Osisko Metals Announces Updated Mineral Resource Estimate at Gaspé Copper - Indicated Resource of 495 Mt Grading 0.37% Copper Equivalent

Osisko Metals Announces Updated Mineral Resource Estimate at Gaspé Copper - Indicated Resource of 495 Mt Grading 0.37% Copper Equivalent

 

Osisko Metals Incorporated (the " Company " or " Osisko Metals ") ( TSX-V: OM ; OTCQX: OMZNF ; FRANKFURT: 0B51 ) is pleased to announce an updated Mineral Resource Estimate ("MRE") at Copper Mountain as part of the Gaspé Copper Project, located near Murdochville in the Gaspé Peninsula of Quebec.

 

The updated MRE (see Table 1 below) comprises an open-pit Indicated Resource of 495 million tonnes grading 0.37% CuEq , representing a 30% increase in copper-equivalent metal content over the previously reported copper-only Inferred Resource (see April 28, 2022 press release), as well as greater than 99% conversion rate from Inferred to Indicated category.

 

  At 3.25 billion pounds (1.47 million tonnes)   of contained copper, not including significant molybdenum (180 million pounds) and silver (28 million ounces) resources (see Table 1 below), the Copper Mountain in-pit Indicated Resource hosts the largest undeveloped copper asset in Eastern North America.

 

Other improvements in the updated MRE include a 38% reduction of the strip ratio (now estimated at 1.23) from the estimate in the previously reported Inferred Resource, based on the mineralization geometry that surrounds the former open pit mine.

 

Robert Wares, CEO & Chairman of the Board, commented: "We are extremely pleased with the results of the updated Mineral Resource Estimate for the Copper Mountain Deposit. The overall copper resource has increased since we announced the maiden resource estimate in 2022 with significant molybdenum and silver credits now included in the estimate. Integrating the recently-announced positive metallurgical testing results, the Gaspé Copper Project is showing excellent potential towards becoming a key Canadian copper-molybdenum producer, located in one of the world's safest mining jurisdictions."

 

Mr. Wares continued: "This MRE will provide the basis for a Preliminary Economic Assessment, scheduled to be released in early Q1 2025 in the context of what we believe is the start of a strong long-term copper market. Furthermore, we strongly believe that this important asset could become a core component of Quebec's critical mineral development strategy that aims to provide essential metals for global decarbonization initiatives."

 

  Table 1: Mineral Resource Estimate (MRE) Base Case  

 
                                            
  Class    Tonnes    Cu Eq    Cu    Mo    Ag    Cu    Cu    Mo    Mo    Ag  
   Mt    %    %    %    g/t    M lbs    kt    M lbs    kt    (koz)  
  Indicated    495    0.37    0.30    0.016    1.75    3,248    1,473    180    82    27,911  
  Inferred   6.3 0.37 0.28 0.019 1.44 39 18 3 1 291
 
  1.   The independent qualified persons for the MRE, as defined by National Instrument ("NI") 43-101 guidelines, is Pierre-Luc Richard, P.Geo., of PLR Resources Inc. with contributions from Carl Michaud, P.Eng., of G-Mining for cut-off grade and Pit shell optimization, and Colin Hardie, P.Eng., from BBA, for metallurgical parameters. The effective date of the MRE is April 22, 2024.  
  2.  
  3.   These Mineral Resources are not mineral reserves as they have no demonstrated economic viability. No economic evaluation of these Mineral Resources has been produced. The quantity and grade of reported Inferred Resources in this MRE are uncertain in nature and there has been insufficient drilling to define these Inferred Resources as Indicated. However, it is reasonably expected that the majority of Inferred Mineral Resources could be upgraded to Indicated category with continued drilling.  
  4.  
  5.   The Qualified Persons are not aware of any known environmental, permitting, legal, title-related, taxation, socio-political, marketing or other relevant issues that could materially affect the MRE.  
  6.  
  7.   Calculations used metric units (metres, tonnes). Metal contents in the above table are presented in percent, pounds or tonnes. Metric tonnages and pounds were rounded, and any discrepancies in total amounts are due to rounding errors.  
  8.  
  9.   CIM definitions and guidelines for Mineral Resource Estimates have been followed. See Cautionary Note below for copper equivalency (CuEq) values.  
  10.  

Building upon the information released in this updated MRE, an 8,000 to 10,000 metre drill program is planned to commence in May that aims to 1) partially define Measured Resources and improve grades in the higher-grade core of the Copper Mountain deposit, which could provide approximately 60 Mt of higher grade "starter-pit" material estimated from a 0.40% Cu lower cut-off grade; and 2) test the potential for near-surface mineralization around the historical Needle Mountain mine that was the starter operation for Gaspé Copper in the 1950's (A and B Zones).

