Straightup Announces Property Option for RLX North, RLX South and Belanger Properties Vancouver, British Columbia, June 11, 20 20: Straightup Resources Inc . (the "Company" or "Straightup") (CSE: ST) is pleased to announce that it has entered into a property option
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STRAIGHTUP RESOURCES INC.
9285 203B Street
Langley, British Columbia V1M 2L9
Straightup Announces Property Option for RLX North, RLX South
and Belanger Properties
Vancouver, British Columbia, June 11, 20 20: Straightup Resources Inc . (the "Company"
or "Straightup") (CSE: ST) is pleased to announce that it has entered into a property option
agreement (the "Option Agreement") dated June 3, 2020 (the "Effective Date") with an arm's
length vendor (the "Vendor"), whereby it has been granted the sole, exclusive and irrevocable right
and option (the "Option") to acquire a 100% undivided interest in certain unpatented mining claims
comprising the RLX North, RLX South and Belanger properties (collectively, the "Property")
located in the District of Red Lake, Ontario, Canada, subject to a 3% net smelter returns royalty.
"We are excited to move forward with exploration of the RLX North, RLX South and Belanger
properties," stated Matthew Coltura, President and CEO of Straightup Resources, "With the Red
Lake district being known to host some of the richest gold deposits in the world and the recent
success in the region by Great Bear Resources, we are pleased to be in a position to further survey
the area and potentially uncover profitable mineralization."
Readers are cautioned that the Company has no interest in or right to acquire any interest in any
property in Figure 1 other than the Property, and that mineral deposits, and the results of any
mining thereof, on adjacent or similar properties are not indi cative of mineral deposits on the
Company's properties or any potential exploitation thereof.
Property Details
RLX North and RLX South
The RLX North and RLX South properties form a large (approximately 10,000 hectare ) land
package contiguous to, and almost entirely surrounding, Great Bear Resources Ltd.'s ("Great
Bear") Sobel property (Figure 1). Upon acquiring its Sobel property in March 2019, Great Bear
interpreted the presence of important D2 fold axial planes (major regional -scale controls on gold
mineralization) extending into the Sobel property. The RLX North and RLX South properties are
also situated along the same geological trend as the Red Lake Gold Mines, now operated by
Evolution Mining Limited, with gold endowment of 29.63 Moz Au at an average grade of
21 g/t Au (based on reported reserves of 840 tonnes of gold at 21 g/t and a conversion of
35,273.96 ounces per tonne of gold).
Readers are cautioned that the Company has no interest in or right to acquire any interest in any
property in Figure 1, including Great Bear's Sobel property and the Red Lake Gold Mines , other
than the Property, and that mineral deposits, and the results of any mining thereof, on adjacent or
similar properties are not indicative of mineral deposits on the Company's properties or any
potential exploitation thereof.
The RLX North property is interpreted to be underlain primarily by the 2.99 Ga Balmer
Assemblage. The majority of historic gold production in the Red Lake District has been mined
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from this metavolcanic sequence. The RLX South property is interpreted to be underlain by the
2.74 Ga Confederation Assemblage. This sequence is also prospective for gold, b ut also has
potential for VMS-style base metal deposits, such as the historic South Bay Mine (a VMS deposit),
and the TNT target being actively explored by BTU Metals Corp. at its Dixie Halo property.
Notably, the geological contact between the Balmer and Confederation Assemblages is also
interpreted to be present on the RLX North and RLX South properties , and t he most significant
gold deposits in Red Lake have been found within several hundred meters o f this geological
contact.
Figure 1. Red Lake Gold Properties.
Like many other projects in this portion of the Red Lake Greenstone Belt (including Great Bear's
nearby Dixie project located 6 km to the south of the Property ), thick overburden cover,
particularly in the eastern portion of the RLX North property, has resulted in the area being
historically underexplored, and presents excellent opportunity for a new discovery using a
combination of traditional and modern exploration techniques.
Planned exploration activities in 2020 are expected to consist of historical data review and re -
interpretation, geological mapping and sampling, and geophysical surveys (airborne), all of which
may be conducted prior to the issuance of a n exploration permit and are not ground -disturbing
activities. Exploration permit applications have been submitted and are anticipated to be issued in
the near -term. The issuance of an exploration permit will allow more advanced exploration
activities on these projects in the future, if warranted, such as diamond drilling of high -priority
targets identified by the early exploration program.
