Signature Resources Appoints Paolo Lostritto as Chairman of the Board and Equity Financing
15440633.1
TSXV-SGU OTCQB-SGGTF FSE-3S3
366 BAY STREET, SUITE 200, TORONTO, ONTARIO M5H 4B2
www.signatureresources.ca
SIGNATURE RESOURCES APPOINTS PAOLO LOSTRITTO AS CHAIRMAN OF THE BOARD AND EQUITY
FINANCING
Toronto, Ontario, November 9, 2020. Signature Resources Ltd. (TSXV: SGU, OTCQB: SGGTF, FSE 3S3)
("Signature" or the "Company") is pleased to announ ce the appointment of Paolo Lostritto as the
Chairman of the Board.
Paolo Lostritto has an extensive background in mining capital markets and working with companies across
the globe since 1997. Paolo has helped assess diffe rent companies/projects and helped finance them as
they advanced through exploration, development, and production. Some of the companies where Paolo
was involved early include: Kirkland Lake Gold, Novagold and Lake Shore Gold in 2004, Romarco Minerals
in 2006, Victoria Gold and Volta Resources in 2009. Mr. Lostritto is currently serving on the Board of Blue
Thunder Mining Corporation, which is focused on gold exploration in Quebec near the recently discovered
Nelligan deposit. Paolo is a cofounder and board me mber of Interstellar Mining Inc which is focused on
leveraging a leading Canadian space mining robotics group (Deltion Innovations Ltd.) along with Watts,
Griffis, and McOuat Ltd.’s space mining group to develop and produce energy commercially for the rapidly
growing space industry. Over his career, Mr. Lostri tto was a Director of the Mining Equity Research at
National Bank Financial and worked in equity resear ch at Wellington West, Scotia Capital and TD
Securities. He served as an Independent Director at Savary Gold Corp. which was sold to SEMAFO in 2019.
Mr. Lostritto holds a Bachelor of Applied Science in Geological and Mineral Engineering in Rock Mechanics
from the University of Toronto and he is a registered Professional Engineer in the Province of Ontario.
“I have been following Signature Resources’ exploration work at Lingman Lake over the past
four years with great interest. I believe the compa ny has an asset base that is under
appreciated by the market and now that the Provinci al Government is building better road
and power access to the region, the story is ready to be told. There is ample evidence of
exceptional gold grades, mineralized thickness and tremendous exploration potential that
warrant follow up work. The potential over the 23 km belt is very compelling and reminds me
of several successful gold belts in the Canadian Shield that have attracted interest from major
mining companies. I look forward to working with the team to generate shareholder returns
as a function of advancing the project in the near-future.”
Paolo Lostritto, P.Eng – Chairman of the Board
“We have known Paolo for a number a number of years now, and have always appreciated
his strategic guidance. We are honoured to have su ch an experienced finance professional
join our team as Chairman of our board of directors and gaining access to his networks will
help us progress our Lingman Lake property to the next level.”
Walter Hanych - President & CEO
15440633.1
TSXV-SGU OTCQB-SGGTF FSE-3S3
366 BAY STREET, SUITE 200, TORONTO, ONTARIO M5H 4B2
www.signatureresources.ca
Equity Financing
The Company is also announcing a non-brokered private placement of flow-through units (the “FT Units”)
and non-flow-through units (the “NFT Units”) for gross proceeds of up to $1,000,000 (the “Offering”).
Each FT Unit is being offered at a price of C$0.06 and will be comprised of one common share of the
Company and one half non flow-through common share purchase warrant (a “Warrant”). Concurrently,
NFT Units will be offered at a price of $0.05 per N FT Unit consisting of one common share and one
common share purchase warrant. One common share pur chase warrant from the FT Units or the NFT
Units will entitle the holder to purchase one non f low-through common share of the Company at a price
of $0.10 for a period expiring 12-months following the closing date of the Offering.
The net proceeds from the Offering will be used for general corporate purposes but primarily used for
exploration work at the Company’s Lingman Lake Gold Project. Concurrent with the financing, the
Company plans on settling a number of outstanding a ccounts payable so as to focus funding efforts on
drilling and advancing the project.
Stock Options
The Company has also granted 3,000,000 incentive st ock options to Mr. Lostritto as a result of his
appointment. The options shall have an exercise pr ice of $0.065, expire five years from the date of
issuance, and shall vest 25% immediately, and 12.5% ever six months thereafter through to the third
anniversary.
Share for Debt
The Company is also pleased to announce that it has entered into debt settlement agreements with
certain creditors of the Company, including certain directors and officers. Pursuant to these agreements,
the Company has agreed to issue 5,839,093 common sh ares at a deemed price of $0.05 per common
share to settle $291,955 of outstanding debt (colle ctively, the “Shares for Debt Transactions”). Upon
completion of the Shares for Debt Transactions, it has also been agreed that an additional $79,100 of debt
shall be forgiven.
The completion of the Shares for Debt Transactions is subject to a number of conditions, including the
approval of the TSX Venture Exchange. All securities issued pursuant to the Shares for Debt Transactions
will be subject to a hold period of four months and one day from the date of issuance, in accordance with
applicable securities legislation.
