Arizona Metals Corp Announces That Kay Mine Drilling in South Zone Fold Hinge Intersects 43.1 m of 3.9% CuEq, (incl. 15.2 m of 6.7% CuEq), and 27.6 m of 2.9% CuEq (incl. 3.5 m of 6.7% CuEq). Drilling in a Recently Defined Gold-zinc Lens Intersects 6.8 m of 7.3 g/t AuEq (incl. 4.3 m
Arizona Metals Corp Announces That Kay
Mine Drilling in South Zone Fold Hinge
Intersects 43.1 m of 3.9% CuEq, (incl. 15.2 m
of 6.7% CuEq), and 27.6 m of 2.9% CuEq
(incl. 3.5 m of 6.7% CuEq).
Drilling in a Recently Defined Gold-zinc Lens Intersects 6.8 m of 7.3 g/t AuEq (incl. 4.3 m
of 10.1 g/t AuEq as Well as 0.8 m of 27.6 g/t AuEq)
TORONTO--(BUSINESS WIRE)--August 5, 2020--Arizona Metals Corp. (TSX.V:AMC) (the
“Company” or “Arizona Metals”) is pleased to announce that all four recently completed holes at
its Kay Mine project in Yavapai County, Arizona, intersected massive sulphide mineralization,
including 15.2 m of 6.7% CuEq in hole KM-20-13 and 6.8 m of 7.3 g/t AuEq in hole KM-20-
10C.
In the South Zone, hole KM-20-13 intersected a broad interval of 43.1 m at a grade of 3.9%
CuEq, including 15.2 m grading 6.7% CuEq, located at a vertical depth of 341 m.
Branch hole KM-20-10B, located 50 m below KM-20-13, intersected 27.6 m grading 2.9%
CuEq, including 3.5 m at a grade of 6.7% CuEq, 4.4 m of 5.3% CuEq, and 6.6 m at 4.8% CuEq.
Branch hole KM-20-10C intersected an interval of 6.8 m at a grade of 7.3 g/t AuEq, including
4.3 m grading 10.1 g/t AuEq, as well as 0.8 m of 27.6 g/t AuEq. This hole is located at the edge
of the southern boundary of the historic estimate by Exxon Mineral (1982), in a newly-defined
gold-zinc-rich lens. It is located approximately 150 m up-dip from hole KM-20-09, which in
March 2020 intersected 6.1 m at a grade of 7.8 g/t AuEq (including 4.4 m at 9.3 g/t AuEq as well
as 1.1 m grading 16.0 g/t AuEq).
In the North Zone, hole KM-20-12 intersected an interval of 4.9 m at a grade of 4.8% CuEq,
including 1.9 m grading 10.1% CuEq, from a vertical depth of 318 m. Approximately 5.8 m
farther downhole from this massive sulphide intersection, hole KM-20-12 also intersected 25.9 m
at a grade of 0.9% CuEq.
Holes KM-20-14 and KM-20-15 have been completed and submitted to ALS Laboratories of
Tucson, Arizona for assaying. Holes KM-20-14A and KM-20-16 have been completed and are
being sampled for submittal to ALS Laboratories.
Marc Pais, CEO, commented “Of the 20 holes drilled at the Kay Mine to date, 18 have
intersected massive sulphide mineralization. Because previous operators reported significantly
better widths and grades in the fold hinges, the initial focus of the Kay Mine Phase 1 drilling in
both the North and South Zones has been to locate the fold hinges of the mineralized lenses. We
have successfully done that, as shown by the thick intercept in hole KM-20-13 in the South Zone
of 43.1 m grading 3.9% CuEq, including 15.2 m grading 6.7% CuEq.
In hole KM-20-12 in the North Zone, we encountered a broad intersection (25.9 m) of lower-
grade mineralization (0.87% CuEq) just below 4.9 m of higher grade (4.8% CuEq) massive
sulphide mineralization. We see this as an indication that we could be approaching a fold hinge
in the North Zone as well.
Earlier this week we started a downhole electromagnetic testing program, in order to better
define new targets for extension of the hinges. The geophysical results will be used in
conjunction with today’s results, and the four holes currently at the lab, to plan new holes.
Now that we have located a hinge of significant thickness in the South Zone, we will begin
planning a Phase 2 drill program to further define that hinge up- and down-plunge. Branch hole
KM-20-10C has extended the gold-rich zinc lens, located outside of Exxon’s historic estimate, by
150 m up-dip from hole KM-20-09, which intersected similar grades and width. We see excellent
potential to extend this zone both up-dip and down-dip, and also further to the south. Hole KM-
20-15 is located 30 m south of KM-20-10C and was drilled to test the strike extension of the
gold-rich zinc lens. This hole is currently at the lab being assayed.”
