Arizona Metals Corp Announces Start of Drilling at its Sugarloaf Peak Project heap-leach gold-oxide target in La Paz County, Arizona; two drills continue turning at the Kay Mine gold-copper VMS Phase 1 program in Yavapai County, Arizona.
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Arizona Metals Corp Announces Start of Drilling at its Sugarloaf Peak Project heap-leach
gold-oxide target in La Paz County, Arizona; two drills continue turning at the Kay Mine
gold-copper VMS Phase 1 program in Yavapai County, Arizona.
TORONTO, July 7, 2020 – Arizona Metals Corp. (TSX.V:AMC) (the “Company” or “Arizona
Metals”) is pleased to announce that it has commenced a 1,300m drill program at its Sugarloaf
Peak Project in La Paz County, Arizona. Drill core from two 150m holes will be sent to Kappes
Cassiday and Associates of Reno, Nevada, to undergo bottle-roll and column testing of gold
recoveries by leaching of oxide material. Samples will also be sent to ALS Minerals in Reno,
Nevada for gold assay, multi-element testing, and spectral analysis to determine trace-element
levels and hydrothermal alteration variations.
Another two cored drill holes will be extended to depths of 450 m and 550 m to intersect a large ,
untested geophysical target (Figure 1) that the Company believes has the potential to host a
higher grade “feeder” zone, that could be the source of the disseminated oxide mineralization
identified at surface in the historic estimate. The locations, dips, and azimuths of the four
planned holes are detailed in Table 1 below.
The geophysical target is based on induced polarization (IP) data showing coincident high
chargeability and high resistivity. Chargeability high anomalies often indicate the presence of
sulfide minerals such as pyrite, and resistivity highs may indicate alteration minerals such as
quartz. The mineralization identified to date at Sugarloaf contains both pyrite and quartz.
Figure 1. Sugarloaf Peak long section displaying historic drill holes and three IP geophysical targets located directly
below the historic estimate.
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Table 1. Sugarloaf planned drill hole locations and orientations
Marc Pais, CEO of Arizona Metals Corp., commented, “While our primary focus remains on the
high-grade Kay Mine VMS project, where we have two drills turning, we believe there is
significant unrecognized value in the Sugarloaf Project. We will first follow up on promising
initial metallurgical testing completed by Kinross in 2009 and Agnico in 2013, to demonstrate
that Sugarloaf has the characteristics required of a viable heap-leach mining operation. We will
also be testing a large IP geophysical target located about 300m below the historic estimate, that
we believe has the potential to host higher grade “feeder” zones. The IP targets were identified in
2012, but never drill tested.”
Sugarloaf Peak Highlights
Project is 100% owned by Arizona Metals Corp. with no future payments
Located on 4,400 acres of BLM claims in mining-friendly La Paz County, Arizona
Historic estimate of “100 million tons containing 1.5 million ounces gold”*at a grade of
0.5 g/t (Dausinger, 1983, Westworld Resources).
Heap-leach, open-pit target that starts at surface and is tabular with no dip
Open for expansion at depth and on strike
Metallurgical testing (bottle roll) by Kinross (2009) and Agnico (2013) achieved gold
recoveries of up to 73% (inline with heap-leach mines currently in operation)
About Arizona Metals Corp
Arizona Metals Corp owns 100% of the Kay Mine Property in Yavapai County, which is located
on a combination of patented and BLM claims totaling 1,300 acres that are not subject to any
royalties. An 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% copper, 2.8 g/t gold, 3.03% zinc, and 55 g/t 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, re-drilling 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 VMS deposit that has been defined from a depth of 60 m to at
least 900 m. It is open for expansion on strike and at depth.
Hole ID Pad East (NAD83) North (NAD83) Elevation Depth (ft) Depth (m) Az Dip
SP-20-01 C 747630 3725020 387 500 152 180 -45
SP-20-02 B 747680 3725022 388 500 152 0 -70
SP-20-03 V 747880 3725300 375 1500 457 0 -90
SP-20-04 E 747600 3724920 388 1800 549 54 -57
Total 4,300 1,311
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The Company also owns 100% 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).
