OROCO TEMPORARILY SUSPENDS DRILLING ACTIVITIES

Rhea-AI Summary

Oroco Resource Corp. (OTC: ORRCF) has temporarily suspended drilling operations at the Santo Tomas Project due to increased federal military activities in the area, stemming from disputes between criminal groups. The company's primary concern is the safety of its personnel. Despite the suspension, Oroco will maintain core processing operations at its Ranchito facility. The Santo Tomas Project contains a significant copper porphyry deposit with a historical Prefeasibility Study completed in 1994. The project is well-positioned geographically, benefiting from proximity to infrastructure such as highways and railroads.

Positive

• Oroco maintains core processing activities at Ranchito during drilling suspension.
• The Santo Tomas Project has a significant copper porphyry deposit, supported by historical exploration data.

Negative

• Drilling operations suspended due to increased safety concerns from local military activities.

Vancouver, Canada, June 09, 2022 (GLOBE NEWSWIRE) -- Oroco Resource Corp. (TSX-V: OCO, OTC: ORRCF) (“Oroco” or “the Company”) announces that it has temporarily suspended its drilling operations at Santo Tomas for safety and security reasons relating to an increase in federal military operations in the region resulting from a dispute between criminal elements.

“Our primary concern at this time is to ensure the safety of our field personnel,” stated Craig Dalziel, Oroco’s Executive Chairman.  “While disputes of this nature do not in any way directly affect our overall operations at Santo Tomas, we feel it is very important that the company and its personnel avoid all possible contact with any hostilities which may arise in the general area.”

The Company intends to take advantage of this temporary shutdown by providing a seasonal break for its drilling crews while maintaining its core-processing activities at Ranchito, the Company’s central processing and storage facility.

ABOUT OROCO:

The Company holds a net 73.2% interest in the collective 1,172.9 ha Core Concessions of the Santo Tomas Project in NW Mexico and may increase that majority interest up to an 85.5% interest with a project investment of up to CAD$30 million.  The Company also holds a 77.5% interest in 7,807.9 ha of mineral concessions surrounding and adjacent to the Core Concessions (for a total project area of 22,192 acres).  The Project is situated within the Santo Tomas District, which extends from Santo Tomas up to the Jinchuan Group’s Bahuerachi project, approximately 14 km to the northeast.  Santo Tomas hosts a significant copper porphyry deposit defined by prior exploration spanning the period from 1968 to 1994. During that time, the property was tested by over 100 diamond and reverse circulation drill holes, totalling approximately 30,000 meters. Based on data generated by these drill programs, a historical Prefeasibility Study was completed by Bateman Engineering Inc. in 1994.

The Santo Tomas Project is located within 160 km of the Pacific deep-water port at Topolobampo and is serviced via highway and proximal rail (and parallel corridors of trunk grid power lines and natural gas) through the city of Los Mochis to the northern city of Choix. The property is reached by a 32 km access road originally built to service Goldcorp’s El Sauzal Mine in Chihuahua State.

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

Cautionary Note Regarding Forward-Looking Information

This news release includes certain “forward-looking information” and “forward-looking statements” (collectively “forward-looking statements”) within the meaning of applicable Canadian securities legislation.  All statements, other than statements of historical fact included herein, including without limitation, statements relating to future events or achievements of the Company, are forward-looking statements. There can be no assurance that such forward-looking statements will prove to be accurate, and actual results and future events could differ materially from those anticipated or implied in such statements.  Many factors, both known and unknown, could cause actual results, performance or achievements to be materially different from the results, performance or achievements that are or may be expressed or implied by such forward-looking statements.  Readers should not place undue reliance on the forward-looking statements and information contained in this news release concerning these matters.  Oroco does not assume any obligation to update the forward-looking statements should they change, except as required by law.

FAQ

Why has Oroco Resource Corp. suspended drilling operations at Santo Tomas?

Oroco Resource Corp. suspended drilling operations due to increased federal military activities in the region related to disputes between criminal elements.

What is the impact of the suspension on Oroco's operations?

The suspension primarily concerns drilling operations; however, Oroco will continue core processing activities at its Ranchito facility.

What percentage of interest does Oroco hold in the Santo Tomas Project?

Oroco holds a net 73.2% interest in the Core Concessions of the Santo Tomas Project, which may increase to 85.5% with further investment.

When was the Prefeasibility Study for the Santo Tomas Project completed?

The historical Prefeasibility Study for the Santo Tomas Project was completed in 1994.

What are the geographical advantages of the Santo Tomas Project?

The Santo Tomas Project is located within 160 km of the deep-water port at Topolobampo and is accessible via existing highways and railways.