AXO Metals Intercepts 23.6 Metres of 2.13 G/T from Surface at the San Antonio Project
NEWS RELEASE
AXO METALS INTERCEPTS 23.6 METRES OF 2.13 G/T FROM SURFACE AT THE
SAN ANTONIO PROJECT
HALIFAX, NOVA SCOTIA – May 26, 2026 – Axo Metals Corp. (TSXV:AXO) ("Axo", “Axo
Metals” or the “ Company”) is pleased to announce the first batch of assayed drillholes
from its recently acquired, San Antonio project in Sonora, Mexico. Axo is also providing
an exploration update at the project’s El Tigre target, with drilling underway imminently .
The company has also announced that it has engaged P&E Mining Consultants, who are
preparing a Preliminary Economic Assessment for San Antonio.
“Following our recent acquisition of San Antonio and the subsequent financing, we were
excited to get underway with our drilling an d exploration plans for the project ” says
Jonathan Egilo, President & CEO. “Initial results at the Sapuchi deposit have proven very
encouraging, highlighted by strong grades being seen directly from surface. We are also
excited to be testing prospective areas beyond the resource boundary, following up on
excellent work by our field team that has been generating targets.”
San Antonio Drill Results
The company is reporting the results of the first 21 holes, or approximately 3,000 metres
of drilling, with all drilling to date concentrated in and around the Sapuchi deposit. Axo is
considering Sapuchi as a potential starter-pit due to its high-grade oxide resources, and
favourable topography. Oxide resources at Sapuchi within the 2021 resource block model
stood at 53koz Au grading 0.85 g/t Au in the Indicated category, and 75koz Au grading
0.74 g/t Au in the Inferred category. Total resources at San Antonio stand at 576koz Au
grading 1.20 g/t Au and in the Indicated category, with 544koz Au grading 1.02 g/t Au in
the Inferred category across all deposit types (oxide, transition and sulphide).
The goal of the Sapuchi drill program, where the Company plans to complete 25,000
metres, is to upgrade resource confidence, infill gaps within the block model designated
as waste, and test the periphery of the deposit.
Highlights from the results include:
• Hole SOSAP-26-020 which reported the first 23.6 metres drilled directly from
surface grading 2.13g/t Au of oxide material, in addition to 7.5 metres grading
1.45g/t from 35 metres down the hole, and 3.8 metres at 1.24g/t Au from 64 metres
down the hole.
• Hole SOSAP-26-021 which assayed 1.31g/t Au over 27.1 metres from 29 metres
down the hole.
• Hole SOSAP-26-018 which assayed 1.33g/t Au over 26.8 metres from 82
metres down the hole.
FIGURE 1: NEW DRILLHOLE LOCATIONS ACROSS THE SAPUCHI DEPOSIT
Figure 2 below is a cross section through the Sapuchi deposit . The section highlights
examples of early success of the drill campaign thus far , as Axo is testing under -drilled
sections of the deposit to see if blocks previously modelled as waste within the pit can be
converted into ore. Hole SOSAP-026-15 intercepted 18.4 metres of 0.61g/t Au from only
36 metres down the hole, while SOSAP-026-013 intercepted 27.9 metres of 0.43 g/t Au
from 31 metres down the hole (with a higher-grade interval of 7.1 metres at 0.82g/t Au).
Both intervals were above cut -off grade and are in -pit, within what was previously
modelled as waste in the 2021 MRE block model. The SOSAP-026-013 intercept was
approximately 100 metes north from the nearest modeled ore domain within the 2021
Resource.
FIGURE 2: CROSS SECTION OF HOLES 26-015 AND 26-013 INTERCEPTING
MINERALIZATION THROUGH WASTE WITHIN THE 2021 MRE RESOUCE PIT
El Tigre Zone Channel Sampling and Drill Program Startup
In the time since Axo acquired the San Antonio project , the company has undergone a
target generation campaign at the El Tigre target, a footprint measuring approximately
1,500 metres long by 500 metres wide, which ha s seen numerous historical high-grade
grab samples. Work has included a detailed structural mapping campaign, followed by
channel sampling. The company’s exploration field work has been able to benefit from an
on-site laboratory which was originally installed when San Antonio was in production. This
has allowed for target generation work including grab samples and channel samples to
be processed on site, while any drilling will continue to be assayed by a third-party lab.
Recent prospecting channel results have been encouraging, including results from three
separate channels that have returned 1.11g/t Au over 68.6 metres (including 4.00g/t
Au over 12.2 metres) , 0.82g/t Au over 46.8 metres (including 5.76g/t Au over 4.9
metres), and 6.24g/t Au over 5.4 metres. Drilling at the El Tigre zone has been slated
to start up imminently. The resource expansion drill program at San Antonio, has been
budgeted for 5,000 metres, and the company is well financed to expand the scale of this
program pending success.
