leadf
logo-loader
viewSanatana Resources Inc.

Sanatana Resources on hunt for gold and copper in Ontario and Solomon Islands

Snapshot

Sanatana's 2,200 hectare Gold Rush project lies near Timmins, Ontario and consists of two claim blocks

Sanatana Resources Inc. -

Quick facts: Sanatana Resources Inc.

Price: 0.21 CAD

TSX-V:STA
Market: TSX-V
Market Cap: $8.85 m
Follow
  • Timmins gold camp, Ontario has produced over 70 million ounces
  • Award winning technical  team and experienced management and board of directors
  • Tight share structure, with management holding 15% of shares; institutions 15%; public 45% 

What Sanatana Resources does: 

Sanatana Resources Inc (CVE:STA) is a Vancouver-based explorer led by an experienced team focused on gold and copper in Canada and the Western Pacific.

Chief executive and founder Peter Miles has been advisor to a number of resources companies, including Roughrider Uranium Inc. He was instrumental in Hathor Exploration's acquisition of Roughrider, while Hathor itself was bought by titan Rio Tinto PLC in 2011 for $654 million.

In addition, Sanatana's president Buddy Doyle (who has worked at Rio Tinto) was involved in the discovery of the giant Diavik diamond mine in the NorthWest Territories.

Sanatana's 2,200 hectare (Ha) Gold Rush project lies near Timmins, Ontario and consists of two claim blocks. It is just 11 kilometres (km) north-west of Pan American Silver’s Timmins West mine where over 750,000 ounces of the yellow metal have been produced to date.

It also lies 7km north of Melkior Resources' Carscallen project, from where recent drill assays showed 25.7 grams per ton (g/t) gold over 6 metres (m) and where, significantly, Melkior has struck a deal with mining major Kirkland Lake Gold to advance the project asset as operator and earn up to a 75% stake.

At Sanatana's Gold Rush North claim block, there has been very little exploration. Re-sampling in 1991 of a historic trench at the Shaft zone showed 195.3 g/t gold and prospecting in the last three years has shown results including 5.86 and 4.07 g/t of the yellow metal from the North Shaft Zone area.

Meanwhile, the DeSantis vein at Gold Rush south has been mapped for 51.8m in length and has a width of 1.22m at surface, widening to 1.52m at depth. Sampling from the 38m level in 1972 showed assays ranging from 4.35 g/t gold to 18 g/t.

Elsewhere, Sanatana's wholly-owned Tirua copper gold project encompasses 282 square kilometres (sq km) in the Solomon Islands north of Australia and includes a prospecting licence over 16km wide caldera set in a world class and prolific copper-gold mining region.

The firm says the Solomon-PNG Copper-Gold belt contains combined resources of over 158 million ounces of gold, 26 million tonnes of copper and a significant portion of the world’s inventory in these metals.

The Tirua asset lies in a large volcanic caldera that only has been partially explored, partly due to access, and because previous workers being distracted by early good copper drill intercepts (62m at 0.45% copper). Sanatana says it will also look at the epithermal gold potential of the Caldera. Previous drilling has intercepted by accident this style of mineralization, with results of 14m at 1.4 g/t gold.

The firm also holds the Santoy project on the northern shores of Lake Superior, 20km east of Terrace Bay via Highway 17, Ontario, which consists of  24 claims covering 446.5 hectares (1,103 acres).

How is it doing:

Material news came in October this year, when Sanatana said it had received exploration permits for the Gold Rush project, firing the starting gun on potential mechanized drilling, mechanical stripping, trenching and ground geophysical surveying.

Since August, ground crews have been prospecting, with over 150 rock-chip samples taken from historical and newly identified zones of interest. In addition, Sanatana said it has flown a 50-metre spaced, drone, geophysical survey over the project.

The company's president, Buddy Doyle is currently on-site and immediately initiating an expanded exploration program, the firm added. This data will be combined with the rock-chip sampling and drone program results to define locations for a drill program expected to begin in January 2021.

On November 2, the firm said it had struck a definitive deal to sell its 1% Watershed property royalty to Ely Gold Royalties Inc, which will improve liquidity and enable the group to accelerate exploration.

The Watershed asset surrounds IAMGOLD Coté gold project in Ontario, which is a joint venture between IAMGOLD  and Sumitomo Metal Mining Company. Sanatana got its hands on the royalty after an asset purchase agreement between it and Trelawney Augen Acquisition Corp, now known as IAMGOLD in 2016.

The firm said it will sell the royalty to Ely Gold for C$2.5 million in cash and 1 million Ely Gold warrants.

Inflection points:

  • Exploration results from Gold Rush project
  • Metals price moves
  • More deals

What the boss says:

On October 21, Sanatana president, Buddy Doyle said of the receipt of the exploration permits for the Timmins project: "Now the permit is in hand we have arranged for an excavator to commence work, mobilized today, on the North Shaft area where we have recently received encouraging grab sample results.

"Trenching and channel sampling will follow. Tenders for the ground geophysics are in place. We are now able, for the first time, to apply modern exploration methods in a focused program to the entire group of claims."

Contact the author at giles@proactiveinvestors.com

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

In exchange for publishing services rendered by the Company on behalf of Sanatana Resources Inc. named herein, including the promotion by the Company of Sanatana Resources Inc. in any Content on the Site, the Company...

FOR OUR FULL DISCLAIMER CLICK HERE

Lexaria Bioscience proves technology works in enhancing oral delivery of...

Lexaria Bioscience (OTCQX:LXRP-CSE: LXX) CEO Chris Bunka joined Steve Darling from Proactive with news the company has announced that its DehydraTECH technology significantly improved delivery in study animals of representative drugs from two classes of antiviral therapies. Bunka telling...

22 hours, 22 minutes ago

5 min read