07:05 AM EDT, 06/25/2025 (MT Newswires) -- Arizona Sonoran Copper ( ASCUF ) , an emerging U.S. copper developer, on Wednesday said its subsidiaries have exercised their rights to buy down 0.64% of certain net smelter return royalties on the Cactus project ahead of the July 10 exercise notice expiry dates.

Total cash payments of US$8.9 million will be made to RG Royalties, a subsidiary of Royal Gold and Elemental Altus Royalties ( ELEMF ), to reduce the NSR percentage to 2.54% from 3.18%.

The remaining 2.54% NSR applies to the Cactus West and Cactus East deposits and a portion of the Parks/Salyer deposit.

The buy-downs are part of Arizona Sonoran's royalty reduction strategy to optimize project economics ahead of the pre-feasibility study scheduled for completion later this year.

The buy-downs are expected to close on Aug. 12.

"Having just completed the $51.75 million bought deal financing, we now have the necessary runway to advance Cactus, with confidence and clarity, through PFS and then Definitive Feasibility Study to an eventual Final Investment Decision, potentially in Q4 2026," said George Ogilvie, president, CEO and director of Arizona Sonoran.

The company is working to position the Cactus project as a lower-risk, top-tier copper development project delivering copper cathode production.

The company's share price rose 2.4% on the TSX on Tuesday.