Orosur Mining (TSXV:OMI) — Investor Q&A Session

0:01 Good afternoon, ladies and gentlemen, and welcome to the OROSUR MINING INvestor Q and A Session. Throughout today's recorded meeting, investors will be in listen only mode. Questions are encouraged and can be submitted at any time just using the Q and A tab situated on the right hand corner of your screen. Please simply type in your questions at any time and press send. Before we begin, we'd like to submit the following poll, and I'm sure the company will be most grateful for your participation. And I'd now like to hand over to chairman, Louis Castro. Good afternoon.

0:26 Thanks very much, Mark. Yes. Good afternoon, everybody. My name's Louis Castro, chairman of OROSUR MINING INC, and also on the screen, Brad George, who is CEO. Thanks for thanks for attending, and we hope to be able to answer as many questions as as you got ready for us. The presentation will be in two parts. Brad will make a short presentation, and then we'll we'll do the we'll do the q and a. Since our last webinar, which we held at the end of October, quite a lot of quite a lot has happened. We we finally completed the acquisition of MINEDRO from AGNICO and Newmont, something which took much longer than we had anticipated. But but we did get two very good concessions on it. Negotiations took a bit of time, but we did manage to acquire and get the project back for no money up front, which is which is fundamental to us because the money that we we we we wanna put to the ground rather than for anything else. So we managed to get that. The second concession is that we've got total flexibility as to what we do with this with the office licenses that we now have under our control.

1:31 And so as you'll see as Brad goes through the presentation in Colombia and the project down south, we have quite a few areas of interest, if you like. They may go all the way to deposit. We don't know yet, but we do have flexibility as what we do with each one of those different areas. So we don't have to, you know, necessarily look for a joint venture partner for all of it. We have the ability to do what we want, which is individual parts of that property, and I think that's an important point to make. We may come back to it during our q and a.

2:00 Okay. Just wanted to make those two points. Within the company, we have got so we've Colombian assets that we're gonna major on. We also have a project in Argentina, gold with traces of silver, we believe, in in the Southern Argentina, the Santa Cruz Province, which is very pro mining. And we have a small holding in licenses in lithium licenses in Nigeria. Not the best of times in lithium, but holding costs in Nigeria are very low. And so we're not spending much time on that. And in fact, we're not gonna cover it at all in this presentation. So without further ado, Brad, shall I hand over to you if you want to go through the presentation? Take the controls? Yes. Yes. Thanks, Louis. Good morning, everyone. It's I say good morning because it's 01:30AM where I am, so I'm doing my best to stay awake.

2:47 I will oh, I won't apologize, but for for all the holders, this some of the presentation might be familiar. But I am gonna go back and rehash some of the history because given the activity on the market in the last couple of weeks, we probably have a lot of new shareholders who are wondering who the hell OROSUR is and where it's been all their lives. So we'll we'll we'll go back and sort of do a bit of history, but I'm sure their questions will will come through. We've already had a course. So in in summary, we're we're not a new company. In a past life, the company was called U Require Mineral Exploration. It was a it's a Yukon registered company. So it is Canadian, but but dominated by the the London exchange by all 98% these days.

3:36 For about twenty years, it ran a gold mine in Uruguay, South America that produced about one and a half million ounces. That came to an end in 2017, and the company transitioned from there into or back into Explorer while I wrapped up the operations down there over a number of years, largely largely done now. So as a company, as Louis pointed out, we have two major gold projects. Okay. It'd be the silver in in in Argentina in South America. Probably most importantly or very importantly is that both projects are either owned a 100% or we have a pathway to a 100%, and I'll explain that later on in in in in in in the program. That gives us enormous flexibility in in in one, owning the projects and two, whether we want to bring in a JV path, which as we said, we're not in a hurry, but at least owning a 100%, you have those options.

4:31 Equally as importantly, they're both big blocks of land and getting bigger. I mean, I'm I've been exploring for years. You can't explore on a postage stamp. You you need if you if you're looking particularly from an earlier stages, you need as much land as you can get. So we've got a big project in Colombia, now much bigger because of the acquisition recently I'll talk about later on, and a big project of almost 600 square kilometers in in Argentina. So we've got big chunks of land. The reason, I guess, many of you are here is that the recent drilling results of the Columbia have been very exciting for for a of us. I, as always, would caution I would caution caution. Yeah. This is good fun, but mineral resources take a while to develop and it's you know, let's let's enjoy the ride, but, yeah, there's a lot of work to be done.

5:20 And Argentina is early stage, looks very exciting geologically within geologic geologists are easy to excite. Importantly, we've just got agile in permits, so we look to to start work there in the in the new year. It's nice to see an upward sloping share graph, which has been a long time coming. So, obviously, it's been a very exciting couple of weeks with the latest results coming out. That, I think, importantly for us is that that's got us noticed. I don't know the numbers. It's probably close to to 2,000 small miners in the world or small explorers in the world still these days, probably far too many. Very hard to get noticed. And I think those results, you know, given the way the world communicates and our social media, we jumped out of the pack. You know, that they those that they were very, very stark, dual results that's got everybody wondering what the you know, what on earth is this.

6:14 So noticed the share price reacted, now suddenly we've, you know, we've lifted that sort apple a level beyond the beyond beyond the the pack. Cash on hand, clearly, that'll that'll be on I have no doubt will be a question that will be asked. Probably 500,000. So yes. Yeah. And we're always gonna need to raise money, so I'll I'll just flag that now.

6:38 So why why the attention? Well, you know, as was pointed out, we spent we've we've had the Colombian project, and that is the key driver since 2004 late two thousand fourteen. So actually actually about ten years. So it's been a it's been ten years. It's been overnight success. We've we've called it a success. But finally got the project back ourself, which for most of those years, we've been subject to being a a passive passenger to major companies, and major companies do things in their own particular way. And, again, I'll explain it later on. So finally, we're back in the driver's seat. We're not beholden to anybody. We have it a 100%. And those tool results, you know, while it always needs to be taken in context, are so good that they just they get everybody excited. So that's really interesting.

