Serengeti Drills 212 Metres of 0.40% Cu, 0.08 g/t Au (0.46% CuEq) Including 79 Metres of 0.54% Cu, 0.14 g/t Au (0.64% CuEq) Expanding Central Zone
NR: 2021-01
Serengeti Drills 212 Metres of 0.40% Cu, 0.08 g/t Au (0.46% CuEq) Including
79 Metres of 0.54% Cu, 0.14 g/t Au (0.64% CuEq) Expanding Central Zone
Vancouver, B.C., February 2, 2021. Serengeti Resources Inc. (SIR: TSX -V) ("Serengeti" or "the Company") is
pleased to report the final batch of assay results from the 20 20 drilling campaign completed at the Kwanika Project in
north-central BC. A total of 4,350 metres were drilled in 9 holes testing a number of exploration targets and resource
expansion opportunities. The first batch of results were reported on December 16 th, 2020. The advanced resource -
stage Kwanika project is ~26,000 hectares, held by Kwanika Copper Corporation (KCC)*, and is located in the Quesnel
Trough of British Columbia which hosts numerous porphyry copper-gold deposits.
“The 2020 drilling program at Kwanika was a success . K-202 from the current release, combined with previously
released K-197, demonstrates that the Central Zone remains open for expansion towards the south along the controlling
Central Fault into an area of very sparse drilling. Earlier released hole, K -198 intersected two substantial intervals of
well above deposit average grade, demonstrating the potential for delineation of higher grade domains within the known
resource and d rilling to the north indicates that the mineralized envelope remains open in that direction . We look
forward to pusuing all of these opportunities in 2021 under the banner of a strengthened corporate entity, once the
merger with Sun Metals has been approv ed by shareholders .” , stated David W. Moore President & CEO of Serengeti
Resources.
Project Highlights
K-201: 0.14% Cu, 0.08 g/t Au, 1.5 g/t Ag and 0.01% Mo (0.23% CuEq) over 120.1 m, from 59.81 to 179.9 m
o Including 0.21% Cu, 0. 07 g/t Au, 1.9 g/t Ag and 0.03% Mo (0.33% CuEq) over 45.6 m, from 59.8 to
105.4 m
o Confirms continuity of Cu-Mo-Ag mineralization along west edge of South Zone resource.
K-202: 0.40% Cu, 0.08 g/t Au, 1.7 g/t Ag (0.46% CuEq) over 212.0 m, from 201.5 to 413.5 m
o Including 0.54% Cu, 0.14 g/t Au, 2.3 g/t Ag (0.64% CuEq) over 79.1 m, from 201.5 to 280.6 m
o Opens up the Central Zone for expansion below and to the south of current pit constrained resource.
K-204: 0.19% Cu, 0.15 g/t Au, 1.0 g/t Ag (0.29% CuEq) over 51.1 m, from 242.7 to 293.8 m
o Including 0.33% Cu, 0.19 g/t Au, 1.1 g/t Ag (0.44% CuEq) over 23.0 m, from 249.8 to 272.8 m
o Intersected similar upper mineralized horizon as K -196; ended in dyke swarm interpreted to lie east of
mineralized domain
See attached plan and drill sections or view them on the company’s website at
https://www.serengetiresources.com/projects/kwanika-2/.
Table 1: 2020 Kwanika Drill Program - Reported Analytical Results Current Release
HoleID From
(m)
To
(m)
Interval
(m)
Cu
(%)
Au
(g/t)
Ag
(g/t)
CuEq
(%)
AuEq
(g/t)
K-199 No significant values
K-200 No significant values
K-201 59.8 179.9 120.1 0.14 0.08 1.5 0.23A 0.38B
Including 59.8 105.4 45.6 0.21 0.07 1.9 0.33A 0.56B
K-202 201.5 413.5 212.0 0.40 0.08 1.7 0.46 0.77
Including 201.5 280.6 79.1 0.54 0.14 2.3 0.64 1.08
K-203 No samples submitted to lab
K-204 150.0 156.0 6.0 0.44 0.29 1.9 0.63 1.06
And 242.7 293.8 51.1 0.19 0.15 1.0 0.29 0.48
Including 249.8 272.8 23.0 0.33 0.19 1.1 0.44 0.75
Intercept lengths in the table above are not necessarily true widths given the fact that holes are being drilled at different angles through forecast mining
shapes within a variably oriented mineralized body. Gold and Copper equivalents are calculated using the formulae below based on metal prices of
$3.25/lb of copper, $1,600/oz of gold , $20/oz of silver and $11/lb of molybdenum , with all metal prices quoted in USD. Metal recoveries as stated in the
PEA as follows; Cu 91%, Au 75%, Ag 75% have been applied to the equivalent calculations. ** End-of-hole.
