News

April 27, 2015

Ontario Mining And Lands Commissioner Awards Significant Costs To Sanatana

Vancouver, British Columbia, Canada, April 27, 2015 - Sanatana Resources Inc. ("Sanatana" or the "Company", TSX-V: STA), announces that the Ontario Mining and Lands Commissioner (the "MLC") has ordered Trelawney Mining and Exploration Inc. ("Trelawney"), a wholly owned subsidiary of IAMGOLD Corporation, to pay Sanatana over $400,0001 for its costs of defending Trelawney's failed easement application.

Peter Miles, Chief Executive Officer for Sanatana stated:

"The costs award is a tremendous victory for Sanatana and vindication for the efforts it made to defend against Trelawney's application. We understand that the cost award against Trelawney is, by a significant margin, the largest award that the MLC has ordered a party to pay. Our position has always been that Trelawney's application for easements over the Watershed Property was without merit. By way of background, Trelawney was seeking easements over mineral tenures which were optioned by Trelawney's subsidiary to Sanatana under an agreement and pursuant to which Sanatana has earned a 50% unencumbered interest and has the right to acquire an additional unencumbered 1% interest. In our view, Trelawney was trying to use the Mining Act to extinguish, without compensation, rights which Sanatana has acquired under the agreement. Sanatana's successful opposition to Trelawney's discontinued application is an important victory for all junior mining companies whose mineral tenures are coveted by bigger players in the industry. Our position is a simple one: we have defended and, if faced with similar predatory attempts to diminish or extinguish our rights, will continue to defend our position by all legal means."

The Decision of the Ontario Mining and Lands Commissioner

In rendering its decision on costs, the MLC tribunal observed in part:

"Without question, both parties viewed the [easement] application as raising critically important issues. [Counsel for Trelawney] described Trelawney's application and the easements requested as a "massive" undertaking. [Counsel for Sanatana], on behalf of Sanatana, stated that the potential impact of granting the requested easements would be to drive his client out of business. As for section 175 of the [Mining] Act, this provision raises issues such as whether or not the easement is "required"; whether any damage or injury caused by granting of the easement can be "adequately compensated for"; and so on. Historically, individual property rights, and this includes those held in unpatented mining claims being but some of the rights granted to individuals under the [Mining] Act, are held in high regard and not readily interfered with. The tribunal thus finds that the issues were important to both parties [emphasis added]."

The Mining Act (Ontario) provides considerable protection to holders of unpatented mining claims and such rights, as the MLC observed, are not readily interfered with. On the contrary, the purpose of the Mining Act (Ontario), in part, is to encourage prospecting, staking and exploration for the development of mineral resources in Ontario. To this end, Sanatana remains both committed to the exploration of the Watershed Property and confident in the Company's legal position.

A full copy of the decision will be posted on Sanatana's website (www.sanatanaresources.com) under the section entitled "Easement Dispute".

Sanatana was represented by a team from the law firm McMillan LLP. Sanatana wishes to thank our lead litigator, Robert Wisner, who was assisted by Adam Chisholm and Stephen Brown-Okruhlik, as well as James Munro who worked tirelessly as Sanatana's general counsel and provided mining law expertise.

About the Company

Sanatana Resources Inc. is a Canadian mineral exploration and development company focused on its Watershed Property in Ontario. Sanatana entered into an option and joint venture agreement with Trelawney Augen Acquisition Corp. (formerly Augen Gold Corp.) ("TAAC") which grants Sanatana an option to acquire up to 51% of the Watershed Property consisting of 46 mining claims totalling approximately 19,006 acres and located within the townships of Yeo, Chester, Neveille and Benneweis. As at November 28, 2012, Sanatana exercised its first option and is the legal and beneficial owner of 50% of the Watershed Property. Sanatana has until March 23, 2016, to decide whether to exercise its right to acquire a further 1% in the Watershed Property.

In June 2012, IAMGOLD Corporation completed its acquisition of Trelawney Mining and Exploration Inc. and became the sole indirect shareholders of TAAC. In 2013, Sanatana expanded the Watershed Property by acquiring, for the sole benefit of Sanatana and TAAC, a 20% interest in three additional mining claims located in Yeo and Chester Townships, Ontario. In addition to the Watershed Property, Sanatana also has exploration property in Saskatchewan. With an experienced management team and board of directors, the Company has the ability required to identify, develop and fund economic mineral properties. Sanatana is based in Vancouver and is listed on the TSX Venture Exchange (TSX-V: STA).

SANATANA RESOURCES INC.

(signed) "Peter Miles"
________________________________________
Peter Miles
President and Chief Executive Officer

For additional information on the Company, please contact:

Mr. Peter Miles, President and Chief Executive Officer at 604-408-6680 or email investor@sanatanaresources.com.

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