Acquisition of Three Past-Producing High-Grade Silver Mines

0:04 Good morning, good afternoon, or good evening, depending on where in the world you're signing in from. I see a couple of time zones represented, so I really do appreciate everybody's time in joining us today. And I've got with me today, Kevin Reed, CEO of Arizona Eagle Mining to discuss recent news. Kevin, how are you today? I'm great, Romeo. Thanks for having me. Awesome, and I'm excited for this conversation. Here's how today's going to work. First, Kevin's going to walk through a brief presentation. It'll be a quick summary of the company. So for those who are already following, just know that there are some people in the room who aren't familiar with the story, so he's going to go through a really, really quick overview, but then get into the most recent news, which I think will be exciting for people following the story. This is an interactive event. So while we're chatting today or even during Kevin's presentation, there's a chat button at the bottom of the screen, feel free to ask questions at any point during today's event. I'll try to get to all of them, but if for whatever reason I don't, I'll still make sure that the Arizona Eagle team gets them afterwards so they'll be able to see those questions and get back to you promptly. But I'll try to get to as many as I can during today's event.

1:01 The other piece of housekeeping is that today's event is being recorded and will be available for replay probably around 3 p.m. Eastern. It will pop up both on the same link if you're here in the room, but also on Six's YouTube channel where it will remain in perpetuity. The only other thing I'll say is that today's event will feature some forward looking statements. So keep that in mind as an investor. But let's get into the meat and potatoes. Kevin, I will throw it to you for a presentation.

1:24 Thank you very much, Romeo. And thanks to everyone for joining us here today. The purpose for this update, this video update, is on Monday, we announced the acquisition, the entering into terms to acquire 3 past producing Silver mines, high-grade Silver mines that are on trend, on structure to the McCabe mine. I'll get to that in a map, but I just want to remind everybody about what Arizona Eagle Mining is doing and where we are. Clearly, we're in Arizona. The focus of the company is on this past-producing, very high-grade Gold deposit that we acquired approximately a year ago in Yavapai County.

2:13 That's the anchor asset for the company, But we've assembled all this ground around it. So it's a past producer. It's very high grade. In fact, the recovered grade after mining and processing dilution was 11.7 grams per tonne gold and 69 grams per tonne silver. The historic estimate of our project was done in 1984. I'll get into some of the history of the project in a minute. But it was done in 1984, and the historic estimate was 877,000 ounces. Of those ounces, 60,000 were mined, so we're left with a historic estimate, not 43-101, but done by Derry, Michener, Booth & Wall in 1984, and Dr. Derry is in the Canadian Mining Hall of Fame.

3:04 We believe that the numbers were good. I will point out that the majority of those ounces, 700,000 of those ounces are in the geologic potential category, which again, not 43-1, but Those would be very loosely defined ounces. So really what we're doing here is we've gone into a past producing area, a past producing mine that has a historic estimate. It's on private ground. It's not on BLM or on forest property. It's on private ground, the project, which means permitting and surface disturbance is a much simpler process than dealing with the National Forest Service or Bureau of Land Management. So For example, we have established to date 10 drill pads on our project.

3:54 We got our drilling permit in 48 hours. The permitting process is much simpler when you're dealing on privately owned ground. We've assembled in total with the new acquisitions over 400 acres of private ground and the mine when it was in production in the 80s and early 90s was done on 10, just 10 acres of disturbance, surface disturbance. So we've got lots of ground, we've assembled the district. So Again, we're past producing. We're high-grade Gold and Silver. Also, I will mention there is significant management ownership. The management team and the founding team own 54% of the company. We've not taken any salaries. We've just invested into the company by buying shares.

4:41 So, heavily aligned. In fact, we couldn't be any more aligned than we are with shareholders. We own significant amount of shares in the company and we're aligned. We only started trading about 2 weeks ago so we're a relatively new company to the TSXV and we currently trade on the symbol AZEM on the venture exchange. So that's quickly, quickly, just a quick summary on the company. This is a picture from the BHP 1996 annual report. The McCabe mine actually ended up in BHP's portfolio when they acquired the magma copper mine or copper company for possibly 3 billion dollars back in 1993 or sorry 1996 they acquired they required the magma copper company The McCabe mine was actually shut down in 1993.

5:38 But this is a picture from the 1050 foot level station at the McCabe mine sometime in the 80s.

