What's Happening?
Arizona Sonoran Copper Company Inc. has announced progress in its Feasibility Study (FS) drill program at the Parks/Salyer deposit, part of the Cactus Project in Arizona. 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 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 current Mineral Resource and Reserve estimates. 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 company has received drill assay results from about 62% of the FS drill program, with results meeting expectations.
Why It's Important?
The advancement of the FS drill program is crucial for Arizona Sonoran Copper Company as it seeks to de-risk the Cactus Project for potential financiers. By defining Proven Mineral Reserves, the company aims to secure project financing and move towards becoming a mid-tier copper producer. The Cactus Project is strategically significant due to its location on privately held land with existing infrastructure, which reduces operational risks. The project's success could lead to robust economic returns and sustainable operations, benefiting the local community, investors, and stakeholders. The updated Mineral Resource model and subsequent Feasibility Study are pivotal in attracting investment and ensuring the project's viability.
What's Next?
Following the completion of the FS drill program, Arizona Sonoran plans to update the Mineral Resource model further and prepare for operational readiness. The company will continue with condemnation drilling and plans to restart the FS drill program upon its completion. The updated model will support future production geology planning and the pending Feasibility Study. The company is also advancing geotechnical and hydrogeological drilling as per schedule. These steps are essential for finalizing the Feasibility Study and securing the necessary financing to advance the Cactus Project towards production.
