Mayfair Gold Releases Pre-Feasibility Study

0:03 I was like, good morning, good afternoon, good evening, depending on where in the world you're signing in from today. I've got with me today, Nick Camel, CEO of Mayfair Gold and Drew Anwalt, the company's COO to discuss recently announced PFS for the FENGIB project. Congratulations, both of you. Nick, Drew, how are you today? Excellent. How are you doing? Good. Good. I'm back in the warm from visiting Ottawa over Christmas, so I'm feeling more comfortable. Let people know how today is going to work, just for the folks in the room. I got some thought starters, my own questions, just based on the PFS, so I get the conversation going. But we do certainly have space for questions from the live audience today. I know there's quite a few of you in the room. Please do feel free to use that chat function at the bottom right of your screen to ask questions during today's event. If we don't have time for your question or it happens to be a bit off topic, I'll still make sure the Mayfair team gets those questions and they'll be able to get back to you at their earliest convenience. If you put your phone number in or your email, that's how they'll likely contact you based on the information and registration.

0:55 Last boring piece of housekeeping, this is being recorded and will be available for replay about an hour after it ends, So I'd imagine about 3 p.m. Eastern time. It'll come right in your inbox. We'll also be available on Six's YouTube channel. But enough out of me. Nobody came to hear me. Let's hear from Nick. First, congratulations, obviously, for releasing the Pre-Feas Study for Fendgib. Want to know high level, What are your initial thoughts on the results?

1:16 What do you see as the biggest takeaway for investors? Sure, so I mean, first of all, I took over the CEO role in January last year, Drew joined in March of last year, and last year was a real transition year for us. We needed to get our ducks in a row. We needed to figure out exactly how we could move FENGIP forward. We came up with this strategy and for us, I'm really happy with the results of the pre-feasibility study. I think it shows why we're doing the strategy that we're doing. And so we've decided there's a, and again, at Fengeb, we have a 4.3Moz indicated resource. There's a scale goal project that could be developed here.

2:02 But what we've decided to do is to target a high-grade, smaller scale open pit operation. We've outlined that in the pre-Feasibility Study at 4,800t per day. There's a 14.3-year mine life, a reserve life, and it targets about 1Moz of the 4.3Moz resource. What I have always been focused on is there's this high-grade zone that's particularly high-grade at the very beginning of the mine life. You see that in the first 6-years of operations. The average grade is around 1.47g per time. That generates around 71,000oz of Gold per year at an all-entertaining cash threshold less than $1,200 an ounce. You'll see 2 scenarios that are highlighted in the pre-feasibility study and they're both pretty good. The first scenario is the base case, which is at $3,100 gold.

2:55 It shows a payback period of 2.7 years on 450 million in initial capex. These are all Canadian dollars that I'm listing. And it shows that even at $3,100 Gold, you get almost $896M in free cash flow over the first 6-years. And that's really what was exciting for me about this project. You have a small-scale mine that is financeable, that is executable, that we can navigate through the provincial permitting path because we're structuring it to be a 4,800-ton per day operation. And that gives us tons of long-term optionality and flexibility to turn this into a new Canadian gold producer and get a re-rate within the current gold cycle. Now, that shows that it works at $3,100 gold, but quite frankly, I didn't get involved because I think Gold's going back to $3,100.

3:50 I'm in this because I think Gold's going to be, we're in the middle of a long-term generational Gold cycle. And I don't know exactly what's going to happen with Gold prices, but I think it's going to go higher. And so I wanted to, like, We also showed the spot case.

4:04 At a spot Gold price, it has an MPV of about US$1.4Bn. It generates US$1.4Bn in the first 6-years. The payback period is less than 2-years. The IRR is 38%. This is on a small open pit mine, a mine that we can get fully permitted within the next 2 to 3 years, a mine that we can get into production within the next 4 or 5 years, and a mine that can get us, as a producer, in the current goal cycle. We spent a lot of time looking at the difference between a federal permitting process and a provincial permitting process. We were very deliberate in terms of how we've designed this study so that it's something we can execute, it's something we can finance, and the economics are really compelling.

