Toronto, Ontario – October 26, 2020 – Satori Resources Inc. (TSXV: BUD) (“Satori” or the “Company”) is pleased to announce that in addition to its 100% interest in the Tartan Lake Gold Mine Project in Flin Flon, Manitoba, Satori has now entered into a property option agreement to earn a 100% interest in the New Delhi Gold Project, an advanced polymetallic gold property located in Ontario’s Sudbury Mining Division. The New Delhi project, which recently returned gold grades as high as 64.8 g/t from rock samples, has developed adits, has had a bulk sample completed, and like Tartan Lake, has not been actively explored with modern day exploration techniques (last detailed program in 1950).
2020 Grab Samples and Assays
As part of due diligence on the New Delhi project, Satori recently completed a field visit to the New Delhi Gold Project, where eight (8) grab samples were collected and sent to SGS Canada Inc., Lakefield, Ontario, for fire assay (FA) and atomic absorption spectrometry (AAS) analyses.
The results of the 8 rock samples returned gold as high as 64.8 g/t gold, 1081 g/t silver, 4.03% copper and 85.5% lead. The independent sampling confirmed the presence of high grade gold and silver mineralization, and the exploration potential of the New Delhi Gold Project.
The full results are provided in the table below:
|Sample Number||Au g/t||Cu %||Ag g/t||Pb %|
New Delhi Gold Project History
The New Delhi Gold Project, comprised of 51 mining claims, is located west of Temagami, Ontario, within the Cobalt Embayment.
In the 1950s, a 9.84 tonne (21,692 pound) surface bulk sample from the “Lahey Vein”, having a total length of 24.3 m (80 ft), returned the following historic non-compliant NI 43-101 results:
Underground operations commenced in 1950, and an adit was driven on the Lahay vein for 66.14 m (217 feet) (Rickaby, H.C. 61st Annual Report of the Ontario Department of Mines. Vol LXI, Part 1. (1953)). By 1951, a total of 345 m (1,132 feet) of drifting, 44 m (144 feet) of cross cutting, and 5.5 m (18 feet) of raising was completed on five (5) veins at the New Delhi Gold Project. When underground work ceased in 1951, a total of four high grade ore shoots with a combined length of 116 m (381 feet) was found, and at such time, three (3) of the development faces were in ore (Lawton, K. D. 63rd Annual Report of the Ontario Department of Mines. Vol LXIII, Part 4. Geology of Delhi Township. (1955)).
The New Delhi Mine property is located in the centre of the Cobalt Embayment, which is a ~60,000 km2 geological domain of Precambrian (Huronian) siliciclastic sedimentary rocks that unconformably overlies the Archean basement rocks of the Abitibi Greenstone Belt.
Further exploration since 2001, which included prospecting and sampling, geophysical surveys and petographic study confirmed the presence of gold, silver and lead near the historical mine site. In addition, a magnetic survey identified two new unexplored anomalies, lying to the southeast and southwest of the known mineralized zones.
Satori is not treating any of the non-compliant NI 43-101 results as current mineral resources or mineral reserves, and the Company will continue to verify all historical results published on the New Delhi project in order to test reliability.
See photo in figure 1 below.
Figure 1 – Historic adit at New Delhi
To view an enhanced version of Figure 1, please visit:
Subject to the receipt of TSX Venture Exchange approval, Satori has the right to earn a 100% interest in the New Delhi project by making the following payments:
- $40,000 ($5,000 paid) and issuing 120,000 common shares upon receipt of the approval from the TSX Venture Exchange
- $45,000 and issuing 159,000 shares on the first anniversary
- $50,000 and the issuance of 180,000 common shares on the second anniversary
- $75,000 and the issuance of 300,000 shares on the third anniversary
Upon earning a 100% interest in the New Delhi project, Satori shall grant the vendors a 2% Net Smelter Return royalty (“NSR”), pursuant to which 1% may be bought-down by Satori in consideration for $1,000,000, and Satori shall have a right of first refusal to purchase the remaining 1% NSR.
Jennifer Boyle, Chief Executive Officer, states that, “While Tartan Lake remains our priority, we now have two mineralized projects evidencing meaningful grades, each of which have has a significant amount of historic work conducted, yet minimal follow-up over the past 30 to 70 years. As Tartan Lake advances through a dual track program of mine re-commissioning and gold resource expansion, the acquisition of the New Delhi project will complement the Manitoba asset, and will provide the Company with another potentially fast-tracked advanced asset for development.”
Tania Ilieva, Ph.D, P.Geo., is the qualified person responsible for the technical data in this news release.
ABOUT SATORI RESOURCES INC.
Satori is a Toronto-based mineral exploration and development company whose primary property is the past producing Tartan Lake Gold Mine Project, located in the prolific Flin Flon Greenstone Belt, Manitoba.
FOR FURTHER INFORMATION, PLEASE CONTACT:
Jennifer Boyle, B.A., LL.B.
President and Chief Executive Officer
Satori Resources Inc.
Mr. Peter Shippen
Chair, Satori Resources Inc.
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