Usha Resources Provides Updates on Exploration Programs and Announces Non-Brokered Private Placement
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Usha Resources Provides Updates on Exploration Programs and
Announces Non-Brokered Private Placement
Vancouver, British Columbia / December 21, 2020 – Usha Resources Ltd. (“USHA” or the
“Company”) (TSXV: USHA ) (OTCQB: USHAF) is pleased to provide an update on its drilling and
exploration programs and announces a non-brokered private placement (the “Private Placement”).
Nicobat Nickel-Copper-PGE Project
The Company is pleased to announce the successful conclusion of its 2020 drill program at its Nicobat
nickel-copper-PGE project located in Dobie Township, Northwest Ontario. A total of 1,439 m of diamond
drilling was completed in 7 holes, all with NQ diameter core.
The drill program tested below the positive results from historical drill hole A‐04‐15 and further defined
the near-surface geometry of the plunging mineralization. Core samples from the drill holes have been
submitted to AGAT Laboratories Ltd., with the full results of the program anticipated to be provided in
January 2021, after which a news release will be provided with an update on the findings of the program.
Deepak Varshney, CEO of USHA states, " The completion of this first round of diamond drilling is a
significant milestone for the Company. We are pleased to have completed this maiden drill program on
schedule and on budget. We look forward to sharing the results of what we uncover in the coming months."
Lost Basin Gold-Copper Project
The Company is also pleased to announce that it has begun its Phase 1 prospecting and sampling program
at the Lost Basin Gold-Copper Project located in Mohave County, Arizona.
The purpose of the Phase 1 program at Lost Basin is target generation for a n expansive follow-up core
drilling program in 2021 . The Company considers Lost Basin historically underexplored and plans to
identify the drill targets through detailed prospecting and a systematic explorati on work program that
includes rock sampling, soil grid sampling, and channel/saw cut sampling that will utilize leading-edge
geochemical techniques. The planned exploration area will focus around an area described historically as
the “Copper Blow-out”, where historical RC drilling identified a 13.7 m interval that averaged 0.69% Cu,
including a 1.5 m interval which graded 0.8 g/t Au, and historical percussion drilling identified grades as
high as 2.27 g/t over a 6 m interval. Samples collected as part of the Phase 1 program will be described and
prepared for shipment to an assay lab yet to be determined. QA/QC protocols will be followed in handling
the samples.
The prospecting and sampling program follows the successful completion of an airborne geophysics survey
and satellite alteration mineral mapping survey as detailed below:
• Precision GeoSurveys was contracted and has completed an airborne geophysics survey consisting
of high-resolution airborne magnetics and time-domain electromagnetic data collection over 177-
line kilometres at 100 m spacing. The Company anticipates receiving the final report shortly. The
survey was completed to provide efficient and detailed data to target gold -copper mineralization
and will allow for the delineation of pr operty-wide geological units and structures. The data will
also be used to correlate historic mineralization identified by past operators.
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• PhotoSat was contracted to complete an alteration mineral mapping survey using stereo photos
from the high-resolution DigitalGlobe WorldView-3 imaging satellite. Photo acquisition has been
successfully completed and the Company anticipates receiving the mineral alteration map shortly.
The map, with a resolution of 2 metres , will be used to assist in detailed mapping work to be
completed as part of Phase 1 through the detection of exposed surface bedrock alteration patterns
known to be associated with the identified mineralization.
“We are excited to launch this comprehensive program at Lost Basin. Our goal for this program is to better
understand the mineralization and gain better knowledge about the regional geology, alteration and
structure,” stated Deepak Varshney, CEO of the Company. “We are confident that the field prog ram will
increase our geologic knowledge and better prepare us for the upcoming drill program. W e believe the
previous work was just scratching the surface in terms of the potential of this project and that Phase 1 will
be the first step in realizing Lost Basin’s true potential."
Eden Gold Project
The Company also announces that it has begun preliminary field investigations as part of a due diligence
program for a potential gold project in Nevada. The Company has previously announced its interest in
acquiring new exploration projects in Nevada and the Golden Triangle, two desirable mining jurisdictions.
Since its announcement, the Company has held numerous discussions and has begun to actively evaluate
the potential of a gold and multi -element project of interest near Tonopah, Nevada , and looks forward to
providing further updates in the coming months should it proceed with an acquisition.
Non-Brokered Private Placement
The Company announces t hat, subject to the approval of the TSX Venture Exchange, it has arranged a
Private Placement for gross proceeds of up to $250,000 through the issuance of up to 1,250,000 units (the
“Units”) at $0.20 per Unit.
