Lahontan Gold Corp

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Good afternoon everyone, welcome to what's one of the last sessions of the conference. I don't know if it's a graveyard shift or saving the the best to last, but we'll find out. first up we have Kimberly Ann, who's the founder, CEO, president and chair of Lahontan Gold C Core. Let's wait for the door to close. Thank you guys for sticking around for the last best session. the Hot and Gold Corp is an amazing story in the Walker Lane, Nevada, simple as it can be. We're taking, amazing mine back into production, open pit heat bleach operation, low cost, you know, proposition for anyone. we sit here today with about 413 million shares outstanding on a fully diluted basis. Our market has about $200 million. We're getting about $80 an ounce in the ground. We have a very good, 52% of our shareholder base is European and American. I'm an American citizen. we are very focused on a lot of liquidity on the TSX and OTC and the Frankfurt Exchange. We will be going to the New York by the end of the year or into Q1 because we're building this next year and this, this project and this coming demands to be on the New York Stock Exchange. So it's a really exciting time for the company. year to date we're 12X. We just closed the $14 million financing. We announced it right at the beginning of this lovely war, and we were still oversubscribed. So very happy about that. And the key to that round was, it's the last round we're doing until we're raising the money to, to build this mine, and it's only $130 million to build it. As far as the CPE goes, it's a very short, payback timeline. You can see that we trade 5.2 million shares a day on the OTC and TSX. This does not take into account the Frankfurt Exchange. $10 million of this last raise came in from a German billionaire. Very excited about that. I'm heading to Stuttgart in Munich in the next few days to meet him and meet all of his clients. So it's, it's a nice gateway. Into a market I've been wanting to get our company into, we have a fabulous board, a nice tight small board. I'm the founder and CEO, as you heard. My business partner Brian Mars, a co-founder, VP of exploration. we just ended, added Miranda from Montori Metals and Anthony that used to work at RCF. I used to work at Waterton back in the day, a $5 billion debt fund, so I got to play with them a lot. So I'm very excited to have them here with me. And our team now to when we go into project financing it'll be very fun to structure a deal. Shane, you guys may have seen him. He runs West Red Lake Engineer, fantastic, CEO mine builder, and then Evan, a great mine builder as well, so very well rounded board, small and tight. So the big prize for us is the Santa Fe mine as I spoke about. We have 2 million ounces on paper. we will be updating this in June with a significant shift in those numbers. but even at, what we have today, it's, it's gonna print money. Our cash costs are quite low. this was mined from 88 to 194 back in the day by Corona Gold. Why did they shut down? Well, gold price dropped to 340 bucks and then it got sold off to Homestead, Barrack, etc. etc. and we are so lucky to have it in our portfolio. West Santa Fe has been coming online. it's a satellite style operation for us for the future. It's only 13 kilometers away by paved roads. every press release you see on this, keep in mind these are truckable ounces. Every ounce counts, and you'll see why in a short moment. Mojo is a high grade gold and silver vein system. 25 g of gold, up to 30 to 600 silver, so a very strong system that we have yet to really drill out because we've been super busy trying to get this in production. We have been working for 3 years to permit the mine, and we anticipate the permits to build this in Q1 of next year., I think everybody in this room knows Nevada is one of the best jurisdictions in the world tied with Utah on the Frasier report. so one, we live, we are in the driest part of the, Nevada of the Walker Lane, which means there's no First Nations history in the past, so we, don't have to deal with any kind of agreements from that situation. Also, nothing grows. You can drill year round here. you can see the little town of Hawthorne. We have the largest warehouse in town. All our teamwork's out of here, and then West Santa Fe is across the road, as you can see, and then Mojo and Red Lake are down the road. So we're very fortunate to be in a great place to be mining, because our lovely Santa Fe asset was a past producer, we're a mine under closure, which means we've been monitoring our wells. Yes, we have 3 water wells on our property that we have all the water rights to. for 35 years, a perfect record. So when you're talking about fast tracking and minor production, there's a lot of, knowns with our assets that they ask a lot of questions, but they get to check them right off the box because we've been responsibly studying them for a long time, checking all the boxes. This is the list that I use when I'm investing in mining. Nevada safe jurisdiction, size and scalability right now on paper to all of you lovely people, we have 2 million ounces. We have great infrastructure, road access all year round, etc. etc. So I think it's a good start. this resource estimate we put out a year and a half ago, we have been growing our land package now it's 28.6 square kilometers, grades quite good, 0.93 gold EQ, only gold and silver, so we get great recoveries. The only problem with that. The, past production of about 400,000 ounces of gold, 700,000 ounces of silver. They did a great job back in the day when gold dropped to $340. So hats off to Corona Gold. you can see the Santa Fe slab, Calvata in York. Those are the historic pits on the property. All the blobs around it is all the concise drilling we've been doing to add more ounces focused on building this mine. So when you think about size and scalability, of course all the areas that you don't see drill holes, we have all of that now permit in our plan of operation, which means we can start drilling there, of which we're doing right now. You can see the York, the new claims