5:48 So just quickly on, again, who we are. We've acquired, we believe, a strategic proven mine that was shut down as a result of low Gold prices in the 1990s. It's a past producer, so we know that the metallurgy is good. We know that it can be mined profitably, even in a low Gold price environment. When this mine was in operation, the Gold prices were hovering around the low $300 range. So Clearly, with Gold prices approaching $4,800 per ounce and Silver prices near $80 an ounce, the economics for this deposit look very different. But really, our job is to continue to drill and to expand the resource to show that this has a much larger potential than the historic estimate shows. I'll get to that. We have multiple parallel structures with high-grade sampling.

6:43 This leads me into the reason we did the acquisition. We announced the acquisition of these 3 past-producing high-grade Silver mines. They're part of these structures. They're part of the system. Incredible infrastructure. We're off a paved highway. We're across the road from the Dewey Humboldt town, the town of Dewey Humboldt, which is where the Dewey Humboldt smelter was for many, many decades. And we have district scale upside and hopefully we'll have time today, but we have some very interesting copper targets, some VMS copper targets that the area has many VMS mines. This is where we're located. You see, we just go north on 17 from Phoenix for about a 2 hour drive.

7:30 We actually drive past the Iron King mine. It produced approximately 1 million ounces of gold and nearly 1 billion pounds of zinc from 1903 to 1969. That mine ended in ore at a kilometer below surface. The United Verde mine we've put up, that produced nearly 2 billion pounds of copper, one of the highest grade copper mines in the United States. So we're in a very prolific VMS system. But the McCabe and the Eagle project, as we're calling it, has the benefit of 2 systems. It has the foundational, much older, billion and a half to 2 billion year old VMS, vulcanogenic massive foundational, much older, 1.5-2Bn-year-old VMS, Vulcanogenic Massive Sulfide potential, such as the Iron King Mine. But we have the much younger McCabe precious metal geological systems which were formed approximately 70M years ago during the Laramide Orogeny, when all the mountain building took place along the West Coast as a result of plate tectonics. These are much, It's a much younger system, but it's very precious metal rich.

8:37 Just zooming out a little bit, you can see, as most of you will know, Arizona is a mining-friendly state. In fact, it's one of the best mining jurisdictions in the world. You can see some of the operations here, including Baghdad and of course, the Resolution Mine being built by BHP Rio Tinto. This is going to be a very, very large-scale underground mine. That is moving forward. As a result of the mining-friendly nature of Arizona, we see the potential for the Eagle project to be put back into production at some point in the future, should we have successful exploration. This is the team. It's on our website. You can go through it at your leisure.

9:23 In the interest of time, I will quickly, I do want to show the shareholder insider ownership. We own 54% of the company, significant insider ownership. And this is just high level. This is the project. This is the Eagle project in its entirety. And you can see here the blue ground, that's a little more than 4,000 acres of BLM ground that we've staked for mineral exploration. And the tan color, the brown colored areas and the green colored areas, this is the over 400 acres of private ground that we've purchased.

10:08 We spent approximately $8M buying all this ground. Now our ground has many past producing mines on it. On just the private ground. You can see all these pickaxes. These are all private ground, past producing mines that go back to the early 1900s. Many were left dormant. Many were in private estates or privately held by individuals. We've gone in and purchased the McCabe 87-acre package that was the foundation for building this company. It has a historic estimate. It was in production as recently as the early 90s. It has a shaft that extends down to 1,450 feet.

10:56 It has many kilometers of underground workings and a history of production, as do all these other mines. But the difference being these historic mines that you see that riddle our project are very high-grade in nature. And what they did in the early 1900s was they would sink a shaft and they would just mine the oxidized material, which is typically 300 feet, typically 300 feet or shallower. And they would recover it using gravity, very simple process to recover the Gold. As it got deeper into the sulphide mineralization, you would require stamp mills, or in the case of McCabe, they built a 500 tonne per day operation with the plan to be 50,000oz to 100,000oz producer. But again, as a result of low Gold prices, as a result of magma Copper being acquired by BHP, and you can imagine BHP being a many, many multi-billion dollar company, this asset, and they were focused on Escondida and focused on copper, the McCabe mine ended up in private hands where it resided for 30 years. And again, what we've done is continue to consolidate because we believe that the McCabe mine, although it's an excellent starting point with a historic estimate of over 800,000 ounces of very high-grade Gold, we've assembled all these other past producing mines,

12:27 which we believe have significant upside along strike, but also at depth. And I'll get to these up here, the green, that is the Silver acquisitions we announced on Monday and I'll get to that in a moment. But the point really here is we have a foundation of a historic estimate. A lot of it's in the geological inferred but they had reserves proven impossible. The head grade was approximately 15g per tonne Gold plus Silver. And what's also interesting is if the cut-off grade was 6.8g per tonne, so If the grade wasn't 6.8g, it didn't make it into the estimate. We see the opportunity really is threefold, expanding the resource along strike, expanding the resource at depth and also potentially expanding the tonnage through lowering the cut-off.

