Parks/Silver Deposit First Phase FS Drill Program

CASA GRANDE, AZ – Arizona Sonoran Copper Company Inc. announced the advancement of an updated Mineral Resource model on the Parks/Salyer deposit, reflecting partial results from the completed first phase of the planned Feasibility Study infill drilling program (FS Drill Program). The target of the updated model is to define Proven Mineral Reserves within the Pre-feasibility Study starter pit representing the first 2-2.5 years of planned copper cathode production. Based on returned drill assays and initial modelling to date, the Company expects modelling results to be consistent with those reflected in the Project’s currently defined Mineral Resource and Mineral Reserve estimates in the same southern zone of Parks/Salyer. The Mineral Resource model will be further updated with additional infill drill holes at Parks/Salyer following condemnation drilling planned for Q1 2026.
George Ogilvie, President and CEO, said, “The initial update to our internal model is demonstrating a high Mineral Resource conversion rate at the Cactus Project with the tighter space drilling, providing a basis for the targeted declaration of Proven Mineral Reserves within the Parks/Salyer starter pit to be defined in the upcoming Feasibility Study. As a result, we anticipate a further derisking of the Project for potential project financiers in our continuing debt project financing process. Parks/Salyer grades in the starter pit are expected to remain consistent, at approximately 0.3% Total Copper (CuT), before an anticipated increase to 0.51% Total Copper in year three of the mine plan and an eventual estimated high of 1.03% Total Copper in year 12 in the deeper higher-grade zones. Following the completion of the FS Drill Program and an updated Mineral Resource model for the pending Feasibility Study, we are eager to have the geology team transition to preparations for operational readiness later this year.”
The FS Drill Program is comprised of approximately 92,000 ft (28,000 m) over the southern Parks/Salyer “starter pit” zone, at 125 ft (38 m) drill spacing. With tighter drill spacing, drilling is expected to upgrade the starter pit mineralized zone to the Measured Mineral Resource category based on the mine plan phases as outlined in the Pre‑feasibility Study. As such, drill holes terminate at predetermined depths to only target mineralization within the first two pit phases of the mine plan as contemplated in the Pre-feasibility Study. Mineralized zones within which holes were terminated are planned for infill drilling at a later date from within the pit, in line with the eventual mine plan schedule defined by the Feasibility Study.
Drill assay results have been received from approximately 62% of the FS Drill Program completed to date, with results consistent with expectations. Overall, approximately 70% of the FS Drill Program has been completed, with the focus now on condemnation drilling. The remainder of the FS Drill Program is planned to re-start upon completion of the condemnation drilling and will further support an updated Mineral Resource model, in addition to future production geology planning, for the pending Feasibility Study. Following the recommendations from the Prefeasibility Study, geotechnical and hydrogeological drilling for the Feasibility Study have also been initiated and are advancing as per schedule.