Arizona Metals Corp announces that Kay Mine drilling up-dip of the Hinge Zone intersects 39.9 m of 3.4% CuEq (incl. 3.5 m of 11.6% CuEq and 3.5 m of 6.6% CuEq) and down-dip hits 38.4 m of 2.9% CuEq, (incl. 12.5 m of 6.0 % CuEq)
Arizona Metals Corp announces that Kay
Mine drilling up-dip of the Hinge Zone
intersects 39.9 m of 3.4% CuEq (incl. 3.5 m
of 11.6% CuEq and 3.5 m of 6.6% CuEq)
and down-dip hits 38.4 m of 2.9% CuEq,
(incl. 12.5 m of 6.0 % CuEq)
And Outlines Upcoming 11,000 m Phase 2 Drill Program at the Kay Mine
TORONTO--(BUSINESS WIRE)--September 24, 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, both up-dip and down-dip of the hinge zone intersection announced in August
2020, in which 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.
Hole KM-20-16 was drilled 50 m down-dip of hole KM-20-13, and intersected 38.4 m grading
2.9% CuEq, including 12.5 m at a grade of 6.0% CuEq, as well as 3.5 m of 10.2% CuEq and 3.0
m of 11.3% CuEq, from a depth of 385 m vertically below surface (Figure 1).
Hole KM-20-14 was drilled 50 m up-dip of hole KM-20-13 and intersected an interval of 39.9 m
at a grade of 3.4% CuEq, including 3.5 m grading 11.6% CuEq, as well as 3.5 m of 6.6% CuEq.
Branch hole KM-20-14A was drilled 40 m up-dip of hole KM-20-13, and 50 m north of trunk
hole KM-20-14. This hole intersected 22.5 m at a grade of 2.4% CuEq, including 4.1 m of 5.2%
CuEq and 0.8 m of 14.0% CuEq.
Hole KM-20-15 was drilled 50 m up-dip of hole KM-20-10C (which intersected 6.8 m of 7.3 g/t
AuEq) in a previously announced potential new gold-zinc rich lens. This hole intersected 3.3m of
11.3% ZnEq.
Marc Pais, CEO, commented “Holes KM-20-14 and KM-20-14A have successfully intersected
massive sulphide mineralization 50 m up-dip of the broad high-grade hinge zone identified in
hole KM-20-13. These two holes also demonstrate the potential to identify wide intervals of high-
grade mineralization in the hinge zone over at least 50 m of strike extent.
Hole KM-20-16 successfully intersected massive sulphide mineralization 50 m down-dip of the
high-grade hinge zone identified in Hole KM-20-13.
Hole KM-20-15 is located in an area of newly-defined gold-rich zinc mineralization, and was
drilled 30 m south of KM-20-10C (6.8m of 7.3g/t AuEq) in order to test the strike extension of the
potential gold-rich zinc lens. This hole intersected 3.3m of 11.3% ZnEq, located 50 m up-dip of
the previously identified gold-rich zinc mineralization, and also by 30 m into a previously
untested area to the south.
Last month we completed a downhole electromagnetic testing program, in order to better define
new targets for extension of the hinges. These geophysical results were used in conjunction with
today’s results to plan the Phase 2 drill program detailed below (Figure 4).
We believe there is excellent potential to expand the Kay Mine deposit, which currently covers a
strike length of only 320 m, on strike both to the north and south. Permitting is currently
underway for two drill pads to test 500 m of strike to the north, and another pad to test 300 m of
strike to the south. We are also permitting drill pads for the Central Target, located 500 m west
of Kay, and the Western Target, located 1,000 m west of Kay. Arizona Metals has completed
structural mapping, soil sampling, rock sampling, and a helicopter VTEM survey over these
targets, all of which show coincident anomalies (Figure 5). We are excited to start drilling these
targets later this year, as we believe both have the potential to host one or more deposits similar
to the Kay Mine.”
Kay Mine Phase 2 Drill Program to Commence Q4 2020
Permitting is currently underway to test the Kay Mine deposit on strike by 500m to the north as
well as 300m to the south. The Company is also planning to test the previously undrilled Central
and Western Targets later this year. The total Phase 2 drill program would consist of up to
11,000m in 29 core drill holes (Figure 4). Arizona Metals has completed structural mapping, soil
sampling, rock sampling, and a helicopter VTEM survey over these targets, all of which show
coincident anomalies (Figure 5).
