Trinity One Metals Closes Acquisition of "Silver-1" Historic Silver Mine in Southern Ecuador
Trinity One Metals Closes Acquisition of
"Silver-1" Historic Silver Mine in Southern
Ecuador
Vancouver, British Columbia--(Newsfile Corp. - February 4, 2026) - Trinity One Metals Ltd. (TSXV: TOM)
(OTC Pink: ARJNF) (FSE: 5D5) (the "
Company
" or "
Trinity One
") is pleased to announce that it has
closed its previously announced acquisition (the "
Transaction
") of 100% of the issued and outstanding
shares of 1560287 B.C. Ltd. (the "
Target
"). The Target owns 100% of Ecuador Gold S.A. ("
EGE
"), the
registered titleholder of the San Bartolomé Project, comprised of the "Silver-1" concession (the
"
Project
" or "
Silver-1 Mine
").
The Silver-1 Mine is a past producing, high grade silver system with multiple clear pathways for modern
verification and expansion. Trinity One has obtained full corporate control of the entity that holds the
Silver-1 Mine concession and associated historical project data, permitting information, and
documentation.
The Transaction closed on February 4, 2026 (the "
Closing
") following receipt of final acceptance from
the TSX Venture Exchange (the "
TSXV
").
Management Commentary
"The acquisition of the Silver-1 Mine represents a significant milestone for Trinity One, securing full
ownership of a high grade, past producing silver mine with substantial geological upside,"
said
Thomas Wood, Chief Executive Officer of Trinity One.
"With complete control of the concession and access to extensive historical technical and permitting
records, the Company is well positioned to efficiently validate prior work and advance Silver-1 toward a
modern, compliant resource estimate."
"The Silver-1 mine positions Trinity as one of the lowest market cap companies on the TSXV with a
past producing silver asset. We're excited to advance this Project quickly and responsibly, starting
with a focused confirmation program."
Transaction Summary
Under the Transaction, total consideration consisted of: (i) US$540,000 in cash (the "
Cash
Consideration
"); and (ii) 5,000,000 common shares of the Company (the "
Consideration Shares
").
The Cash Consideration is payable as follows, with all timelines commencing from the Closing:
US$90,000 paid on the Closing; US$50,000 payable on the 6 month anniversary of the Closing;
US$200,000 payable on the 13 month anniversary of the Closing; and US$200,000 payable on the 18
month anniversary of the Closing.
The Consideration Shares have been issued are subject to a statutory four month hold period under
applicable Canadian securities laws and will also be subject to additional voluntary resale restrictions
such that 1/3 of the Consideration Shares may not be transferred or resold until 12 months after the
Closing date, 1/3 may not be transferred or resold until 24 months after the Closing date, and 1/3 may
not be transferred or resold until 36 months after the Closing date.
The Transaction was an arm's length transaction. No finder's fees were paid in connection with the
Transaction. The Company assumed known liabilities and obligations of the Target as at Closing,
including a US$43,500 balance payment obligation. The Company also intends to progress a structured
process to bring EGE and the Silver-1 Mine concession into good standing, including addressing
outstanding governmental, administrative and concession related obligations, as such liabilities arise
and are quantified, and subject to ongoing legal and regulatory review.
About the Silver-1 Mine
The Silver-1 Mine concession comprises approximately 3,108 hectares and is located in Azuay
Province, southern Ecuador, approximately 20 kilometres southeast of the city of Cuenca. The project
area lies at elevations ranging from approximately 2,800 to 3,300 metres above sea level and is
accessible by road from Cuenca, providing established regional infrastructure and access.
Mineralization at Silver-1 consists of numerous sub parallel, near vertical sulphide veins arranged in
elongated, step like zones striking east-northeast. The deposit is classified as an epizonal silver-lead-
zinc vein system and forms part of the broader Cañar-Azuay silver belt of southern Ecuador, a
metallogenic belt that has been the subject of multiple regional geological studies and documented
mineral occurrences.
The Silver-1 Mine was initially discovered in 1966 following a regional geochemical survey conducted by
the United Nations Development Programme. This early work identified anomalous silver and base
metal signatures, which prompted a series of follow up exploration programs aimed at delineating the
extent and character of mineralization within the area.
Subsequent exploration undertaken between 1969 and 1972 included geophysical surveys, detailed soil
geochemistry, trenching, and eight diamond drill holes. These programs successfully identified
mineralization in two principal sectors: the Shunaste Sector, located immediately north of the town of
San Bartolomé, and the Ocashuaico Sector, situated to the northwest. Both sectors are fully contained
within the boundaries of the Silver-1 Mine concession and represent the core focus of historical
exploration and development activity.
