Oroco Receives Favourable Judgement

April 28, 2015

VANCOUVER, British Columbia – (April 28, 2015) Oroco Resource Corp. (TSX-V: OCO) (“Oroco” or “the Company”) is pleased to announce that the United States District Court for the District of Arizona (the “Court”) has granted summary judgement in favour of Oroco and the other defendants on certain key claims in the legal action brought by Sonoran Resources LLC (“Sonoran”) arising from the contracts, events and services between Oroco, its former Mexican subsidiary, Minas de Oroco Resources SA de CV (“MOR”), Goldgroup Mining Inc. (“Goldgroup”) and Sonoran relating to the mine construction at, and the sale of the Cerro Prieto Property in Sonora State, Mexico.

Summary judgement is appropriate when there is no genuine dispute as to any material facts after the evidence is viewed most favourably to the opposing party. Applying this standard, and frequently citing Sonoran’s failure to produce any evidence with regard to various elements of its claims, the Court granted the Defendants’ motion for partial summary judgement regarding Sonoran’s claims of fraudulent and negligent misrepresentation, and for punitive damages, employee severance charges and unspecified damages arising from breaches of environmental permits. The Court denied the Defendants application for summary judgement on Sonoran’s claims for performance bonus shares and post-termination fees.

The Court further ruled that, as Sonoran provided no evidence to show that Goldgroup assumed MOR’s liabilities, Goldgroup is entitled to summary judgement on all Sonoran claims against it.

The Court also denied in its entirety Sonoran’s concurrent motion for summary judgement on all of its claims.

As a result of this ruling, the remaining outstanding claims against the Company and Minas de Oroco are those for breach of contract relating to 250,000 performance bonus shares, certain fee invoices and for breach of good faith and fair dealing. The net amount of the disputed invoices, after deduction of a Sonoran credit invoice for double billing, is $101,000. The Company continues to dispute these remaining claims and remains confident as to their practical limits.

For further information, please contact:
Mr. Craig Dalziel, President and CEO
Oroco Resource Corp.
Tel: 604-688-6200

Neither 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.

Subscribe for Updates

These historical resource estimate models are based upon historical resource estimates prepared by John Thornton in 2011. While, in the opinion of Dane A. Bridge, author of the revised NI 43-101 standard technical report, Geology, Mineralization and Exploration of the Santo Tomas Cu-(Mo-Au-Ag) Porphyry Deposit, Sinaloa, Mexico dated April 21, 2020 (the “Report”), reliable estimation practices were used, in order to upgrade or verify the historical estimations, resampling and assay of historical drill samples, twinning of historical drill holes, and a new program of regularly spaced drilling is required. No qualified person has undertaken sufficient work to classify the current mineral resources or mineral reserves upon which these models are based and the Company is not treating the estimates as current estimates of the mineral resources. The Company gives no assurance that either these models or the historical resource estimates upon which they are based are accurate, and does not undertake any obligation to update the models or to release publicly any update or revisions of the resource estimates except as required by applicable securities law. The reader is cautioned not to rely upon these models or the historical resource estimates upon which they are based.

Please signify your understanding:

I Agree