Orosur Mining (TSXV:OMI) — Investor Presentation

0:00 Good afternoon, and welcome to the OROSUR MINING INVESSA PRESENTATION. First quarter presentation, investors will be in listen only mode. Questions are encouraged, and they can be submitted at any time by the Q and A tab situated in the right hand corner of your screen. Simply type in your questions and press send. The company may not be in a position to answer every question received in the meeting itself. However, the company can review the questions today and publish responses where it's appropriate to do so. Before we begin, I'd like to make the following poll. I'd to hand you over to chairman, Louis Castro. Good afternoon to you, sir.

0:29 Good afternoon. Thanks very much, Alessandro, and good afternoon to everybody. Thanks for joining. And we will we will go through questions and answers that we received. Before then, we will just make a a a short presentation. I'll I'll kick off at the front end and then Brad, who's the CEO, who's also on this call. So I just say I'm the executive chairman, Louis Castro, and and Brad George, CEO, is is co presenting. And we'll both be answering the the questions that that we've been receiving. Okay. So, Brad, without further ado, I think I think we'll get on in relation to ourselves. So we've got two major gold exploration projects, and this may be, obviously, for for those newer shareholders or potential new investors, it's this would be new to you, chaps.

1:16 If I could just ask for the rest of you who know a bit more about it just to bear with us for a few minutes. I just wanna give a general introduction. So OROSUR MINING INC. We've got two major build of space and projects, one in Colombia and Argentina. And we own a 100% of the one Colombia called project ANSA and and are making our way to a 100% ownership in the Argentina project. We'll we'll give more information, yeah, just further down the the presentation. We've did quite a big placing not long back and earlier earlier this year in March, and we've now got a number of institutional shareholders who have who have come in and and and and took some of those place in shares and hopefully will be supported going forward. So they the changing nature of shareholder base should be something which is gonna be helpful to us, we believe, going forwards.

2:05 As you can see, we've got a balanced portfolio that both projects. One is more advanced. The one in Colombia is more advanced than than the one in Argentina. So that does give us a bit of optionality going forwards. And we're now looking at options as to what we do with with both Colombia Colombia and and or and and and Argentina in relation to how quickly or how soon we move these things to resource. And at the moment, we're obviously trying to decide what the best route would be to development and and eventual production. And so we are, again, just looking to see what what optionality we have and in what order we do things. Okay, Brad. On to the next slide. Again, just to give a bit of background. So we the current market cap is around 50,000,000 Canadian.

2:52 Number of options there in the warrants. Warrants exercisable, and so that could bring in extra cash. We've we've had warrants issued in the past on placings, and we've received just over 1,000,000 on some warrants. So it does does act as a as a good form of financing as well. And just to add that we're quoted on both the a market and on the TSXV. The majority of the places in this last placing were Toronto based. We had been considering whether we were gonna look to other jurisdictions perhaps for for for listings, but we've decided that Toronto did actually come up in relation to placing, so we're very much gonna be staying there and also continue on the AI market in London. Onto the next one, Brent. So where are we? Where are we in Colombia? This is a Colombia project, project answer. Well, we are in the right address. We're on the the Mid Calcutta Belt, which is Colombia's primary gold and and copper belt.

3:44 And we've got some pretty big neighbors nearby. So Sigene with Baritika, Armato with his Arris mining collective is not not far from us, just to the south of us. All within a hundred, hundred and fifty miles of us, we have got these giants, if you like. And the geology, it it does vary occasionally from one to another, but, generally, what what what they're seeing is something which is also doable where we are. We've got a pretty sizable pretty sizable land base. As you can see here on the next slide, we we we made an acquisition of the project, the 50% we didn't own back at the end of November. As you know, we've been pretty busy since then. But as a result of that acquisition, we now own the project a 100%, and the total kilometers that we have squares is is that number there, about 400 kilometers square.

4:37 We have got three major licenses, and the rest are applications. The good news is the applications don't cost an awful lot to hold, but we we have got a dominant position in the belt. And whilst we're very keen on drilling, and we will carry on drilling and looking to potentially move to resource, we're also aware that we do need to spend a little bit of time looking at all these applications we have to see what are the potential we may be sitting on. What else have we got, Brad, on the next one? Okay. So here we are. This is where we are. We believe we are at an inflection point, really. We've got a lot of information on hand on. So perhaps, Brad, I'll hand over to you at this point, and we can go with the. Okay. Okay. Yes. Yes. Thanks, Louis. Sorry. The regular listeners will note that we're making some changes to the presentation. We're focusing less on the history and more on where we are because, obviously, quite a bit has changed since we we took control into the end of November last year. So I'll focus on on Pepas.

5:37 We we're at a sort of slightly curious moment in time that we're not quite resolved yet, so there might be another couple of weeks of just sort figuring things out. But the results we've got at Pepas have changed the complexion of the company and opened up options that we didn't previously have. So we're in the current be in the position now of trying to to assess those. For those who know the area, you know, we began at Pepas. This was, you know, discovered by Agnico back in 2022. And, you know, well done then. But then they they walked away for political reasons. The The without wishing to sort of reign in our own parade, we got kinda lucky because the the first hole they fill in the PePas was a pretty spectacular hole, 150 meters at three grams.

6:30 So they snagged the first thing on the first hole. All we had to do in with with step out, which we did, which which they didn't do and we did. We stepped out in in small increments to the point now where there's something at the apex. Now what it is remains to be determined. Size is still being determined, But the nature of the mineralization there is is quite unusual in the sense that it's it's so high grade at that surface, and it's this sort of wedge shape. It's not a it's not a single vein. It's a big thick chunk of mineralized material, mineralized to a very high level. So we're seeing, you know, the last hole we announced or the last couple holes we announced, there was something there 50 meters over 10 grams per ton gold across the entire hole.

