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 WELCOME TO SONORA RESOURCES  |
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| Silver reached a high of almost $50 early in 2011. Many analysts predict that this trend will continue to go higher (TIS predicts near term $59/oz and $100 within 2 years). |
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| Plan of Operation  Sonora Resources Corp. (the "Company" or "Sonora Resources") was incorporated under the laws of the State of Nevada on December 3, 2007. We are a mining exploration company focused on the acquisition and development of prospective silver and gold opportunities in Mexico. On July 12, 2011, we established a 100% owned subsidiary, Finder Plata S.A. de C.V. ("Finder Plata") for the development of our exploration business in Mexico.  The worldwide silver market has experienced a strong decline in the prices during 2013. As a result, we made the decision in September 2013 to focus on the Los Amoles Property in 2014 and the Jalisco Properties in 2015, each as further described below. As of November 30, 2013, we had cash of $19,000 and working capital deficit of $167,000 as compared to cash of $293,000 and a working capital of $347,000 as of November 30, 2012. This decrease in our working capital is primarily due to operating losses. We have incurred operating losses since inception, and this is likely to continue. We expect to cancel the Mining Option Agreement for the Ayones Property and have cancelled the Mining Option Agreement for the Corazon Property. We recorded an impairment expense of $445,000 related to the Ayones and Corazon Properties as of November 30, 2013. The Joint Venture and Benefits Agreement in Liz, Mexico expired on December 15, 2013. On March 15, 2013, we closed the Asset Purchase Agreement with Yale Resources Ltd to purchase all of the rights, title and interest in and to the Los Amoles 2 and Los Amoles 3 Fracc.1 properties, consisting of 2,166 hectares located in the State of Sonora Mexico (the “Los Amoles Property”). We purchased the Los Amoles Property from Yale by issuing 1,000,000 of restricted SURE common shares and paying $200,000 in cash. We have commenced an underground work program at the Los Amoles Property and completed a geologic report to define the potential vein structure and outcroppings and prepare for a planned drilling program in 2014. We require funds to enable us to address our minimum current and ongoing expenses. Presently, we do not generate any revenue and expect to incur significant operating and capital expenses. Management projects that we may require an additional approximately $133,000 to fund our operating expenditures for the next twelve month period for the exploration of the Los Amoles Property. The exploration of the Jalisco Properties is scheduled for 2015. On March 15, 2013, we closed the Asset Purchase Agreement with Yale Resources Ltd to purchase all of the rights, title and interest in and to the Los Amoles 2 and Los Amoles 3 Fracc.1 properties, consisting of 2,166 hectares located in the State of Sonora Mexico (the “Los Amoles Property”). We purchased the Los Amoles Property from Yale by issuing 1,000,000 of restricted SURE common shares and paying $200,000 in cash. We have commenced an underground work program at the Los Amoles Property and completed a geologic report to define the potential vein structure and outcroppings and prepare for a planned drilling program in 2014. |
| We also have an Mining Option Agreement with First Majestic Silver Corp., an existing shareholder and creditor of the Company for the Jalisco Group of Properties (“Jalisco Properties”). The Jalisco Properties consist of mining claims totaling 5,240 hectares located in Jalisco . As of February 21, 2014, we have has not spent any funds on the properties. We are required to spend $3,000,000 by April 15, 2014 to earn 50% interest in the Jalisco Properties and an additional $2,000,000 to earn an additional 20% interest by April 15, 2016 on exploration expenses. An additional 20% interest in and to the Jalisco Properties can be earned by completing a bankable feasibility study no later than the seventh anniversary of the Agreement. We expect to amend the Mining Option Agreement with First Majestic and delay our required expenditures. |
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| The worldwide silver market has experienced a strong decline in the prices during 2013. As a result, we made the decision in September 2013 to focus on the Los Amoles Property in 2014 and the Jalisco Properties in 2015, each as further described below. As of November 30, 2013, we had cash of $19,000 and working capital deficit of $167,000 as compared to cash of $293,000 and a working capital of $347,000 as of November 30, 2012. This decrease in our working capital is primarily due to operating losses. We have incurred operating losses since inception, and this is likely to continue. We expect to cancel the Mining Option Agreement for the Ayones Property and have cancelled the Mining Option Agreement for the Corazon Property. We recorded an impairment expense of $445,000 related to the Ayones and Corazon Properties as of November 30, 2013. The Joint Venture and Benefits Agreement in Liz, Mexico expired on December 15, 2013. |
