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Arizona Metals Corp’s Kay Mine Drilling Intersects 93.3 m at 8.3 g/t AuEq (incl. 17.5 m at 29.6 g/t AuEq) and 125.3 m at 3.2% CuEq

Drill Results

Arizona Metals Corp’s Kay Mine Drilling Intersects 93.3 m at 8.3 g/t AuEq

(incl. 17.5 m at 29.6 g/t AuEq) and 125.3 m at 3.2% CuEq

TORONTO--(BUSINESS WIRE)--April 11, 2022--Arizona Metals Corp. (TSX.V:AMC,

OTCQX:AZMCF) (the “Company” or “Arizona Metals”) is pleased to announce the results of

two recently completed drill holes at its Kay Mine project in Yavapai, County Arizona. An

additional 20 holes are pending, with three drill rigs turning 24 hours per day.

Drilling Highlights

 Hole KM-21-60 intersected 93.3 m at a grade of 8.3 g/t AuEq, including a higher-grade

interval of 17.5 m grading 29.6 g/t AuEq, from a depth of 557 m. This hole is in the

central portion of the deposit, and demonstrates excellent continuity of mineralization

between holes 26, 28, 25A, 57A and 40. This hole returned the project’s highest single

gold assay, a value of 273 g/t Au (over 1.2 meters from 634.3 m downhole).

 Hole KM-21-57B intersected 125.3 m at a grade of 3.2% CuEq, including higher grade

intervals of 1.8 m grading 9.9% CuEq and 7.3 m grading 7.7% CuEq, from a depth of

728 m. This hole demonstrates continuity and extension of mineralization between holes

26, 28, 25A, and 40, and 58B. Hole 57B contains the project’s highest copper analysis to

date, grading 20.7% Cu (over 1.5 m from 802.2 m downhole).

Hole 60 has extended the thickness of the mineralized zone encountered in hole 58B (located 23

metres up-plunge) by approximately 5 metres into the hanging-wall and 10 metres in the

footwall. Hole 57B has extended the mineralized zone encountered in hole 57A (located 33

metres up-plunge) by approximately 10 metres into the hanging-wall and 22 metres into the

footwall. Assays received to date have intersected mineralization over a down-plunge extent of

760 m (880 m below surface). Holes 57B and 60, spaced 310 metres apart down-plunge from the

top of mineralization in 60 to the bottom of mineralization in 57B, continue to demonstrate the

excellent vertical continuity of very thick zones of mineralization.

Marc Pais, CEO, commented “Drilling at the Kay Mine Project continues to intersect very

large widths and high grades of massive sulphide mineralization. The holes released today

demonstrate excellent continuity of mineralization in all directions, while also showing that

mineralization is substantially thicker than suggested by our original modelling. Drilling has

extended mineralization well into both the hanging-wall and foot-wall envelopes, which gives the

potential to define a significant tonnage of mineralization.

Hole 60 encountered the highest grade of gold mineralization at Kay assayed to date, with

visible gold in the core (Fig. 4 below) while hole 57B encountered the longest interval of copper-

dominant mineralization assayed to date. Drilling is currently underway to test for depth

extensions to at least 1,200 meters, while also testing for lateral extensions of the thick hinge

zone. The 20 holes pending all encountered semi-massive or massive sulphide mineralization,

and those intersections are guiding the drilling currently underway.

Holes 57B and 60, spaced 310 metres apart down-plunge from the top of 60 to the bottom of

57B, continue to demonstrate the excellent vertical continuity of very thick zones of

mineralization. The large widths and high grades being encountered at Kay are extremely rare

in the context of VMS deposits either in production or being explored globally.

We have drilled approximately 52,000 meters at Kay to date, with each hole solidifying our

opinion that this is one of the very few large precious-metals rich VMS deposits not yet mined,

and more importantly, is potentially part of a much larger mineralized system that has yet to be

explored. To that end, we recently completed a property-wide ground-loop electromagnetic

survey, which will serve to refine and improve the resolution of the Central and Western targets,

located approximately 300 meters and 1,000 meters west of Kay, respectively. Drill pad and

road permitting is currently underway for these targets, with a detailed update expected in the

next few weeks.”

