Sonoro Gold raising $11 million for drilling in Mexico

Sonoro Gold Corp. [SGO-TSXV, SMOFF-OTCQB, 23SP] has announced details of a “fully-committed” non-brokered private placement offering that is expected to generate gross proceeds of $11 million.

Proceeds of the offering will be used to complete a two-phase, 50,000-metre drilling program at the company’s flagship Cerro Caliche gold project in Sonora, Mexico.

The private placement consists of 45.8 million units priced at 24 cents per unit, each of which is composed of one common share and one share purchase warrant. Each warrant will entitle the holder to purchase one additional common share for three years from the date of closing at an exercise price of 32 cents per share. Closing is expected to occur by April 30, 2026.

Insiders of the company will participate in the offering by subscribing for 15.8 million units for gross proceeds of $3.8 million.

“This funding will not only strengthen our balance sheet but will also fund the potential expansion of the Cerro Caliche epithermal vein structure into the recently acquired north and south extensions,’’ said Sonoro President and CEO Kenneth MacLeod.  “Our primary objective remains advancing Cerro Caliche into production, and we are excited to start growing the project’s known mineralized system with a targeted drilling campaign.’’

Sonoro Gold shares were unchanged Tuesday at 24 cents and trade in a 52-week range of 33.5 cents and $0.095.

Sonoro recently announced the results of an updated preliminary economic assessment for its flagship Cerro Caliche project. The company said the PEA demonstrates the viability for a 10-year life of mine, open pit, heap leach mining operation\ with an initial one-year ramp up production rate of 12,000 tonnes per day and an increase to 16,000 tonnes per day for the remaining of the project’s life span.

The updated PEA reflects an increased gold price as well as higher capital costs and operating cost estimates. It envisages a 10-year life of mine with average production of 46,000 ounces of gold equivalent (AuEq) at 0.38 g/t or 459,000 ounces of AuEq over 10 years. The initial capital expenditure is forecast at US$83 million, including an US$11 million contingency. Sonoro holds 100% of the surface rights to the Cerro Caliche concessions and surrounding area covering an initial 3,908 hectares.

The Cerro Caliche property contains low sulphidation epithermal gold-silver deposits in and around northwestern oriented vein-structural zones containing precious metals within veins, veinlets and fractures.

According to the recent update, the project contains a measured and indicated resource of 51.7 million tonnes at 0.37 g/t and 3.7g/t silver or 640,000 ounces of gold equivalent (AuEq) within an optimized pit shell. On top of that is an inferred resource of 97,000 ounces of AuEq.