7:26 We have an older prospect at Ansar in Columbia called Aptar, which has seen most of the work over the years, about 38,000 meters of drilling. It's interesting. We've we've made the point that we're going to move that while we want to examine the process to move that to a resource. We haven't pulled the trigger on that. We never said we would. We've just examined whether it could be moved to a resource, and if so, what the process would be. So that's that's that's encouraging. On the same project, ANSAR and Columbia, there's what we think and what our previous partners thought was a major porphyry system. El Centro and OROSUR MLO now now they're the same thing. They'll preview the two prospects, but they've they've been doing together. They'll probably need a new name. We'll get down to there in the New Year, but it's, you know, we're really sticking with Peppers at the moment.

8:14 As I noted, the the project Tina has drill permits now. So, you know, we'll get back there and look at the work progress in new year. So so we're in a point where we've got quite a balanced portfolio. We're drilling, getting good results, and other projects in in the profile that we look to fund and work on into the new year. So we've we we look to be able to get a couple of couple of cards to our deck. So the end of our project, as I said, ten years. So it so those who are familiar with Colombia, just to the north of us is a project called Bodidica, which was owned by a company called Continental Gold and sold to Chinese firm Zijin a few years ago for about a about $1,000,000,000. Continental used to own the ANSAR project, but they couldn't fund them back both and they spun ANSAR out to about 2012, I think.

9:06 They did some good work, got some good drilling results, and then OROSUR merged or or bought them in December 14. So exactly ten years. But that was coming to the time when when OROSUR or OROSUR's gold mine in Colombia was big in in sorry, in Uruguay was beginning to get a bit long of the tooth, and there was some issues down there. And there wasn't really enough cash being thrown off with that project to to fund exploration. So the project ticked along for a while in in a low key way, and that led eventually to a joint venture being signed with Newmont in September 2018. Newmont had a had a had a grand plan to dominate the entire Mid Calcutta Belt, the Mid Calcutta Belt being the primary gold belt just to the west of Midian in this in this region. And they had JVs and ownership stakes in three companies up in that belt.

9:54 So we signed that JV with them, and they also took a $2,000,000 equity placement to us, and that makes them to, to this day, our largest shareholder. But immediately after that JV was signed, there were some security issues in Colombia that led Newmont to to to largely withdraw. So they did no work in the first two years of that of that joint venture and paid us the the money in lieu they're required to spend. So it sat there for for quite a few years. AGNICO, which is now or which was then about number seven, which now I think is number three in the largest gold miners in the world, They then wanted to come to Columbia. They hired most of the the executive team for Continental who'd who'd been to meet who'd been to left after the decision takeover.

10:41 And they came to us and and came to Newmont and then they effectively joined Newmont as equal partners and to to share the obligation of the JV. So they joined in September 2020. But then, of course, we're dealing with COVID. So that made things rather interesting. We were running the project. Our our geos were in charge, but using their money. So we we kept operating, but we had to stay in a COVID bubble for security reasons. So, again, for the next year and a half, work continued, but it was it was stuck with this very small central area in Aptar and couldn't really get out until late twenty twenty one. They moved out, began to find new prospects at PePas and other places. But that then took us to the end of the the first phase of the JV.

11:28 The JV were the three phases. The first phase was four years. That came to an end. They then had to move or at least they had the option to move to phase two, which is more money, more equity. And that's when they began to I don't speak on behalf of these two big companies, but they began to have second thoughts about Colombia as destination. Not not the project. They love the project, but Colombia was problematic for them given they both since done major mergers with other companies with Newcrest and Goldcorp and and Kirkland Lake. And they had so many projects that they just thought, well, Columbia is, at that time, politically a bit complicated, particularly with Newmont, and they began to look at ways of moving out. And we began that conversation beginning well, end of last year, beginning of this year as to what that departure would look like.

12:16 And Louis said, it took a lot longer than we thought, and I was a bit naive in thinking it'd be done by by, you know, April, March. But we got it done in in in in November. No cash up front. We defer consideration to to production, so we pay an NSR royalty, and we're back in charge. So it's taken us, as I said, this this long to get us back to being in charge, and we began to drill immediately and, you know, obviously, the results were quite quite impressive. The project changes a bit. When we first started about 200 square kilometers, that over time, it reduced as as projects always do as leases reduce in size, as they get older, or as they become encroached upon. The key driver was it was 20 kilometers of strike of what we thought was the major mineralized trend, the Aragon Fault.

13:06 Looked interesting. To this point, done about 45,000 meters of drilling. As I said, mostly that tar, but but lately focusing on Pepebas. It's well located. Major road running along that river, big tar road, lots of towns, very nice part of the world. It's about two hours drive from from Medellin. Excellent camp on-site, and most of this project sits within the Ansar municipality, which is very, very mining friendly. So they want us there, but the project is now also increasing in size. Having having done the transaction to buy our JV partner, we've also been, in fact, bought their applications. So we've more than doubled in size now. And here's here's the map. On the left is the the previous the previous licenses that made up the joint venture.

13:53 We took a few applications of our own that were not part of the JV, and then we also acquired a large number of applications from MMA. So we're now looking at about 400 square kilometers. This is always, however, I must caveat subject to change. Applications are not as secure as as titles and they they pinch and swell over time as things happen. So I would expect a few of these drop off, but it's we're now potentially I don't know exactly, but we are probably the the most substantial and most dominant land owner or land holder in the Mid Calcutta Belt. So it gives us a very good position to to look at. We haven't been to these places. This this is this covers a very long strike of a very major gold belt. Very little work's been done. So this is this is something for us to look at in the in the New Year, but certainly it gives us a very nice footprint.

14:46 The key point to the transaction. So we we, in effect, purchased the JV company. So Agnico and Newmont were operating in Colombia under a company called MINERAMont Aguila. We purchased that company. So all of its assets, all of its its its staff, all of its licenses we now own. The consideration said no cash up front. So one half percent NSR royalty on all future production plus an additional royalty of $75 an ounce on the first 200,000 ounces. So that's a total of $50,000,000. So that that to us was we thought was very doable given a very buoyant gold price, given what we're seeing with potentially quite low cost mining, giving away that level of NSR, which is in effect about 2% NSR, is a bad industry standard, and we're we're quite comfortable with that.

15:36 But importantly, no cash up front. We didn't have any cash and really, you know, we wanted to defer all consideration until we'd found the mine, permitted the mine, built a mine, and we're running a mine. So for us, us, that was a very good a very good deal.

