Arizona Sonoran Copper’s Cactus Project Shows Promising Potential

Arizona Sonoran Copper (TSX: ASCU) witnessed a significant upswing in its share price on Monday, reaching a historic high. This surge followed the release of a study indicating that its Cactus project could potentially become the third – largest cathode producer in the United States, based on solvent extraction and electrowinning (SX/EW) capacity.

The pre – feasibility study (PFS) for the Cactus project projects an annual copper production of approximately 103,000 tonnes in the first 10 years of its 22 – year lifespan. The study also presents a post – tax net present value (at an 8% discount) of $2.3 billion, initial capital costs of $977 million, a post – tax internal rate of return of 23%, and a payback period of 5.3 years. These economic indicators position Cactus as the highest – value copper mine among developing projects in Arizona. The open – pit mine site, which has had past production, is located 74 km south of Phoenix.

Desjardins Securities analyst Bryce Adams noted that the new mine plan accelerates the processing of higher – grade ore at Parks/Salyer, the main deposit at Cactus, in the early mine life, leading to a more consistent production profile. He considered this a positive update and a crucial milestone in reducing project risks.

The release of this study adds to the project’s resource momentum. Just over a month ago, an update for Cactus increased its contained metal by 51%. Arizona Sonoran’s shares rose 13% to C$3.51 each by mid – Monday in Toronto, valuing the company at C$630.79 million.

Arizona Sonoran’s President and CEO, George Ogilvie, stated that this PFS is a major step in advancing the low – risk open – pit Cactus project towards a final investment decision as early as...