Vancouver, Canada –– Teuton Resources Corp. (“Teuton” or “the Company”) (“TUO”-TSX-V) (“TFE”- Frankfurt) has entered into a private placement with Decade Resources Ltd. (“Decade”), subscribing for 10,000,000 non-flow-through common units at a price of $0.05 per unit. Each unit consists of one non-flow-though common share and one warrant good for two years to purchase another non-flow-though common share at $0.08 per share. Total investment is $500,000. Net proceeds of the private placement will be used to advance exploration of the Del Norte property as well as for general working capital purposes. All securities issued pursuant to the Private Placement are subject to a statutory four-month hold period. No finder’s fees were paid in connection with the Private Placement. The Private Placement is subject to approval of the TSX Venture Exchange.
Dino Cremonese, President and CEO of Teuton commented: “This investment was made primarily on the strength of the Del Norte gold-silver property, however we also took into consideration the many other precious metal properties owned by Decade in the Golden Triangle such as the Red Cliff. We also recognize Ed Kruchowksi, President of Decade, as a very seasoned explorer who has more than forty years of experience in the region and who has participated in many discoveries therein during that time.”
Ed Kruchkowski, President and CEO of Decade Resources, stated: “This significant equity investment by Teuton, the optionor of the Del Norte, is a very strong endorsement of both Decade Resources and the Del Norte project. We are pleased that our partner Teuton and their President and CEO Dino Cremonese have so much confidence in the project and in Decade Resources as the operator of the Del Norte project.”
Teuton owns interests in more than thirty properties in the prolific Golden Triangle area of northwest British Columbia and was one of the first companies to adopt what has since become known as the “prospect generator” model. Teuton earned $3.9 million net income in 2020 and a further $2.4 million in the first quarter of 2021. Its income is derived from option payments.
One of the Teuton properties under option is the Del Norte, currently farmed out to Decade. Decade can earn a 55% interest in the property by spending $4,000,000 over four years and by making certain cash and share payments; It has a further option to acquire an additional 20% interest by taking the property to production. A joint venture between Teuton and Decade would follow (refer to Jan. 7, 2020 news release for full details).
Teuton was the original staker of the Treaty Creek property, host to the large Goldstorm deposit, 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). Interested parties can access information about Teuton at the Company’s website, www.teuton.com.
“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:
Director Corporate Development and Communications
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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.