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Thunder Bay, ON, July 29, 2019 – Benton Resources Inc. (‘Benton’ or ‘the Company’) (TSX-V:BEX) today announced that in support of this previously announced transaction,a Geological report completed in accordance with NI 43-101 and the TSX Venture Exchange's(the “Exchange”) Appendix 3F has been submitted to the Exchange for review andcomment. The report will be publiclyfiled once the Exchange review is completed. Benton anticipates the resumption of tradingof the Company’s shares at market open today, Monday July 29, 2019. The Company is currently working diligently onvarious financing alternatives to fund the acquisition. Below are the details of the news release issuedon July 2, 2019.
“TheCompany executed two separate binding purchase agreements with Rio TintoExploration Canada (‘RTEC’) (the ‘RTEC Agreement’) and Panoramic Resources Inc(‘PAN’) (the ‘PAN Agreement’) (together the “PGM Project”).
Highlights:
- High-grade,near-surface Platinum Group Metals (PGM) deposits with a historical resource.
- Excellentinfrastructure, with a paved highway and established logging roads.
- Drillinghighlights on the 30,000 hectare Thunder Bay North (TBN) Property includehistoric high-grade intercepts of 46.65 m @ 10.1 g/t Platinum+Palladium+Gold(5.267g/t Pt + 4.555g/t Pd + 0.324g/t Au) with 1.62% Copper+Nickel(1.154% Cu + 0.465% Ni), incl. 13.0 m @ 33.2 g/t Pt+Pd+Au (17.305g/t Pt+ 14.817g/t Pd + 1.061g/t Au) and 4.91% Cu+Ni (3.755% Cu + 1.308g/t Ni),incl. a spectacular intercept of 2.6 m @ 97.9 g/t Pt+Pd+Au (52.769g/t Pt+ 41.538g/t Pd + 3.630g/t Au) and 14.9% Cu+Ni (11.599% Cu + 3.289% Ni) indrill hole BL 10-197.
- Drilling highlights onthe 220 hectare Escape Lake Property include 121.6 m @ 2.49 g/t Pt+Pd+Au (1.04g/t Pt + 1.37g/t Pd + 0.07g/t Au)and 0.86% Cu+Ni (0.52% Cu + 0.34% Ni), incl. 33.4 m of 7.28 g/tPt+Pd+Au (3.01g/t Pt + 4.08g/t Pd + 0.19g/t Au) and 2.26% Cu+Ni (1.49%Cu + 0.77% Ni) in drill hole 12CL0009, and 162 m @ 1.42 g/t Pt+Pd+Au (0.61g/t Pt + 0.76g/t Pd + 0.06g/t Au) and 0.47% Cu+Ni (0.28% Cu +0.19% Ni), incl. 40.67 m4.5 g/t Pt+Pd+Au (1.92g/t Pt + 2.48g/t Pd + 0.18g/t Au) and 1.26% Cu+Ni(0.89% Cu + 0.36% Ni) in drill hole 11CL0005.
Stephen Stares, President and CEO, stated: “Our team has been searching for an exciting PGMproject in the market that possesses what we feel are essential projectqualities: a high-grade, near-surface deposit containing a historical resourceand located near existing infrastructure in a mining-friendly jurisdiction. Theseprojects satisfy those criteria. Coupled with the high-grade discovery drillingcompleted at Escape Lake, the Company feels that the opportunity to delineatefurther resources exists. Located only50 km from the Company’s office in Thunder Bay, the projects are well-situatedto aggressively move them forward. In addition, the projects lie approximately60 km south of North American Palladium’s (NAP) Lac des Illes Mine and 10 kmeast of NAP/Transition Metals’ Sunday Lake Intrusion”.
ThunderBay North
TheTBN Project contains the Current, Bridge and Beaver zones of which thefollowing Historical Estimates* are defined:
Historical Estimate:
*HistoricalEstimate from Thomas, D. et al. 2011: Magma Metals Limited, Thunder Bay NorthPolymetallic Project Ontario, Canada, NI 43-101 Technical Report on PreliminaryAssessment
MineralResources at the Thunder Bay North project are considered by Benton to behistoric in nature. No qualified person as defined by NI 43-101 has donesufficient work for Benton to classify the historical estimates at Thunder BayNorth as current. The Company believesthat the historical estimates at both deposits can be used as a guide indetermining future exploration drilling and the Company will need to undertakea comprehensive review of available data which may include further drilling toverify the historic estimates at either property in order to reclassify them ascurrent mineral resources. The Company’sQP has verified the data but no resampling of core or any other tests on theanalytical procedures has been performed by the Company to-date. Verification of results will be a toppriority for Benton.
EscapeLake
The220 hectare Escape Lake property is located within the TBN Project claim blockand along the interpreted conduit system which contains/controls the Pt-Pd-BaseMetal mineralization on the TBN Project. RTEC staked the Escape Lake block in2006 and performed successive rounds of limited diamond drilling between 2010and 2012, the results of which until now had not been released publicly. These programs yielded impressive drillintercepts highlighted by drill holes 12CL0009 and 11CL0005. High-grade intercepts from these programsover a 1 km strike length are presented in the table below:
Note: Reported intercepts are corelengths may not be true widths.
