Mr. Peter Miles reports

SANATANA CLOSES FLOW-THROUGH PORTION OF PRIVATE PLACEMENT

Further to its news releases dated Dec. 15, 2023, Dec. 19, 2023, and Dec. 27, 2023, Sanatana Resources Inc. has closed the second tranche of the company's previously announced private placement of flow-through units of the company at a price of 10 cents per unit. Each unit consists of one common share in the capital of the company designated as a flow-through share pursuant to the Income Tax Act (Canada) and one non-flow-through share purchase warrant. Each warrant entitles the holder thereof to purchase one additional share at a price of 15 cents per share for a period of 36 months from the date of issuance. The company has now closed the flow-through portion of the private placement.

The second-tranche closing of the private placement consisted of 1.68 million units for aggregate gross proceeds of $168,000. All securities issued in connection with the first tranche of the private placement are subject to a statutory hold period in accordance with applicable securities legislation. The company will use the proceeds from the sale of the units for exploration purposes in British Columbia.

In connection with the second-tranche closing of the private placement, the company paid aggregate finders' fees of $7,800 and issued an aggregate of 78,000 compensation warrants, pursuant to a finder's fee agreement entered between the company and a finder. Each compensation warrant entitles the holder thereof to purchase one warrant share at a price of 10 cents per warrant share until Dec. 29, 2026.

In connection with the second-tranche closing, insiders of the company subscribed for a total of 900,000 units for a subscription price of $90,000 under the private placement. The insider subscription constitutes a related party transaction within the meaning of Multilateral Instrument 61-101, Protection of Minority Security Holders in Special Transactions. The company has relied on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-101 contained in sections 5.5(b) and 5.7(1)(a), respectively, in respect of the insider subscription as the company is not listed on a specified market and the fair market value of the units issued to insiders in connection with the private placement does not exceed 25 per cent of the market capitalization of the company, as determined in accordance with MI 61-101. The company did not file a material change report in respect of the related party transaction at least 21 days before the closing of the private placement, which the company deems reasonable in the circumstances in order to complete the private placement in an expeditious manner.

The company expects to close the non-flow-through portion of the private placement in January, 2024.

About Sanatana Resources Inc.

Sanatana Resources is a mineral exploration and development company with an experienced management team and board of directors. Sanatana is based in Vancouver and is listed on the TSX Venture Exchange.

Sanatana's principal project is the Oweegee Dome copper-gold porphyry property, which the company optioned from Arcwest Exploration Inc. (see the company's news release dated July 21, 2021). The Oweegee Dome copper-gold porphyry property is situated 40 kilometres east of the KSM/Brucejack/Treaty Creek cluster of base metal and precious metal deposits and is underlain by similar geologic conditions, Stuhini group (Triassic-age) host rocks, intrusions of the right age, alteration and porphyry-style copper-gold-silver-molybdenite mineralization.

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