Kay Mine Phase 2 Drill Program Update

With the assayed holes released today, the Company has completed a total of 52,000 meters at

the Kay Mine since inception of drilling. The Company is fully-funded to complete the

remaining 23,000 meters planned for the Phase 2 program with the priority focus areas for

upcoming drilling (shown in Figure 5 below), as well as an additional 76,000 meters in the

upcoming Phase 3 program which will be used to test the numerous parallel targets heading West

of Kay and the Northern and Southern Extensions of the Kay Deposit.

Table 1. Results of Phase 2 Drill Program at Kay Mine, Yavapai County, Arizona announced in

this news release.

Analyzed Grade Analyzed Metal

Equivalent Metal Equivalent Vertical

Depth

Below

Surface

m Hole ID From

m To

m Length

m Cu % Au g/t Zn % Ag

g/t Pb % Cu

eq % Au eq

g/t Zn

eq% Cu

eq % Au eq

g/t Zn

eq%

KM-22-

57B

736.7

862.0

125.3

2.40

0.90

1.29

18.7

0.13

3.62

5.93

9.42

3.20

5.25

8.33

728

including 739.7 741.6 1.8 9.42 2.37 0.32 8.5 0.03 11.06 18.12 28.76 9.93 16.28 25.84

including 798.3 805.6 7.3 6.35 0.81 3.76 19.5 0.14 8.47 13.89 22.04 7.72 12.65 20.08

KM-22-

60

554.7

648.0

93.3

1.36

5.65

3.25

32.6

0.34

6.39

10.47

16.62

5.08

8.32

13.21

557

including 591.6 597.7 6.1 0.58 5.62 12.00 56.3 1.40 9.37 15.37 24.38 7.78 12.75 20.24

including 627.0 644.5 17.5 5.22 25.37 4.71 100.6 0.59 23.44 38.42 60.98 18.05 29.59 46.95

including 634.3 635.5 1.2 5.63 273.00 0.18 715.0 0.28 177.99 291.74 462.98 126.03 206.57 327.82

The true width of mineralization is estimated to be 50% to 99% of reported core width, with an

average of 76%. (2) Assumptions used in USD for the copper and gold Metal Equivalent

calculations were metal prices of $4.63/lb Copper, $1937/oz Gold, $25/oz Silver, $1.78/lb Zinc,

and $1.02/lb Pb. Assumed metal recoveries (rec.), based on a preliminary review of historic data

by SRK and ProcessIQ1, were 93% for copper, 92% for zinc, 90% for lead, 72% silver, and 70%

for gold. The following equation was used to calculate copper equivalence: CuEq = Copper (%)

(93% rec.) + (Gold (g/t) x 0.61)(72% rec.) + (Silver (g/t) x 0.0079)(72% rec.) + (Zinc (%) x

0.3844)(93% rec.) +(Lead (%) x 0.2203)(93% rec.). The following equation was used to

calculate gold equivalence: AuEq = Gold (g/t)(72% rec.) + (Copper (%) x 1.638)(93% rec.) +

(Silver (g/t) x 0.01291)(72% rec.) + (Zinc (%) x 0.6299)(93% rec.) +(Lead (%) x 0.3609)(93%

rec.). Analyzed Metal Equivalent calculations are reported for illustrative purposes only. The

metal chosen for reporting on an equivalent basis is the one that contributes the most dollar value

after accounting for assumed recoveries.

Table 2. Full results of Phase 2 Drill Program at Kay Mine, Yavapai County, Arizona.

Analyzed Grade Analyzed Metal

Equivalent

Metal Equivalent

V

BeHole ID From m To m Length m Cu % Au g/t Zn % Ag g/t Pb % Cu eq % Au eq g/t Zn eq% Cu eq % Au eq g/t Zn eq%

KM-21-

17

429.5

449.9

20.4

1.81

1.10

1.20

21.2

0.17

3.14

5.15

8.18

2.73

4.47

7.10

including 429.5 434.0 4.6 4.61 1.73 1.91 29.1 0.24 6.68 10.96 17.39 5.92 9.70 15.39

including 432.7 434.0 1.4 0.52 6.81 8.29 40.0 1.10 8.41 13.79 21.89 6.76 11.09 17.60

KM-21-

17

504.4

505.4

0.9

1.19

4.73

0.05

9.0

0.00

4.17

6.83

10.84

3.20

5.24

8.31

KM-21-

18

404.3

429.8

25.5

0.35

0.86

1.71

15.8

0.23

1.71

2.80

4.44

1.43

2.35

3.72

including 408.6 410.6 2.0 0.50 2.22 7.25 64.4 0.82 5.33 8.74 13.87 4.51 7.39 11.72

including 424.9 427.3 2.4 1.60 2.59 3.16 18.0 0.52 4.66 7.64 12.12 3.92 6.43 10.21

