Vancouver, British Columbia, September 2nd, 2020 – Sentinel Resources Corp. (CSE: SNL)(US OTC PINK: SNLRF) (“Sentinel” or the “Company”) is pleased to announce it has entered into an option agreement with RebelEX Resources Corp., to acquire up to a 100% interest in the historic Waterloo silver-gold property, located near Vernon, British Columbia.
President and CEO, Rob Gamley commented, “I am pleased to announce the addition of the Waterloo silver-gold property to Sentinel’s BC exploration project portfolio. The Waterloo project, which includes the historic Waterloo Mine, has clearly shown the potential to host high-grade silver and gold mineralization. Historic work on the project such as geological mapping and prospecting have produced compelling results of high-grade silver and gold – metals which have been mined in the region for over 100 years.”
- Road accessible, 3,130 hectare project close to developed infrastructure
- High-grade silver and gold veins exposed over an area of approximately 4.0 by 0.7 kilometers
- Grab samples from historic workings returned assays of 2,790 grams per tonne (g/t) silver (Waterloo) and 45.70 g/t gold (Au showing)
- The property has not been systematically drill tested and numerous untested targets are defined
The Waterloo Property consists of 3,130 hectares located in the historic Lightning Peak silver and gold camp in the Vernon Mining District. The property is host to numerous high-grade silver and gold showings exposed over an area of 4.0 by 0.7 kilometers. Central to the property is the historic Waterloo Mine that has seen sporadic production of high-grade silver since 1903, resulting in numerous shipments of ore to the Trail, BC smelter in 1954, 1967 and 1983. The Waterloo Mine is centered east-west striking shear zone, host to structurally controlled high-grade silver, lead and zinc mineralization (Waterloo structure). This zone is reportedly mineralized along its mined length (approximately 550 meters in the #4 adit) including numerous higher grade sections from vertically oriented ore shoots. Based on geophysical and geochemical surveys, previous operators have interpreted the Waterloo structure to extend below thick cover to the east, with a potential strike length of up to two kilometers. The structure has never been systematically drill tested over its proposed length or at depth.
Gold dominant showings (e.g., the Au showing located 550 meters northeast of the Waterloo Mine) are hosted in north-south trending quartz – sulphide veins with associated iron carbonate alteration. The Forge area, 590 meters east of the Waterloo mine and 850 meters south of the Au showing, marks the projected intersection of the east-west trending Waterloo structure and the north-south trending structures of the Au showing. These zones of structural intersections remain largely untested and represent priority targets for follow-up.
Table of selected grab sample assays compiled from previous operators
|Target||Sample||Type||Ag (g/t)||Au (g/t)||Pb (%)||Zn (%)|
All results stated above were previously reported by former project option holder, Tower Resources Ltd. Samples were reportedly collected from outcrops, trenches, and dump piles located near old workings. Sentinel cautions readers that grab samples are selective by nature and the resulting assays from the samples may not be representative of all the mineralization on the property.
Project maps showing the locations of the main target areas are found on the Company’s website (www.sentinelexp.com)
Terms of the Option Agreement include the right of Sentinel to exercise the Option and acquire the 100% Interest is conditional on Sentinel:
- Making cash payments to RebelEX of an aggregate of $200,000, including: (i) $30,000 within ten (10) Business Days of the Effective Date; (ii) $30,000 on or before the date that is twelve (12) months following the Effective Date; (iii) $40,000 on or before the date that is twenty four (24) months following the Effective Date; (iv) $40,000 on or before the date that is thirty six (36) months following the Effective Date; and (v) $60,000 on or before the date that is forty eight (48) months following the Effective Date;
- Issuing to RebelEX the aggregate amount of 4,000,000 common shares in the capital of Sentinel (the “Option Shares”) as follows: (i) 300,000 Common Shares within ten Business Days following the Effective Date; (ii) 600,000 Common Shares on or before the date that is twelve (12) months following the Effective Date; (iii) 700,000 Common shares on or before the date that is twenty four (24) months following the Effective Date; (iv) 800,000 Common Shares on or before the date that is thirty six (36) months following the Effective Date: (v) 1,600,000 Common Shares on or before the date that is forty eight (48) months following the Effective Date;
- Funding aggregate Expenditures on the Property of $1,200,000 as follows: (i) $200,000 on or before the date that is twelve (12) months following the Effective Date; (ii) $250,000 on or before the date that is twenty four (24) months following the Effective Date; (iii) $250,000 on or before the date that is thirty six (36) months following the Effective Date; and (iv) $500,000 on or before the date that is forty eight months following the Effective Date.
After Sentinel has earned the 100% Interest, Sentinel will pay to RebelEX a royalty (the “Royalty”) being equal to 2% of Net Smelter Returns. Sentinel may purchase 1% of the Royalty Interest, for $1,000,000.
In connection with the transaction, Sentinel will pay an arm’s length finder of 435,000 common shares over the term of the Option Agreement.
Sentinel also announces that the Company has arranged a non-brokered private placement financing of up to 2 million units at a price of 25 cents per unit for gross proceeds of up to $500,000. Each unit comprises one common share in the capital of the company and one common share purchase warrant. Each warrant entitles the holder thereof to purchase one common share for 40 cents for a period of one year from the date of issuance. The Company may pay a finder’s fee in connection with the offering to qualified non-related parties, in accordance with the policies of the Canadian Securities Exchange.
Proceeds from the offering will be used for general working capital purposes. All securities issued under the offering, including securities issuable on the exercise thereof, are subject to a hold period expiring four months and one day from the date of issuance. The offering is subject to certain conditions, including, but not limited to, the receipt of all necessary approvals, including the approval of the exchange.
About Sentinel Resources
Sentinel Resources is a Canadian-based exploration company focused on the acquisition and exploration of gold and silver projects with world-class potential. Its current portfolio includes the Waterloo, Pass, and Little Bear projects in British Columbia. For mor information, please go to the Company’s website at www.sentinelexp.com.
The scientific and technical information contained in this news release has been reviewed and approved by Greg Bronson, P.Geo, a director of the Company and a “Qualified Person” as defined in National Instrument 43-101 – Standards of Disclosure for Mineral Projects. Greg Bronson, P. Geo., a Qualified Person as defined by NI 43-101, has reviewed and approved the contents of this news release.
Historical exploration data summarized in this release are compiled from publicly available assessment reports (http://aris.empr.gov.bc.ca) and news releases (www.sedar.com). Assays and geological observations have not been verified by Sentinel. All quoted assays are accompanied in the assessment reports by copies of certified laboratory assay certificates.
Sentinel Resources Corp.
President and Chief Executive Officer
Rob Gamley, President & CEO
Company Website: www.sentinelexp.com
+1 604-689-7422 Direct (please leave a message)
Neither the Canadian Securities Exchange (“CSE”) nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this news release.