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0:00 ♪♪ Yes, well, thank you. I'm Alain Lambert, CEO of Prismo. We have 3 projects, as just got mentioned. So Los Pavitos, Orogenic Gold Play in Mexico. We got this property, optioned it from Peter McGaugh's Minera Cascabel when we founded the company together in 2019. Pinnacle District, we're surrounded by Visla Silver that owns 9% of our company. We've advanced that to drilling in the last few years. And the focus of our company in 2024 and probably 2025 is a copper project that we have in the heart of the Copper Belt in Arizona, and Steve will be talking about that. I'll just make a few more remarks before I pass it on to our president, Steve Robertson.
1:04 A couple things here to mention is that we feel is fairly unique to what we do at Prismo Metals is we have the right balance between capital markets people. My background is law and finance. You can see successful explorers, people who have found deposits. Part of our team and our co-founders, Craig Gibson, Rafael Gallardo's worked with Peter McGough for 20 years in Mexico. And Peter's one of our largest shareholders, advisor, and co-founder. And and some unique features low overheads, nobody's on a fixed salary. Not me, not him, not our, our former CEO, Craig Gibson, who's now the Chief Exploration Officer. So we, you work and you get paid.
1:50 We, we like to put our dollars in the ground as much as we can. We're sort of old fashioned. Tight share structure, 44.6 million shares outstanding, with almost 30% still owned by the founders and the management team including Peter and myself, Craig and others. And and Vizsla Silvers owns 9%. So, big ownership by strategic and by management. And this is where I pass it on to Steve. Alright, thanks very much, Erlain. It's my pleasure to be able to tell you about the Hot Breadship Project. This is one of the most exciting copper exploration plays I've worked on in a long time. You can see we're down in the Arizona Copper Belt. Arizona Copper Belt is one of the most productive copper belts on the face of the planet. And you can see we're located, I don't think this has a pointer, but you can see we're right in the middle of the slide there. And we're surrounded by world-class deposits. 100 kilometers to the east of us is Maranci, which is one of the biggest ones in the world, 75 billion pounds of total copper endowment.
2:52 And just north of us, 40 kilometers to the north is Resolution. Resolution is one of the most exciting exploration discoveries that has happened in our modern exploration history here, 1.6 billion tons of 1.6% copper. Absolutely tremendous deposit and it's really important to the thesis behind our exploration at Hot Bracha. We think that we've got a very similar geologic setting to resolution and I'll go into more detail on that in a couple of slides. You can see on the right-hand side that's an idealized geological section through the hot breccia area. On the left-hand side is the geology of the Christmas mine. So Christmas is immediately adjacent to us. It started production before the First World War and actually operated up until 1982. And you see the 3 blue units at the top, those are carbonates, so limestones and dolostones.
3:41 And those rocks reacted with the fluids that came in with the intrusive. The intrusive being the red that's shown there in the middle, that's the Christmas stock and actually hosts a low-grade porphyry system. But that is the rock that brought in all the hot acidic metal-laden fluids that reacted with the carbonates and deposited the high-grade mineralization at Christmas. So Christmas produced about 25 million tons of 1.5% copper over its lifetime. Now, you can see over on the right-hand side of the slide, that's the geology at Hodbrecha. That's us next door. And we've got those same 3 blue units, but it's down at depth. So the reason it's at depth, we've got that cover unit sitting on top of it. The green unit is actually Cretaceous volcanics, so the Williamson Canyon volcanics, And it masks what's going on at depth. We think that we have that same productive environment going at depth.