KM-21-

18A

391.4

423.8

32.5

1.09

0.62

1.25

17.7

0.15

2.13

3.48

5.53

1.85

3.04

4.82

including 393.3 395.8 2.4 9.57 2.83 2.72 40.9 0.28 12.73 20.87 33.12 11.36 18.63 29.56

KM-21-

19

377.8

378.3

0.5

3.39

5.59

6.83

128.0

0.63

10.58

17.34

27.52

8.81

14.44

22.92

KM-21-

20

442.7

443.6

0.9

2.56

0.52

3.52

18.5

0.14

4.40

7.22

11.45

3.98

6.52

10.34

KM-21-

20

456.0

458.1

2.1

1.49

0.35

0.14

6.0

0.04

1.81

2.97

4.71

1.63

2.66

4.23

KM-21-

21

452.6

495.5

42.8

0.80

0.78

1.52

15.1

0.15

2.01

3.29

5.22

1.73

2.83

4.49

including 488.7 493.5 4.8 0.26 2.50 6.13 27.6 0.54 4.48 7.34 11.65 3.74 6.13 9.73

KM-21-

21A

422.0

431.4

9.4

1.17

0.57

2.25

8.6

0.36

2.53

4.15

6.58

2.25

3.68

5.85

KM-21-

21A

439.1

502.1

63.0

0.45

1.28

3.14

58.8

0.77

3.08

5.04

8.00

2.57

4.21

6.67

including 465.0 481.9 16.9 0.52 2.45 4.05 80.9 0.99 4.43 7.26 11.53 3.62 5.94 9.42

KM-21-

23

394.4

401.4

7.0

0.36

0.93

1.94

13.5

1.17

2.05

3.35

5.32

1.73

2.84

4.51

KM-21-

23

438.6

459.2

20.6

0.17

1.18

1.93

27.8

0.37

1.94

3.17

5.03

1.58

2.59

4.11

KM-21-

24

501.2

592.1

90.8

0.45

1.33

3.42

44.6

0.41

3.02

4.95

7.86

2.53

4.15

6.59

including 501.2 521.7 20.4 1.34 1.70 6.35 113.1 0.66 5.86 9.60 15.24 4.99 8.18 12.99

including 520.9 521.7 0.8 1.75 16.50 9.55 574.0 1.22 20.31 33.29 52.82 15.57 25.52 40.50

including 575.9 592.1 16.2 0.16 2.50 6.00 44.4 0.79 4.51 7.40 11.74 3.75 6.14 9.74

including 588.7 590.4 1.7 0.47 9.98 23.70 18.2 0.13 15.84 25.96 41.20 13.21 21.65 34.36

KM-21-

25

662.6

741.3

78.6

1.41

2.33

2.79

43.4

0.35

4.33

7.10

11.26

3.61

5.92

9.40

including 663.2 672.7 9.4 8.06 1.84 1.31 92.3 0.15 10.45 17.13 27.18 9.30 15.24 24.19

including 693.0 703.9 11.0 0.68 6.28 10.40 99.7 1.17 9.56 15.66 24.86 7.79 12.77 20.27

KM-21-

25A

654.7

719.9

65.2

1.04

1.94

2.15

18.9

0.18

3.25

5.32

8.44

2.71

4.43

7.04

including 655.5 662.8 7.3 3.66 2.09 1.85 30.2 0.21 5.93 9.73 15.44 5.17 8.47 13.44

including 710.8 716.9 6.1 2.72 7.95 3.73 37.4 0.31 9.37 15.36 24.38 7.52 12.33 19.56

KM-21-

25B

647.2

648.9

1.7

0.13

0.58

2.41

62.1

0.64

2.04

3.35

5.31

1.70

2.79

4.42

KM-21-

25B

655.6

659.9

4.3

0.93

0.91

0.91

25.3

0.19

2.07

3.40

5.40

1.75

2.88

4.56

KM-21-

25B

666.0

667.8

1.8

0.60

0.72

2.98

33.5

0.43

2.55

4.18

6.63

2.20

3.61

5.72

KM-21-

25B

673.3

674.7

1.4

0.08

2.10

2.39

23.0

0.33

2.53

4.15

6.58

2.01

3.29

5.23

KM-21-

25B

681.2

682.6

1.4

0.09

1.54

2.98

11.0

0.35

2.34

3.83

6.08

1.93

3.16

5.01

KM-21-

26

506.7

582.8

76.0

0.79

1.61

4.23

32.7

0.54

3.78

6.19

9.83

3.21

5.27

8.36

including 511.1 526.1 14.9 0.73 1.78 9.68 43.3 0.77 6.05 9.92 15.74 5.26 8.63 13.69

including 573.8 582.8 9.0 4.02 6.06 3.32 18.2 0.19 9.18 15.04 23.87 7.64 12.52 19.87