The Shares for Debt Transactions involving director s of the Company will, in each case, constitute a
“related party transaction” under Multilateral Instrument 61-101 - Protection of Minority Securityholders
in Special Transactions (“ MI 61-101 ”). The Company intends to rely on the exemptions from the valuation
and the minority approval requirements of MI 61-101 provided for in subsections 5.5(a) and 5.7(a) of MI
15440633.1
TSXV-SGU OTCQB-SGGTF FSE-3S3
366 BAY STREET, SUITE 200, TORONTO, ONTARIO M5H 4B2
www.signatureresources.ca
61-101, respectively, as the fair market value of t he subject of, and the consideration paid in the Sh ares
for Debt Transactions, in each case, in relation to the interested parties, will not represent more than 25%
of the Company’s market capitalization, as determin ed in accordance with MI 61-101. The participation
by directors in the Shares for Debt Transactions has been approved by directors of the Company who are
independent in connection with such transactions. A material change report will be filed less than 21 days
before the closing date of the transactions contemplated by this news release. The Company believes this
shorter period is reasonable and necessary in the c ircumstances as the Company wishes to improve its
financial position by reducing its accrued liabilities as soon as possible.
Potential Share Consolidation
In an effort to rebalance the corporate capital structure, the board of directors are planning to explore a
potential share consolidation at the next Annual General Meeting.
About Signature
The Lingman Lake gold property consists of 622 staked claims, four free hold full patented claims and 14
mineral rights patented claims totaling approximate ly 12,148 hectares. The property hosts an historica l
estimate of 234,684 oz of gold* (1,063,904 tonnes g rading 6.86 g/t with 2.73 gpt cut-off) and includes
what has historically been referred to as the Lingm an Lake Gold Mine, an underground substructure
consisting of a 126.5-meter shaft, and 3-levels at 46-meters, 84-meters and 122-meters depths.
*This historical resource estimate is based on prio r data and reports obtained and prepared by previou s
operators, and information provided by governmental authorities. A Qualified Person has not done
sufficient work to verify the classification of the mineral resource estimates in accordance with curr ent
CIM categories. The Company is not treating the his torical estimate as a current NI 43-101 mineral
resource estimate. Establishing a current mineral r esource estimate on the Lingman Lake deposit will
require further evaluation, which the Company and i ts consultants intend to complete in due course.
Additional information regarding historical resource estimates is available in the technical report entitled,
"Technical Report on the Lingman Lake Gold Property " dated January 31, 2020, prepared by John M.
Siriunas, P.Eng. and Walter Hanych, P.Geo., available on the Company's SEDAR profile at www.sedar.com
To find out more about Signature Resources Limited, visit our website at www.signatureresources.ca , or
contact:
Jonathan Held
Chief Financial Officer
416-270-9566
Cautionary Notes
Neither TSX Venture Exchange nor its Regulation Ser vices Provider (as that term is defined in the poli cies of the TSX
Venture Exchange) accepts responsibility for the ad equacy or accuracy of this news release.
15440633.1
TSXV-SGU OTCQB-SGGTF FSE-3S3
366 BAY STREET, SUITE 200, TORONTO, ONTARIO M5H 4B2
www.signatureresources.ca
This news release contains forward-looking statemen ts which are not statements of historical fact. For ward-looking
statements include estimates and statements that describe the Company’s future plans, objectives or goals, including words
to the effect that the Company or management expect s a stated condition or result to occur. Forward-lo oking statements
may be identified by such terms as “believes”, “ant icipates”, “expects”, “estimates”, “may”, “could”, “would”, “will”, or
“plan”. Since forward-looking statements are based on assumptions and address future events and condit ions, by their very
nature they involve inherent risks and uncertainties. Although these statements are based on information currently available
to the Company, the Company provides no assurance t hat actual results will meet management’s expectati ons. Risks,
uncertainties and other factors involved with forwa rd-looking information could cause actual events, r esults, performance,
prospects and opportunities to differ materially fr om those expressed or implied by such forward-looki ng information.
Forward looking information in this news release includes, but is not limited to, use of any private placement proceeds raised,
success of funding including closing of any propose d private placements and proceeds therefrom, accept ance of regulatory
filings by the TSX-V, the Company’s objectives, goa ls or future plans, statements, exploration results , potential
mineralization, the estimation of mineral resources, exploration and mine development plans, timing of the commencement
of operations and estimates of market conditions. F actors that could cause actual results to differ ma terially from such
forward-looking information include, but are not li mited to changes in general economic and financial market conditions,
failure to identify mineral resources, failure to c onvert estimated mineral resources to reserves, the inability to complete a
feasibility study which recommends a production dec ision, the preliminary nature of metallurgical test results, delays in
obtaining or failures to obtain required government al, environmental or other project approvals, polit ical risks, inability to
fulfill the duty to accommodate First Nations and o ther indigenous peoples, uncertainties relating to the availability and
costs of financing needed in the future, changes in equity markets, inflation, changes in exchange rat es, fluctuations in
commodity prices, delays in the development of proj ects, capital and operating costs varying significa ntly from estimates
and the other risks involved in the mineral explora tion and development industry, and those risks set out in the Company’s
public documents filed on SEDAR. Although the Compa ny believes that the assumptions and factors used i n preparing the
forward-looking information in this news release ar e reasonable, undue reliance should not be placed o n such information,
which only applies as of the date of this news rele ase, and no assurance can be given that such events will occur in the
disclosed time frames or at all. The Company discla ims any intention or obligation to update or revise any forward-looking
information, whether as a result of new information , future events or otherwise, other than as require d by law.