 

  General parameters of the updated Mineral Resource Estimate  

 

This resource is pit-constrained to mineralization surrounding the past-producing Copper Mountain open pit mine and uses, amongst other parameters, a long-term price of US$4.00/lb copper (cutoff of 0.12% Cu) for pit shell modelling, pre-set eastern and southeastern geographical constraints on pit limits to minimize impacts on the town of Murdochville from future potential mining operations, and a lower cut-off grade of 0.15% copper for base case in-pit resource estimation. The resource was estimated using data from historical drilling completed between the 1950's and 2019 and 37,390 metres of drilling completed by the Company in 2022 and 2023. See the Appendix at the end of this news release for detailed parameters.

 

  Mineral Resource Sensitivity  

 

The following table shows the resources reported at various in-pit cut-off grades within a pit shell modelled at a lower cut off of 0.12% Cu; the base case resource cut-off grade reported herein is 0.15% copper and is highlighted in bold text:

 

  Table 2: Indicated Mineral Resource Estimates at Variable Cut-Off Grades  

 
                                                     
  Class  
  Copper
Cut-off
 
(%)  
  Tonnage  
(Mt)  
  Strip  
Ratio  
  Grade    Copper Metal Resource  
  Cu %    Mo %    M lbs    kt  
Indicated
0.12 572 0.93 0.28 0.015 3,476 1,576
  0.15    495    1.23    0.30    0.016    3,248    1,473  
0.20 376 1.94 0.34 0.018 2,791 1,266
0.25 273 3.05 0.38 0.020 2,279 1,034
0.30 186 4.93 0.43 0.022 1,758 797
0.40 86 11.9 0.53 0.025 1,000 454
 

  Same footnotes as Table 1 apply to this table.  

 

  Potential for Additional Mineral Resources at Gaspé Copper  

 

End-of-mine historical mineral resources at Gaspé Copper that are not NI 43-101 compliant are reported in the Noranda/Falconbridge Annual Reports 1998-2000, Quebec government mining assessment reports and in Hussey & Bernard (SME Aug 1998, p. 36-44). The following disclosure describes areas of remaining mineralization at Gaspé Copper that the Company believes offer excellent potential for additional mineral resources. Osisko Metals' strategy at the present time is to focus on the economic viability of the currently defined Copper Mountain resource, and if this can be achieved, evaluation of mineralized zones described below will follow with additional drill programs.

 

  Larger open pit resource potential at Copper Mountain  

 

The current modelled Whittle pit shell includes pre-set eastern and southeastern geographical constraints on pit limits designed to minimize impacts on the town of Murdochville from potential future mining operations (Figure 1), namely leaving the southern portion of Copper Mountain intact. Geological modelling of stockwork mineralization and residual disseminated skarn mineralization occurring between the Copper Mountain and Needle Mountain historical open pits, the latter located 1.6 kilometers south of Copper Mountain, indicates potential for a significantly larger open pit resource at Gaspé Copper. Further geological and pit modelling is required to evaluate such potential and this work is ongoing. In the event that a larger viable pit-constrained resource can be defined, the Company will evaluate the possibility of reconfiguring the current layout of the site to minimize disturbance and ensure the protection and safety of the residents of Murdochville and the surrounding environment.

 

  Figure 1. Plan view of the footprint of the currently modelled Whittle pit encompassing the base case mineral resource.  

 

 Plan view of the footprint of the currently modelled Whittle pit encompassing the base case mineral resource

 

  Open pit resource potential at Needle Mountain  

 

Modelling of the residual copper mineralization along the perimeter and below the open pit A Zone and the underground B Zone at Needle Mountain, including residual pillars in the B Zone, indicates potential for a higher-grade, secondary open-pit resource that would be distinct from the Copper Mountain resource. The modelling is based entirely on 1950's and 1960's historical drill holes, which were only partially assayed for copper and not for molybdenum nor silver. This area will be tested with a Phase I, 4,000-metre drill program starting at the end of May and if successful, will be followed by a Phase II program later in the season.

 

  High-grade residual mineralization near past underground operations  

 

Residual underground skarn mineralization still remains in the form of pillars in the mined portion of the C Zone (grades of 1% to 2% copper), as well as massive sulfide/skarn mineralization in the deeper E Zone (grades of 3% to 4% copper) within the E-38 deposit and up to 800 metres north of this deposit. The E Zone skarn aureole received little follow-up drilling north of the E-38 deposit and offers excellent potential for further resource definition at significantly higher copper and molybdenum grades. Drilling of the E Zone skarn is planned for 2025.

