious metal deposits and is underlain by similar geologic conditions, Stuhini Group (Tiassic age) host rocks, intrusions of the right age, alteration and porphyry style copper - gold - silver - molybdenite mineralization.

SANATANA RESOURCES INC.

(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.

To be added to the email distribution list, please email ir@sanatanaresources.com with "Sanatana" in the subject line.

Cautionary Statement Regarding "Forward-Looking" Information

Mineralization hosted on adjacent, nearby or geologically similar properties is not necessarily indicative of mineralization hosted on the Company's properties.

This news release includes "forward-looking statements" and "forward-looking information" within the meaning of Canadian securities legislation. All statements included in this news release, other than statements of historical fact, are forward-looking statements including, without limitation, statements related to the fourth tranche of the Private Placement, the use of funds, and stock exchange approval for the overallotment.

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 including, but not limited to, regulatory approval for the Warrant Extension. 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.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/223075

FAQ

What were the results of Sanatana Resources' 2024 drill program at Oweegee Dome?

Sanatana Resources (TSXV: SADMF) completed 2,359m of drilling in four holes. Two step-out holes expanded the Delta Zone with visible mineralization and stronger alteration to the northwest. Two other holes testing the Junction IP anomaly did not clearly explain the anomaly. Assay results are pending.

Has Sanatana Resources met its option agreement requirements for the Oweegee property?

Yes, Sanatana Resources (TSXV: SADMF) has fulfilled the requirements to complete 6,000 metres of drilling and spend $6,600,000 under its option agreement with ArcWest for the Oweegee property.

What does Sanatana Resources need to do to earn a 60% interest in the Oweegee property?

To earn a 60% interest in the Oweegee property, Sanatana Resources (TSXV: SADMF) must pay $300,000 in cash and issue 700,000 common shares to ArcWest before December 31, 2024.

What is the significance of the Delta Zone expansion at Oweegee Dome?

The expansion of the Delta Zone at Oweegee Dome by Sanatana Resources (TSXV: SADMF) is significant as it revealed mineralized altered intrusions and intrusion breccia, expanding the known mineralized area and enhancing understanding of the geological system. This may indicate proximity to the high-grade centre of the porphyry.