KM-21-

27

706.8

738.2

31.4

1.58

0.16

0.69

9.0

0.06

2.03

3.33

5.28

1.85

3.03

4.80

KM-21-

27

764.4

777.4

13.0

2.85

0.48

0.17

8.5

0.02

3.29

5.39

8.55

2.97

4.87

7.73

KM-21-

27A

666.3

769.4

103.1

0.79

1.06

1.90

35.8

0.42

2.54

4.17

6.62

2.15

3.52

5.59

including 666.3 687.0 20.7 3.21 1.39 1.26 19.4 0.20 4.74 7.77 12.33 4.18 6.84 10.86

including 706.4 724.6 18.3 0.69 2.69 4.70 92.2 1.21 5.13 8.41 13.35 4.22 6.91 10.97

including 752.9 763.8 11.0 0.07 1.07 4.68 95.3 0.98 3.49 5.73 9.09 2.92 4.78 7.59

KM-21-

27B

665.8

762.9

97.1

1.31

1.62

3.21

31.7

0.40

3.88

6.35

10.08

3.31

5.42

8.61

including 702.0 723.0 21.0 0.87 4.56 9.03 81.5 1.10 8.01 13.13 20.83 6.63 10.87 17.25

including 723.0 738.2 15.2 4.97 0.36 0.42 18.7 0.05 5.51 9.03 14.33 5.04 8.26 13.11

KM-21-

28

640.7

694.9

54.3

1.87

2.85

5.03

29.4

0.70

5.93

9.72

15.43

5.04

8.26

13.12

including 660.2 671.6 11.4 0.54 4.29 9.30 32.2 1.17 7.24 11.87 18.84 6.04 9.89 15.70

including 681.1 689.0 7.9 4.39 9.47 10.34 93.1 2.41 15.42 25.27 40.10 12.80 20.98 33.29

including 690.4 692.6 2.2 16.06 0.82 0.06 55.8 0.01 17.02 27.90 44.28 15.62 25.61 40.64

KM-21-

29

393.0

393.8

0.8

0.43

1.54

4.92

9.0

0.21

3.38

5.54

8.79

2.89

4.74

7.53

KM-21-

30

264.9

267.9

3.0

1.18

0.02

0.01

1.5

0.00

1.21

1.98

3.15

1.12

1.83

2.91

KM-21-

32

316.4

320.0

3.7

1.84

1.29

2.47

38.5

0.30

3.95

6.47

10.27

3.41

5.60

8.88

KM-21-

32

342.9

345.9

3.0

0.67

0.52

2.70

13.0

0.15

2.16

3.54

5.62

1.90

3.12

4.95

KM-21-

32

358.9

368.4

9.4

0.60

1.47

1.99

45.7

0.35

2.70

4.42

7.01

2.22

3.63

5.76

KM-21-

33

171.3

172.5

1.2

3.79

0.45

0.21

63.0

0.17

4.69

7.68

12.19

4.19

6.86

10.89

KM-21-

34

299.3

303.9

4.6

0.29

1.69

0.94

46.3

0.26

2.12

3.47

5.50

1.65

2.70

4.29

KM-21-

34

309.7

310.9

1.2

2.27

0.56

1.55

19.9

0.08

3.38

5.54

8.80

3.03

4.96

7.87

KM-21-

35

609.6

615.1

5.5

0.92

1.26

1.71

57.7

0.02

2.80

4.60

7.29

2.33

3.82

6.06

including 609.6 613.0 3.4 1.39 1.69 1.98 54.0 0.01 3.61 5.92 9.40 3.03 4.96 7.87

KM-21-

38

406.5

407.8

1.4

0.60

1.08

9.41

4.0

0.25

4.96

8.13

12.90

4.42

7.24

11.49

KM-21-

38

467.4

476.1

8.7

0.09

1.73

3.87

61.1

1.22

3.38

5.55

8.80

2.78

4.56

7.23

including 470.0 475.2 5.2 0.12 2.44 5.68 87.5 1.79 4.88 8.01 12.71 4.02 6.59 10.46

