Mammoth Secures Extension to Surface Access Agreement, Provides Update on Activities at its Tenoriba Gold Property, Mexico

2020-11-05 / @thenewswire

(TheNewswire)

Toronto, Canada - TheNewswire - November 5, 2020 - Mammoth Resources Corp. (TSXV:MTH), (OTC:MMMRF), (the “Company”, or “Mammoth”) is pleased to announce that it has reached agreement to extend surface access for a two year period with one of the two communities (ejidos) which oversee surface access to its Tenoriba gold-silver project located in the Sierra Madre precious metal belt, southwestern Chihuahua State, Mexico. Mammoth is scheduled to meet with the administrative board and members of the second ejido in the next two weeks and remains confident that this ejido will also be supportive of a similar two year extension to surface access thereby enabling Mammoth to advance exploration activities on its Tenoriba property.

While advancing these surface access permits, and while Mammoth awaits approval of the drill permit for up to 139 drill sites submitted in August, the Company has been active in advancing a number of initiatives to position the Company and the Tenoriba project with enhanced confidence towards the financing and execution of a substantial drill program planned to commence in early 2021.

Please note that Mammoth President and CEO Thomas Atkins will be part of a speaker panel at this week's Mines and Money 5@5 focused on gold, commencing today, Thursday November 5th at 5:00 pm Eastern Standard time. The speaker panel will provide the latest gold mining updates, and discuss the impact of the US election on gold, commodities and mining in general. Please feel free to click on the following link: https://hubs.ly/H0z87VG0 to access this panel discussion. Please register in advance of the 5:00 pm start time.

Thomas Atkins, President and CEO of Mammoth commented on recent activities at Tenoriba, stating: “We’re encouraged by the support and cooperation of the first of the two ejidos in their extending surface access at Tenoriba for the next two years. Mammoth is working closely with their neighbour ejido to arrive at a similar agreement. Meantime, Mammoth is advancing various initiatives that believe should give us the highest level of confidence in the opportunities at Tenoriba in preparation to advance a substantial diamond drill program planned to commence in early 2021. Mammoth, having reviewed the geological information generated from activities over the past 21 months, intends to enhance this review by incorporating an independent assessment of this same information by a highly experienced geological consultant and consulting firm with extensive experience in similar metallogenic systems as exists at Tenoriba. Mammoth believes this review combined with other activities it has underway has the potential to heighten the understanding of exploration opportunities at Tenoriba and thereby assist in raising capital, or advancing other opportunities to advance development at Tenoriba.”

Activities currently underway at Tenoriba include:

1.Engaging the services of a PhD geologist with extensive experience in Low, Intermediate and High Sulphidation epithermal precious metal systems to review all historical data from the Tenoriba property, including that produced in the past 21 months, and to include time at the project reviewing surface geology and historic drill core. The objective of this review is to assist in the review of the geological prospectively at Tenoriba, including recommendations on future exploration opportunities and activities.

2.Mammoth is advancing the 3D interpretation of geophysical and topographic data currently available from its 2015 IP-Mag surface geophysical survey with the objective of enhancing the understanding of potential control features evidenced in this data which appear to control mineralization intersected in 2008 and 2017-18 diamond drilling. Past geophysical lines were run north-south and the goal of the 3D interpretation is that this may assist in identifying potential control structures which may exist at high angles to these geophysical lines and as a result may not be observable in the current 2D north-south interpretation of the data produced from this survey. Should this 3D interpretation assist in understanding these control features better, this same 3D interpretation will be employed on additional geophysical work planned at Tenoriba.

3.Mammoth is planning an additional up to 72-line kilometres of IP-Mag surface geophysics at Tenoriba. The 2015 geophysical survey covered approximately 50 percent of the 5 to 6 kilometre strike length of surface mineralization sampled at Tenoriba, including only 3 lines covering 200 metres of the El Moreno area. A 1.2 kilometre gap exists between these 3 El Moreno lines and the area surveyed in the central portion of the mineralized trend. It was below the El Moreno area where coarse gold nuggets were recently panned (refer to following link: http://www.mammothresources.ca/i/maps_figures/10.jpg). As part of this survey additional geophysical coverage is planned further east and west of the eastern and western most areas covered by the past survey where the trend of mineralization remains open.

Mammoth looks forward to providing additional information on its activities at Tenoriba in the coming weeks.

The Company has issued 100,000 stock options at the current market price to a third party contractor, activities of which are unrelated to any geological or evaluation activities.

About Mammoth Resources:

Mammoth Resources (TSX-V: MTH) is a precious metal mineral exploration Company focused on acquiring and defining precious metal resources in Mexico and other attractive mining friendly jurisdictions in the Americas. The Company holds a 100% interest (subject to a 2% net smelter royalty purchasable anytime within two years from commencement of commercial production for US$1.5 million) in the 5,333hectare Tenoriba gold property located in the Sierra Madre Precious Metal Belt in southwestern Chihuahua State, Mexico. Mammoth is seeking other opportunities to option exploration projects in the Americas on properties it deems to host above average potential for economic concentrations of precious metals mineralization.

To find out more about Mammoth Resources and to sign up to receive future press releases, please visit the company's website at: www.mammothresources.ca., or contact Thomas Atkins, President and CEO at:416 509-4326.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Information: This news release may contain or refer to forward-looking information. All information other than statements of historical fact that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future are forward-looking statements; examples include the listing of its shares on a stock exchange and establishing mineral resources. These forward-looking statements are subject to a variety of risks and uncertainties beyond the Company's ability to control or predict that may cause actual events or results to differ materially from those discussed in such forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, undue reliance should not be placed on these forward-looking statements due to the inherent uncertainty therein.