Between 1976 and 1978, the United Nations Rotary Foundation conducted more advanced
investigations across both sectors. This work program included additional trenching, drilling, and the
excavation of exploration pits, further confirming the continuity and structural control of the mineralized
vein systems and supporting the advancement of the project toward small scale production.
From 1989 to 1994, a joint venture between Nissho Iwai of Japan and Ag-Armeno Mines & Minerals Inc.
of Canada conducted further exploration and small scale mining activities at the Silver-1 Mine. During
this period, mining operations were carried out on two principal vein structures accessed from three
main levels via adits, employing standard underground mining methods. Approximately 3,570 metres of
underground development was completed during this phase of operations. During this time, a 100 tonne
per day mill was reported to have been in operation. The average silver price over this period was
approximately $4-5/oz. An historical tailings dam has been identified on site and will be subject to further
economic assessment by the company. The Company has not yet verified historical site infrastructure.
A 1993 publication on the mine reported that operations were exploiting a mineralized zone
approximately 500 m by 100 m, with a vertical extent of about 90 m, accessed via four haulage levels,
with a fifth level under development at the time. That publication also reported estimates of tonnage and
grade. However, as the underlying primary source report is not currently available and key estimation
methodologies, parameters and assumptions are not disclosed, the Company is not treating these
figures as a current mineral resource or mineral reserve. Accordingly, the company is treating the
tonnage and grade solely as an exploration target, expressed as ranges and derived from the secondary
source, with a potential quantity of approximately 200,000 to 700,000 tonnes grading between 15 and
25 oz/tonne silver, with associated zinc grades of 2.2% to 3.6% and lead grades of 0.9% to 1.4%. The
potential quantity and grade of the exploration target is conceptual in nature, there has been insufficient
exploration by Trinity One to define a current mineral resource, and it is uncertain if further exploration will
result in the target being delineated as a mineral resource.
Published literature indicates that mineralization at the Silver-1 Mine remains open both along strike and
down dip beyond the limits of the historical underground workings (Mulshaw and Puig, 1994; Mulshaw et
al., 1997)
References
Puig, C.A. (1993) Ecuador, Mining Annual Review 1993 (Mining Journal Ltd., London, United Kingdom), p. 128
Jemielita, R.A. and Bolaños, J. (1993). San Bartolomé. In: Ore Deposits of Ecuador, Mining Journal Ltd., London, United Kingdom, p. 35
Mulshaw, S.C. and Puig, C.A. (1994). Silver mineralisation at San Bartolomé, Azuay, Ecuador. In: Mining Latin America, Institution of
Mining and Metallurgy, Chapman and Hall, pp. 165-180.
Mulshaw, S.C., Puig, C., Spiro, B., and Buchanan, D.L. (1997). Genesis of Epizonal Ag Vein Mineralization at San Bartolomé in Central
Ecuador: Textural Evidence, Fluid Inclusions, and Stable Isotope Geochemistry. Economic Geology, Vol. 92, pp. 210-227.
United Nations Development Programme (1972). The San Bartolomé Silver prospect (operation #5, Azuay Province). Technical Report No.
17: Survey of metallic and non-metallic minerals (Phase III), Republic of Ecuador.
Cautionary Note Regarding 1993 Exploration Target
In this cautionary note, the term "Historical Estimate" refers to historical tonnage and grade
information summarised in Puig (1993), which is a secondary source, and which is disclosed by the
Company solely as an exploration target. The Historical Estimate is considered relevant in that it
relates to historical mining and reserve reporting at the Project; however, its reliability is uncertain
because the source does not disclose key estimation parameters and assumptions required under
current standards, including the estimation methodology, data verification procedures, sampling and
analytical QA/QC, density, cut off grade, dilution and mining recovery, metallurgical recoveries, and
the economic assumptions and modifying factors necessary to support a mineral reserve declaration.
The Historical Estimate predates NI 43-101 and current CIM Definition Standards. While the terms
"proven" and "probable" used in the Historical Estimate are terminology historically applied to
mineral reserves and have similar names to CIM "Proven Mineral Reserve" and "Probable Mineral
Reserve" categories, the historical terminology was not reported with the level of supporting
technical/economic studies and disclosure of modifying factors required under current CIM Definition
Standards to support CIM Mineral Reserve classifications. The Historical Estimate therefore cannot
be meaningfully reconciled to current CIM Definition Standards or reported as a current mineral
reserve in the absence of the required supporting technical and economic analysis and disclosure of
modifying factors.