7:20 That's quite unusual. And setting aside pure tons, the nature of that material lends itself to many different ways to to look at, to exploit, to develop. And those are the chats we're currently having at the moment. Geologically, however, we don't know what we've got. And this this is one of the I'd say, the problem is it's a good problem to have. Because this has has moved so fast by by virtue of the the the holes we drilled were very short. We're knocking over a hole every three or four days. The assays we're getting back from the MINING IN lab, we're getting back in three days. So we're moving so fast. We never really and still have not had the opportunity to actually think about, geologically, what PEPAS is and why it's there. I said that that's a good problem to have in the sense that we've we've we've got the deposit for one of a better word, but we don't really understand what controls this thing. And this is where we find ourselves now. So Pepas is is is looking very juicy, albeit size needs to be resolved.

8:30 Now we then move north. So we've got a large area here, lots of geochemistry over quite a large area, albeit not very widespread geochemistry because of lack of access. It's quite thick scrub. So we've drilled a couple of holes at Pepe House North.

8:47 Now some might suggest that the holes at Pepe House North were disappointing. Now they were in the sense of not being 10 grams, but, geologically, they were very positive because it shows we're in the system. We're still in the system, which means it's a big system. So one of those holes was 40 meters at point six. That that's a very good hole. So it shows we're in this system. The question we have to answer is where in the system. So geologically, we're now at a point we need to

9:18 understand the different parts of the system. And this has been the first time we've stepped outside Pepas and begin to see different component of the system. Now the way we understand or the way we'll go about understanding where we are is a combination of the airborne mag, which we've got, which we're interpreting now, more mapping and sampling, and importantly, the geochemistry. Now the geochemistry, I haven't gone to this in detail in in in announcements, but the the the assays we were using or or the the the lab we were using for the drill hole samples at Pepas was in MIDI three days turnaround, you know, absolutely fantastic. But it's just fire assay. It only does gold. It doesn't do the other metal that you require for for pathfinders and for for for victory.

10:08 So in order to understand where we are in the system, we needed the whole suite of multi elements, which we can't do in MIDI in. So that has to go to Canada or Peru or some of the some of the some of the lab around the world. So it becomes weeks rather than days. So the plan always was drill three holes in the North, two scissor holes and a cross hole just for geometry and structure, and then send those holes off to a lab in Canada. And when they come back, we can begin to think about where everything sits in the context of this big system to understand whether we're close far. This is just efficiency rather than just staying there drilling more holes at random. We want to understand where we are so we can know where to go. So this is the thing. This is the this is exploration.

10:53 So we got lucky at Pepas in that we had the first hole in the guts of this thing, which steps out. Pepas North, it's exploration in a more traditional sense. We have to understand where we are geochemically. But what it what it shows, however, is that this is a very interesting system. And the next the next I guess, the next silo, which I'll explain why we're having a think about what we do next. Now the I'm I'm an old bloke and I still think about what gold prices used to be in the old days. And I'm just now getting my head around what the combination of very high gold price and very high grade material means to the context of of a project.

11:42 Now traditionally, in any exploration project, what you would do is you drill. We would spend a couple of years drilling at Pepe's. We define what the project was in scope, and then we would just design, define a mine based upon what we found, that the mine would suit the size of the deposit. One of the main issues being that transporting ore to someone else's meal was never really an option in the old days because you're giving away you're you're you're losing gold by transport cost. But now we're operating a situation where high grade and high gold price means very, very high potentially very, very high cash margins per ounce of gold from hundreds to thousands per, you know, per per ounce. I'm not getting ahead of ourselves, but we're in this sort of context in this in this discussion.

12:36 If we're looking at very high margins, then the first thing that tells you is that a much smaller mine can make as as much money as a bigger mine in in the old days, so you don't need the size. And probably most importantly,

12:53 the the transport costs become not negligible, but almost negligible. So suddenly, you can send ore to a third party mill that previously you wouldn't have considered. In the old days, maybe you're giving away a gram. Now you're giving away point two of a gram. So all of a sudden, these windows open up. Now we're not locking ourselves into a scenario yet. We wanna drill and find the size and and stick to the traditional path. But we have to understand what plan b and plan c might look like because these things exist. These opportunities exist that didn't that wouldn't have existed ten years ago. So this material, high grade, at surface, big chunk power line over the over the top of the site within a couple of kilometers of the main the main paved freeway, call for it the main paved highway, gives us options that we need to understand.

13:51 And as I said, we're not gonna follow an option, but we want to at least understand what the numbers are so that we can assess which way we want to go. Now the first step in that is to do a model to understand what Pekka says. Now I'm not gonna say it's it's a mineral resource model or a mineral resource. I'm sure there'll be questions about about that. And I'll discuss those question time about be careful about mineral resources. They're not events. They're just tools that you use for further work. But we need to understand what we're looking at in very rough terms, and then need to understand if either if it if it can move to resource, what's that process? So the modeling being undertaken now by external consultants is to verify our own internal modeling and to tell us either, no. There's no resource or, yes.

14:45 There could be a resource with this much additional work. And then we can begin to think about, okay. That's what it looks like. What are the economics looking like, again, in very broad sense? And that will allow us the opportunity to make decisions about what we do, where we build. And the decisions might be we either keep working and expanding at Pepas North, Eastern, West, and South, or we move Pepas to a resource. And that decision is based upon our understanding of of whether that's actually worth doing. And what what I would say about minimal result estimates is that you never pull the trigger until you know what the answer is in advance. So we need to understand the the quantum of what that would look like, how much more work is required to do it, and he's had a worthwhile thing to do in terms of the size and in terms of what that might mean economically.