KM-21-

40

589.8

613.8

24.0

4.98

0.61

0.98

23.4

0.45

6.01

9.86

15.65

5.46

8.95

14.21

including 589.8 597.9 8.1 7.63 0.43 0.39 27.1 0.17 8.30 13.60 21.58 7.61 12.47 19.78

KM-21-

40

627.9

680.8

52.9

0.47

2.91

3.40

35.7

0.40

3.93

6.44

10.22

3.17

5.20

8.25

including 641.1 648.3 7.2 1.15 7.66 8.27 88.5 0.92 9.90 16.23 25.76 7.95 13.03 20.68

including 670.3 674.1 3.8 1.53 10.89 9.47 24.6 0.61 12.15 19.91 31.59 9.69 15.88 25.19

KM-21-

41

462.6

559.3

96.7

1.04

1.54

2.66

40.8

0.35

3.41

5.59

8.86

2.87

4.71

7.47

including 503.2 514.2 11.0 0.99 5.34 8.17 106.3 1.63 8.59 14.08 22.35 7.02 11.51 18.26

including 546.7 558.1 11.4 5.86 5.83 3.24 185.4 0.04 12.14 19.90 31.58 10.15 16.64 26.40

including 553.1 556.9 3.8 7.11 9.55 5.70 505.8 0.09 19.16 31.41 49.84 15.62 25.59 40.62

KM-21-

42

803.5

810.3

6.9

0.05

1.60

1.58

64.3

0.35

2.22

3.64

5.78

1.73

2.83

4.49

KM-21-

42

835.5

839.7

4.3

0.63

2.46

2.15

21.7

0.21

3.18

5.20

8.26

2.56

4.20

6.67

KM-21-

42

853.7

854.7

0.9

0.11

1.63

2.88

28.0

0.40

2.52

4.13

6.55

2.05

3.37

5.34

KM-21-

42A

786.7

787.6

0.9

0.03

3.61

2.18

17.0

0.70

3.36

5.51

8.74

2.58

4.22

6.70

KM-21-

42A

805.4

811.1

5.6

6.17

0.92

0.18

39.5

0.01

7.12

11.68

18.53

6.43

10.54

16.72

including 807.0 808.9 2.0 10.72 0.87 0.11 61.8 0.00 11.79 19.32 30.66 10.74 17.60 27.93

KM-21-

42A

840.9

877.2

36.3

0.55

0.62

1.35

10.7

0.13

1.56

2.56

4.06

1.34

2.20

3.49

KM-21-

42B

808.0

811.2

3.2

0.29

2.06

5.77

63.0

0.94

4.47

7.33

11.63

3.74

6.13

9.72

KM-21-

42B

816.9

819.9

3.0

2.31

0.66

1.23

16.0

0.15

3.35

5.49

8.71

2.99

4.90

7.77

KM-21-

42B

835.5

840.8

5.3

0.02

0.73

2.93

13.5

0.24

1.75

2.87

4.56

1.49

2.45

3.88

KM-21-

42C

849.2

877.4

28.2

3.81

0.47

0.29

12.5

0.09

4.32

7.08

11.24

3.93

6.44

10.23

including 849.2 854.7 5.5 14.57 0.66 0.16 37.5 0.03 15.34 25.14 39.89 14.11 23.12 36.70

including 863.8 869.4 5.6 2.29 1.17 0.59 13.1 0.25 3.39 5.55 8.81 2.96 4.85 7.70

including 874.8 877.4 2.6 2.83 0.26 0.03 7.2 0.01 3.06 5.02 7.96 2.80 4.59 7.28

KM-21-

42C

886.1

889.1

3.0

0.87

0.88

0.50

5.2

0.05

1.65

2.71

4.30

1.40

2.30

3.65

KM-21-

43

583.7

607.1

23.4

0.39

0.25

3.68

3.1

0.02

1.98

3.25

5.15

1.79

2.93

4.65

including 598.9 599.8 0.9 0.50 0.18 11.30 3.0 0.03 4.99 8.17 12.97 4.56 7.48 11.87

