Teuton Resources Corp. (‘Teuton' or ‘the Company') and Silver Grail Resources Ltd. report that drilling has begun on their Midas property (Teuton ­ 75%, Silver Grail ­ 25%) situated 27 km east of Stewart, BC in the Golden Triangle, due south of Teuton's Del Norte property currently under option to Decade Resources. The first hole is testing, at depth, a strong ZTEM anomaly, the ‘A-6', detected during a 2018 airborne geophysical survey flown by Geotech.

The southern portion of the anomaly lies within the Midas property, the northern portion is on the Del Norte; a rhyolite dome is exposed on surface within the northern portion. The Company is using a heavy-duty drill with capacity to penetrate 1,000 metres under contract from BC Diamond Drilling. Yellowhead Helicopters is providing air support.

Geotech's geophysicists had this to say about the A-6 target: ‘It is stretching roughly in the NS direction over a distance of 1.5 km and connects the 3Oz Vein and the Rhyolite Dome showing. It has an estimated resistivity of < 50 ohm-m at depth of 300m, coincides with a strong Aerotem conductor and occurs within a zone of magnetic low. It is affected by a NW striking fault and occurs within a zone of complex structural pattern.

It may represent a link to a tension fault generated by the NW striking fault system.' The drill is currently at 500+ m depth. It has intersected a series of felsic volcanic and volcanoclastic rocks including peperite with a section of rhyolitic flows and or tuffs.

In one core interval, very fine-grained pyrite appears to be associated with thin exhalite layers. Drilling is expected to continue to 700 m. Core is brought to the Teuton core storage facilities on a daily basis where it is being logged and processed. The Teuton geologists will determine intervals to cut with blanks and standards inserted in the sample stream for quality assurance.

The Konkin Silver property adjoins due south of the Midas and is 50% owned by Teuton and 50% by Silver Grail. Silver-bearing mineralization has been discovered in a number of showings throughout the property in past exploration programs. The aim here is to test at depth a strong ZTEM anomaly, the ‘A-9', discovered during a 2018 Geotech survey. The A-9 surrounds two, large VTEM anomalies detected during an earlier survey completed in 2005.

Neither of the anomalies has been previously drill-tested. The drillpad is collared within the Salmon River Formation in an area marked by carbonaceous mudstones. Discrete gossanous zones are in evidence west, east, north and southeast of the drillsite.

Drilling will begin at Konkin Silver as soon as drilling on the Midas is complete. Drill core samples will be sent to MSA Labs' Preparation Laboratory in Terrace, BC and will be assayed at MSA Labs' Geochemical Laboratory in Langley, BC. Analytical accuracy and precision are monitored by the submission of blanks, certified standards and duplicate samples inserted at regular intervals into the sample stream by Teuton personnel.

MSA Laboratories quality system complies with the requirements for the International Standards ISO 17025 and ISO 9001. MSA Labs is independent of the Company.