4:38 And at this point, I'm just going to draw your attention to how similar our geologic setting is to Resolution. Resolution also had a small high-grade mine next door called Magma and over the years of production it produced about 20 million tons of 5% copper. And after it shut down in the early 1990s, they went to look for the roots of that system and that's when they explored the carbonate rocks to the right-hand side of the slide, and they found 1.6 billion tons of 1.6% copper. So we have that same geologic environment, and I think on that basis alone it makes a pretty exciting exploration play. But we actually have more than that. We've got some empirical evidence that there actually is an active hydrothermal system percolating at depth. The reason it's called the hot breccia property is because we've got these breccias that are found on surface in the volcanic unit. What happened there is when the hot acidic fluids reacted with the carbonate rocks, there was an explosive reaction and it broke the rocks at depth, brought them up to surface in a very violent action and froze them there for us to be able to come along and map them years later. And this is one of those breccias. And you can see the angular fragments in the breccia, and it actually has fragments of those carbonate rocks from depth that are highly altered and mineralized.
5:53 And you can see in this photograph here, that's us out sampling those breccias earlier this year. And The fragment is shown on the left-hand side, grades about 5.5% copper. So some really nice high-grade mineralization. This is proof positive that we've got the hydrothermal system acting at depth and in this case it's been transported to surface to prove it. So there's a look at some deep drilling that was done over 50 years ago. Somebody had the same idea 50 years ago that there's a deep hydrothermal system here. So this is a subsidiary of Kennecott went out and drilled half a dozen deep holes into the system. And sure enough, they went down through the overlying volcanics. When they got into the carbonates, they had high-grade copper gold mineralization.
6:40 What happened then though was in 1982, the Christmas mine shut down and So all activity in the area ceased and everybody went away. So we've got the opportunity to come in for the first time in over 50 years and bring our modern exploration tools with us and explore this property from a modern perspective. I'll just skip through that one. So one of the things that we did was we went out and did a ZTEM survey last year and a ZTEM survey is a modern geophysical technique that is a good way to identify conductive rocks at depth. And so what happened was we found a good conductor at depth underneath the volcanics where the limestone should be. Now, limestones are non-conductive rocks, so why do we have a conductor where we should have limestones?
7:28 Well, 1 good explanation for that would be if it's highly endowed with copper mineralization. That'll make it a conductor. And you can see the red circle that's in the middle of the image. That's the outline of this big conductor that we've got sitting at depth. And just for perspective, the purple outline that you see lying over top of that is resolution outline. So we've taken the outline of the resolution at the same scale and moved it down south just to show that we're looking at something that is the right scope and scale to be something that's very significant. And this is a 3D perspective. We're looking up at the bottom of the topography. You can see the drill holes hanging down through the topography there. And then that pink blob that's sitting in the foreground is the conductive ZTEM anomaly.
8:14 So What we're doing now is doing some sophisticated AI processing to try to maximize our opportunity to test this anomaly and our upcoming drill program will do exactly that. We'll take the opportunity to see if we can drill through the heart of this anomaly and see if it's mineralized with copper. Back to you, Elaine. Maybe questions. Questions now? Yeah. Any questions from the audience? So Steve, the porphyry's a thousand meters, I think that's what you're guessing? Yeah, so just the comparative resolution is 1.2 kilometres down to the top of the deposit there. At Hod Brecha, the cover unit we think is a maximum of 400 metres thick, so it's 400 metres down to the top of the perspective horizon, and 1,000 meters will get us through the carbonates. So a series of 1,000-meter holes is what we have. Okay, so an underground mine.
9:18 And what kind of grades are some of the other underground mines in Arizona getting? Well, probably the most famous one would be San Manuel, which was North America's first block cave that's sitting 35 kilometers to the south of us. And they had 400 million tons of .7 copper. .7, and what kind of grades would you like to see? Well, we'd like to see what resolution has to the north of us. I mean, that's within the realm of possible, right? 1.6, but you know, 400 million tons of .7 would be a company maker in my mind. Right, and you're drilling this year? Yeah, our intent is... You'll be drilling at the operation this year? Yeah. Okay. Yeah. So we need to get permits, raise some money, and then we'll be out there drilling. We've already been talking to drill companies. Drill companies are in a good position for us right now because they've been very busy for the last few years and, you know, the junior sector has run out of funds and so a lot of rigs are parked in the yard right now and they're very aggressive. Do you have a goal of how many meters you want to grow this year? 5,000. 5,000, okay.