The Figure 3 below shows the location of the El Tigre target west of G olfo de Oro
resource, overlain with historical chip samples and Axo’s recent channel results.
FIGURE 3: LOCATION OF CHANNEL RESULTS AND EL TIGRE ZONE
Initiated Preliminary Economic Assessment
Axo has engaged P&E Mining Consultants to complete a Preliminary Economic
Assessment (PEA) for the San Antonio project. The study is already underway. P&E will
also be completing a new resource estimate for the PEA, relying on the same drilling
databased used in the Micon 2021 pit-constrained resource estimate, while updating the
metals price used. The 202 1 resource used a US$1,750/oz gold price assumption. The
PEA is expected to be complete by late-Q3 2026.
Table 1: San Antonio Assay Results
Hole ID Comment1 From To Length Au Grade
m m m gpt
SOSAP-26-001 NSV - - - -
SOSAP-26-002 NSV - - - -
SOSAP-26-003 Sulphide 78.9 91.2 12.3 1.16
incl 78.9 90.2 11.3 1.25
incl 82.45 90.2 7.75 1.63
and Sulphide 155.2 167.75 12.55 0.74
SOSAP-26-004 Transition/Sulphide 15.05 30.1 15.05 0.39
incl 15.05 21 5.95 0.65
SOSAP-26-005 NSV - - - -
SOSAP-26-006 Transition/Sulphide 49.9 58.9 9.0 0.54
SOSAP-26-007 Transition/Sulphide 70.1 88.2 18.1 0.65
incl 70.91 85.2 14.29 0.78
incl 70.91 79.9 8.99 0.99
and Sulphide 124.6 132.7 8.1 0.38
SOSAP-26-008 Oxide 0 8.05 8.05 1.57
SOSAP-26-009 Transition/Sulphide 15.9 25.7 9.8 0.50
SOSAP-26-010 Oxide/Transition/Sulphide 51 99.5 47.6 0.61
incl 51.9 78.4 26.5 0.94
incl 64.7 75.85 11.15 1.31
SOSAP-26-011 Sulphide 146.1 147 0.9 13.15
SOSAP-26-012 Sulphide 76 87.95 11.95 0.96
incl 77.25 85 7.75 1.25
SOSAP-26-013 Transition/Sulphide 31.3 59.2 27.9 0.43
incl 31.3 41.35 10.05 0.73
incl 37.15 44.2 7.05 0.82
and Sulphide 55.2 59.2 4.0 0.59
SOSAP-26-014 Sulphide 114 130.5 16.5 0.33
incl 125.36 130.5 5.14 0.75
SOSAP-26-015 Transition 36.5 54.9 18.4 0.61
incl 48.4 54.9 6.5 1.03
SOSAP-26-016 Oxide/Transition 0 33.55 33.55 0.40
incl 22.65 32.65 10.0 0.62
incl 28.45 32.65 4.2 0.93
SOSAP-26-017 NSV - - - -
SOSAP-26-018 Sulphide 82.42 109.2 26.78 1.33
incl 82.42 106 23.58 1.48
incl 82.42 101.72 19.3 1.66
SOSAP-26-019 Oxide/Transition 12 34.5 22.5 0.26
incl 25.8 31.5 5.7 0.56
and Transition 45.25 53 7.75 0.89
SOSAP-26-020 Oxide 0 23.6 23.6 2.13
and Oxide 35.1 42.6 7.5 1.45
and Transition 64 67.8 3.8 1.24
SOSAP-26-021 Oxide/Transition 28.7 55.75 27.05 1.31
incl 30.4 42.85 12.45 1.71
1NSV=No significant values
Table 2: San Antonio Drillhole Coordinates
Hole ID
EASTING NORTHING ELEV DEPTH AZ DIP
m m m m ° °
SOSAP-26-001 631834 3168084 606 152 0 -90
SOSAP-26-002 631810 3168083 606 135 0 -90
SOSAP-26-003 632026 3168040 646 201 0 -90
SOSAP-26-004 631795 3168056 619 120 0 -90
SOSAP-26-005 631720 3168103 633 153 0 -90
SOSAP-26-006 632016 3168062 638 170 0 -90
SOSAP-26-007 631987 3167881 674 135 0 -90
SOSAP-26-008 631807 3168031 628 152 0 -90
SOSAP-26-009 631765 3168052 630 123 0 -90
SOSAP-26-010 631924 3167901 682 190 0 -90
SOSAP-26-011 631974 3168075 614 171 0 -90
SOSAP-26-012 631980 3167836 640 126 0 -90
SOSAP-26-013 631939 3168074 617 153 0 -90
SOSAP-26-014 631923 3167843 638 140 0 -90
SOSAP-26-015 631926 3168010 658 137 0 -90
SOSAP-26-016 631840 3167862 642 138 0 -90
SOSAP-26-017 631873 3168009 657 150 0 -90
SOSAP-26-018 632042 3168011 662 109 0 -90
SOSAP-26-019 631873 3167856 634 132 0 -90
SOSAP-26-020 631835 3167990 655 210 0 -90
SOSAP-26-021 631829 3167882 657 81 0 -90
About Axo Metals
Axo Metals Corp. is a Canadian mineral exploration company engaged in the exploration
and development in Mexico. The company holds two projects . The San Antonio project
is located in the state of Sonora, and is in advanced development. Total resources at San
Antonio stand at 576koz Au and 1.37moz Ag grading 1.20 g/t Au and 2.9g/t Ag in the
Indicated category, with 544koz Au and 1.76moz Ag grading 1.02 g/t Au and 3.3g/t Ag in
the Inferred category across all deposit types (oxide, transiti on and sulphide). Axo’s
second project is the La Huerta property, a new copper discovery in Jalisco, Mexico. Initial
exploration has yielded high -grade copper both at surface through sampling programs,
and at depth through initial drilling. The Company is focused on continuing to define near-
surface mineralization along the La Huerta Trend, expanding mineralization at depth, and
targeting new discoveries in an underexplored district.
