Tarachi Gold Corp. (CSE: TRG) (PINK: TRGGF) (Frankfurt: 4RZ)  is pleased to announce assay results as shown in Table #1 from the first nine diamond drill holes completed on the San Javier Concession for a total of 1066.3 metres. Table #1 outlines any significant gold values and Table #2 provides the drill hole locations and orientations.

From November to December 2020, diamond drilling at San Javier focused on areas with known gold mineralization from previous drill programs. The gold mineralization was previously thought to be concentrated along a low angle, west dipping shear zone within mainly monzo-diorites.

Drilling at San Javier discovered the gold mineralization is more favourable along steeper structures as was found in holes SJA-20-005/006, which returned values of 11.9 g/t Au over 2.0m and 5.39 g/t Au over 5.6m, respectively. In both intercepts, the gold mineralization is situated along open brittle structures containing over 20 percent sulphides, mainly pyrite with minor quartz veining/veinlets. In both drill holes, a large breccia pipe feature occurred immediately east of these intercepts consisting of angular breccia fragments cemented with 20-30 percent, fine to coarse grained anhedral to euhedral pyrite.

Geologists at the Company have determined the breccia environment to be shingle breccias indicating the drillholes tested only the upper and typically lower grade portion of the pipe. Figure #1 is a plan view of the drill collar locations and hole orientations and provides an interpretation of the geological setting. Figure #2 provides the interpreted geological model of a breccia pipe and contains a picture of Tarachi’s drill core for comparison.

Tarachi President and CEO, Cameron Tymstra stated: “We are very pleased with the results from our inaugural drill program at San Javier. While previously thought to be controlled by low angle structures, our new drill results suggest that the high-grade gold is associated with higher-angled structures in close proximity to what we believe is a heavily mineralized breccia pipe system seen in the drill core.

With intervals of 11.9g/t Au over 2m and 5.39g/t Au over 5.6m, including a 1m subinterval of 15.7g/t Au all within about 100m of surface, we are eager to follow up with additional drilling targeting the potential deeper extension of these structures. These are the first holes that Tarachi has drilled on our northern concession blocks and we feel like we have only just scratched the surface of our 3,708ha land package.”

Table # 1: Diamond Drill Hole Assay Composites

*Assay results are in core length; true width is unknown.

Table # 2 – Drill hole orientations

Jabali Concession – Historic La Dura Mine Underground Drilling Program

Hole JAB-20-007 was completed on an azimuth of 150 degrees, dipping -15 degrees for a distance of 159.95m. The purpose of the drill hole was to test the potential southern plunge to the gold zone. High-grade gold mineralization was not encountered however, extensive quartz brecciation and alteration occurred throughout most of the drill hole. Drilling will now focus on determining the limits to the eastern plunge of the gold zone. Table # 3 outlines the gold assay results from drill hole JAB-20-07.

Table # 3 Diamond Drill Hole Assay Composites.

*Assay results are in core length; true width is unknown.

Quality Assurance/Quality Control

Core samples were selected by a geologist and sawed in half. One half of the core remains in the core tray; the other half is placed into a plastic bag. Sample tags were submitted into each bag before being sealed and stored at the campsite in a secure area and were later transported by company truck directly to the Bureau Veritas Mineral Laboratories (BVM) in Hermosillo, Sonora, Mexico. At the laboratory, the samples were dried, crushed and pulverized with the pulps being sent airfreight for analysis to BVM in Vancouver, B.C. for 37-element ICP analysis after modified aqua regia digestion. Gold assays are done in Hermosillo by 50-gram fire assay with an atomic absorption spectroscopy finish.

Samples were checked using a 50-gram fire assay with a gravimetric finish for samples greater than 10ppm Au and 1Kg metallic fire assay with duplicate minus fraction analyzed. Both Hermosillo and Vancouver BVM facilities are ISO 9001 and ISO/IEC 17025 accredited.     Laboratory control samples comprising certified reference samples, duplicates and blank samples were inserted by the laboratory into the sample stream and analyzed as part of the quality assurance/quality control protocol.

About Tarachi Gold

Tarachi Gold is a Canadian-listed junior gold exploration company focused on exploring and developing projects in Mexico. The Company’s Tarachi project covers 3,708ha of highly prospective mineral concessions in the Sierra Madre gold belt of Sonora, Mexico in close proximity to Alamos Gold’s Mulatos mine and Agnico Eagle’s La India mine. Tarachi is also in the process of acquiring the Magistral Mill and tailings project in Durango, Mexico. Magistral includes a 1,000tpd mill and a non- NI 43-101 compliant tailings resource estimated to contain 1.3Mt at 2.05g/t Au which would provide the Company with a near-term pathway to gold production.

Qualified Person

Lorne Warner, P.Geo, VP Exploration and Director of the Company is a qualified person as defined by National Instrument 43-101 and has reviewed and approved the scientific and technical disclosure in this news release.

Figure # 1 – Location Map of Diamond Drill Holes and Geological Interpretation (CNW Group/Tarachi Gold Corp.)

Figure # 2 – Doug Kirwin, 2017 Model on Breccia Pipes with December 2020 Tarachi Drill Core. (CNW Group/Tarachi Gold Corp.)