SOURCE: Arizona Mining Inc.

Arizona Mining Inc.

February 09, 2017 10:47 ET

Arizona Mining Discovers New Zone -- Taylor Deeps

VANCOUVER, BC--(Marketwired - February 09, 2017) - Arizona Mining Inc. (TSX: AZ) ("Arizona Mining" or the "Company") reports that it has identified a new mineralized sulfide zone at its Hermosa-Taylor zinc-lead-silver project in Arizona. The new zone, called Taylor Deeps, has been defined based on a reinterpretation of previous drill results in addition to results from two new holes, and lies below a low angle thrust fault that separates it from the current Taylor sulfide resource. Results to date indicate Taylor Deeps mineralization is continuous, open in all directions, and offers excellent potential to expand the current resource.

Two of the latest three (3) infill drill holes -- HDS-402 and HDS-404 -- have intersected the Taylor Deeps zone. Significant intercepts from HDS-402 include:

  • 30.5 feet assaying 7.4% zinc, 2.7% lead and 4.5 ounces per ton ("opt") silver
  • 24 feet assaying 10.2% zinc, 7.4% lead and 2.6 opt silver
  • 128 feet assaying 6.1% zinc, 6.1% lead and 2.2 opt silver
    --
    Including an 18 foot zone which assayed 15.7% zinc, 23.6% lead and 7.1 opt silver
    --
    Including a 15 foot zone which assayed 19.8% zinc, 11.0% lead and 4.2 opt silver

HDS-402 was an infill hole drilled to expand the northeast section of the previously reported resource area and intersected four (4) mineralized veins in the volcanics, one (1) mineralized vein in the carbonates and six (6) distinct mineralized sulfide horizons with a total cumulative thickness of 305 feet (refer to individual sulfide intervals for HDS-402 in Table 1). Of particular interest in this drill hole is the 128 foot thick interval which occurs in the Taylor Deeps zone. This mineralization ties to results from previous holes that intersected Taylor Deeps and makes this zone a significant target for future exploration.

HDS-404 is a vertical infill drill hole located near the center of the current resource and encountered four (4) distinct sulfide horizons with a cumulative thickness of 479 feet (refer to Table 1). Additionally, this hole intersected two (2) significant veins in the volcanics and one (1) additional vein in the lower volcanics. Notable intervals include:

  • 97.5 feet assaying 5.3% zinc, 4.6% lead and 1.5 opt silver
  • 46 feet assaying 5.4% zinc, 5.4% lead and 1.6 opt silver
  • 62.5 foot zone which assayed 4.7% zinc, 7.8% lead and 2.7 opt silver
    --
    Including a 21.5 foot zone which assayed 7.9% zinc, 16.5% lead and 5.6 opt silver

HDS-405 is a vertical infill hole drilled near the center of the resource area that intersected a single vein in the overlying volcanics and eleven (11) distinct sulfide horizons with a cumulative thickness of 457 feet (refer to Table 1). The best intervals include:

  • 46 feet assaying 4.4% zinc, 3.5% lead and 1.6 opt silver
    --
    Including an 8 foot zone which assayed 15.9% zinc, 12.3% lead and 4.1 opt silver
  • 42 feet assaying 3.5% zinc, 5.0% lead and 1.8 opt silver
  • 56 feet assaying 4.4% zinc, 3.9% lead and 1.4 opt silver

CEO Jim Gowans commented: "Recent drilling has greatly enhanced our understanding of the geology and mineral relationships. The full context of the drilling has highlighted Taylor Deeps -- a new zone of mineralized carbonates below a sequence of older volcanic rocks and a thrust fault. The zone lies about 3,000 feet below surface, ranges in thickness from 9.5 feet up to 146.0 feet (refer to Table 2) and is well mineralized with zinc, lead, silver and copper. We will follow up with additional drilling to determine the extent of this new zone."

For a full list of the vein and sulfide mineralized intervals from these holes please refer to Table 1 below.