4:52 Awesome, Drew, I'll let you get in there for what you consider to be the biggest takeaways for investors from the PFS. So this project is executable. It's certainly doable. It's digestible for a company our size. It has value both in the PFS and the optionality. What's going to happen in the future? The PFS has 1 million ounces that we're mining of the bigger resource, as Nick said. So what else is important for me? This, frankly, it's an honest PFS. It's an honest study. It's a realistic expectation. You know, We're not a company that's looking to paint the barn red and make it look fancy. I'm a mine builder, I'm an operator, I'm here to build and execute this.

5:42 I'm an honest broker and this is what I believe the capital costs are. And this is what myself and the QPs, the qualified persons that help us with the feasibility study said. We all believe this is a real project that can be executed on time, on budget. Those are exciting takeaways. I appreciate that. Now, my next question is mirrored by a question in the chat. Rachel asks, just wondering about the rest of the resources, 76% unexplored. So that is something I wanted to ask about. I know you're only targeting that, what, 24% of the 4.3 million ounce indicated resource in the initial mine plan. Love to know and obviously Rachel in the chat wants to know too. Can you walk us through the strategic rationale behind the phased approach and what conditions do we need to meet to expand beyond the current reserve? Nick, I'll start with you.

6:32 Well, so, and it's an excellent question. So, you know, when I first joined the company, the direction was to go big on the asset. And if you guys look at our presentation, you can see that there's, we have a slide in there that shows the go big and go slow rationale versus the be targeted and the strategic approach

6:57 to getting this asset in production. And so The reality is, if we wanted to exploit the entire resource from the get-go, it's gonna cost you over 1 billion dollars in CapEx. It's gonna take you 10 years to go through permitting. And the construction cycle for that is gonna be longer. So It's got higher execution risks. It's got more inflationary exposure. It's got more, it creates a riskier financial burden because you're going to have to fund more of that CapEx with debt if you wanted to go that route. So for us, the strategy here is to make it manageable, make it financeable. Yes, there is long-term optionality. There's 3.3Moz of long-term optionality in there. And there could be a scenario in the future if the Gold price justifies it, I'm looking at some kind of expanded scenario.

7:47 That's not something that we're looking at today. We're just looking at getting this into production,

7:53 something that we can fund, something that we can finance, and something that we can get that re-rating within a short period of time. At some point in time, maybe another company would look at building a bigger mine around this resource. But that that's something for down the road. It does. There is long term optionality associated with that. I think probably the most appropriate way to look at that is, if you were to apply some kind of in-situ value perhaps to that resource, that gives you some measure of what the value could be. And again, if you were to build, if you were to design a PFS on like a 3.5Moz mineable reserve, the NPV would be a lot bigger versus what we're putting out to the market today. That's not our approach. Our approach is to get something in production quickly, get in production through the provincial permitting process, and something that we can manage to fund and finance ourselves.

8:50 Great, Drew, I'll throw it to you if you have any additional thoughts, but then I'm getting into some gold crystal ball gazing, so up to you. I think Nick nailed it. We've got a strategy and we get good solid results with the design we have. And when you have things in front of you, all the options are open. There you go. Now, I know, Nick, you've already talked about earlier that with current spot gold prices, after-tax NPV is about $1.4 billion with that IRR over 38 percent all sexy stuff. I'm curious. I know everybody in the business has different reasons for their gold thesis, but I'm curious both of your perspective on how much confidence you have in these elevated gold prices being sustained and how should investors think about for Mayfair specifically the base case versus spot price scenarios?

9:38 I'll start. So I mean, I have my this is the way I view people's opinion about gold prices. I don't think anyone should really care what I think about the price of gold quite frankly But I also don't really care what anybody else thinks about the price of gold I have my own thing that's gonna happen and I'll give you the rationale right the reality is it's hard to predict what's happening with gold, But what I will say is that gold has gone from an asset class that was largely dismissed as part of the international monetary system. It was an old asset, no longer relevant, except in terms of central bank holdings. And today it's become much more relevant. It's become a larger part of the international monetary system.