15:40 So at the moment, we're just having a bit of a think about I think that probably that last couple of holes pushes over the edge. That hole of 50 at 10 showed us that there was substantial continuity from section to section of efforts. And that's made us think that there is potentially something there that gives us a way to move maybe to near term production in a much faster way than we would otherwise traditionally think about doing things. You know, so we're not in a in a rush to go to any particular path, but we are cognizant that some of these options might be cheaper and easier to do than the more traditional path. More traditional path is years of drilling, periodic resource, years of permitting, building plant,

16:29 in terms of why it might be think about a third party toll treating a material, which means one, no building of a plant and two, no dealing with disposal of tailings. So that might substantially, a, decrease cost and b, decrease the permitting time. So we're not choosing option. We will have all the options on the table and understand exactly what the numbers are so we know which way we want to pursue. So PayPass is very interesting. It's moved very, very long way in a very short space of time. Probably, in hindsight, too fast.

17:02 But we're now at a point where we just need to have a bit of a pause to understand the potential economic significance of what we found, and that might determine some changes in directions. In the meantime, we just expect to as I said, the first couple of holes in the north shows us we're in the same system. It's a big system. But clearly, what we want to find is these sweet spots. So getting vectors to those is is is the key in future.

17:34 To just to stress something, actually. And I think you've you've said it actually as you were talking, but coming to a view as to the economics on this and the options it gives us isn't mutually exclusive with expanding still the resource base. You know? It's not gonna freeze us at a certain level of resources if we ever ever do decide to go down the you know, is it economically viable? Should we get on with it? So we will still expanding the resource base if they pass. Yeah. Even if we do decide the balance, we wanna bring the other forward a bit quicker. Yes. There's there's there's a there's a debate, I I guess, about what a resource is that people see a resource as being as being the end game, the event, and and and, you know, balloons go up. It's not. If we look at most gold mines over around the world over their life, what ends up being mined from go to woe is, generally speaking, many times what the original resource was. The resource is not the end. Resource is the beginning of a process.

18:33 It it it it's a tool that we use to begin the economic assessment. It's not in itself a a box saying this is what we've got. It's just the beginning. And so doing a resource can be can be a useful thing in terms of nailing some valuation to the mask. It can also be a two edged sword in the market might say, well, that's all you've got

18:57 without understanding what the reason's worth doing the resource, which is not to define what we've got, but to give us the tool to then move to the next stage, which brings us to Aptar. Now we've said, you know, the Aptar deposit is the original deposit in in the middle of the project

19:13 area. It's seen most of the activity since 2012, 38,000 meter drilling. Now I said previously that we've had consulted the list, and there is there is the ability to move to resource here. We don't know what it is yet. We but we we think it needs some some more geological work to improve the quality of that resource. But again, the question is, well, why would we do that? Now I want to do that at some stage, but I don't want to do that until I am until it I one, I get a better result, and two, until I know why I need to do that. And the reason we need to do that is to then begin to understand or to use that resource as the basis for economic study. That's all the resource is for. Now that was the plan. The plan's been overtaken by circumstance.

20:01 Pepas is now a better option. So I'm not going to pull the trigger on that part at the moment because we've got a better option down the road, which has the potential for better economics, better CapEx, better OpEx. Now Aptar is a very interesting project. It's it's it's it's nice. It looks reasonably large

20:19 in spaces, some very, very high grades, but needs better geological understanding. The downside or the the less positive side compared to set to to Pepas is that it's underground, an open pit, and it doesn't have the same transport options in terms of sending ore to a main highway. We we would have to do something on on-site there because we're having to drive through a small town and running trucks to a small town all day, all night is is not gonna make as many friends. So so Aptar is a very is a very nice project. And again,

20:51 that can move to resource reasonably quickly as and when we choose to do so. But we will choose to do so when we have a reason to do so and when we we think that that becomes a useful thing to do. At the moment, Pepas is first and Aptar is second,

21:12 which then again brings us to this to the South. I'm sort of going through this really quickly for those who who who are new to the to the to the area. We had three prospects in the in the in in the the ANSAR project. Pepas in the North, APPO in the middle, to the South with a large porphyry system called El Cedro or Cedro and El Robley. We we saw that was a combined name.

21:33 This had been looked at many years ago by Anglo American as a as a copper target, and they dismissed at the time. They were not interested. But they found some interesting gold. But but back then, gold wasn't wasn't their thing. We we followed up well, our previous partners followed up with some interesting work. And we planned a very large soil sampling program over the last couple of months to go and firm that work up and and confirm it as a large gold porphyry. Now we've begun that work, and we're about to touch under one third completed just taking soil samples along bridges and spurs and got some extremely high grade result in soils. We're getting point three. I think the highest the highest number was was one gram per ton in soils, but very large areas along that southeastern flank of above 0.3 gram per ton in soils.

22:21 That's high grade in soils. Now remember, soils are not rock. Soils are what is derived from rock below. So generally speaking, we would expect the gold in soils to be at least an ordinary less than the

22:35 gold in the rocks. So to get point three or to get one gram in soils at surface is is is very interesting. Sadly, we're in the middle of wet season. May is is the wettest season. It's been the wettest season on record, apparently. It's rather a mess landslide. So we got about a third of the way through, and then access had been blocked off now. And we won't be back there until probably later in June, early July that the government is clearing the roads. So we've been a very interesting start. So that gives us three interesting different stage prospects in the ANSAR project. So Pepas,

23:12 we're we're focusing on drilling. We want to expand, but it's it now requires some thought given to the economics, which is a good, again, a good problem to have. Aptar can move to resource, but again, needs some more geological work, And I need to understand where that fits into the permitting system. There are some some nuances to to how we permit in Colombia,

23:36 and this all fit together in a in a bit of a puzzle that we're trying to figure out. And then El Cedro potentially is a very large porphyry system. Now we have great hopes for that, but porphyry systems are notoriously very large and very expensive beast to deal with. So we will complete that that source sample program as and when we can when the rains abate. And then think about its potential and whether we go it alone or whether we find a friend. But that one's interesting because

24:09 what the market looks at is the company to the south of us, CLECTIVE MINING, who has something similar. And that's got the interest of the market, the interest of Agnico, who's now a bigger shareholder, as being a very, very large thing. We have we have a smaller thing with a high grade, larger thing which are interesting at different stages of development. So it's a nicely balanced portfolio, but it does mean we need to decide as we go along and adjust our allocation of resources depending upon results. We only have limited resources

24:38 and we need to provide the one to give them good bang for buck. But the moment, Pepas is the focus of the one that looked interesting and and has the potential to offer them very, high margins in the near term.

