Mar 12 2015
Sonoro Metals Corp. ("Sonoro") today announced the signing of a letter of intent ("LOI") with Northern Empire Resources Corp. ("Northern Empire"), pursuant to which Sonoro will enter into an option agreement to acquire a 60% interest in Northern Empire's 7,840 acre Hilltop Gold project ("Hilltop") located 115 km south of Fairbanks, Alaska, USA.
To exercise the option and earn its 60% interest in the Hilltop project, Sonoro must expend C$3,000,000 on exploration activities to advance the Hilltop project and issue 1,000,000 Sonoro shares to Northern Empire, prior to December 31, 2019. During the term of the option, Northern Empire will be the operator of the project.
In a joint statement, John Robins, Chairman of Northern Empire and Kenneth MacLeod, President & CEO of Sonoro, concluded that, "The Hilltop project is a very compelling gold project located in the Tintina Gold Belt, one of North America's most prolific gold regions." MacLeod further added that, "The management team at Sonoro is especially pleased to be able to participate in the exploration of this strategically-located property and to draw upon the extensive technical expertise of the principals of Northern Empire as we advance the Hilltop project."
About the Hilltop Gold Project
Northern Empire holds a 100% interest in the block of claims forming the Hilltop project within the broader Richardson Gold District (excluding placer gold). Hilltop is an exploration stage gold project located 115 km southeast of Fairbanks, Alaska and 40 km northwest of Delta Junction in east-central interior Alaska. Hilltop is located approximately 75 km from Sumitomo's Pogo mine (4.973 million ounces at 12.5 g/t gold; http://www.sumitomocorp.co.jp/files/topics/25649_ext_31_en_0.pdf ) and 135 km south of Kinross's Fort Knox mine (3.8 million ounces at 0.45 g/t Au; http://www.kinross.com/operations/operation-fort-knox-alaska-usa.aspx ). The 7,840 acre (3,172 hectare) Hilltop property is bordered on the south by the all-weather and paved Richardson Highway. In addition, Hilltop is proximal to both a high power electrical transmission line and the Trans-Alaska Pipeline. Access into the interior of the property from the Richardson Highway is via a new system of logging roads and trails which makes most points within the Hilltop project area accessible for exploration activities.
To view a map of, the Hilltop project, please visit the Richardson project section of Northern Empire's website at http://www.northernemp.com/projects/richardson/.
Terms of the Option Agreement
For Sonoro to exercise the option and earn its 60% interest in Hilltop, the C$3,000,000 of exploration expenditures by Sonoro and the issuance of 1,000,000 Sonoro shares to Northern Empire are based on the following schedule:
- within 60 days of the execution of the LOI and subject to TSXV approval, issue to Northern Empire 250,000 common shares of Sonoro;
- by December 31, 2015 pay to Northern Empire C$250,000 to be applied toward exploration expenditures on Hilltop;
- by December 31, 2017 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$500,000 to be applied toward exploration expenditures on Hilltop;
- by December 31, 2018 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$750,000 to be applied toward exploration expenditures on Hilltop; and
- by December 31, 2019 issue to Northern Empire an additional 250,000 Sonoro shares, and pay to Northern Empire an additional C$1,500,000 to be applied toward exploration expenditures on Hilltop.
The terms of the LOI are subject to receipt of all necessary regulatory approvals, including the acceptance of the TSX Venture Exchange.
About Sonoro Metals Corp.
Sonoro Metals Corp. is an exploration and development company with a portfolio of exploration-stage properties located in Alaska, USA; Sonora State, Mexico; and British Columbia, Canada. Sonoro has a skilled exploration team in Mexico, headed by Hermosillo-based Chief Geologist Melvin Herdrick, a professional geologist with over 35 years of experience, including 9 years as the Chief Geologist for Phelps Dodge in Mexico from 1994 to 2003 and 5 years as Vice President of Exploration for Pediment Gold Corp. until its takeover by Argonaut Gold Inc. in 2011. Sonoro's technical team in Canada is spearheaded by professional geologist Stephen Kenwood, with over 20 years of experience in mineral exploration and development in British Columbia.
Stephen Kenwood, P. Geo. is a qualified person within the context of National Instrument 43-101 and has read and takes responsibility for this news release. Readers are cautioned that the presence of mineralization on properties adjacent to or in close proximity to the Hilltop Gold property is not necessarily indicative of alteration and mineralization on the Hilltop Gold property.
On behalf of the Board of SONORO METALS CORP.
KENNETH MACLEOD, President & CEO
Source: http://www.sonorometals.com/