White Sulphur Springs, Montana– June 30, 2022 – Sandfire Resources America Inc. (“Sandfire America” or the “Company”) announces that it has entered into a variation agreement (the “Variation“) to its bridge loan agreement (the “Bridge Loan”) with Sandfire BC Holdings (Australia) Pty Ltd. (“Sandfire BC“), the Company’s largest shareholder, and Tintina Montana Inc., a wholly-owned subsidiary of the Company (“Tintina Montana“).

Pursuant to the Variation, the amount available to be borrowed under the Bridge Loan will be increased from an aggregate of up to US$12.0 million to an aggregate of up to US$22.0 million (the “Loan“) through one or more advances, and the Loan’s latest maturity will be extended from June 30, 2022 to June 30, 2023, subject to the terms of the Variation and the Bridge Loan.

All other terms and conditions of the Bridge Loan shall remain in full force and effect, except as amended by the Variation. No securities of the Company are issuable under the Agreement.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications & Corp. Sec.
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the Agreement, the Company’s financing options and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, and that the Company will be able to secure additional funding to execute its plans,. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including delays in obtaining or inability to obtain required government or other regulatory approvals or financing. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

White Sulphur Springs, Montana– April 11, 2022  –Sandfire Resources America Inc. (“Sandfire America” or the “Company”) announces results of the state District Court Legal Challenge related to its Mine Operating Permit.

On July 16, 2021, District Court Judge Bidegaray heard oral arguments for summary judgment from plaintiffs and defendants regarding a legal complaint filed on June 4, 2020 by the plaintiffs claiming to represent the environmental community. The suit was filed jointly against the Montana Department of Environmental Quality (MT DEQ) and Tintina Montana Inc.  Additional intervenors in the suit supporting the MT DEQ and Tintina Montana Inc, include Meagher County, Broadwater County, and the Montana Department of Justice.

A decision on the case was issued on April 8, 2022 and received by the Company on April 11, 2022.  The Order grants the plaintiffs’ motion for summary judgment stating that the Montana DEQ violated the Montana Metal Mines Reclamation Act (MMRA) and Montana Environmental Policy Act (MEPA) in its analysis. A remedy will be decided after additional briefing, due to the court within 45 days. Upon receipt of the Judge’s remedy, the Company will have a clearer picture of the impact, if any, on the project development timeline.

The Company is reviewing the legal decision and will then make a plan on going forward after the information has been evaluated.

Sandfire America’s Senior Vice President Jerry Zieg shared, “We have gone above and beyond industry standards to satisfy Montana’s permitting requirements, which provide  one of the toughest regulatory processes worldwide.  The Montana DEQ has done comprehensive, diligent work in the environmental and technical analyses and the project continues to be cited as one of the most comprehensive and safest mining plans Montana has ever seen. This is an ongoing process and we continue to have confidence in our project.”

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Jerry Zieg, Vice President of Exploration for the Company, is a Qualified Person for the purposes of NI 43-101 and has also reviewed and approved the information of a scientific or technical nature contained in this news release.

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the District Court Legal Challenge related to the Company’s Mine Operating Permit,   permitting timelines and the Company’s plans for advancing the Black Butte Copper Project and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, and that the results of exploration and development activities are consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company and the Black Butte Copper Project, that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

White Sulphur Springs, Montana – January 27, 2022 – Sandfire Resources America Inc. ("Sandfire America" or the "Company") announces that Mr. Lincoln Greenidge has been appointed as the new Chief Financial Officer of the Company.

Over the past three decades Mr. Greenidge has worked for such companies as Coopers & Lybrand, Nortel Networks, MDS, Associated Brands, IAMGOLD, HudBay Minerals, Enirgi Group, LeadFX, LSC Lithium, and Pasofino Gold. In  2021, Mr. Greenidge was selected as the Top Chief Financial Officer of the Decade by the International Association of Top Professionals (IAOTP).

