Azucar Reports Receipt of Order from Mexico’s Ministry of Economy regarding the El Cobre Project, Veracruz, Mexico
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NEWS RELEASE
June 2, 2023
Trading Symbols:
TSX-V: AMZ; OTCQB: AXDDF
www.azucarminerals.com
Azucar Reports Receipt of Order from Mexico’s Ministry of Economy regarding the
El Cobre Project, Veracruz, Mexico
VANCOUVER, B.C. Azucar Minerals Ltd. ("Azucar" or the "Company") (TSX -V: AMZ; OTCQB: AXDDF)
reports that it has received a communication (“the “Communication”) from the Directorate General of Mining
(“DGM”) within Mexico’s Ministry of the Economy (“Economia”) describing an injunction that has been
placed on Economia by the First District Court of Veracruz (“First District Court”), in respect of twenty-four
mineral concessions in Veracruz including mineral concessions (the “Concessions”) which cover the El
Cobre project.
The three-page Communication indicates that in 2022 an amparo lawsuit was filed before the First District
Court by thirty-three people (the “ Plaintiffs”) relating to their rights to water and a clean environment
amongst other things, as well as their right to be involved in decisions that may affect them. The lawsuit
was brought against Mexico’s mining authorities and, based on the Communication, appears to allege that
the Concessions have the potential to impact the above rights. According to the Communication, the
Plaintiffs requested an injunction on the Concessions to ensure that their rights to a clean environment and
information and participation will not be affected during the amparo lawsuit trial. The First District Court
appears to have granted this injunction against Economia from taking further acts with respect to the
concessions noted in the Communication.
In the Communication, Economia orders Azucar’s Mexican subsidiary, Minera Alondra, to suspend activities
on six mineral concessi ons which cover the El Cobre project. The Company has been advised that
Economia has no legal basis for this given that the First District Court injunction is directed at Economia as
a party to the lawsuit, and not the Company which has not been notified of the lawsuit and therefore cannot
directly be bound by decisions stemming from it until and unless the Company is formally summoned to the
trial and receives notification of the order of injunction from the presiding Judge.
Azucar is not planni ng any fieldwork at E l Cobre until such time as this situation is clarified, and t he
Company is currently seeking more information from Mexican authorities and will update shareholders as
it becomes available. In the meantime the Company is continuing its desktop review of results from field
work in 2022 in order to determine how best to advance El Cobre in the context of past results and the
Amparo lawsuit announced today.
On behalf of the Board of Directors,
“J. Duane Poliquin”
J. Duane Poliquin, P.Eng.
Chairman, Azucar Minerals Ltd.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain of the statements and information in this news release constitute “forward -looking statements” within the
meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within
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the meaning of applicable Canadian provincial securities laws. All state ments, other than statements of historical fact,
are forward-looking statements or information. Forward -looking statements or information in this news release relate
to, among other things, the timing, procedures and potential ruling for the amparo lawsuit trial, whether the Company
is formally summoned to the trial and receives notification of the order of injunction from the presiding judge, future
operations on the El Cobre Project and the timing for Mexican authorities to provide more information.
These forward-looking statements and information reflect the Company’s current views with respect to future events
and are necessarily based upon a number of assumptions that, while considered reasonable by the Company, are
inherently subject to significant legal, regulatory, business, operational and economic uncertainties and contingencies,
and such uncertainty generally increases with longer-term forecasts and outlook. These assumptions include: stability
and predictability in Mexico’s mineral tenure, mining, environmental and agrarian laws and regulations, as well as their
application and judicial decisions thereon; continued respect for the rule of law in Mexico; all necessary permits,
licenses and regulatory approvals being received in a timely manner; t he ability to secure and maintain title and
ownership to properties and the surface rights necessary for operations; community support in the El Cobre Project;
and the ability to comply with environmental, health and safety laws. The foregoing list of assumptions is not exhaustive.
The Company cautions the reader that forward-looking statements and information involve known and unknown risks,
uncertainties and other factors that may cause actual results and developments to differ materially from those
expressed or implied by such forward-looking statements or information contained in this news release. Such risks and
other factors include, among others, risks related to: political risk in Mexico; crime and violence in Mexico; corruption;
environmental risks, including environmental matters under Mexican laws and regulations; impact of environmental
impact assessment requirements on the Company’s planned exploration and development activities on the El Cobre
Project; certainty of mineral title and the outcome of litigation; community relations; governmental regulations and the
ability to obtain necessary licences and permits; risks related to mineral properties being subject to prior unregistered
agreements, transfers or claims and other defects in title; chan ges in mining, environmental or agrarian laws and
regulations and changes in the application of standards pursuant to existing laws and regulations which may increase
costs of doing business and restrict operations; as well as those factors discussed the s ection entitled "Risk Factors"
in the Company’s latest Management’s Discussion and Analysis available at www.sedar.com. Although the Company
has attempted to identify important factors that could affect the Company and may cause actual actions, events or
results to differ materially from those described in forward-looking statements or information, there may be other factors
that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that
our forward-looking statements or information will prove to be accurate. Accordingly, readers should not place undue
reliance on forward-looking statements or information. Except as required by law, the Company does not assume any
obligation to release publicly any revisions to on forward -looking statements or information contained in this news
release to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
Contact Information:
Azucar Minerals Ltd.
Tel. 604.689.7644
Email: [email protected]
http://www.azucarminerals.com/