Kerr Mines Inc. [KER-TSX; KERMF-OTCQB; 7AZ1-FRA] said Wednesday it has changed its name to Arizona Gold Corp. [AZG-TSX, OTCQB-KERMF], a move that more accurately reflects the company’s focus on the restart of production at its 100%-owned Copperstone gold project in Arizona.
The company’s shares will begin trading on the TSX under the new ticker symbol (AZG) on December 29, 2020.
“The company believes the new name provides a fresh perspective as we now enter the next and most exciting value add phase at Copperstone,” said Arizona CEO Giulio Bonifacio. “We recently concluded a project funding transaction that will allow Arizona Gold to move forward with detailed engineering and the restart of production.”
Kerr shares were unchanged at 12 cents and trade in a 52-week range of 18 cents and $0.095, leaving the company with a market cap of 41.5 million, based on the 346 million shares outstanding.
The Copperstone Mine produced nearly 500,000 ounces of gold between 1987 and 1993 from an open pit operation. Significant remaining infrastructure from that period includes offices, maintenance shops laboratory building, permitted tailings facility, processing facility and mill.
The mine is located in La Paz County, Western Arizona, within the Walker Lane mineral belt. The property is accessible from Phoenix on Interstate 10 to Quartzsite and from Quartzsite on Route 95.
Kerr announced results of an independent NI 43-101 pre-feasibility study and resource update. Highlights include average annual sales of 38,347 oz gold, initial capital of $22.7 million, and all-in sustaining cost of US$875/gold ounce. The project hosts 175,093 oz of contained gold in the proven and probable.
The company recently launched a 10,000-metre resource expansion drilling program, the second phase of resource expansion drilling following a successful 5,000-metre phase one program.
The company said drilling will continue to focus on resource expansion by way of underground core drilling in the D and C zones, and surface RC drilling in the B, A and Footwall zones.
Kerr has completed over 6,000 metres of drilling (29 holes) in the current program with assays pending and expects to release an updated resource estimate in Q2 2021.
Kerr Mines expects to begin trading under its new name on the OTCQB about the same time that the new ticker symbol becomes active on the TSX and under a new ticker symbol (on OTCQB) by early January 2021.