“Lincoln Greenidge is an outstanding professional who has worked as a CFO and as a senior officer for several TSX-listed companies and delivered superior outcomes.  He brings a host of relevant experience in mining and the financial sector that will strengthen our capability to deliver on our Black Butte development plans.  I am excited to begin working with him to drive our project forward.” CEO, Rob Scargill commented.

Mr. Greenidge replaces Mr. John McGonigle who has resigned as Chief Financial Officer.  The Company would like to thank Mr. McGonigle for his contributions to the Company and wish him all the best as he moves on to his next commitment.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

White Sulphur Springs, Montana– September 8, 2021 – Sandfire Resources America Inc. (“Sandfire America” or the “Company”) announces that it has entered into a bridge loan agreement (the “Agreement“) with Sandfire BC Holdings (Australia) Pty Ltd. (“Sandfire BC“), the Company’s largest shareholder, and Tintina Montana Inc., a wholly-owned subsidiary of the Company (“Tintina Montana“).

Pursuant to the Agreement, among other things, Sandfire BC will lend an aggregate of up to US$12.0 million to Tintina Montana (the “Loan“) through one or more advances. The Loan shall bear interest at the rate of five percent (5%) per annum, payable in monthly installments, and the Loan will have a latest maturity date of June 30, 2022, subject to the terms of the Agreement.

In connection with the Loan, the Company will act as guarantor to Sandfire BC. Tintina Montana will issue a promissory note to Sandfire BC in respect of each advance under the Loan on the date of the applicable advance.

The Company intends to use the proceeds of the Loan to complete the proposed work program on the Company’s Black Butte Copper Project and working capital purposes. The Company intends to service and repay the Loan by completing either debt or equity financings.

No securities of the Company are issuable under the Agreement. The Agreement and any subsequent financing is subject to approval of the TSX Venture Exchange.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the Agreement, the Company’s financing options and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, and that the Company will be able to secure additional funding to execute its plans,. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including delays in obtaining or inability to obtain required government or other regulatory approvals or financing. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Provides update on development activities, legal challenge, and financing

White Sulphur Springs, Montana– August 11, 2021 – Sandfire Resources America Inc. (“Sandfire America” or the “Company”) is pleased to advise that it has taken another important step in advancing its fully permitted Black Butte Copper Project in Central Montana with the acquisition of a key property covering the proposed surface infrastructure.

Tintina Montana Inc., a wholly owned subsidiary of Sandfire Resources America Inc., completed the purchase of the 534.9-acre Mine Property from Bar Z Ranch Inc. (“Bar Z”) on July 22, 2021.

This property encompasses a majority of the area of surface disturbance and activity allowed in the Mine Operating Permit for the Johnny Lee Deposit, which was approved by the Montana Department of Environmental Quality (“MT DEQ“) on August 17, 2020. 

Facilities include the future underground mine entrance and portal pad, mill facility, contact water reservoir, cemented tailings facility, and other features. The purchase was conducted under the arrangement outlined in the Company’s contract with the surface property owner, Bar Z. The land sale only encompasses surface rights and does not include the associated Mineral Rights, which will continue to be owned by their current owners.

The Black Butte Copper Project is located wholly on private land in Meagher County, Montana. The traditional use of the land is for grazing cattle and the project has been designed to return the land to ranchland at the end of the mine life.

Legal Update

On July 16, 2021, District Court Judge Bidegary heard oral arguments for summary judgement from plaintiffs and defendants regarding a legal complaint filed on June 4, 2020 by the plaintiffs claiming to represent the environmental community. The suit was filed jointly against the MT DEQ and Tintina Montana Inc. 

Additional intervenors in the suit supporting the MT DEQ and Tintina Montana Inc, include Meagher County, Broadwater County, and the Montana Department of Justice. A decision on the case is pending and may take several months.

To date, the legal challenge has not resulted in any interference with development activities and construction continues. While the Company does not believe that the legal challenge has any merit, it does have the potential to delay the development timeline.

