After a period of markets awaiting more definitive signals from the macro-economic side of things, we finally witnessed inflation coming down more than expected, and downward revisions of job reports and a significant increase in unemployment figures. This leads to a probability of over 90% for a September rate cut, which will likely be a positive for not only the markets but also metals, as the US Dollar usually goes down. Adding to this environment is the upcoming US election, with Biden looking more and more fragile and incapable of running the nation for another 4 years. The latest fantastic highlight was Biden announcing Zelensky as Putin, followed by mentioning Harris as Trump. I’m not sure but in Europe we don’t hear things like this at all, let alone on a regular basis.
The probability of a landslide Trump victory is growing with every public appearance of Biden, and the markets are trying to figure out if this is a good thing like it was with Trump’s last term, or not. There is no doubt he will do anything to get the markets going, but for example the Russia/China/Israel cases have become significantly more complex in the last few years, demanding vastly more political capabilities to navigate this new landscape accurately. My belief is the ongoing conflicts aren’t going away in a heartbeat under Trump, and this uncertainty is usually good for precious metal prices.
Prismo Metals (CSE: PRIZ, OTCQB: PMOMF, FSE: 7KU) is positioned well for these potential developments, exploring their silver and copper projects this summer. It recently received the drill permit for its Hot Breccia copper prospect in Arizona, and is about to start drilling at their Palos Verdes silver/gold project in Mexico, so it will be a busy summer. Palos Verdes drilling is funded, and the company is aiming to raise C$3M for Hot Breccia drilling. It is currently in talks with parties in Canada and Europe to pull this off in the near future.
All pictures are company material, unless stated otherwise.
All currencies are in US Dollars, unless stated otherwise.
After closing their non-brokered private placement on June 19, 2024, for the amount of C$1.147M @ C$0.17, Prismo Metals didn’t sit on their hands since. The company is preparing to commence drilling at Palos Verdes very soon, according to management in a few weeks from now.
The plan is to drill 3,600m in total, spread out over two phases. The first phase will contain 6-7 shallow (about 250m deep) holes for 1,500-1,750m, the second phase will aim for 3 deep holes (500m) for 1,500m, targeting the deep extension of the Palos Verdes vein, drilled from ground belonging to neighbouring strategic partner Vizsla Silver.
The first assays at Palos Verdes are expected back from the labs around the end of August, and management expects them to be released in one batch or as deemed appropriate. Depending on the results and interpretations, the exact targeting for the phase 2 deeper holes will be complete 1-2 weeks later, with drilling commencing shortly afterwards, likely in mid-September.
For now, the recently raised cash is allocated towards Palos Verdes and G&A, and Prismo Metals’ second flagship project Hot Breccia will be funded from a new C$3M round. As Hot Breccia received their drill permits on July 12, 2024, this helps undoubtedly with raising cash, for which management is diligently working on at the moment. When I did an update call with CEO Lambert and President Robertson on July 13, 2024, they were waiting at the airport for their next flight from Zurich to Vancouver, so the next financing is very much in the works now. They told me they received a lot of interest in the last few weeks as a copper exploration story, and expect lead orders from Canadian banks and brokers, accompanied by additional support from European investors.
The C$3M round will fund a 5,000m drill program, consisting of five 1,000m drill holes. Management is already in talks with drillers, as there are several available. Targets are still being finalized, and the company doesn’t need to use all 10 permitted drill pads, but has options along the way, depending on the information returning from each drill hole. For now, management expects drilling to start around 2 months from now, of course depending on closing of the financing.
As C$3M would complete most of the exploration expenditures in the earn-in agreement with Walnut Mines, Prismo Metals would be able to accelerate the terms this way, to gain 75% ownership of Hot Breccia much sooner than planned.
I wondered if they could restructure this deal altogether, buying out the 25% interest owned by Infinitum Copper for example, but this is not the case at this stage according to CEO Lambert. Another subject we touched upon was a potential uplisting to the TSX Venture Exchange. Robertson and Lambert stated that if interested parties in the upcoming financing showed interest in an uplisting as a condition for example, they wouldn’t hesitate to initiate this process. Lots of funds and institutions have mandates that require a TSX Venture and TSX listing to invest, so it should make life easier when raising money in my view.
As a reminder, a ZTEM survey completed by Prismo last year showed a large conductive anomaly at depth below a dike swarm and namesake breccia and copper surface mineralization. The size of this geophysical anomaly is also drawing parallels with Resolution as it is comparable with this giant deposit:
Prismo will be commencing drilling this anomaly with 5 widely spaced holes of 1,000m deep each, although some of the historic holes could be extended as well instead. Assays are expected to be back from the labs starting in November.
6. Conclusion
It took Prismo Metals some more time than anticipated, but the coveted drill permit for Hot Breccia has been granted, which will help tremendously with the raising of new funds for drilling. Management has been very busy the last few weeks to generate interest for this anticipated C$3M round, and things appear to be looking good for this Peter Megaw-guided big target copper exploration story. CEO Lambert and President Robertson hope to close this financing in a month from now, after which drilling could commence shortly. In the meantime, Palos Verdes drilling is about to start in a few weeks, so Prismo Metals will have a busy summer. They have two chances on hitting mineralization at Hot Breccia and Palos Verdes, let’s see what they can find. Stay tuned!
I hope you will find this article interesting and useful, and will have further interest in my upcoming articles on mining. To never miss a thing, please subscribe to my free newsletter on my website www.criticalinvestor.eu, in order to get an email notice of my new articles soon after they are published.