24:51 And then moving right along to Argentina in the South. Again, a very early stage project. The El Pantana project we picked up just over three years ago. Entirely grassroots, entirely untouched. The same selection criteria. Very large land package. Importantly, we own the project is a 100% or pathway to a 100. And that gives us options of optionality to move forward and to do various deals. Three years of work there, mapping, sampling, doing grand mag, looking very interesting.

25:25 And we'll look we have a set of a plan to begin drilling there post the the winter. So it's winter there now, getting into winter. Winter there pretty grim, but we'll look to be getting into there, you know, sort of August, September once once the weather becomes a bit a bit less miserable. But a very exciting project in a part of the world where we are surrounded by very, very large gold projects. So the right project in the right the right location.

25:54 And just summarizing, so it's a bit faster presentations. They will we want more questions. Really, you know, a company of our size needs to adjust as we go. So the plan today could be a different plan tomorrow depending upon results. So Pepas just remains the focus in terms of activity, money invested in drilling. The question now being, do we move to resource definition or work to expand? We don't know yet. We're gonna get the modeling done at Pepas next couple of days, think about economics, and then make a decision about how we allocate and whether we make a bit of a shift toward moving that to a more tangible project or begin to or do both. We'll see how we go. The the important thing is we need to understand more about the geology and and having some thinking time and being able to combine the mag the the new mag we've got with the new geochemistry we can we're going to get in two weeks with more mapping and sampling,

26:52 maybe the best way to go to give us more information about vectoring. We're in the system. We don't know where in the system. So we need to have some some mechanism, which we can say, well, is east, north, south, or west as to to move toward these high grade these high grade sweet spot. So getting all that data together takes time and and then then takes time to assess and to combine. So buying ourselves some time could be quite beneficial.

27:17 We're still looking at moving well, most of the land holdings in Colombia are applications, not not titled. That's good in the sense that they're cheap or they're free to hold and the clock doesn't tick, but we can't drill. So we are looking at at at as we always have been, moving those through the process to become granted in the near

27:38 term. The Aptar project, as I said, can be a resource. We're just waiting for the right moment for that to fit into the puzzle of when that makes sense to do. Doing a resource to a full day one zero one standard costs about 30 to $40,000. So it's not a cheap exercise. So we're not gonna do that until we need to do that in terms of it making sense from setting economics and permitting. And I'll say that we we advance no. No. We advance. So it's a very nice portfolio of projects,

28:09 and I think in a very nice time of avoid gold market, but it's we have, you know, lots of options to play with, lots of moving parts, which is which is quite good fun, but it does mean that we do need to occasionally stop, think, change, change tech as results dictate. So it might be competing to the market, but it's the way things work when results are changing every day. So that's that's our little short presentation. I've left more time for questions or views or whatever you like, and we can we can jump across to that. We've got a we've got a few here already, actually. I shall I shall make a start. Some of these are pre submitted. Few of these came in over the weekend, so we'll start with that. I'll take the first one, but would a company consider a potential takeover by other Colombian mining companies in the area, e g, Electric Mining?

29:04 Well, we're a quainted company. And so, obviously, you are leaving yourself there, you know, on on on in in in the short window. And if someone were to come and look and and the the price is right, certainly, things would need need to be considered. Frankly, my view, our view is that it's still early. There's a lot promise still that we need to show, and, you know, we we hope to be given the chance and the time to do that. We certainly got the institutional shareholder base now that we think is gonna be supportive of us going forward and and proving up more of what we have.

29:33 So that's the answer I I would say to that. Frank, do wanna add anything?

29:39 No. The phones aren't ringing. But, you know, the question is as as a as a board, we are obliged to assess any any phones that rang. But at the moment, yeah. I'd look if if an offer was made, we would we would assess it, communicate that, but at this stage, nothing has been happening. And ultimately, it's it's your company. You know, if someone offers you a squillion dollars, then it's up to you. But we would we would just like to make that that if it ever happened, the number is high as possible. Yeah. And after this, the jurisdiction is becoming more acceptable. It went through a bit of a bad patch two, three years ago when the current incumbent president arrived. And there are lots more bigger companies, and there is a lot more interest in Colombia itself. And we are seeing a bit of that. There's Colombia go show coming up in October. There was one last year. Even last year, we're getting people wanting to come and see the place. So, yeah, I think everybody looks at what everybody else is doing, but nothing nothing impotent at the moment anyway. So we'll we should wait and see and carry on working as as we have to.

30:41 The next one, Brad,

30:43 is calling I think it was already. OROSUR MINING scout drilling at Pepas North looks disappointing, but the positive channel something, what went wrong? Thank you. Well, look, I I think, obviously, you know, we don't know what's going there until we drill. That's that's why you drill. Otherwise, it it would be very easy. You're correct. Peppers was wasn't easy, but much easier. As I said, we just had to step out. Now it wasn't that easy, but it was a it was a very nice we knew exactly where to start. Now Now as you go north, you lose that advantage.

31:14 And you're you're you're drilling blind as any exploration does on the basis of surface material, and we're drilling way below surface material. We can't I would have liked to have done some trenching in the area, but trenching up there is quite difficult. So we we don't have all the tools available to us that we might do in in in, say, flatter country to go and trench and to understand what these outcrops look like. So an outcrops in this area, it's it's a hot, wet part of the world. So the rock is kinda stuffed up. It's it's really weathered and so it's not fresh rock. So you don't really see much information residual about its dip and orientation. So you're kind of guessing a little bit. If you can trench, then you dig down into the to sort the freshish rock and you understand it. But trenching up there requires clearing of vegetation, moving and machinery in there, which are not really possible at this stage with would require some substantial new permitting. So we're kinda having a guess.