10:26 And the biggest catalyst that started that this It started a long time ago, but there was a specific catalyst that changed the rationale behind gold ownership. And it was largely around central banks, which was the Russia's invasion into Ukraine. And what happened after that is all of Russia's US dollar held reserves were frozen. And so it basically weaponized the US dollar in a way that had never been done before. And you started to see a lot more central bank buying

10:59 from the central banks that considered themselves as potentially being a target from the future for the US government. So that was part of the backdrop that started the push into the gold price. And then you had, you know, you had Liberation Day last year. Now, anyone who saw Donald Trump's election platform, everyone should have expected tariffs to be part of that. I expected tariffs to be part of it. What I was surprised about was the size of the tariffs that he announced. Now, they haven't all come to fruition, but what it did do is it destabilized expectations. It created this uncertainty that never existed before in terms of can you depend on the reliability of the US as a trading partner. And the US is an incredible economy.

11:51 It's got an incredible population. There's a whole bunch of things that are still just as good about the US economy today as there was before. But it's created this uncertainty factor that didn't exist before. And so that uncertainty factor, I think, is driving people. It's not driving people away from the US dollar standard as a global reserve currency, but incrementally you're starting to see investment away from the US dollars. And you're seeing that in terms of treasury auctions, instead of

12:21 seeing people going back into the treasury auctions, they're starting to diversify away from it. And the biggest beneficiary of that has been gold. And so there's another aspect to it. So that was last year, gold price outperformed, Gold equities outperformed. And yeah, the guys that were investing in gold, they generally outperformed. However, gold was generally under-owned because historically people had been dismissive about investing in gold equities. And so they under-owned it as a percentage of whatever portfolio you're looking at. And so what I do think you're going to continue to see, and this is why I think gold prices can do well, can continue to do well, and why the gold price can go a lot higher, is I think you're gonna start to see more generalist investors allocate some of their portfolio to gold investments, and that could be the Spider Gold ETF, it could be larger cap companies, it could be the indexes, or it could be a company like us. And so

13:17 there's way more capital out there in the world that has no exposure to Gold than there are the guys that are actually heavily invested in Gold. So incremental amounts of investing that flows into the Gold space is going to end up with multiple expansions and it's going to end up without performance of gold equity. So part of the reason why we're comfortable moving forward on this project and this asset the way we are, is we think that we're in the middle of a generational gold cycle. That gold cycle will have some legs. I think it's got years ahead of it. Personally, I don't know. It's hard to make a prediction on how high Gold price is going to go. I think it's going to go above $6,000 an ounce. And then you're looking at a project like ours, we're a Canadian company, we have Canadian costs, we're looking at Canadian dollar Gold prices, looking at something that's going to be north of $8,000 an ounce gold. And if you try to apply the economics to our pre-feasibility study, this is an asset that can generate a substantial amount of free cashflow, and it gives you flexibility to go and look at other opportunities, either regional opportunities, where you could potentially buy some additional assets that might be higher grade and blend that into and sweeten our grade profile at our asset in order to expand our production that way. Or we can look at other opportunities of non-developers and build a multi-med platform and grow this into a much more significant Canadian Gold producer.

14:32 I appreciate it, Nick. I always love when somebody is willing to crystal ball gaze with me. And I tend to agree with your Gold thesis. So I appreciate it very much. I do want to get into, and Drew, I'll get you in here for this one too. I want to talk about the initial capital requirement, because $450M is relatively modest. I would say appealingly modest for a project of this scale. And I'm curious just for the folks in the room, what gives you guys the confidence in that very modest estimate for a capital requirement? Inflationary pressures we have seen in mining construction over the past few years, Why do you think we'll be able to stick to that number? The project we're looking at is pretty straightforward. There's nothing exotic about it. The front end of the plant has three-stage crushing at less than 5,000 tonnes a day.

15:18 All of the crushers and the design is straightforward. It's a fairly small ball mill. We've got a high-intensity grinding mill. Again, a lot of these items are off the shelf. So, while it was a busy time doing the PFS,

15:35 the vendors, suppliers and equipment manufacturers were hugely busy and we saw some evidence of that, but our project is very predictable in terms of capital cost for the equipment. So when I look at the processing plant, we also used Asenco. Asenco is exceptionally good for doing studies, and that's because they do a lot of them. So if we didn't get a reliable answer for what we saw, they can benchmark against another project that has been recently been either built or in the study. So we went with the Sanko and I have a lot of faith with their team that did this project. So these numbers, like I said up front, are very believable.

