EARLY WARNING REPORT ISSUED
PURSUANT TO NI 62-103 – ACQUISITION AND
DISPOSITION OF SECURITIES OF SOMA GOLD
VANCOUVER, BC, Dec. 20,
2023 /CNW/ - Soma Gold Corp. (TSXV: SOMA)
(WKN: A2P4DU) (OTC: SMAGF) (the "Company" or "Soma")
is pleased to announce that increased production at the Cordero
Mine will now support the restart of operations at the el Limon
mill, which has been under "care and maintenance" since 2019. The
mill restart process is scheduled to commence in early January,
with an estimated completion time of 3-4 months. The decision to
restart the el Limon mill, rather than relocating it to the el
Bagre Gold Complex, was influenced by the close proximity of the el
Limon mill to the recently acquired Aurora Mine on the OTU Centro
concessions. The Company anticipates resuming mine production at
the historically producing and fully permitted Aurora Mine by the
end of F2024. Currently, Cordero mine's production surpasses the
capacity of the el Bagre mill, allowing for the building of a
stockpile. Once operational, the el Limon mill will process
material from Cordero, Aurora and formalized small miners.
The Company also announces the granting of an environmental
license to a second small miner operating on the Company's
concessions, marking a total of two formalized mines. The combined
production from these formalized mines is expected to add 50-75 TPD
of feed material.
Javier Cordova, President and
CEO, states, "The restart of the el Limon mill is a pivotal element
in our strategy to maximize the use of our assets across our
district scale property in Antioquia, Colombia. The el Limon mill underwent
reconstruction and expansion from 2018-2019 and went under "care
and maintenance" upon our acquisition of the el Bagre Gold Complex
in early 2020. It remained in this state until Soma reached a point
of generating sufficient feed to utilize the installed capacity of
both mills fully. That time has come."
In addition, the Company and C. Geoffrey
Hampson ("Hampson") announce that pursuant to the
News Release by the Company on December 5,
2023, Hampson has acquired and disposed of Shares (the
"Shares") of the Company pursuant to various private
transactions.
On June 30, 2022, Hampson acquired
100,000 Shares at a price of $0.25
per share for an aggregate consideration of $25,000. On May 4,
2023, Hampson acquired ownership and control over 31,667
Shares at a price of $0.31 per share
for an aggregate consideration of $9,816.77. On June 2,
2023, Hampson ceased ownership and control over 700,000
Shares at a price of $0.45 per share
for an aggregate consideration of $315,000. On June 29,
2023, Hampson ceased ownership and control over 350,000
Shares at a price of $0.50 per share
for an aggregate consideration of $175,000. On December 15,
2023, Hampson ceased ownership and control over 500,000
Shares at a price of $0.51 per share
for an aggregate consideration of $255,000. On December 15,
2023, Hampson ceased ownership and control over 500,000
Shares at a price of $0.50 per share
for an aggregate consideration of $250,000.
Immediately prior to the acquisitions and dispositions listed
above, Hampson owned and/or had control over an aggregate of
19,112,952 Shares, representing approximately 22.5% of the issued
and outstanding Shares of the Company on an undiluted basis, of
which 74,917 Shares were controlled directly, 16,978,327 Shares
were controlled through Hampson Equities Ltd., a company controlled
by Hampson, and 2,059,708 Shares were controlled through Lake
Forest Development Corp., a wholly-owned subsidiary of Hampson
Equities Ltd.
Following completion of the acquisitions and dispositions listed
above, Hampson owns and/or has control over an aggregate of
17,194,619 Shares, representing approximately 18.8% of the issued
and outstanding Shares of the Company on an undiluted basis, of
which 106,584 Shares are controlled directly, 16,578,327 Shares are
controlled through Hampson Equities Ltd., a company controlled by
Hampson, and 509,708 Shares are controlled through Lake Forest
Development Corp., a wholly-owned subsidiary of Hampson Equities
Ltd.
In addition, Hampson also owns and/or has control over 1,093,666
stock options to purchase Shares. If Hampson exercises all of his
options, he would then own and/or have control over, directly or
indirectly, 18,288,285 Shares, representing approximately 20% of
the issued and outstanding Shares of the Company on a partially
diluted basis, assuming that no further Shares of the Company have
been issued.
The acquisitions and dispositions described above resulted in an
approximate 3.7% change in Hampson's ownership and/or control over
Shares of the Company.
The securities acquired will be held for investment purposes.
Hampson may, depending on estate and tax plans, market and other
conditions, increase or decrease his ownership of the Company's
securities, whether in the open market, by privately negotiated
agreements or otherwise, subject to a number of factors, including
general market conditions and other available investment and
business opportunities.
The disclosure respecting Hampson's shareholdings contained in
this press release is made pursuant to Multilateral Instrument
62-104 and a report respecting the above acquisition will be filed
with the applicable securities commissions using the Canadian
System for Electronic Document Analysis and Retrieval (SEDAR+) and
will be available for viewing at www.sedarplus.ca.
ABOUT SOMA GOLD
Soma Gold Corp. (TSXV: SOMA) is a mining company focused on gold
production and exploration. The Company owns two adjacent mining
properties in Antioquia, Colombia
with a combined milling capacity of 675 tpd. (Permitted for 1,400
tpd). The El Bagre Mill is currently operating and producing.
Internally generated funds are being used to finance a regional
exploration program.
With a strong commitment to sustainability and community
engagement, Soma Gold Corp. is dedicated to achieving excellence in
all aspects of its operations.
The Company also owns an exploration property near Tucuma, Para
State, Brazil that is currently
under option to Ero Copper Corp.
On behalf of the Board of Directors
"Javier Cordova Unda"
Chief Executive Officer and
President
And
C. Geoffrey Hampson
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.
All statements, analysis and other information contained in this
press release about anticipated future events or results constitute
forward-looking statements. Forward-looking statements are often,
but not always, identified by the use of words such as "seek",
"anticipate", "believe", "plan", "estimate", "expect" and "intend"
and statements that an event or result "may", "will", "should",
"could" or "might" occur or be achieved and other similar
expressions. Forward-looking statements are subject to business and
economic risks and uncertainties and other factors that could cause
actual results of operations to differ materially from those
contained in the forward-looking statements. Forward-looking
statements are based on estimates and opinions of management at the
date the statements are made. The Company does not undertake any
obligation to update forward-looking statements even if
circumstances or management's estimates or opinions should change
except as required by applicable laws. Investors should not place
undue reliance on forward-looking statements.
SOURCE Soma Gold Corp.