acquired that little black line in the middle of that pit. This document does not account those ounces outside that line because we couldn't report it because we didn't own the land. Now we own the land and now we're, we're drilling this out because there's a lot of ounces here. This is the Santa Fe pit. It's the largest pit on the property. You can see 50 degree pit slopes. it's been staying there for 35 years, very competent rock. You see all this gorgeous oxide, no water in the bottom of the pit. We have over 2000 drill holes on this property. We are proposing to mine above the water table. Only 3 of them in the history of this project has even hit water. So right now we are, we just spent $1.5 million on a core program, 8 holes to prove it once again. That there's no water for where we're going to be mining, of which we're quite successful with, the chart in the bottom corner here, 0.64 gold, solid gold, that is, third highest grade in Nevada. It doesn't sound very high, but it sure the heck is. This is operating open pit mines happening right now. So yes, it's great to have gold and silver at the prices we sit today, but I still think grade matters, and I think everybody should think about that. Just a drone shot. Santa Fe is the largest pit on the property. You can see the road access. We also have a substation that I'm staying next to that was put in back in the day. So when you think of power, we have the cheapest power you can get. the small pits in the front. Slab Calvada area that was mined at the end of my life. Why was it mined at the end of my life? Well, there was zero strip, so every shovel was gold and silver, and for us, what a huge opportunity we've drilled down to about 380 m and it's still all in oxide. So drill, drill, drill, because we just keep finding more over here. The dark areas in this picture, there's two of them, those are reclaimed heap bleach paths from the past. This is when the gold price becomes a giggle factor for us because. I've had the team go back and we have 4 of these on the property and look and see, well, what was the cutoff grade back in the day and how much could potentially be left there already crushed, ready to process. Well, the answer is about 200,000 ounces. the cutoff grade back in the day run a mus 0.56. our estimate that we have here is about 0.34. Gold, which means that it would be the 5th highest grade economic ounces that's already crushed, so it's a moving operation of dirt. But to confirm this, we have a very expensive lovely sonic rig coming out which is a vibrational rig that drills very short holes, 96 holes to prove that for our mine plan. We put out a PEA in 2024 seems like 1994, and 1950 pitch shells, but there's some really exciting components about this. Our cash costs are very low, 1,233. We're up there with the big dogs mining. our capex is still quite small, at 135 million. That's with a 20% contingency. this is an 8 year project life, of course. The project life's going up, the times per day is going up, and the cash costs are going down as a result of that, of course those heap bleach pads are gonna become very exciting with that component. But when you just run this on a gold sensitivity chart, $4000 gold, because I used to work for a debt fund, I get really excited because this model right here says it's gonna take 18 months to pay back this loan, which means when I'm looking for the money, everybody's gonna wanna give me that money at really good prices because this is so low risk to give us $100 million or $80 million. So the goal here is, finance it with 80% debt, the rest in equity as we launch the New York Stock Exchange. So what have we been doing since that report? The black line is that published report. The red line is where our shells keep dropping down to. They keep going deeper and deeper as my awesome team keep finding more milllarization, and it's happening at all of our pits, York Pit, same thing. So it's, it's very straightforward when you think about exploration upside. It's quite obvious we have not been able to do exploration throughout the whole project because we didn't have our plan of operations. We received that in December. and now the team, I finally have given the green light to drill outside the known resources and start to dribble out to you people of how big the system can be. that's what the RC rig, the core rig of 8 holes, just finished up a week or so ago, and that was all putting psometer down 8 holes that has 0 water in them to prove we're still above the water table, so. A successful Hollywood program that we have already identified once again that we're not gonna be hitting water and then the sonic program of 96 holes that was last week. The team was there for 18 hours to drill and put the last pometer down a hole, so permitting. So permitting in Nevada is very straightforward, but the way we look at it, I'm a business person. I'm not a geologist. I focus on how can we get cash flow as quick as possible. It's very simple to me. So we chose to do a smaller mine permit under an EA versus EIS, meaning, if we stay under 640 acres, that whole blue line. of surface disturbance, then we can do an EA versus EIS which cuts off a year of lots of permitting and millions of dollars, getting us into production sooner and then, yes, of course, we'll go for mine expansion for the second heat bleach pad of which we don't need for 3 years. We've already started all the baseline studies to prepare for that second heat bleach pad, which means it will come online in 2 years. So very good timing. The model you see. it is a three-stage crush conveyor loading, pouring do on site. this is 12,500 tons per day. We have a model of an Excel spreadsheet of 100 different tabs running these models. I anticipate going up to 18,5-ish. we will be putting out an updated MRE in June. You'll see a beautiful increase to those numbers, so anybody that knows how to run numbers can see what that looks like. the PEA will be updated and we, I've had a hard stop with the team of September even though we're gonna have drill rigs going all summer because we need this for mine application so we. We will do a hard