Mr. Marc Pais reports

ARIZONA METALS CORP ANNOUNCES CLOSING OF $21,000,000 BOUGHT DEAL FINANCING

Arizona Metals Corp. has completed its previously announced bought deal private placement offering of 10 million special warrants of the company at a price of $2.10 per special warrant for aggregate gross proceeds of $21-million, which includes the exercise in full of the underwriters' option. The offering was conducted by a syndicate of underwriters co-led by Stifel GMP and Clarus Securities Inc., and included Cormark Securities Inc., Beacon Securities Ltd. and Agentis Capital Markets Canada Limited Partnership.

Each special warrant shall be deemed to be exercised for one unit in the capital of the company without any required action on the part of the holders (and for no additional consideration) on the date which is the earlier of (i) the second business day following the date on which a final receipt is obtained from the Ontario Securities Commission, as principal regulator on behalf of the securities regulatory authorities in each of the qualifying jurisdictions (as defined herein), for a (final) short form prospectus qualifying for distribution the units underlying the special warrants; and (ii) 5 p.m. (Toronto time) on Aug. 23, 2021.

Each unit consists of one common share and one-half of a common share purchase warrant. Each warrant entitles the holder thereof to purchase one common share of the company at an exercise price of $3 (subject to adjustment as per the penalty provision defined herein) until April 22, 2022.

The company has agreed to use its commercially reasonable efforts to qualify the units for distribution in all provinces in Canada, except Quebec, and to obtain the final receipt therefor on or prior to July 2, 2021. In the event the qualification date has not occurred on or before July 2, 2021, the exercise price of each warrant shall be reduced to $2.47 per common share.

In connection with the offering, the underwriters received: (i) a cash commission of 6 per cent of the gross proceeds of the offering, excluding gross proceeds from the issuance of units on a president's list agreed upon by the company and the underwriters, for which a commission of 3 per cent of such gross proceeds was paid by the company to the underwriters; and (ii) 525,442 non-transferable compensation warrants, being equal to 6 per cent of the aggregate number of units sold under the offering, excluding those units sold to subscribers on the president's list, for which the underwriters were issued compensation warrants equalling 3 per cent of the aggregate number of units sold to participants on the president's list. Each compensation warrant is exercisable into one unit of the company at a price of $2.10 per unit until April 22, 2022.

Proceeds from the offering will be used primarily to finance the 75,000-metre phase 2 exploration drill program at the company's Kay mine project and general working capital purposes. The offering is subject to final approval by the TSX Venture Exchange.

About Arizona Metals Corp.

Arizona Metals owns 100 per cent of the Kay mine property in Yavapai county, which is located on a combination of patented and BLM claims totalling 1,300 acres that are not subject to any royalties. A historic estimate by Exxon Minerals in 1982 reported a "proven and probable reserve of 6.4 million short tons at a grade of 2.2 per cent copper, 2.8 grams per tonne gold, 3.03 per cent zinc and 55 grams per tonne silver." The historic estimate at the Kay mine was reported by Exxon Minerals in 1982. The historic estimate has not been verified as a current mineral resource. None of the key assumptions, parameters and methods used to prepare the historic estimate were reported, and no resource categories were used. Significant data compilation, redrilling and data verification may be required by a qualified person before the historic estimate can be verified and upgraded to be a current mineral resource. A qualified person has not done sufficient work to classify it as a current mineral resource, and Arizona Metals is not treating the historic estimate as a current mineral resource.

The Kay mine is a steeply dipping volcanogenic massive sulphide deposit that has been defined from a depth of 150 metres to at least 900 metres. It is open for expansion on strike and at depth.

The company also owns 100 per cent of the Sugarloaf Peak property, in La Paz county, which is located on 4,400 acres of BLM claims. Sugarloaf is a heap-leach, open-pit target and has a historic estimate of "100 million tons containing 1.5 million ounces gold" at a grade of 0.5 g/t (Dausinger, 1983, Westworld Resources).

We seek Safe Harbor.