Home Gold Stocks Sonoro Gold Corp (OTCMKTS: SMOFF) Drill Program Generates Results – Mike Swanson...

Sonoro Gold Corp (OTCMKTS: SMOFF) Drill Program Generates Results – Mike Swanson (03/26/2021)

Yesterday was a choppy day in the markets following a tough Wednesday for big cap technology stocks. It seems each passing day now is providing evidence that we indeed are in a churning market. That means money is coming out of many of the past winners of last year that simply became so highly valued that it’s silly and starting to flow into other things. That’s why I think stocks like ZM are ones that should be sold and it’s best to just focus on some special sector pockets now in the stock market.

One stock you need to be involved in and keep your eyes on is Sonoro Gold Corp, which trades on the US OTC markets as SMOFF and has its main listing in Canada as SGO. Check out the chart.

As you can see, the stock soared last year when it came alive in July and August. It has since been consolidating along with much of the small cap junior mining and exploration sector. The company is a junior gold exploration, development, and soon to be gold producer, with properties in the mining-friendly jurisdiction of Sonora, Mexico. The Company plans to develop a heap leach pilot operation (HLPO) at its flagship property, the Cerro Caliche gold project and utilize the generated cash flow to fund further exploration and development.

I made it my top stock of the month in January as the company began a drill exploration program for 2021 ahead of eventual gold production on track for year end. This drill program is now starting to get results. Four days it issued a news release to reported the following:

  • Spacing between the Buena Suerte and Japoneses zones has been reduced to approximately 100 meters in the northern extensions indicating the zones may merge with further infill drilling.
  • Drill holes SCR-201, SCR-203, SCR-205 and SCR-207 at the 200-meter, high-grade north extension of Buena Suerte all cut high-grade intercepts.
  • Drilling at the southwest extension of Buena Suerte identifies a 100-meter-long high-grade splay vein zone and widens the Buena Suerte zone toward the west.
  • High-grade zone identified at the northwest extension of Japoneses, approximately 150 meters east of the 200-meter-long high-grade zone at Buena Suerte.

The map below shows the location of the 20 RC drill holes as well as the proximity between the Buena Suerte and Japoneses gold mineralized zones.

https://i2.wp.com/sonorogold.com/wp-content/uploads/2021/03/Plan-Map.png?w=640&ssl=1

Kenneth MacLeod, President and CEO of Sonoro, stated, “With over 44,500 meters of drilling completed on Cerro Caliche to date, we are pleased to open the data room to geological and mining consultants, Micon International, for preparation of an updated NI 43-101 resource report.  Additional assays for drilling to the end of March will be provided to Micon by mid-April for inclusion in the resource report, which is anticipated to be completed in mid-2021.”

John Darch, Chairman of Sonoro, added that “The results continue to build a case for a substantial increase in our upcoming NI 43-101 resource update, as both zones look increasingly likely to coalesce into a single body of shallow, oxide gold mineralization which may justify a single larger pit.  At the same time, the discovery of a high-grade gold vein near the Buena Suerte’s southwestern extent not only adds to the project’s resource potential, but it also illustrates the project’s potential for high-grade gold veins.”

You can find the full press release with more details here.

The skinny is this – the recent drill results have been very promising and more are to come. More positive results simply will increase the value of the Cerro Caliche project. The market is completely ignoring this now as few are watching mining stocks at the moment with gold still consolidating above $1700, but the instant that changes expect this stock to get a lot of attention, especially because the news flow is only beginning and will continue for the rest of this year at the very least.

-Mike

Disclosure: Mike Swanson owns shares of Sonoro Gold Corp. Because it is a small cap stock with a market cap of less than $100 million he has put himself in a trading blackout on the stock and will not buy or sell a share of it for at least 30-days from the date of this post. Wallstreetwindow.com, is owned by Timingwallstreet, Inc., which is being compensated by a third party (Leadgopher LLC DBA Pinnacle Ad Network) to conduct an investor awareness advertising and marketing campaign for Sonoro Gold Corp. This third party paid Timingwallstreet Inc., $10,000 to produce and disseminate similar articles as this one and send traffic to them through paid advertising campaigns for 30-days from the date of this post (1/04/2020). This compensation should be viewed as a major conflict with our ability to be unbiased, more specifically: This communication is for entertainment purposes only. Never invest purely based on our communication. For more on trading risks read our policy statement by clicking here.