 

  Appendix - parameters and criteria used for the Mineral Resource Estimate (MRE)  

 
  • General Whittle pit parameters used for the Mineral Resource Estimate include:
  •  
                                                            
  Parameter    Value    Unit  
 Copper Price  $4.00 US$ per pound
CAD:USD exchange rate 1.33  
Discount Rate 8.0 Percent
Royalty Rate 1.0 Percent
Cu concentrate transport + loading costs $10.40 US$ per wmt
Cu concentrate shipping cost $66.25 US$ per wmt
Cu concentrate insurance and other costs $23.35 US$ per wmt
Cu concentrate smelter treatment cost $80.00 US$ per wmt
Cu concentrate smelter refining cost $0.08 US$ per pound
Cu concentrate grade 25.0 Percent
Payable Cu 96.5 Percent
In-Pit Mining Cost $2.85 US$ per tonne mined
Mill Processing Cost $3.76 US$ per tonne milled
General and Administrative Costs $1.57 US$ per tonne milled
Overall Pit Slope - Rock 48 Degrees
Copper Recovery 92 Percent (%)
Mining loss / Dilution (open pit) 0 / 0 Percent / Percent
Waste Avg. Specific Gravity 2.67 Tonnes/cubic metre
Mineralization Specific Gravity (variable) Avg. 2.73 Tonnes/cubic metre
 
  • Resources are presented as undiluted and in situ for an open-pit scenario and are considered to have reasonable prospects for economic extraction. The constraining pit shell was developed using overall pit slopes of 48 degrees in bedrock and 20 degrees in overburden. The pit optimization to develop the resource-constraining pit shells was performed using Geovia Whittle 2022 software.
  •  
  • The MRE wireframe was prepared using Leapfrog Edge v.2023.2.1 and is based on 570 drill holes and 41,198 samples. The drill hole database includes recent drilling totalling 44,407 metres in 83 drill holes (Xstrata 2011-2012, Glencore Canada 2019 and Osisko Metals 2022-2023) and also incorporates historical drill holes totalling 126,515 metres in 487 drill holes (Noranda 1998 and earlier). Drill hole data verification was performed by verifying the coherence of the information but not its correctness; original logs and laboratory certificates were only available for 2011, 2012, 2019, 2022 and 2023 drill holes. The cut-off date for the drill hole database was February 12, 2024.
  •  
  • Composites of 10-metre lengths were created inside the mineralization volume. A total of 12,760 composites were generated with an average grade of 0.27 %Cu. High-grade capping was done on the composited assay data; composites were capped at 1.50% for Cu, 0.16% for Mo, and 7.5g/t for Ag.
  •  
  • Pit constrained Mineral Resources for the base case are reported at a cut-off grade of 0.15 % Cu in sulfide within a conceptual pit shell based on a 0.12% Cu lower cut-off. The cut-off grades will be re-evaluated on an ongoing basis in light of future prevailing market conditions and costs.
  •  
  • Contained copper in the resource includes sulfide copper only and soluble copper was ignored. It was assumed for this MRE that only the copper contained in sulfides could have economical potential. Therefore, the soluble copper that is present as oxides and carbonates was removed and significant oxidized zones are all located in the south-west portion of the deposit. The proportion of the copper contained as soluble copper relative to sulfides is correlated to the depth of the mineralization. Therefore, depth from the original topographic surface was modeled and used to estimate the percentage of copper that would be contained as soluble copper within the MRE.
  •  
  • Specific gravity values were estimated using data available in the historical drill holes. Values were interpolated for the mineralized solid - the average value is 2.73 tonnes/cubic metre. Surrounding barren lithologies were assigned the average specific gravity value from all measured samples.
  •  
  • Modelled base case pit shell measures 2,100 X 1,500 metres and reaches a maximum depth of approximately 700 metres.
  •  
  • Grade model resource estimation was calculated from drill hole data using an ordinary kriging (OK) interpolation method in a sub-blocked model using blocks measuring 10 m x 10 m x 10 m in size and sub-blocks down to 1.25 m x 1.25m x 1.25 m. Both ordinary kriging and inverse square distance (ID2) interpolation methods were tested, resulting in no material difference in the Mineral Resource Estimates.
  •  
  • The Indicated and Inferred Mineral Resource categories are constrained to areas where drill spacing is less than 150m and 300 metres, respectively, and show reasonable geological and grade continuity.
  •  

  Cautionary Statement Regarding Copper Equivalent Grades  

 

Copper Equivalent grades are expressed for purposes of simplicity and are calculated taking into account 1) metal grades; 2) estimated long-term prices of metals: US$4.00/lb copper, $19.00/lb molybdenum and US$22/oz silver; 3) estimated recoveries of 92%, 70% and 70% for Cu, Mo and Ag respectively and 4) net smelter return value of metals as percentage of the price, estimated at 86.5%, 90.7% and 75.0% for Cu, Mo and Ag respectively.

