Mammoth Resources Looking to Unlock Value in Large-Scale Mexican Gold Project

• Mammoth Resources is a TSX-V listed company exploring a large gold and silver project called Tenoriba in Mexico's Sierra Madre region.
• Recent drill results show wide mineralized intervals over 4 km strike length, with grades comparable to other operating mines in the region.
• The CEO believes 25 more drill holes could lead to a maiden resource calculation by year-end with potential to be economic based on size and grade.
• The deposit type (high-sulfidation epithermal) allows low-cost open pit heap leach potential for development.
• The company will likely need to raise $1-1.5 million to fund the next 25 drill holes and advance towards maiden resource.

About Mammoth Resources

Mammoth Resources Corp. is a Canada-based mineral exploration company focused on acquiring and defining precious metal resources in Mexico and other attractive mining jurisdictions in the Americas. Mammoth’s flagship property is the Tenoriba gold-silver project located in the prolific Sierra Madre precious metal belt in southwestern Chihuahua State, Mexico.

Interview with Thomas Atkins, President & CEO of Mammoth Resources

About Tenoriba

The Tenoriba project covers a significant high-sulfidation system with demonstrated widespread gold-silver mineralization. Mammoth has been active on the property since 2012 and has completed numerous surface sampling and mapping programs to define drill targets over a 4km x 5km area.

To date, Mammoth has drilled 27 holes at Tenoriba for a total of 5,500 meters. Results suggest the potential for a large-scale open pit heap leach mining operation. Gold-silver mineralization remains open in multiple directions laterally and to depth, with grades comparing favorably to producing mines in the region.

Latest Drill Results

On July 13, 2022, Mammoth announced results from the latest 4 holes (TEN 22-24 to 27) drilled at the Continentals target area. Highlights include:

• 86m grading 0.47 g/t Au and 6.9 g/t Ag in hole TEN 22-25
• 46.5m grading 0.5 g/t Au and 5 g/t Ag in hole TEN 22-27
• 43.5m grading 0.6 g/t Au and 8.6 g/t Ag in hole TEN 21-17

These results continue to demonstrate long intercepts of near surface oxide gold-silver mineralization at grades typical of Sierra Madre high-sulfidation systems. The Continentals target measures 1.4km x 0.5km and clearly shows potential for significant contained ounces.

In comparison, at their La India mine in the Sierra Madre, Agnico Eagle is producing gold at similar grades to what Mammoth is seeing at Tenoriba. Other companies in the region are also advancing open pit heap leach projects with comparable grades, suggesting Tenoriba could support an economic mining scenario.

Moving Towards Maiden Resource

According to Mammoth President and CEO Tom Atkins, the company’s next goal is to complete another 25 drill holes at Tenoriba, likely in late 2022 following the end of the rainy season. This could culminate in a maiden resource estimate which would be a major milestone for Mammoth.

A $1.5 million financing may be undertaken to support the upcoming drill program. Atkins believes there is potential to delineate sufficient near-surface mineralization to justify an open pit heap leach operation at Tenoriba, with modest capital requirements given the nature of the deposit.

Upside for Investors

Mammoth’s market capitalization currently sits around $3 million, despite over $10 million having been invested into Tenoriba to date. The stock is trading near all-time lows and this presents a compelling risk/reward opportunity should drill results continue to demonstrate the potential for a significant gold deposit amenable to low-cost open pit mining.

With gold prices remaining historically strong, investors can acquire shares in Mammoth at a fraction of the value spent at Tenoriba. Upcoming catalysts include further drill results and the planned maiden resource estimate. Success on these fronts could draw the market’s attention back to this overlooked and undervalued gold exploration story.

Conclusion

Mammoth Resources represents a unique speculation on a large and untapped gold system in a proven Mexican mining district. The company’s vast Tenoriba project has only begun to reveal its potential through early stage drilling. Significant upside remains through delineation of a maiden resource and further exploration of an expansive 4km x 5km mineralized footprint. With gold continuing to hold near record price levels, Mammoth offers investors an opportunity to capitalize on new discoveries in a rising gold market.