Results included 39.6m averaging 1g/t gold-equivalent and 10.67m at 1.54g/t AuEq, both from surface.

The company said the project lay in Sonoro state's "Cucurpe mega district", which was generally regarded as a vein-dominated district and included Premier Gold Mines' operating Mercedes gold-silver mine.

President and CEO Kenneth MacLeod said the initial results supported drilling by previous operators in the project area, which has seen artisanal mining and exploration by Corex Gold Corp in 2007.

"The drilling has further confirmed that mineralisation in the Los Japoneses zone remains open in all directions, including at depth," he said.

Sonoro Metals has option agreements with five vendors to acquire 100% of several concessions comprising the Cerro Caliche group totalling about 1,400ha in Sonoro state.

It had about C$705,000 (US$535,000) in working capital at the end of June, then raised $500,000 (US$379,000) at 10c per unit last month.

Shares in the company had dropped to C7c in September but reached an equal 52-week high intraday on Friday of 20c.

It lost a few cents to close at 16c, capitalising it at $4.8 million.