13:21 That could potentially bring more Gold into the estimates. What's really exciting for us and why we're here today doing this presentation is the acquisition of these 3 past-producing high-grade silver mines. What we're noticing geologically is as we move from the high-grade gold mine at McCabe towards the past-producing million ounces of production of gold and 1 billion pounds of zinc, the Iron King mine, what we're noticing is as we go northeast, these grades become more silver rich. And I'll get to that in a minute. But that is, we've extended the strike. So if we look at the strike here, the historic estimate of McCabe of over 800,000oz is over about 800m.

14:14 What we've assembled is another 1.5km of potential strike of high-grade Silver mines. For us, it's a meaningful acquisition and very exciting. This is a zoom in. This is again the McCabe mine zoomed in with all the past producing mines that we have the opportunity to explore. Right now we're in the process of drilling in this part of the structure. We have not gone in and drilled the old McCabe mine. What we have done with our first phase, fully funded 4,500m inaugural drill program, 4,500m program is we've drilled the Northeastern extension and now we've just started drilling the Southwestern extension.

14:59 We think It's important that we show the market that this is open. And really the story here is we've got an incredible anchor asset in terms of the historic estimate, very high grade

15:13 mine, but it's open. And it's really showing the market that we can expand the resource. Now, I'm moving to the Northeast, past the lookout mine here, which is here at the bottom of the page. We've acquired this ground, which has, as you can see, 1, 2, 3 past producing mines. The Lookout Mine, Arizona National, and the Silver Belt. We've sampled them at surface and As you can see, the grades are phenomenal. In some places we get over 500g per tonne Silver. We get over 15g per tonne Gold. I will point out that some of these, this sample, the ones in white, were taken from a dump. They'd mined it and they put some of the ore in a dump and that's what we sampled.

16:08 But some of these samples are from actual outcrop. You can see we get grades over 800g per tonne Silver. These were past producing mines.

16:18 They produced down to approximately anywhere from 300 feet to 500 feet at a maximum. And they really stopped mining when they reached the end of the oxides, where they could use gravity and very simple processes, literally like panning for Gold, to recover the Gold. As it gets deeper and less oxidized, the Gold that was initially in sulphide mineralization is encapsulated in the sulphides, which of course we would use just a standard milling CIP plant to recover. So that's the opportunity is to number 1,

17:00 drill out these areas and then to expand them along strike and along depth. So going to the lookout mine, you can see the limit of the mined area here, very shallow shaft. So this is, we view this as all potential. It didn't start from that surface, it started at depth. And same with the Arizona mine, Arizona National Mine, you can see 1, 2, 3 shafts and some underground workings that extended to a maximum depth of just 500ft. So keep in mind that's around 150 meters. The

17:35 Iron King mine was mined to a depth of 1,000 meters. So, you know, 6 times the depth. Again, here's the Arizona National Mine showing shaft 1, the vent raised, shaft 2, and then the Silver Bell Mine and shaft number 3, again, showing the underground workings. We do have some detail. We do have some historic records. We have some historic grade that was actually mined. They reported it in dollar value then, but gold prices were fixed, and as were silver prices. So they reported in

18:14 dollars per ton instead of ounces per ton. Just an old picture. It's a photograph from 1890. It shows a Silver Belt mining operation. You can see it's pretty simple, but the grades were phenomenal. They were mining between 15, based on the historic records, between 15 and 20 ounces per ton Silver. So, yeah, so It's really the Silver grades, the past producing nature, knowing that they only mine the oxides because of technology at the time, You can see it's very, very simple. And this is the expansion potential. So this is just looking at the McCabe structure. And as we go to the right, we start to see the Silver potential. So Again, the McCabe historic estimate is outlined in this box.

19:04 That's nearly 1Moz of Gold when we use the 15g per tonne head grade and 70g per tonne silver grade. It's open and we know it's open at depth because we've got a historic hole of 1.4m of 19g per tonne, which reconciles to the record. They produced a recovered grade of 11.7g

19:27 per tonne and that was what came out the back end of the mill, which meant the head grade was much higher, closer to 15g. This reconciles with those historical records. We know it's open at 480m, we just don't know because we haven't drilled it, what is the grade and the potential at depth. Same with on-strike. How do we know that there's more potential on-strike? We know because there's mines such as the Idaho mine, the Little Kicker mine, the California mine. These again were mined to shallow depths, mining the oxides, but the sulphide potential always remained untapped.