15:54 So Pepas, of course, is what's getting everybody excited. So Pepas is in the north of the of the project area. It's about 10 kilometers north of the main Aptar camp and the main Aptar deposit. This is an absolutely grassroots discovery, which is quite unusual these days. And to be fair, to to give credit, this was found by Agnico. And they lost it again, but but this was when it comes time to find out who who discovered it, it was discovered by Agnica. Just as COVID began to abate, the guys got out of camp and moved north and began to map and sample and do regional regional Blake sampling. Phantom anomalous areas and importantly found and this is quite remote area. There's no one lives here, so it's just a it's difficult access.

16:39 Found a small outcrop a very high grade material about, you know, about 10 meters long running between ten and seventy grams per ton gold. They had some sense of what they thought the the regional geology was. They as this map shows, they thought it was roughly sort of Southwest and Northeast. We we're not so sure now. You know, we we had the benefit of hindsight, so we're we're reassessing these these maps. So they drilled their first hole in April 22, Pep one, to target what they thought was the down dip extension of this outcrop. And somewhat surprisingly, please but pleasingly surprisingly hit one fifty or three grams per ton from surface. Bit of a surprise.

17:25 And then two two further holes from this same drill pad came up with similar numbers, and then one hole one hole collapsed. But this was again when the company, the Fed, began to have pressures with politics. And I, you know, I get the sense, and, again, I don't know, not being inside the tent, that they were told, look. We don't really wanna be in Colombia. Give us a reason to stay. And so they sort of stepped back and and and and understand, of course, that companies of this size need massive projects. They're they're not here for million ounces. They're here for 10,000,000 ounces. They're here for volidicas. They said, look. If not not five, ten million ounces, we don't wanna be here. So they they rolled the dice. They stepped back substantial distances and drilled deep holes, sort of hail Mary hole, and hoped for the best. And those holes mostly missed. So it's it wasn't bad work. It was just the pressures applied by the realities of being big companies.

18:20 And then everything ran down. So we had we had walk up targets, and and that was obviously, again, you know, we recognize this and that gave us a what we thought a tremendous exciting opportunity to walk up as a small company with different different size hurdles to do things differently and get immediate success, which is largely what we've done, I guess, as much by as luck as design. The the key the the key question that I've always talked about is that and this is not understood well. When you drill the first hole into a new I won't call ore body yet, but into a new body visualization, you get good numbers. You very rarely get much information about the orientation unless there's something particular at the rocks that gives you a clue. But, generally, the orientation could remain unknown.

19:09 It can be a million different things. So, traditionally, what you would have done in the old textbooks is you would have you know, the first holes are great.

19:16 You would then move the rig to a to a different location, probably the other side, and you would drill into it from the other side. And you poke around for a while, and you'd you'd try to find some sort of key feature that you wanted to drill into from different directions that would give you some sense of the orientation. So we've been back to site. We were this substantially before the deal was completed. We we we took over the project and began to map and sample. And we found a lot more outcrop, a lot more high grade areas. We found two old artisanal tunnels that had been mined and abandoned that we entered in the previous tape artist didn't enter for for safety reason, but we did. And we mapped and sample loads. We saw fresh rock. We saw lots of high grade. And we got a better sense in those tunnels of because they're fresh rather than weathered. We could see some of the structures that were still preserved and got a better sense of what was going on.

20:09 And we said, well, you know, we got a tunnel here. This tunnel b, which was running the whole tunnel was running to ten, twenty, fifty, eighty grams. And there was a 60 meter gap between that and the previous or the first hole. So what's what's happening in between that? So that was an obvious place to start. Just to the as a whole to understand whether that first whole PEP one was just that with luck or whether that whole chunk of rock was mineralized. We positioned our rig just next to that tunnel b, which was high grade,

20:39 and drilled back toward PEP 1. And, of course, that that that was PEP 12, our first hole, and it came back, you know, little sort of spectacular. And that that was the hole that made everyone sit up and went, wow. What's what's going on here? It also gave us information about the orientation, and we we begin to think now and it's becoming more more certain that I guess, unfortunately, our partners chose exactly the wrong direction to drill. They drilled almost parallel to what what we think is is a controlling structure. We're seeing a basement fault. So pep pep 12 and then subsequent holes hit this reasonably recognizable basement fault below which we're getting into andesites and basalt and so no gold. And that's that's correlatable from hole to hole, and we think this fault runs from the Southeast to the Northwest. So

21:31 so that first hole was was great numbers wise, but it wasn't particularly effective in terms of orientation. We now think we're getting a better sense of this. We're not done yet. We still got a few more. You know, we've had, obviously, two more holes that came back even better. I mean, hole pep 13 was just absolutely ridiculous and that people just was scratching their eyes saying, hey. We made a mistake. Those sorts of numbers over those sorts of wits from surface

21:58 are just really weird. I mean, they just I've I'm I'm getting old, and I've never seen anything like this in forty years trying. So it's it's pretty amazing sort of stuff. Now it doesn't doesn't mean that this is it this is any size here yet. Size is the next question. So we're still poking around trying to understand, you know, where the boundaries are, where the the main structures are. But while doing that, if we get these kind of numbers, then it keeps everybody on the edge of their seat. So it's quite nice.

22:25 Fifteen and sixteen are are underway. Well, fifteen's done, sixteen's underway, and we'll be closing down for a bit of a Christmas break for about a week. The key point, however, I think is that we had a small a small program planned of about 800 meters, over five or six holes depending on results. We now really can't afford to stop. This area is secure. We have secured the area. No one leaves or works here. We really can't afford to leave it leave it empty. You know, the nature of hoards are vacuum. So just in order to keep the to keep the area secure and and subject to financing, that that small drill program is now basically going to become a big drill program. So we'll have Christmas break three, four days, and then just crack on and keep going into January. And this orientation work that we're doing, which is the the next few hold will continue probably sixteen, seventeen, 18 will just continue.

23:17 And if they come back with information that we think is is is helpful, we then begin to just step out and and begin to look for ounces.

23:25 So it's exciting. I I don't I don't have any idea yet what the size would be. I'm not getting excited about tens of millions of ounces. What I'm excited about is the economics of these sorts of numbers. Open pit that thick to that grade, top of a hill with a power line running over literally running over the deposit. The economics of this potentially could be off the chart on the downside in terms of cost per out. So it's it's very, very interesting.