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PROJECTS
| Location | Description | Au g/t | Ag g/t | Pb % |
| Terrero SE | Vein material with local galena | 0.40 | 495.1 | 1.21 |
| Terrero SE | Andesitic host rocks with quartz stockwork | 0.17 | 219.3 | 0.62 |
| Cata | Vein material with local galena | 0.24 | 706.5 | 2.05 |
| Tiro Sur | Argillic altered andesite with oxides, carbonates and local galena | 0.43 | 102.5 | - |
| Terrero 14 | Silicified andesite with strong oxidation | 1.15 | 451.7 | - |
| Obra Rancho | Vein and quartz-rich material | 0.53 | 295.3 | 0.38 |
| Obra Rancho | Oxidized andesite host rock | 0.44 | 166.9 | - |
| Location | Description | Au g/t | Ag g/t | Pb % |
| Area Rosales | Quartz-rich material and vein - strongly oxided | 0.43 | 705.6 | 0.48 |
| Area Rosales | Quartz-rich material and vein with oxides and galena | 0.83 | 281.8 | 0.31 |
| Area Rosales | Argillic altered andesite with oxides, carbonates and local galena | 0.29 | 133.4 | - |
| Area Rosales | Quartz-rich material and vein with oxides and galena | 0.71 | 253.5 | 0.41 |
| Area Rosales | Quartz-rich material and vein with oxides and galena | 0.54 | 205.3 | 1.98 |
| Area Rosales | Argillic altered andesite with oxides, carbonates and local galena | 0.32 | 443.9 | - |
| Type | Description | Au g/t | Ag g/t | Pb % |
| Mineralized Dump | Dump #1 - Northernmost working within Rosario area | 0.13 | 109.8 | 0.90 |
| Mineralized Dump | Dump #2 - 200m southeast of Dump #1 | 0.30 | 333.1 | 1.83 |
| Mineralized Dump | Dump #4 - 250m southeast of Dump #1 | 0.29 | 176.6 | 0.54 |
| Mineralized Dump | Dump #6 - 300m southeast of Dump #1 | 0.43 | 301.0 | 1.06 |
| Mineralized Dump | Dump #9 - 850m southeast of Dump #1 | 0.83 | 190.4 | 0.36 |
| Mineralized Dump | Dump #12 - 1.8km to the southeast of Dump #1 | 0.65 | 450.7 | 0.25 |
| Mineralized Dump | Dump #13 - 1.8km to the southeast of Dump #1 | 0.38 | 287.4 | 0.15 |
| Mineralized Dump | Dump #16 - 2.2km to the southeast of Dump #1 | 0.23 | 188.0 | 0.90 |
| Sample | Type | Width (m) | Description | Au g/t | Ag g/t | Pb % |
| 49801 | Channel | 1.50 | Strongly fractured andesite with millimeter quartz veinlet's and iron oxides throughout | 0.06 | 18.3 | 0.62 |
| 49809 | Channel | 0.90 | Silicified porphyritic andesite with fine grained sulphides | 0.52 | 333.4 | 0.61 |
| 49813 | Channel | 1.00 | Silicified-argillic altered andesite within working with strong oxidation and fresh fine grained pyrite | 0.14 | 31.5 | 1.88 |
| 49823 | Channel | 1.00 | From within small working - argillic altered andesite with quartz stockwork and oxides throughout | 0.56 | 231.6 | 0.04 |
| 49827 | Channel | 1.30 | From within small working 30 m deep - altered andesite with quartz veins up to 5 cm wide. | 0.17 | 56.1 | 2.76 |
The Jalisco Group of Claims comprises six prospects located in the Jalisco state of México covering a total area of 5,240 hectares.
The prospect claims were originally acquired by First Majestic Silver Corp ("FMSC") and acquired by Sonora via an Option Agreement as a package within the Minera El Pilon properties. Sonora Resources believes the property shows the potential to become an important producing mine for the area and the company.
In order to evaluate the prospects at Jalisco, an exploration crew worked the claim areas in October 2007 for an initial two month period in order to determine regional and geological area importance with the intent to follow up with a more advanced stage of exploration in order to define drill targets. As a result of the initial exploration results, the Etzatlan area was selected for a more detailed geological workover consisting of mapping and geochemistry sampling during a four month period (June-Sept) in 2008. As a result, 90% of the area was surveyed defining several targets to drill.
Now with the involvement of Sonora Resources, activities have recommenced at the Jalisco Group of Claims and we are pleased to be able to offer the following summary of the works done in the Etzatlán area and a brief description of the other five prospects.
| Prospect | Claim | Hectares | Title | Municipality |
| Area Etzatlán (897 Ha) | Oconahua Fracc. I Oconahua Fracc. II Rodeo Veta Ancha Etzatlán Etzatlán Fracción Etzatlán Fracción I | 18 13 43 714 53 1 55 | 218943 219015 224220 225988 25/33267 25/33267 25/33267 | Etzatlán Etzatlán Etzatlán Etzatlán Etzatlán Etzatlán Etzatlán |
| Area La Purísima (142 Ha) | Ampl. La Purisima La Purisima | 61 81 | 191309 191314 | Guachinango Guachinango |
| Area San Juan (96 Ha) | San Juan | 96 | 217843 | Ameca |
| Area Adriana (228 Ha) | Adriana | 288 | 222837 | Atengo |
| Area Tototlán (3,800 Ha) | La Bautista II Tototlán del Oro La Guerra | 15 3,091 694 | 225740 225968 226676 | Cuautla Cuautla Ayutla |
| Area Nuevo Poder (18) | Nuevo Poder Oro | 18 | 226770 | Pihuamo |
LA MAZATA - AYONES
SILVER AND ITS USES
Sonora Resources has an aggressive growth strategy. As in other industries and sectors, there are opportunities for consolidation of assets, land packages, and companies. Sonora intends to acquire fast track production-capable assets, consisting of previous producing mines or tailings deposits, which can be rehabilitated and rapidly entered into production.