Kay Mine Downhole Electromagnetic Survey
On August 3, 2020, Zonge International of Tucson, Arizona, commenced a downhole
electromagnetic survey of seven recently completed Kay Mine drill holes, including KM-20-
10C, KM-20-11, KM-20-12, KM-20-13, KM-20-14A, KM-20-15, and KM-20-16. This
geophysical survey is intended to identify the extensions of underground massive sulphide
mineralization. The combined results of the drill hole assays and the downhole surveys will be
used to design a Phase 2 drill program at the Kay Mine.
Table 1. Locations of Phase 1 Program drill holes completed and in progress at Kay Mine,
Arizona
Hole ID Drill Pad Zone Collar East
WGS84
Collar North
WGS84
Collar
Elev m
Collar
Az
Collar
Dip
KM-20-01 Pad 1 North 392684 3769388 643 78 -48
KM-20-02 Pad 1 North 392684 3769388 643 75 -50
KM-20-03 Pad 1 North 392684 3769388 643 72 -43.3
KM-20-03A Pad 1 North 392684 3769388 643 72 -43.3
KM-20-04 Pad 1 North 392684 3769388 643 65.1 -47.5
KM-20-05 Pad 1 North 392684 3769388 643 73.3 -47.2
KM-20-06 Pad 1 North 392684 3769388 643 81.3 -48.3
KM-20-07 Pad 1 North 392684 3769388 643 85.6 -47.6
KM-20-08 Pad 2 South 392638 3769266 653 91.1 -77.1
KM-20-09 Pad 2 South 392638 3769266 653 92.1 -77
KM-20-10 Pad 2 South 392638 3769266 653 96.3 -72.2
KM-20-10A Pad 2 South 392638 3769266 653 96.3 -72.2
KM-20-10B Pad 2 South 392638 3769266 653 96.3 -72.2
KM-20-10C Pad 2 South 392638 3769266 653 96.3 -72.2
KM-20-11 Pad 3 North 392552 3769328 638 57.3 -67.5
KM-20-12 Pad 1 North 392684 3769388 643 95.7 -70.8
KM-20-13 Pad 1 South 392684 3769388 643 124 -66.5
KM-20-14 Pad 1 South 392684 3769388 643 133.6 -66
KM-20-14A Pad 1 South 392684 3769388 643 133.6 -66
KM-20-15 Pad 2 South 392638 3769266 653 106.7 -66.8
KM-20-16 Pad 2 South 392638 3769266 653 91.5 -68.9
Covid-19 Monitoring and Mitigation Procedures
The Company’s drill contractor, Boart Longyear, has instituted Covid-19 monitoring procedures
for all drill crew members, including daily temperature and symptom checks. Arizona Metals
Corp will be provided with daily health tracking updates for the drill crews and has also
instituted its own social distancing policies and provided a guidance manual for employees at
site.
Summary of North Zone Drill Results:
Holes KM-20-01 through KM-20-06 all intersected massive sulphide mineralization. Hole KM-
20-07 did not intersect significant mineralization and is believed to have passed between the
North and South Zones. Arizona Metals’ drilling tested a vertical extent of approximately 50 m
in the North Zone, to a vertical depth between 120-170 m. Historic underground exploration by
Exxon Minerals reported mineralization at depths in the North Zone of up to 300 m below recent
drilling by Arizona Metals.
