SOURCE: Arizona Mining Inc.

Arizona Mining Inc.

March 16, 2017 06:30 ET

Arizona Mining Reports Additional High Grade in Taylor Deeps Zone

21.5 Feet Assaying 17.1% Zinc, 22.4% Lead and 9.2 Opt Silver Within a Broader 81 Foot Mineralized Zone

VANCOUVER, BC --(Marketwired - March 16, 2017) - Arizona Mining Inc. (TSX: AZ) ("Arizona Mining" or the "Company") announces the results of three (3) 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 seventy (70). The holes contained in this press release will not be included in the preliminary economic assessment ("PEA") planned for release by the end of this quarter.

HDS-422B is a near vertical hole (-87 degrees) drilled within the southeastern portion of the previously reported mineral resource. The drill hole encountered three (3) mineralized veins; two (2) hosted in the carbonates and one (1) hosted in the volcanics. The drill hole also intersected six (6) mineralized horizons within the Taylor Sulfide zone and a very substantial mineralized interval in the Taylor Deeps Sulfide zone. When added together, the Taylor Sulfide zone intervals have a cumulative thickness of 288 feet (refer to Table I). Most notable among the mineralized horizons are:

  • 24.5 feet assaying 4.9% zinc, 7.5% lead and 2.3 ounces per ton ("opt") silver (TS)
  • 81 feet assaying 7.0% zinc, 10.2% lead and 4.3 opt silver (TDS)
    -
    Including a 21.5 foot zone which assayed 17.1% zinc, 22.4% lead and 9.2 opt silver

HDS-416 is a near vertical hole (-87 degrees) drilled to infill an area in the southeastern portion of the previously reported resource area. The hole intersected one (1) mineralized vein hosted in the upper volcanics and five (5) distinct mineralized horizons in the Taylor Sulfide zone ("TS"). The Taylor Sulfide intervals have a total cumulative mineralized thickness of 166 feet (refer to Table I). In addition, a 120 foot thick mineralized interval was intersected in the Taylor Deeps Sulfide ("TDS") zone. Some of the notable results in the hole included:

  • 16 feet assaying 3.7% zinc, 7.2% lead and 2.6 opt silver (TS)
  • 36 feet assaying 6.4% zinc, 8.2% lead and 3.1 opt silver (TS)
    -
    Including a 13 foot zone which assayed 8.9% zinc, 11.8% lead and 5.2 opt silver
  • 120 feet assaying 3.4% zinc, 3.3% lead and 3.0 opt silver (TDS)
    -
    Including a 28 foot zone which assayed 10.3% zinc, 11.2% lead and 6.4 opt silver

HDS-419 is a near vertical hole (-87 degrees) drilled to infill an area in the northwest portion of the previously reported resource area. The hole intersected two (2) mineralized veins; one hosted in the volcanics and one hosted in the carbonates. The drill hole also intersected eight (8) distinct mineralized horizons in the Taylor Sulfide zone, which have a total cumulative mineralized thickness of 350 feet (refer to Table I). In addition, the drill hole intersected two (2) significant mineralized intervals in the Taylor Deeps Sulfide zone. Some of the notable results in the hole included:

  • 22 feet assaying 10.9% zinc, 11.3% lead and 5.7 opt silver (TS)
  • 40 feet assaying 6.0% zinc, 5.0% lead and 1.5 opt silver (TS)
  • 50.5 feet assaying 1.5% zinc, 4.5% lead and 1.6 opt silver (TDS)

For a full list of the vein, Taylor Sulfide and Taylor Deeps Sulfide mineralized intervals from these drill holes please refer to Table I.

CEO Jim Gowans commented: "Our drilling continues to expand and add continuity to the Taylor Deeps Sulfide zone, where we are seeing higher silver grades relative to the Taylor Sulfide Zone. While assays for these drill holes were not received in time to be included in the PEA, expected by the end of this quarter, they highlight the considerable resource expansion potential of the project which we will continue to test with step-out drilling this year."