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Belanger
The Belanger property is an approximately 2,100 hectare property located 2.2 km north of Infinite
Ore Corp.'s Garnet/Arrow deposit (Figure 1) in the District of Red Lake, Ontario . The Belanger
property is interpreted to be primarily underlain by the 2.74 Ga C onfederation Assemblage.
Historic exploration on the Belanger property has identified three significant gold -copper
occurrences over an interpreted strike length of 600 meters. These were historically referred to as
Trench "C", Trench "D" and Trench "E".
Figure 2. Belanger Property.
Historic grab samples from Trench "C" have returned up to 25.0 g/t Au (range 0.038 to
25.0 g/t Au), and up to 5.47% Cu (range 0.01 to 5.47% Cu) . Trench C has yet to be tested by
diamond drilling. Historic grab samples from Trench "D" have returned up to 3.41 g/t Au (range
0.004 to 3.41 g/t Au) and up to 3.85% Cu (range 0.76 to 3.85% Cu). A limited diamond drilling
program completed in 2002 also returned significant intercepts, such as 1.10 g/t Au, 6.6 g/t Ag and
0.69% Cu over 10 ft (including a narrower higher grade intercept of 7.66 g/t Au and 2.06% cu over
1 ft) in drill hole GL -14 (-43° dip / 142°azimuth), drilled by King's Bay Gold Corporation. The
diamond drilling program also returned signif icant intercepts beneath Trench "E", including
2.20 g/t Au over 5.8 ft in drill hole GL-03 (-55° dip / 168° azimuth). Historic grab samples from
Trench "E" have also returned numerous anomalous gold assays.
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Readers are cautioned that the above-mentioned grab samples are selective and likely biased by
nature and therefore are not necessarily representative of the overall grade and extent of any
mineralization that could occur on the subject areas of the Belanger property.
Assays of the drill samples were completed by Accurassay Laboratories in Thunder Bay, Ontario.
Although the Company believes the source of the historical information to be generally reliable,
such information is subject to interpretation and cannot be verified with complete certainty due to
limits on the availability and reliability of raw data and other inherent limitations and
uncertainties.
It is significant that in all three trenches, gold and copper mineralization is exposed on the surface.
Historical mechanical stripping of overburden will allow for re -interpretation of the underlying
structural controls on mineralization. Intensely fold ed quartz veins occupying broad zones of
shearing suggest significant deformation, the thorough interpretation of which may allow for
predicting and targeting of higher grade zones farther along the strike and at depth.
Planned exploration activities in 2 020 are expected to consist of historical data review and re -
interpretation, geological mapping and sampling (including validating the historical sampling
results in Trenches "C", "D" and "E"), and geophysical surveys (airborne), all of which may be
conducted prior to the issuance of an exploration permit. Exploration permit applications have
recently been submitted and are anticipated to be issued in in the near-term. The issuance of an
exploration permit will allow more advanced exploration activities on the Belanger property in the
future, if warranted, such as diamond drilling of high -priority targets identified by the early
exploration program.
Commercial Terms
In order to exercise the Option in full, Straightup will be required to: (i) make cash payments to
the Vendor in the aggregate amount of $150,000; and (ii) issue common shares in the capital of
the Company (the "Consideration Shares") having an aggregate cash value of $300,000 to the
Vendor, to be paid and delivered as set out below (collectively, the "Option Payments"):
Date Cash (CAD) Consideration Shares
Upon execution and
delivery of the
Property Option
Agreement
$25,000 300,000 Consideration Shares
On or before the
first anniversary of
the Effective Date
$25,000 Consideration Shares having a
cash value of $30,000 in
accordance with the Option
Agreement
On or before the
second anniversary
of the Effective
Date
$50,000 Consideration Shares having a
cash value of $100,000 in
accordance with the Option
Agreement
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Date Cash (CAD) Consideration Shares
On or before the
third anniversary of
the Effective Date
$50,000 Consideration Shares having a
cash value of $140,000 in
accordance with the Option
Agreement
Upon completion of the Option Payments, the Company will be deemed to have exercised the
Option and will have earned an undivided 100% legal and beneficial interest in and to the Property,
subject to a 3% Net Smelter Returns Royalty ("NSR Royalty") to be granted to the Vendor. The
Company will have a right at any time to purchase from the Vendor two-thirds (being 2%) of the
NSR Royalty from the Vendor for $1,000,000 per percentage point of the NSR Royalty
(an aggregate of $2,000,000 for 2%), payable in cash or common shares of the Company.