KM-21-

43

616.0

633.1

17.1

1.81

0.17

0.14

8.2

0.03

2.04

3.34

5.31

1.86

3.05

4.84

including 631.2 633.1 1.8 6.30 0.61 0.09 25.0 0.01 6.91 11.32 17.97 6.30 10.32 16.38

KM-21-

44

353.4

377.3

23.9

0.34

0.97

2.52

18.3

0.33

2.12

3.47

5.50

1.79

2.93

4.65

including 354.0 356.6 2.6 0.23 2.14 7.97 38.9 0.68 5.06 8.29 13.15 4.30 7.05 11.19

KM-21-

45

459.6

463.0

3.4

0.32

0.62

6.63

82.3

0.87

4.10

6.71

10.65

3.55

5.82

9.24

including 461.2 462.1 0.9 0.15 1.23 16.90 182.0 2.50 9.39 15.38 24.41 8.17 13.39 21.26

KM-21-

46

350.4

362.9

12.4

0.66

2.61

3.69

40.6

0.39

4.08

6.69

10.61

3.34

5.48

8.70

including 350.4 353.3 2.8 0.77 5.19 6.83 107.0 0.72 7.58 12.42 19.70 6.11 10.01 15.88

KM-21-

47

433.9

435.9

2.0

0.16

1.88

9.28

138.7

2.17

6.46

10.58

16.79

5.46

8.95

14.20

KM-21-

48

605.2

610.7

5.5

3.54

0.45

0.19

12.7

0.05

4.00

6.55

10.40

3.63

5.95

9.45

KM-21-

48

630.3

634.6

4.3

1.11

0.34

0.69

12.7

0.11

1.71

2.80

4.45

1.52

2.49

3.95

KM-21-

48

685.5

696.8

11.3

0.98

0.05

0.06

4.2

0.02

1.07

1.75

2.77

0.98

1.60

2.54

KM-21-

48

715.1

718.4

3.4

2.08

0.04

0.03

4.3

0.01

2.15

3.52

5.59

1.98

3.25

5.16

KM-21-

48

723.0

724.5

1.5

1.54

0.07

0.06

4.0

0.02

1.64

2.68

4.26

1.51

2.47

3.92

KM-21-

48

735.5

743.6

8.1

0.34

0.60

1.52

9.2

0.07

1.38

2.26

3.59

1.18

1.93

3.06

KM-21-

48A

538.0

539.5

1.5

0.31

1.17

2.79

29.0

0.52

2.44

4.01

6.36

2.05

3.35

5.32

KM-21-

48A

687.9

696.9

9.0

1.64

0.36

0.79

7.9

0.01

2.23

3.66

5.80

2.01

3.29

5.22

including 687.9 688.8 0.9 0.15 1.53 5.35 5.0 0.01 3.18 5.21 8.27 2.71 4.45 7.06

including 694.9 696.0 1.1 8.36 0.80 0.10 40.0 0.03 9.21 15.10 23.96 8.39 13.75 21.81

KM-21-

50

489.5

501.9

12.3

0.98

2.30

6.36

111.9

1.24

5.99

9.81

15.57

5.02

8.24

13.07

including 489.5 493.0 3.4 2.64 3.59 9.49 207.7 1.65 10.49 17.20 27.30 8.86 14.52 23.05

KM-21-

50

509.0

562.1

53.1

0.44

0.84

1.28

35.8

0.27

1.79

2.93

4.65

1.48

2.42

3.84

including 538.1 545.6 7.5 0.28 1.94 2.62 112.8 0.82 3.55 5.81 9.23 2.82 4.63 7.34

KM-21-

51B

860.5

870.2

9.8

3.00

0.13

0.10

6.5

0.05

3.18

5.21

8.27

2.93

4.80

7.62

including 864.7 865.6 0.9 8.70 0.09 0.09 16.0 0.10 8.93 14.64 23.24 8.27 13.55 21.51

KM-21-

51B

881.5

884.2

2.7

0.52

0.22

0.62

28.3

0.14

1.15

1.88

2.98

0.99

1.61

2.56

KM-21-

51B

893.7

903.4

9.8

1.51

0.10

0.06

4.4

0.01

1.63

2.67

4.24

1.49

2.45

3.89

including 898.2 899.3 1.1 6.56 0.11 0.10 15.0 0.04 6.79 11.13 17.67 6.28 10.29 16.32

