What's Happening?
Arizona Sonoran Copper Company Inc. has announced progress in its Feasibility Study (FS) Drill Program at the Parks/Salyer deposit. The company is updating its Mineral Resource model to define Proven Mineral Reserves within the Pre-feasibility Study starter pit, which is expected to cover the first 2-2.5 years of planned copper cathode production. The updated model is based on partial results from the completed first phase of the FS Drill Program. The company anticipates that the results will align with the current Mineral Resource and Mineral Reserve estimates for the southern zone of Parks/Salyer. The FS Drill Program involves approximately 92,000 feet of drilling over the southern Parks/Salyer 'starter pit' zone, with tighter drill spacing
aimed at upgrading the mineralized zone to the Measured Mineral Resource category. The program is about 70% complete, with the focus now shifting to condemnation drilling. The company plans to restart the FS Drill Program after completing the condemnation drilling, which will support an updated Mineral Resource model for the pending Feasibility Study.
Why It's Important?
The advancement of the FS Drill Program is crucial for Arizona Sonoran Copper Company as it aims to derisk the Cactus Project for potential financiers. By defining Proven Mineral Reserves, the company can provide a more secure investment opportunity, potentially attracting project financing. The Parks/Salyer starter pit is expected to maintain consistent copper grades, with an increase anticipated in the third year of the mine plan. This progression is significant for the company’s goal of becoming a mid-tier copper producer with low operating costs. The successful completion of the FS Drill Program and the subsequent Feasibility Study could lead to robust economic returns and a sustainable operation, benefiting the community, investors, and stakeholders.
What's Next?
Following the completion of the FS Drill Program and the updated Mineral Resource model, Arizona Sonoran Copper Company plans to transition its geology team to operational readiness preparations later this year. The company is also advancing geotechnical and hydrogeological drilling for the Feasibility Study as per schedule. These steps are part of the company’s broader strategy to secure project financing and move towards a final investment decision for the Cactus Project. The outcome of these efforts will be closely watched by investors and stakeholders, as they could significantly impact the company’s future growth and development.