Highlights of the first eight holes in the North Zone include:
KM-20-03: 2.7 m grading 5.4% CuEq (incl. 0.9 m of 10.3% CuEq), from a depth of 120 m
KM-20-03A: 4.6 m grading 6.9% CuEq (incl. 0.8 m of 18.2% CuEq) from a depth of 122 m
KM-20-05: 2.4 m grading 9.2% CuEq (incl. 1.2 m of 13.9% CuEq) from a depth of 150 m
KM-20-06: 13.5 m grading 2.9% CuEq (incl. 4.9 m of 4.5% CuEq) from a depth of 158 m
KM-20-11: 2.7 m grading 9.2% CuEq from a depth of 490 m
KM-20-12: 4.9 m grading 4.8% CuEq (incl. 1.9 m of 10.1% CuEq) from a depth of 318 m
KM-20-12: 25.9 m grading 0.9% CuEq, from a depth of 326 m
Table 2. Results of Initial Drill Program at Kay Mine North Zone, Yavapai County, Arizona
Hole ID From m To m
Vertical
Depth Below
Surface m Length m Cu eq % Au eq g/t Au g/t Ag g/t Cu % Pb % Zn %
KM-20-01 275.8 281.5 156 5.6 1.70 1.61 0.48 11.6 0.57 0.18 1.20
including 275.8 276.5
0.6 4.23 4.01 1.22 32.0 0.50 0.73 5.04
and 279.8 281.5
1.6 3.10 2.94 0.98 22.6 1.21 0.23 1.49
KM-20-02 297.8 300.8 172 3.0 1.01 0.96 0.20 1.4 0.77 0.01 0.04
KM-20-03 256.3 259.1 120 2.7 5.41 5.13 1.01 69.6 3.40 0.09 0.65
including 256.3 257.3
0.9 10.32 9.78 1.79 56.0 7.42 0.17 1.11
KM-20-03 292.2 292.6 152 0.5 2.72 2.57 0.19 2.0 2.43 0.04 0.15
KM-20-03 295.8 296.3 154 0.5 2.61 2.47 0.80 6.0 1.35 0.06 0.91
KM-20-03A 252.4 256.9 122 4.6 6.85 6.49 2.55 35.6 3.70 0.03 0.27
including 252.4 253.1
0.8 18.19 17.24 6.34 164.0 9.74 0.11 0.40
KM-20-05 266.6 269.0 150 2.4 9.19 8.71 1.94 43.3 6.47 0.14 0.57
including 266.6 267.8
1.2 13.89 13.16 2.21 50.0 10.60 0.26 1.05
KM-20-06 267.9 281.5 158 13.5 2.92 2.77 0.85 45.6 1.02 0.30 1.23
including 267.9 268.4
0.5 6.73 6.38 2.20 31.0 1.54 0.81 6.10
and 276.6 281.5
4.9 4.54 4.30 0.87 92.1 1.86 0.42 1.96
and 280.0 281.0
1.1 7.82 7.41 1.03 340.0 3.22 0.04 0.64
KM-20-11 554.1 556.9 490 2.7 9.23 8.75 2.83 70.0 4.14 0.28 3.56
KM-20-12 371.9 376.7 318 4.9 4.76 4.51 0.37 12.4 3.99 0.07 0.62
including 371.9 373.7
1.9 10.10 9.57 0.67 28.0 8.49 0.16 1.53
KM-20-12 379.5 405.4 326 25.9 0.87 0.82 0.08 2.3 0.73 0.01 0.08
(1) True widths of the reported mineral intervals have not been determined; additional drilling is required.
(2) Assumptions used in USD for the copper equivalent calculation were metal prices of $2.28/lb Copper, $1650/oz Gold, $15/oz Silver, $0.86/lb
Zinc, $0.77/lb Pb and recovery is assumed to be 100% as no metallurgical test data is available. The following equation was used to calculate
copper equivalence: CuEq = Copper (%) + (Gold (g/t) x 1.06) + (Silver (g/t) x 0.0096) + (Zinc (%) x 0.3772) +(Lead (%) x 0.3377).
Summary of South Zone Drill Results:
Below are highlights of drilling to date in the South Zone:
KM-20-09: 6.1 m grading 7.8 g/t AuEq, including 4.4 m grading 9.3 g/t AuEq, and also
including 1.1 m grading 16.0 g/t AuEq, from a depth of 575 m
KM-20-10A: 10.7 m grading 4.4% CuEq, including 1.5 m grading 8.6% CuEq, 3.1 m
grading 4.2% CuEq, and 1.4 m grading 12.2% CuEq from a depth of 442 m
KM-20-10B: 27.6 m grading 2.9% CuEq, including 6.6 m at 4.8% CuEq, 4.4 m grading
5.3% CuEq, and 3.5 m grading 6.7% CuEq from a depth of 423 m
KM-20-10C: 6.8 m grading 7.3 g/t AuEq, including 4.3 m grading 10.1 g/t AuEq, and 0.8 m
grading 27.6 g/t AuEq from a depth of 422 m
KM-20-13: 43.1 m grading 3.9% CuEq, including 15.2 m grading 6.7% CuEq and 4.4 m
grading 10.3% CuEq from a depth 341 m
Table 3. Results of Initial Drill Program at Kay Mine South Zone, Yavapai County, Arizona
Hole ID From m To m
Vertical
Depth Below
Surface m Length m Cu eq % Au eq g/t Au g/t Ag g/t Cu % Pb % Zn %
KM-20-09 588.1 588.4
0.3 3.72 3.52 1.74 15.0 0.91 0.40 1.86
KM-20-09 613.4 614.1
0.7 3.32 3.15 1.81 10.0 0.90 0.08 1.04
KM-20-09 614.6 614.9
0.3 3.60 3.41 0.36 19.0 2.64 0.10 0.98
KM-20-09 632.8 638.9 575 6.1 8.23 7.80 4.18 41.7 0.12 0.82 8.02
