VANCOUVER, BC, May 17, 2023
/CNW/ - Soma Gold Corp. (TSXV: SOMA) (WKN: A2P4DU) (OTC:
SMAGF) (the "Company" or "Soma") is pleased to announce that it has
acquired a package of new exploration properties totaling 11,160
hectares (111.6 sq. km) in Antioquia, Colombia. The property is immediate to the
South of, and contiguous with, the Company's existing Zara
exploration properties in Antioquia, Colombia. With the addition of the new
properties, Soma controls approximately 60% of a 100 km long
extensively mineralized trend that stretches from the Company's
Nechi Project in the North to Aris Mining Corporation's Segovia
Operations in the South (2022 production of 210,163 gold
ounces).
The Otú Centro properties contain eleven known mineralized
quartz vein occurrences with varying amounts of historic and
small-scale mining. The most significant vein occurrences are at
the La Aurora and La Constancia mines, which offer over 1,000
meters of development work to a depth of 130
m.
Previous operators of the property have reported some
significant diamond drill hole results from the vicinity of La
Aurora Mine, including:
- 20.1 g/t gold over 0.9 meters, starting at a depth of 98.1
meters.
- 19.3 g/t gold over 0.7 meters, starting at a depth of 23.1
meters.
- 7.1 g/t gold over 0.5 meters, starting at a depth of 164.9
meters.
- 12.6 g/t gold over 0.4 meters, starting at a depth of 145.3
meters.
Additionally, the previous operators of the property have
reported numerous high-grade channel samples taken from the
historic underground workings at La Constancia and La Aurora mines,
including:
- 103.0 g/t gold over 0.6 meters.
- 114.0 g/t gold over 0.3 meters
- 41.2 g/t gold over 0.4 meters
- 20.6 g/t gold over 0.7 meters
The Otú fault system ("Otú Fault") has a strike length of
over 100 km, from Segovia-Remedios in the South to Nechi in the
North. High-grade gold mineralisation occurs along the entire
strike-length of the Otú Fault in brittle-ductile to brittle quartz
veins that form during later stages of deformation along the Otú
Fault. Across the district, the quartz veins display orientation
patterns that suggest the veins form in conjugate faults associated
with late-stage movements on the Otú Fault. Notable mines along the
Otú trend include Segovia-Remedios, La Aurora, El Limon,
Le Ye, Los Mangos, and Cordero. In
addition to these advanced mining operations, numerous small-scale
underground mines have been developed throughout the district.
Significant placer and alluvial operations have also been developed
within the watersheds along the trace of the Otú Fault.
Approximately 329,000 oz of gold are produced annually along the
strike of the Otú Fault from underground operations at
Segovia-Remedios and El Bagre and from placer mining of the Nechi
River. An unknown amount of additional gold is produced by informal
miners from small-scale mines, paleo-placer, and placer operations.
The quantity of gold produced and the abundance of gold-bearing
quartz veins along the Otú Fault reflect the prospectivity of the
district. Along the 100 km strike-length of the Otú Fault only the
Segovia-Remedios area has a defined gold resource of over 1 million
ounces (currently 3.3 million ounces). The large quantity of gold
produced in the district indicates that it is highly prospective
for finding additional large-scale deposits.
Soma Gold CEO, Javier
Cordova, states, "The acquisition of the Otú Centro
Property by Soma represents a significant consolidation of the
ground within a prolific Colombian gold belt. The Otú Centro
Property contains numerous gold occurrences that have seen only
limited modern exploration. In contrast, the quantity of gold
produced from hard rock and alluvial mining operations along this
mining belt indicates the prospective trend for discovering
significant new gold deposits."
Principal terms of the agreement include:
- An initial cash payment of US$1,000,000 on closing the agreement
(completed).
- A second cash payment of US$1,120,000 due on May
12, 2024.
- The assumption of US$150,000 in
liabilities related to the properties.
- The granting of a 2% NSR on metallic minerals. One-half of the
NSR (1%) can be repurchased by Soma for US$1,000,000 (indexed to US CPI).
Qualified Person
Statement
Mr. Chris Buchanan, P.Geo, is
Soma's Vice-President of Exploration and a Qualified Person as
defined by National Instrument 43-101. Mr. Buchanan has reviewed
the technical information disclosed in this press release.
ABOUT SOMA GOLD
Soma Gold Corp. (TSXV: SOMA) is a mining company focused on gold
production and exploration. The Company owns two adjacent mining
properties in Antioquia, Colombia
with a combined milling capacity of 675 tpd. (Permitted for 1,400
tpd). The El Bagre Mill is currently operating and producing.
Internally generated funds are being used to finance a regional
exploration program.
The Company also owns an exploration property near Tucuma, Para
State, Brazil that is currently
under option to Ero Copper Corp.
On behalf of the Board of Directors
"Javier Cordova Unda"
Chief Executive Officer and
President
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
All statements, analysis and other information contained in this
press release about anticipated future events or results constitute
forward-looking statements. Forward-looking statements are often,
but not always, identified by the use of words such as "seek",
"anticipate", "believe", "plan", "estimate", "expect" and "intend"
and statements that an event or result "may", "will", "should",
"could" or "might" occur or be achieved and other similar
expressions. Forward-looking statements are subject to business and
economic risks and uncertainties and other factors that could cause
actual results of operations to differ materially from those
contained in the forward-looking statements. Forward-looking
statements are based on estimates and opinions of management at the
date the statements are made. The Company does not undertake any
obligation to update forward-looking statements even if
circumstances or management's estimates or opinions should change
except as required by applicable laws. Investors should not place
undue reliance on forward-looking statements.
SOURCE Soma Gold Corp.