Table 1. TAYLOR ASSAY SUMMARIES FOR HDS-402, HDS-404 & HDS-405

DH_ID  From (feet)  To (feet)  Interval (in feet)  From (meters)  To (meters)  Interval (meters)  Ag opt  Pb%  Zn%  Cu%  Zone*
HDS-402  345  355  10  105.2  108.2  3.0  9.53  1.39  2.70  0.42  Vein
HDS-402  385  389  4  117.3  118.6  1.2  19.80  3.73  4.13  0.81  Vein
HDS-402  435  445  10  132.6  135.6  3.0  3.43  1.11  3.47  0.07  Vein
HDS-402  930  940  10  283.5  286.5  3.0  4.27  3.44  3.28  0.10  Vein
HDS-402  1424  1454.5  30.5  434.0  443.3  9.3  4.47  2.66  7.38  0.43  TS
HDS-402  1815  1845  30  553.2  562.3  9.1  1.03  0.87  1.26  0.04  TS
HDS-402  1915  1935  20  583.7  589.8  6.1  1.12  2.34  4.02  0.22  TS
HDS-402  2701  2711.5  10.5  823.2  826.4  3.2  0.91  2.59  2.25  0.04  TS
HDS-402  2761  2847  86  841.5  867.7  26.2  1.50  4.26  5.54  0.06  TS
Including  2761  2785  24  841.5  848.8  7.3  2.55  7.35  10.23  0.14  TS
HDS-402  3242  3262  20  988.1  994.2  6.1  10.36  0.89  0.20  0.13  Vein
HDS-402  3352  3480  128  1021.6  1060.7  39.0  2.14  6.07  6.13  0.32  TDS
Including  3352  3370  18  1021.6  1027.1  5.5  7.11  23.60  15.66  0.71  TDS
Including  3430  3445  15  1045.4  1050.0  4.6  4.21  11.03  19.75  1.00  TDS
                                  
HDS-404  806  810  4  245.7  246.9  1.2  5.40  2.33  4.12  0.20  Vein
HDS-404  1735  1748  13  528.8  532.8  4.0  3.50  4.48  4.09  0.26  Vein
HDS-404  2075.5  2173  97.5  632.6  662.3  29.7  1.47  4.62  5.29  0.08  TS
Including  2082  2092  10  634.6  637.6  3.0  2.63  8.81  9.28  0.10  TS
Including  2140.5  2157  16.5  652.4  657.4  5.0  3.34  10.29  10.29  0.22  TS
HDS-404  2284  2332  48  696.1  710.8  14.6  0.43  1.28  1.35  0.02  TS
HDS-404  2521  2792  271  768.4  851.0  82.6  0.81  2.46  2.22  0.02  TS
Including  2527  2573  46  770.2  784.2  14.0  1.60  5.36  5.37  0.03  TS
HDS-404  3231  3312  81  984.8  1009.4  24.7  7.65  1.39  0.50  0.14  Vein
Including  3237  3247  10  986.6  989.6  3.0  44.20  2.67  2.65  0.75  Vein
HDS-404  3404.5  3467  62.5  1037.6  1056.7  19.0  2.69  7.83  4.68  0.16  TDS
Including  3405.5  3427  21.5  1037.9  1044.5  6.6  5.59  16.54  7.93  0.22  TDS
                                  
HDS-405  668  675  7  203.6  205.7  2.1  2.42  1.91  10.45  0.03  Vein
HDS-405  1025.5  1047  21.5  312.6  319.1  6.6  2.93  3.64  7.54  0.06  TS
HDS-405  1676  1722  46  510.8  524.8  14.0  1.61  3.53  4.43  0.10  TS
Including  1694  1702  8  516.3  518.7  2.4  4.09  12.33  15.94  0.11  TS
HDS-405  1767  1782  15  538.6  543.1  4.6  0.84  1.27  2.09  0.05  TS
HDS-405  1832  1912  80  558.4  582.7  24.4  0.85  1.02  1.85  0.17  TS
Including  1902  1909  7  579.7  581.8  2.1  1.80  5.29  11.15  0.14  TS
HDS-405  2079  2122  43  633.6  646.8  13.1  0.65  0.89  1.30  0.05  TS
HDS-405  2248  2290  42  685.2  698.0  12.8  1.77  4.95  3.51  0.04  TS
Including  2248  2262  14  685.2  689.4  4.3  3.38  9.83  9.20  0.08  TS
HDS-405  2327  2383  56  709.2  726.3  17.1  1.36  3.89  4.35  0.04  TS
Including  2327  2332  5  709.2  710.8  1.5  3.38  9.18  13.40  0.13  TS
Including  2377  2383  6  724.5  726.3  1.8  3.97  11.75  12.50  0.13  TS
HDS-405  2442  2460  18  744.3  749.8  5.5  0.54  1.30  2.10  0.04  TS
HDS-405  2593.5  2677  83.5  790.5  815.9  25.4  0.61  1.99  2.57  0.02  TS
HDS-405  2712  2742  30  826.6  835.7  9.1  0.54  1.90  2.12  0.01  TS
HDS-405  3110  3132  22  947.9  954.6  6.7  1.44  4.10  1.08  0.02  TS
                       

*TS (Taylor Sulfides)
*TDS (Taylor Deeps Sulfides)

Drill intersections with a combined zinc and lead grade of greater than 9% are bolded. Sulfide drill intervals are down-the-hole drill widths but are considered to be within +/- 5% of true width based on the dip of the mineralized stratigraphy 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.