CuEq = Cu% + ((Augpt/31.1034*AuPrice*AuRecovery)+(Aggpt/31.1034*AgPrice*AgRecovery))/(CuPrice*CuRecovery*22.0462)
AuEq = Augpt + ((Aggpt/31.1034*AgPrice*AgRecovery)+(Cu%*CuPrice*CuRecovery*22.0462))/(Augpt/31.1034*AuPrice*AuRecovery)
CuEq and AuEq values for South Zone hole K-201 are calculated including Mo assuming a recovery of 60%, as follows:
A CuEq = Cu% + ((Augpt/31.1034*AuPrice*AuRecovery)+(Aggpt/31.1034*AgPrice*AgRecovery))+(Mo%*MoPrice*MoRecovery*22.0462))/(CuPrice*CuRecovery*22.0462)
B AuEq = Augpt + ((Aggpt/31.1034*AgPrice*AgRecovery)+(Cu%*CuPrice*CuRecovery*22.0462)+(Mo%*MoPrice*MoRecovery*22.0462))/(Augpt/31.1034*AuPrice*AuRecovery)
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Table 2: Kwanika 2020 Drill Hole Parameters Current Release
Hole
ID
Azimuth
(deg.)
Dip
(deg.)
Length
(m)
Elev.
(m)
NAD83
UTM E
NAD83
UTM N Target
K-199 173 -60 173.2 985 351568 6156034 Central Zone/Central Fault – South:
Resource Expansion
K-200 183 -60 278.2 985 351568 6156034 Central Zone/Central Fault – South:
Resource Expansion
K-201 090 -45 202.0 1010 352263 6154825 West edge of South Zone resource
K-202 215 -75 425.5 993 351609 6156078 Central Zone/Central Fault – South:
Resource Expansion
K-203 270 -70 179.1 1026 351000 6155267 Pinchi South ZTEM target
K-204 268 -75 851.5 1011 351714 6156881 Central Zone/Central Fault – North:
Exploration
DDH-K-199 deviated from the planned orientation more than anticipated, intersecting propylitically altered barren diorite
and granodiorite before being abandoned at 173.2m. The drill was then repositioned to drill K-200.
DDH-K-200 intersected complex intrusive an d structural breccias dominated by chlorite -magnetite propylitic and patchy
weak potassic alteration with trace chalcopyrite. Locally strong sericite alteration and pyrite overprinting suggest the hole
intersected a structural zone that served as a conduit for later Cu-diluting fluids.
DDH-K-201 was drilled across the west edge of the South Zone resource to test and confirm grade continuity along the
West Fault. The hole intersected near -surface disseminated and vein chalcopyrite -molybdenite mineralization within
silica altered quartz-syenite east of the West Fault, confirming continuity of grade along the west edge of the South Zone
deposit.
DDH-K-202 was drilled to follow up on encouraging results from K -23, K-190 and K-197 along the Central Fault south of
the Central Zone deposit. The hole drilled through the Central Fault intersecting potassically -altered diorite hosting
chalcopyrite ± chalcocite ± bornite m ineralization immediately west of the Central Fault and below the unconformity with
the sedimentary basin. The hole confirmed that the Central Fault is a major controlling structure on mineralization, and
that the Central Zone system remains open along th e fault, and at depth beneath the sedimentary basin. Drill hole
density south of K -202 is sparse and potential exists to expand the Central Zone southward from current resource
boundaries.
DDH-K-203 was an exploration hole drilled to test a Z -Axis Tipper Electromagnetic (ZTEM) and coincident Ah -horizon
soil geochemical anomaly southwest of the Central Zone along the Pinchi Fault. The hole intersected interbedded mafic
volcanics and calcareous sediments of the Cache Creek terrane which explain the g eophysical response. The hole was
abandoned at 179.1 metres and no samples were submitted to the laboratory for analysis.
DDH-K-204 was drilled to follow up on encouraging results from K -196, including two mineralized horizons. K -204
intersected potassi cally altered diorite and monzodiorite hosting pyrite -chalcopyrite mineralization similar to the upper
mineralized horizon in K -196 before entering a barren gabbroic -granitic dyke swarm showing complex cross -cutting
relationships. The dyke swarm may represent a high-temperature intrusive system core possibly related to Central Zone
mineralization. W hen coupled with mineralized intercepts from prior drill holes to the west and north, this suggests a
mineralized system may continue at depth toward the northwest.
* Serengeti sole-funded the 2020 Kwanika program. As a consequence, the Company’s ownership of KCC
increased to ~ 67%, with POSCO International Corp. holding ~33%.