including 633.6 637.9
4.4 9.81 9.29 5.46 33.1 0.15 0.50 9.06
and 636.9 637.9
1.1 16.92 16.03 9.77 68.0 0.17 0.78 14.65
KM-20-10 563.6 568.5 490 4.9 6.24 5.92 2.16 24.9 2.39 0.31 3.27
including 563.6 566.6
3.0 7.78 7.38 2.42 28.2 3.66 0.32 3.16
and 567.2 568.5
1.2 5.33 5.05 2.52 28.4 0.33 0.43 5.10
KM-20-10 574.2 574.9 498 0.6 10.09 9.56 4.33 113.0 0.12 0.16 11.30
KM-20-10 577.7 579.3 500 1.6 3.09 2.93 0.70 45.9 0.03 0.68 4.38
KM-20-10 582.3 583.1 502 0.8 2.42 2.29 0.42 51.0 0.03 1.07 2.90
KM-20-10A 521.2 522.5 437 1.3 7.07 6.70 1.27 51.1 2.13 0.91 7.46
KM-20-10A 527.9 538.6 442 10.7 4.40 4.17 1.66 27.2 1.32 0.30 2.58
including 527.9 529.4
1.5 8.59 8.14 0.92 30.2 6.69 0.07 1.62
and 532.2 535.3
3.1 4.17 3.95 1.75 34.3 0.72 0.42 2.99
and 537.2 538.6
1.4 12.24 11.60 7.29 79.2 0.16 0.60 9.06
KM-20-10B 503.0 530.7 423 27.6 2.87 2.72 0.97 21.3 0.87 0.32 1.76
including 503.0 509.6
6.6 4.79 4.54 1.55 29.8 1.78 0.37 2.55
and 513.9 518.3
4.4 5.29 5.01 1.89 47.4 1.08 0.68 4.05
and 527.2 530.7
3.5 6.68 6.33 2.32 52.9 1.91 0.99 3.93
KM-20-10C 523.9 530.7 422 6.8 7.65 7.25 3.32 102.0 0.58 1.15 5.84
including 523.9 528.2
4.3 10.60 10.05 4.89 125.2 0.88 1.45 7.61
including 525.6 526.4
0.8 29.15 27.62 16.65 214.0 0.52 2.76 21.40
KM-20-13 443.6 486.8 341 43.1 3.94 3.73 1.26 23.3 1.68 0.24 1.67
including 444.4 459.6
15.24 6.7 6.36 1.80 38.47 3.4 0.39 2.36
including 444.4 447.1
2.7 10.14 9.61 3.74 55.0 1.02 1.88 10.64
including 451.4 455.8
4.4 10.34 9.80 1.18 65.3 8.41 0.02 0.16
(1) True widths of the reported mineral intervals have not been determined; additional drilling is required
(2) Assumptions used in USD for the gold equivalent calculations were metal prices of $2.28/lb Copper, $1650/oz Gold, $15/oz Silver, $0.86/lb
Zinc, $0.77/lb Pb and recovery is assumed to be 100% as no metallurgical test data is available. The following equation was used to calculate
gold equivalence: AuEq = Gold (g/t) + (Copper (%) x 94.72) + (Silver (g/t) x 0.009) + (Zinc (%) x 35.73) +(Lead (%) x 31.99).
(3) Assumptions used in USD for the copper equivalent calculations were metal prices of $2.28/lb Copper, $1650/oz Gold, $16/oz Silver,
$0.86/lb Zinc, $0.77/lb Pb and recovery is assumed to be 100% as no metallurgical test data is available. The following equation was used to
calculate copper equivalence fo: CuEq = Copper (%) + (Gold (g/t) x 1.06) + (Silver (g/t) x 0.0096) + (Zinc (%) x 0.3772) +(Lead (%) x 0.3377).
Sugarloaf Peak Project Update
On July 6th, 2020, Arizona Metals commenced a Phase 1 drill program at its Sugarloaf Peak
Project in La Paz County, Arizona. Drill core from this program 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.
The Phase 1 program, comprised of four drill holes, has been completed. The program was
originally planned to total 1,300 m but was increased to 1,700 m. Two cored drill holes were
extended to depths of approximately 550 m each to test a large geophysical target 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 by previous operators. The holes are
currently being logged and will be submitted to the lab for assay during the month of August.
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.
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).
1The 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 Au, Ag, Cu, and Zn were determined by ore-
grade analyses Au-GRA21, 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- 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.
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ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE
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Contacts
Marc Pais
President and CEO Arizona Metals Corp.
(416) 565-7689
www.arizonametalscorp.com
https://twitter.com/ArizonaCorp