20:06 Coming back to why the Silver acquisition that we announced Monday is so strategic and so important for the company. This is the McCabe structure with a historic resource again showing the upside just on McCabe. These acquisitions nearly double our strike length and in fact when you convert to Gold grade the Silver grade is very similar to the past producing historic grade at McCabe and at the other past producing mines. 15 to 20 oz per tonne Silver translates into double digit grams per tonne Gold. So depending on how you want to look at it, there are some base metal credits that I'm sure in the early 1900s, they were just floating the Silver, the oxides, or just using gravity and very simple methods to recover it. But what we have are past producing mines that are open at depth.

21:00 Well down, they could be open to 1000 metres. As we know, the mine that's just 2km away produced 1Moz of Gold and 1Bnlbs of Zinc down to 1km.

21:14 We just see the upside here as being tremendous. Although our historic estimate is not $43,101, we really view that as an opportunity for shareholders. We have 3 shafts, we have kilometres of underground workings, We

21:32 have a history of production, so we know the Gold recovers. We know the metallurgy is good. Although it's not 43-101, which I realize is very important, in today's dollars, well over $100M has been spent on this mine. The reason it hasn't been advanced is because of these projects were sitting in independent private owners who didn't have access to capital and did not advance the project. What we've done as a team and as a company is we've assembled this whole district and put it all together. We're excited because we see that if that yellow line is 800 to 1Moz of Gold, how much more do we have along, essentially, not including the parallel structures? We have 5 to 6 times the strike length of this yellow box and we have at least double the depth potential.

22:39 It's many multiples of this as we can see here from all these past producing mines. This is the geophysics with some sampling, but that's really what I wanted to hit on today was this silver acquisition and the upside potential that it represents for us. We've nearly doubled the strike length of just the McCabe structure. So there's a lot to do. We're currently drilling over here and we're about 70% through our inaugural 4,500m

23:15 drill program. And Romeo, with that, I think I will pass it back to you. Awesome. Thanks, Kevin. I think if we can just end screen share for now, we can jump back into just chit chat. So it's great. There are some great questions from the chat. I had a couple of my own too. So if you don't mind, I'm just gonna grill you for a bit based on what we just heard. So anybody in the chat, I know there have already been some questions, but if you've got more, please do let me know. And at the same time, there is a

23:43 button at the bottom of your screen called request meeting. If you scroll, you'll see it pop up. Please press that at any time during today's event. You can request a meeting with Kevin and the Arizona Eagle team. But let me get into some questions. Some of the people in the chat have actually asked the same question so I will revert to their version. But the first one I wanted to know is, I know you touched on the presentation, but I'd love it if you could just walk us through the story of how this came together. I'm a narrative guy. I know these 3 mines have been sitting in private hands, dormant for almost a century. So what did it take to get 5 parcels under agreement at the same time?

24:14 And Why now? Well, great question, Romeo.

24:20 It was an evolution. We had been looking at this McKay mine for a number of years and it was, as I mentioned, it was with a private geologist for 30 years, ever since BHP acquired Magma Copper. One of the geologists, I believe it was a Newmont geologist, but don't quote me on that, but it was around that time because the Magma Copper guys, remember Magma Copper was spun out in Newmont in 1987 to monetize their copper assets. And in the early 90s, copper was $1.20 a pound. They're making money. They're doing, they're one of the largest copper producers in the US. They go looking for a gold asset. They're Newmont geologists. They can't help themselves. So they go, they buy this project. But what happens is BHP buys Magma Copper for $2.9Bn

25:09 and they go and build Escondida. And this is becoming a world-class, which everyone knows BHP today is $100Bn, $200Bn. I don't even know what the market cap is, but it'd be north of $100Bn, I'm sure. It's a massive company. So this is a, although high-grade and very substantial resource by today's standards still,

25:30 when they're building Escadita and Gold prices go from $800 to $280, it's not the focus. And actually a private geologist ends up with it. It took us many years to do that deal and it actually ended up in an estate. And Without going into too many details, we were dealing with the people running the estate. Getting the McCabe asset was the anchor. When we were able, after many years, to strike that deal, which took place about 14-months ago before gold prices went from $2,800 to $4,800,

26:04 we were able to strike a deal. And then what happened, Romeo, from there is we started buying all the ground around it, piece by piece by piece. And we have basically a price we pay per acre, which we don't deviate from. So, we just strike the same deal. You've got a past producing mine on your property. We're interested. This is what we pay per acre. Are you interested? And there's been a lot of folks that have had these projects and they're well in their retirement years and they've been looking to monetize. These are very high-grade, past-producing

26:38 mines, and there were people still with the gumption to try and mine them. They do that and It's not easy to do this as an individual. It really requires corporate backing and a consolidation.