23:58 This sadly is a PDF presentation that this website uses, so you can't see the video, but we are beginning to to to to get a picture. The issue we face in in rugged terrain, I think I made a point on Twitter, is that if you're in in a a straight or somewhat flat where your rig is truck mounted, you just you tend to just drill holes in the same direction in parallel lines because you move the rig around. Moving the rig here is hard. So we tend to to leave the rig on the one pad for a while and swivel it around different directions. So

24:30 okay for the geos who have three d software, but it does make it a bit difficult to see on a presentation or an r and s announcement. So over time, we'll begin to start developing these sort of pictures because straight sections are not particularly particularly useful. But it it just it just shows, I guess, the yeah. It it it could be indication that top of a hill, top of a ridge. This is a mining engineer's dream. I mean, if if if it grows to size and it gets some potential and and we have a deposit here, Mining top of the hill, the whole hill, strip ratio, very low, high grade, moving ore down to a poor plant. This is everything you could you could wish for that could reduce your mining cost is essentially here. So it's it's it's it's looking pretty interesting.

25:19 So Pepas is continuing. As I said, Christmas break, and we're gonna just continue subject finance of drilling into the new year. And I would hope that over over a matter of months, something will begin to emerge there. It's not gonna be fast. So those who think it's gonna be MINI next Tuesday afternoon, you're disappointed. Drilling resource takes time. So you can't make it go any fast as much as you might wish. We just drill. We have one rig. We might move to two, but beyond that, probably not because beyond

25:50 two rigs, it's hard to manage, hard to build pads. It begins to get clumsy and messy, and you need to be very, very much more geared up with people and and equipment and space. So maximum two, but we'll look at the new year. But I think next year, if all goes well, it'll just be drill, drill, drill or drill baby drill as our friend Tom says.

26:10 So to the south, Aptar, this was the original prospect. That's was first found in thousand twelve, 13,000 meters of drilling, three different beasts. Everything in this area is either porphyry or epithermal. So we have a we have porphyry sources, and other companies have have porphyries. And then above the porphyries, we have what can be a a huge variety of epithermal systems depending on where you are vertically in the system. So this one's a high level, we think, VMS slash epithermal system, has some extremely high grades

26:42 historically, but then close by, there's low grade. So it's quite a complicated ore body in terms of the variability in grade, And that makes it complicated in terms of understanding the tonnages and and and the ore grade. So we've we've began to to relook at that internally, having taken over control, having got all the data from recent drilling. We have engaged consultants to look at this and say, well, is this able to be moved to a resource? Now we didn't say what the resource we didn't want to do a resource because doing a resource is actually quite a very quite a complicated and extensive business. If you need to talk to come come to site, verify QA, QC, it's it's it's a six month job to move to a resource. We wanted to know the answer before we engage consultants. And if you wish, yes, there's probably a resource there.

27:32 But what it is remains to be said, the resources are not objective. The resources are also who you ask. And the question comes down to how do we better understand those high grade pods because that's where the answers are going to be. And we think that they probably need a little more no more drilling probably, but more understanding of the geology because you're trying to interpolate between holes. We need to understand what controls those high grade pods because that's what's going to really firm up the the confidence of those high grade areas. So we're beginning a process now of relogging the older call, and we'll bring some consultants to site in the new year to look at that and create a picture of exactly what's what drives it. The issue we have is that no one actually knows why this thing is here, and that's that's key. You need to understand what controls the utilization, what controls the high grade, and then to have a reliable geological interpretation that can underpin the resource. If you don't have that, then you could do a resource, but it becomes a very conservative resource. And we thought at that point, we're conservative. We think it's better.

28:35 And we can do a bit of work to increase the size and the grade, then we'll do that. So having PEPAS is great. We drill that and after we think that what we we know that there could be a resource there, but we want to make it as big and as good as high grade as we can, and that requires a bit more interpretation. That'll that'll be a new year thing. And to the south, as I said, there's a a large porphyry system, which originally found by Anglo American many years ago as a as a base metal project. Our partners went back in and mapped and sampled and they found it's a big system, you know, three by three k's. It did a classic porphyry system, so we're lowering the system. Lots and lots of smoke. So lots of high grade veins running up to 10 grams, all the right rocks, all the intrusive, lots of alteration, lots of arsenic, lots of, you know, sulfides in the area. It looks

29:29 interesting, but it needs a lot more work. It never never been drilled. Need a lot more sampling, and we just don't have the time right now. So it's a it's a it's a very exciting thing to have. We're a small company. We have, you know, a co only a couple of geos, limited human resources, limited financial resources. So right now, we're focusing on Pepez and then Abtar, and we'll get down here in the new year when we get a bit of time and a bit of a bit of a bit of clear air and look at this. Now how fast do we go? We don't know. And we'd like to be drilling here in next year, but, really, it depends on Pepas. If Pepas is is the one that's that's scoring the runs, and that's where we where we focus. So we will get down here when we get a bit of time and better understand this, and this hopefully will develop into a into a a drill target over the course of next year, but we'll see.

30:18 Moving to Argentina. So, well, Pantano is far in the south in the Santa Cruz province. Argentina is a is a federation, so the state control mining. So it's very much state by state as to whether you're welcome or not. The Santa Cruz is is ferociously pro mining, and most of the big gold mines are in Santa Cruz. The biggest the biggest being Cerro Negro, which is owned by Newmont, our biggest shareholder, which is

30:49 well, they tell me that when it's all done done and dusted, it'll be it'll be a 20,000,000 ounce with high grade and have will have made a fortune. So and then maybe north in Tobruk Province, they hate mining. So, again, it's a question of being in the right place. So we've we're coming to the end of the first three years of this this JV. It it ends actually in February oh, on on on Valentine's Day next year. We did a deal with two local geologists. The companies had looked here previously in a very low key way, and they walked away. We did a deal with two local geologists. It was a big project at the time of x 600 kilometers. That's about five hundred and seventy years we've reduced. Zero entry cost, very low burn cost. We did a deal that that had 1,000,000 over the first three years and then 2,000,000 for the following two years. Interestingly and actually very rarely, we have the option to go to a 100% on this, which is I've never seen this before. We we we asked the question and told effectively told just to bugger off, and that's how we did the deal. So we have the right to own this a 100%, which which again gives us options.

