Sarama Resources Provides Update ON Permitting and Corporate Activities
June 14, 2021
SARAMA RESOURCES PROVIDES UPDATE ON PERMITTING AND
CORPORATE ACTIVITIES
VANCOUVER, CANADA. Sarama Resources Ltd. (“Sarama” or the “ Company”) is pleased to announce an update on
progress with permitting and corporate activities.
PERMITTING
Sarama is pleased to report that the Minister of Energy, Mines & Quarries of the Government of Burkina Faso has issued
a notice regarding numerous Exploration Permits that had reached the end of their renewal periods, including three
which form part of the Company’s 100%-owned Sanutura Project. As a consequence, Sarama anticipates that all such
permits will be prioritised for processing and reissued to the incumbents.
Pursuant to the above determination, the Company’s applications have now progressed to the next stage of processing
and as the Company receives more detail on the timing of granting, and any conditions that may be imposed by the
Government, it will inform the market accordingly.
The Company, along with multiple other mining and exploration co mpanies operating in Burkina Faso, had been
anticipating progress with licence re -issues and is pleased to have reached this important milestone. Sarama will
continue to work closely with the Ministry of Energy, Mines and Quarries to expedite the re-issue of its permits which
include the Tankoro and Djarkadougou Exploration Permits.
CORPORATE
Sarama remains actively engaged with leading Australian resources broker, Euroz Hartleys, for its proposed dual listing
on the Australian Securities Exchange (“ ASX”). The Company anticipates being able to recommence the ASX listing
process when the Exploration Permit re-issue process has advanced further and timelines are more definitive.
The ASX listing process remains well advanced and prerequisite documentation is largely complete, including advanced
drafts of the Independent Technical Assessment Report, Investigating Accountant’s Report, Solicitor’s Report and
Prospectus.
Proceeds raised pursuant to the dual listing on the ASX will primarily be used to expedite an extensive drilling campaign
totalling approximately 50,000m at the Sanutura Project. The planned drill programs aim to augment and upgrade the
currently defined oxide and free -milling mineral resources, to test high -priority targets identified through previous
grassroots exploration that have the potential to significantly impact project growth, and to evaluate early-stage targets.
The Sanutura Project covers ove r 1,400km2 within the prolific Houndé Greenstone Belt in south -west Burkina Faso.
Within the project, the Tankoro Deposit has a mineral resource of 0.6Moz gold (indicated) and 1.9Moz gold (inferred)(1,4)
(see news release dated September 8, 2020) and the Bondi Deposit(2,4) has a historical estimate of mineral resources of
0.3Moz Au measured and indicated and 0.1Moz Au inferred (2) which together are the focus to advance the project
toward development.
Sarama’s President and CEO, Andrew Dinning commented:
“We are very pleased that the Government of Burkina Faso has taken the decision to allow the re-issue of a number of
Sarama’s core exploration permits and we view this as a significant milestone towards recommencing the ASX listing
process and moving our Sanutura Project up the development curve.”
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For further information on the Company’s activities, please contact:
Andrew Dinning or Paul Schmiede
t: +61 (0) 8 9363 7600
ABOUT SARAMA RESOURCES LTD
Sarama Resources Ltd (TSX-V: SWA) is a West African focused gold explorer and developer with substantial landholdings
in south-west Burkina Faso. Sarama is focused on maximising the value of its strategic assets and advancing its key
projects towards development.
Sarama’s Sanutura Project, in which the Company holds a 100% interest, is located within the prolific Houndé and
Boromo Greenstone Belts in south-west Burkina Faso and is the exploration and development focus of the Company.
Its exploration programs have successfully discovered a mineral resource of 0.6Moz gold (indicated) and 1.9Moz gold
(inferred)(1,4) which is com plemented by the Bondi Deposit (4) (historical estimate of mineral resources of 0.3Moz Au
measured and indicated and 0.1Moz Au inferred(2,4)).
Together, the deposits present a potential development opportunity whereby a significant, long-life CIL project can be
established and paid for by the significant oxide resource base.
Sarama has built further optionality into its portfolio including a 600km² exploration position in the highly prospective
Banfora Belt in south -western Burkina Faso. The Koumandara Proje ct hosts several regional -scale structural features
and trends of gold-in-soil anomalism extending for over 40km along strike.
Sarama also holds approximately 19% participating interest in the Karankasso Project Joint Venture (“ JV”) which is
situated adjacent to the Company’s Sanutura Project in Burkina Faso and is a JV between Sarama and Endeavour Mining
Corp (“Endeavour”) in which Endeavour is the operator of the JV. In February 2020, an updated mineral resource
estimate of 709koz gold(3) was declared for the Karankasso Project JV.
