VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 27, 2011) - Soho Resources Corp. (News - Market indicators) ("Soho" or the "Company") is pleased to provide an update for its ongoing work programs at both its flagship Tahuehueto Project, located in Durango, Mexico and its more recently acquired Jocuixtita Silver Project, located in Sinaloa, Mexico.
Since completing its most recent financing in February 2011 the Company has initiated work programs, as outlined below, on both of its projects. These programs are progressing well and drill rigs have been secured for both projects, to be mobilized to commence drilling operations in May 2011.
Tahuehueto Project - Pre-Feasibility Data Collection
Efforts at Tahuehueto has been focused around collecting data to support a pre-feasibility and subsequent feasibility study as recommended and outlined within the October 2010 Preliminary Economic Assessment (the "PEA") prepared by Snowden Mining Industry Consultants Inc.
Drill road access and site preparation is underway in advance of drill rig mobilization to the project during the second half of May 2011 in order to commence an initial 2000 meter infill drill program designed to move Inferred Resources (currently about 40% of the total Tahuehueto Resource) into the Measured and Indicated Resource categories, required to support pre-feasibility and feasibility studies.
Knight Piésold Ltd. ("KPL"), initiated engineering work in late February 2011 and is conducting a site visit this week to proof initial concepts and collect critical geo-mechanical structural data and advise with ongoing environmental monitoring and data collection. KPL has been retained to conduct geotechnical and water/waste management design studies for Soho's Tahuehueto Project. KPL studies will include a geotechnical assessment of the proposed El Creston open pit, geotechnical input and assessment to the possible open pit at Cinco de Mayo (not included in the PEA). It also includes the investigation of one or more, Mine Development Concepts ("MDC") where each MDC would be a combination of alternative mine access points, plant-site locations, waste rock and tailings storage facility locations and water management concepts, to ultimately arrive at an overall optimum MDC.
Jocuixtita Project. – Initial Exploration and First Phase Drilling
Work commenced on the Jocuixtita Silver Project in February 2011. Access road rehabilitation was completed in the first week of March allowing crews to access the project and establish a base camp and start preliminary geological investigations of the mineralized zones and existing accessible underground adits. Geological mapping within and around the principle mineralized zones is continuing and has advanced to a stage where the Company has confidently selected zones to drill test during this initial exploration program. Surface and underground channel sampling is underway to properly access the exposed mineralization within the various zones, know to occur on the project.
The Company has signed a drilling contract with Falcon Perforaciones Mexico, S.A. de C.V. for the core drilling of 10 – 15 holes totaling a minimum of 2000 meters. Falcon expects to mobilize the drill rig to the Jocuixtita site by the end of the first week of May, 2001 and drilling operation would start immediately upon completion of drill mobilization.
The Company is planning to drill test two zones, the La Salvadora and El Carmen zones separated by approximately 700 meters along the same structure. This structure appears to be in excess of three kilometers in length and is one of a number of mineralized structures known to occur on the project.
OTCQX Listing in U.S.
The Company also recently announced on April 19, 2011 that a listing on the OTCQX, a premier tier of the OTC market in the United States was being pursued, and would hopefully be completed in the second quarter of this year. A listing on this exchange will provide U.S. investors with more transparent trading, superior information, and easy access through their US. broker-dealers. "We are looking forward to higher visibility in the largest market in the world." For more information on the OTCQX visit their website at www.otcqx.com.
About Soho Resources Corp.
Soho Resources Corp. is an exploration and development company strategically focused on gold, silver and base metals in the prolific Sierra Madre Belt of Mexico.
The Company has been conducting an exploration and drilling program to expand and upgrade its resources at its flagship Tahuehueto Project in Durango State and on October 4, 2010 announced the results of a Preliminary Economic Assessment ("PEA") completed by Snowden Mining Industry Consultants Inc. Key findings from the report included:
| Summary of PEA Estimates |
| Net cash flow |
|
$US 184.2 million |
| Net present value (NPV) 5% discount |
|
$US 109.6 million |
| Internal rate of return % |
|
31% |
| Payback period (months) |
|
27 |
| Mine life (years) |
|
11 |
| Maximum processing rate (tonnes/annum) |
|
1,000,000 |
| Capital and start-up costs |
|
$US 89.1 million |
Note: Calculations based on a 3 year rolling average of metal prices at the end of August 2010
Currency - US$ Gold: 965.81, Silver: 15.38, Copper: 2.92, Lead: 0.95, Zinc: 0.88 |
The Tahuehueto Project is a classic epithermal system hosting multiple structures traced for up to six kilometers of strike length. Considerable upside exploration potential remains on the existing explored resource structures both down dip and along strike, as well as on numerous other unexplored mineralized structures.
Qualified Persons
This press release was prepared under the supervision and review of Ralph Shearing, President and CEO of Soho Resources Corp., a Licensed Geologist, and Qualified Person as defined by NI 43-101.
Definitions used in this release are consistent with those adopted by the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM") Council in December 2005, as amended, and prescribed by the Canadian Securities Administrator's National Instrument 43-101 and Form 43-101F1, Standards of Disclosure for Mineral Projects. Mineral resources are not mineral reserves and do not have demonstrated economic viability.
ON BEHALF OF THE BOARD OF DIRECTORS
Ralph Shearing, Chief Executive Officer
WARNING: The Company relies upon litigation protection for "forward-looking" statements. This News Release may contain forward-looking statements including but not limited to comments regarding the timing and content of up-coming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. Soho Resources Corp. relies upon litigation protection for forward-looking statements.
Shares Issued – 185,533,676
Last Close $0.10 – April 26, 2011
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. 