Commenting on the latest developments, Sandfire America’s Senior Vice President Jerry Zieg said: “After years of developing strong community partnerships and often exceeding the standards set by one of the toughest regulatory processes in the world, the Company believes that the Black Butte Copper Project is cited as one of the most comprehensive mining plans Montana has ever seen – with state-of-the-art environmental safety features created expressly to protect the natural environment, including the Smith River Valley. The Company believes that the Black Butte Copper Project is a project Montana can be proud of and is very defensible in court. We look forward to moving forward, creating jobs, and getting back to investing in Montana.”

The Company has secured sufficient water rights to operate the Black Butte Copper Project, however these water rights required a modification to allow them to be used for mitigation as well as agriculture. On March 13, 2020, the Montana Department of Natural Resources issued a positive preliminary determination to grant the modification to the water rights.

A Hearings Examiner has been assigned to consider objections and ultimately issue a final determination on the modification to the water rights. The Company continues working on a resolution of the objections directly with the objectors to address their concerns prior to the final determination.

For additional information, see the Company’s news releases dated June 5, August 17 and October 27, 2020, and the documents entitled “Management Discussion and Analysis for the year ended June 30, 2020” and “Management Discussion and Analysis for the nine months ended March 31, 2021”, which the Company filed on the Company’s SEDAR profile at www.sedar.com on August 25, 2020 and May 27, 2021.

Financing

The Company has identified a requirement for a further US$12 million in funding in 2021 to allow it to progress its value-adding and risk mitigation strategy for the Black Butte Copper Project through to mid-2022. The Non-Executive Independent Directors and Management are reviewing a number of financing options and expect to make an announcement before the end of August.

Sandfire America’s CEO Rob Scargill said: “Purchasing the land where our mine will be located is a significant milestone in the development of Black Butte. We have a strong, productive relationship with the local landholders and owning the land provides greater clarity between mining and ranching activities and allows both industries to exist side-by-side. The recent legal proceedings are a frustration to all involved in the Black Butte Copper Project, but we are making strong headway as we continue to build momentum in the project.”

Contact Information:

Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Jerry Zieg, Sr. Vice President of Exploration for the Company, is a Qualified Person for the purposes of NI 43-101 and has also reviewed and approved the information of a scientific or technical nature contained in this news release.

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the Company’s plans for advancing the Black Butte Copper Project, including commencement of contracted surface work, the Company’s financing options and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, the Company’s successful advancement of the Black Butte Copper Project, that the Company’s exploration and development activities on the Black Butte Copper Project will not be materially affected by actions of environmental activists or other special interest groups and that the results of exploration and development activities are consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company and the Black Butte Copper Project, that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, interference with the Company’s exploration or development activities by environmental activists or other special interest groups failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding , the risks disclosed in the Company’s most recently filed Management Discussion and Analysis and the Company’s other continuous disclosure filings filed under the Company’s profile at www.sedar.com and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

White Sulphur Springs, Montana– August 9, 2021 –Sandfire Resources America Inc. (“Sandfire America” or the “Company”), further to its news release dated May 27, 2021, is pleased to report final comprehensive drill results of the winter 2021 exploration core drilling program (the “Exploration Program“), with four of the nine exploration holes returning intercepts of greater than 1.2% copper. The Company has also entered into a contract with American Drilling commencing in August 2021 to complete 14,000m of diamond drilling over the Lowry deposit which has a reported Inferred Mineral Resource of 8.3 million tonnes of 2.4% copper (See press release dated October 27, 2020).

The Exploration Program drilling, which completed in March 2021, focused on drilling new targets that could be accessed from the currently planned and fully permitted underground mine in the Johnny Lee area. The Exploration Program recovered 5,267m of core in eight drill holes in four different target areas. Any resource development in these areas, including the Inferred Mineral Resource at Lowry, will require a thorough environmental review as part of the permitting process administered by the Montana Department of Environmental Quality (“MT DEQ”), as well as commercial studies, before the Company could make any decision to mine.

