Axo Metals Drilling Intercepts 18.0 Metres of 8.15 g/t Au at San Antonio Project; First Step Out Drilling Reports Strong Grades Directly From Surface 750 Metres Beyond Resource

Axo Metals Corp. (AXO) released results on September 14, 2026, detailing the first significant step-out drilling at Luz del Cobre, located approximately 750 meters east of the Sapuchi resource boundary, alongside additional infill and resource-conversion drilling at Sapuchi. The company reported a total of 29 holes covering roughly 5,000 meters, with three holes listed as NSV. Axo is advancing San Antonio as a potential starter-pit heap-leach gold restart.

Key reported intercepts include:

• SOSAP-26-048: 46.5 m @ 1.43 g/t Au from surface, oxide, at Luz del Cobre, collared ~750 m east of the Sapuchi resource boundary.
• SOSAP-26-039: 18.0 m @ 8.15 g/t Au from 18 m downhole at Sapuchi, entirely oxide, including 12.0 m @ 11.71 g/t Au.
• SOSAP-26-027: 47.1 m @ 1.16 g/t Au from 13 m, oxide to transition, including 9.45 m @ 3.01 g/t.
• SOSAP-26-025: 75.0 m @ 0.87 g/t Au from surface, oxide/transition, including 7.10 m @ 2.34 g/t.
• SOSAP-26-028: 49.7 m @ 1.20 g/t Au from 79 m, transition/sulphide, including 18.11 m @ 1.91 g/t.
• SOSAP-26-024: 69.62 m @ 1.24 g/t Au from 102.38 m, transition/sulphide, including multiple higher-grade sub-intervals.
• Trench at Luz del Cobre west highwall: 20.7 m @ 1.08 g/t Au; on-site lab only, preliminary and not independently verified.
• SOSAP-26-080 is pending; visual hydrothermal breccia was logged.

Axo Metals Corp. (AXO) released drill results from its San Antonio project, a move that focuses on whether the drilling expands the resource base and refines the mine plan rather than serving as an earnings update or resource declaration.

The company reported high-grade oxide intersections at Sapuchi, which support the starter-pit thesis and may convert areas previously modeled as waste. Additionally, a step-out hole at Luz del Cobre represents a new target test, marking the first from-surface oxide intercept 750 meters beyond the resource boundary and aligning with the company’s separate gold-mineralizing-event thesis.

Financially, Axo Metals remains funded with reported cash of approximately C$36.6 million as of March 31, 2026, and working capital of about C$33.3 million, allowing the program to continue without immediate financing risk. The company currently holds an existing 1.12 moz Au resource base and a market capitalization around C$214 million.

However, the single Luz del Cobre step-out hole is surrounded by several low-grade holes, and continuity, true width, cutoff, and metallurgy have not yet been established. The stronger Sapuchi holes are primarily located around or inside the existing resource area, suggesting their main value lies in upgrading and potential waste conversion rather than district-scale discovery.

The stock has risen from approximately C$0.72 in mid-July to C$0.99 by September 11, a gain partly driven by permitting progress and drill anticipation. These results are positive but broadly consistent with that build-up.

Axo Metals Corp. (TSXV: AXO) is a Halifax-based Canadian mineral exploration company listed on the TSX Venture Exchange. Its primary asset is the San Antonio gold project in Sonora, Mexico, which the company acquired from Osisko Development in January and February 2026. San Antonio is a past-producing copper-gold brownfields project featuring heap-leach and carbon-in-column infrastructure.

The company’s reported resources at San Antonio include an Indicated category of 576,000 ounces of gold and 1.37 million ounces of silver at grades of 1.20 g/t gold and 2.9 g/t silver. The Inferred category contains 544,000 ounces of gold and 1.76 million ounces of silver at grades of 1.02 g/t gold and 3.3 g/t silver. Axo also holds La Huerta, an early-stage copper discovery in Jalisco, Mexico.

As of March 31, 2026, the company held C$36.6 million in cash and C$33.3 million in working capital. Axo currently generates no revenue and reports negative operating cash flow. A 7.15% payable gold and silver stream, held by OR International, applies to San Antonio production, requiring payments equal to 30% of the spot price.