 

  Cautionary Statement Regarding Mineral Resources  

 

The mineral resources disclosed in this press release conform to NI43-101 standards and guidelines and were prepared by independent qualified persons. The above-mentioned mineral resources are not mineral reserves as they do not have demonstrated economic viability. The quantity and grade of the reported Inferred Mineral Resources are conceptual in nature and are estimated based on limited geological evidence and sampling. Geological data is sufficient to imply but not verify geological grade and/or quality of continuity. An Inferred Mineral Resource has a lower level of confidence relative to a Measured or Indicated Mineral Resource and constitutes an insufficient level of confidence to allow conversion to a Mineral Reserve. It is reasonably expected, but not guaranteed, that the majority of Inferred Mineral Resources could be upgraded to Measured or Indicated Mineral Resources with additional drilling. The National Instrument 43-101 Technical Report, including the mineral resources for the Gaspé Copper Project contained in this news release, will be delivered and filed on SEDAR by Osisko Metals within 45 days of the date of this news release.

 

  Qualified Persons  

 

The Mineral Resource Estimate and technical information in this news release has been prepared and approved by independent qualified persons, as defined by National Instrument ("NI") 43-101 guidelines: Pierre-Luc Richard, P.Geo., of PLR Resources Inc. with contributions from Carl Michaud, P.Eng., of G-Mining for cut-off grade and Pit Shell optimization, and Colin Hardie, P.Eng., from BBA, for metallurgical parameters. Technical information relating to historical copper deposits at Gaspé Copper has been reviewed by Jeff Hussey, P. Geo., a non-independent Qualified Person in accordance with National Instrument 43-101 standards.

 

  About Osisko Metals  

 

 Osisko Metals Incorporated is a Canadian exploration and development company creating value in the critical metals space, more specifically copper and zinc. The Company is a joint venture partner with Appian Capital Advisory LLP for the advancement of one of Canada's premier past-producing zinc mining camps, the Pine Point Project, located in the Northwest Territories, for which the 2022 PEA (as defined herein) has indicated an after-tax NPV of C$602 million and an IRR of 25%, based on long-term zinc price of US$1.37/lb and the current mineral resource estimates that are amenable to open pit and shallow underground mining. The current mineral resource estimate in the 2022 PEA consists of 15.7 Mt grading 5.55% ZnEq of Indicated Mineral Resources and 47.2 Mt grading 5.94% ZnEq   of Inferred Mineral Resources . Please refer to the technical report entitled "Preliminary Economic Assessment, Pine Point Project, Hay River, Northwest Territories, Canada" dated August 26, 2022 (with an effective date of July 30, 2022), which was prepared for Osisko Metals and PPML by representatives of BBA Engineering Inc., HydroRessources Inc., PLR Resources Inc. and WSP Canada Inc. (the "2022 PEA"). Please refer to the full text of the 2022 PEA, a copy of which is available on SEDAR ( www.sedar.com ) under the Osisko Metals' issuer profile, for the assumptions, methodologies, qualifications and limitations described therein. The Pine Point Project is located on the south shore of Great Slave Lake in the Northwest Territories, near infrastructure, with paved highway access, an electrical substation, as well as 100 kilometres of viable haulage roads.

 

In addition, the Company acquired in July 2023, from Glencore Canada Corporation, a 100% interest in the past-producing Gaspé Copper Project, located near Murdochville in the Gaspé peninsula of Québec. The Company is currently focused on resource evaluation of the Copper Mountain Deposit that hosts the updated Mineral Resource Estimate described herein. Gaspé Copper hosts the largest undeveloped copper resource in Eastern North America, strategically located near existing infrastructure in the mining-friendly province of Québec.

 
     
For further information on this news release, visit www.osiskometals.com or contact:
Robert Wares, Chairman & CEO of Osisko Metals Incorporated 
Email:   info@osiskometals.com  
   www.osiskometals.com  
 

 
Follow Osisko Metals on Facebook at https://www.facebook.com/osiskometals/ ,
on LinkedIn at https://www.linkedin.com/company/osiskometals/ ,
and on X at https://twitter.com/osiskometals .

