Sailfish Provides Updates on San Albino and El Compas Royalties TORTOLA, British Virgin Islands ,
Sailfish Provides Updates on San Albino and
El Compas Royalties
TORTOLA,
British Virgin Islands
,
May 7, 2019
/CNW/ - Sailfish Royalty Corp. (TSX-V: FISH)
(the "Company" or "Sailfish") is pleased to announce significant updates on two of the Company's
royalties.
San Albino
On
May 6, 2019
, Mako Mining Corp. ("Mako") publicly announced drill results from the Mango Zone
within the Las Conchitas area of its wholly-owned San Albino-Murra property located in
Nueva
Segovia
, Nicaragua. The results reported in the announcement confirmed a near surface, high-grade
zone with a dip continuity of 400 meters and a strike continuity of 150 meters. The Mango Zone is
open along strike and down dip. Specifically, drill hole LC19-70 intersected the highest gold grade
drilled to date of 376.49 g/t Au over 1 meter. This interval had visible gold and was approximately 70
meters from drill hole LC11-01, which intersected 69.96 g/t Au over 3 meters (see Golden Reign
Resources Ltd., Mako's predecessor, press release dated
February 22
, 2012). The mineralized
intercepts at LC19-70 and LC11-01 were less than 40 meters from surface.
These drill results are on land where Sailfish has a 2% NSR royalty, which was received as part of
the restructuring of the Company's gold stream on the San Albino gold project (the "Stream
Restructuring"). The Stream Restructuring was associated with the merger of Marlin Gold Mining
Ltd. and Golden Reign Resources Ltd., which created Mako in 2018 (see Sailfish press release
dated
November 9
, 2018). Prior to the Stream Restructuring, Sailfish did not have a royalty over the
Las Conchitas area and other exploration targets currently being drilled by Mako.
Mako also provided an update on construction financing for the San Albino project. Wexford Capital
LP, through funds managed by Wexford Capital LP (collectively, "Wexford"), which is the controlling
shareholder of the Company and Mako, has indicated its agreement to backstop up to
US$20 million
under an exempt rights offering at Mako. Sailfish has a gold stream equivalent to a 3% NSR on the
San Albino project (~3.5 square kilometers area of interest). Importantly, Mako expects the San
Albino project to commence production in late summer of 2020 (see Mako press release dated
May
6, 2019
, including legal disclaimers regarding a production decision).
El Compas
Endeavour Silver Corp. ('
Endeavour
") reported that the El Compas mine achieved commercial
production on
March 16, 2019
(see
Endeavour
press release dated
April 11
, 2019). Sailfish has a
1.5% NSR on the majority of the concessions, including those hosting the primary deposit at El
Compass, and started receiving royalty payments in
January 2019
.
Akiba Leisman
, CEO states, "the expansion of near surface, high-grade mineralization at Las
Conchitas is a positive development for Sailfish. Prior to the Stream Restructuring, Sailfish did not
have exposure to this area or other exploration targets on Mako's district-scale land package
outside of the San Albino project. Having spent the last week at site, my confidence continues to
grow in the San Albino-Murra property becoming a highly productive gold mining district. We would
also like to congratulate Endeavour Silver on achieving commercial production at El Compas, which
has generated the first revenue in Sailfish's short history as a public company."
About Sailfish
Sailfish Royalty Corp. is a precious metals royalty and streaming company. Within Sailfish's portfolio
are two cornerstone assets on advanced stage projects in the Americas: a 3.5% NSR on the
Tocantinzinho gold project in the prolific Tapajos district of northern
Brazil
; and a gold stream
equivalent to a 3% NSR on the San Albino gold project (~3.5 sq. km) and a 2% NSR on the rest of
the 138 sq. km area surrounding San Albino in northern
Nicaragua
. Sailfish intends to aggressively
grow its portfolio and become a yield-focused company by paying dividends to its shareholders.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as the term is defined in
the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE
Sailfish Royalty Corp.
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For further information:
Cesar Gonzalez, Director and Vice President of Corporate Development,
Sailfish Royalty Corp., telephone: 230-862-7007, e-mail: [email protected].
CO: Sailfish Royalty Corp.
CNW 09:00e 07-MAY-19