Highlights of the Exploration Program include (a full table of results is included at the end of this release):

• Hole SC21-256 – Lowry South extension in Lowry Lower Copper Zone – 12.45m of 3.4% copper and 6.5g/t silver (previously reported in the Company’s May 27, 2021 news release)
• Hole SC21-262 – Strawberry West Upper Copper Zone – 6.8m of 1.2% copper and 33.0g/t silver.
• Hole SC21-263 – Lowry North extension in Lowry Middle Copper Zone – 9.8m of 1.7% copper and 12.2g/t silver
• Hole SC21-263 – Lowry North extension in Lowry Lower Copper Zone – 7.1m of 1.4% copper and 6.5g/t silver.

Hole SC21-263 intercepted copper mineralization in both the Lowry Middle Copper Zone and Lowry Lower Copper Zone, and so extended both zones north and east of previous intercepts. Together with the intersection in SC21-256 (reported May 27, 2021) these results show positive potential for expansion of the Lowry Lower Copper Zone in areas of its higher grades.

Hole SC21-262 tested the Upper Sulfide Zone in the Strawberry West area, about 600m west of the Johnny Lee Upper Copper Zone. Results from this hole plus historic holes outline a Strawberry West Upper Copper Zone reachable by underground access from the future Johnny Lee mine area.

Figure 1: Site plan of Exploration drilling completed at the Black Butte Project January-March 2021.

Sandfire America is in the preparation stages for a fall-winter 2021-2022 drill program which will include 14,000m of infill drilling in the Lowry deposit to upgrade and expand the Middle Copper Zone and Lower Copper Zone resources. Approvals for the program have been received from the MT DEQ and a contract has been entered into with American Drilling to commence in August 2021 and work through to March/April 2022. The results of this drilling will support a Lowry Pre-Feasibility Study planned for completion in 2022. Additional work for the prefeasibility study will include hydrologic, metallurgical, mining, and geotechnical studies.

Sandfire America’s CEO Rob Scargill shared, “The successful winter drill program shows the potential of the Black Butte property to host economic copper mineralization within a mineable distance from the Johnny Lee mine infrastructure and processing facilities. The Lowry deposit has the potential to add significant value to the Black Butte project due to its size and grade. Its location could allow us to mine and treat the material with minimal impact on our already approved surface footprint which will protect the water resources and environment while providing benefits to all our stakeholders.”

Table 1. Black Butte Copper 2021 Winter Exploration Drilling Program.

*-Reported previously, See the Company’s news release dated May 27, 2021

Intercept calculations included a minimum of 2 samples above a 1% copper cutoff grade.

Drilling conducted by Timberline Drilling Inc. of Hayden Lake, Idaho. HQ3-sized core was collected. Drill holes were oriented with dips varying between -80 to -70 degrees in relatively variably dipping mineral zones. Intercepts may be slightly longer than true thickness.

After being logged and photographed in White Sulphur Springs, Montana, all mineralized zones were sampled by cutting half-core splits which were delivered to Bureau Veritas labs in Reno, Nevada for processing. Bureau Veritas crushed the entire sample to 85% passing 2mm then split off 1kg, which was ground to 85% passing 75 micron and wet-sieved the split to ensure grinding passed specifications and then assayed for gold by fire assay with AA finish. Base metals were analyzed using a 4-acid digestion and ICP-ES analysis. Various other trace and major elements were also analyzed utilizing ICP and XRF procedures. Sandfire America utilized a QA/QC protocol which included inserting Certified Reference Materials (CRM) on a minimum of 1 CRM in 20 samples insertion rate. Assays of duplicates, and blanks were also included as part of the QA/QC program.

Bureau Veritas labs are accredited by ISO/IEC 170205:2017 methods for North America.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Jerry Zieg, Sr. Vice President of Exploration for the Company, is a Qualified Person for the purposes of NI 43-101 and has also reviewed and approved the information of a scientific or technical nature contained in this news release. Mr. Zieg verified the data disclosed in this news release, including sampling, analytical, and test data underlying the information or opinions contained in this news release.