stop, get our PEA in place. it's, we're not doing a PFS. This is a PFS without calling it that. It's very engineered back and loaded for our mine applications specifically, and then we will of course update the MRE later in the year for everybody to see how much drilling, how much success we've had. West Santa Fe is a really exciting project. One, I negotiated a great deal, $1.8 million over a seven year op option agreement back and loaded. We've paid $75,000 so far. You can see the map 13 kilometers away, all that gorgeous oxide, surface disturbance, and then across the valley there is where Santa Fe proper is. But when the team brought this to me, 171 drill holes, yes, it's old data. I got super excited because it's all oxide, starts at the surface, easily mined, and it's 13 kilometers away. And better grade than honestly we have over at Santa Fe proper. So I finally said to the team, go twin some holes, make sure it's there. I want to pay this off and be done with this. And they came back with these ridiculous results of 3 g 6 g gold. The silver grade is super high. Why is it super high? Because it was mined back in the 30s for silver. There's 8 addits on the property and we all probably know here in this room that if you're mining for silver back in the 30s, it wasn't low grade. So this is very exciting when we look at permitting this. We've already started the baseline studies because of this. when we get this permit in place for the baseline studies, then we need to decide if we're going to go for an aggregate style permit of mining or keep bleach load, drive it across the road. If we just do an aggregate, we're just filling a truck full of rock and driving it 13 kilometers away. So right now, the team is going to be drilling this. We also put this out on Monday, making sure that we could recover these beautiful ounces to match what Cappus Cassidy did in '82 of 70% for gold, 50% for silver, and the grades were higher and they did the study themselves in their labs. So we're very excited to see this. This is the last component before I would hit finish buying out this asset. So our team's gonna be drilling this out as quick as possible over the summer to see if this is a 50 million ounces or a million ounces, but remember, every ounce counts because it's trucked across the road. So really exciting program for the company. We're not just waiting for permits over at Santa Fe. We're drilling both projects in unison, and you'll be seeing drill results every other week because they pick up our rock every week to get us results. So Catalysts going forward, I think you can see we're super busy. We have plenty of money. We're not raising funds. We won't be raising funds until we build this. We will have the MRE out in June, PEA out in September, and lots of drilling in between to continue learning more about our assets. And then in Q4 I'll be raising the money to build this beautiful project and we're not selling it if anyone's asking. We're building this project and the goal is to become a mid-tier producer. I have 2 minutes. Any questions? I'm sorry, I'm doing your job. That's all right. Go for it. There was one over here. There's a mic coming up. So in terms of building the project, do you already have all the expertise in your team? Are you confident or are you're gonna hire more? Yes and no. we're, we're gonna do contract mining because Nevada is famous for having great contract miners, which I forgot to mention, we, have spoken to 4 different groups, and the buildout time is between 4 months and 6 months. That's a very short build out time. we are right now looking for an engineer and a COO and. Of course, because the markets are booming, it's really hard to find these people, so I'm having to probably hire a headhunter to help us find that but right now we're good. We've we've just hired a couple more people, but we're ramping up over the summer. OK, now you mentioned that you have to maybe hire a headhunter. Wouldn't you say that if the project is that good, then the best people will find the project or the project will find the people? I mean, I think it's both. I mean, I want, I speci I have a specific criteria that I won't share with this room that what I want for this company. one component is this is a mind blowing asset that I want a hungry younger human that wants to put their stamp on it but that's really qualified for the job. And that's, that's a hard fit for the company, but I do believe contract mining is the best way to go because we're de-risking. I don't have to have 150 employees. We don't have to buy all the equipment. We don't have to have a massive capex, so I think that's better for the company, especially the 1st 5 years into mining, so we'll be bringing on a massive staff, but we do need someone that's going to run that staff because I don't have time to do that. OK, thanks. Any further questions? Maybe a quick one for me. Maybe I missed it, but you're going with the PEA rather than a DFS, is there a rationale behind that? And does that feed into the? Yeah, I don't like wasting money, to be honest, and this is a disseminated system and drilling holes to call it a PFS for the market doesn't make sense to us. we have 4 term sheets from funds right now to fund it. I know from working at Waterton if I was going to give anybody. a $100 million check. We run our own models, so you could do them all for me and I could pay you $500,000 to do it after I do more drilling, and then I'd still run my own model. So every group we're talking about working with on raising the money, get that, and all of them have said we don't need it to be called that because when you actually look. At it, it's very mining, heavy engineered because this document is going to get a permit. So how much dirt we're moving, the air quality, everything else. So the minus me, you know, adding 50 m spacing and things like that in some areas, it is very tightly drilled. So, you can call it what you want. I'm a crazy person when it comes to stuff like this. I really don't like wasting money. I want to go. To getting that permit as quick as possible, so. Thank you very much, Kimberly. Thank you.