The 0.20-0.70 Mt quantity range is derived from the tonnages reported in Puig (1993) by combining
55,000 t
+
150,000 t (205,000 t, rounded) for the lower end and including the additional Shunaste
tonnage estimate
(
205,000 t + 500,000 t = 705,000 t
,
rounded) for the upper end. The grade ranges
are derived by applying an indicative
±25%
factor to the single set of grades reported in Puig (1993),
reflecting that the underlying primary source report(s) are not available and Shunaste is described
only as "similar grade" without separate grade disclosure.
As of the date of this news release, the Company has not identified any more recent published current
NI 43-101 mineral resource or mineral reserve estimates for the Project; however, a public technical
report authored by Ing. Jaime Aldaz Santana dated 25 October 2007 summarises historical operating
information (including historical concentrate grades and recoveries) and other historical technical
information.
A Qualified Person has not done sufficient work to classify the Historical Estimate as a current mineral
resource or mineral reserve, and Trinity One is not treating the Historical Estimate as current. In order
to verify and upgrade the Historical Estimate, the Company would need to obtain and validate the
underlying historical data (including assays, QA/QC, surveys and documentation), confirm density
and geological interpretations, and complete sufficient modern drilling/sampling and analytical work
under appropriate QA/QC and chain of custody procedures to support a current mineral resource
estimate prepared in accordance with NI 43-101.
Qualified Person
The scientific and technical information in this news release has been reviewed and approved by
Enkhtuvshin Khishigsuren, P.Eng., an independent geological consultant to the Company and a Qualified
Person as defined by National Instrument 43-101.
About Trinity One Metals Ltd.
Trinity One Metals Ltd. (TSXV: TOM) is a precious and base metals explorer focused on building a
portfolio of high growth projects with exposure to some of the world's most in demand metals. The
Company's strategy is to acquire and advance assets with strong geological fundamentals, clear
catalysts, and the ability to deliver discovery and growth through disciplined modern exploration.
The Company further announces that it has granted an aggregate of 2,800,000 incentive stock options
(the "Stock Options") to directors, officers, and consultants of the Company pursuant to its incentive
stock option plan (the "Plan"). Each Stock Option is exercisable to acquire one common share of the
Company at an exercise price of $0.30 per share for a period of five (5) years from the date of grant. The
Stock Options vest immediately and are subject to the terms and conditions of the Plan and the policies
of the TSX Venture Exchange.
Cautionary Note Regarding Forward-Looking Information
This news release contains "forward-looking information" within the meaning of applicable Canadian
securities laws. Often, but not always, forward-looking information can be identified by the use of words
such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends",
"anticipates" or "believes", or variations (including negative variations) of such words and phrases, or
statements that certain actions, events or results "may", "could", "would", "might" or "will" be taken,
occur or be achieved.
Forward-looking information in this news release includes statements related to: the timing and
payment of the deferred cash consideration; the Company's ability to assume and settle liabilities and
obligations; the Company's intended process to bring EGE and the Silver-1 Mine concession into
good standing; the Company verifying historical work and advancing the project toward a modern
resource estimate; and the Company's anticipated plans for compilation, verification, and
confirmation work programs in respect of the Project.
Forward-looking information is based on management's reasonable assumptions, estimates,
expectations, and opinions as of the date of this news release. A variety of factors, including known
and unknown risks, many of which are beyond the Company's control, could cause actual results to
differ materially from the forward-looking information in this news release. These include: the ability to
make deferred cash payments when due; the availability and reliability of historical records; the ability
to verify historical information; the results of any future exploration and confirmation programs (which
cannot be guaranteed); availability of capital and labour; changes in laws or permitting requirements;
the ability to bring the concession into good standing; and such other factors as may impact future
activities in respect of the Project.
Additional risk factors can also be found in the Company's public filings under the Company's
SEDAR+ profile at
www.sedarplus.ca
. Forward-looking statements contained herein are made as of
the date of this news release and the Company undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information, future events or otherwise, except
as required by applicable securities legislation. Accordingly, readers should not place undue reliance
on forward-looking statements.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in TSXV policies)
accepts responsibility for the adequacy or accuracy of this news release.
For further information, please contact:
Thomas Wood
Chief Executive Officer
Trinity One Metals Ltd.
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/282605