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
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) 1
CuEq
(%) 2 Au g/t Ag g/t Cu % Pb % Zn %
KM-20-01 275.8 281.5 156 5.6 1.70 0.48 11.6 0.57 0.18 1.20
including 275.8 276.5 0.6 4.23 1.22 32.0 0.50 0.73 5.04
including 279.8 281.5 1.6 3.10 0.98 22.6 1.21 0.23 1.49
KM-20-02 297.8 300.8 172 3.0 1.01 0.20 1.4 0.77 0.01 0.04
KM-20-03 256.3 259.1 120 2.7 5.41 1.01 69.6 3.40 0.09 0.65
including 256.3 257.3 0.9 10.32 1.79 56.0 7.42 0.17 1.11
KM-20-03 292.2 292.6 152 0.5 2.72 0.19 2.0 2.43 0.04 0.15
KM-20-03 295.8 296.3 154 0.5 2.61 0.80 6.0 1.35 0.06 0.91
KM-20-03A 252.4 256.9 122 4.6 6.85 2.55 35.6 3.70 0.03 0.27
including 252.4 253.1
0.8 18.19 6.34 164.0 9.74 0.11 0.40
KM-20-05 266.6 269.0 150 2.4 9.19 1.94 43.3 6.47 0.14 0.57
including 266.6 267.8 1.2 13.89 2.21 50.0 10.60 0.26 1.05
KM-20-06 267.9 281.5 158 13.5 2.92 0.85 45.6 1.02 0.30 1.23
including 267.9 268.4 0.5 6.73 2.20 31.0 1.54 0.81 6.10
including 276.6 281.5 4.9 4.54 0.87 92.1 1.86 0.42 1.96
including 280.0 281.0 1.1 7.82 1.03 340.0 3.22 0.04 0.64
KM-20-11 554.1 556.9 490 2.7 9.23 2.83 70.0 4.14 0.28 3.56
KM-20-12 371.9 376.7 318 4.9 4.76 0.37 12.4 3.99 0.07 0.62
including 371.9 373.7 1.9 10.10 0.67 28.0 8.49 0.16 1.53
KM-20-12 379.5 405.4 326 25.9 0.87 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
KM-20-14: 39.9 m grading 3.4% CuEq, including 3.5 m grading 11.6% CuEq and 3.5 m
grading 6.6% CuEq, from a depth of 314 m
KM-20-14A: 22.5 m grading 2.4% CuEq, including 0.8m of 14.0% CuEq and 4.1 m of 5.2%
CuEq, from a depth of 312 m. This hole also intersected 4.4 m grading 5.1 % CuEq, incl. 1.7m
grading 10.4% CuEq, from a depth of 303 m
KM-20-15: 3.3 m grading 11.3% ZnEq, from a depth of 402 m
KM-20-16: 38.4 m grading 2.9% CuEq, including 12.5 m grading 6.0% CuEq
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) 1
CuEq
(%) 2
AuEq
(g/t) 3
ZnEq
(%) 4 Au g/t Ag g/t Cu % Pb % Zn %
KM-20-09
588.1 588.4 550 0.3 3.52 1.74 15.0 0.91 0.40 1.86
KM-20-09 613.4 614.1 568 0.7 3.15 1.81 10.0 0.90 0.08 1.04
KM-20-09 614.6 614.9 569 0.3 3.41 0.36 19.0 2.64 0.10 0.98
KM-20-09 632.8 638.9 578 6.1 7.80 4.18 41.7 0.12 0.82 8.02
including 633.6 637.9
4.4 9.29 5.46 33.1 0.15 0.50 9.06
including 636.9 637.9
1.1 16.03 9.77 68.0 0.17 0.78 14.65
KM-20-10 563.6 568.5 490 4.9 6.24 2.16 24.9 2.39 0.31 3.27
including 563.6 566.6
3.0 7.78 2.42 28.2 3.66 0.32 3.16
including 567.2 568.5 1.2 5.33 2. 52 28.4 0.33 0.43 5.10
KM-20-10 574.2 574.9 498 0.6 10.09 4.33 113.0 0.12 0.16 11.30
KM-20-10 577.7 579.3 500 1.6 3.09 0.70 45.9 0.03 0.68 4.38
KM-20-10 582.3 583.1 502 0.8 2.42 0.42 51.0 0.03 1.07 2.90
KM-20-10A 521.2 522.5 437 1.3 7.07 1.27 51.1 2.13 0.91 7.46
KM-20-10A 527.9 538.6 442 10.7 4.40 1.66 27.2 1.32 0.30 2.58
including 527.9 529.4 1.5 8.59 0. 92 30.2 6.69 0.07 1.62
including 532.2 535.3 3.1 4.17 1. 75 34.3 0.72 0.42 2.99
including 537.2 538.6 1.4 12. 24 7.29 79.2 0.16 0.60 9.06