 

  Cautionary Statement on Forward-Looking Information  

 

  This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation based on expectations, estimates and projections as at the date of this news release. Any statement that involves predictions, expectations, interpretations, beliefs, plans, projections, objectives, assumptions, future events or performance are not statements of historical fact and constitute forward-looking information. This news release may contain forward-looking information pertaining to the Pine Point and Gaspé Copper Projects, including, among other things, the results of the 2022 PEA on Pine Point and the IRR, NPV and estimated costs, production, production rate and mine life; the ability to identify additional resources and reserves (if any) and exploit such resources and reserves on an economic basis; the expected high quality of the metal concentrates; the potential economic impact of the projects on local communities, including but not limited to the potential generation of tax revenues and contribution of jobs; the timing and ability for Projects to reach construction decision (if at all); the estimated costs to take the Projects to construction decision (if at all) and the impact to the Company of the disposition of ownership interest and control in the Pine Point Project, which is a material property of the Company; Gaspé Copper hosting the largest undeveloped copper resource in Eastern North America and Glencore becoming a Control Person of the Company.  

 

  Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of management, in light of management's experience and perception of trends, current conditions and expected developments, as well as other factors that management believes to be relevant and reasonable in the circumstances, including, without limitation, assumptions about: favourable equity and debt capital markets; the ability and timing for the Pine Point joint-venture parties to fund cash calls to advance the development of the Pine Point Project and pursue planned exploration and development; future spot prices of copper, zinc, lead and molybdenum; the timing and results of exploration and drilling programs; the accuracy of mineral resource estimates; production costs; political and regulatory stability; the receipt of governmental and third party approvals; licenses and permits being received on favourable terms; sustained labour stability; stability in financial and capital markets; availability of mining equipment and positive relations with local communities and groups. Forward-looking information involves risks, uncertainties and other factors that could cause actual events, results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking information. Factors that could cause actual results to differ materially from such forward-looking information are set out in the Company's public disclosure record on SEDAR (www.sedar.com) under Osisko Metals' issuer profile. Although the Company believes that the assumptions and factors used in preparing the forward-looking information in this news release are reasonable, undue reliance should not be placed on such information, which only applies as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. The Company disclaims any intention or obligation to update or revise any forward- looking information, whether as a result of new information, future events or otherwise, other than as required by law.  

 

   Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.   

 

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/81834f9f-fc34-4cab-a569-166f8f53236c  

 

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Developing high-grade base metal assets in Canada to meet future demand

Osisko Metals Announces Completion of Continuance to Ontario

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Osisko Metals Incorporated (the " Company " or " Osisko Metals ") (TSX-V: OM; OTCQX: OMZNF; FRANKFURT: OB51) announces that, effective June 13, 2025, the Company has been continued from British Columbia ( Business Corporations Act (British Columbia) to Ontario ( Business Corporations Act (Ontario)) (the " Continuance ").

 

The Company adopted new articles and by-laws as part of the Continuance, which replaced the prior articles and by-laws of the Company. The Continuance and the new articles and by-laws of the Company were each approved by shareholders at the Company's annual and special meeting of shareholders held on May 29, 2025. Copies of the certificate of continuance and the new articles and by-laws of the Company will be available on SEDAR+ ( www.sedarplus.ca ) under the Company's issuer profile and on the Company's website at www.osiskometals.com .

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Osisko Metals Intersects 0.33% Cu Over 258 Metres at Gaspé

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   Includes 15.6 Metres Averaging 1.47% Cu and 8.5 g/t Ag   

 

   E Zone Skarn Returns 29.7 Metres Averaging 1.92% Cu and 15.2 g/t Ag   

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Osisko Metals Announces Voting Results of Annual and Special Meeting of Shareholders

Osisko Metals Announces Voting Results of Annual and Special Meeting of Shareholders

 

Osisko Metals Incorporated (the " Company " or " Osisko Metals ") (TSX-V: OM; OTCQX: OMZNF; FRANKFURT: OB51) announces the results of its annual and special meeting of shareholders of the Company (the " Meeting ") held earlier today.

 

A total of 290,548,699 common shares of the Company (" Common Shares ") were represented, in person or by proxy, at the Meeting, representing approximately 47.67% of the total issued and outstanding Common Shares as of the record date of the Meeting.