Top Cat
During June 2020, Serengeti completed a 2-week grid mapping and sampling program at Top Cat to follow up on
encouraging results from 2019 including 1.39% Cu, 0.69 g/t Au and 1.38 g/t Pd (see press release dated January 19,
2020) at the Nova area. A total of 92 rock samples, 409 Ah soil samples and 55 stream sediment samples were
collected over the area followed by a reconnaissance induced -polarization (“IP”) survey totaling 15 line -km in four lines
over areas of interest. As a result of the work, a number of alkalic porphyry Cu-Au targets were identified characterized
by polymetallic soil and coincident IP anomalies within intrusive rocks of the Duckling Creek suite . The Nova area is
now considered drill-ready.
Top Cat is under option from the Pinchi Group (see Serengeti press release dated July 23 rd, 2019 ) and covers
approximately 2 6,000 hectares in north-central BC . The property adjoins Sun Metals ’ wholly -owned 39,000 hectare
Lorraine property (see Sun Metals press release dated November 26, 2020), which hosts a historical NI43-101 mineral
resource. Lorraine has been the focus of past academic research and hosts a number of alkalic porphyry Cu -Au
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prospects and occurrences, and the overall prospective trend continues onto the Top Cat property. Top Cat and
Lorraine may be integrated as a res ult of the proposed merger between Serengeti and Sun Metals, announced on
November 30th, 2020. A comprehensive historical data compilation and targeting exercise is currently underway for the
Top Cat – Lorraine tenures, and the Company is planning a significant target development program in 2021 for the
combined properties to identify targets for future drilling.
Quality Assurance/Quality Control
Sample analysis for the 20 20 Kwanika drilling program was completed at Bureau Veritas Minerals Laboratory in
Vancouver, BC, which is ISO 9001:2015 and 17025 accredited. A robust quality assurance/quality control program was
completed which included inserting field blanks, standards and duplicates into the sample stream before being shipped
to the laboratory. QAQC samples accounted for a minimum of 10% of the analyzed samples in addition to the
laboratory’s own quality assurance program. Copper and silver analysis were determined by MA200 in exploration
samples, and MA300 for resource and near -resource samples. MA200 is a combined ICP-ES/MS method following 4-
acid (MA) digestion with detection ranges of 0.1 – 10,000ppm for Cu, and 0.1 – 200ppm for Ag . MA300 is an ICP-ES
method following a 4 -acid (MA) digestion with detection ranges of 2 – 10,000ppm for Cu, and 0.5 – 200ppm for Ag .
Overlimit analysis for Cu were determine d by MA370, an ICP-ES method following 4 -acid (MA) digestion with detection
ranges of 0.001 – 10%. Gold was determined by FA430, a lead collection , Fire Assay/AAS method using a 30 gram
sub-sample with detection ranges of 0.005 – 10ppm.
Qualified person
The field and analytical programs described herein were supervised by Serengeti Resources staff and the technical
information in this news release has been prepared in accordance with Canadian regulatory requirements as set out in
National Instrument 43-101, and reviewed by the company ’s qualified person, Quinn Harper, P.Geo., Chief Geologist of
Serengeti Resources, who has supervised the preparation of, and approved the scientific and technical information in this
news release.
ON BEHALF OF THE BOARD
David W. Moore, P. Geo.
President, CEO and Director
About Serengeti Resources Inc.
Serengeti is a mineral exploration company managed by an experienced team of professionals with a solid track record
of exploration success.
Serengeti and Sun Metals Corp announced on November 30th, 2020 that they have entered into a definitive
arrangement agreement pursuant to which Serengeti will acquire all of the issued and outstanding shares of Sun Metals
Corp. The combined company will result in a diversified copper-gold developer with a large pipeline of projects, in one
of Canada’s most prolific porphyry mini ng camps in North -Central BC, bringing together exploration, development and
operational synergies at multiple projects along with ongoing resource expansion opportunities and new discovery
potential. Additional information can be found on the Company’s website at www.serengetiresources.com.
Cautionary Statement
This document contains “forward-looking statements” within the meaning of applicable Canadian securities regulations. All statements
other than statements of historical fact herein, including, without limitation, statements regarding exploration plans and other future
plans and objectives, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such
statements will prove to be accurate and future events and actual results could differ materially from tho se anticipated in such
statements. Important factors that could cause actual results to differ materially from our expectations as well as a compre hensive list
of risk factors are disclosed in the Company’s documents filed from time to time via SEDAR with the Canadian regulatory agencies to
whose policies we are bound. Forward -looking statements are based on the estimates and opinions of management on the date the
statements are made, and we do not undertake any obligation to update forward-looking statements should conditions or our estimates
change, other than as required by law and readers are further advised not to place undue reliance on forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this
release.
For further information, please contact:
Serengeti Resources Inc. Suite 520 – 800 West Pender St., Vancouver, BC, V6C 2V6
Tel: 604-605-1300 / Email: [email protected] / Website: www.serengetiresources.com
2020 Kwanika Plan Map
Cross Section K-20-197 and K-20-202
Cross Section K-20-196 and K-20-204