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the completion of the Exploration Program, the permitting process with MT DEQ and the Company’s plans for advancing the Black Butte Copper Project and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, and that the results of exploration and development activities are consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company, the inherent risks involved in the exploration and development of mineral properties and the Black Butte Copper Project, the uncertainties involved in interpreting drill results and other exploration data and the geology, grade and continuity of mineral deposits, that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, currency fluctuations,, the possibility of project cost overruns or unanticipated costs and expenses, the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses, the possibility of project cost overruns or unanticipated costs and expenses, competition and loss of key employees, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

White Sulphur Springs, Montana– May 27, 2021 –Sandfire Resources America Inc. (“Sandfire America” or the “Company”) is pleased to provide an update on its winter 2021 exploration core drilling program (the “Exploration Program”), including the initial drill results for hole SC21-256 which intercepted 12.45m (metres) of 3.4% copper and 6.5 g/t silver in the Lowry Lower Zone which includes a core intercept of 4.65m of 6.0% copper and 14.6 g/t silver.

Table 1. Black Butte Copper 2021 Winter Exploration Drilling Program

Intercept calculations included a minimum of 2 samples above a 1%copper cutoff grade.

Drilling conducted by Timberline Drilling Inc. of Hayden Lake, Idaho. HQ3-sized core was collected. Drill holes were oriented with dips varying between -80 to -70degrees in relatively variably dipping mineral zones. Intercepts may be slightly longer than true thickness.

After being logged and photographed in White Sulphur Springs, Montana, all mineralized zones were sampled by cutting half-core splits which were delivered to Bureau Veritas (“BV”) labs in Reno, Nevada for processing. BV crushed the entire sample to 85% passing 2mm then split off 1kg, which was ground to 85% passing 75 micron and wet-sieved the split to ensure grinding passed specifications and then assayed for gold by fire assay with AA finish. Base metals were analyzed using a 4-acid digestion and ICP-ES analysis. Various other trace and major elements were also analyzed utilizing ICP and XRF procedures. Sandfire America utilized a QA/QC protocol which included inserting Certified Reference Materials (CRM) on a minimum of 1 CRM in 20 samples insertion rate. Assays of duplicates, and blanks were also included as part of the QA/QC program.

Bureau Veritas labs are accredited by ISO/IEC 170205:2017 methods for North America.

The Exploration Program drilling, which completed in March 2021, focused on drilling new targets away from the fully permitted Johnny Lee area to expand the footprint of mineralization that could be accessed from the currently planned underground mine. Eight diamond drill holes were completed, with a total of 5,267m of core spread over four different target areas. All four target areas are outside of the area covered under the current Mine Operating Permit and will require further environmental assessment, a thorough permitting process and commercial studies before any decision to mine. Logging and sampling of the core is nearly complete, with most of the samples delivered to the Bureau Veritas mineral lab in Reno, Nevada.

SC21-256 was drilled in the southern portion of the Lowry Lower Zone (figure 1) where two isolated historic intercepts of copper in holes SC11-087 and SC11-083 had significantly higher grade and thickness than average for the zone (Table 2). This intercept confirms the presence and continuity of the higher grade-thicknesses in this area.

Table 2. Comparison of results of SC21-256 to intercepts in previous results from SC11-087 and SC11-083

SC11-087 results were reported in news releases dated January 19, 2012 and SC22-083 results were first reported in News Release dated March 1, 2012.

SC21-258 and SC21-260 tested the same shallow target on the east flank of Sawmill Hill adjacent to the current facilities areas. The result of SC-258, though unlikely economic by itself, does show the presence copper mineralization and anomalously high silver grades. These results warrant follow-up to determine if shallow higher grade thickness intercepts are present.

CEO Rob Scargill stated, “Our first exploration drilling program outside of the known resource envelope in a decade is starting to deliver exciting results.The high-grade southern extension to Lowry provides encouragement for further work and the discovery of copper mineralization between Johnny Lee and Lowry provides additional evidence of the prospectivity of the district.”