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Osisko Metals Intersects 323 Metres Averaging 0.43% Cu at Gaspé Project

Osisko Metals Intersects 323 Metres Averaging 0.43% Cu at Gaspé Project

Osisko Metals Incorporated (the " Company or " Osisko Metals ") ( TSX-V: OM ; OTCQX: OMZNF ; FRANKFURT: 0B51 ) is pleased to announce new drilling results from the 2025 drilling program at the Gaspé Copper Project, located in the Gaspé Peninsula of Eastern Québec. Results for six new holes are reported below, located at the southern end of the deposit defined in the 2024 Mineral Resource Estimate ("MRE", see attached map and November 14, 2024 news release).

 OM Gaspé Copper Project (May 5, 2025) Location of Drill Holes

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Osisko Metals Intersects 300 Metres Averaging 0.39% Copper at Gaspé Copper Project

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Osisko Metals Incorporated (the " Company or " Osisko Metals ") ( TSX-V: OM ; OTCQX: OMZNF ; FRANKFURT: 0B51 ) is pleased to announce initial drilling results from the 2025 drilling program at the Gaspé Copper Project, located in the Gaspé Peninsula of Eastern Québec. Results for five holes are reported below, collared at the southern margin of the mineralized deposit as defined in the 2024 Mineral Resource Estimate (MRE, see attached map and November 14, 2024 news release ).

 

  Highlights (see Table 1 below):  

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[VIDEO ENHANCED] Prismo Metals Options Two High-Grade Silver-Gold Mines in the Arizona Copper Belt - Immediate Exploration Planned

[VIDEO ENHANCED] Prismo Metals Options Two High-Grade Silver-Gold Mines in the Arizona Copper Belt - Immediate Exploration Planned

 

(TheNewswire)

 
       
  Prismo Metals Inc. 
                
 

Vancouver, British Columbia, July 3rd, 2025 TheNewswire - Prismo Metals Inc. (the " Company ") (CSE: PRIZ) (OTCQB: PMOMF) is pleased to announce that it has signed option agreements to acquire 100% interest in two historic high-grade precious and base metal mines — the Silver King and Ripsey mines — both located in Arizona's prolific Copper Belt near its flagship Hot Breccia project.

 

Additional information on the Silver King and Ripsey mines as well as Prismo's other projects (Hot Breccia and Palos Verdes) is available on Prismo's Youtube channel at:   

  

 

  Exceptional Grades and Untapped Potential  

 

Discovered in 1875, the Silver King mine is one of Arizona's most important historic producers, yielding nearly 6 million ounces of silver at grades of up to 61 oz/t. Remarkably, selected samples from small-scale production in the late 1990s returned grades as high as 644 oz/t silver (18,250 g/t) and 0.53 oz/t gold (15 g/t), indicating that high-grade mineralization remains. Additionally, the presence of freibergite (AgCuSbS) suggests a potential for antimony, a critical mineral with growing strategic demand.

 

The Ripsey mine, located 20 km west of Hot Breccia, is also an historic gold-silver-copper producer with significant upside. Historic sampling has returned up to 15.85 g/t gold and 276 g/t silver, yet no modern exploration has been conducted.

 

  Strategic Location — World-Class Neighbors  

 

The Silver King mine sits only 3 km from the main shaft of the Resolution Copper project — a joint venture between Rio Tinto and BHP and one of the world's largest unmined copper deposits with an estimated copper resource of 1.787 billion metric tonnes at an average grade of 1.5% copper (1) . This unique land position is fully surrounded by Resolution Copper's claim block, offering strategic upside.

 

"The Silver King and Ripsey mine projects are exciting additions to our Arizona portfolio. We see an opportunity to create near term value through immediate exploration on a historic high-grade silver producer with antimony potential that has seen limited modern exploration by drilling both laterally and at depth into a prospective source formation, said Gordon Aldcorn, President of Prismo. "We look forward to getting our exploration team back in the field, advancing our exciting projects and revitalizing investor interest in the Company."

 

The Silver King mine was discovered in 1875 and produced ore with as much as 10,000 ounces per ton silver in near surface workings (2) . Underground production through 1889 is estimated at almost 6 million ounces of silver at grades of between 61 and 21 ounces per ton. During a second period of production from 1918 to 1928, 230,000 ounces were produced at a grade of 18.7 ounces per ton.  No significant production has occurred after 1928.

 

The orebody at Silver King is a steeply west-dipping pipelike stockwork and breccia zone that was mined on eight levels to about 300 meters depth below a glory hole at the surface. The pipe is described as a dense stockwork with local breccia zones and a quartz core (3) .  Records indicate that due to variations in mineralogy, much of the upper portion of the body was evidently not mined. The current owners (the " Optionor ") rehabilitated the main shaft in the late 1990s, opened the upper levels of the mine and produced a small tonnage. Assay certificates from this period show selected samples with 400 to 600 ounces per ton silver with 0.2-0.5 oz/t gold and some base metals. Virtually no modern exploration has been carried out at the mine providing significant exploration upside and multiple drill targets.