The Company’s Board and management team have a proven track record in Africa and a strong history in the discovery
and development of large -scale gold deposits. Sarama is well positioned to build on its current success with a sound
strategy to surface and maximise the value of its property portfolio.
FOOTNOTES
1. Sanutura Project, Tankoro Deposit - mineral resource estimate - 9.4Mt @ 1.9g/t Au for 0.6Moz Au (indicated) plus 43.6Mt @ 1.4g/t Au for
1.9Moz (inferred), reported at cut-off grades ranging 0.2-1.6g/t Au, reflecting the mining methods and processing flowsheets assumed to assess
the likelihood of the mineral resources to have reasonable prospects for eventual economic extraction. The effective date of the Company’s
inferred mineral resource estimate is September 8, 2020. For further information regarding the mineral resource estimate please re fer to the
technical report titled “NI 43 -101 Technical Report, Sanutura Project, South- West Burkina Faso”, dated October 20, 2020 (effective date:
September 8, 2020) and prepared by Paul Schmiede, Adrian Shepherd & Fred Kock. The technical report is available under Sarama’s profile on
SEDAR at www.sedar.com.
2. Bondi Deposit - 4.1Mt @ 2.1g/t Au for 282,000oz Au (measured and indicated) plus 2.5Mt @ 1.8g/t Au for 149,700oz Au (inferred), reported at
a 0.5 g/t Au cut-off.
i. The historical estimate of the Bondi Deposit reflects a mineral resource estimate compiled by Orezone Gold Corporation (“Orez one”)
and has an effective date of February 20, 2009. The historical estimate is contained in a technical report titled “Technical Report on
the Mineral Resource of the Bondigui Gold Project”, dated date of February 20, 2009 and prepared by Yves Buro (the “Bondi Tec hnical
Report”). Yves Buro is an employee of Met -Chem Canada Inc and is independent of Orezone and Sarama. The technical report is
available under Orezone’s profile on SEDAR at www.sedar.com
ii. Sarama believes that the historical estimate is relevant to investors’ understanding of the property, as it reflects the most recent and
substantive technical work undertaken in respect of the Bondi Deposit.
iii. The historical estimate was informed by 886 drillholes, assayed for gold by cyanidation methods, which were used to interpret
mineralised envelopes and geological zones over the area of the histor ical estimate. Gold grade interpolation was undertaken using
ID² methodology based on input parameters derived from geostatistical and geological analyses assessments. Field measurement s
and geological logging of drillholes were used to determine weather ing boundaries and bulk densities for modelled blocks.
iv. The historical estimate uses the mineral resource reporting categories required under National Instrument 43 -101.
v. No more recent estimates of the mineral resource or other data are available.
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vi. Sarama is currently undertaking the necessary verification work in the field and on the desktop that may support the future
reclassification of the historical estimate to a mineral resource.
vii. A qualified person engaged by Sarama has not undertaken sufficient work to verify the historical estimate as a current mineral resource
and Sarama is therefore not treating the historical estimate as a current mineral resource.
3. Karankasso Project current mineral resource estimate – the current mineral resource estimate for the Karankasso Project of 12.74Mt @ 1.73g/t
Au for 709koz Au (effective date of December 31, 2019) was disclosed on February 24, 2020 by Semafo Inc (“Semafo”, since acqu ired by
Endeavour Mining Corp. “Endeavour”). For further information regarding that mineral resource estimate, refer to the news release “Semafo:
Bantou Project Inferred Resources Increase to 2.2Moz” dated February 24, 2020 and Semafo: Bantou Project NI43 -101 Technical Report –
Mineral Resource Estimate” dated April 3, 2020. The news release and technical report are available under Semafo’s and Endeavour’s profile
on SEDAR at www.sedar.com . The mineral resource estimate was fully prepared by, or under the supervision of Semafo. Sarama has not
independently verified Semafo’s mineral resource estimate and takes no responsibility for its accuracy. Semafo, and now Endeavour, is the
operator of the Karankasso Project JV and Sarama is relying on their Qualified Persons’ assurance of the validity of the mine ral res ource
estimate. Additional technical work has been undertaken on the Karankasso Project since the effective date but Sarama is not in a posit ion to
quantify the impact of this additional work on the mineral resource estimate referred to above.