16:22 You know, I wouldn't have put my name on this and Nick wouldn't either if we thought these were window dressing numbers. This is a project that we plan to execute and they're realistic numbers. In terms of contingency, we had about 26% on the direct cost of contingency, which is probably a little higher than what you'd put. But again, we went through on a work breakdown on an area by area and validated

16:49 the estimates we had. So from a capital point of view, not only is it a great strategy, but it's a reliable number. Great, Seth. Well, number 1 thing I can say, it's good about a PFS when somebody says it's real. Like, that's a good review. I appreciate that. Nick, I'll throw it to you. Do you have any comments on that capital requirement or we can move on? No, I mean, I think Drew hit the nail on the head. And we, I'll say this, we, I've spent my whole, I was a former mining analyst and you never really take that hat off. So I spent a lot of time looking at other people's technical reports, other people's economic studies. And I would say most of the time I find holes or misleading misrepresentations. And it's a problematic part of, and I'm not trying to point fingers at any one company, it's a systemic issue that tends to happen.

17:44 And it's why you need to have bench strength, you need to have tanked bench strength within the company while you're going through these processes because it doesn't help anyone if you use unrealistic expectations or unrealistically low costs when you're trying to design a mine in either a CapEx or OpEx. And so we've tried to do something that

18:05 we think we can, that one, we can fund. We think it's defensible. We're going to have to go and get bank debt financing that's going to look at these numbers. And so we want those numbers to be verifiable, justifiable, and something that an external party will review and say, we think we can use these numbers and we're gonna give you some debt on the basis of them. Great. Drew, I'll throw it to you for another one. I know projecting commercial operations 5 years, construction decision 2, 3 years, that's exciting, obviously. What are the critical path items that are helping you de-risk work that's underway right now? Yeah, yeah, great question. There's really 3 paths that we're going down. The first one is the design. We're advancing the front-end engineering, and that phase will take about 6 months.

18:54 What that's really doing is we'll tailor our design. For the pre-feasibility, it isn't about layout, it's about cost. The next phase of the work will be what is the layout?

19:09 Where is the mill going? All those details. That's what we'll do in the front-end engineering. The other key element of that is I'm a big fan of modularization for a project of this size. Now, why do I like that? I like that because it's more predictable. You don't have to have labor on site. You have labor that are in shops in Fredericton, in Ruan, in Timmins, wherever they happen to be. And the project elements, the project components are getting built offsite. So that reduces your onsite individuals and it also reduces your schedule. So that's what we'll do in the front-end engineering. We'll finalize that, we'll put a pin in it, we'll freeze the design in July and then from there we'll go into detailed engineering.

20:00 And for that, because the design is not on the critical path, it gives us the opportunity, when we get to that construction decision, I'm expecting we'll have the design advanced to 70, to maybe even 100%. What does that do that hugely de-risks your construction project going ahead? Now we're not there yet, so talk to me in 2 years and I'll let you know what engineering advance we're on.

20:26 So what's the critical path? The critical path is really through the environmental approvals process. So I'll look back in the rear view mirror a bit. Over the last 3 years, this company has done some very good baseline studies. So the baseline studies are understanding what's on your footprint and how will the regional areas be affected. So that's what the EA, the environmental assessment, will evaluate what are the environmental impacts of the project as you've designed on the environment and the communities and the social economics and whatnot. So with the new Ontario permitting process, it's called 1 Project, 1 Process.

21:13 And this was driven by energy and mines, the Ministry of Energy and Mines, and it's exceptional. They've got some really good people there. Frankly, historically, their processes were too bureaucratic and they've committed to reducing that timeline for permitting by 50%. So what does that mean? You've got to have your engineering designs. You've got to have your environmental understandings in line with what you have to be able to execute on that. And we have that solid baseline stuff. So The government also now allows projects to do environmental assessments and permitting in parallel.