KM-21-

52

751.5

758.2

6.7

1.18

0.66

0.98

18.2

0.14

2.14

3.50

5.56

1.86

3.05

4.84

KM-21-

52

787.5

789.6

2.1

0.04

1.27

1.68

28.5

0.22

1.73

2.84

4.50

1.38

2.25

3.58

KM-21-

52A

763.7

793.1

29.4

0.25

1.12

1.36

51.6

0.47

1.97

3.22

5.11

1.58

2.58

4.10

including 763.7 764.9 1.2 0.38 3.01 8.69 132.0 1.68 6.97 11.43 18.13 5.80 9.50 15.08

including 771.8 774.5 2.7 1.39 2.46 4.59 116.4 1.82 5.98 9.81 15.56 5.00 8.19 12.99

including 781.5 787.6 6.1 0.31 2.63 1.64 119.5 0.65 3.64 5.97 9.47 2.81 4.60 7.30

KM-21-

52A

801.3

802.5

1.2

0.42

0.90

1.29

82.0

0.17

2.15

3.52

5.59

1.73

2.83

4.50

KM-21-

52A

818.8

820.2

1.4

0.39

1.62

1.29

188.0

0.36

3.45

5.65

8.96

2.66

4.35

6.91

KM-21-

52A

831.2

852.4

21.2

0.05

0.91

0.80

27.2

0.29

1.19

1.95

3.10

0.93

1.52

2.42

including 837.0 841.6 4.6 0.03 2.16 1.34 69.0 0.79 2.59 4.24 6.73 1.98 3.24 5.14

KM-21-

55

302.7

308.5

5.8

0.66

0.44

0.53

15.8

0.10

1.28

2.10

3.33

1.10

1.80

2.86

KM-21-

56

434.6

435.9

1.2

1.53

0.39

0.13

19.0

0.01

1.97

3.23

5.12

1.75

2.86

4.54

KM-21-

56

499.1

501.5

2.4

1.53

0.18

7.15

6.4

0.02

4.45

7.29

11.57

4.07

6.68

10.59

including 499.1 500.2 1.1 1.97 0.31 14.55 7.0 0.02 7.81 12.81 20.33 7.16 11.73 18.61

KM-21-

56

524.0

525.0

1.1

0.97

0.12

0.07

5.0

0.03

1.12

1.83

2.91

1.01

1.66

2.64

KM-21-

56

558.2

563.6

5.3

0.82

0.99

3.09

27.0

0.06

2.84

4.65

7.38

2.44

4.00

6.35

KM-21-

56

577.0

578.2

1.2

0.02

1.66

0.47

5.0

0.02

1.26

2.06

3.27

0.92

1.52

2.41

KM-21-

57

776.5

784.3

7.8

0.26

2.30

2.59

57.9

0.68

3.27

5.36

8.51

2.61

4.28

6.79

including 777.8 778.8 0.9 0.25 6.62 11.45 105.0 3.33 10.26 16.81 26.68 8.37 13.72 21.77

KM-21-

57

819.9

835.5

15.5

1.29

2.17

2.58

90.9

0.27

4.39

7.19

11.41

3.61

5.92

9.40

including 824.0 827.5 3.5 3.69 4.67 3.81 228.5 0.29 9.88 16.19 25.69 8.13 13.33 21.15

KM-21-

57

852.5

853.6

1.1

0.30

3.10

2.33

92.0

0.57

3.94

6.46

10.25

3.06

5.02

7.97

KM-21-

57A

728.6

735.5

6.9

2.49

1.04

0.57

6.6

0.02

3.40

5.57

8.84

3.00

4.92

7.81

KM-21-

57A

759.6

821.4

61.9

1.08

2.60

3.73

32.0

0.50

4.46

7.31

11.60

3.71

6.08

9.65

including 762.3 783.3 21.0 0.42 6.78 9.49 67.9 0.49 8.84 14.50 23.00 7.12 11.67 18.52

KM-22-

57B

736.7

862.0

125.3

2.40

0.90

1.29

18.7

0.13

3.62

5.93

9.42

3.20

5.25

8.33

including 739.7 741.6 1.8 9.42 2.37 0.32 8.5 0.03 11.06 18.12 28.76 9.93 16.28 25.84

including 798.3 805.6 7.3 6.35 0.81 3.76 19.5 0.14 8.47 13.89 22.04 7.72 12.65 20.08