 

The Ripsey mine is a historic gold-silver-copper producer located about 20 km west of the Hot Breccia project. Historic mine workings consisting of tunnels and shafts on several levels were developed along a vein over about 400 meters of strike length and 160 meters vertically. A small tonnage of mineral was produced by the Optionor in the late 1990's. Sampling by Dr. Craig Gibson from the mine workings has yielded 15.9 g/t gold and 275 g/t silver over 0.75 meters and 8.7 g/t gold, 181 g/t silver, 3% copper and 9% zinc over 1 meter. No modern exploration has been carried out at the project, providing significant exploration upside and multiple drill targets.

 

The Company plans to conduct a detailed mapping and sampling program at both projects at surface exposures and in accessible workings.  A drill program is planned for Silver King, with about 1,000 meters initially. The Silver King drill program is designed to test the mineralized body at four elevations as well as lateral to the pipelike body. De-watering of the Silver King shaft to gain access to the upper levels may also be undertaken as submersible pumps are in place.

 

"This is a fabulous opportunity for the Company. Both projects are high-grade and are easily accessible and may be associated with porphyry copper mineralization. We also look forward to evaluating the potential for antimony at Silver King. We're excited to begin exploration immediately to test the Silver King's pipelike mineralized body at multiple depths and laterally," said Dr. Craig Gibson , Chief Exploration Officer. "This region is world-class for porphyry systems and base and precious metals, and we believe these mines have significant untapped potential."

 

    
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Location of the Company's projects withing the Arizona Copper Belt

 

    
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Land map of the Silver King mine.

 

    
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Drone view of the Silver King mine.

 

     

 

The Silver King mine in the late 1800's.

 

    
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Small scale mining in the upper levels of the Silver King mine in the late 1990's.

 

  Deal description  

 

Prismo has the option to acquire a 100% interest in both the Silver King and Ripsey mines. Prismo can earn a 100% interest in the Ripsey mine by issuing one million shares to the Optionor, paying the Optionor US $10,000 within six months of the signing of the option agreement (the " Effective Date "), US $10,000 on each anniversary of the Effective Date and US $1 million to the Optionor within five years of the Effective Date. Prismo does not have minimum work commitments as part of the Ripsey option agreement.

 

Regarding the Silver King mine, Prismo can acquire a 100% interest in three stages. Prismo must issue one million shares to the Optionor, pay the Optionor US $10,000 within six months of the Effective Date, and US $10,000 on each anniversary of the Effective Date. To earn a first 50% interest, Prismo must incur no less than US $500,000 in expenditures on or before the first anniversary of the Effective Date, incur no less than an additional US $2.5 million expenditures on or before the third anniversary of the Effective Date and issue to the Optionor two million shares. Prismo can acquire an additional 30% interest by incurring no less than an additional US $3 million in expenditures, paying the Optionor US $1 million and issuing to the Optionor two million shares before the fifth anniversary of the Effective Date. Prismo can elect to form a joint venture at anytime after earning it initial 50% interest. The option agreement and joint venture agreement terms and conditions contain standard buyout and dilution terms regarding the final 20% interest.

 

  Private Placement  

 

Prismo is also pleased to announce a non-brokered private placement (the " Private Placement ") of five million units of the Company (" Units ") at an issue price of $0.05 per Unit for minimum gross proceeds of $250,000. Each Unit will consist of one common share in the capital of the Company (a " Share ") and one-half of one common share purchase warrant of the Company (each whole warrant, a " Warrant "). Each Warrant will entitle the holder to purchase one Share for a period of twenty-four (24) months from the date of issue at an exercise price of $0.10.

 

The Private Placement will also be made available to existing shareholders of the Company who, as of the close of business on July 1st, 2025, held Shares (and who continue to hold such Shares as of the closing date of the Private Placement), pursuant to the existing securityholder exemption set out in BC Instrument 45-534 – Exemption From Prospectus Requirement for Certain Trades to Existing Security Holders (the " Existing Securityholder Exemption "). The Existing Securityholder Exemption limits a shareholder to a maximum investment of CAD$15,000 in a 12-month period unless the shareholder has obtained advice regarding the suitability of the investment and, if the shareholder is resident in a jurisdiction of Canada, that advice has been obtained from a person that is registered as an investment dealer in the jurisdiction. If the Company receives subscriptions from investors relying on the Existing Securityholder Exemption exceeding the maximum amount of the Private Placement, the Company intends to adjust the subscriptions received on a pro-rata basis.

