top of page

Soma Gold Announces Operadora July Gold Sales of 1,204.33 Ounces

August 5, 2020, Vancouver, B.C. – Soma Gold Corp. (the “Company” or “Soma”) announces that the Company produced and sold a total of 1,204.33 equivalent ounces¹ of gold in doré during the month of July 2020, slightly ahead of budgeted sales of 1,156 AuEq ounces. The Company sold the doré bars for a total of US $2,225,765.42 or US $1,869.67 per equivalent ounce of gold, ahead of budgeted revenue of US $1,849,600.00. All cash costs, including Soma’s corporate overhead, run at approximately US $1,700,000 per month.

¹ Note: Gold equivalent ounces are calculated based on actual realized prices

Le Ye Production data for the last two months is as follows:

² Note: Revenue does not include insurance proceeds of approximately US $600,000 which are expected to be received in September 2020

Soma also announces that, subject to TSXV approval, it has entered into an agreement with Conex Services Inc., (“Conex”) Soma’s largest shareholder, whereby Conex will, effective July 31, 2020, consolidate all existing advances, loans and accrued interest into one new Subordinated Loan. Certain of the advances include convertible debt instruments issued August 3, 2018. The loan is for a total of C $18,295,140.35 and has a ten-year term with interest of 12% per annum, compounded quarterly. Interest accrues for the first four years with monthly payments of principal and interest, amortized over the remaining six years. The loan is not convertible into shares of Soma and there is no pre-payment penalty. In connection with the loan, the Company will issue 5,500,000 Share Purchase Warrants to Conex. Each Share Purchase Warrant allows Conex to purchase one full Common Share at an exercise price of $0.66 per share, for 3 years.

166 views0 comments

Recent Posts

See All

“We are very pleased to announce that recent negotiations between the Company and the Union were cordial, constructive and productive."

bottom of page