Table I. ASSAY SUMMARIES FOR HDS-416, HDS-419 & HDS-422B

DH_ID From (feet) To
(feet)
 Interval (in feet) From (meters) To
(meters)
 Interval (meters) Ag
opt
 Pb% Zn% Cu% Zone*
HDS-416 406 412 6 123.7 125.6 1.8 5.28 6.25 1.69 0.06 Vein
HDS-416 2439 2485 46 743.4 757.4 14.0 0.93 2.41 3.00 0.04 TS
HDS-416 2595 2658 63 790.9 810.1 19.2 0.82 2.10 2.05 0.06 TS
HDS-416 2723 2728 5 829.9 831.5 1.5 1.65 3.92 5.14 0.11 TS
HDS-416 2751 2767 16 838.5 843.3 4.9 2.55 7.18 3.72 0.06 TS
HDS-416 2826 2862 36 861.3 872.3 11.0 3.14 8.22 6.44 0.15 TS
Including 2849 2862 13 868.3 872.3 4.0 5.21 11.84 8.89 0.28 TS
HDS-416 2882 3002 120 878.4 915.0 36.6 2.97 3.29 3.35 0.10 TDS
Including 2913 2941 28 887.8 896.4 8.5 6.39 11.20 10.33 0.27 TDS
                       
HDS-419 1697 1707 10 517.2 520.3 3.0 5.69 5.83 1.64 0.19 Vein
HDS-419 2192 2214 22 668.1 674.8 6.7 5.69 11.32 10.94 0.24 TS
HDS-419 2254 2278 24 687.0 694.3 7.3 0.53 1.53 1.23 0.02 TS
HDS-419 2387 2399 12 727.5 731.2 3.7 0.51 1.64 2.23 0.02 TS
HDS-419 2558.5 2672 113.5 779.8 814.4 34.6 0.93 3.20 3.24 0.02 TS
HDS-419 2697 2737 40 822.0 834.2 12.2 1.46 5.02 5.96 0.04 TS
Including 2697 2707 10 822.0 825.1 3.0 2.34 8.04 10.03 0.12 TS
HDS-419 2762 2858 96 841.8 871.1 29.3 0.34 1.13 1.22 0.01 TS
HDS-419 2967 3007 40 904.3 916.5 12.2 4.22 3.88 2.15 0.15 TS
HDS-419 3034 3036.5 2.5 924.7 925.5 0.8 38.21 13.80 19.65 2.01 TS
HDS-419 3252.5 3255.5 3 991.3 992.2 0.9 4.11 10.90 0.09 0.27 Vein
HDS-419 3333.5 3384 50.5 1016.0 1031.4 15.4 1.59 4.54 1.49 0.12 TDS
HDS-419 3411 3424 13 1039.6 1043.6 4.0 0.87 2.28 3.63 0.18 TDS
                       
HDS-422B 1062 1067 5 323.7 325.2 1.5 2.65 3.64 7.63 0.06 Vein
HDS-422B 1785 1841 56 544.0 561.1 17.1 1.41 4.04 4.41 0.06 TS
HDS-422B 2592 2622 30 790.0 799.1 9.1 0.92 3.20 3.81 0.09 TS
HDS-422B 2766 2773 7 843.0 845.2 2.1 4.43 11.80 14.90 0.07 TS
HDS-422B 2842 2927 85 866.2 892.1 25.9 1.02 3.33 2.38 0.01 TS
Including 2857.5 2882 24.5 870.9 878.4 7.5 2.29 7.54 4.88 0.01 TS
HDS-422B 2957 2995 38 901.2 912.8 11.6 0.49 1.48 0.47 0.00 TS
HDS-422B 3044 3116 72 927.8 949.7 21.9 1.42 2.52 0.90 0.08 TS
HDS-422B 3162 3165 3 963.7 964.6 0.9 10.18 1.62 2.35 0.47 Vein
HDS-422B 3212 3217 5 979.0 980.5 1.5 3.18 1.39 2.64 0.11 Vein
HDS-422B 3332.5 3413.5 81 1015.7 1040.4 24.7 4.26 10.22 7.01 0.39 TDS
Including 3332.5 3354 21.5 1015.7 1022.2 6.6 9.17 22.44 17.12 0.76 TDS
* TS (Taylor Sulfide)
*TDS (Taylor Deeps Sulfide)                         

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.

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. (an augustagroup company) 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