26:55 It wasn't 1, here we go, we're done. It's been a slow consolidation and now we've got so much ground to explore. As I mentioned, we're over 400 acres of private ground and over 4,000 acres of BLM ground. We could be working on our project, just our private ground for many, many years. We've got, as I mentioned, we've assembled 8 kilometres, which is 10X the historic estimate. And strike, just strike length, 10X. And don't forget McCabe's open 3X if it goes just as deep as the mine down the road. So that's 25X of boxes to fill when compared to the historic estimate. That's how much ground we have just on our private ground, which is so important because we're not subject to plan of operations via the BLM and the NEPA process.

27:50 We own the ground. But of course, if we put the mine in production, we would have to go through federal, like anyone would, air quality,

27:59 water discharge, all those permits. It would certainly be a much more streamlined process. And I know I added more to the question. No, I appreciate it. I asked the question because I wanted a more full picture of the story and I think you gave it, so I appreciate it. One thing I want to get into is the geology. Does the Silver Parcel sit only 1km northeast of McCabe and extend the structural corridor of mineralization from 3km to 4.5km, as you've said? I'll jump to a question from the chat because Barry asks basically a version of what I was going to already, which is, is Eagle Silgavur an extension of McCabe or is it totally separate or do you know at this time? That's an excellent question. And the geology, it's a good question because as you go northeast, you look at it when you, I don't have the presentation up now, but I know the folks can find it on our website at ArizonaEagleMining.com and they can go back and look at the map.

28:52 But you will see it's interesting that as you go northeast along that structure, you actually run into the Iron King Mine. Now the Iron King mine is interpreted, and I believe rightly so, as a protozoic, which is just, I'm talking geological age, which is over 1 billion years old. And we're talking island arc environment, imagine 2 plates separating and black smokers and, you know, pillow basalts and under the ocean, right? Over millions of years, these fluids being deposited on the ocean floor, creating these, we have them today. And we've heard of those underground ocean miners. Those folks are mining recent VMS deposits. Not like 100 years old, but the recent, like in the thousands of years old, tens of thousands, which is geologically extremely young. So the VMS, which you have the United Verde mine, you have all these different deposits, the Iron King mine, which are all a part of this massive 100km square.

29:54 This is the foundation, the bedrock of this geology. That's VMS deposit, That's how it's interpreted. Now what we have in the McCabe structure, which extends to the Iron King mine, just based on the map. I mean, you draw a line to it. That's where it goes. These deposits are interpreted as much younger Cretaceous it's called the Laramide orogeny which talks to the Laramide mines are mountains and Rocky mountains during the the Cretaceous which is again dinosaurs are still alive, but not for much longer. 70 million years ago, we've got these plate tectonics crushing the crust, right? Creating these mountains and creating, so these structures it's interpreted came from that mountain building event. So much younger, But you can imagine that if you have these VMS deposits everywhere and these fluids are now pumping up through these structures, there may be some fluids being pulled from these deposits and maybe that's remobilizing some of the mineral, the Gold, Silver, that's where you'll see Zinc in our results.

31:04 We will see Sulfide mineralization. But they're really interpreted as 2 different events. Now, are they related? It's hard not to think that they're related somehow, although the VMS came first. The much younger precious metal, we're calling the the mesothermal structurally hosted precious metal systems, we're viewing as a different event. So what we're seeing is, now I'm gonna get to the verb here, but What we're seeing is a gradation. This is high level and still yet to be confirmed, but what we're seeing from our work and the historical record is, as you move southwest on the McCabe structure and go northeast towards Iron King, we're seeing it go from high-grade Gold to high-grade Silver.