32:16 So the first few holes we drilled there were drilled roughly underneath these outcrops, but we had no understanding at all in advance of the orientation. The hole were to tell us. Two holes, sitter hole, and a cross hole. We think those first two holes are probably sub parallel to strike, so that was probably the wrong direction that we know in hindsight, and we're a long way down. But what they showed us is that we've got this huge mineralized system, which is which is very key in the sense that it tells you that fluids have flooded through the whole system over a very large area. And we're getting this large halo of point 3.6 up to one gram per ton. What what then turns that into five grams a ton? And that's the question we need to understand.

33:06 And so it's not negative. It's actually very positive that we're in the right system, and we now have information that we hope in conjunction with the mag and everything else can begin to tell us one, what PEPAS is. And this is ultimately the fundamental question that we haven't yet answered. Why the hell is it there? Where did it come from? How did it come up from below? And how did these various blocks form where you have high grade and low grade? So that's that's a very important understanding. To find more, you've gotta know why the bite that you've got is there. And that this is the first time we've gotten that to actually stop and think about stuff. So, yeah, it would have been nice those first few holes in north were were amazing, but they weren't. They were good, not amazing. So that's the way exploration works. So, you know, I'm I'm actually quite buoyant by that.

33:55 Mhmm. The next one goes to again, I think we've answered this in part, certainly. When when is the resource gonna be prepared for Aptar? And, I mean, again, yes. We've got we are we are having geological studies done. Think we need to understand better the whole modeling down there in in Aptar before we go ahead and push the button on any resource. I mean, there are some amazing grades certainly on the way through here. We think the contact is not from surface. We think there is more at at depth, but it's quite targeted effective. So you do need potentially to have quite a lot of holes of quite closely spaced before we come up with a with a with a resource with a lot of confidence. The other way to do it is to understand better what you have in the in the calls, and so we are gonna get some more work done before we understand what the best timing might be on on Aptar.

34:42 Again, these things cost money. So as I said, to actually do a mineral resource report, which is a, you know, thick as a phone book, is gonna cost you $20.30, 40,000, or whatever the size ends up being. To do the geological work at Aptar to to understand the geology, we're another $30,000 more or less. So the you know, these things are not just throwaway items. They're they're reasonably substantial investments that we need to think about in terms of what else that money could buy and do we actually need to spend $60,000 right now. Now a few months ago, thought, yeah. Was a good idea. But then PePass began to move forward, I thought, well, okay. Let's let's just hold off for a while. That money is better spent on other things at the moment. It isn't going anywhere.

35:29 So we just need to to just to schedule things in the right order. What why do we want if if if all we're doing at that point is to give the market a warm fuzzy feeling, and I'm sorry, I don't that's not why I'm not interested in that. I'm gonna do an EPTAR resource when I think that's a useful thing to do in terms of valuation economic studies or part of the permitting process. To just do a resource to say, hey. We've got a resource. It's a very fleeting, very short lived, warm, fuzzy feeling. It goes away very fast. It needs to be a resource that makes sense. It needs to be a resource that then leads to the next stage of positive economics. To do resources shows it's a marginal project, it's just a waste of everyone's time. So it has to make sense in timing. It has to make sense in in how it then fit into the next step. And and ultimately, you know, we take a different view, I guess, Louie and I, of of what a junior mining company is. But, you know, we see our value ultimately being derived from the market's perception of opportunities or the or probability of an economic deposit being found and developed.

36:39 We're not interested in finding marginal things. We we wanna see a project get to the starting line of being built and and run. And maybe I'm too old, but we'll see. But we wanna find things that we can then define and develop and and produce from. So we're very focused on exactly when you do when you pull that trigger. It has to make sense because it's not cheap, and it has to fit into our schedule of of how things work. So it will happen, I think, eventually, probably sooner or later. But right now, it's second priority. The next thanks, Brad. The next one goes to the AeroMax server that we've had done, and they both go to the same thing, basically, you know, as this information informing us to where we're gonna be drilling in in Pebbles North. And as you mentioned earlier, it's it's that also to combine with the geochem, which we need to which we need to do. I think it's both things in combination, isn't it, an interpretation as well.

37:46 Not it's not material to the share price. Most investors who aren't geophysical structural jobs will look at it and think it's very nice wallpaper because what does it mean? So it's it's one of the tools in our arsenal that gives us, you know, some indication of the third dimension, particularly structurally. So we know we've got lots of structures, lots of different intrusions and and volcanics in an area covered by scrub. And so being able to, you know, look at responses over a wider area that we can't see on the ground is a very useful thing to understand what's going on. We had old mag done from 2012, but quite wide line spacing. This new bag is quite interesting. It's giving us a lot more structures, lot more detail that we need to interpret in conjunction with more mapping and sampling and more geology.

38:38 It's not a shazam, there's the answer. It's an iterative process. It's one layer of information. And to understand how it works is is actually quite a complicated structural geological problem. So we'll do interpretation as a first pass, which is what's happening now. We've got a few lines lines on maps. There'll be chats with the guys, bounce backwards and forwards, and probably be a field visit soon to to to move move that forward. So it's the beginning of the process rather than the end. So at some point, we'll put up some some pretty pictures, but but these area manager doesn't say drill here. It's a it's a geological picture that takes some skill to interpret, but it has been very useful and will and will continue to be so. Mhmm.

39:23 The next one, another good question. If Pepas was taken to a resource, how long would it take to get to a resource and then permitting and then also to build a processing plant, a rough idea of length of time? Well, just just to go back to to what we have actually, and and this goes to the the to the heart of what we found at Pepas. Given the the grade and the nature of the mineralization that we found, remember lots of it is from surface, the potential economics there could could give us quite a few options on how we go ahead and and and develop that you know, and and and looking to build the process plant and then have tailings and all the rest of it. Just one way to do, which is traditional. That would take certainly a few years, and that that would come as any surprise to anybody. Colombia is no different to any other place. Permits environmental, the rest of it need to be sorted and obtained.