4. The Djarkadougou and the Tankoro Exploration Permits which host the Bondi and Tankoro Deposits respectively, are going through a process
with the government of Burkina Faso and the Company anticipates them to be re-issued as new, full-term exploration permits. The Co mpany is
in discussion with senior government officials to expedite this process and anticipates these permits will be issued in due c ourse, though there
can be no assurance that the process will be successfully completed on a timely basis, or at all.
CAUTION REGARDING FORWARD LOOKING INFORMATION
Information in this news release that is not a statement of historical fact constitutes forward -looking information. Such forward-
looking information includes, but is not limited to, statements regarding the timing, prospects and any conditions that may be imposed
on the re-issuance of the Tankoro and Djarkadougou Exploration Permits by the Government of Burkina Faso, the Company’s future
exploration and development plans (including its planned drilling campaign), the completion of its ASX listing and concurrent offering
and the use of proceeds from the offering, the potential for the Sanutura, Koumandara and Karankasso Projects to host economi c
mineralisation, the potential to expand the present oxide component of the existing estimated mineral resources at the Sanutura
Project, the reliability of the historical estimate of mineral resources at the Bondi Deposit, and the potential for the receipt of
regulatory approvals. Actual results, performance or achieveme nts of the Company may vary from the results suggested by such
forward-looking statements due to known and unknown risks, uncertainties and other factors. Such factors include, among others,
that the business of exploration for gold and other precious minerals involves a high degree of risk and is highly speculative in nature;
mineral resources are not mineral reserves, they do not have demonstrated economic viability, and there is no certainty that they can
be upgraded to mineral reserves through continued exploration; few properties that are explored are ultimately developed into
producing mines; geological factors; the actual results of current and future exploration; changes in project parameters as p lans
continue to be evaluated, as well as those factors disclosed in the Company’s publicly filed documents.
There can be no assurance that any mineralisation that is discovered will be proven to be economic, or that future required regulatory
licensing or approvals will be obtained. However, the Company beli eves that the assumptions and expectations reflected in the
forward-looking information are reasonable. Assumptions have been made regarding, among other things, the Company’s ability to
carry on its exploration activities, the sufficiency of funding, the timely receipt of required approvals, the price of gold and other
precious metals, that the Company will not be affected by adverse political events, the ability of the Company to operate in a safe,
efficient and effective manner and the ability of the Com pany to obtain further financing as and when required and on reasonable
terms. Readers should not place undue reliance on forward-looking information.
Sarama does not undertake to update any forward-looking information, except as required by applicable laws.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.
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QUALIFIED PERSONS’ STATEMENT
Scientific or technical information in this disclosure that relates to the preparation of the Company’s mineral resource estimate for
the Tankoro Deposit within the Sanutura Project is based on information compiled or approved by Paul Schmiede. Paul Schmiede is
an employee of Sarama Resources Ltd and is a Fellow in good standing of the Australasian Institute of Mining and Metallurgy. Paul
Schmiede has sufficient experience which is relevant to the commodity, style of mineralisation under consideration and activity which
he is undertaking to qualify as a Qualified Person under National Instrument 43-101. Paul Schmiede consents to the inclusion in this
disclosure of the information, in the form and context in which it appears.
Scientific or technical information in this disclos ure, in respect of the Bondi Deposit relating to mineral resource and exploration
information drawn from the Technical Report prepared for Orezone on that deposit has been approved by Guy Scherrer. Guy Scherrer
is an employee of Sarama Resources Ltd and is a member in good standing of the Ordre des Géologues du Québec and has sufficient
experience which is relevant to the commodity, style of mineralisation under consideration and activity which he is undertaki ng to
qualify as a Qualified Person under Natio nal Instrument 43 -101. Guy Scherrer consents to the inclusion in this disclosure of the
information, in the form and context in which it appears.
Scientific or technical information in this disclosure that relates to the quotation of the Karankasso Project’s mineral resource estimate
and exploration activities is based on information compiled by Paul Schmiede. Paul Schmiede is an employee of Sarama Resourc es
Ltd and is a Fellow in good standing of the Australasian Institute of Mining and Metallurgy. Paul Schmiede has sufficient experience
which is relevant to the commodity, style of mineralisation under consideration and activity which he is undertaking to qualify as a
Qualified Person under National Instrument 43-101. Paul Schmiede consents to the inclusion in this disclosure of the information, in
the form and context in which it appears. Paul Schmiede and Sarama have not independently verified Semafo’s (now Endeavour’s)
mineral resource estimate and take no responsibility for its accuracy.