Figure 1: Site plan of Exploration drilling completed at the Black Butte Project January-March 2021.

Figure 2: Pierce point map of Lowry lower zone showing location of SC21-256 intercept.

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Jerry Zieg, Senior Vice President for the Company, is a Qualified Person for the purposes of NI 43-101. Mr. Zieg has reviewed and approved the information of a scientific or technical nature contained in this news release. Mr. Zieg verified the data disclosed in this news release, including sampling, analytical, and test data underlying the information or opinions contained in this news release.

Cautionary Note Regarding Forward-Looking Statements: Certain disclosures in this document constitute “forward looking information” within the meaning of Canadian securities legislation, including statements regarding the completion of the Exploration Program, the Company’s plans for advancing the Black Butte Copper Project and expected outcomes. In making these forward-looking statements, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company will receive required regulatory approvals, that the Company will continue to be able to access sufficient funding to execute its plans, and that the results of exploration and development activities are consistent with management’s expectations. However, the forward-looking statements in this document are subject to numerous risks, uncertainties and other factors, including factors relating to the Company’s operation as a mineral exploration and development company, the inherent risks involved in the exploration and development of mineral properties,and the Black Butte Copper Project,the uncertainties involved in interpreting drill results and other exploration data and the geology, grade and continuity of mineral deposits that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including that results of exploration and development activities will not be consistent with management’s expectations, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, currencyfluctuations, the possibility of project cost over runs or unanticipated costs and expenses, the inherent uncertainty of production and costs estimates and the potential for unexpected costs and expenses, the possibility of project cost overruns or unanticipated costs and expenses, competition and loss of key employees, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Vancouver, British Columbia – November 13, 2020 – Sandfire Resources America Inc. (TSX.V: “SFR”; OTCQB: “SRAFF”) (“Sandfire” or the “Company“) announces that it will conduct a rights offering to raise gross proceeds of up to approximately C$30.0 million (the “Rights Offering“).

The Company will issue rights (the “Rights“) to existing shareholders in Canada and to eligible shareholders in the United States and in certain other jurisdictions at the close of business on the record date of November 24, 2020 (the “Record Date“). The Company is pleased that shareholders in Montana and in certain other states in the U.S. will be entitled to participate in the Rights Offering. 

Eligible shareholders will receive ten (10) Rights for each common share of the Company (each a “Share“) held. Forty-one (41) Rights will entitle the holder to subscribe for one (1) Share upon payment of the subscription price of C$0.15 per Share (the “Subscription Price“). For example, a holder of 410 Shares will be entitled to subscribe for 100 Shares for an aggregate subscription price of C$15.

Shareholders who fully exercise their Rights will also be entitled to subscribe for additional Shares in the Rights Offering, if available as a result of unexercised Rights prior to 5:00 p.m. (Toronto time) on December 22, 2020 (the “Expiry Time“), subject to certain limitations set out in the Company’s rights offering circular (the “Circular“).   

The Rights will trade on the TSX Venture Exchange under the symbol SFR.RT commencing on the first trading day prior to the Record Date and until 12:00 p.m. (Toronto time) on December 22, 2020.  The Rights will expire at the Expiry Time, after which time unexercised Rights will be void and of no value. No fractional Shares will be issued under the Rights Offering.

A rights offering notice and rights certificate will be mailed to each registered shareholder of the Company resident in Canada and to each shareholder in the United States other than in the states of Arizona, Arkansas, California, Minnesota, New York, Ohio and Wisconsin as at the Record Date. Registered shareholders who wish to exercise their Rights must forward the completed rights certificate, together with the applicable funds, to the rights agent, Computershare Investor Services Inc., on or before the Expiry Time. Shareholders who own their Shares through an intermediary, such as a bank, trust company, securities dealer or broker, will receive materials and instructions from their intermediary.  Further details of the Rights Offering are contained in the Company’s Circular, which has been filed on SEDAR under the Company’s profile at www.sedar.com.   