Each Unit will consist of one common share (a “ Share”) and one-half of one transferable share purchase
warrant (a “Warrant”) with each whole Warrant exercisable at $0.30 per share for a period of two (2) years
from the date of closing, provided that in the event that the closi ng price of the Company’s Shares on the
TSX Venture Exchange (or such other exchange on which the Company’s Shares may become traded) is
$0.75 or greater per Share during any thirty (30) consecutive trading day period at any time subsequent to
four months and one day after the closing date, the Warrants will expire at 4:00 p.m. (Vancouver time) on
the 30th day after the date on which the Company provides notice of such accelerated expiry to the holders
of the Warrants.
Finder’s fees may be paid to qualified parties in accordance with applicable securities laws. The net
proceeds from the Private Placement will be used for exploration at Usha’s Lost Basin and Nicobat projects
and for working capital and general corporate purposes.
Qualified person
The technical content of this news release has been reviewed and approved by Mr. Helgi Sigurgeirson ,
P.Geo., a qualified person as defined by National Instrument 43 -101 Standards of Disclosure for Mineral
Projects (“NI 43-101”). Historical reports provided by the Optionors of the Lost Basin Mineral Claims
were reviewed by the qualified person. The information provided was mainly in the form of summaries,
so the data could not be verified.
Suite 804, 750 West Pender Street, Vancouver, British Columbia V6C 2T7
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About Usha Resources Ltd.
Usha Resources Ltd. is a Canadian mineral acquisition and exploration company based in Vancouver, BC,
Canada. Usha is exploring for commercially exploitable mineral deposits and is currently focused on
deposits located in Northwest Ontario, Canada and the Lost Basin Gold Mining District in Mohave County,
Arizona, U.S.A. Usha increases shareholder value through the acquisition and exploration of quality
precious and base metal properties and the application of advanced state -of-the-art exploration methods.
Usha's portfolio of strategic properties provides diversification and mitigates investment risk.
We seek Safe Harbor.
USHA RESOURCES LTD.
“Deepak V arshney”
CEO and Director
For more information, please phone 778 -899-1780, email [email protected] or visit
www.usharesources.com.
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.
Forward-looking statements:
This news release includes "forward -looking information" under applicable Canadian securities
legislation. Such forward -looking information reflects management's current beliefs and are based on a
number of estimates and assumptions made by and information currently available to the Company that,
while considered reasonable, are subject to known and unknown risks, uncertainties, and other factors that
may cause the actual results and future events to differ materially from those expressed or implied by such
forward-looking information. Readers are cautioned that such forward -looking information are neither
promises nor guarantees and are subject to known and unknown risks and uncertainties including, but not
limited to, general business, economic, competitiv e, political and social uncertainties, uncertain and
volatile equity and capital markets, lack of available capital, actual results of exploration activities,
environmental risks, future prices of base and other metals, operating risks, accidents, labour issues, delays
in obtaining governmental approvals and permits, and other risks in the mining industry.
The Company is presently an exploration stage company. Exploration is highly speculative in nature,
involves many risks, requires substantial expenditu res, and may not result in the discovery of mineral
deposits that can be mined profitably. Furthermore, the Company currently has no reserves on any of its
properties. As a result, there can be no assurance that such forward -looking statements will prove to be
accurate, and actual results and future events could differ materially from those anticipated in such
statements.
There are no assurances that the Company will successfully complete the Private Placement on the terms
contemplated or at all. All forward-looking information contained in this news release is qualified by these
cautionary statements and those in our continuous disclosure filings available on SEDAR
at www.sedar.com. Accordingly, readers should not place undue reliance on forward-looking information.
The Company disclaims any intention or obligation to update or revise any forward -looking information,
whether as a result of new information, future events or otherwise, except as required by law.
Suite 804, 750 West Pender Street, Vancouver, British Columbia V6C 2T7
www.usharesources.com
The securities referred to in this news release have not been, and will not be, registered under the United States
Securities Act of 1933, as amended (the “U.S. Securities Act”), or any applicable securities laws of any state of the
United States, and may not be offered or sold within the United States or to, or for the account or benefit of, U.S.
persons (as such term is defined in Regulation S under the U.S. Securities Act) or persons in the United States
unless registered under the U.S. Securities Act an d any other applicable securities laws of the United States or an
exemption from such registration requirements is available.
This press release does not constitute an offer to sell or a solicitation of an offer to buy any of these securities within
any jurisdiction, including the United States. Any public offering of securities in the United States must be made
by means of a prospectus containing detailed information about the company and management, as well as financial
statements.