40:09 But the other way perhaps would be to do something else, which, as Brad mentioned, may well be just taking this the ore away and getting it processed elsewhere, which would not then leave us any issues on tailings and tailings and and having to build a processing plant. So it really is as depending on which option we go along, the the, you know, the the length of time these things take might may well be shortened, but it's something that we're gonna be looking at as we as Brad mentioned earlier. Yeah. So time timelines are very we don't wanna be getting into setting out timelines here because we'll be wrong tomorrow. So Let me tell you. To to if if we chose to go to resource, my expectation is not having seen the response from this Dalton is that it would be a couple more months of drilling and then a couple of months preparation. So a resource at Pepas would be, you know, toward the end of the year.

41:01 That's just how long it would take. A resource required not only drilling, it requires a very detailed understanding of the geology. So again, we would need consult to understand what what's happening geologically. That's a fundamental part of what a resource is, knowing what the what controls these things. So it's not just drawing a line around numbers. So it it is actually quite a complicated process. So again, the sooner we start the sooner we understand what that process is, the sooner we can make a decision. Building MINING, I think, is the question there. Building MINING, well, you know, not next Tuesday. You know, to if we were to follow, for example, that at building MINDs is getting longer and longer as time goes on. It's, you know, that we see examples of of projects in twenty years in the system.

41:51 And I don't know if it's gonna get any shorter. Though your traditional path would be, you know, three years of drilling, you know, a couple of years of feasibility studies, an unknown length of time for permitting, and then building 10. That's kind of the rough number we all use just making that up, which again is is one of the rationale between examining a different way of doing things. Partly because we can, because the combination of high better price and high grade means it makes it it could make a lot of sense commercially, but it also has potential to substantially chop off a lot of that time because it becomes a much simpler thing to do. And simpler things are good in many ways. They're much cheaper.

42:37 They're much less complicated. They require much less feasibility studies. So I have no idea how long it will take, but the the permitting question remains the unknown question in any country, let alone Colombia. But but being able to try to jump out of that seems to be this lengthening period of time for Bill MINING just getting oh my longer longer. We can do things faster and still make a lot of money. I would think we would be rather silly not to not to at least examine that. So yeah. Not next year, though. Yeah. Thanks, Brad. Couple other questions. This is just why are the headings on the RNS not more upbeat? Well, I think we've I think we've got slightly better at that than before. We would put OROSUR up to that, we we're getting a bit more specific.

43:27 Again, it's not what we normally do. I mean, cessation is not the way we move, but but you're right. We do need to be a bit more pointed in what and and we're aware of that. So we are We so that there'll there'll be some changes. So the we're currently having our presentations entirely rebadged, different colors, different contexts, someone who knows how to do presentation rather than me, that'll be better in the future. I we can see that they are rather clunky. We're getting a lot of new images drafted, so it's, you know, that you know, we we admit we are a bit of a a mom and dad kind of back out operation when it comes to graphics and presentation. So we'll we'll hope to improve that. But in terms of spiviness, I don't wanna change that. You know, we very intentionally one, by just our nature of being fairly conservative, I think. And also, we want to differentiate ourselves from the rest of the pack by actually focusing on results rather than hot.

44:22 Now what what we found and this this is this is sort of a a necessary part of survival in the industry is that there are still too many junior miners out there. There are I don't know the number, 3,000 junior miners of which whatever number you choose, 2,800 don't really need to exist. They're just there to make up the numbers and and do stuff. So we in order to remain relevant, to remain to remain having access to funds, you need to be in that top 20%. And, you know, traditionally, you know, I've been through, I don't know, five cycles down my life. Every cycle in the past, everybody got funded and they survived the downturn.

45:08 Now this time seems a bit different in that the international community has other things to invest in, you know, AI, IT, whatever biotech. So this time, they seem to be less reluctant to fund the rest of the pack. So in terms of our ability to survive, in terms of and to prosper and access funds, we need to be in that top couple of percent. And that's just results because the the kind of pockets of money that invest in junior miners understand geology and can see through the heart. So, yes, we will try to make things look prettier, but we're not gonna have flashing lights and Shazam and and and titles. It's going to be the results that do the talking. Okay. Thanks, Brad. A couple of questions dealing with what would be the timing on a second drill rig. But, again, that'll be driven by results, I think, more than anything else.

46:03 Yes. I mean, I've I've said previously that Yep. One rig's hard work because of the the good problem of having very fast holes and very fast turnaround in in assays. One rig's a handful. Two rigs would be just it'd it'd be crazy. So we'll get we'll have that. We have the money. Rigs are available. Although we are we've been yelling at our drillers. Drillers have been having a few issues. I'm putting a get an email from them saying I shouldn't tell the public, but we've had a few drilling problems. And we'd like to get the one we we've got working a little bit more efficiently before we bring in two. It it it's it's difficult country. It's it's rugged. It's raining cats and dogs. It's broken ground, so we just need to be comfortable that we can keep two rigs going efficiently before we before we bring them in. At the moment, one's fine.

46:57 The option's always there, but we're not in a rush. Thanks for that. I think there's a couple of try trying to get us to estimate the potential resource, it's not something that we certainly could do publicly. But, obviously, we, you we are looking seamlessly at purpose of moving things to resource or perhaps adapt us. So we wouldn't be doing that if we didn't think there would be something worthwhile in in in both of those. Elsevir is obviously further further down the road. If you decide to monetize, it does not give you the necessary financial firepower to tackle the bigger potential systems, Elsevir and El Pantano. So this goes back exactly to what the point that we're making, which is why we're looking at looking at the potential economics at at because that, yes, that would then would allow us to have more optionality if you like. But, you know, that work needs to be done before we can we can make a decision on all those things.