21:55 They won't issue the permits until the EA is approved, because every permit has to have EA coverage, but you're doing them in parallel instead of sequentially. On the 1P1P process, if a project is exceptionally well mapped out, there's a potential that the government can get through this process in 18 months. We're actually looking at probably 2 months is a little, excuse me, 2 years is a little more realistic and 3 years is certainly achievable. So again, Romeo, those are forward-looking statements. I don't hold me to those. That's the timeframe we're looking at. And that's what we're seeing as a critical path. Now in parallel to that, and certainly tied in with both the engineering design, the environment design and the permitting is indigenous collaboration.

22:47 We've got a first nation community that's within 20 kilometers of our project site, Abitibi and Ishibeke, they're very commercial. They're gonna negotiate hard. And frankly, we're building a mine in their backyard. We have to respect that. And we do. We want their input on what the designs will look like. So that's our priority. Now we also have other regional

23:13 indigenous communities that overlap our site that we'll also interact with. In addition, we got the town of Matheson that's 17, 20 kilometers away. You know, we're gonna put an impact on that town and we want a good neighbor relationship with those guys. So the 3 parallel paths, the engineering design, the environmental approvals, and the indigenous relationships. They're all going in parallel and they all touch each other. No, it's great. I appreciate such a thorough answer. And I think the folks in the crowd do too. One thing I want to jump to is ASIC, because I know they're looking at 1292 per ounce over the life of the mine, which is already, in my eyes, pretty competitive. But you see it dropping to 1171 in the first 6 years. So curious, what's driving that cost differential?

24:01 And are there opportunities to optimize costs further as you move into detailed engineering? Or are we pretty much pat here? You want to tackle that one first, Nick? Sure. I'll start. Our entire strategy here is to focus on the Fengive Gold project. It's a sub-ground ore body with 4.3Moz. We're focusing on the highest margin material within that. So there's the average grade for the life of mine, or for the initial reserve life is 1.29 grams per tonne, so 1.3 grams, versus the average overall grade at a 0.3 cut-off of 0.74.

24:39 But for the first 6 years, the average grade going to the mill is 1.47g per tonne. And that at one point, basically 1 and a half pamperton open pit grade, it's going to be a low cost asset. And in the current Gold price environment, you can look at the strip ratio, there's a relatively high strip ratio. But the reality is the price of Gold is so robust that that doesn't really have a big impact in terms of the overall ASIC costs. We have our processing costs. Again, it's a conventional process. It's very similar to what you have at Young Davidson, three-stage crushing that flows into a flotation that you then float that and you do a fine grind on the concentrate, which gets it to sort of 10 to 15 micron grind size, and then you do a CIL on the back of that. It's all conventional.

25:31 We get good recovery at 1.5 grams. You're getting around 90% recovery on that material. So best recovery, best grade all comes in in the first 6 years of the mine life. That's what drives down your all-in-sustaining cast cost lower. Great. Nick, I got another one for you. I know you mentioned plans to utilize project-level debt to optimize capital structure. Can you share just your strategy, trying to get in your head on the debt equity mix you're targeting and what kind of financing appetite you're seeing from lenders in the market right now?

26:03 We haven't really started the formal process yet. We just put out our pre-feasibility study. You need at least a PFS in order to start engaging with project debt lenders. We'll look at getting somewhere between $250M to $300M in project debt versus a $450M total capital cost. That's your debt to equity mix. We're going to have to have some additional equity to cover working capital and overhead, but there's always lots of appetite for debt. It's just a question of what cost of capital you're getting on that. The nice thing for us is that it's such a quick payback. I mean, the total development capital payback is less than 2 years in spot.

26:52 Your debt capital payback is gonna be like a little over a year, less than 1 and a half years. And so that gives you some flexibility. Usually what you do is you get your project debt financing package in place. And then as soon as you get it into production, you refinance it at a lower cost of capital. So that's our game plan. We're gonna be starting work with the potential debt financers in the next 6 months. It'll probably take us 12 months to 18 months to get a debt financing package in place. It might be faster than that, but we're pretty confident we're gonna get some kind of package in place that we can announce probably in 2027. Great, I appreciate that very much. I want to quickly touch on the highway relocation because I know it represents a kind of interesting infrastructure challenge.