Disclaimer:
The author is not a registered investment advisor, and currently has a long position in this stock. Prismo Metals is a sponsoring company. All facts are to be checked by the reader. For more information go to www.prismometals.com and read the company’s profile and official documents on www.sedar.com, also for important risk disclosures. This article is provided for information purposes only, and is not intended to be investment advice of any kind, and all readers are encouraged to do their own due diligence, and talk to their own licensed investment advisors prior to making any investment decisions.
The probability of a landslide Trump victory is growing with every public appearance of Biden, and the markets are trying to figure out if this is a good thing like it was with Trump’s last term, or not. There is no doubt he will do anything to get the markets going, but for example the Russia/China/Israel cases have become significantly more complex in the last few years, demanding vastly more political capabilities to navigate this new landscape accurately. My belief is the ongoing conflicts aren’t going away in a heartbeat under Trump, and this uncertainty is usually good for precious metal prices.
Prismo Metals (CSE: PRIZ, OTCQB: PMOMF, FSE: 7KU) is positioned well for these potential developments, exploring their silver and copper projects this summer. It recently received the drill permit for its Hot Breccia copper prospect in Arizona, and is about to start drilling at their Palos Verdes silver/gold project in Mexico, so it will be a busy summer. Palos Verdes drilling is funded, and the company is aiming to raise C$3M for Hot Breccia drilling. It is currently in talks with parties in Canada and Europe to pull this off in the near future.
All pictures are company material, unless stated otherwise.
All currencies are in US Dollars, unless stated otherwise.
After closing their non-brokered private placement on June 19, 2024, for the amount of C$1.147M @ C$0.17, Prismo Metals didn’t sit on their hands since. The company is preparing to commence drilling at Palos Verdes very soon, according to management in a few weeks from now.
The plan is to drill 3,600m in total, spread out over two phases. The first phase will contain 6-7 shallow (about 250m deep) holes for 1,500-1,750m, the second phase will aim for 3 deep holes (500m) for 1,500m, targeting the deep extension of the Palos Verdes vein, drilled from ground belonging to neighbouring strategic partner Vizsla Silver.
The first assays at Palos Verdes are expected back from the labs around the end of August, and management expects them to be released in one batch or as deemed appropriate. Depending on the results and interpretations, the exact targeting for the phase 2 deeper holes will be complete 1-2 weeks later, with drilling commencing shortly afterwards, likely in mid-September.
For now, the recently raised cash is allocated towards Palos Verdes and G&A, and Prismo Metals’ second flagship project Hot Breccia will be funded from a new C$3M round. As Hot Breccia received their drill permits on July 12, 2024, this helps undoubtedly with raising cash, for which management is diligently working on at the moment. When I did an update call with CEO Lambert and President Robertson on July 13, 2024, they were waiting at the airport for their next flight from Zurich to Vancouver, so the next financing is very much in the works now. They told me they received a lot of interest in the last few weeks as a copper exploration story, and expect lead orders from Canadian banks and brokers, accompanied by additional support from European investors.
The C$3M round will fund a 5,000m drill program, consisting of five 1,000m drill holes. Management is already in talks with drillers, as there are several available. Targets are still being finalized, and the company doesn’t need to use all 10 permitted drill pads, but has options along the way, depending on the information returning from each drill hole. For now, management expects drilling to start around 2 months from now, of course depending on closing of the financing.
As C$3M would complete most of the exploration expenditures in the earn-in agreement with Walnut Mines, Prismo Metals would be able to accelerate the terms this way, to gain 75% ownership of Hot Breccia much sooner than planned.
I wondered if they could restructure this deal altogether, buying out the 25% interest owned by Infinitum Copper for example, but this is not the case at this stage according to CEO Lambert. Another subject we touched upon was a potential uplisting to the TSX Venture Exchange. Robertson and Lambert stated that if interested parties in the upcoming financing showed interest in an uplisting as a condition for example, they wouldn’t hesitate to initiate this process. Lots of funds and institutions have mandates that require a TSX Venture and TSX listing to invest, so it should make life easier when raising money in my view.
As a reminder, a ZTEM survey completed by Prismo last year showed a large conductive anomaly at depth below a dike swarm and namesake breccia and copper surface mineralization. The size of this geophysical anomaly is also drawing parallels with Resolution as it is comparable with this giant deposit:
Prismo will be commencing drilling this anomaly with 5 widely spaced holes of 1,000m deep each, although some of the historic holes could be extended as well instead. Assays are expected to be back from the labs starting in November.
6. Conclusion
It took Prismo Metals some more time than anticipated, but the coveted drill permit for Hot Breccia has been granted, which will help tremendously with the raising of new funds for drilling. Management has been very busy the last few weeks to generate interest for this anticipated C$3M round, and things appear to be looking good for this Peter Megaw-guided big target copper exploration story. CEO Lambert and President Robertson hope to close this financing in a month from now, after which drilling could commence shortly. In the meantime, Palos Verdes drilling is about to start in a few weeks, so Prismo Metals will have a busy summer. They have two chances on hitting mineralization at Hot Breccia and Palos Verdes, let’s see what they can find. Stay tuned!
I hope you will find this article interesting and useful, and will have further interest in my upcoming articles on mining. To never miss a thing, please subscribe to my free newsletter on my website www.criticalinvestor.eu, in order to get an email notice of my new articles soon after they are published.
Disclaimer:
The author is not a registered investment advisor, and currently has a long position in this stock. Prismo Metals is a sponsoring company. All facts are to be checked by the reader. For more information go to www.prismometals.com and read the company’s profile and official documents on www.sedar.com, also for important risk disclosures. This article is provided for information purposes only, and is not intended to be investment advice of any kind, and all readers are encouraged to do their own due diligence, and talk to their own licensed investment advisors prior to making any investment decisions.