47:55 Once you've drilled the last hole in Peppa's North and moved back to Peppa's South, what holes are you planning to drill and to what end? Again, it's working it's work it's work work in progress. Still expanding Pepepas South, so we we moved we we moved to to Pepepas North when we were allowed to. So because Peppa's North was over the boundary of a different farm, a different landowner. We're not allowed to go there until we had that approval signed. So the delay of moving North was largely driven by access permits and then the physical reality of putting in a track and building page once it was done. So we moved there as soon as we could. So we stopped we stopped Pepas not because that was it, but because we hadn't had had the permit. So we've moved north. So now we're back at Pepas just inching things out so that the what there is still capacity to expand Pepas in all directions.

48:49 Yeah. By by by no means is that closed off. It's still growing. It's just, you know, we wanted to run north to to to to to get some information to pass north when we're allowed to and then come back. So it's the rig is at pass. We have no plans to to to stop that unless there is, you know moment the rains are bad, but we we we're managing. But we have no plans to take that rig off-site in the near to medium term. Excellent. And there's one for two or three we're talking about. Also, they're all when we're gonna be drilling there. And would it be with a JV partner? Again, very much, it depends on what it is we find. We are as Brad said earlier, we're we're soil sampling. We're gonna be rocked in rock chip analysis in due course.

49:38 Rains have been heavy, so we're already about a third of the way through where we thought we'd be now. We we're probably gonna go back in early into June, early July. So by September, we have a better idea of handle of what we have there, and then and then we can sit and decide where we go from there. Like, it'd be deep drilling, so, you know, we'll take more money. So, yes, it could well be with perhaps someone who's got deeper pockets, but it depends very much what situation we're in with with the other projects and the timing of those. But there there are there are a number of options available. And the nice thing about the agreement that we managed to strike with when we got this back is that we are totally free on any one prospect to go and find a joint venture partner. We don't don't have have to to just go for one for the whole the whole life area. So we're giving ourselves maximum maximum flexibility there.

50:25 Any deep oh, here we go. Any deep drilling planned below known mineralization at Pepas? That's That's the the last last one. It's just a lot, Brian. The answer is yes, mate. The answer is yes, but not planned yet. Now I've made that point that Pepas didn't drop out of the sky. It came up from below. So we need to think about how it got there and by what by what pathway. Because there's there would seem to be a feeder zone somewhere. If the this whole region is mineralized. It's all specified. It got there somehow. And well, I'm not gonna draw a comparison to Guayabalas that collective mining is doing. But if we look at the Guayabalas Apollo project, it in area is very small. It's it's the size of Pepe's. It just goes down a kilometer.

51:17 So there is a potential for these things to have enormous vertical extent. And in fact, it's in the case of Apollo, the deeper it goes, the better it gets. So there are these these things can appear quite small in footprint, but just go forever. So we're very comfortable that there is a has to be some vertical extent somewhere, but that's gonna require deep drilling. And deep drilling is is, well, by definition, more expensive and speculative. So you think, well, what this is sort of what Agnico and Newmont did. They would just drill deep holes. Now that's that's pretty good fun, but at the moment, every hole we drill is, you know, $20,000 more or less. If every hole we drill becomes $200,000, then that keeps me awake at night. So, you know, we don't, at this stage, have the pockets to be putting those holes down of that nature unless we get a very, very clear reason as to why. We're we're now getting into oil and gas country here, these massively expensive holes. So I think we need to be a little bit further along in terms of what we've got at Pepez.

52:27 What what we've done now is easy. You know, quick wins. Bang, bang, bang. There's Peppa's. It was very cheap, very fast, and and there it is. It isn't a monster yet, but it was a very it was a very cheap, fast win. To start drilling deep holes is something we'd love to do, but I think, one, we need a lot of money because those holes become expensive. We need a very clear understanding geologically of exactly what we're doing the hole for. We don't have the luxury of being ignico and just drill those holes for fun. You know, we need to have very, very specific target in mind or we go to incrementally. So that, again, is part of the error mag. The error mag, we hope, is going to create this architect picture of what's what's happening, where the blocks have all moved, and where there's a source perhaps and geochemistry.

53:19 I would I would guess, you know, we're not gonna do that for a few months and possibly longer. So it's it's a great thing to do, but at the moment, we have easier easier things to do, easier and cheaper. And and and clearly, it depends on what happens in next few months in Peppers. You know, Peppers, you know, becomes a lot more, especially North Peppas becomes a lot more interesting, you know, it may then give us the ability to raise a bit more money and go and drill down in. So, yeah, this could become very quickly quite exciting here, but it really depends on what's gonna be happening in the next sort of, you know, six months or so, which we're saying we're we're really at an inflection point right now. There's there's a lot to do in a short space of time. But we're, you very much looking forward to to the results that are gonna be coming out in the next in the next few months.

54:07 I think that's about it, actually. What is the last one coming in? What are the risks of being too conservative in your approach? Oh, yeah. Philosophical question. Fair fair enough, actually. It's a balance like anything else in life. I mean, one could be too conservative. You know? We're you know, we are robust once we have a good knowledge on which to base our base our judgments. And we tend to work that way around rather than than the other way around. So we're probably more conservative than others. And but but but to date, it's it's it's been fine. Things have thought it worked out. It's a it's a fair question, but I don't think we're being conservative. I mean, we're spending money like it's going in a fashion. I mean, not not at Agnico levels, but my view certainly is if the market if investors give you money, they're giving you money for a reason.