27:42 So I'm curious, and I assume people in the audience want to know too, Where do you stand with the Ministry of Transportation Ontario on approvals? How flexible is the timeline for completing the work relative to the construction schedule? Basically, is there anything to look out for as an investor when it comes to that relocation? Yeah, no, it's a very insightful question. So the highway does go directly across our property. And you look at that, and again, if anybody looks at a Google map, you'll see that the highway goes like this, and then it dips down, and then it goes back up. People that build highways aren't fools. The reason why they did that was because that's the best ground for construction. So the best ground for construction for a highway, incidentally is also the best ground for construction for a project. So our design actually has construction and we can do it on both sides of the highway. We don't need to relocate that highway until the third stage of the pit, so down the timeline. So that's, we've included the costs in there in sustaining capital, so after the initial construction phase, But that being said, we don't know how long the Ministry of Transport of Ontario approvals will take. So we're working with an engineering firm out of Thunder Bay that did a small highway, a small road around Rainy River, but they also did the TransCanada Highway around the Greenstone. So these folks are very well informed with that.

29:09 It's in a different real estate than Western Ontario, so we're dealing with a different MTO office, but in the early interactions we've had, they've been very supportive. So all that being said, if we get through the EA for the MTO for the highway relocation early, then it would make the project more efficient to do it in the construction phase. But at this point, we have less certainty on that time frame than we do on the rest of the project. So, we'll run those streams. I said the 3 parallel processes. There's actually probably about 14 different parallel processes we're going through. Trees are shredding. And that one's number 4 sort of thing. So, well, if we have the opportunity to bring that forward, that'll actually be an op, be a construction savings, that'll be construction efficiency.

30:01 So we've done our homework on the different alignment options and we've done some geotech on the alignment options. So we'll really start the interaction with MTO this year and get further clarity on the timeframe for that relocation. Great. So I just summarized there, we know like we don't need to relocate the highway before we started construction, but if we get the approvals to do that, we will, because it's gonna make it more efficient and we're gonna be doing it by year 1 anyways, or year 2, depending on when we get the approvals. But we have a plan in place in case we don't get that approval before we start construction. Great.

30:47 Nick, I'm going to zoom out. I always love saying I'm going to zoom out. I want to look at the broader Timmins Gold District and your position there. How does FENGB fit into longer term vision for Mayfair? Should investors in the room be looking at this as a standalone project or as kind of a foundational asset for building a multi-mine operation? Where's your head at for the future? We are taking the approach that we're using FENGIB to create a new Canadian Gold producer. There's some benefits to this because of the fact that there's lots of activity in Timmins, there's lots of operations in Timmins, there's quite a few underground operations and you know quite frankly there's going to be some assets that probably need our process flow sheet in order to process the material. There are areas that our material does have some refractory characteristics, which is why we need to do the process flow sheet that we're doing.

31:38 And so by building this mind, by building our project, we're creating a central processing system or processing unit that is capable of taking in higher-grade throughput or ore from other areas and then blending it in with our material to sweeten the grade profile and potentially increase your production. We do view this as a long-term opportunity to build a larger gold operation in the region. The key thing for us is to get the cost of capital that you get associated with being a producer. That gives you some flexibility, it gives you the free cash flow that you can then use to go out and acquire other assets and potentially turn that into maybe some kind of modified hub and spoke sort of opportunity within the FemGate Gold project.

32:26 So we do view this as a foundational asset that gives us a platform to potentially grow the company. That's why we focus on that first 6 years. So at 3100, you get $900 million in free cash flow to look at growth opportunities. At spot, it's 1.4 billion. That's a lot of capital that you can use to go and look at other assets, to potentially buy secondary assets, and then you have a diversified production platform. But yeah, we want to build a new Canadian gold producer, and we see a lot of value associated with that strategy. Awesome. Thank you. So That's the end of my questions. There are some questions in the chat I want to run through. Obviously, some of these answer the best of your ability. Some of them are more comments than questions, but I'll throw them at you anyway. Graham asks one of the toughest questions that I see all the time on webinars.

