Gunnison Copper Confirms High-Grade Massive Copper-Zinc-Silver Sulfides at Strong & Harris, Including 40 Feet Grading 5.1% Copper and 12.0% Zinc

Gunnison Copper reports high-grade drill results and robust PEA economics at Gunnison, Arizona.

What the company is saying

Gunnison Copper Corp. highlights initial assay results from its 2026-2027 drilling program at the Gunnison Copper Project and the Strong & Harris satellite deposit in southern Arizona. The company emphasizes the intersection of 40 feet grading 5.15% copper, 11.99% zinc, and 16.38 g/t silver in hole SHM-2, confirming high-grade mineralization in the resource model. Management frames these results as reinforcing the district's potential, with CEO Craig Hallworth stating the focus is now on optimizing metal recovery, including evaluating a concentrator route for sulfide material. The announcement details the ongoing metallurgical program across seven laboratories, covering heap leaching, flotation, and solvent extraction. The company references a March 2026 preliminary economic assessment for the Gunnison Project, citing an NPV8% of $2 billion, IRR of 22.5%, and a 3.9-year payback period. The tone is confident, positioning Gunnison as a future major American copper producer, while noting that further technical and economic evaluation is required for processing options.

What the data suggests

The disclosed drill results at Strong & Harris include a 40-foot interval grading 5.15% copper, 11.99% zinc, and 16.38 g/t silver within a broader 311-foot zone at 1.39% copper and 2.29% zinc, which are high grades for this deposit type. At the main Gunnison Project, broad intervals of copper mineralization were intersected: 790.3 feet at 0.46% copper (NSM-18) and 738.3 feet at 0.43% copper (NSM-22). To date, 27,953 feet of drilling across 25 holes have been completed out of a planned ~138,000 feet and 120 holes, representing about 20% of the program. The Gunnison Project’s Measured and Indicated Mineral Resource stands at over 846 million tons grading 0.33% copper, containing 5.19 billion pounds of copper, while Strong & Harris hosts an Inferred Resource of 76 million tons at 0.49% copper, 0.56% zinc, and 0.12 oz/ton silver, totaling 740 million pounds of copper, 856 million pounds of zinc, and 9 million ounces of silver. The March 2026 PEA reports an NPV8% of $2 billion, IRR of 22.5%, and a payback period of 3.9 years, indicating strong project economics at the study level. The Johnson Camp Asset is in production with a capacity of up to 25 million lbs of copper cathode annually, funded by Nuton LLC (a Rio Tinto Venture). The data is comprehensive for project stage, but actual production, revenue, or cash flow figures for Gunnison are not disclosed, and the economic study remains preliminary.

Analysis

The announcement provides detailed and credible technical results from the ongoing drilling and metallurgical programs, including specific assay grades, resource estimates, and a recent PEA with robust economic metrics. However, much of the narrative emphasizes the future potential of the Gunnison district and the possible addition of a concentrator, which remains under evaluation with no committed development or timeline. The majority of realised facts relate to drilling progress and resource delineation, while key project benefits (such as expanded production or new processing routes) are still aspirational and contingent on further technical and economic studies. The PEA is a positive milestone, but as a preliminary study, it does not guarantee project execution or profitability. The capital intensity flag is triggered by the scale of the project and the long-dated nature of potential returns, with no immediate earnings impact disclosed. Overall, the tone is optimistic but proportionate to the stage of development, with some forward-looking statements that modestly inflate the signal.

