Sonoro Gold Corp (TSX-V:SGO, OTCQB:SMOFF) has announced an updated Mineral Resource Estimate (MRE) for the Cerro Caliche gold project in Sonora, Mexico.
The estimate has been prepared by SRK Consulting (U.S.) Inc. and is based on a total 59,500 meters (m) of drilled data including 544 drill holes, 17 trenches and assays for 57,500m of the drilled data.
“We are very pleased to announce the MRE prepared by SRK Consulting which provides a comprehensive analysis of all the historical and recent drilling and trenching carried on Cerro Caliche to date. We are now evaluating the economic impact of the MRE on the project while we continue the permitting process,” Kenneth MacLeod, president and CEO, said in a statement.
READ: Sonoro Gold set for updated resource estimate for its Cerro Caliche gold project
Mineral Resource Estimate Highlights
- Indicated Mineral Resources (cut-off of 0.20 g/t AuEq) of 19.9 million tonnes (Mt) at 0.44 g/t Au and 3.5 g/t Ag grade;
- Contains within an optimized pit shell: 280,000 ounces of gold (Au), 2,240,000 ounces of silver (Ag), 290,000 ounces of gold equivalent (AuEq)
- Inferred Mineral Resources (cut-off of 0.20 g/t AuEq) of 10.5 Mt at 0.42 g/t Au and 4.0 g/t Ag grade;
- Contains within an optimized pit shell: 140,000 ounces of Au, 1,345,000 ounces of Ag, 150,000 ounces of AuEq
- 65% of the combined resource tonnage is within the Indicated category;
- Amenable to a combination of open pit mining and heap leach extraction;
- An updated Preliminary Economic Assessment (PEA) based on the updated MRE is expected by the end of second quarter of 2023.
SRK also commented favorably on the upside potential of the project in terms of exploration. The current geological volumes and grade estimates, located outside of the pit shells, are considered too limited to establish grade continuity to meet the present requirements for reasonable prospects of economic extraction for the mineralized area to be considered Mineral Resources. SRK has defined the ranges for the potential exploration targets outside of the current pits shell and are within the current modelled mineralized zones.
Based on the analysis, SRK considered the exploration potential within drilled areas for Cerro Caliche, saying that there are additional opportunities along strike and parallel to the current vein trends and this potential may be quantified through additional drilling. In addition to drilling, surface mapping and sampling suggests that several mineralized trends have potential for additional resources along-strike.
Further exploration drill programs are warranted, it added.
“We are delighted to reach this milestone as SRK’s conclusions and recommendations align with Sonoro’s declared business plan and unwavering commitment to shareholders to advance Cerro Caliche to production. SRK’s resource estimate and suggested potential for expansion will assist us considerably as we work towards financing and building our proposed heap leach mining operation,” said John Darch, Sonoro’s chairman.
“The SRK analysis and estimation of Cerro Caliche resources has been completed to very high standards so that Sonoro can move confidently forward with advancing the project towards production,” Mel Herdrick, Vice President of Exploration added.
Sonoro Gold is a publicly listed exploration and development company holding the near-development-stage Cerro Caliche project and the exploration-stage San Marcial project in Sonora State, Mexico. It has highly experienced operational and management teams with proven track records for the discovery and development of natural resource deposits.
Contact the author at jon.hopkins@proactiveinvestors.com