KM-22-

60

554.7

648.0

93.3

1.36

5.65

3.25

32.6

0.34

6.39

10.47

16.62

5.08

8.32

13.21

including 591.6 597.7 6.1 0.58 5.62 12.00 56.3 1.40 9.37 15.37 24.38 7.78 12.75 20.24

including 627.0 644.5 17.5 5.22 25.37 4.71 100.6 0.59 23.44 38.42 60.98 18.05 29.59 46.95

including 634.3 635.5 1.2 5.63 273.00 0.18 715.0 0.28 177.99 291.74 462.98 126.03 206.57 327.82

The true width of mineralization is estimated to be 50% to 99% of reported core width, with an

average of 76%. (2) Assumptions used in USD for the copper and gold Metal Equivalent

calculations were metal prices of $4.63/lb Copper, $1937/oz Gold, $25/oz Silver, $1.78/lb Zinc,

and $1.02/lb Pb. Assumed metal recoveries (rec.), based on a preliminary review of historic data

by SRK and ProcessIQ2, were 93% for copper, 92% for zinc, 90% for lead, 72% silver, and 70%

for gold. The following equation was used to calculate copper equivalence: CuEq = Copper (%)

(93% rec.) + (Gold (g/t) x 0.61)(72% rec.) + (Silver (g/t) x 0.0079)(72% rec.) + (Zinc (%) x

0.3844)(93% rec.) +(Lead (%) x 0.2203)(93% rec.). The following equation was used to

calculate gold equivalence: AuEq = Gold (g/t)(72% rec.) + (Copper (%) x 1.638)(93% rec.) +

(Silver (g/t) x 0.01291)(72% rec.) + (Zinc (%) x 0.6299)(93% rec.) +(Lead (%) x 0.3609)(93%

rec.). Analyzed Metal Equivalent calculations are reported for illustrative purposes only. The

metal chosen for reporting on an equivalent basis is the one that contributes the most dollar value

after accounting for assumed recoveries.

Table 3. Results of Phase 1 Drill Program at Kay Mine, Yavapai County, Arizona. The true

width of mineralization is estimated to be 50% to 99% of reported core width, with an average of

80%.

Analyzed Grade Analyzed Metal

Equivalent

Hole ID From m To m Length m Cu % Au g/t Zn % Ag g/t Pb % Cu eq % Au eq g/t Zn eq%

KM-20-01 275.8 281.5 5.6 0.57 0.48 1.20 11.6 0.18 1.70 1.61 4.51

including 275.8 276.5 0.6 0.50 1.22 5.04 32.0 0.73 4.23 4.01 11.22

including 279.8 281.5 1.6 1.21 0.98 1.49 22.6 0.23 3.10 2.94 8.22

KM-20-02 297.8 300.8 3.0 0.77 0.20 0.04 1.4 0.01 1.01 0.96 2.69

KM-20-03 256.3 259.1 2.7 3.40 1.01 0.65 69.6 0.09 5.41 5.13 14.35

including 256.3 257.3 0.9 7.42 1.79 1.11 56.0 0.17 10.32 9.78 27.37

KM-20-03 292.2 292.6 0.5 2.43 0.19 0.15 2.0 0.04 2.72 2.57 7.20

KM-20-03 295.4 295.8 0.5 1.35 0.80 0.91 6.0 0.06 2.61 2.47 6.92

KM-20-03A 252.4 256.9 4.6 3.70 2.55 0.27 35.6 0.03 6.85 6.49 18.15

including 252.4 253.1 0.8 9.74 6.34 0.40 164.0 0.11 18.19 17.24 48.23

KM-20-05 266.6 269.0 2.4 6.47 1.94 0.57 43.3 0.14 9.19 8.71 24.37

including 266.6 267.8 1.2 10.60 2.21 1.05 50.0 0.26 13.89 13.16 36.83

KM-20-06 267.9 281.5 13.5 1.02 0.85 1.23 45.6 0.30 2.92 2.77 7.75

including 267.9 268.4 0.5 1.54 2.20 6.10 31.0 0.81 6.73 6.38 17.85

including 276.6 281.5 4.9 1.86 0.87 1.96 92.1 0.42 4.54 4.30 12.04

including 280.0 281.0 1.1 3.22 1.03 0.64 340.0 0.04 7.82 7.41 20.74

KM-20-09 588.1 588.4 0.3 0.91 1.74 1.86 15.0 0.40 3.72 3.52 9.86

KM-20-09 613.4 614.1 0.7 0.90 1.81 1.04 10.0 0.08 3.32 3.15 8.81