Arizona Metals Corp.

Arizona Metals Corp is exploring two properties in Arizona, the historic Kay Mine property and the Sugarloaf Peak project. The Kay Mine property was a past producing underground mine with historic resources of copper, gold, zinc and silver. Only 3% of the prospective mineralized area has been drill tested so far, suggesting there is potential to expand resources. Recent drilling has intersected wide intervals of high grade mineralization in a new discovery zone that remains open along strike and at depth. Metallurgical testing of Kay Mine material is underway which will help determine potential recoveries.

The company is now conducting a 75,000m drill program to expand resources at Kay Mine, as well as a 76,000m program to test some additional exploration targets on the property. Infrastructure is excellent, with road access, power and water available on private patented claims the company owns. Community support for the project is strong, with positive feedback from local government representatives.

The Sugarloaf Peak project also has a historic estimate of gold mineralization that requires additional drilling to upgrade and expand. Recent metallurgical testing indicates good potential recoveries from oxide material of up to 95% and high recoveries from sulphide-rich zones. This suggests the gold may not be refractory. Column testing is underway to further evaluate potential processing options.

The company appears well funded to advance exploration efforts, with approximately $49 million in cash as of March 2023 but as our Analyst's Note details, we feel more information on geology, metallurgy and economics are required for us to have a stronger view on prospects.