31:51 We're looking for a Cerro Negro analog, so that that's our target. And the reason we came here is although no work had been done, it had all the right ingredients geologically on the ground. The beauty here is it's flat. There's not a blade of grass anywhere. It's just rocks on surface. We're, you know, we're halfway to Antarctica. No vegetation, no trees. You can just wander around, see rocks, and we're seeing all the right stuff in what we think is a major system. Different part of the world where we're we're far east to the Andes now. It's still epithermal, but it's it's more of a rift related to this. So this this relates to the opening of Atlantic Ocean back in Jurassic times and created the Southeast to Northwest rift systems into which fluids flowed and created the sort of flower structure vein systems.

32:42 The key thing about here is that quite often quite quite commonly, the gold doesn't go to surface. So you can you can wander around and find quartz veins in a barren of gold. Because as the gold fluids come up the system, they they're hot. They want to boil. They can't boil until the pressure of the binding rocks releases. Suddenly, do, and they almost explode. The gold they're explosively in these boiling zones, and you get these really big, thick, high grade heat sections. And then the veins carry on, but the gold is gone. So you're looking for things that that could be deep. It could be a 100 meters down. So mapping in on surface is not looking for gold. You're looking for the key signs that this process has gone on. So you're looking for more mobile elements, mercury and arsenic, looking for quartz paint. You're looking for evidence of of steam vents, of of hot springs, and looking for the right structural preparation of the rocks. You've seen the rifting that relates to the the opening of the ocean. You've seen the fluids moving, and you've seen that geochemistry.

33:43 And this is what we see at at Pantano. It's a big system. It's a 25 kilometer long rifting system. The geochemistry is exactly what we want to see in terms of the arsenic and the mercury, a bit of trace gold, quartz lines everywhere. We're seeing all the right densification. It's never been touched, literally never been touched, never been walked on, never been drilled. So we think it's it's geologically, ferociously exciting, but very early stage. And as we know, the market doesn't like early stage, but having Colombia now going well, I think we have the appetite to move down here. Newmont liked the project. They've been there. They're they have given us assistance, so they're on the sidelines watching. We've been to their project. They've been to ours, and they think it's a great project. Again, with no JVs, we're doing it alone.

34:29 We have the money. And with permits just arrived, we'll get in there in the new year. We might not fill immediately. We might use some geophysics first, but the permits are there, so we can do where we want to. So we'll look at getting a lot of work done there in the New Year before the winter winter hits. Winters down here are pretty grim, so we wanna be out by June. It gets it gets pretty, pretty, pretty crazy. So it's an exciting project. Within the last three years, just doing all the preliminary work, mapping, sampling, doing ground doing ground magnetic, ground ground surveys. So, again, it's it's ready to go. So I guess the question where we are, we'll redo these lines as things in in in increase. But clearly, Pepac is what's driven the share price in the last couple of weeks. So that took a long time to get done, a lot longer than we thought for the deal to be done, and that's just how deals work. I'm sorry.

35:20 But the results we got, I think, justified the delay. I mean, we didn't expect to get results that good. I might pretend that we did. Actually, it it stunned me. And the market took took took took notice. And that's as said, lifted us above the pack, and along with that continues. So that continued PEPAS will roll on next into before it goes well, resource drilling. The APTAR assessment and resource will continue, and that will begin in the new year. El Cidere and Roblais, we hope to confirm as a as a pull for you in the new year. And, again, it depends upon priorities from where we direct staff, but we don't have cast of thousands, so we have to we have to really focus on what gives us the the biggest bang for our buck. And we begin work at the in Argentina.

36:07 And I guess most importantly, by being noticed now, you know, we're not we're not having cash thrown at us, but we are beginning to see as seen by announcement today. We're now being seen by bigger pots of money by institutions, both in terms of our size. We're now at $3,030,000,000 Canadian market cap, which sort gets that sort of that that nice spot. And we're now seeing the bigger money beginning to see us and and take an interest in the phones. The phones are ringing for chats. So what's what's going on? Who are you? So yeah. Look. It's a it's a nice change to be to be popular for a while. So that's where we are at the moment. I'll leave that there, and we're happy to to to sit here for a while and and take some questions. That's great. Brad, Louis, thank you very much indeed for updating investors.

36:52 Ladies and please do continue to submit your questions just using the q and a tab situated on the right hand corner of the screen. Just wanted the guys to take a couple of moments to review your questions submitted already. I'd just like to remind you that the recording of this presentation, along with a copy of the slides and the published Q and A, will be accessible via your Investor Me company dashboard. Louis, as you can see, you've had a number of questions from investors throughout your presentation. We did receive a number before today's event. So thank you to everybody for your engagement. If I may just hand back to you to read out those questions, and I'll pick up from you at the end. You are Yeah. I guess I'll give Brad a break, actually. Help us. So I hope it's like I I hope it's tea or water that you look at the flood. We don't know, but no. Are. So the the first one relates to in fact, Brad's out to this already, how much money remains in the treasury. He mentioned this already. It's just over $500,000 at the moment.

37:43 And clearly now we're getting to a more active phase that will be at some point the need to replenish that. The good news is that well, two things. I I'd say we have been careful in, a, what we spend and being what we raise because the price has been pretty low over the last few months. That's now changed. We're gonna be in a better position with a better price. And and secondly, getting some interest, not just here in The UK, but also in Canada. We haven't used the Canadian listing to to much of an extent, but, hopefully, we'll be able to make some use of that going forwards. The next question, if OMI, if OROSUR enters into a joint venture, wants to stop the other company putting ANSA into care and maintenance, which is what happened last time. Okay? Well, fair point. Fair point. This was a joint venture agreement that we that we inherited when we arrived, and so we had to work within the strictures of the JV.

38:34 And so that did lead to a bit of delay. To be fair, we did have COVID in between as well. So it was difficult to be particularly active outside the Aptar region, which is which is what Brad Brad's already alluded to. And what I would say, just going back to my points points right at the beginning of the talk, and that is that it doesn't necessarily well, a, we don't necessarily have to go for a joint venture partner right away. And secondly, if we do, it doesn't necessarily have to be over the whole the whole hand landholding here. We You know, know we've got at the moment, we've got two, three areas of interest, and there's nothing to might stop us from, you know, developing one ourselves, looking for a partner on the on on another, and, you know, deciding what we're gonna do with third. So there's quite a lot of here. Going back to the specifics of the question, how are we gonna stop it happening again?

