Enters into Option Agreement ON Papua New Guinea GOLD-Silver-Copper Property
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MARCH 14, 2024 NEWS RELEASE TSXV: SDCU
SONORAN DESERT COPPER CORPORATION
ENTERS INTO OPTION AGREEMENT ON PAPUA NEW GUINEA GOLD-SILVER-COPPER PROPERTY
Vancouver, B.C.: Sonoran Desert Copper Corporation (“SDCU” or the “Company”) (TSXV: SDCU) is
pleased to announce that the Company has received a signed option agreement dated March 9th for the
highly prospective Normanby gold-silver-copper project located in Papua New Guinea (the “Normanby
Project” or the “Project”). The Normanby Project consists of two Exploration Licences (EL): EL 2504
(Sehulea) and EL 2590 (East Normanby).
Normanby Project Background
EL 2504 – Sehulea (Au-Ag)
A large-scale, low-sulphidation, epithermal system is present across eastern/southern Normanby Island
and the Sehulea exploration licence. Exploration to date has demonstrated gold + silver mineralization in
rocks, soils and streams over the entire 8km strike length within the licence. The gold mineralised system
then continues into the adjoining EL 2590 - East Normanby Exploration Licence.
EL 2504 contains the Weioko epithermal gold deposit along with five additional highly prospective gold
targets (Weioko Prospects). The Weioko deposit is located near the coast, at the northern end of a N-S
trending ridgeline, over a strike length up to 400m. The Weioko deposit has 67 historical diamond core
and reverse circulation holes totaling 5,791.7m. The holes tested 400m of strike length (N-S) and
intersected wide intervals of gold mineralisation. Drill results include 2.24 g/t Au and 8.9 g/t Ag over 64.6m
and 16.27 g/t Au and 27.3 g/t Ag over 3.0m.
There is very good potential in the Weioko Prospects for bulk-tonnage, low-sulphidation epithermal gold
mineralisation in the permeable volcanics and sediments overlying the metamorphic basement. There is
also very good potential for lower-tonnage, higher-grade discrete vein and/or vein stockwork type
mineralisation in both the sediments and the basement metamorphics.
The Weioko Deposit is located at the midpoint of EL 2504 and its gold prospects. It was discovered in 1986
during a program of rock chip sampling and ridge/spur soil sampling to follow up pan concentrate gold
anomalies and epithermal-style float found during earlier reconnaissance. A total of 1,088 soil and 104
outcrop and float rock samples were collected. The soil samples were analysed for gold, arsenic and
antimony and the rock samples analysed for gold, silver, arsenic and antimony. The follow up program
generated many significant geochemical anomalies.
At the main Weioko Prospect, low-grade, disseminated gold mineralisation is associated with silicification
and argillic alteration of porous sedimentary ro cks, and higher-grade veins cut both metamorphic
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basement and overlying sedimentary rocks. The geology consists of basement metamorphics overlain by
Pliocene-age basaltic to andesitic lavas and pyroclastics (Sehulea Volcanics) and poorly to well sorted
polymict conglomerates, a marginal epiclastic facies of the volcanics.
The gold mineralisation occurs as structurally controlled epithermal veins and silica flooded zones
associated with moderate to strong argillic alteration, hosted mainly by the conglomerates but also in the
metamorphics. Sulphides (mainly pyrite) occur as disseminations or veinlets in the matrix and fragments
of hydrothermal breccias. The mineralisation is closely associated with the volcanic rocks.
Soil sampling was carried out over a 5.5km x 1.6km NE oriented grid along 100m spaced lines. Numerous
broad, strong gold anomalies were demonstrated along the full length of the grid and are defined with
mostly coincident arsenic anomalies. Individual anomalies cover areas of up to roughly 9 hectares. The
Weioko Prospect was defined by an open-ended, gold-in-soil anomaly covering an area of 350m x 250m.
Hand trenching within the soil anomaly located bedrock gold mineralisation and the best results were
2.43g/t Au over 156m, 2.34g/t Au over 72m, and 1.20g/t Au over 60m, in three separate trenches. Visible
gold was noted only at the northernmost Weioko ridgeline outcrop, associated with quartz veinlets and
vugs.
