Arizona Sonoran Copper Company Inc. (TSX:ASCU) (OTCQX:ASCUF) an emerging U.S. copper developer, is pleased to announce that further to its June 25, 2025 press release, ASCU has completed the 0.64% buy-down of certain net smelter returns royalties on the Cactus Project (FIGURE 1 – “2025 Royalty Map”). Following execution of definitive documentation, total cash payments of US$8.91 million were made to RG Royalties, LLC, a subsidiary of Royal Gold Inc. (RLGD:NASDAQ) and Elemental Royalties Delaware LLC, a subsidiary of Elemental Altus Royalties Corp. (ELE:TSXV), upon which the aggregate percentage of the NSRs was reduced from 3.18% to a remaining 2.54% (collectively, the “Buy-downs”).

Nick Nikolakakis, Arizona Sonoran Chief Financial Officer and VP Finance commented, “Management’s focus is driven by delivering copper price exposure and potential upside to our shareholders. The completion of the Buy-downs is a natural step for the Company to generate potential additional shareholder value and reduce economic encumbrance on the asset as we advance towards project financing. In particular, the 2024 PEA demonstrated that the $8.91 million expenditure to complete the Buy-downs improves the Cactus Project valuation at variety of long‑term copper price forecasts and, therefore, increases shareholder value, now and in the long run.”

The Company’s subsidiaries, Cactus 110 LLC and Arizona Sonoran Copper Company USA Inc., following execution of definitive documentation, have completed the Buy-downs as follows: (i) Royal Gold’s 2.5% NSR to 2.0% for US$7.0 million and (ii) Elemental Altus’ 0.68% NSR to 0.54% for US$1.91 million.

Links from the PR:

FIGURE 1: “2025 Royalty Map” https://arizonasonoran.com/projects/cactus-mine-project/press-release-images/

June 25, 2025 Press Release: https://arizonasonoran.com/news-releases/arizona-sonoran-buys-down-0.64-of-the-cactus-project-royalties/

About Arizona Sonoran Copper Company

ASCU is a copper exploration and development company with a 100% interest in the brownfield Cactus Project. The Project, on privately held land, contains a large-scale porphyry copper resource and a recent 2024 PEA proposes a generational open pit copper mine with robust economic returns. Cactus is a lower risk copper developer benefitting from a State-led permitting process, in place infrastructure, highways and rail lines at its doorstep and onsite permitted water access. The Company’s objective is to develop Cactus and become a mid-tier copper producer with low operating costs, that could generate robust returns and provide a long-term sustainable and responsible operation for the community, investors and all stakeholders. The Company is led by an executive management team and Board which have a long-standing track record of successful project delivery in North America complemented by global capital markets expertise.