A mapof the PGM Projects and drill hole locations can be viewed on the Company’s website. In addition, the Company has madeavailable its updated corporate presentation covering these prospective PGMProjects on its web site at www.bentonresources.ca.
Purchase Agreements
Pursuantto the RTEC Agreement, Benton will purchase a 100% interest in RTEC’s EscapeLake property for $6 million CAD (the “Escape Lake Purchase Price”), subject toobtaining financing and receipt of regulatory approval. The Company is to obtain commitments for $4million of the Escape Lake Purchase Price within 90 days of execution of theRTEC Agreement and closing of the acquisition and payment off the $6 millionEscape Lake Purchase Price is to take place within 10 days of securingfinancing. RTEC will retain a 1% Net SmelterRoyalty (‘NSR’) on the Escape Lake portion of the PGM Project.
Underthe PAN Agreement, the Company will acquire PAN’s wholly-owned Canadiansubsidiary, Panoramic PGMs Canada Ltd., which holds the Thunder Bay NorthProject (the ‘TBN Project’) for $9 million CAD. The Company will have 60 days upon signingto complete a final purchase and sale agreement plus an additional 60 days toobtain financing and receive all requisite regulatory approvals for thetransaction. Upon signing the finalpurchase and sale agreement, Benton will pay PAN a $250,000 deposit which willbe offset against the purchase price. The TBN Project has an existing 3% NSR on a number of claims locatedwithin the claims package.
Closingof the purchase of the PGM Project is also contingent upon both RTEC and PANmutually releasing each other from all future obligations from the earn-in withoption to joint venture agreement that was in place.
Bentonis currently considering several strategic options for financing that bestserves shareholders of the Company and aggressively moves the PGM Projectforward.
QP
Nathan Sims (P.Geo.), Senior Exploration Managerfor Benton Resources Inc., the ‘Qualified Person’ under National Instrument 43-101, has approved the scientific and technical disclosure in this newsrelease and prepared or supervised its preparation.
On behalf of theBoard of Directors of Benton Resources Inc.,
"StephenStares"
Stephen Stares, President
About Benton Resources Inc.
Benton Resources is a well-fundedCanadian-based project generator with a diversified property portfolio in Gold,Silver, Nickel, Copper, and Platinum group elements. Benton holds multiplehigh-grade projects available for option which can be viewed on the Company'swebsite. Most projects have an up-to-date 43-101 Report available.
Parties interested in seeking moreinformation about properties available for option can contact Mr. Stares at thenumber below.
Forfurther information, please contact:
Stephen Stares, President & CEO
Phone: 807-475-7474
Email: sstares@bentonresources.ca
CHF CapitalMarkets
Cathy Hume, CEO
Phone: 416-868-1079 x231
Email: cathy@chfir.com
Website: www.bentonresources.ca
Twitter: @BentonResources
Facebook: @BentonResourcesBEX
THE TSX VENTURE EXCHANGE HAS NOTREVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OFTHIS RELEASE.
The informationcontained herein contains "forward-looking statements" within themeaning of applicable securities legislation. Forward-looking statements relateto information that is based on assumptions of management, forecasts of futureresults, and estimates of amounts not yet determinable. Any statements thatexpress predictions, expectations, beliefs, plans, projections, objectives,assumptions or future events or performance are not statements of historicalfact and may be "forward-looking statements."
Forward-lookingstatements are subject to a variety of risks and uncertainties which couldcause actual events or results to differ from those reflected in theforward-looking statements, including, without limitation: risks related tofailure to obtain adequate financing on a timely basis and on acceptable terms;risks related to the outcome of legal proceedings; political and regulatoryrisks associated with mining and exploration; risks related to the maintenanceof stock exchange listings; risks related to environmental regulation andliability; the potential for delays in exploration or development activities orthe completion of feasibility studies; the uncertainty of profitability; risksand uncertainties relating to the interpretation of drill results, the geology,grade and continuity of mineral deposits; risks related to the inherentuncertainty of production and cost estimates and the potential for unexpectedcosts and expenses; results of prefeasibility and feasibility studies, and thepossibility that future exploration, development or mining results will not beconsistent with the Company's expectations; risks related to gold price andother commodity price fluctuations; and other risks and uncertainties relatedto the Company's prospects, properties and business detailed elsewhere in the Company'sdisclosure record. Should one or more of these risks and uncertaintiesmaterialize, or should underlying assumptions prove incorrect, actual resultsmay vary materially from those described in forward-looking statements.Investors are cautioned against attributing undue certainty to forward-lookingstatements. These forward looking statements are made as of the date hereof andthe Company does not assume any obligation to update or revise them to reflectnew events or circumstances. Actual events or results could differ materiallyfrom the Company's expectations or projections.