These new drill holes, coupled with mineralized intercepts from previous drilling, have improved the Company's understanding of the geology and structural setting, and have identified Taylor Deeps, a large, continuous lower zone of carbonate-hosted zinc-lead-silver-copper sulfide mineralization. The mineralization is hosted by sub-horizontal, highly altered, Permian carbonate units which occur below a thrust fault that separates a wedge of Jurassic volcanics above and the Permian carbonates below (see Figure 1).

Figure 1 below shows the position of the new Taylor Deeps zone relative to the Central oxide deposit (which has different metallurgy and will require separate processing methods) and the Taylor sulfide deposit. The Taylor Deeps mineralization, similar to the overlying Taylor sulfide deposit, is composed of sphalerite, galena and chalcopyrite sulfide mineralization, with lesser amounts of pyrite.

Figure 2 is a plan view of the Taylor Deeps mineralization. The drill hole markers indicate the pierce points of the drill holes through the mineralized zone. The data is contoured on the mineralized drill intercept in feet multiplied by the combined zinc equivalent grade in percent (feet x ZnEq%). It can be noted from the map that the Taylor Deeps mineralization remains open in all directions.

Relevant intercepts from previously released holes which intersected and helped define the Taylor Deeps mineralization can be seen in Table 2.

Table 2. Taylor Deeps Drill Hole Intercepts

DH_ID  From (feet)  To (feet)  Interval (in feet)  From (meters)  To (meters)  Interval (meters)  Ag opt  Pb%  Zn%  Cu%  Zone*
HDS-331  3263  3304.5  41.5  994.5  1007.2  12.6  6.37  19.68  9.73  0.89  TDS
HDS-332  3363  3464  101  1025.0  1055.8  30.8  2.88  8.13  4.80  0.35  TDS
HDS-333  3466.0  3485.0  19.0  1056.4  1062.2  5.8  3.71  10.40  5.10  0.68  TDS
HDS-334  3429.0  3450.0  21.0  1045.1  1051.5  6.4  6.53  23.78  1.14  1.05  TDS
HDS-335  3167  3203.5  27.5  965.3  976.4  11.1  2.61  5.35  3.25  0.06  TDS
HDS-338  3278  3352  74  999.1  1021.6  22.6  3.07  5.71  5.08  0.34  TDS
HDS-340  3242  3272  30  988.1  997.3  9.1  9.22  22.74  2.95  1.09  TDS
HDS-341  3413.5  3447  33.5  1040.4  1050.6  10.2  1.82  3.12  1.98  0.18  TDS
HDS-344  3541.5  3648.5  107  1079.4  1112.0  32.6  2.55  5.45  4.62  0.40  TDS
HDS-346  3196  3205.5  9.5  974.1  977.0  2.9  5.77  16.79  9.20  0.95  TDS
HDS-346  3243  3267  24  988.4  995.7  7.3  2.01  5.52  4.77  0.28  TDS
HDS-348  3129  3184  55  953.7  970.4  16.8  1.87  2.15  1.39  0.08  TDS
HDS-354  3805.5  3951.5  146  1159.9  1204.4  44.5  1.93  1.74  0.96  0.08  TDS
HDS-356  3320  3380  60  1011.9  1030.2  18.3  1.89  5.28  4.79  0.20  TDS
HDS-357  3495.5  3601.5  106  1065.4  1097.7  32.3  1.43  3.11  0.94  0.20  TDS
HDS-358  3502  3647  145  1067.4  1111.6  44.2  0.45  1.30  0.74  0.06  TDS
HDS-360  3355  3471.5  116.5  1022.6  1058.1  35.5  0.89  1.79  1.77  0.14  TDS
HDS-362  3146  3186.5  40.5  958.9  971.2  12.3  2.02  3.88  4.77  0.05  TDS
HDS-363  3371.5  3407  35.5  1027.6  1038.4  10.8  6.96  21.11  5.84  0.58  TDS
HDS-363  3434  3549.5  115.5  1046.6  1081.8  35.2  0.81  2.30  1.84  0.07  TDS