The Company currently has 822,213,031 Shares issued and outstanding. If all of the Rights issued under the Rights Offering are validly exercised, an aggregate of up to 200,539,763 Shares would be issued.  The Company intends to use the net proceeds of the Rights Offering to advance the Black Butte Copper Project and for general working capital purposes.

The Company is also registering the offer and sale of the Shares issuable on exercise of the Rights on a Form F-7 registration statement under the United States Securities Act of 1933, as amended. Shareholders in the United States should also review the Company’s Registration Statement on Form F-7 which will be filed with the United States Securities and Exchange Commission and when filed, can be found at www.sec.gov.

This news release shall not constitute an offer to sell or solicitation of an offer to buy the securities of the Company. There shall be no offer or sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to the registration or qualification of such securities under the laws of any such jurisdiction.

Purchase Commitment Agreement 

In connection with the Rights Offering, the Company has entered into a purchase commitment agreement (the “Commitment Agreement“) with Sandfire BC Holdings Inc. (the “Purchaser“).  The Purchaser has agreed, subject to the satisfaction of certain conditions, to fully exercise its basic subscription privilege to purchase its pro rata share of the Shares offered in the Rights Offering. The subscription amount for the Purchaser will be approximately C$25,630,415. Further details of the Commitment Agreement are contained in the Company’s Circular.

As of the date hereof, the Purchaser owns approximately 85% of the Company’s issued and outstanding Shares. If the purchase obligations of the Purchaser are fulfilled in full, the Purchaser does not subscribe for additional shares in the Rights Offering and no other shareholders exercise their Rights, the Purchaser will own approximately 88% of the issued and outstanding Shares on completion of the Rights Offering.

About Sandfire Resources America Inc. 

Sandfire Resources America Inc. is a growth company focused on the exploration, development, and mining of its 100% owned flagship property, the Black Butte Copper project in central Montana, USA.  The Company is led by a highly experienced executive management team that has a successful track record of building shareholder value through exploration, corporate finance, and mine development. 

Contact Information:
Sandfire Resources America Inc.
Nancy Schlepp, VP of Communications
Mobile: 406-224-8180
Office: 406-547-3466
Email: nschlepp@sandfireamerica.com

Cautionary statement regarding forward‐looking information

Certain disclosures in this release constitute “forward-looking information” within the meaning of Canadian securities legislation and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 (collectively, “forward-looking statements”). Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by words such as the following: expects, plans, anticipates, believes, intends, estimates, projects, assumes, potential and similar expressions. Forward-looking statements also include reference to events or conditions that will, would, may, could or should occur, including, without limitation, statements regarding the Company’s plans for advancing the Black Butte Copper Project (including plans to complete permitting), details of the Rights Offering, the intended use of proceeds of the Rights Offering, resource estimates and expected outcomes. In making the forward-looking statements in this news release, the Company has applied certain factors and assumptions that the Company believes are reasonable, including that the Company’s permitting will proceed as expected; that the Rights Offering will be completed and will raise the expected proceeds; that the results of exploration and development activities are consistent with management’s expectations and that the assumptions underlying mineral resource estimates are valid.  However, the forward-looking statements in this news release are subject to numerous risks, uncertainties and other factors that may cause future results to differ materially from those expressed or implied in such forward-looking statements, including without limitation: that the Rights Offering will otherwise not be completed or will raise less than the expected proceeds; uncertainties as to the costs to completion of the Rights Offering; the results of exploration and development activities will not be consistent with management’s expectations, the risk of unexpected variations in mineral resources, grade or recovery rates, delays in obtaining or inability to obtain required government or other regulatory approvals or financing, failure of plant, equipment or processes to operate as anticipated, the risk of accidents, labor disputes, inclement or hazardous weather conditions, unusual or unexpected geological conditions, ground control problems, earthquakes, flooding and all of the other risks generally associated with the development of mining facilities and the operation of a producing mine.  There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Readers are cautioned not to place undue reliance on forward-looking statements. The Company does not intend, and expressly disclaims any intention or obligation to, update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.