KM-20-10B 503.0 530.7 423 27.6 2.87 0.97 21.3 0.87 0.32 1.76
including 503.0 509.6 6.6 4. 79 1.55 29.8 1.78 0.37 2.55
including 513.9 518.3 4.4 5. 29 1.89 47.4 1.08 0.68 4.05
including 527.2 530.7 3.5 6.68 2. 32 52.9 1.91 0.99 3.93
KM-20-10C 523.9 530.7 422 6.8 7.25 3.32 102.0 0.58 1.15 5.84
including 523.9 528.2 4.3 10.05 4. 89 125.2 0.88 1.45 7.61
including 525.6 526.4 0.8 27. 62 16.65 214.0 0.52 2.76 21.40
KM-20-13 443.6 486.8 341 43.1 3.94 1.26 23.3 1.68 0.24 1.67
including 444.4 459.6
15.2 6.71 1.80 38.5 3.42 0.39 2.36
including 444.4 447.1
2.7 10.14 3.74 55.0 1.02 1.88 10.64
including 451.4 455.8 4.4 10.34 1. 18 65.3 8.41 0.02 0.16
KM-20-14 421.7 461.6 314 39.9 3.40 1.00 18.4 1.47 0.19 1.67
including 426.3 429.8 3.5 11.58 1. 28 30.0 9.56 0.07 0.95
including 457.2 460.7 3.5 6. 61 2.58 26.3 0.36 0.38 8.33
KM-20-14A 404.6 409.0 303 4.4 5.07 1.48 79.2 1.67 0.41 2.50
including 404.6 406.4 1.7 10. 41 2.46 173.6 4.08 0.53 5.02
KM-20-14A 421.0 443.5 312 22.5 2.41 0.72 15.9 0.86 0.18 1.51
including 421.0 421.8 0.8 14.01 2. 91 45.0 9.81 0.19 1.69
including 421.0 425.0 4.1 5.17 1. 14 21.4 3.23 0.14 1.30
KM-20-15 506.8 510.1 402 3.3 11.25% 0.33 192.03 0.05 1.75 3.73
KM-20-16 480.4 518.8 385 38.4 2.87 0.81 24.3 0.85 0.25 2.24
including 480.4 492.9 12.5 5.95 1.98 49 1.63 0.50 4.23
including 480.4 483.4 3.0 11.29 4. 74 77.9 2.40 0.91 7.49
including 489.8 492.9 3.0 10.22 2. 59 100.7 3.61 0.92 6.90
(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 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 : CuEq = Copper (%) + (Gold (g/t) x
1.06) + (Silver (g/t) x 0.0096) + (Zinc (%) x 0.3772) +(Lead (%) x 0.3377).
(3) 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).
(4) 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 Zn equivalence: ZnEq = Zinc (%) + (Copper (%) x 2.65) +
(Silver (g/t) x 0.0003) + (Lead (%) x 1.12).
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 at the lab with assays pending.
Engagement of Equity Guru Media Inc.
Arizona Metals is also pleased to announce that it has engaged Equity Guru Media Inc. (the
“Contractor”) to provide media relations services pursuant to a contracting services agreement
(the “Services Agreement”). The Services Agreement is dated effective September 22, 2020 and
will be effective for a six-month term. Services provided by the Contractor will relate to ongoing
communications and promotional support for the Company’s relations with the professional
investment community. Pursuant to the Services Agreement, the Company will pay to the
Contractor a fee of $30,000 (plus applicable taxes) for a six-month term. The Contractor is an
arm's length party to the Company and, to the Company’s knowledge does not currently own any
securities of the Company as at the date hereof but may purchase securities in the Company from
time to time for investment purposes. The Services Agreement is subject to acceptance by the
TSX Venture Exchange.
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.