Risk flags

• ●The Gunnison Project’s economic case is currently based on a preliminary economic assessment (PEA), which includes Inferred Mineral Resources considered too speculative for conversion to reserves; there is no certainty that these outcomes will be realized, and further technical and economic studies are required before development decisions.
• ●The company’s metallurgical and processing strategy, including the potential addition of a concentrator, is still under evaluation, with no guarantee that technical or economic hurdles will be overcome to enable recovery of copper, zinc, and silver at the projected rates.
• ●Only 20% of the planned drilling program is complete, so resource expansion, grade continuity, and process optimization remain unproven at full scale, introducing uncertainty around future resource updates and project viability.
• ●The capital intensity of the Gunnison Project is high, with a PEA NPV8% of $2 billion and large-scale infrastructure required; delays, cost overruns, or funding shortfalls could materially impact project economics and timelines.
• ●The Johnson Camp Asset is in production and fully funded by Nuton LLC, but the flagship Gunnison Project’s financing, permitting, and construction remain uncommitted, exposing investors to execution and funding risks before cash flow is generated.

Bottom line

Gunnison Copper’s latest update provides credible evidence of high-grade copper-zinc-silver mineralization at Strong & Harris and broad copper zones at the main Gunnison Project, with 27,953 feet drilled out of a planned 138,000 feet. The company’s March 2026 PEA outlines robust economics—$2 billion NPV8%, 22.5% IRR, and a 3.9-year payback—but these are preliminary and rely on further technical and economic validation. Metallurgical testing and process route selection are ongoing, with no final decisions or production timelines for the flagship project. The Johnson Camp Asset is producing and fully funded, but the main Gunnison Project’s path to cash flow is still long and subject to significant technical, permitting, and funding risks. Investors should focus on upcoming drilling results, metallurgical outcomes, and concrete steps toward feasibility and financing as the next material catalysts. The most important takeaway is that while the technical and economic potential is significant, value realization at Gunnison remains contingent on successful completion of studies and project advancement.

Announcement summary

(TSX:GCU, OTCQB:GCUMF, FSE:3XS0) Gunnison Copper Corp. has announced initial assay results from its 2026-2027 drilling program at the Gunnison Copper Project and the Strong & Harris satellite deposit in southern Arizona, United States. Drill hole SHM-2 at Strong & Harris intersected 40 feet grading 5.15% copper, 11.99% zinc, and 16.38 g/t silver within a broader interval of 311 feet grading 1.39% copper and 2.29% zinc, confirming a high-grade zone in the resource model. At the Gunnison Project, drill hole NSM-18 intersected 790.3 feet grading 0.46% copper, and NSM-22 intersected 738.3 feet grading 0.43% copper. To date, 27,953 feet of drilling across 25 holes have been completed as part of a planned ~138,000-foot, 120-hole program. The metallurgical testing program is underway across seven laboratories, evaluating heap leaching, sulfide leaching, material sorting, flotation, and solvent extraction. Flotation testing at FLSmidth is assessing a potential concentrator processing route for sulfide mineralization, including the high-grade copper-zinc-silver mineralization in SHM-2. The 2026-2027 drill plan includes 93,045 feet for resource drilling, 25,955 feet for metallurgy, and 19,000 feet for exploration, totaling 138,000 feet, with 27,953 feet completed so far. The Gunnison Copper Project has a Measured and Indicated Mineral Resource of over 846 million tons at 0.33% copper, containing 5.19 billion pounds of copper. The Strong & Harris deposit hosts an Inferred Mineral Resource of 76 million tons grading 0.49% total copper (0.32% CuOx), 0.56% zinc, and 0.12 oz/ton silver, containing approximately 740 million pounds of copper, 856 million pounds of zinc, and 9.0 million ounces of silver. A preliminary economic assessment (PEA) completed in March 2026 for the Gunnison Project yielded an NPV8% of $2 billion, IRR of 22.5%, and a payback period of 3.9 years. The Johnson Camp Asset, now in production and fully funded by Nuton LLC (a Rio Tinto Venture), has a production capacity of up to 25 million lbs of finished copper cathode annually. Other deposits controlled by Gunnison in the district include South Star and eight additional deposits. Dr. Roland Goodgame, Senior VP of Project Development, is the Qualified Person for the technical information in this release and has verified the data and QA/QC procedures.

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