31:59 We're seeing a gradation. We're obviously very pleased to see that because We although we do have silver in the McCabe mine It's it's 5 million out the historic estimates 5 million ounces over it 69 grams per ton We're seeing much higher grade silver and these silver projects, but also carry gold. So I think what you're seeing is a zonational thing. Now I don't know if I can explain it all as clearly as I would like to in the time we have, but we are seeing zones, different zones, different gradations, and probably as a result of where they were relative to the heat source at the time. Great. I appreciate that. I think it's helpful. One thing I want to talk about, this never sounds sexy, I want to talk about waste piles for a second. Because I know the numbers from the Arizona National Waste Palette are pretty eye-catching. You've got a sample of 861g per tonne Silver with almost 3% Zinc, another 297g Silver with 15.5g per tonne Gold.

32:58 So for whichever investors in the room don't sample old mine dumps for a living, which I imagine might be some of the ones in the room. What does it mean when historic waste is creating like that? And what does it tell you about what the original miners left behind? Well I think that's it. I think you said it in your question, is they mined it. So here's when you go out, When the geologists go out and sample, keep in mind we're looking for outcrop. That's the goal, to find the structure, find the outcrop, sample the outcrop, take it to the lab, which we've done. You can go back, as I said, at your leisure and look at our presentation. There are many high-grade samples across the project, which is, as a geo, I've never seen in person. I've worked on many projects, grass roots typically, but to see the samples we're seeing like ounce per tonne Gold at 29g per tonne Gold, 800g per tonne Silver, 29% Copper.

33:54 These are phenomenal grades and we're seeing them at surface. What our geos did was they would just see a pile of rocks, which would have come out of the shaft and placed. We can't say that that's from the mine. We don't know. It could have come from anywhere. It's not at source. What geologists are looking for is stuff to sample. Ideally, 95% of our samples are from outcrop and it's in our presentation. But we do point out that some of this material came from a waste dump. So in other words, they mined it, maybe they're going to get to it, they didn't get to it. But there it is. And our geo sample, someone's like, what was coming out of this mine, right?

34:44 Although we can't say it came out of the mine. One could reason it came from that mine or very close by, but we have to be clear it's from a waste dump. But yes, it's just material that's been pulled from a shaft and it's been left and we've sampled it. And what we interpolate as part of our exploration program is, okay, where did this come from? And what does it tell us? Well, it tells us that they were pulling 15g per tonne Gold and 800g per tonne Silver out of this thing. And that's what they were likely mining. Again, it's the shallow stuff down to no deeper than 500ft was the deepest extension, 150m. Again, when you compare it to what the Iron King mine, just a kilometre, 2km away was being mined down to a kilometre.

35:32 That's 6X the depth. So that's really what we're focused on is, okay, they took the stuff they could recover from gravity and simple processes, although our process isn't complicated, but as you can imagine, a miner in 1930 didn't have the resources for a ball mill or even a stamp mill. They just didn't have it. So they went in, they mined the easy stuff. And for us, we just say, thank you for doing all that hard work. Thank you for doing all that exploration. Thank you for sinking the shafts. Thank you for giving us the arrow to where it is. And now it's our opportunity as a company to go in and drill it and show that it's open still and show that the mineralization has lots of potential.

36:21 And that's why we've acquired these past producing Silver mines is because it's on strike, it's strategic. We drive by them on the way to our project. So, and they were in many different parties and we had to go about doing those deals and the parties have been great. And again, we pay what we pay. But it's, you know, our team has done a great job of, you know, putting it all together and that takes time. That's great. My next question is, it's going to be a combination of something I wanted to ask, but also 1 from the chat. Because Gladdy from the chat wrote about a half hour ago, what's the re-rate opportunity this year? So I'll expand it a little bit. But you've got phase 1 slender weight McCain through June. Talk us through how the back half of this year is going to look in terms of news flow, drill targets, the cadence of asset coming back from the lab. And then to answer Gladys' question from the chat, what's going to move the stock this year in your personal opinion?

37:15 Well, honestly, I thought the silver acquisitions would move the stock at least a little bit because they are very high grade. The package we've assembled is actually 2x the strike of the McCabe resource. But we're just starting to get the story out. The story's only been trading for a little more than 2 weeks. So it's a new story. And where do we get the re-rate? Well, I was actually doing a call earlier today and people say, well, it's not 43.1, it's not 43.101. Well, I can only point and I can't speak to, I'm not going to speak to other companies here. I'll allow the listeners and the viewers to do their own homework. But if you had 1 million ounces of 12, 15g per tonne Gold in a 43-101 report off a paved highway on private ground, not at 3,000m in the Andes, water, power, access to talent, infrastructure second to none in a mining-friendly jurisdiction, I've seen those ounces trade way higher.