 

The Units issued pursuant to the Private Placement and the Existing Securityholder Exemption will be subject to a four-month hold period from the closing date of the Private Placement under applicable Canadian securities laws, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside Canada.  

 

  The Company intends to use the net proceeds of the Private Placement for general corporate purposes. The Company may pay finder's fees to eligible finders in connection with the Private   Placement, subject to compliance with applicable securities laws and Canadian Securities Exchange policies.  

 

  The securities being offered have not been and will not be registered under the U.S. Securities Act and may not be offered or sold in the United States, or to, or for the account or benefit of, U.S. persons or persons in the United States, absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State in which such offer, solicitation or sale would be unlawful.  

 

  Debt Settlements  

 

  Prismo also announces that it has entered into debt settlement agreements (the "   Settlement Agreements   ") with certain creditors of the Company (the "   Creditors   ") pursuant to which the Company agreed to issue to the Creditors, and the Creditors agreed to accept, an aggregate of 160,000  shares of the Company (each, a "   Share   ") in full and final settlement of accrued and outstanding indebtedness in the aggregate amount of $11,000 (the "   Debt Settlement   ").   All securities issued pursuant to the Debt Settlement will be subject to a statutory hold period of four months from the date of issuance, in accordance with applicable policies of the Canadian Securities Exchange.  

 

  Share and Warrants Issuance  

 

  A private company dealing at arms' length with Prismo, its officers and directors, had certain rights into the Silver King and Ripsey mines ("   PrivateCo   "). In consideration for PrivateCo relinquishing its rights in the Silver King and Ripsey mines in favor of the Company, Prismo has agreed, subject to regulatory approval, to issue PrivateCo five million units (the "   Units   "). Each Unit is comprised of one common share (a "   Share   ") and one share purchase warrant (a "   Warrant   "). The Shares will become free trading as to 25% every six months from the Effective Date. Two million of the Warrants will be exercisable at $0.10 ("   First Tranche   ") and three million Warrants will be exercisable at $0.15 ("   Second Tranche   "), all for a period of three years. The shares from the exercise of the Warrants will become free trading as to 25% every six months from the Effective Date. In addition, the exercise of the First Tranche is conditional on Prismo having raised $1.5 million from parties introduced to Prismo by the principals of PrivateCo and the exercise of the Second Tranche is conditional on Prismo having raised $3.0 million from parties introduced to Prismo by the principals of PrivateCo.  

 

  Qualified Person  

 

   Dr. Craig Gibson, PhD., CPG., a Qualified Person as defined by NI-43-01 regulations and Chief Exploration Officer and a director of the Company, has reviewed and approved the technical disclosures in this news release. Other than the sampling conducted by Dr. Craig Gibson as indicated herein, the data presented in this press release was obtained from public sources, should be considered incomplete and is not qualified under NI 43-101, but is believed to be accurate. The Company has not verified the historical data presented and it cannot be relied upon, and it is being used solely to aid in exploration plans.   

 

  1)     https://resolutioncopper.com/about-us/    

 

  2)   Galbraith, F, 1935, Geology of the Silver King area, Superior, Arizona, Univ. of Arizona thesis, 153p plus plates.  

 

  3)   Blake, W.P., 1883, Description of the Silver King Mine, Arizona, New Haven, 48p plus plates.  

 

  About Prismo Metals Inc.  

 

  Prismo (CSE: PRIZ) is a mining exploration company focused on advancing its Hot Breccia copper project in Arizona and its Palos Verdes silver project in Mexico.  

 

  Please follow @PrismoMetals on   ,   ,   ,    Instagram    , and  

 

  Prismo Metals Inc. ,   1100 - 1111 Melville St., Vancouver, British Columbia V6E 3V6  

 

  Contact:  

 

  Alain Lambert, Chief Executive Officer    alain.lambert@prismometals.com   

 

  Gordon Aldcorn, President    gordon.aldcorn@prismometals.com   

 

  Cautionary Note Regarding Forward-Looking Information  

 

  This release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or "occur". This information and these statements, referred to herein as "forward‐looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions with respect to, among other things: the timing, costs and results of drilling at Hot Breccia.  

 

  These forward‐looking statements involve numerous risks and uncertainties, and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things: delays in obtaining or failure to obtain appropriate funding to finance the exploration program at Silver King and Ripsey. In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, that: the ability to raise capital to fund exploration and the timing of such exploration.  

 

  Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-   looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbor.  

 

  NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED STATES
 

 

Copyright (c) 2025 TheNewswire - All rights reserved.

 

 

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