July 25, 2016 – Oremex Silver Inc. (TSXV: OAG) (“Oremex” or the “Company”) is pleased to announce changes to its officers and directors along with an update on operations for 2016.
Director and Officer Update
At the Company’s Annual and Special Meeting held on July 7, 2016, the Company added Mr. Carlos Espinosa and Mr. James McVicar to the Board.
Mr. Carlos Espinosa, has over 25 years of experience combining international business development, Canadian capital markets and commercial banking, mainly in natural resources and advanced manufacturing industries. Mr. Espinosa is Partner and Founder of SoftLanding Group Mexico, Inc. (SLG Mexico), a boutique advisory firm based in Toronto, Canada dedicated to assist Canadian companies with interests in Latin America, as well as Latin American companies and governments interested in business opportunities in Canada. Between 2011 and 2015, Mr. Espinosa was at the Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV) with his last position being Head of Business Development, Global Mining. From 1999 to 2008 Mr. Espinosa was posted as Deputy Trade Commissioner of Mexico in Toronto promoting trade and investment between Mexico and Canada. In Mexico, his last position was Senior Manager, Commercial Banking at BANCOMEXT, Export Development Bank of Mexico. Mr. Espinosa is a guest lecturer at UNAM (Universidad Nacional Autonoma de Mexico). Mr. Espinosa earned an MBA from Kellogg School of Management at Northwestern University and a Bachelor of Business Administration from UNAM – “Universidad Nacional Autonoma de Mexico”.
Mr. James McVicar is a partner in Dentons Canada’s Business Law group in Toronto with 20 years of experience focused in corporate finance and mining. He previously spent close to three years as legal counsel in the Corporate Finance Branch of the Ontario Securities Commission (OSC) and later in his career was appointed to the OSC’s Securities Advisory Committee for a two-year term.
The Company has also added Mr. Michael (Mike) R. Smith as President. Mr. Smith is very familiar with all of our properties having previously been the CEO and President of Oremex from 2009 through early 2013. Mr. Smith is a Registered Geologist in Arizona and a Registered Member of the Society for Mining, Metallurgy and Exploration and has 38 years of experience with mineral exploration, project and mine development, mining operations, and permitting, in the US and various Latin American countries. He was the Chief Mine Geologist at Barrick’s Goldstrike mine and Barrick’s Manager of Development and Exploration in Peru in the early 1990s. Mr. Smith worked to develop projects in Colombia in the late 1990s to 2008 and was the founding CEO and President of Continental Gold. Mr. Smith has a successful track record of project development in Nevada, Arizona, Peru, Bolivia, Colombia and Mexico and has demonstrated the ability to work successfully with local communities. He resides in Arizona and Mexico City, and is fluent in Spanish and has extensive contacts in Mexico for future project acquisition; he is considered to be a strategic asset to future development of the Company. Mr. Smith’s responsibilities in 2016 and beyond will be to manage and develop our properties – there are also opportunities to sell or joint venture properties and there are opportunities to add new properties. Our involvement in new properties will center on our ability to create a resource or add near term cash flow.
The last 2 years have been a difficult but productive period for Oremex given the challenging markets. The Company has, with limited cash resources, kept up to date all payments on our properties and kept our office and warehouse open in Durango. We are particularly thankful to our staff in Mexico.
Over the past 18 months we have made three property visits. We sent a Geological Consultant on two of the visits specifically concentrating on Tejamen. The visits have resulted in a better understanding of the Community issues and the Geological setting in Tejamen. The third most recent visit concentrated on the different Government agencies, to better understand what is required from these agencies to obtain the surface rights at Tejamen. We were also in contact with a number of members of the local Community. We were encouraged by their comments. Mr. Carlos Espinosa, the newest member to our Board should be very helpful in our efforts to meet our goals at Tejamen.
The Company contracted Don Hulce of Gustavson & Associates to update the 2006 43-101 Resource Estimate. Although the number of silver ounces was reduced from approximately 50 Million ounces to approximately 29 Million ounces. The recent 43-101 also pointed out a few deficiencies in the 2006 report, but also suggested a few opportunities that will require further exploration work.
We are in the process of developing a strategic plan to gain surface access at Tejamen. The plan will have a greater emphasis on the Community while following up with the different levels of Government. Newly elected governments in the state of Durango [and the local municipalities] have stated their support for exploration and mining in the State. Additionally, the recently introduced Mexican royalty that is intended to provide funding at the local level appears to have generally improved the view of exploration and mining in affected communities.
At the Company’s Annual and Special Meeting held on July 7, 2016, the shareholders approved the change in name of the Company from “Oremex Silver Inc.” to “Monarca Minerals Inc.”. We expect to have this completed in the next few weeks. The shareholders also approved a seven-for-one consolidation of the stock. Although the shareholders have approved the consolidation, the Board has not yet determined when to implement the consolidation, if at all. The new corporate website (monarcaminerals.com) should be up and running in the next few weeks.
Thank you for patience over the last few years.
About Oremex Silver Inc.
Oremex is a Canadian company focusing on the exploration and development of silver projects along a highly productive mineralized belt in Mexico. The Company has a portfolio of silver projects including a mineral resource of 27.8 million ounces of silver (19.8 million tonnes at 45.0 g/t Ag) at its Tejamen deposit.
For further information, please contact:
Interim Chief Executive Officer
Oremex Silver Inc.
Cautionary Note Regarding Forward-Looking Statements
Forward-Looking Statements: The above contains forward-looking statements that are subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward-looking statements. Factors that could cause such differences include: changes in world commodity markets, equity markets, costs and supply of materials relevant to the mining industry, change in government and changes to regulations affecting the mining industry. Forward-looking statements in this release include statements regarding future exploration programs, operation plans, geological interpretations, mineral tenure issues and mineral recovery processes. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.