The DSO opportunity is an absolute game-changer for Storm The results from ST22-01 and ST22-02 confirm the continuity of the near surface mineralisation in this area and provide strong support for the potential to delineate a shallow, high-grade resource at the 2750N Zone.
..Thick intersections of strong copper mineralisation at the Storm Copper Project in Canada.
.Thick intersections of strong copper mineralisation at the Storm Copper Project in Canada • Visual geological observations of the first two diamond drill holes by American West Metals at the high-grade Storm Copper Project indicate that both holes have intersected extensive copper sulphide mineralisation at shallow depths • ST22-01 has intersected 72.1m of mineralisation including 23.74m of breccia and massive copper sulphides over multiple intervals • ST22-02 has intersected 81.22m of mineralisation including 22.12m of breccia and massive copper sulphides over multiple intervals • Drilling at Storm continues 24/7 with up to a further 15-20 diamond drill holes planned to test priority high-grade copper targets • Drill results support the potential for a shallow, high-grade copper resource at the 2750N Zone where previous drilling has returned assays of 110m @ 2.45% Cu from surface and 56.3m @ 3.07% Cu from 12.2m Figure 1: Massive and breccia chalcocite (dark grey) from approximately 36m downhole in drill hole ST22-01. www.americanwestmetals.com (ASX: AW1) 2 American West Metals Limited (American West Metals or the Company) (ASX: AW1) is pleased to announce outstanding visual results for the first two diamond drill holes completed by the Company at the Storm Copper Project (Storm or the Project) on Somerset Island, Nunavut, Canada. Dave O’Neill, Managing Director of American West Metals commented: “We are very pleased to report on the successful completion of the first drill holes completed by American West Metals at the Storm Copper Project. “The drilling has immediately produced spectacular results with over 72m of visual mineralisation intersected in drill hole ST22-01, and over 81m in ST22-02. “The results from these holes are significant as they show strong continuity between the thick historical copper intersections at the 2750N Zone where we are aiming to define a shallow, high-grade copper resource that can support a low-footprint direct shipping ore (DSO) mining proposal. “Initial ore sorting test work on Storm mineralisation produced a commercial grade DSO product with a copper grade of more than 53% copper and no impurities through a simple and low-cost process. The DSO opportunity is an absolute game-changer for Storm that provides potential to produce a high-value product through a lowcost and low footprint development option. “Drilling at Storm is continuing with further resource definition drilling planned as well as drilling to test new EM conductors that have the potential to deliver more massive sulphide discoveries. “The onsite team is doing a fantastic job executing this important drill program, and we look forward to reporting more news as drilling progresses.” Figure 2: Drilling underway on drill hole ST22-01 at the 2750N Zone, Storm Copper Project www.americanwestmetals.com (ASX: AW1) 3 Drill holes ST22-01 and ST22-02 have successfully intersected thick zones of breccia and massive chalcocite (copper sulphide) hosted within much broader intervals of vein and fracture style copper mineralisation. A total of 72.1m of visual copper mineralisation was intersected in ST22-01, with 81.22m of visual copper mineralisation intersected in ST22-02. Laboratory assays are pending and required to confirm the copper content in the drill core. The drill holes are part of the extensional and resource definition drilling program for the 2750N Zone where historical drilling has encountered significant copper mineralisation, including 110m at 2.45% Cu from surface (drill hole ST97-08), and 56.3m @ 3.07% Cu from 12.2m (drill hole ST99-19). Significantly, the 2750N Zone copper mineralisation remains open at depth and along strike with further drilling planned. The results from ST22-01 and ST22-02 confirm the continuity of the near surface mineralisation in this area and provide