Arizona Metals up on Kay Mine drilling results
Arizona Metals Corp. [AMC-TSXV] on Monday announced impressive results from drilling at the 100%-owned Kay Mine Volcanogenic Massive Sulphide (VMS) copper-gold project in Arizona.
Results released Monday are from four additional holes, which targeted the recently discovered gold-rich zone of open-ended mineralization at the Kay Mine, in an area previously untested by historic drilling or exploration.
Branch hole 27B intersected 97 metres at a grade of 1.3% copper, 1.6 g/t gold, 3.2% zinc and 32 g/t silver, including higher-grade intervals of 15 metres, grading 5.0% copper, 0.4 g/t gold, 0.4% zinc and 19 g/t silver, as well as 21 metres grading 4.6 g/t gold, 9.0% zinc, 0.9% copper and 82 g/t silver.
This hole is the deepest drilled to date by Arizona Metals and extends the new gold-zinc discovery zone by 20% to a depth of 750 metres.
These newly defined, wide, high-grade intervals demonstrate the potential to add a significant tonnage of gold-zinc mineralization outside the historic resource, the company said in press release, Monday.
The announcement comes after Arizona Metals recently announced plans to triple the planned drilling in the Kay Mine Phase 2 expansion drilling program to 75,000 metres, allowing the company to accelerate testing of numerous targets on strike and to the west of the Kay Mine.
“The four drill holes released today validate and extend the new gold-rich zinc zone discovery, with brand new intervals of mineralization in the discovery zone ranging from 54 metres to 103 metres, and true widths estimated at an average of 80%,” said Arizona Metals CEO Marc Pais.
Arizona Metals shares advanced on the news, rising 3.3% or 15 cents to $4.74 on volume of 101,580. The shares are currently trading in a 52-week range of $5.55 and 55 cents.
Arizona Metals is a well funded exploration company with 100% ownership in two projects in Arizona.
The Kay Mine is Arizona Metals’ flagship asset. It is located in an area where mining activity dates back before 1900. Previous operators include Exxon Minerals which held the property from 1972-74.
As reported by Exxon Minerals in 1982, the property contains a historic resource of 5.8 million tons, grading 2.8 g/t gold, 2.2% copper, 3.03% zinc, 55 g/t silver. The bulk of the historic estimate defined by Exxon lies at a depth of 150 metres to 450 metres.
Arizona’s Sugarloaf Peak Gold project is a near-surface open pit target located on 4,400 acres of BLM claims in La Paz County, Arizona, about 8.0 kilometres from the town of Quartzsite. It contains a historic resource of 1.5 million ounces grading 0.5 g/t gold to a depth of 70 metres
The historic estimates for the Kay Mine and Sugarloaf Peak Projects predate and are unclassified and not compliant with NI 43-101 guidelines. Significant data compilation, re-drilling, re-sampling and data verification by a qualified person may be required in order to bring those estimates into line with current NI 43-101 standards of disclosure so that the estimates can be classified as a bonafide resource.