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Arizona Sonoran Copper Company Inc
Symbol ASCU
Shares Issued 103,911,879
Close 2023-02-21 C$ 1.80
Market Cap C$ 187,041,382
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Arizona Sonoran drills 439 ft of 1.17% CuT at P/S

2023-02-21 09:49 ET - News Release

Mr. George Ogilvie reports

ARIZONA SONORAN INTERSECTS 1.17% TOTAL COPPER AT PARKS/SALYER INFILL DRILLING OVER 439 FT

Arizona Sonoran Copper Company Inc. has released assays from seven drill holes from the Parks/Salyer infill program. Drill spacing from the Parks/Salyer deposit is being reduced to 250 feet (76 metres), with the aim to upgrade the current inferred mineral resource to an indicated category. The total program consists of 105,000 ft (32,000 m) or 46 holes, of which 35 infill core holes (77,720.5 ft, 23,689 m) have now been drilled. Parks/Salyer (P/S) is located on contiguous land approximately 1.3 miles (two kilometres) southwest of the company's Cactus mine project.

The program continues to support the tenor of mineralization and has extended the high-grade zones in the north and south. Drilling has been staged to infill areas closest to the inferred high-grade core initially, before expanding out toward the west.

Additionally, the company has successfully completed three hydrology holes at Parks/Salyer consisting of one oriented core hole and two previously drilled metallurgical holes. The hydrology holes will collect groundwater data in the vicinity of the Parks/Salyer deposit.

Highlights:

  • ECP-113: 438.8 ft (133.7 m) at 1.17 per cent CuT (total copper), 1.13 per cent Cu TSol (total soluble copper), 0.008 per cent molybdenum (enriched);
    • Including 58.4 ft (17.8 m) at 4 per cent CuT, 3.82 per cent Cu Tsol, 0.021 per cent Mo;
  • ECP-112: 528.2 ft (161 m) at 1.11 per cent CuT, 0.75 per cent Cu Tsol, 0.013 per cent Mo (enriched);
    • Including 176.8 ft (53.9 m) at 1.52 per cent CuT, 0.98 per cent Cu Tsol, 0.011 per cent Mo;
  • ECP-105: 562.7 ft (171.5 m) at 0.93 per cent CuT, 0.77 per cent Cu Tsol, 0.013 per cent Mo (enriched);
    • Including 258 ft (78.6 m) at 1.35 per cent CuT, 1.12 per cent Cu Tsol, 0.017 per cent Mo;
    • 556.7 ft (169.7 m) at 0.63 per cent CuT, 0.028 per cent Mo (primary);
  • ECP-118: 291.5 ft (88.8 m) at 1.05 per cent CuT, 0.91 per cent Cu Tsol, 0.006 per cent Mo (enriched);
  • ECP-104: 792.8 ft (241.6 m) at 0.37 per cent CuT, 0.006 per cent Mo (primary).

Note: True widths are not known.

George Ogilvie, Arizona Sonoran president and chief executive officer, commented: "With a postfinancing cash balance of $31-million (U.S.), we are well financed to deliver key upcoming catalysts. This infill to indicated drilling program, now 74 per cent complete, was designed to improve the resource category, thus demonstrating an initial reserve calculation, and is expected to be finalized by the end of March with all assays returned within the second quarter. These on-budget and on-time results will feed into the upcoming PFS, where ASCU is rescoping the Cactus base case PEA to include the Parks/Salyer project's oxide and enriched material."

Exploration drilling program recap

The current 105,000 ft (32,000 m) drilling program is reducing drill spacings to 250 ft, aimed at upgrading the mineral resource category to indicated in support of the potential definition of maiden reserves in the upcoming PFS (prefeasibility study). To date, 43,788 ft (13,347 m) or 20 holes have been reported via press release, defining a high-grade zone within the eastern half of the deposit, extending westward along the southern portion of the deposit.

Chalcocite and covellite are the dominant copper mineral species identified in the enriched mineralization, replacing primary pyrite and chalcopyrite in their original depositional habits, such as veins, breccia fillings, voids and disseminations. Chalcocite also tends to replace covellite as well as build on itself, resulting in zones of higher-grade mineralization where the enrichment fluids had time and opportunity to continue the secondary enrichment process.

Quality assurance/quality control

Drilling completed on the project between 2020 and 2023 was supervised by on-site Arizona Sonoran personnel who prepared core samples for assay and implemented a full QA/QC program using blanks, standards and duplicates to monitor analytical accuracy and precision. The samples were sealed on site and shipped to Skyline Laboratories in Tucson, Ariz., for analysis. Skyline's quality control system complies with global certifications for quality ISO9001:2008.

Technical aspects of this news release have been reviewed and verified by Allan Schappert, CPG No. 11758, who is a qualified person as defined by National Instrument 43-101 -- Standards of Disclosure for Mineral Projects.

About Arizona Sonoran Copper Company Inc.

Arizona Sonoran's objective is to become a mid-tier copper producer with low operating costs and to develop the Cactus and Parks/Salyer projects that could generate robust returns for investors and provide a long-term sustainable and responsible operation for the community and all stakeholders. The company's principal asset is a 100-per-cent interest in the Cactus project (former ASARCO, Sacaton mine) which is situated on private land in an infrastructure-rich area of Arizona. Contiguous to the Cactus project is the company's 100-per-cent-owned Parks/Salyer deposit that could allow for a phased expansion of the Cactus mine once it becomes a producing asset. The company is led by an executive management team and board which have a long-standing record of successful project delivery in North America complemented by global capital markets expertise.

We seek Safe Harbor.

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