33:15 Do you think you'll be bought this year as the Ontario M&A wave hitting, Nick, I'll throw it to you. Well, I mean, I'll put it this way. We aren't entrenched management. I've always made more money because I own equity in the companies that I'm a part of, than in terms of the salary that I get working at the company. But that's our goal here isn't to try and sell ourselves Because the reality is if we get acquired this year, we're probably not getting the best, the most value for Fringib that we see developing over the next 5 years. So bringing an asset into production, there is a huge amount of revaluation that happens. And the reason why you generally don't do that is you don't have the capability of advancing it yourself. And we do. Right.

34:14 So And we also control our destiny a little more than most companies do, because we're 35% insider owned. We have other key strategic shareholders that own another, you know, 15% to 20% of the stock. It would be hard for someone to go hostile on us. Now, We underperformed last year. I think we're gonna do better this year. And I know we're gonna do better over the next 3 or 4 years. And so I'd rather not get acquired this year, quite frankly. But if someone wakes an acquisition bid for us, we're gonna have to bring it to shareholders. And if that happens, then that's not the end of the world, right? That gives you some upside and some optionality for shareholders. But I think probably there's going to be other companies that are going to be first up. There's a lot of, there's not that many really high quality projects out there, quite frankly.

35:04 But there's a whole bunch of free cash flow that's being generated by the sector. And so I do think there's going to be some guys getting acquired. You saw ProGet acquired. I think everyone was surprised that Presnio bought that company. There's some really interesting assets like Snowline's a fantastic asset. Someone's going to buy that probably this year, I imagine. And then there's a whole bunch of other companies. There's just not enough new growth projects in the pipeline that people can really put that money to work on. So some of the large cap producers are going to be competing with each other to build up that pipeline, even for assets that are like 5 or 6 or 8 years down the road from actually being able to build start construction. Guys are going to have to start competing for those assets. And that's only going to benefit Mayfair Gold as we will start to attract some attention from people as the M&A cycle continues.

35:58 Jim says in the chat, and this is just a comment, I won't make you respond to it, please promise not to sell out at $55 per ounce of gold in the ground like Probe Gold did. Just a comment from the chat. So be aware of what people are saying. There's a question on permitting that I think we've already tackled, so you can check the replay. I think there's already those details. Chris asks, and I've already talked about it, it's worth probably reiterating, is there a timeline of when a construction decision will be made? Does it have to be after the fast-track permits? Yeah, so the construction decision, there's the possibility you could do early works, but really the main construction decision is when you have your engineering to at least 70%, you have agreements with specifically with Abitibi and Ishibek, and you've got your construction permits. So that's when the construction decision is going to be made.

36:47 And like I said, if we're heroes, that's 2 years. If it's realistic or conservative, that's about 3 years from now. Great, appreciate it. James from the chat, thank you, Drew, for your First Nations relationship insights. Wants to know if you have longer term exploration plans for the South Block or if the North Block is this whole focus right now? Right now, the North Block, not from an exploration, from an execution point of view. We've got 4.3 million ounces of resource on the North block. It's exceptional. The South block is, so we're on the Pipestone Fault, which is an important fault in the Timmins area. The most important fault in the Timmins area is the Porcupine Dester, and that's on our South Block. So it's really exciting.

37:35 That South Block has seen some exploration. We're gonna do more, we've done initial desktop studies. We're gonna be doing additional desktop studies this year. The hope, the opportunity, the potential is to start a program there towards next year this time. Excuse me, next year, this year Q4. So I think that's a realistic expectation. Yeah, so the Southern Block is interesting and keep in mind, it's a Southern Block but it's only 4km away from the project. We talked about the long-term optionality associated with other assets. What that long-term optionally may be on a Southern block. We do want to drill that Southern block, but we want to focus, we want to make sure we're not blowing money on exploration inefficiently.

38:31 There is a window when it's cheaper to drill the Southern Block, which is after the freeze-up. Our technical bench strength is more focused on the engineering and execution side. We need to bring in a little bit more exploration, geology expertise. When we do drill that, we want to drill it intelligently and give ourselves the best opportunity to find something on the Southern block. It's greenfield exploration, so There's no guarantee you're going to find anything, but it's on the right trend. It's got the right rocks. And if you look long-term, if you go further to the East, that's right where Stellar's assets are. And if you go further to the West, you go up through into the McEwen mining and you go all the way up into the Porcupine Complex, which is owned by Discovery Silver. So there's lots of potential on the Southern Block, and we will test that potential sometime in the next 12 months.

