Sienna Resources enters option to acquire Cave Creek

Executive Summary

• Sienna Resources entered an option agreement to acquire 100 % of the 1,230‑acre Cave Creek lithium project in Elko County, Nevada.
• Acquisition consideration consists of up to 3 million common shares, 1.5 million warrants (exercisable at $0.14 per share for five years), and cash payments totaling $53,000.
• Upon completion Sienna will owe a 1.5 % net smelter return (NSR) to the seller, with an optional purchase of half that NSR for $500,000 before production starts.

Key Details

• Property: Cave Creek lithium project – 61 contiguous claims, ~1,230 acres; borders Surge Battery Metals’ Nevada North lithium discovery.
• Option Structure:
• Cash Payments: $30,000 (Day 0), $13,000 (Month 4), $10,000 (Month 8).
• Share Issuance: Total of 3 million common shares issued in three tranches (2 M + 500k + 500k).
• Warrants: 1.5 million transferable share purchase warrants; exercise price $0.14 per share; term five years.
• NSR Terms: 1.5 % NSR payable to the optionor; Sienna may acquire a 0.75 % NSR for $500,000 at any time prior to production commencement.
• Additional Obligations:
• Sienna will pay all annual taxes and fees to maintain the claims and provide proof of payment.
• If due‑diligence ends without agreement, the owner reimburses Sienna for claim maintenance costs.
• Regulatory Condition: Transaction subject to approval by the TSX Venture Exchange.
• Qualified Person: Dr. Scott Jobin‑Bevans (PhD, PGeo) reviewed and approved the technical disclosure per NI 43‑101.

Notable Quotes

“This new acquisition positions Sienna as one of the largest landholders in this rapidly emerging lithium district… Management is confident that Sienna is entering the early stages of a major news flow and marketing cycle.” – Jason Gigliotti, President, Sienna Resources