39:21 Well, you know, it's it's all been the drafting and and and relatively strength relative strength on this. And if you're getting from a stronger position, then you'll be able to do a slightly better agreement. So we're we're confident we can we can minimize the the time that's gonna be spent. You know? I did jump in there, Louis, just to, yeah, to make your point. When we did the JV with Newmont originally, we were basically bankrupt. I mean, the company was on its knees. That So gave us limited ability. Well, before our time, this is the previous. So there were there were maybe some things in the JV that we do differently, but, you know, there's no point, you know, in hindsight. As I said, it was it was in care maintenance effectively for the first two years because of security issues. They did no work, and but they paid us money in in in in in lieu.

40:09 And then in the when, you know, when we used the word care maintenance, really, that was that that limbo time between phase one and the beginning of phase two. And I've explained to many investors that the process of moving to one to two changed because the tax rules in Colombia changed. So there was a there was a complication imposed upon us. But generally speaking, the JV partner can do what they want. It's their money. The one way around that is, of course, you can say, well, a, you gotta spend next amount of dollars, and b, you have to do a certain amount of work. So you might you might, for example, say, well, okay. You have to do so many thousand meters of of drilling, for example. So that would probably be the mechanism we would use in the future to to if we did the JV, which I'm not saying we will. I'm not on a great right, to be honest, to confirm that the the partner does their work.

40:59 The the big issue we had historically was it was not okay. Right. It was force majeure. And what we did do for most of the JV was that we we remained in control. We did the work, albeit with their money. And even when Agnico came in and COVID was where we did the work. So they wouldn't come for safety reasons or health reasons for COVID. So we went and did all the work. We If didn't do that, then they could have caused they could have caused force majeure. So we we did what we could to to continue to to make sure work continued. But, yeah, that that mechanism of saying of of defining certain work programs might be the way you do it. And that, I guess, the next the next question there is if if you did a JV and that's you know, JV is somewhat the credit rush as what we said, it would depend if we would have remained in control. Would we give over control?

41:47 As things today, haven't had any JV chats. Not interested. Yeah. The phones you know, we've had a few people saying, what are you gonna do? Which is sort a loose way of saying, you know, do you wanna do a deal? Because we're coming into a gold market. There's lots of junior mining companies. What they want is projects. And that that's the key issue is that you don't if you don't get a good product, you're not gonna raise any money. So they can suddenly see this is a good place to be. We've got a lot of land into in a couple of countries. Do we wanna do a deal? We can do a deal on one or all. My view is now Pepas, we'd be nuts to do a JV on that. I mean, it's that's exactly what a junior company wants. It's cheap to drill, cheap to get to, getting fast results. That's just, you know, really what we really wanna be. Exploring a big porphyry, for example, that's a different beast.

42:40 You look at what collective mining is doing south of us as a deep hole. It's rugged country. It's expensive. It's so a scenario might be is that we do Pepas, and we bring a partner in for that. And that's the speculative, but that's we can we can block we can divide them up. So at this stage, Pepas is what's the key. And if we did a JV on that, well, I'd you know, I just I can't see the sense right now unless it was an amazing JV, but that's that's just a really nice junior company project. Let's see. Let's see let's see what comes up. The next one is the South of There was some speculation. South Of Anza was to be drilled by the year end. Obviously, delays cropped up. Is the South still highly on the agenda, and what's a rough time to drill? Well, I think we've covered that in the presentation. Brad did a good job on that. So the South means of and the porphyry that we've just discussed.

43:33 So, yeah, it depends on priorities right now. It's Pepas, possibly Aptar, and then and then as I said, they're probably after that. But, again, depends on funding and how things progress on the other two projects. But it's very much still on the agenda. There's plenty of sampling results that we have from there, and we can do a little bit of work there just to perhaps define better the target. But the drilling is likely to be later on next year rather than earlier on. The next one has the phone finally run off the hook after the high grade intercepts has delivered. Well, it's interesting actually because I just put in context to this. At the end of October, there is a there is a mining conference held in gold mining conference in Medici in in in Colombia, not too far from where our project is based, actually. I attended there with Joaquin Saroca, and we had we had very interesting conversations then, and that was before before we even started to draw Pepas.

44:29 And the reason for that is that Colombia itself, the general atmosphere, environment, mining environment is improving. You know, when when this current president we have now came in, so three years ago now, mining was looking under threat, I wouldn't say, because Antiochia province have got a great history, it will still carry on, but it was in a difficult position. President hasn't been able to pass a lot of the stuff that it did want to pass. Congress has been digging in its heels. And so the political situation is changing, and more and more companies are coming into the country. And we've got some sizable guys coming up and wanted to have discussions because we do have the land holdings, and we worked hard on that. We've got a very good community team doing what they needed to do even through COVID. And whilst Agnico and Newmont were there, they also invested on the community stuff, and it's an important to have a social license.

45:17 So, yes, there are discussions going on. But as Brad says, we're we're not in a particular hurry to do, you know, a deal right now, and and let's see how things develop over the next next few months. Next one probably for you, Brad. Can you see us on much of the drilling at Pepas has been north and west of Pep 1? Note that the map oh, here. Shows a river river some distance to the east. How far is Pep 1 from the eastern boundary? The the big river to the east is is the Cauca River, which is which is which is what the name of the whole region comes from. There's a it runs 100 kilometers from south to north. So it's a Mid Kalka Belt, the Rydhikalka state for the south of us. That's that's the the the really big crustal scale structure that controls everything. Not in and of itself attractive.

46:05 It's just a big thing that that then feeds off. So that's that's quite a few kilometers to to the east. We can't work. We we don't wanna work in Ethel perspective until most of that area is blocked off. So either side of the Kalkar River, there are these forest reserves, these dry topical forests. So we don't work down there. We're up we're up in the hill. So the Kalkar Fault or, you know, the the Kalkar is a is a major crustal scale thing, but it's not in itself attractive that that that prospect or deposit scale. So we'll go as far east as as as we need to. Yeah. We sort of made the point on this going back to Louis' comment about we work down south. You know, we're a tiny company. We've got a couple of bucks in the bank. We've got a couple of geologists. We can't do everything at once. We've gotta you know, we have to be very careful about how we apply our time and our money and our people to get back wanting to get some good results, to to give us confidence, to raise money, and to get the market to to notice us again. We've had a very long period of just being, you know, ignored.

