Lord Nelson Property Optioned to Decade Resources in $2 Million Deal

2020-08-25 / @thenewswire

 

(TheNewswire)

August 25, 2020 -TheNewswire - Vancouver, Canada – Teuton Resources Corp.  (“Teuton” or “the Company”) (TSXV:TUO) (Frankfurt:TUC) is pleased to announce it has optioned its wholly-owned Lord Nelson property to Decade Resources.  The 2,630 hectare property is situated within the Golden Triangle of northwestern British Columbia, 34 kilometres east of Stewart.  It is located along a major structural break between volcanics to the west and sediments to the east, a favourable contact which is the locus of numerous precious metal occurrences on the Del Norte property adjoining immediately to the south.

Decade has the right to earn up to a 55% interest in the Lord Nelson property under the following terms:

  • - Payment of $100,000 over 4 years with an initial payment of $10,000.

    - Issuing 400,000 shares of Decade on signing.

    - Issuing an additional $90,000 of Decade stock over a 4 year period.

    - Expenditures of $2,000,000 over 5 years.

Decade also has the right to earn an additional 20% interest by placing the property into production.  Teuton retains a 2% Net Smelter Royalty.   The agreement is subject to TSX Venture approval.

Highlights of the property include:

  • - Grab sampling in 2019 on the Lord Nelson near the boundary with the Del Norte property yielded 0.25 to 272 g/t (8 oz /t) gold and 60 ppm to 17.45 % copper (a photo of a mineralized outcrop is attached at the end of this release).

    - Examination by consulting geologists working for Decade Resources in 2020 confirmed the location and nature of the 2019 sampling, and discovered more mineralized occurrences to the north, upslope of the 8 ounce,  grab sample.

    - Nelson Creek, lying immediately to the south of the copper-gold bearing showings, is known to have produced coarse, placer gold in the 1930’s.  A definitive source for this gold has not yet been found.

    - Geophysical surveys by Teuton in previous years indicated EM anomalies extending north from the Del Norte project into the Lord Nelson tenures.  One of these anomalies on the Del Norte is spatially associated with the LG vein, a known high-grade gold occurrence with a 1.2 km strike length.

    - A series of ZTEM anomalies was identified in a multi-property airborne geophysical survey carried out by Geotech for  Teuton in 2018.  The northernmost of these is on the Lord Nelson property.  Of this anomaly, Geotech’s geophysicists stated that:  “[It] coincides with a strong Aerotem conductor.  It lies at the contact between volcanics and sediments of the Hazelton Group. This target is stretching roughly in the NS direction over a distance of >1.8 km and has an estimated resistivity of < 50 ohm-m at depth of 300m. It occurs within a zone of complex structural pattern and represents probably the northern extension of the conductor that hosts the LG vein system.

Ed Kruchkowski, president of Decade stated: ‘the Lord Nelson tenures are on strike with horizons being tested by the Company in Nelson Creek. Also, helicopter flights to the area of the Del Norte drilling pass directly over the newly optioned tenures. The new showing area which is at low elevations allows the Company to have a longer exploration period”.

Dino Cremonese, P.Eng., President of Teuton commented as follows: “The Lord Nelson property has been under option by several companies over the years, including Geofine Exploration Consultants, Frontline Gold, Millrock Resources and most recently, ArcWest Exploration.  Although Arcwest geologists discovered grab samples running to 272 g/t gold on the property in 2019, they decided to relinquish the option.  Had they continued they would have been required to spend over $800,000 on the property in 2020.  The current optionee, Decade Resources, is already exploring Teuton’s Del Norte property located south of the Lord Nelson through an option entered into in January of this year.  Decade Resources is headed by Ed Kruchkowski, one of the Golden Triangle’s most well-known geologists.  We wish Decade luck in advancing the Lord Nelson property.   This option is consistent with the Company’s policy of spreading exploration risk through joint venture agreements.”

The Qualified Person for Teuton Resources, Dino Cremonese, P. Eng. (who as President is not independent of the Company), is responsible for the contents of this news release.  He has not independently verified the samples taken by Arcwest Exploration geologists in 2019 as reported herein, but has no reason to believe they are inaccurate.

Update re Golden Triangle Exploration Properties

Decade Resources, optionee of the Del Norte property, has informed the Company that drilling is continuing at the Del Norte project and is successfully intersecting all intended target zones.

The Company is currently awaiting approval of a Permit from the BC Ministry of Mines in regard to the Midas-Konkin Silver property.  The Midas-Konkin Silver adjoins due south of the Del Norte property and contains a number of mineral occurrences and geophysical anomalies.

 

About Teuton

Teuton owns interests in more than thirty properties in the prolific “Golden Triangle” area of northwestern British Columbia and was one of the first companies to adopt what has since become known as the “prospect generator” model.  Eight of these properties are currently under option to third parties.   Over $4 million in option cash and share payments has been generated from these properties since 2015, including properties where optionees have already earned their interest.

One of Teuton’s properties, the Treaty Creek, is presently the subject of a multi-million dollar exploration program testing the Goldstorm zone with six diamond drills. Teuton was the original staker of this property, assembling the core land position in 1985.  It presently holds a 20% carried interest in Treaty Creek (carried until such time as a production decision is made) as well as a 0.98% NSR in the claims covering the Goldstorm zone.  A 0.49% NSR is owned in the peripheral claims.   None of the NSRs are subject to a buy-back.  Teuton also owns eight other royalties in the Sulphurets Hydrothermal System with interests ranging up to 2.5%, none of which are subject to a buyback.  Interested parties can access information about Teuton at the Company’s website,

"Dino Cremonese, P.Eng."

Dino Cremonese, P. Eng.,

President and Chief Executive Officer

For further information, please visit the Company's website at www.teuton.com or contact:

Barry Holmes

Director Corporate Development and Communications

Tel. 778-430-5680

Email:  barry@teuton.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

 

Cautionary Statements regarding Forward-Looking information

Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could", "intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially.

All statements relating  to future plans, objectives or expectations of the Company are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's plans or expectations include risks relating to the actual results of current exploration activities, fluctuating gold prices, possibility of equipment breakdowns and delays, exploration cost overruns, availability of capital and financing, general economic, market or business conditions, regulatory changes, timeliness of government or regulatory approvals and other risks detailed herein and from time to time in the filings made by the Company with securities regulators. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation.

     


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