During the Option period, the Company will be responsible for maintaining the Pro perty in good
standing, paying all exploration licenses fees and taking such other steps as may be required to
carry out the foregoing. There will be no other work commitment s, and any work carried out on
the Property will be at the sole discretion of the Company.
Qualified Person
John Hiner, Licensed Geologist and Registered Member of SME (Society for Mining, Metallurgy
and Exploration), a qualified person as defined by NI 43-101, has reviewed the scientific and
technical information that forms the basis for this news release and has approved the disclosure
herein. Mr. Hiner is not independent of the Company as he is a director of the Company, and holds
incentive stock options in the Company.
For further details on the Company and the Property readers are referred to the Company's web
site at www.straightupresources.com.
About Straightup Resources Inc.
Straightup is engaged in the business of mineral exploration and the acquisition of mineral property
assets in Canada. Its objective is to locate and develop economic precious and base metal
properties of merit and to conduct its exploration program on the Hi-Mars Property. The Hi-Mars
Property consists of 11 contiguous mineral titles covering an area of 1,788 hectares located
approximately 17 kilometres northeast of the City of Powell River in the southwest British
Columbia, Canada, within the Vancouver Mining Division.
On Behalf of the Board of Directors
Matthew Coltura
Chief Executive Officer, President and Director
For further information, please contact:
Matthew Coltura
Chief Executive Officer, President and Director
(778) 886-6200
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Forward-Looking Statements:
This news release includes certain forward -looking statements and forward -looking information (collectively,
"forward-looking statements") within the meaning of applicable Canadian securities legislation. All statements, other
than statements of historical fact, included herein including, without limitation, statements regarding the exercise of
the Option, the NSR Royalty, anticipated exploration program results from exploration activities on the Property, the
discovery and delineation of mineral deposits/resources/reserves and the anticipated business plans and timing of
future activities of the Company, are forward -looking statements. Al though the Company believes that such
statements are reasonable, it can give no assurance that such expectations will prove to be correct. Often, but not
always, forward looking information can be identified by words such as "pro forma", "plans", "expects", "will", "may",
"should", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates", "believes", "potential" or variations
of such words including negative variations thereof, and phrases that refer to certain actions, events or results that
may, could, would, might or will occur or be taken or achieved. Forward-looking statements are based on certain
assumptions regarding the Company including, without limitation , that market fundamentals will result in sustained
precious metals demand and prices, the receipt of any necessary permits, licenses and regulatory approvals in
connection with the future exploration and development of the Company's projects in a timely manner, the availability
of financing on suitable terms for the exploration and development of the Company's projects and the Company's
ability to comply with environmental, health and safety laws.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to differ materially from any future results, performance
or achievements expressed or implied by the forward-looking statements. Such risks and other factors include, among
others, statements as to the anticipated business plans and timing of future activities of the Company, including the
Company's option to acquire the Property, the proposed exploration work thereon, the fact that the Company's interest
in the Property is an option only and there is no guarantee that such interest, if earned, will be certain, the timing and
amount of estimated future production, the costs of production, capital expenditures, the costs and timing of the
development of new deposits, requirements for additional capital, future prices of gold, changes in general economic
conditions, changes in the financial markets and in the demand and market price for commodities, accidents, labour
disputes and other risks of the mining industry, the ability of the Company to obtain sufficient financ ing to fund its
business activities and plans, delays in obtaining governmental and regulatory approvals (including of the Canadian
Securities Exchange), permits or financing , risks relating to epidemics or pandemics such as COVID –19, including
the impact of COVID–19 on the Company's business, financial condition and results of operations, changes in laws,
regulations and policies affecting mining operations, the Company's limited operating history, currency fluctuations,
title disputes or claims, environmental issues and liabilities, as well as those factors discussed under the heading "Risk
Factors" in the Company's prospectus dated January 22, 2020 and other filings of the Company with the Canadian
Securities Authorities, copies of which can be found under the Company's profile on the SEDAR website at
www.sedar.com.
Readers are cautioned not to place undue reliance on forward -looking statements. Th e Company undertakes no
obligation to update any of the forward -looking statements in this presentation or incorporated by reference herein,
except as otherwise required by law.