10:21 Yeah. Any other questions? Okay, I'll ask one. Steve, you're brand new. 2 days. 2 days, President. Yeah. Can you tell me, I guess, a little bit more about your specific copper experience? You know, why are you the guy that can find this jewel? Well... Jewel box or whatever it's called. Yeah, I spent a lot of... Most of my career has been spent doing exploration and I actually worked 24 years for a company called Imperial Metals up in BC. My main milestone there I guess would have been doing the deep drilling of the Red Chris deposit. So when I started at Red Chris, it was just thought to be another lousy little BC porphyry. And by the time we were done drilling there, it had a total endowment of 16 billion pounds of copper and 24 million ounces of gold. It was proven to be a world-class giant. Now it's a mine that's operated by Newmont.
11:13 So, you know, I've done this before. Deep exploration is something that I've done quite a bit of and I'm as excited about this as I've been excited about any prospect that I've worked on. So what does that, like when you've got these drills that just didn't make that big blob there, you know, And then you found through the Z-TEM survey that what does that do to a geologist? Like is, I'm just curious if that's like, if that's Christmas that you're thinking morning or is it just, this is just another target? You know, I think that It's common that we do this. We always stand on the shoulders of those that went before us. And, you know, there's previous generations of exploration that go around and collect data. And you just incorporate their data into your model and continue to use that to your best advantage. And I think this is just another example. The guys went out there earlier, they were, you know, at the time in the 1970s when they were drilling those holes, that was really a monumental task for them.
12:12 It wasn't very common for people to be drilling holes that deep at that time. So, they really felt strongly about their exploration model. They tried half a dozen holes and then went away. And we get to use that to our advantage now. Another question I guess is about this silver in Pinucco. You guys are like completely surrounded by Vizsla. What does that put you into in terms of like, it seems to be quite a strategic position? You want me to take that one? Yes, sir. Yeah, Absolutely. I mean, it's very exciting to have the neighboring property come up with the sort of results that Vizsla has over the last 3, 4 years. I mean, what they've been finding is absolutely tremendous and it just raises the bar for us. You know, the exploration that we've been having on our property has been very successful. We're about to embark on another phase of drilling where we're gonna actually step back onto Vizsla's property and drill deeper on the vein on our property and hopefully extend it to depth. You know, we've got a very cooperative relationship with Vizla because we've got a technical committee that's actually their members and our members sit together and talk about the exploration and they're very cooperative allowing us to set up on their property to do our deep drilling.
13:34 Interesting. Any other questions from the audience? Here we go. Yeah. I'm not sure. The conductive area is 400 meters down or 1,000 meters below? 400 meters down to the conductive area. Because if you look at the flags, it says 1 kilometer. Yeah. It's not 1,000, it's 1,400. I know. I've actually sent an email to our chief exploration officer noting that we do have a couple of discrepancies in terms of scale, and I think this scale bar is wrong. I apologize for that. So between cash and liquid assets we've got about a million dollars and that includes shares of Vizsla, which we don't intend to sell, but it's very liquid and so that's effectively a cash equivalent.
14:25 We need to go and raise money though to do the drilling that we plan to do at Hot Bracha. Yeah so that's what I was talking about earlier, how it's a good situation for us right now because so many diamond drillers have rigs parked at this point. The initial discussions that we've had with diamond drill contractors, They've been very aggressive with their pricing. So drilling in the US is normally very expensive. Right now the prices are coming down quite a bit. Last question, when do you expect to have your permit? Imminently. Yeah, so we, yeah, permitting has been really excellent here. We're on BLM land, and so BLM has been really good to deal with, and there haven't been any major questions that have come out of the permitting process, and we're expecting to receive that anytime now in May.
15:21 Okay, unless there's other questions, We've got, I think we're almost at lunch. So, all right. Thank you.