*The historic estimate at the Sugarloaf Peak Property was reported by Westworld Resources in
1983. 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, re-drilling and data verification
may be required by a Qualified Person before the historic estimate can be verified and upgraded
to 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 Qualified Person who reviewed and approved the technical disclosure in this release is
David Smith, CPG.
Quality Assurance/Quality Control
All of Arizona Metals’ drill sample assay results have been independently monitored through a
quality assurance/quality control (“QA/QC”) protocol which includes the insertion of blind
standard reference materials and blanks at regular intervals. Logging and sampling were
completed at Arizona Metals’ core handling facilities located in Anthem and Black Canyon City,
Arizona. Drill core was diamond sawn on site and half drill-core samples were securely
transported to ALS Laboratories’ (“ALS”) sample preparation facility in Tucson, Arizona.
Sample pulps were sent to ALS’s labs in Vancouver, Canada, for analysis.
Gold content was determined by fire assay of a 30-gram charge with ICP finish (ALS method
Au-AA23). Silver and 32 other elements were analyzed by ICP methods with four-acid digestion
(ALS method ME-ICP61a). Over-limit samples for Ag, Cu, and Zn were determined by ore-
grade analyses Ag-OG62, Cu-OG62, and Zn-OG62, respectively.
ALS Laboratories is independent of Arizona Metals Corp. and its Vancouver facility is ISO
17025 accredited. ALS also performed its own internal QA/QC procedures to assure the
accuracy and integrity of results. Parameters for ALS’ internal and Arizona Metals’ external
blind quality control samples were acceptable for the samples analyzed. Arizona Metals is not
aware of any drilling, sampling, recovery, or other factors that could materially affect the
accuracy or reliability of the data referred to herein.
This press release contains statements that constitute “forward-looking information”
(collectively, “forward-looking statements”) within the meaning of the applicable Canadian
securities legislation, All statements, other than statements of historical fact, are forward-
looking statements and are based on expectations, estimates and projections as at the date of this
news release. Any statement that discusses predictions, expectations, beliefs, plans, projections,
objectives, assumptions, future events or performance (often but not always using phrases such as
“expects”, or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans”,
“budget”, “scheduled”, “forecasts”, “estimates”, “believes” or “intends” or variations of such
words and phrases or stating that certain actions, events or results “may” or “could”, “would”,
“might” or “will” be taken to occur or be achieved) are not statements of historical fact and may
be forward-looking statements. Forward-looking statements contained in this press release
include, without limitation, statements regarding the resumption of drilling and the effects of the
COVID-19 pandemic on the business and operations of the Company. In making the forward-
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looking statements contained in this press release, the Company has made certain assumptions.
Although the Company believes that the expectations reflected in forward-looking statements are
reasonable, it can give no assurance that the expectations of any forward-looking statements will
prove to be correct. Known and unknown risks, uncertainties, and other factors which may cause
the actual results and future events to differ materially from those expressed or implied by such
forward-looking statements. Such factors include, but are not limited to: availability of financing;
delay or failure to receive required permits or regulatory approvals; and general business,
economic, competitive, political and social uncertainties. Accordingly, readers should not place
undue reliance on the forward-looking statements and information contained in this press
release. Except as required by law, the Company disclaims any intention and assumes no
obligation to update or revise any forward-looking statements to reflect actual results, whether
as a result of new information, future events, changes in assumptions, changes in factors
affecting such forward- looking statements or otherwise.
NEITHER THE TSX VENTURE EXCHANGE (NOR ITS REGULATORY SERVICE PROVIDER)
ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
Not for distribution to US newswire services or for release, publication, distribution or
dissemination directly, or indirectly, in whole or in part, in or into the United States
For further information, please contact:
Marc Pais
President and CEO Arizona Metals Corp.
(416) 565-7689
www.arizonametalscorp.com
https://twitter.com/ArizonaCorp