Additional information can be found at the Company's website: www.axometals.com.
Procedure, Quality Assurance / Quality Control and Data Verification
The diamond drill core (HQ size) is geologically logged, photographed and marked for
sampling. When the sample lengths are determined, the full drill core is sawn with a
diamond blade drill core saw with one half of the drill core being bagged and tagged for
assay. The remaining half portion is returned to the drill core trays for storage and/or for
metallurgical test work.
The sealed and tagged drill core sample bags are transported to the ALS Chemex facility
in Querétaro and Zacatecas, Mexico. ALS Chemex crushes the samples and prepares
200-300 gram pulp samples with ninety percent passing Tyler 150 mesh (106 μm).
Copper and multi-element analysis is completed using total digestion (Code ME -ICP61
Total Digestion ICP). Over limits greater than 10,000 grams per tonne copper are assayed
using Cu-OG62.
Quality assurance and quality control ("QA/QC") procedures monitor the chain-of-custody
of the samples and includes the systematic insertion and monitoring of appropriate
reference materials (certified reference materials, blanks and duplicates) into the sample
strings. The results of the assaying of the QA/QC material included in each batch are
tracked to ensure the integrity of the assay data. All results stated in this announcement
have passed AXO’s QA/QC protocols.
Qualified Person
Charles Spath, P. Geo., is the Qualified Person for Axo Metals Corp., as defined under
National Instrument 43 -101, and is non -independent. Mr. Spath has reviewed and
approved the scientific and technical information in this press release.
For inquiries, please contact:
Jonathan Egilo, President and CEO
Via email: [email protected]
Forward looking information:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of
the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release includes certain “forward-looking statements”. All statements other than statements of
historical fact included in this release, including, without limitation, statements regarding the Offering, the
Company’s plans in respect of the La Hu erta property and receipt of all necessary regulatory approvals,
are forward-looking statements that involve various risks and uncertainties. Forward -looking statements
are frequently characterized by words such as “will”, “propose”, “may”, “is expected to ”, “subject to”,
“anticipates”, “estimates”, “intends”, “plans”, “projection”, “could”, “vision”, “goals”, “objective”,
“focus” and “outlook” and other similar words. Forward-looking information in this news release is based
on the opinions and assumptions of management considered reasonable as of the date hereof, including,
but not limited to, general business and economic conditions will not change in a materially adverse
manner; the potential of high grade copper mineralization at the Company’s properties; the results (if any)
of further exploration work to define and expand mineral resources; the ability of exploration work
(including drilling) to accurately predict mineralization; and the ability to generate additional drill targets.
Although the Company believes the expectations expressed in such forward -looking statements are based
on reasonable assumptions, there can be no assurance that such statements will prove to be accurate and
actual results and future events could differ materially from those anticipated in such statements. Important
factors that could cause actual results to differ materially from the Company’s expectations include
environmental risks, limitations on insurance coverage, risks and uncertainties related to exploration,
development, operations, commodity prices and global financial volatility including as a result of tariffs,
risk and uncertainties of operating in a foreign jurisdiction as well as additional risks described from time
to time in the filings made by the Company with securities regulators. The Company disclaims any intention
or obligation to update or revise any forward -looking information, other than as required by applicable
securities laws.
Cautionary statement: by their nature, surface or chip samples are selective samples and may not represent
true underlying mineralization