Carlyle News Release - Carlyle and Riverside Commence Phase 1 Drilling at The Cecilia Project, Sonora, Mexico
620 – 1111 Melville Street, Vancouver, BC V6E 3V6
News Release
CARLYLE AND RIVERSIDE COMMENCE PHASE ONE DRILLING AT THE
CECILIA PROJECT, SONORA, MEXICO
February 8th, 2021 CSE:CCC | FSE:1OZA | OTC:DLRYF
CARLYLE COMMODITIES CORP. (CSE:CCC, FSE:1OZA, OTC:DLRYF) (“Carlyle” or the “Company”)
is pleased to announce it has commenced its phase one drill campaign at The Cecilia Gold-Silver
Project in Sonora, Mexico, as of Saturday February 6, 2021.
The work program will test the un-drilled San Jose structure on the Cerro Magallanes target
where recent sampling returned values up to 48.3 g/t gold over 0.75 m at surface ( out of 21
samples; see press release of November 18, 2020). As project operator, Riverside Resources has
planned a total of 6 drill holes designed to test down to roughly 250 m in depth between 2,200
m and 1,900 m elevation over the Cerro Magallanes rhyolitic dome. This target is one out of five
major targets on the 7,000 hectares (70 sq. km) claim block in the prolific gold and copper mining
region of northern Sonora, Mexico.
Carlyle’s President and CEO, Morgan Good, commented, “We are extremely excited to report the
initiation of our phase one drill campaign at The Cecilia Project. We have worked diligently with
our partner Riverside since last summer to finance, plan and develop the exploration strategy.
With logistics running very efficiently, as well having fully financed the first -year option
exploration commitments, Carlyle is positioned for success as Riverside commands the drill bit in
Sonora. We are confident and optimistic that recent field success from channel sampling will bode
well for drilling success in February and March.”
Recent underground sampling has returned positive results, which demonstrate the value of drill
testing the area of Cerro Magallanes. Additionally, geophysical survey work, primarily Induced
Polarization (IP) and magnetics have highlighted the targets already identified by the field crews
(see press releases dated September 21, 2020 and November 18, 2020). This work shows the
significance of the northwestern and northeastern structures as fluid migration paths. The
intersection of structures is often where gold bearing fluids are concentrated and could lead to
discoveries of high-grade zones. Carlyle and Riverside have planned the drilling program to
target, at depth, the high-grade gold system that was identified at surface during its first-phase
exploration program (see Riverside’s press release of June 6, 2017).
These drill results are expected to increase our knowledge on potentially larger targets related
to the dome margin complex, a deposit type known for hosting multi-million ounces of gold and
silver. Analogs include projects such as La Pitarrilla Deposit in Durango held by SSR Mining and
the San Julian Mine of Fresnillo. While the mineralization at Cecilia is predominantly gold-rich,
the flow-dome related Ag-Pb-Zn(-Au) deposits of north-central Mexico represent important
geological models for exploration at Cecilia. Drilling of these potential targets will be tested in
subsequent drill programs.
Figure 1: 3D block diagram of the Cerro Magallanes rhyolite dome target, showing vertical
magnetic processing and a long-section along the San Jose Target which is intersected by the
La Cueva/Agua Prieta northeast trending fault zone.
First Year of Option Agreement Commitments Complete
The Company is also pleased to report it has now met its first-year exploration commitments of
its Option Agreement with Riverside Resources to acquire 100% of the Cecilia Gold-Silver Project,
by having advanced at least $750,000 CAD for exploration expenditures. It is expected the
balance of funds will be spent through the duration of this phase one drill campaign over the next
4-6 weeks.
Under the terms of the Option Agreement, Carlyle has the option to acquire a 100% interest in
the Property (the “Option”) by (collectively, the “Option Payments”): (i) making aggregate cash
payments of $200,000 (collectively, the “Cash Payments”), (ii) issuing 1,500,000 common shares
(each, a “Share”) in the capital of the Company (the “Share Issuance”), (iii) issuing 3,000,000 non-
transferable special warrants, and (iv) incurring an aggregate of $2,500,000 in exploration
expenditures (collectively, the “Expenditures”) all in accordance with the schedule set out below:
Payment Date Cash Payment Shares
Special
Warrants Expenditures
Upon entry into of
the letter of intent
in connection with
the Option
Agreement
$10,000
(Paid) - - -
Upon Closing (as
defined below)
$40,000
(Paid)
1,500,000
(Issued)
3,000,000
(Issued)
12 months from
Closing $50,000 - -
$750,000
(Advanced)
24 months from
Closing $50,000 - - $500,000
36 months from
Closing $50,000 - $1,250,000
TOTAL: $200,000 1,500,000 3,000,000 $2,500,000
Appointment of New Chief Financial Officer
Carlyle would also like to announce the resignation of its current Chief Financial Officer, Alastair
Brownlow. The Company thanks Mr. Brownlow for his many efforts and support over the years
and wishes him all the best with his future endeavours.