strong support for the potential to delineate a shallow, high-grade resource at the 2750N Zone. The 2750N Zone is the focus of initial resource work to define resources for a potential open-pit direct shipping ore (DSO) mining operation. Initial ore sorting test work on mineralisation from Storm generated a DSO product grading more than 53% Cu (see ASX announcement dated 11 April 2022 – Over 53% Cu Direct Shipping Ore Generated at Storm Copper). The combination of high-grade and shallow mineralisation at Storm provides a potential pathway to a very low footprint, ESG sensitive mining operation with low capital and operating costs. Figure 3: Plan of the 2750N Zone - Drilling, known mineralisation outline, known copper gossans overlaying aerial photography www.americanwestmetals.com (ASX: AW1) 4 DRILL HOLE ST22-01 DETAILS ST22-01 is the first hole to be completed as part of the 2022 program and was drilled to a downhole depth of 128m. The drill hole was designed to test the continuity of thick mineralisation intersected in historical drill holes ST97- 08 and ST99-19. These two historical drill holes are situated approximately 100m apart (Figure 3). ST22-01 has intersected over 72.1m of chalcocite and chalcopyrite mineralisation hosted within dolomite of the Allen Bay Formation. This host unit is present throughout the Storm Project area, and is comprised of massive to thinly bedded dolomicrites (altered from what was originally limestone). The mineralisation encountered within ST22-01 is comprised of six zones of breccia to massive sulphides hosted within a broad mineralised package of mostly vein and fracture style mineralisation. The entire package is fractured and the breccia and massive sulphides are likely controlled by more intense deformation related to the main graben structure, which is interpreted to be located immediately south of the 2750N Zone. The dominant copper mineral observed within ST22-01 is chalcocite, with chalcopyrite present within the deeper intervals. Chalcocite is an important ore mineral due to its high grades (up to 79.8% copper in its pure form) and favourable metallurgical properties. The simple mineralogy of the Storm mineralisation is a further feature that makes it amenable to producing a high-grade direct shipping ore (DSO) product (see ASX release dated 11 April, 2022: Over 53% Cu Direct Shipping Ore Generated at Storm Copper). Table 1 summarises the mineralisation as observed in ST22-01. Intersections are expressed as downhole widths and are interpreted to be close to true widths. Visual estimates of sulphide quantity and habit should not be considered a substitute for laboratory assays. Laboratory assays are required to determine the widths and grade of mineralisation as reported in preliminary geological logging. Figure 4: Drill core from ST22-01 between 30.34 – 42.08m downhole showing massive and breccia chalcocite (dark grey) hosted within dolomite (pale grey) www.americanwestmetals.com (ASX: AW1) 5 Hole ID From (m) To (m) Min Description (Sulphide volume within interval) ST22-01 19.5 22.74 cc Breccia and cement sulphide filled fractures (20%) 22.74 24 cc/py Sulphide in fractures (5%) 26 27 cc Sulphide in fractures (1%) 27 32.18 cc Heavily brecciated and vein sulphide (10-20%) 32.18 35.92 cc/chpy Locally brecciated and minor veining (2-5%) 35.92 44 cc Heavily fractured with abundant brecciations, zones of massive sulphide (5-40%) 44 47.66 cc Minor fractures and blebs of sulphide (5%) 47.66 53 cc/chpy Abundant veins and breccias with local beds of massive sulphide (10-15%). Chalcopyrite is present as blebs with chalcocite 53 65 cc/chpy Veins of chalcocite grading into chalcopyrite at 56.5m (2-5%) 65.4 66.3 chpy High density veinlets and massive sulphide layers (5-40%) 66.3 90 chpy/cc Fracture and veinlet sulphides throughout unit (1-5%) 91 92 cc Black and sandy sulphide, rubbly (20-30%) 92 95 cc/Cu Minor sulphide bands and fractures. Native copper present along some fractures (1%) Table 1: Description of intervals with visually identified mineralisation in drill hole ST22-01. Mineralogy key is cc = chalcocite, chpy = chalcopyrite, py = pyrite, Cu = native copper, az = azurite, ml = malachite DRILL