HDS-364  3409  3465  56  1039.0  1056.1  17.1  2.86  6.10  1.77  0.07  TDS
HDS-365  3474.5  3525  50.5  1059.0  1074.4  15.4  2.23  3.42  1.88  0.04  TDS
HDS-365  3560  3610  50  1085.0  1100.3  15.2  0.40  1.29  1.31  0.10  TDS
HDS-367  3595  3652  57  1095.7  1113.1  17.4  0.96  2.93  2.74  0.08  TDS
HDS-368  3679  3814  135  1121.3  1162.5  41.1  1.87  5.07  2.77  0.24  TDS
HDS-369  3992  4059  67  1216.7  1237.1  20.4  2.18  3.47  0.29  0.04  TDS
HDS-370  3413.5  3517  103.5  1040.4  1071.9  31.5  1.53  4.51  3.70  0.10  TDS
HDS-371  3259.5  3351  91.5  993.4  1021.3  27.9  2.37  6.79  4.25  0.40  TDS
HDS-373  3514  3559  45  1071.0  1084.7  13.7  2.94  8.09  1.61  0.07  TDS
HDS-375  3592  3637  45  1094.8  1108.5  13.7  3.05  7.68  5.26  0.31  TDS
HDS-376  3478.5  3525  46.5  1060.2  1074.4  14.2  1.83  5.28  3.81  0.43  TDS
HDS-377  3289  3315  26  1002.4  1010.4  7.9  19.16  13.77  14.15  0.59  TDS
HDS-377  3372  3381.5  9.5  1027.7  1030.6  2.9  1.63  6.16  4.97  0.11  TDS
HDS-381  3690  3753  63  1124.7  1143.9  19.2  2.16  2.52  1.29  0.10  TDS
HDS-382  2957  3059  102  901.2  932.3  31.1  0.93  2.03  1.16  0.02  TDS
HDS-385  3947  4015  68  1203.0  1223.7  20.7  2.11  2.28  1.29  0.03  TDS
HDS-386  3890  3917  27  1185.6  1193.8  8.2  1.08  1.23  1.72  0.15  TDS
HDS-386  3947  3998  51  1203  1218.5  15.5  3.88  3  0.6  0  TDS
HDS-387  3359.5  3472  112.5  1023.9  1058.2  34.3  3.22  9.56  5.41  0.39  TDS
HDS-387  3497  3523  26  1065.8  1073.8  7.9  1.42  4.02  3.29  0.31  TDS
HDS-388  3227  3293.5  66.5  983.5  1003.8  20.3  1.98  1.87  1.36  0.05  TDS
HDS-389  3372  3390  18  1027.7  1033.2  5.5  6.45  3.16  1.69  0.28  TDS
HDS-390  4101  4122  21  1249.9  1256.3  6.4  1.84  1.87  2.91  0.12  TDS
HDS-391  4080  4090  10  1243.5  1246.6  3.0  2.75  3.02  0.54  0.04  TDS
HDS-391  4110  4130  20  1252.7  1258.8  6.1  1.38  1.55  1.34  0.23  TDS
HDS-392  3810  3830.5  20.5  1161.2  1167.5  6.2  2.02  1.53  0.14  0.01  TDS
HDS-396  3439  3497  58  1048.2  1065.8  17.7  2.61  7.65  5.12  0.24  TDS
HDS-398  3316.5  3327  10.5  1010.8  1014.0  3.2  5.70  17.28  8.60  0.05  TDS
HDS-399  3377  3501  124  1029.3  1067.1  37.8  5.15  14.83  7.41  0.53  TDS
HDS-400  3159  3186  27  962.8  971.0  8.2  1.12  2.96  2.11  0.14  TDS
HDS-401  3404  3419  15  1037.5  1042.1  4.6  0.76  2.00  1.86  0.11  TDS
HDS-402  3352  3480  128  1021.6  1060.7  39.0  2.14  6.07  6.13  0.32  TDS
HDS-403  3283  3317  34  1000.6  1011.0  10.4  6.40  18.90  6.72  0.32  TDS
HDS-404  3404.5  3467  62.5  1037.6  1056.7  19.0  2.69  7.83  4.68  0.16  TDS
                       

*TDS (Taylor Deeps Sulfides)

Drill intersections with a combined zinc and lead grade of greater than 9% are bolded. Sulfide drill intervals are down-the-hole drill widths but are considered to be within +/- 5% of true width based on the dip of the mineralized stratigraphy at 22 degrees.

Qualified Person

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.

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Contact Information

  • For additional information please contact:

    Susan Muir

    Vice-President, Investor Relations & Corporate Communications
    Telephone: 416-505-7606
    Email: smuir@arizonamining.com