A six-hole reconnaissance diamond drilling program totalling 869.7m was undertaken to test the contact
zone between the volcanolithic sediment cover and metamorphic basement rocks and for a possible
southern extension. Hole WED 003 graded 0.75g/t Au from 0 to 117.5m, including 27.7m grading 2.07g/t
Au and 17.1g/t Ag (further including 19.9g/t Au over 1.5m from 30.7m to 32.2m). Hole WED 001 graded
0.53g/t Au from 0 to 114.8m, WED 002 graded 0.44g/t from 0 to 150.0m and WED 005 graded 1.35g/t
gold from 0 to 27.7m.
A second program of four holes tested for east and west extensions to the mineralisation and intersected
wide anomalous intervals including 0.37g/t Au over 38.8m from 47.2 to 86.0m in hole WED 007, 0.40g/t
Au over 15.0m from 37.9m to 52.9m in hole WED 008 and 0.36g/t Au over 46.4m from 78.4m to 124.8m
in hole WED 009.
The main Weioko trench was resampled and yielded 3.96 g/t Au over 164m, including 8.69 g/t Au over
44m. Additional trenching approximately perpendicular to the ridgeline returned 8.07 g/t Au over 12m,
3.36 g/t Au over 40m, 5.70 g/t Au over 26m, and 5.19 g/t Au over 28m (including 24.4 g/t Au over 4m).
The trench results encouraged a third round of drilling consisting of 29 reverse circulation (RC) and
diamond drill holes (DD) (1,765m RC/167m DD). Mineralization was established over a strike length of
400m and to a depth of ~170m vertically and remains open at depth and along the major NE trending
structure.
The best results from RC drilling included 1.29 g/t Au from 0 to 70m (including 1.66 g/t Au over 52m from
10 to 62m in hole WEH005, 1.29 g/t Au from 0 to 60m (including 1.57 g/t Au over 46m from 14 to 60m) in
WEH004, and 1.00 g/t Au from 0 to 60m in WEH007.
Conventional IP and CSAMT (controlled source audio magnetotelluric) geophysical surveys were carried
out at the Weioko Prospects. A total of 14.75-line km of IP surveying and 3.6-line km of CSAMT surveying
were completed. The IP survey defined several chargeability anomalies at Weioko, some of which are
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coincident with gold and arsenic soil anomalies and mineralisation intersected by drilling. A resistivity
anomaly was also defined.
The IP anomalies show a strong NNW alignment and indicate the Weioko mineralisation may extend north
and south for up to one kilometre, while the CSAMT survey also produced high resistivity values. The
anomalies generated by the IP and CSAMT surveys remain to be tested.
EL 2590 - East Normanby (Au-Ag / Cu-Au Porphyry)
EL 2590 surrounds the EL 2504 (Sehulea) prospects detailed above and includes the Sewatupwa porphyry
copper-gold target, the Gwamogwamo structural copper-gold area, plus seven further gold prospects in
a major and very under-explored epithermal gold district.
The Sewatupwa Cu-Au Porphyry Prospect is an approximately 22 sq.km area of generally coincident and
anomalous copper, zinc, silver and manganese in stream silt samples, with local gold and molybdenum
anomalies, mostly covered by EL 2590. The Sewatupwa area straddles two intersecting, crustal - level
faults (trending NNE to the Weioko target in EL 2504 and WNW/ESE). Aeromagnetic, radiometric, and
structural targets are present within the anomalous Sewatupwa copper drainage area and remain
generally unexplored.
The Gwamogwamo Cu-Au-Ag-Zn Prospect is a structurally controlled, semi-massive sulphide unit located
at the south of the Sewatupwa Prospect. The prospect has four zones of outcropping to sub-outcropping
gossan present along a 1.5km long north-south trending zone.
The Imwauna South Au-Ag Prospect is the interpreted southern extension of the high-grade Imwauna
gold vein system that trends approximately N -S across central Normanby Island. Only six recon LS
epithermal quartz samples were collected in 2002 over the southern strike extent in EL 2590 and were
analysed for gold, silver, and arsenic. One sample of a 50cm wide outcrop returned 0.6 g/t Au, 28.4 g/t
Ag, and 814 ppm As. Four float samples returned 0.63 g/t, 0.37 g/t, 0.15 g/t and 0.11 g/t Au.