38:26 That's just our historic estimate. It's not 43,101. I agree with you, it's not 43,101, but how many projects have 3 shafts, kilometres of underground workings, a history of production? Not many. The opportunity for shareholders, And this is what's really key here is it's not 43-101 and that's the opportunity. So you have to ask yourself and as an investor, and we've invested, you know, millions of dollars of our money because we believe that the opportunity is to expand it. And that's why we didn't go into the historic resource to start our initial program. We went in to show that it's going to be outside as well. And when the market understands and if we can show the market that the resource is bigger than 1 million ounces of high-grade Gold and Silver, then we should trade where the comparables trade.

39:22 You know, all we can do is check the boxes. Mining-friendly jurisdiction, history of production, private ground, therefore streamline opportunity to get back into production, a history of mining. You know, All we can do is put together the story and then I believe when the market sees that, hey, this is real, this is going to be X and I don't know what X is, We could be drilling this for really, I hope we're drilling this for many years because that means we're still hitting. And you see some of the other stories, which I won't name, but that spend hundreds of thousands of meters of drilling and keep adding to their market cap because they keep showing it's bigger. That's how the shares are going to perform, I believe. So it's our job to have the capital to drill. It's our job to make sure we're drilling in the right places where we can really drive the excitement in the story.

40:12 As you can tell, I'm already excited about it. I'm in. I've written my cheques. One of our founders is still buying in the market. Our largest shareholder is buying in the market today. He told me today he's buying in the market. So we've put our money where our mouth is. Our shares are escrowed for 3 years. So we don't take salaries. You know, this is not a lifestyle company. This company is our life. If that makes any sense. Sure. I think I said the last time you guys don't have skin in the game. You got limbs. You got heads. You have too many appendages in this game. We're just going to protect shareholders. I mean, that's it. You don't ever have to, whatever we do, whatever decision we make, you know it's because we think it's the best for our shares. You don't have to question.

41:01 I'm not one of these shareholders, managers, that CEOs that I know there are many are. I mean, as a shareholder, ask the question, how much stock did you buy and what's your salary? And if the answer is I never bought stock and I get paid half 1 million dollars a year, well, then you know that his job is to keep the treasury full to pay himself. And I'm not saying don't invest in those companies. You could. I mean, they may have a phenomenal asset. Maybe he just doesn't want to buy shares. I don't. This is just. Sure. We have done what we feel is as a former investment banker and the things I look for is, I look for the same things. Is the thing, can you put this in production? If you have the, you know, and if the end, we got to start there and work backwards. And the answer is yes to that question. The answer is we are at a very phenomenal location. You can drive a rental car from the airport and be at this Sooner shaft that was sunk by Stan West in under 2 hours.

41:58 I've met with the council at Dewey Humboldt, very supportive of mining. They want you to do the right things. And of course, we're going to do the right things. You have to have an excellent community relations program, which we do and intend to expand. So you have to start with, Does management own it? Is management here to drive the share value? And is this, when we're talking about mining, and we are here today, is this something that could be in production? And the answer to all those questions are yes. So I think I answered the silver question. Many other things, but I want to keep driving that home that we are in this because we're shareholders. Yeah, no, no. And I appreciate I think it's useful information. I think investors should always keep an eye on that, actually. There's one question from the chat.

42:48 I'll start with some context because I know you mentioned you expanded patented land ownership by 18% to 410 acres on top of that broader 4,100, 6,900 acre land package. I know patented ground in Arizona is a very different animal from federal claims in terms of permitting flexibilities we've already talked about. Somebody from the chat asks, and this is where it leads in, Graham asks, are there local groups to negotiate with or does private land preclude those discussions at this stage? It does. Yeah, that's an excellent question. We do have, as I've pointed out, a combination of private ground, which again, we could be exploring for a really long time. Just on the structure point, this McCabe structure, that mesothermal structures that we have, we've assembled 8 kilometers, which is 10 times the McCabe estimate to explore on private ground. Although we've consolidated the district by staking all the BLM ground that was available over another 4,000 acres, again, 10 X again on the size.

43:49 It does, of course, we're respectful to the community and want to keep the community up to speed on what we're doing, but we've gone in our private ground, we've rehabilitated the road because although it was manageable, I mean, you could drive on it. The rental car companies were getting some scratched up cars. But now you can drive a Yukon down the road. Or you can even drive a smaller car. The roads have been rehabilitated. You can drive all over the property. We've established 10 drill pads. So no, we have to go through the normal permitting process. But as I mentioned, we got our drill permit on our private ground in 48 hours. Wow. Yeah, it's good for people to understand just how permitting works in different types of land in different states. I'm glad we got an opportunity to talk about it. Last question from Wesley. He's got, I think, a funny question and then a crystal ball gazing question.