47:08 So we're focusing on that which gives us the biggest bang, which is Pepe's top of the hill. Pepe's are easy to get to. It's it's a half an hour drive from the main road, top of the hill. It's really nice. We just we're starting in the middle. So the the the holes we've drilled so far are just sticking in that core, understanding what we think controls that, and we'll just step out in very small steps. We're not gonna go galloping off to the east or to the west or the north, trying new things. But that's all very exciting, and there's lots of smoke. We're seeing anomalies in all over the place that we'd love to go and drill, but you just gotta restrain yourself and say, look. That's not gonna go anywhere. It'll be there tomorrow. Just get this thing moving to the point where it becomes self sustaining, and we can begin to expand our resources.

47:55 It's to do to do what Agnico and Newmont did. They had, I lost track, a 160 people in their camp, you know, cast of thousands. We can't do that. We don't we don't want to do that. So all of these things we have to do in a very logical sequence in a way that a small company can afford and can manage with our current resources and our current management bandwidth. So the east, the river is yeah. The river's the cap is a long way off, so we won't have that. Next one. With the asset project now fully owned, how does this consolidation change the company's ability to raise capital or attract strategic partners? Well, I think I've I've probably covered that already actually with with my with my last answer. But, yeah, the reality is that now we've got a 100%. It gives us a lot of optionality, and and there are people calling.

48:45 One thing we we also may even approach if we think we we wanna go and find a partner. It it gives us it it gives us an easier way to be valued. This was this was always the argument about about. If MMI elected not to move to phase two, then the old JV had a facility that said, okay. Then if if that happens, then they'd earn 51%. They would then fall back to 49. We would assume majority control, and then we can then over control and spend our own money. And if they need to contribute, they would dilute away over some period of time. But that an unknown period of time, taken years to to dilute them away, and they could could have have always always said, oh, we'll we'll come back in now after the risk had been done. So you had no idea of knowing what our ultimate equity position would be. We could have been 51 or, you know, 90. We just so how do you value a company? We actually don't know what they've got or what they can get in the future. You say, well, this gives the whole thing back, 100%.

49:42 It's easier for us. It's easier for you. You don't wanna be there. We do wanna be there. And having a 100%, yes, people just know what you are and can can put you in a hospital box. Right? That's what it is. We know what the payment you're make are in five, ten years time. That's that's all known. People love known things. They love they they hate uncertainty. So just having having nice round numbers, known numbers just makes all makes life easier for all the little bean countered analysts who are running numbers over us now and saying, well, you know, it's just there's there's enough uncertainty in geology. So having certainty and equity just just removes one big one big unknown. Next question. How does the grade and scale at ANSA compared to other similar gold exploration projects in Colombia or Latin America?

50:30 Yeah. Well, I can't comment on scale yet. Scale is a big question, I suppose. Yeah. Look, the the this the the grade is is is up there. It's very much and I'll I'll be honest, I have no idea what PEPAS is. I haven't you know, the the the question of how it got there, why it's there, what it is, this is a question for next year when we've got a bit of time. At the moment, it's just we're just drilling, and it's just so fast that we haven't had time to scratch ourselves. The question of its genesis is something for for mining companies in five years' time. Yeah. But we you know, what we do know, as I said, the whole region is essentially if a big porphy comes in from below, fluid comes from the from the porphyry, and above that, you have this huge variety of heavy thermal systems. And it it could be a thousand different styles depending on where you are vertically and naturally. And they interact with the host rocks, with surface water, and all kinds of things happen. And you get this massive variety in width and size and grade and so on.

51:28 The porphyries themselves tend to be low grade. They're big, but low grade. So if you look at the particular I look at the collective minings, they're always normally going to be sub one gram, but they're big. So they're they're gonna be point 6.7, point eight grams, maybe some some, you know, credits of of metals and silver, but but but they're low grade. Lots of answers, but the issue with those is that they're big buggers. You know, they to build you might have ten, twenty, 30,000,000 ounces, but you're gonna need $2,000,000,000 to build that. It'll be ten years, and it's a massive footprint and a massive waste disposal issue and, you know, their their hard work. Above that, you get the veins. And where you are, masses. So but if you get to the north of us, they're kind of in the middle.

52:14 They have what we what we refer to as carbonate based metal veins, sheeted veins. They're they're a sweet spot. They're they're thick and they're very high grade. So Bodidica is an underground mine, but it's it's base grade to about 10 grams. So, you know, really attractive. What we've got is a bit lower grade, but at surface, and that's different that that's different for a different reason. So that's that's mining economics. Scale? I don't know. That's I said the question. But, you know, 70 meters at seven grams at surface open pit mining is you know, it's you you sort of it's hard to calculate what that's gonna cost. But the beauty is it's very, very cheap.

53:02 Louis, good missing account. I'm gonna mention numbers. I won't mention numbers. But, yeah, it's very fast. It's very it's very fast. It it's very cheap and very fast on on different fronts. So it's very fast cheap to explore. The holes are short. The holes are fast. They're all mineralized. So bang, bang, bang, bang. We're not drilling these deep holes that take months to drill and cost a squid and all. They're they're just bang, bang, bang. They're very fast. So that's cheap. That's good. If we ever build a mine down, it's a big if. But if there was a mine there, then, of course, having higher grade means you're gonna get the same amount of gold from less tons. The less tons means a smaller plant. So a smaller plant, you know, the average open pit global open pit gold mining grade now is about a gram, one gram. So we're we're let's say we're five grams. So your plant is one fifth the size.

53:54 You're moving one fifth of our dirt. You need less trucks. You need less. You need everything's just just less. So it becomes a much, much cheaper thing to drill, a much, much cheaper thing to build, and a much faster thing to build, which again all feeds back to the kind of thing that a junior mining company likes. Do I want a billion dollar of time? Yeah. Nice, but I'd I'd be dead by then. So I'm more focused on the thickness and the grade rather than the scale. We don't need a lot of a lot of scale here. If you if we can get this to a million, 2,000,000 ounces at this kind of grade, that's that's that just makes a lot of money. So we're not getting ahead of ourselves, but it's a pretty good job. It's yeah. Early days. Very early days at the moment. We don't know the scale, and we've got some great results, but we need a lot more drilling yet before we get any confidence levels there.

