VANCOUVER, BC--(Marketwired - January 19, 2017) - Arizona Mining Inc. (AZ.TO) ("Arizona Mining" or the "Company") announces the results of seven (7) exploration drill holes from its current program on the Taylor zinc-lead-silver sulfide deposit located on its 100%-owned Hermosa Project in Santa Cruz County, Arizona. This brings the total number of drill holes reported in the 2016-2017 program to fifty-three (53).
HDS-397 is a near vertical hole (-88 degrees) drilled to infill an area in the northwest of the previously reported resource area. HDS-397 intersected two (2) mineralized veins in the volcanics and eight (8) distinct mineralized CRD horizons with a total cumulative mineralized thickness of 453.5 feet. Several mineralized zones were intersected in the drill hole including:
- 62 feet assaying 6.5% zinc, 15.1% lead and 9.4 ounces per ton ("opt") silver
- Including a 16 foot zone which assayed 10.7% zinc, 42.9% lead and 29.6 opt silver
- 222 feet assaying 5.9% zinc, 4.9% lead and 1.4 opt. silver
- Including a 107 foot zone which assayed 9.8% zinc, 8.0% lead and 2.3 opt silver
HDS-398 is a vertical drill hole located on the northeast margin of the previously reported mineral resource. The drill hole encountered ten (10) distinct CRD mineralized horizons with a cumulative thickness of 222.5 feet. Most notable among the mineralized horizons includes:
- 38.5 feet assaying 9.2% zinc, 5.4% lead and 3.9 opt. silver
- 51 feet assaying 8.9% zinc, 9.3% lead and 4.5 opt. silver
- Including a 17.5 foot zone which assayed 19.7% zinc, 22.4% lead and 11.4 opt silver
- 50 feet assaying 2.4% zinc, 5.5% lead and 2.0 opt. silver
- Including a 23.5 foot zone which assayed 4.4% zinc, 9.81% lead and 3.6 opt silver
HDS-400 is a vertical infill drill hole that intersected eight (8) CRD horizons with a cumulative thickness of 144.5 feet. The best interval in the drill hole was:
- 40.5 feet assaying 3.8% zinc, 4.2% lead and 1.7 opt silver
- Including a 9.5 foot zone which assayed 10.8% zinc, 11.3% lead and 5.4 opt silver
For a full list of the vein and CRD mineralized intervals from these holes and the remaining 4 holes (HDS-384, HDS-388, HDS-390 and HDS-392) please refer to Table I below.
CEO Jim Gowans commented: "The latest drill results indicate good continuity with respect to thickness and grade within the resource area and exploration drilling continues to provide good potential for expansion of the resource."
Table I. ASSAY SUMMARIES FOR HDS-384, HDS-388, HDS-390, HDS-392, HDS-397, HDS-398 & HDS-400
|DH_ID||From (feet)||To (feet)||Interval (in feet)||From (meters)||To (meters)||Interval (meters)||Ag opt||Pb%||Zn%||Cu%||Ore Zone|
Drill intersections with a combined zinc and lead grade of greater than 9% are bolded. CRD drill intervals are down-the-hole drill widths but are considered to be within +/- 5% of true width based on the dip of the ore body at 22 degrees. The exception to this are the intervals noted as veins. It is not possible to determine the true width of the veins based on the drill density and no representation is made here regarding true width of the veins.
Also, Arizona Mining would like to clarify certain statements made in its January 12, 2017 news release regarding the potential sale of concentrates from the Taylor Deposit, specifically comments made by Orion Mining Finance and Ocean Partners, USA Inc. The Company would like to remind the reader that the Company has not yet completed a preliminary economic assessment ("PEA"), or a mining study such as a preliminary feasibility study or feasibility study that supports the technical feasibility or economic viability of the Taylor Deposit including the marketability of the concentrate from the Taylor Deposit.
While the Company is currently working on a PEA expected to be completed by the end of the first quarter 2017, and further metallurgical test work on its potential concentrates, the reader is cautioned that a PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have any economic considerations applied to them that would enable them to be categorized as mineral reserves. In addition, there is no certainty that the preliminary economic assessment will be realized.
The results of the Arizona Mining Inc. drilling have been reviewed, verified and compiled by Donald R. Taylor, MSc., PG, Chief Operating Officer for Arizona Mining Inc., a qualified person as defined by National Instrument 43-101 (NI 43-101). Mr. Taylor has more than 25 years of mineral exploration and mining experience, and is a Registered Professional Geologist through the SME (registered member #4029597).
