Drill Program and Stock Option grant
TARACHI GOLD CORP.
(CSE: TRG)
FOR IMMEDIATE RELEASE August 27, 2020
TARACHI BEGINS 5,000 METRE DIAMOND DRILLING PROGRAM AT
THE TARACHI GOLD PROJECT IN SONORA, MEXICO
Vancouver, British Columbia (August 27, 2020) – Tarachi Gold Corp. (CSE: TRG) (FRA:
4RZ) (“Tarachi” or the “Company”) is pleased to announce that diamond drilling at the Tarachi
Gold project (the “Project”) is proposed to commence before the end of August. Drilling will be
conducted by BYLSA Drilling S.A. DE C.V. of Hermosillo, Sonora. The Company plans to
complete over 5,000 metres of diamond drilling in the coming months.
Tarachi will init ially target five prospects with structurally controlled concentrations of high-
grade gold. Initial testing will be in close proximity to known mineralization to determine the
controls and orientation to the gold zones . The Company will also drill untested targets and
down-dip projections to these zones. Tarachi will start the drill campaign at the historic La Dura
mine on the Jabali concession w here on August 20 , 2020 the Company announced channel
sample results of 6.34 g/t gold over 62.55 metres. Tarachi has over C$10 million to fund the
Company's aggressive drilling program with a team of three highly experienced geologists and
supporting staff.
“Drilling is the most exciting phase of mineral exploration and the Company is looking forward
to developing its understanding of the gold zones along strike and to depth and the potential in
discovering new zones. The Company’s recent geological and structural mapping and rock
sampling program has provided new interpretations to the co ntrols of the gold mineralizatio n in
several prospects which will greatly a id our d rilling program towards success ,” commented
CEO Lorne Warner.
An exploration camp has been erected in the Tarachi area and stringent Covid -19 protocols have
been put in place to ensure the safety of local communities and the team in the field.
Figure # 1 Location Map of Tarachi Gold Corp Concessions:
Project Description
The Projec t consists of the San Javier, Pretoria, Chivitas, Jabali, Juliana, Texana and Tarachi
concessions for at total of 2,56 0 hectares in the prolific Mulatos gold belt. The Project is
approximately 220 km by air east of the City of Hermosillo, and 300 km south of the border
between the United States of Ame rica and Mexico. The Jabali claim covers the La Dura historic
mine and several other small -scale mines. The gold mineralization and geology at Jabali is
believed to be similar in character to the gold mineraliz ation at the Mulatos mine. Alamos Gold
Inc., i n a 2003 annual report , identifies the Jabali project as being part of the "Los Bajios"
mineralized trend which the report suggests has the potential to host another Mulatos size
resource. The Tarachi project i s an early stage exploration project and the m ineralization hosted
on adjacent and/or nearby properties is not neces sarily indicative of mineralization hosted on the
Company’s property.
The Mulatos gold trend is part of the Sierra Madre gold and silver be lt that also hosts the
operating Mulatos gold mine immediately southeast of the La I ndia property and the Pinos Alto s
mine and the Creston Mascota deposit 70 kilometres to the southeast. Mineralization occurs
within silicified rhyodacite and is associated with vuggy silica alteration, and breccia with iron
oxide (hematite and specularite) . Native gold occurs along late -stage fracture coatings in the
breccias and is locally associated with barite. Past exploration has returned values from trace to
30g/t Au i n grab samples. Native gold has also been iden tified in outcrop on the southern
extension of the La Dura mine trend.
Qualified Person
Lorne Warner, P.Geo, President, CEO and Director of the Company is a qualified person as
defined by National Instrument 43 -101 and has reviewed and approved the scient ific and
technical disclosure in this news release.
Stock Option Grant
The Company also announces that it has granted stock options to directors, officers, employees
and consultants of Tarachi, under the Company ’s stock option plan. An aggregate amount of
1,300,000 stock options have been granted with an exercise price of $ 0.69 and will vest
immediately. They are exercisable for a period of four years from the date of the grant.
Contact Information: For more information and to sign-up to the mailing list, please contact:
Lorne Warner, CEO
Tel: (250) 574-5767
Email: [email protected]
SPECIAL NOTE REGARDING FORWARD LOOKING STATEMENTS
This news releas e includes certain “Forward‐Looking Statements” within the meaning of the United
States Private Securities Litigation Reform Act of 1995 and “forward‐looking information” under
applicable Canadian securities law s. When used in this news release, the words “a nticipate”, “believe”,
“estimate”, “expect”, “target”, “plan”, “forecast”, “may”, “would”, “could”, “schedule” and similar words
or expressions, identify forward‐looking statements or information. These forwar d‐looking statements or
information relate to, among other things: the exploration and development of the Project; future mineral
exploration, development and production including the identification of a work program.
Forward‐looking statements and forward ‐looking information relating to any future min eral production,
liquidity, enhanced value and capital markets profile of Tarachi, future growth potential for Tarachi and
its business, and future exploration plans are based on management’s reasonable assump tions, estimates,
expectations, analyses and op inions, which are based on management’s experience and perception of
trends, current conditions and expected developments, and other factors that management believes are
relevant and reasonable in the circumst ances, but which may prove to be incorrect. Ass umptions have
been made regarding, among other things, the price of silver, gold and other metals; costs of exploration
and development; the estimated costs of development of exploration projects; Tarachi’s ability to operate
in a safe and effective manner and its ability to obtain financing on reasonable terms.
These statements reflect Tarachi’s respective current views with respect to future events and are
necessarily based upon a number of other assumptions and estimates that, while considered reasonable by
management, are inherently subject to significant business, economic, competitive, political and social
uncertainties and contingencies. Many factors, both known and unknown, could cause actual results,
performance or ach ievements to be materially diff erent from the results, performance or achievements
that are or may be expressed or implied by such forward‐looking statements or forward -looking
information and Tarachi has made assumptions and estimates based on or related to many of these factors.
Such factors include, without limitation: satisfaction or waiver of all applicable conditions to closing
fluctuations in general macro‐economic conditions; fluctuations in securities markets and the market price
of Tarachi’s commo n shares; and the factors ident ified under the caption “Risk Factors” in Tarachi’s
management discussion and analysis . Readers are cautioned against attributing undue certainty to
forward‐looking statements or forward -looking information. A lthough Tarachi has attempted to identify
important factors that could cause actual results to differ materially, there may be other factors that cause
results not to be anticipated, estimated or intended. Tarachi does not intend, and does not assume any
obligation, to update these forward‐looking statements or forward-looking information to reflect changes
in assumptions or changes in circumstances or any other events affecting such statements or information,
other than as required by applicable law.