Arizona Sonoran Copper Co. Inc.

Arizona Sonoran Copper Co. Inc. is a junior copper development company headquartered in Toronto, Canada, operating primarily in USA. The company's portfolio consists of 1 development project. Key assets include Cactus. The company is a mineral resource entity focused on advancing a single, large-scale brownfield development asset through systematic exploration, technical studies, and permitting. Its business model centers on de-risking the asset towards a production decision, leveraging an operational approach that combines conventional open-pit and underground mining methods. A key technological differentiator is a strategic alliance to evaluate and deploy proprietary leach technologies aimed at enhancing recovery from primary sulphide material. This complements a planned heap leach and solvent extraction-electrowinning processing facility designed for oxide and enriched materials. The organization's competitive positioning is defined by its status as a pure-play developer, offering investors direct exposure to its primary commodity's market dynamics. It competes with larger, established mining companies for capital, resources, and specialized technical skills. The business strategy relies on demonstrating economic viability through phased technical reports and securing necessary funding to advance development.

The business strategy is centered on advancing a large-scale development asset towards a production decision. Key priorities include completing a pre-feasibility study in 2025, alongside ongoing infill and expansion drilling to upgrade and grow the mineral resource base. A core component of the long-term strategy is a strategic alliance to evaluate and potentially deploy proprietary leach technologies, with the goal of delivering an integrated technical study that could significantly enhance project economics by unlocking value from primary sulphide material. Capital allocation is focused on funding these technical studies, drilling programs, and strategic land acquisitions. The company actively seeks funding through equity financings and strategic partnerships to support its development timeline. Management's approach involves systematically de-risking the asset through rigorous technical work and securing all necessary permits for future construction and operations.

Executive leadership is headed by a President & CEO with over 35 years of industry experience, including a track record of successful company turnarounds and project development at Battle North Corporation and Kirkland Lake Gold Inc. The board of directors provides oversight through four specialized committees: Audit, Technical & Sustainability, Governance and Nominating, and Compensation. The Audit Committee is composed entirely of 3 independent and financially literate directors, operating under a detailed charter that governs financial reporting oversight and risk management. Governance practices are further strengthened by a shareholder rights plan adopted in 2025, designed to ensure fair treatment of all shareholders in connection with any take-over bid. The management team is structured with specialized expertise in key development areas, including the appointments of a Chief Engineer, SVP Projects, Chief Geologist, and Chief Metallurgist, reflecting a commitment to technical excellence.

The sustainability framework is anchored by a commitment to environmental compliance and community engagement. The company has secured key state-level permits, including a Mined Land Reclamation Permit and an amended Aquifer Protection Permit, and has posted financial assurance for future reclamation obligations. A prospective purchaser agreement with state regulators addresses legacy environmental issues, releasing the entity from liability for known historical contamination from prior operations. Community outreach is actively managed through public meetings and a dedicated engagement plan, leveraging local support for brownfield redevelopment. Governance includes oversight from a Technical & Sustainability Committee of the board. The organization acknowledges climate-related risks and is subject to evolving regulations concerning greenhouse gas emissions, with energy-intensive processing operations planned for the future.

The corporate structure includes two wholly-owned operational subsidiaries, Arizona Sonoran Copper Company (USA) Inc. and Cactus 110 LLC, which hold the company's primary asset. A key strategic arrangement is the option agreement with Nuton LLC, a Rio Tinto venture, granting Nuton the right to acquire up to a 40% interest in the core asset in exchange for funding and collaboration on deploying proprietary leach technologies. Major shareholders with significant influence include Tembo Capital, which holds approximately 22.6% of shares and possesses pre-emptive and board nomination rights under an investor rights agreement. In January 2025, Hudbay Minerals Inc. acquired a strategic equity position through a private placement. Nuton also maintains a 7.2% equity interest with pre-emptive rights. Recent structural transactions include the completion of the MainSpring Property acquisition in January 2025 and a buyback of a 1% net smelter royalty from Bronco Creek Exploration in December 2024.