Assays and Quality Assurance/Quality Control
To ensure reliable sample results, the Company has a rigorous QA/QC program in place that monitors the chain-of-custody of samples and includes the insertion of blanks, duplicates, and certified reference standards at statistically derived intervals within each batch of samples. Core is photographed and split in half with one-half retained in a secured facility for verification purposes.
Sample preparation (crushing and pulverizing) has been performed at ALS Minerals Laboratories, an ISO/IEC accredited lab located in Tucson, Arizona. ALS Minerals Laboratories prepares a pulp of all samples and sends the pulps to their analytical laboratory in Vancouver, B.C. Canada for analysis. ALS analyzes the pulp sample by ICP following a 4-acid digestion (ME-ICP61 for 33 elements) including Cu (copper), Pb (lead), and Zn (zinc). All samples in which Cu (copper), Pb (lead), or Zn (zinc) are greater than 10,000 ppm are rerun using four acid digestion with an ICP - AES finish (Cu-OG62; Pb-OG62; and Zn-OG62) with the elements reported in percentage (%). Silver values are determined by ICP (ME-ICP61) with all samples with silver values greater than 100 ppm repeated using four acid digestion with an ICP-AES finish (Ag-OG62) calibrated for higher levels of silver contained. Any values over 1,500 ppm Ag trigger a fire assay with gravimetric finish analysis. Gold values are determined by a 30 gm fire assay with an ICP-AES finish (Au-ICP21).
About Arizona Mining
Arizona Mining Inc. is a Canadian mineral exploration and development company focused on the exploration and development of its 100%-owned Hermosa Project located in Santa Cruz County, Arizona. The Taylor Deposit, a zinc-lead-silver carbonate replacement deposit, has a resource of 31.1 million tons in the Indicated Mineral Resource category grading 10.9% zinc equivalent ("ZnEq") and 82.7 million tons in the Inferred Mineral Resource category grading 11.1% ZnEq both utilizing a 4% ZnEq cutoff grade calculated in accordance with NI 43-101 guidelines (refer to the Company's news release dated October 31, 2016). The Taylor Deposit remains open to the north, west and south over land controlled by the Company and will be aggressively drilled to test the limits of the resource. The Company's other project on the Hermosa property is the Central Deposit, a silver-manganese manto oxide project.
Cautionary Note Regarding Forward-Looking Information
Certain information contained in this press release constitutes forward-looking statements. All statements, other than statements of historical facts, are forward looking statements including statements with respect to the Company's intentions for its Hermosa Project in Arizona, including, without limitation, performing additional drilling and metallurgical testwork on the Taylor Deposit. Forward-looking statements are often, but not always, identified by the use of words such as may, will, seek, anticipate, believe, plan, estimate, budget, schedule, forecast, project, expect, intend, or similar expressions.
The forward-looking statements are based on a number of assumptions which, while considered reasonable by Arizona Mining, are subject to risks and uncertainties. In addition to the assumptions herein, these assumptions include the assumptions described in Arizona Mining's management's discussion and analysis for the year ended December 31, 2015 ("MD&A"). Arizona Mining cautions readers that forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements to differ materially from those expressed in or implied by such forward-looking statements and forward-looking statements are not guarantees of future results, performance or achievement. These risks, uncertainties and factors include general business, economic, competitive, political, regulatory and social uncertainties; actual results of exploration activities and economic evaluations; fluctuations in currency exchange rates; changes in project parameters; changes in costs, including labour, infrastructure, operating and production costs; future prices of zinc, lead, silver and other minerals; variations of mineral grade or recovery rates; operating or technical difficulties in connection with exploration, development or mining activities, including the failure of plant, equipment or processes to operate as anticipated; delays in completion of exploration, development or construction activities; changes in government legislation and regulation; the ability to maintain and renew existing licenses and permits or obtain required licenses and permits in a timely manner; the ability to obtain financing on acceptable terms in a timely manner; contests over title to properties; employee relations and shortages of skilled personnel and contractors; the speculative nature of, and the risks involved in, the exploration, development and mining business; and the factors discussed in the section entitled "Risks and Uncertainties" in the MD&A.
Although Arizona Mining has attempted to identify important risks, uncertainties and other factors that could cause actual performance, achievements, actions, events, results or conditions to differ materially from those expressed in or implied by the forward-looking information, there may be other risks, uncertainties and other factors that cause performance, achievements, actions, events, results or conditions to differ from those anticipated, estimated or intended. Unless otherwise indicated, forward-looking statements contained herein are as of the date hereof and Arizona Mining disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable law.