HOLE ST22-02 DETAILS ST22-02 has been completed to a downhole depth of 155m. The drill hole was also designed to test the continuity of mineralisation between drill holes ST97-08 and ST99-19, an important section for the resource potential of the 2750N Zone. ST22-02 has intersected similar geology and mineralisation to that of ST22-01, which provides strong confidence in the continuity of the main ore zone through this section of the 2750N Zone. Table 2 summarises the geology as observed in ST22-02. Intersections are expressed as downhole widths and are interpreted to be approximately 75-80% of true width. Visual estimates of sulphide quantity and habit should not be considered a substitute for laboratory assays. Laboratory assays are required to determine the widths and grade of mineralisation as reported in preliminary geological logging. www.americanwestmetals.com (ASX: AW1) 6 Hole ID From (m) To (m) Min Description (Sulphide volume within interval) ST22-02 0 5 ml Trace malachite in overburden (1%) 5 14 cc, ml Veinlets, occasional breccia, increase in mineralisation abundance towards bottom (1-5%) 14 15 cc Massive and cemented chalcocite (40-50%) 15 18.5 cc Veinlets and fracture filled cemented breccia (1-2.5%) 18.5 32.4 cc, chpy Strongly brecciated and veined (5-20%) 32.4 34.3 chpy, bn, cv Veinlets of chalcocite with local cemented covellite breccia (5%) 34.3 35.2 cc, cv Massive sulphides with dolomite clasts (>50%) 36.2 38 cc/chpy Abundant cemented breccia (>50%) 38 53 cc Intermittent veinlets and occasional breccia (1-5%) 53 56.12 cc Local zones of breccia (5%) 61.5 63 ml, bn, cc Occasional veinlets (1%) 63 64 cc, chpy Abundant breccias (5-7%) 73 80.4 cc Massive dolomite with trace veinlets (1%) 82.2 82.6 cc Massive breccia (>50%) 82.6 83.5 cc Minor veinlets (1-2.5%) 87.5 92 cc, ml Small fractures lined with sulphides and irregular veins (1-5%) 97.6 104 ml Trace malachite in vugs in dolomite (1%) 133 137 ml Malachite in calcite veins throughout massive dolomite (1%) Table 2: Description of intervals with visually identified mineralisation in drill hole ST22-02. Mineralogy key is cc = chalcocite, chpy = chalcopyrite, Cu = native copper, az = azurite, ml = malachite, bn = bornite, cv = covellite www.americanwestmetals.com (ASX: AW1) 7 Figure 5: Drill core from ST22-02 between 13.6 – 27.3m downhole showing massive and breccia chalcocite (dark grey) hosted within dolomite (pale grey) Hole ID Prospect Easting Northing Depth (m) Azi Dip ST22-01 2750N 466230 8172841 128 180 -50 ST22-02 2750N 466202 8172763 155 360 -65 Table 3: Drill hole details FORWARD PROGRAM The diamond drilling is continuing at the 2750N Zone with drill holes now targeting eastern extensions to the mineralisation. Preparations are also underway for drill testing a number of high-priority electromagnetic (EM) conductors that were identified by the 2021 fixed loop electromagnetic (FLEM) survey within the Storm Project area. Investors can expect regular updates on the progress of drilling as well as announcements for the assay results when they become available. www.americanwestmetals.com (ASX: AW1) 8 ABOUT STORM COPPER AND SEAL ZINC-SILVER PROJECTS, NUNAVUT The Nunavut property consists of 117 contiguous mining claims and 6 prospecting permits covering an area of approximately 302,725 hectares on Somerset Island, Nunavut, Canada. The Storm Project comprises both the Storm Copper Project, a high-grade copper discovery (intersections including 110m @ 2.45% Cu from surface and 56.3m @ 3.07% Cu from 12.2m) as well as the Seal Zinc-Silver Deposit (intersections including 14.4m @ 10.58% Zn, 28.7g/t Ag from 51.8m and 22.3m @ 23% Zn, 5.1g/t Ag from 101.5m). There are numerous underexplored targets within the 120km strike length of the mineralized trend, including the Tornado copper prospect where 10 grab samples yielded >1% Cu up to 32% Cu in gossans. American West Metals Limited has an option to earn an 80% interest in the Storm Project. Figure 6: Location map of major northern Canada and USA mining projects www.americanwestmetals.com (ASX: AW1) 9 www.americanwestmetals.com (ASX: AW1) 10 This announcement has been approved for release by the Board of American West Metals Limited.