This morning, Aztec Minerals (TSX-V:AZT, OTC:AZZTF) delivered a drill results update from its Tombstone Project in southern Arizona. Today’s results are one of the strongest drill releases yet from AZT’s Tombstone Project, and the most important takeaway is that the company has successfully extended the shallow oxide gold-silver system into newly acquired ground north of the historic Contention pit.
In addition, the gold/silver system appears to be strengthening as Aztec moves the drill rig north.
The standout hole, TR26-39, was one of Aztec’s first holes into the North Extension Zone. It intersected 88.4 meters grading 1.42 g/t gold and 14.58 g/t silver, or 1.69 g/t gold-equivalent, beginning just 10.7 meters below surface. Within that broad envelope was a much higher-grade interval of 12.2 meters at 7.00 g/t AuEq, including 6.1 meters at 13.25 g/t AuEq.
These drill results are important because they strengthen the foundation for the project’s upcoming maiden mineral resource estimate (MRE). The release adds two broad, shallow and comparatively high-grade oxide intercepts in areas that can potentially expand both the tonnage and grade profile of the initial resource.
Aztec is planning to publish a maiden resource estimate by the end of the year. The maiden MRE stands to be a major milestone for the company—a catalyst that has the potential to wake-up investors to the promising future that this once great American mining district holds.
From its discovery in 1877 to closure in 1923, the Tombstone District is estimated to have produced 32 million ounces of silver and 250,000 ounces of gold at average grades of ~1,000 grams/tonne silver and 8 grams/tonne gold.
Tombstone’s history extends far beyond Wyatt Earp and the famous gunfight at the O.K. Corral. During the 1880s, it ranked among the richest silver-mining districts in the United States, attracting the attention of powerful Northeastern financiers such as J.P. Morgan and even President Chester A. Arthur.
The Arizona Territory’s “Cowboy Wars” (centered on modern day Cochise County) produced no shortage of colorful characters, political intrigue and violence—enough to inspire books, legends and a Netflix documentary. But that is a story for another day.
From an MRE perspective, the significance of TR26-39 is that it demonstrates that the shallow oxide system extends northward onto ground that Aztec had not previously drilled. This has the potential to expand the resource envelope beyond the area that would have been modeled using earlier drilling alone.
TR26-38 provides an equally important contribution to the emerging resource model, intersecting 97.5 meters at 1.36 g/t AuEq from surface, including 18.3 meters at 5.55 g/t AuEq and 6.1 meters at 13.43 g/t AuEq. A second mineralized zone beneath the main interval resulted in near-continuous mineralization from surface to 211.8 meters, although the deeper portion is materially lower grade.
Implications for the maiden resource
Potentially larger initial footprint: The successful North Extension step-out suggests the maiden resource may extend farther north than previously anticipated.
More near-surface tonnes: Both headline intervals begin at or close to surface, which could help build a shallow oxide resource with potentially favorable strip characteristics.
Improved grade profile: The broad mineralized envelopes contain internal high-grade zones that could lift the average grade of portions of the resource model.
Better continuity: Thick mineralized intervals in TR26-38 and TR26-39 strengthen the geological case that Contention is a continuous mineralized system with the potential to host seven-digit AuEq ounces.
Room for further growth before the estimate: Aztec has completed 11 additional step-out holes, including drilling as far as approximately 230 meters north of TR26-39. Those pending results are expected to be incorporated into the maiden MRE, meaning the final resource footprint could still expand materially before the estimate is completed.
With drilling ongoing and assays pending for 11 additional holes, there is substantial potential that Aztec could deliver an upside surprise when it delivers the maiden MRE for Tombstone later this year.
Aztec Minerals (Daily)
Aztec has now completed 90 RC holes during the 2025–2026 campaign, giving the company a much denser drilling database from which to construct its first resource model. The latest results are particularly valuable because they add width, grade and geographic expansion at the same time.
The upcoming MRE is increasingly likely to capture a substantial shallow oxide gold-silver system centered on the historic Contention pit, with the North Extension emerging as a meaningful source of incremental tonnes. The key remaining question is how much additional strike length and volume the 11 pending northern step-outs will contribute. The potential is for the Contention Trend to be extended over a total strike-length of more than 1,500 meters, with oxide gold-silver mineralization being confirmed to depths beyond 200 meters.
I expect more news from Aztec over the coming weeks, including additional drill results from the North Extension and more property expansion updates. I will have an interview with Aztec Minerals CEO Simon Dyakowski published early next week.
Disclosure: Author owns shares of Aztec Minerals at the time of publishing, and author may choose to buy or sell at any time without notice.
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