Dear Valued Shareholder,
I’d like to begin by thanking everyone who stopped by the Sonoro booth at last month’s PDAC 2025. If you have not viewed Company President and CEO Kenneth MacLeod’s presentation at the Mexico Mining Forum during PDAC, I strongly encourage you to watch it on the Company’s YouTube Channel. The presentation highlights the intrinsic value of the Company’s flagship Cerro Caliche project, especially now with record high gold prices and growing optimism for Mexico’s rejuvenated mining industry.
A Preliminary Economic Assessment (PEA) completed on the proposed Cerro Caliche mining operation in 2023 was based on a gold price of US $1,800 per ounce and highlighted a robust after-tax NPV5 of USD $47.7 million with an IRR of 45%.
With just 30% of known mineralized areas drilled and assayed to date and gold prices now above US $3,000 per ounce, the Company is investigating the potential increased valuation of the Cerro Caliche project.
Even during the current financial turmoil instigated by President Trump’s sky-high tariffs, gold prices have held and even surpassed US $3,200 per ounce. This supports gold’s reputation as a safe haven during political and financial uncertainty. As stock markets plunged, gold stocks held, including Sonoro stock which saw a 43% increase during Q1 of 2025.
Sonoro’s stock performance has also been bolstered by the geopolitical shift in Mexico’s mining sector. Since taking office last October, the Sheinbaum administration has taken a more proactive approach to the industry after Foreign Direct Investment (FDI) in the sector dropped to US $1.53b in 2024, a 56% decline from the prior year. Despite mining being one of Mexico’s most important economic activities and the country being one of the top FDI destinations for mining in the world, last year’s decline was a direct result of policy shifts, administrative delays, and regulatory uncertainty under the prior administration.
According to Fernando Aboitiz, Head of the Extractive Activities Coordination Unit, Ministry of Economy, the Sheinbaum administration plans to attract renewed investment to the sector. A new regulatory framework, developed in collaboration with the Mexican Mining Chamber (CAMIMEX), is expected by June 2025 and is being developed to resolve past administrative halts and accelerate new mining projects.
While speaking at PDAC 2025, Aboitiz stated that the new policy will also aim to revitalize exploration activities and does not include any proposed ban on open-pit mining.
As I have stated several times, the Board remains engaged with all stakeholders while the project is in the permitting phase and Insiders continue to advance shareholder loans to fund property payments, operating expenses in Mexico and regulatory filings.
The Company also continues to engage with investment communities to attract new investors and promote the Cerro Caliche project. We are attending the upcoming Commodities Global Expo 2025 from May 11th to May 13th in Ft Lauderdale, Florida and the Natural Resources Stocks Expo 2025 from May 14th to 16th in Atlanta Georgia. It is always a pleasure to meet stakeholders in person, so please let me know if you will be attending either event.
As always, please contact me directly at john@sonorogold.com with any questions or comments on the Company or the Cerro Caliche project.
Kindest Regards,
John M. Darch, Chairman
Sonoro Gold Corp.
Forward-Looking Statement Cautions:
This Chairman’s massage may contain “forward-looking information” as defined in applicable Canadian securities legislation. All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding the Cerro Caliche project, and future plans and objectives of the Company, constitute forward looking information that involve various risks and uncertainties, including statements regarding the amount of financing proposed to be raised, intended use of the financing proceeds, sufficiency of fund to complete certain project development steps, and outlook for the results of the contemplated drilling program. Although the Company believes that such statements are reasonable based on current circumstances, it can give no assurance that such expectations will prove to be correct. Forward-looking statements are statements that are not historical facts; they are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “aims”, “potential”, “goal”, “objective”, “prospective” and similar expressions, or that events or conditions “will”, “would”, “may”, “can”, “could” or “should” occur, or are those statements, which, by their nature, refer to future events. The Company cautions that forward-looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made and they involve a number of risks and uncertainties, including the possibility of unfavorable exploration and test results, the lack of sufficient future financing to carry out exploration and development plans and unanticipated changes in the legal, regulatory and permitting requirements for the Company’s exploration programs. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law or the policies of the TSX Venture Exchange. Readers are encouraged to review the Company’s complete public disclosure record on SEDAR at www.sedar.com.
This message does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States. The securities referred to herein have not been and will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), or with any securities regulatory authority of any state or other jurisdiction in the United States, and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons, as such term is defined in Regulation S under the Securities Act (“Regulation S”), except pursuant to an exemption from or in a transaction not subject to the registration requirements of the Securities Act.”
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