Teuton Resources Corp. has received a report from its optionee Optimum Ventures Inc. stating that drilling has commenced on the Harry property. The Harry property is situated within a 200 kilometre long northwest trending corridor hosting numerous high-grade gold occurrences and discoveries.

It is just 30 km southwest of the Eskay Creek Mine and located between Ascot Resources Ltd.'s Premier Mine and Newcrest Mining's Brucejack Mine. Sunbeam Drilling has commenced operations utilizing a B-15 drill running NQ core and a JK Smit helicopter portable drill using BTW core. This season's program is planned to test several new zones discovered earlier this year during prospecting, mapping and, in some instances, Shaw shallow surface drilling.

Priority is being given to the Swann, BR, Ursula, Ursula South, Saw Cut, and GS zones, where to date over 1000 surface talus fines, chip samples, grab samples, saw cut samples and Shaw drill core has been sent for assay. Some early results released by Optimum Ventures on September 22, 2022, indicated that gold and silver values occur in every zone. Additional assay results will be released as available.

The initial drilling campaign is planned and financed for 2,500 metres and is scheduled to test these multiple zones of gold-silver bearing poly-metallic sulphide mineralization where surface prospecting coupled with surface exposure Shaw drilling has established multiple prospective targets for follow-up drilling. The Saw Cut zone outcrops and has been exposed over a strike length of 40 metres. Sampling along its exposed length in shallow Shaw drill core returned sulphide mineralization consisting of pyrrhotite, galena, sphalerite, chalcopyrite, and pyrite in semi-massive to massive veins, stringers, and interstitials within brecciated zones and/or disseminated throughout the core.

The zone is hosted in mudstone, dacite tuff and mudstone supported dacite lapilli-tuff which contain from 1 to 30% pyrite, locally trace to 8% sphalerite and trace to minor galena. Three grab samples collected from the zone were submitted for gold and silver assaying at Seacan Labs based in Stewart, BC. The samples returned up to 5.40 g/t gold and 156.4 g/t silver.

Geological data gathered to date indicates that the Saw Cut zone belongs to a gold-silver enriched volcanogenic massive sulphide (VMS) type of mineralization like that of the famous Eskay Creek deposit located just 30 km north of the Harry project. Drilling using the B-15 diamond drill has commenced on the Saw Cut zone where a four drill hole program is just being completed. Observations of the core indicate sections of semi massive sulphides.

On completion of drilling at Saw Cut, the drill will immediately be moved to the BR zone. The JK Smit drill was mobilized to the Swann zone where two holes have now been drilled of a planned four-hole program. Surface work indicates the Swann zone is exposed up to 40 metres wide at surface.

More recently, crews have exposed parts of the Swann zone in an area of deep overburden where the current drilling is aiming to expand the strike of the zone. The BR is a zone of massive galena with minor sphalerite veinlets in a stockwork. Discovered while prospecting the Swann zone, it appears to run parallel to and is approximately 100m east and uphill from the Swann zone.

Prior sampling on the BR returned values from 1.8 to 26.6 grams per tonne gold and 282.9 to 1,003.2 g/t silver in five samples from the zone. The zone's relationship to the Swann is hoped to be determined by this year's drilling. Option terms allow Optimum to earn up to an 80% interest in the Harry property by carrying out $9 million of work over five years.

Optimum must also pay Teuton $1.5 million in cash and issue 4,000,000 shares to Teuton over the option period. Teuton will retain a 2.0% Net Smelter Royalty and a 20% interest after the option is exercised.