54:55 And that reason is not to just pay ourselves and have long lunches. The reason is to test geological concepts, which I think we're doing as fast as as the project will allow. We don't you you have to react to what you find and you have to respond to what you see in the in the rocks. You don't you can't take a plan in or, hey, you're gonna drill. You you drill as you see things. And that occasionally means stop and think and move and and adjust and do stuff. So you have to be reactive. That's just the nature of the beast. Now in terms of being conservative, that that's fine with PePas. We're doing that and we're going well, I mean, if you look at the the nature of how fast it's gone, that that's gone so fast. It's beyond belief. I mean, I've never seen a project go that fast. Largely as a result of the asset turnaround times, which is so that that's gone ridiculously fast to the point where now we're drawing numbers into these spreadsheets.

55:54 Are we being conservative at El Cedro and Potato? Yes. Because El Cedro, particularly, again, both projects, they're big. And where do you start? And this is the question. Is it when you start having to drill holes that are costing a $100,000 plus each and you've got no actual target or door that you feel comfortable with, that's you're going from, you know, being quite conservative to just being a mad drunken gambler. So somewhere that there's gonna be a middle ground, I would hope. I mean, Pepas was I said, we were lucky that was a very low risk beginning to that project. We had the previous drilling. We had the trenching.

56:39 We had those tunnels. The first couple of holes were kind of my mother could have drilled those. But to move down to other projects and start drilling those, not a question of being conservative. It's a question of we don't yet we have to grow. One, that requires more money. Two, it requires more understanding geologically of where those holes are gonna go and why, and more people. So it's it's it's it's it's being prudent, I guess, rather than conservative. Is it sure. We could hire 10 more geologists and bring in two drill rigs, and we'd run out of cash by next Wednesday afternoon. So we need to be conscious of the fact that, you know, we still need to work within our financial capacity and do what we said we'd do with the money we raised last time before we raise money again. So it's you can't just spray it out like machine guns. Yeah. There's always a risk of Yeah. So we're not discounting anything going forward, so we're not no set through. And we'll see what alternatives are open to us as as things progress for the next few months.

57:47 But my my view certainly is that and and and my view certainly is that this is the beginning of a, I wanna call it, gold boom, but it's certainly the bidding beginning of a gold bull market. So there's no rush. You know, everybody who wants results tomorrow, you know, this is this is not going anywhere for a while. It's that you listen to commentators who've been on the block five times. We're in the foothills, hopefully, of, you know, a nice gold bull market. So doing everything you're shooting all your bullets in the first week is is really not necessarily that wise. Keeping a few things in reserve and and advancing in a in a steady progress is certainly my view a preferred way to do things.

58:33 Okay. And one last call coming in, which is more or less what we've already clicked on in terms of an option. I taking money made from towing and then funding using that to fund the other drilling. And yeah. So we we've covered all of these points already in terms of the optionality. Yeah. Look, I would I I would I don't I I would caution looking at Pepas as just the way to fund El Centro. That's not how we see it. I I see Pepas as being a great little project by itself. It doesn't I mean, why would I you know, it's it's again, just if we examine the margins that are created by high gold price, high and high grade, It you know, we can make a lot of money and and it's it's not simply a a pathway to funding bigger projects. It's it's a very, well, it has potential to be extremely lucrative project on its own legs and for its own its own reason. So we're not doing it to just make some money. We're doing it because it lends itself to that. And the whole point of mining is to make money. And if we can do that quickly and at a much lower capital cost, you know, itself, that that's a good thing to do. And in that sense, this is what this process is about. We've begun the process of modeling so they understand what we've got. We've begun some some basic geochemistry or some basic methodology that tells us that, yes, it's not nasty or it looks

1:00:03 pretty good, requires more work, but it looks fairly standard. These are important things, you know, in order for us to go and talk to another mill or them to talk to us, they need to know that what we have is of interest to them and that the ore is roughly compatible with their mill. So there are there are certain technical things we need to do, but certainly, those options need to be defined in terms of, you know, modeling possible mining costs, developing scenarios, compatibility with mills. It there's a lot of work to do. So it's not it's not simply done as a quick fire sale to make a map to make a buck. It's this this is yeah. This is a real problem. And, again, just to just to reemphasize it, it we're talking about potential here, and, you know, there is permitting and other things that need to be done. So it will take a bit of time. It's not gonna be an overnight occurrence.

1:00:55 But we will we will look at options. And and as and when we can inform the market, clearly, we'll we will be releasing that information. Okay. I think that's it. I think we just about come up to the end there. Sandra, is there anything else? No. That that's great. Well, thank you very much for answering those questions from investors. Of course, the company can view all the questions for today, we will publish the responses on the Investor Meet company platform. But just before redirecting investors Friday with their feedback, which is particularly important to the company, Brad could I just ask one of you for a few closing comments? Sure. I'll do that quickly, Brad. Yeah. I mean, look. I I just wanna leave three things that people's mindset because of results, for some reason, people have found us slightly disappointing. North Peppers was not a poor result. So we're that actually does show that we're in the system. So North Peppers is still a loss to loss to discover, loss to look for. And in the South, we're still expanding. So we're not we haven't finished that either.

1:01:48 Secondly, we've got three prospects in us. They're not just the one. They're all at different stages. Braz already covered those. So there's Pepas. There's in the North, up down the middle. It's in the South. They're all different stages, and so we can progress those depending on what we find at one quicker or slower. And lastly, Argentina is, yeah, is getting to an interesting stage right now. Well, it can't be many juniors with prospects like this of this quality, certainly in two jurisdictions. So, again, it's a pretty well balanced portfolio. Other than that, I just wanna thank everybody for your attention. And if there are any other questions you wanna send, do send them in, and we'll see what see if we can answer those individually. Clearly, you know, subject to everything else being made publicly previously to that. But, again, thank you very much for your for your attendance. I really I really do appreciate the support. Thank you.

1:02:36 That's great. And thank you once again for updating investors today. Could I please ask investors not to close the session as you now be automatically redirected to to provide your feedback, and all the management team can better understand your views and expectations. On behalf of the management team of OROSUR MINING, we'd like to thank you for attending today's presentation, and good evening to you all.