54:44 But, yeah, it's attractive. No question. It's attractive, but we don't quite know yet where we are compared to others. The next one oh, the next is more about capital raising, which I've already talked about. The next one is, would you be able to talk about 11? 11. This must have been under, guess. Right? Yeah. So that was their last hole. So I can't talk about any holes yet because, you know, we're still doing our own picture. They they drilled holes. They moved off to the west. They drilled holes in certain directions. It It was, yeah, all over the place. So that hole 11 was drilled quite deep, quite a long way down. Think you can't talk.

55:29 Brad, you've cut off at all. Brad. Sorry, Brad. We're just losing the connection. I'll just take your question your camera down just momentarily to see if that can support bandwidth. So can you hear us okay, Brad? I I can hear you. Can you hear me? Yeah. The the connection has dropped a little bit. Do do go ahead, sir. Right. I'll keep talking. Just can't get to see my face, which is probably a positive. Look. Yeah. Hole 11 and Hole 8, they they are the nearest ones. At some point, we'll begin to, you know, explain how they work in, but, no, they haven't closed things off. But I really can't be talking about the boundaries yet because I just don't know. Yep. Okey doke. The next one, are you employing I can do this one. Are you employing security personnel on the site of Peppa, or is this unnecessary? We do have some very limited security personnel.

56:16 It's it's in a remote spot. There's no there's no need for security personnel as we probably all think about them. I mean, mean so, frankly, at the moment, we're in a fairly good location. If we do need there's plenty of people around. If we do need some help, we also rely on the community to let us know if, you know, things are happening in the local area. We got very good connections there. So the the the simple answer is right now, we we don't need the sort of security personnel that one would think of in the usual way. The next one, do you have any idea of the size of a potential resource adapter based on the current drill data? Again, we've it's something which we're looking at at the moment, employing consultants to come in and and have a look at. Likely that we don't need to drill anymore just to get we need to get a better idea of the geological model that we're gonna be running with for the interpretation, as Brad said earlier on.

57:10 So right now, it's not something that we we want to be doing overnight, but it's something that we wanna get to probably the next, you know, three to four months. Let's see let's see what we hear back from the consultants in in the New Year. I'll expand there, Louis. Mean, the short answer is yes, but I'm not gonna tell you what it is. And we as I said, doing doing doing a making a resource compliant fully one zero one Yeah. It's a big job. It it ends up being about a 100 page document. It's it's gonna cost several tens of thousands of dollars. You don't do that until you know what the answer is in advance. So we've done our own numbers, and, yes, we know what it is. We we think it is we think there's more there. We we think, again, this is maybe being a bit optimistic from from a geological point of view, that it, again, wasn't drilled well. And this this goes back to the previous owners, Weyma, who is running under the bus. We think we're just drilling holes in the one place to get 60 results and not geology.

58:12 We didn't actually do much of own work. We did a couple of holes between the JV that ran out of money. And, again, Agnica and Newmont were looking for big things. So they were drilling a lot of deep holes that were slightly, you know, optimistic or, you know, again, trying to find things and just hoping for the best. So we we think that, again, a smaller company coming back in and doing it I won't say properly, but then oh, we're doing it properly. That can be substantially increased both internally in terms of better understanding these high grade areas. And we're beginning to think that well, he's having a chat with a few friends. We think Aptar might be a slightly distal part of something bigger, distal being a bit further away. So we think that there might be an interesting source to the south and to the east that we haven't yet explored. Just seeing the way that the trend and the dip of this thing changes and the metallurgy changes, we think it's it it might be the the the limb of something bigger.

59:09 We think there is a there is a resource that we we we should have our own our own number, but we think we can improve it. So with just a bit of a bit of cheap work and it is much logistics. So what I'm trying to do is bringing people to Colombia to do this sort of work. It's expensive for airfares and and mucking about. So I don't wanna have guys come down twice. So we wanna have consultants come and look at Relog Corp. They've They've gotta come and, you know, the the guy who signs the resort has to come and view what we do and sign off on our procedures and processes. I wanna double up. And if if they're gonna come down, let's have them come for Aptar and Pepez. I'm not saying Pepas is gonna be a resource, but we can actually get all that compliance stuff and all that QA can see stuff done at the beginning rather than the end.

1:00:01 So if I'm gonna get a guy to come or two guys to come down at at at substantial cost, I wanna maximize what we get out of it. So they'll be doing you know, moving Aptar forward and also basically giving us the compliance tick at Pepas as well so that that can move forward faster. So it's just a question of being efficient. Yeah. And not blowing blowing shekels on on on, you know, first class airfares and and everything else. It's because, you know, these people these people aren't cheap. They're very good, but they you can pay for them. So we'll look at that in the New Year and just get the maximum bang for the buck. Well, listen. We're nearly nearly coming off to the end of the hour. There's one more question here, which is very easy to answer. How many warrants have been cashed to date? And the answer is that so with the ones that we announced the other day, there may well be more if the price holds where it is now. So we will let you know and announce that as soon as that happens.

1:00:50 That's great, Brad. Louis, thank you very much indeed. You have, in fact, taken all the questions from investors, and thank you, Brad. Appreciate it. It's 2AM in the morning with you. Louis, I know that feedback is particularly important to you and to Brad, Brad, and I'll shortly redirect those on the call to give you their thoughts and their expectations. But before doing so, Lou, if I may just ask you for a couple of closing comments. Well, yes. Two comments. Thank you very much everybody for attending. We've had some very big numbers coming up to this call, the biggest we've had to date, and not surprising, I guess, given the exciting results we've had. Those hopefully will continue. There will be there will be some which aren't gonna be quite as exciting. That's just the way the way it is in exploration drilling, But we're very confident we've got a very nice project here, not just one, but perhaps a number of them, as I as I mentioned to you right at the outset. And the only other thing to say is everybody have a good Christmas, and let's come back with bit of energy for the New Year. So that's about it from me. Thank you very much. That's great, Louis, Brad. Thank you once again. Can I please ask investors not to close this session as we'll now automatically redirect you for the opportunity to provide your feedback in order the company can better understand your views and expectations?

1:01:56 So it'll take a few moments to complete, but I'm sure it'll be greatly valued by the company. On behalf of the management team of OROSUR MINING, we'd like to thank you for attending today's presentation. Good afternoon to you all, and good morning to you, Brett. Thank you. Thank you very much, Paul. Thanks, everybody.