Tsodilo Resources Limited and Tbm (Pty) Ltd. Enter into Royalty Agreement
News Release
TSODILO RESOURCES LIMITED AND TBM (PTY) LTD.
ENTER INTO ROYALTY AGREEMENT
July 23, 2020 Trading Symbol: TSXV: TSD #072320
TORONTO, ONTARIO - Tsodilo Resources Limited ("Tsodilo" or the "Company") (TSX-Venture Exchange:
TSD) is pleased to announce that it has reached an agreement with TBM (Pty) Ltd . ( "TBM ") to grant royalties
on its wholly owned Botswana subsidiary Gcwihaba (Pty) Ltd. (“Gcwihaba”) metal licenses (base and precious
minerals, platinum group metals and rare -earth elements) projects in consideration of the payment of $500,000
USD.
The package of assets in the Royalty Sale includes:
➢ the grant of a 0.5% Net Smelter Return or Net Mineral Return on Gcwihaba’s seven (7)
prospecting metal licenses in northwest Botswana.
The proceeds from this Royalty Sale will be used for exploration and general corporate purposes.
James M. Bruchs, Chairman and CEO of Tsodilo commented: “We are extremely pleased to have signed this
agreement with TBM. The agreement represents significant potential revenue for the buyer and an attractive
source of funding for Tsodilo, allowing us to fund our exploration activities while still giving Tsodilo shareholders
full upside exposure to our projects.”
About TMB (Pty) Limited: TBM is a private Botswana based alternative investment firm focused on private
equity or royalty investments in the natural resources sectors of agriculture, food, and metals and mining, primarily
in the Southern Africa Development Community.
About Tsodilo Resources Limited:
Tsodilo Resources Limited is an international diamond and metals exploration company engaged in the search for
economic diamond, metal deposits and industrial stone at its Bosoto (Pty) Limited ("Bosoto"), Gcwihaba Resources
(Pty) Limited ("Gcwihaba") and Newdico (Pty) Limited ("Newdico") projects in Botswana and its Idada 361 (Pty)
Limited ("Idada") project in Barberton, South Africa. The Company has a 100% stake in Bosoto (Pty) Ltd. which
holds the BK16 kimberlite project in the Orapa Kimberlite Field (OKF) in Botswana and the PL216/2017 diamond
prospection license also in the OKF. The Company has a 100% stake in its Gcwihaba project area consisting of
seven metal (base, precious, platinum group, and rare earth) prospecting licenses all located in the North -West
district of Botswana. The Company has a 100% interest in its Newdico industrial stone project located in
Botswana’s Central District. Additionally, Tsodilo has a 70% stake in Idada which holds the gold and silver
exploration license in the Barberton area of South Africa. Tsodilo m anages the exploration of the Newdico,
Gcwihaba, Bosoto and Idada projects. Overall supervision of the Company's exploration program is the
responsibility of Dr. Alistair Jeffcoate, Project Manager and Chief Geologist of the Company and a "qualified
person" as such term is defined in National Instrument 43-101.
Cautionary Notice:
This press release may contain forward-looking statements. All statements, other than statements of historical fact,
that address activities, events or developments that the Company believes, expects or anticipates will or may occur
in the future (including, without limitation, statements pertaining to the use of proceeds, the impact of strategic
partnerships and statements that describe the Company’s future plans, objectives or g oals) are forward-looking
statements. These forward-looking statements reflect the current expectations or beliefs of the Company based on
information currently available to the Company. Forward-looking statements are subject to a number of risks and
uncertainties that may cause the actual results of the Company to differ materially from those discussed in the
forward- looking statements, and even if such actual results are realized or substantially realized, there can be no
assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause
actual results or events to differ materially from current expectations include, among other things, changes in equity
markets, changes in general economic conditions, market v olatility, political developments in Botswana and
surrounding countries, changes to regulations affecting the Company's activities, uncertainties relating to the
availability and costs of financing needed in the future, exploration and development risks, t he uncertainties
involved in interpreting exploration results and the other risks involved in the mineral exploration business. Any
forward-looking statement speaks only as of the date on which it is made and, except as may be required by
applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement,
whether as a result of new information, future events or results or otherwise. Although the Company believes that
the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not a
guarantee of future performance and accordingly undue reliance should not be put on such statements due to the
inherent uncertainty therein.
Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of
the Company to differ materially from those discussed in the forward-looking statements and, even if such actual
results are realized or substantially realized, there can be no assurance that they will have the expected consequences
to, or effects on, the Company. Factors that could cause actual results or events to differ materially from current
expectations include, among other things, uncertainties relating to availability and cost of funds, timing and content
of work programs, results of exploration activities, interpretation of drilling results and other geological data, risks
relating to variations in the diamond grade and kimberlite lithologies; variations in rates of recovery and breakage;
estimates of grade and quality of diamonds, variations in diamond valuations and future diamond prices; the state
of world diamond markets, reliability of mineral property titles, changes to regulations affecting the Company's
activities, delays in obtaining or failure to obtain required project approvals, operational and infrastructure risk and
other risks involved in the diamond exploration and development business. Any forward-looking statement speaks
only as of the date on which it is made and, except as may be required by applicable securities laws, the Company
disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information,
future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-
looking statements are reasonable, forward -looking statements are not a guarantee of future performance and
accordingly undue reliance should not be put on such statements due to their inherent uncertainty. Neither the TSX
Venture Exchange (“TSXV”) nor its Regulation Services Provider (as that term is defined in the policies of the
TSXV) accepts responsibility for the adequacy or accuracy of this news release. This news release may contain
assumptions, estimates, and other forward -looking statements regarding future events. Such forward - looking
statements involve inherent risks and uncertainties and are subject to factors, many of which are beyond the
Company's control, which may cause actual results or performanc e to differ materially from those currently
anticipated in such statements.
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of
this news release. This news release may contain assumptions, estimate s, and other forward -looking statements
regarding future events. Such forward-looking statements involve inherent risks and uncertainties and are subject
to factors, many of which are beyond the Company's control, which may cause actual results or performa nce to
differ materially from those currently anticipated in such statements
FOR FURTHER INFORMATION PLEASE CONTACT:
James M. Bruchs Chairman and Chief Executive Officer [email protected]
Dr. Alistair Jeffcoate Project manager and Chief Geologist [email protected]
Head Office Telephone +1 416 572-2033 Facsimile + 1 416 987-4369
Website www.TsodiloResources.com