39:26 Great. Oops, sorry, there's one more thing that just popped into the chat. It's a funny question from Chris. Is there any chance of Carson Block going on CNBC and mentioning Mayfair as he did with Snowline? I'll leave that to you guys to guess. I'm not gonna speak on Carson's behalf. You know, Carson is, at Money Waters, They're excellent shareholders. They've been really supportive. Carson is a really, he's a really sharp, intelligent guy. And yeah, I can't make a comment on that because I'm not Carson. If possible, I mean obviously I think we would love him to go and do that, but that's his own prerogative. So we'll see. Appreciate it. What I'd love to wrap up with today, and Drew I'll start with you and then Nick we can wrap us up.

40:15 What are you most excited about for Mayfair going into 2026? I know lots going on, obviously PFS just dropped. What is keeping you up at night with excitement for the rest of the year? The potential of this project, plain and simple. We can execute this, we can get through the pre-construction project. We've got a good group of people. Just anecdotally, we had a Christmas party before the new year. And you know what? Everybody works well together. It's sort of like puzzle pieces. And I'm not the best at everything, but I got a guy who is, I'm not, I'm not the best at other things, but I know somebody, I know some other lady who is, We've got a really good team and we fit well together.

41:04 That's how companies are successful. Who do I look back on? I look back on Plasterdome. I grew up in the Plasterdome world. They didn't always like each other. I can tell you there were lots of fights, but they knew how to work with each other. Cambior was no different. The current days, there's groups like G-Mining. They just know how to execute. What am I looking forward to? I'm looking forward to working with this group. We have some fun doing it. You know, it's a great project. We see the PFS has a bunch of positive results and we've got a great strategy to execute it. So, you know, I've been doing this for a couple of years, maybe judging by the color of my beard and my hair, I've been doing maybe more than a couple of years and this is a project that Mayfair can execute and we can stick the landing on it.

41:54 So what am I looking forward to doing what I'm good at? Love it. Great answer. Nick, I'll throw it to you to wrap us up there. What are you most excited about? Sure. Well, 2025 was a transition year for Mayfair. It is challenging taking over a company after an option proxy battle, to be frank. But we also just needed to get our ducks in a row. We need to figure the asset out. I think we've figured out how to move this asset forward together. And so we finally have a pre-feasibility study. We have an economic study. We can go and tell people, and show people why we've taken this strategy. And we're doing the New York NYSE American uplisting. We did a consolidation in December to support that.

42:41 That's important for us. I mean, US retail investors are really important for driving share price values and driving our cost of capital. And we are going to be really telling the story this year. We have the study to back it up. We're gonna be making announcements and de-risking the asset as we move forward. And we're gonna be on the road talking to everybody about what we're doing here. And there is a different mindset when you're trying to build a new producer. It's a very different mindset than when you're trying to sell a company. And quite frankly, you might end up getting acquired, you might end up getting valued that way. And that's a good outcome for shareholders and for the company.

43:30 But it is way more exciting to be part of a new production, a new producer, a new build. It is, I mean, it's one of the coolest things in my mind that you can do is you're taking a piece of land that doesn't really have much on it, And you're literally creating it in your own economy out of the ground. Right? And there's tons of benefits that accrue to the local communities. There's tons of benefits in terms of employment and satisfaction of doing a job well. And we have a really excellent team. And I really, and Drew said it too, I really like the people I work with. I'm very confident in their abilities. And I know that we can do something really special by working together on this. And creating a new Canadian gold producer is going to be an awesome thing to do. So I'm excited to tell the story and get properly valued in the market for what we're doing here.

44:26 Awesome. Nick, Drew, thank you so much for letting me grill you and congratulations on the BFS. Thanks everybody in the room. I know there's a bunch of you. If you do think of the perfect question to ask right after the event ends, happens all the time, please just still send it in. I'll make sure the Mayfair team gets it. But Nick Drew, thank you so much. Hope you