[caption id="attachment_1003718227" align="aligncenter" width="595"] Longitudinal section of the Taylor deposit and Taylor Deeps.
ARIZONA – Arizona Mining
of Vancouver is receiving a $110.3-million vote of confidence from South32
, the Australian company spun out from BHP Billiton in 2014. South 32 has agreed to purchase 45 million shares of Arizona Mining at a price of $2.45 per share. That represents about 15% of the Canadian company’s outstanding shares.
Arizona Mining will use the proceeds to advance the Taylor deposit to the feasibility and permitting stage. Several drill rigs will be added so that the Taylor Deeps, Trench vein system and other high priority targets can be thoroughly tested.
The Taylor deposit is a carbonate replacement zinc-lead-silver sulphide deposit with considerable potential at depth. It is the down-dip extension of the company’s Hermosa silver-manganese project 80 km southeast of Tucson.
The Taylor deposit contains 65.2 million measured and indicated tonnes grading 10.5% zinc equivalent, plus 35.0 million inferred tonnes at 11.6%. A cut-off of 4% zinc equivalent was used in these calculations. A small underground operation is being considered. The mineralization is amenable to conventional froth flotation.
More details about the Taylor deposit are posted at www.ArizonaMining.com.