Furthermore, Carlyle would in turn like to announce and welcome Mr. Bennett Liu to its board of
directors as its new Chief Financial Officer. Mr. Liu joins the Company from Red Fern Consulting
Ltd., a full-service accounting group that provides financial and suppo rt services for public
companies including accounting, regulatory compliance, audit management and financial
reporting. Mr. Liu has served as Chief Financial Officer for multiple publicly traded companies
(TSX Venture Exchange and CSE-listed) with a focus on the resource sector. He received his
Bachelor of Technology – Accounting from the British Columbia Institute of Technology.
Qualified Person & QA/QC
Harrison Cookenboo Ph.D., P.Geo., and a QP by the standards of Canadian National Instrument
43-101, has reviewed the scientific and technical information that forms the basis for this news
release and has approved the disclosure herein. Rock samples from the previous exploration
programs discussed above at Cecilia were taken to the Bureau Veritas Laboratories in Hermosillo,
Mexico for fire assaying for gold. The rejects remained with Bureau Veritas in Mexico while the
pulps were transported to Bureau Veritas laboratory in Vancouver, BC, Canada
for 45 element ICP/ES-MS analysis. A QA/QC program was implemented as part of the sampling
procedures for the exploration program. Standard samples were randomly inserted into the
sample stream prior to being sent to the laboratory.
About Carlyle
Carlyle is a mineral exploration company focused on the acquisition, exploration and
development of mineral resource properties. The Company has an option to earn a 100% interest
in the Cecilia Gold-Silver Project located in the State of Sonora, Mexico. Carlyle formed a strategic
partnership with HDI and has formed a 50-50 joint venture with HDI affiliate United Mineral
Services Ltd. on the Mack Project and has an option to earn a 50% interest in the Jake project,
both located in B.C., as well owns 100% of the Newton Gold Project in the Clinton Mining Division
of B.C. The Company also holds an option to earn a 100% interest in the promising Sunset
property located in the Vancouver Mining Division near Pemberton, B.C. Carlyle is based in
Vancouver, B.C., and is listed on the Canadian Securities Exchange (“ CSE”) under the symbol
“CCC”.
ON BEHALF OF THE BOARD OF DIRECTORS OF
CARLYLE COMMODITIES CORP.
“Morgan Good”
Morgan Good
Chief Executive Officer
For more information regarding this news release, please contact:
Morgan Good, CEO and Director
T: 604-715-4751
W: www.carlylecommodities.com
Cautionary Note Regarding Forward-Looking Statements
This news release contains forward-looking statements and forward-looking information (collectively, “forward-
looking statements”) within the meaning of applicable Canadian legislation. All statements in this news release that
are not purely historical are forward -looking statements and include statements regarding beliefs, plans,
expectations and orientations regarding the future including, without limitation, the exercise of the Company’s option
on Cecilia Project, the expected results of the Program, and any plans for further exploration of the Cecilia Project.
Although the Company believes that such statements are reasonable and reflect expectations of future developments
and other factors which management believes to be reasonable and relevant, the Company can give no assurance
that such expectations will prove to be correct. Forward-looking statements are typically identified by words such as:
“believes”, “expects”, “anticipates”, “intends”, “estimates”, “plans”, “may”, “should”, “would”, “will”, “potential”,
“scheduled” or variations of such words and phrases and similar expressions, which, by their nature, refer to future
events or results that may, could, would, might or will occur or be taken or achieved. In making the forward-looking
statements in this news release, the Company has applied several material assumptions, including without limitation,
that the Company will exercise its option on the Mack Project and form the joint venture with UMS (or its assigns),
that the results of the work to be conducted on the Cecilia Project will be satisfactory to warrant further exploration,
that market fundamentals will support the viability of gold and other precious mineral exploration of the Cecilia
Project, the availability of the financing required for the Company to carry out its planned future activities, and the
Company’s ability to retain and attract qualified personnel.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the
actual results, performance or achievements of the Company to differ materially from any future results, performance
or achievements expressed or implied by the forward-looking information. Such risks and other factors include the
inability of the Company to exercise its option on the Cecilia Project, execute its proposed business plans, and carry
out planned future activities. The novel strain of coronavirus, COVID-19, also poses new risks that are currently
indescribable and immeasurable. Other factors may also adversely affect the future results or performance of the
Company, including general economic, market or business conditions, future prices of gold or other precious metals,
changes in the financial markets and in the demand for gold or other precious metals, changes in laws, regulations
and policies affecting the mineral exploration industry, and risks related to the C ompany’s investments and
operations in the mineral exploration sector, as well as the risks and uncertainties which are more fully described in
the Company’s annual and quarterly management’s discussion and analysis and other filings made by the Company
with Canadian securities regulatory authorities under the Company’s profile at www.sedar.com. Readers are
cautioned that forward-looking statements are not guarantees of future performance or events and, accordingly, are
cautioned not to put undue reliance o n forward-looking statements due to the inherent uncertainty of such
statements.
These forward-looking statements are made as of the date of this news release and, unless required by applicable
law, the Company assumes no obligation to update the forward-looking statements or to update the reasons why
actual results could differ from those projected in these forward-looking statements.
Historical information contained in this news release cannot be relied upon as the Company’s Qualified Person, as
defined under NI 43-101 has not prepared nor verified the historical information.
Neither the CSE nor its Regulation Services Provider (as that term is defined in the policies of the CSE accepts
responsibility for the adequacy or accuracy of this release).