Management believes that a dramatic bull market in precious metals will continue to develop over the coming years.
Silver Market
Silver production is unique in that only about 30% comes from primary mining production, while the remaining 70% is a by-product of mining for other metals such as gold, copper, lead and/or zinc. In 2010, world silver mine production grew to 22,200 tons through increased production at existing and new polymetallic mines, including mines in Nevada and Mexico. Overall US production for 2010 accounted for ~1,280 tons of silver with an estimated value of $728 million.
Established & New Uses for Silver
Despite rising silver prices over the past decade, demand for the metal increased every year. And while the global economic crises resulted in decreased industrial demand for silver in 2008 and 2009, London-based precious metals consultancy GFMS Ltd. forecasted a double digit recovery for industrial demand in 2010 in response to the strengthening of the global economy.
Over 95% of silver demand stems from industrial uses, photography, and jewelry/silverware. Most people have yet to realize the essential role silver plays in established industrial applications and everyday living - inside switches and appliances as a conductor of electricity, in x-ray processing, as a chemical catalyst, in windshields to deflect away 70% of sunlight.
Meanwhile, new uses for silver are being discovered daily, adding to demand which is fueled by electronics consumption across the middle class and in emerging economies such as China and India, as well as through new markets such as RFIDs, solar, medical applications and food hygiene.
Investment in Silver & Market Forecast
Growing investor interest in silver is reflected in the significant rise in demand for physical silver. Market drivers behind this increased interest include using silver as a hedge against inflation, and investors' concerns over ongoing economic, financial, and political matters.
The increasing amounts of physical silver going into ETFs are one of three main factors contributing to the positive forecasts for the silver market, with the other two factors being strong and growing demand from established and new industrial uses, and an improving global economy.
There was a sharp rise in silver prices predictions over those from 2009 in the Alchemist's Forecast 2010, which also reports on gold, platinum and palladium. In the 2011 Forecast, the 25 expert analysts that contributed to the publication predicted an average price of $29.88 for silver in 2011, which clearly falls short of current prices. The Forecast further stated that; "while macro-economic fear and industrial demand will play a role as drivers of the silver price, most contributors forecast that investment will be the most influential. The average predicted range is the broadest since the start of the survey, so expect a thrilling ride with silver in 2011."
Silver is a metallic chemical element with the chemical symbol Ag (Latin: argentum, from the Indo-European root *arg- for "grey" or "shining") and atomic number 47. A soft, white, lustrous transition metal, it has the highest electrical conductivity of any element and the highest thermal conductivity of any metal. The metal occurs naturally in its pure, free form (native silver), as an alloy with gold and other metals, and in minerals such as argentite and chlorargyrite. Most silver is produced as a by-product of copper, gold, lead, and zinc refining.
MANAGEMENT
Juan Miguel Rios Gutierrez, President & CEO
• Mark E. Scott, CFO
• Ian Foreman, Advisory Board
• Rob Van Egmond, Advisory Board
Sonora Resources understands the need for a proven management team that is capable of taking the Company from start-up to established producer. Towards that end, we are actively assembling a tight group of management, exploration and production experts from the precious metals mining sector.
Juan Miguel Rios Gutierrez, President & CEO
Mr. Gutiérrez is a seasoned mining professional and metallurgical engineer who resides in Mexico. In 2004 , he was the 4th person hired by First Majestic Silver Corporation (Durango, Mexico) and helped build that company from a junior mining exploration company on the TSXV to a major global silver producer (7.5m oz Ag in 2011). He first served with the company in the capacity of general manager of each of the three mining units , then moved to the position of manager for new business initiatives and strategic planning. He left First Majestic Silver Corporation in January 2011 to begin working with Sonora yet maintains strong contacts with them. Mr. Gutiérrez graduated with a degree in engineering from the University of Chihuahua in Mexico, specializing in mining and metallurgical studies and a diploma in management projects . His twenty-seven year career is characterized by an array of appointments related to underground mining and exploration. His vocational experience has provided him with vast abilities to manage distinct and detailed mining projects while also focusing on the identification and successful negotiation of strategic corporate initiatives.
SHARE STRUCTURE:- http://www.sec.gov/Archives/edgar/data/1473591/000106299312001284/form10q.htm
A/S:- 500,000,000
O/S:- 96,697,837 (as of April 16, 2012)
(However there was a recent placement for First Majestic, 3.7m shares, http://www.sec.gov/Archives/edgar/data/1473591/000116169712000338/form_8-k.htm)
Float:- unknown
Sonora Resources Corp.
Cerro del Padre # 11
Rinconada de los Pirules,
Guadalupe, Zacatecas
Mexico, 98619
U.S. Office
Sonora Resources Corp.
PO Box 12616
Seattle, WA 98111
Email: info@sonoraresources.com
Investor Relations
Oceanview IR Services, Inc.
1-877-513-7873 (SURE)
Email: investors@sonoraresources.com
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