(TheNewswire)
Vancouver, Canada - TheNewswire - September 14, 2021 – Teuton Resources Corp. (“Teuton” or “the Company”) ( TSXV: TUO) (OTC:TEUTF) ( Frankfurt: TFE) announces that it has entered into an option agreement (the" OptionAgreement ") with Optimum Ventures Ltd.( “OPV”-TSXV ) (" Optimum ") pursuant to which Teuton hasagreed to grant to Optimum the option to acquire an 80% interest in(the " Option ") the Harry and Outland Silver Bar properties which arelocated in the Skeena Mining Division approximately 30 km northwest ofStewart, B.C. (collectively, the " Harry Property ").
Subject to TSXV approval, and pursuant to the terms ofthe Option Agreement, the total aggregate consideration payable byOptimum to Teuton for an 80% interest in the Harry Property is anaggregate of up to $1,500,000 cash over five years from September 13,2021 (the " EffectiveDate "); an aggregate of up to 4,000,000common shares of Optimum (the " Common Shares ")in installments over a five year period from the Effective Date; andincurring expenditures on the Property (or making a cash payment tothe Teuton in lieu) of up to $9,000,000 in installments over fiveyears from the Effective Date. Upon the exercise of the Option andOptimum acquiring an 80% interest to the Harry Property, the partieswill enter into a joint venture agreement for the operation of theproject and Optimum will grant to Teuton a 2% Net Smelter Royalty (nobuyback). The Option Agreement is subject to customary closingconditions including receipt of all required regulatory and thirdparty consents and approvals including the approval of the TSX VentureExchange (" TSXV "). Any securities issued inconnection with the Option Agreement will be subject to applicablestatutory hold periods for a period of four months from the date ofissuance.
In connection with entry into the Option Agreement,Optimum entered into a quitclaim agreement (the " Quitclaim Agreement ") with Jayden Resources Inc. ( “JDN”-TSXV )(" Jayden ") pursuant to which Jayden hasagreed to terminate its option agreement with Teuton dated September4, 2020 in consideration of a cash payment of $27,000 and the issuanceof 750,000 common shares to Jayden. The Jayden Agreement is subject tocustomary closing conditions including receipt of all requiredregulatory and third party consents and approvals, including theapproval of the TSXV.
The Harry Property is located north of Stewart, BritishColumbia, in the Skeena Mining Division. It consists of 3 contiguousclaims that cover a gross area of approximately 1,333 hectares. As perthe December 1, 2020 National Instrument 43-101 Technical Report onthe Harry Property (available at:https://sedar.com/GetFile.do?lang=EN&docClass=24&issuerNo=00005272&issuerType=03&projectNo=03159714&docId=4867842),the majority of the Property including the Outlander claim lies alongthe NW portion of a geological corridor prospective for gold-silvermineralization that is up to 3 kilometers wide. It is at least 15kilometers long extending from south of the Premier Mine, possibly inthe US, north to the Scottie Gold Mine and beyond.
In 2020, a new zone of mineralization called the“Milestone” was discovered on the Harry property averaging 7.86oz/ton gold (269.5 g/t) across a 2 metre width. The full width ofthis new zone has not been defined due to overburden cover.
Qualified Person
The Qualified Person for this news release for thepurposes of National Instrument 43-101 is Teuton’s President andCEO, Dino Cremonese, P. Eng., who as an officer of the Company is not independent of the Company. He has read andapproved the scientific and technical information that forms the basisfor the disclosure contained in this news release.
About Teuton
Teuton owns interests in more than thirty properties inthe prolific “Golden Triangle” area of northwest British Columbiaand was one of the first companies to adopt what has since becomeknown as the “prospect generator” model. Teuton earned $3.9million net income in 2020 and a further $2.4 million in the firstquarter of 2021. Its income is derived from option payments.
Teuton was the original staker of the Treaty Creekproperty, host to the large Goldstorm deposit, assembling the coreland position in 1985. It presently holds a 20% carried interest inTreaty Creek (carried until such time as a production decision ismade). Interested parties can access information about Teuton at theCompany’s website, www.teuton.com .
On behalf of the Board of Directorsof Teuton Resources:
"Dino Cremonese, P.Eng."
Dino Cremonese, P. Eng.,
President and Chief ExecutiveOfficer
For further information, please visit the Company'swebsite at www.teuton.com or contact:
Barry Holmes
Director Corporate Development andCommunications
Tel. 778-430-5680
Email: barry@teuton.com
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release.
CautionaryStatements regarding Forward-Looking information
Certain statementscontained in this press release constitute forward-lookinginformation. These statements relate to future events or futureperformance. The use of any of the words "could","intend", "expect", "believe","will", "projected", "estimated" andsimilar expressions and statements relating to matters that are nothistorical facts are intended to identify forward-looking informationand are based on the Company's current belief or assumptions as to theoutcome and timing of such future events. Actual future results maydiffer materially.
All statementsrelating to future plans, objectives or expectations of the Companyare forward-looking statements that involve various risks anduncertainties. There can be no assurance that such statements willprove to be accurate and actual results and future events could differmaterially from those anticipated in such statements. Importantfactors that could cause actual results to differ materially from theCompany's plans or expectations include risks relating to the actualresults of current exploration activities, fluctuating gold prices,possibility of equipment breakdowns and delays, exploration costoverruns, availability of capital and financing, general economic,market or business conditions, regulatory changes, timeliness ofgovernment or regulatory approvals and other risks detailed herein and fromtime to time in the filings made by the Company with securitiesregulators. The Company expressly disclaims any intention orobligation to update or revise any forward-looking statements whetheras a result of new information, future events or otherwise except asotherwise required by applicable securities legislation.
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