44:39 I'll give you the funny one first. He wants to know if you're going to change your name to have Silver in the name, because it seems to be the way to get Eric Sprott on board. So I'll let you speak to that one before I give you the crystal ball gazing question. Well, no, I mean, we're not going to change our name. We really called it Arizona Eagle Mining because we do have, and I didn't get into it in this presentation, but I have in our previous calls, Romeo, we have very interesting Copper targets and exceptional Copper targets. As I mentioned, the Iron Kings of VMS deposit, the United Verde is a VMS deposit. We have this very, very prospective Copper anomaly with high-grade Copper at surface and high-grade Gold actually. And our geologists, their analysis of this, and it's also on top of a conductor. So our geologists have formulated, based on their understanding of the geology, the regional geology, and more specifically, the local geology, is that we have potential for a Copper-Gold VMS target.

45:42 So that's why we stayed away from commodity specific, because we are Gold, we are Silver and we actually do have Copper and potentially some Zinc. But really the meat and potatoes is Gold and Silver at the moment. I appreciate that. And then I'll end off with everybody's least favourite type of question, a crystal ball gazing question about commodities prices. The same person wants to know if you think Silver is at its new floor or close to its new floor. Where do you think Silver is going for the rest of the year? I'll let you opine on the Silver market for a few minutes. Well that's a great question everybody. I would love to know the answer to it. It's timelines, things can change for things that we can't predict, right? Obviously, a war could start. A silver mine or a project could be confiscated from, you know, not that it's going to, I see that happening in mining friendly USA, but in some of this, you know, other countries, that's always a possibility. All these things that can happen that we can't expect.

46:41 So I'm gonna answer that question with a question. And this is why I'm in the precious metals, I'm a geologist by background, but really why I like Gold. And as a result, I love Silver, and I think you're right to like Silver. I think it's got a lot of catching up to do because of the supply-demand dynamics. And I think the demand's getting larger, as we all know, as a result of manufacturing. It gets used in a lot of things that Gold isn't used in, as a result of its, for many reasons, which I won't get into, but it's used in manufacturing. And I see that growing. I see supply is always declining. We are in a finite resource business. There's only so much of it. They've had to mine higher, lower-grade mines to produce higher tonnage to get the same amount out.

47:32 That dynamic is constructive. The supply-demand is naturally constructive. Precious metals, if you view them as a hedge to USD, I fundamentally come back to the one simple question. If you get a yes, then I believe prices are going higher. I do think prices are going higher in the longterm. In fact, I'm very confident prices will, I don't know if it's a floor, it could always go lower. I mean, but I think fundamentally they are going higher. And it's the reason is, if you believe US debt is going to go up, if you believe money supply is going to increase, this is you get 90% of it right. If you if you answer that question, Yes. So as the debt gets higher, the interest rate gets higher and as inflation gets higher, the couping gets higher. So what you're seeing in the United States is and this is because it's priced in US dollars, I'm using the United States, but you can talk about other global economies.

48:30 We're seeing the debt go up and interest rates haven't abated. So cost of capital for the US is going up. And so they're going to have to print more money. And if you believe they're going to print more money, then I believe that the US dollar, whatever, may go up relative to gold. I mean, sorry, it may go up relative to other currencies, but if they're printing more money and taking on more debt, your natural hedge is to own Gold and Silver. So, if you think they're going to print more money, what I've seen is they're adding another trillion, they just keep expanding their budgets. And the debt is now 40 trillion or whatever it is. It just it keeps going up. So if you believe that's going to keep going up, the way to hedge yourself out is clearly real estate and hard assets, but also gold and precious metals.

49:18 So yes, I believe it's going higher. And unless that changes, it's going higher. Unless you see a surplus of fiscal prudence in the near future, which I personally do not. No president ever got elected that way. So if they want to get elected, they've got to spend. That's a tough gig. But Kevin, thank you so much for letting me grill you here and running through this presentation. Thanks, everybody in the audience and for sending in questions. Please do hit that request meeting button while I'm wrapping up here. If you would like to request a meeting with Kevin and the Arizona Eagle team, but otherwise, thank you so much, everybody, and thank you, Kevin, for running through. I hope you have a wonderful end to your Wednesday.