The Gui Au Prospect returned highly anomalous gold assays from 530m of hand trenching. Highlights
include 10m of 5.06 g/t Au over 10m, 5.29 g/t Au over 5m, and 0.99g/t Au over 75m.
The Lomitawa / Mwaduna Au-Ag Prospects have epithermal quartz float up to 7.12 g/t Au and 86 g/t Ag,
with gold in soil samples to 0.14 g/t Au. Outcropping gold has been located in narrow veins up to 5.33 g/t
Au and in sulphide-bearing banded metamorphics to 0.77 g/t Au.
The Soisoia River / Kwanaula Au Prospects have very strong to moderate drainage gold geochemical
anomalies covering an area of at least 15 square kilometres. Only 12 rock-chip float samples have been
collected from this location, with a peak value of 0.311 g/t Au.
OPTION TERMS
This Option Agreement between SDCU (the “Optionee”) and WNB Resources Limited (the “Company”)
and its beneficial shareholders Peter McNeil and Paige McNeil (the “Optionors”), requires the parties to
complete the following cash payments, work expenditures and share issuances:
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(a) the Optionors will cause the Company, subject to administrative matters, to issue and or
transfer to the Optionee, all the existing shares in the Company representing 100% of the total issued
capital of the Company upon receipt of a cash payment in the amount of $10,000 due upon the execution
of this Option Agreement.
(b) the Optionee will fund upcoming EL 2590 and EL 2504 Warden’s Court Hearing costs and make
minimum exploration expenditures, on the Property of $100,000 for ground exploration on an expedited
schedule and subsequently $60,000 for assays and additional work and filing of the appropriate reporting
requirements under the respective guidelines and subject to TSX Venture Exchange approvals of this
Option Agreement. The above exploration programs will be agreed between the parties. The Optionee
will also be responsible for updating and maintaining corporate records and associated regulatory filings.
(c) the Optionee will make cash payments to the Optionors of $2,500 per month for which the
Optionee will be entitled to receive 2 days commensurate professional geological management services
from the Optionors in relationship to the Property, for a minimum period of 24 months from the date of
and subject to TSX Venture Exchange approvals of this Option Agreement.
(d) the Optionee will issue 1,500,000 common shares of the Optionee to the Optionors upon
receipt of TSX Venture Exchange approvals of this Option Agreement.
(e) the Optionee will issue 1,500,000 common shares of the Optionee to the Optionors on the
12-month anniversary of TSX Venture Exchange approvals of this Option Agreement.
(f) the Optionee will issue 1,000,000 common shares of the Optionee to the Optionors within 10
Days of the next renewal of the EL 2590 License and subject to TSX Venture Exchange approvals of this
Option Agreement.
(g) the Optionee will issue 1,000,000 common shares of the Optionee to the Optionors within 10
Days of the next renewal of the EL 2504 License and subject to TSX Venture Exchange approvals of this
Option Agreement.
(h) the common shares issued to the Optionors by the Optionee under the terms of the Purchase
Option, will be subject to a 4-month statutory hold period which will begin on the date of issuance of the
common shares.
The Optionee will cause the Company to grant a 1.5% net smelter return royalty (the “NSR”) over the
Licenses in favour of the Optionors or their respective nominees on the terms and conditions of the
Royalty Deed to be executed on the same date as this Option Agreement and set out in Schedule “C”,
attached hereto. The Optionee does not have any residual rights to repurchase the NSR.
Qualified Person (QP) Statement
Case Lewis, P.Geo. is a Qualified Person (QP) as defined by Canadian National Instrument 43-101. Mr.
Lewis has read and approved the contents of this release.
ABOUT SONORAN DESERT COPPER CORPORATION
Sonoran Desert Copper Corporation is focused on securing, developing and monetizing assets in t he
copper sector to build shareholder value.
Suite 920 – 1112 WEST PENDER STREET
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On behalf of the Board of Directors of
SONORAN DESERT COPPER CORPORATION
"Brian Leeners"
Brian Leeners, CEO & Director
[email protected] / +1 604-862-4184 (WhatsApp)
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