AMEX Exploration
Primary ticker: TSXV:AMX, FSE:MX0, OTCQX:AMXEF
Stage of development: Exploration
Primary minerals: Gold
Project to promote: Perron Project
Project location: Quebec, Canada
Website: www.amexexploration.com
Corporate presentation: Click here
Corporate video: Click here
VRIFY 3D Presentation: Click here
Amex Exploration Inc. is focused on building high grade gold ounces at its 100 % owned Perron Gold Project located ~110 kilometres north of Rouyn-Noranda, Quebec, consisting of 117 contiguous claims covering 4,560 hectares. Attracted with the high-grade nature and quality of the Perron project, Edorado Gold has become a strategic 9.9% investor in Amex.
The project is well-serviced by existing infrastructure, on a year-round road, 10 minutes from an airport and just outside the town of Normétal (~8 km). In addition, the project is in close proximity to a number of major gold producers’ milling operations.
Amex announced a Preliminary Economic Assesment on the Perron Project:
-Pre-Tax IRR 59.5% and NPV C$948 M at US$2,000/oz Au
-Average Annual production of 124,000 oz Au, for years 1 to 5 over a 10-year LOM
-Cumulative Undiscounted Pre-Tax Cash Flow of C$1,333 M
-LOM All-in sustaining cash costs (“AISC”) of US$807/oz Au
-Initial Capital Expenditure (“Capex”) of $229 million
Amex announced a Mineral Resource Estimate (MRE) on the project:
Open pit and underground stope constrained 594,100 of measured and indicated ounces at 4.28 g/t Au and 1,049,650 of inferred ounces at 3.80 g/t Au.
The MRE shows excellent continuity throughout the project with exceptional high grade throughout, specifically in the High-Grade Zone (HGZ) which alone hosts 336,170 of measured and indicated ounces at 12.05 g/t Au and 415,470 of inferred ounces at 10.49 g/t Au.
Cash: CAD18M
Debt: Nil
Major shareholders:
Eric Sprott – 12%
Edorado Gold – 9.9%
Commodity Capital – 3.8%
The Caisse de depot – 2.4%
Ruffer LLP 1.8%
Management ownership – 15%
Financials
Management Profile
Victor Cantore – President and CEO, Director
Mr. Cantore is a seasoned capital markets professional specializing in the resource and hi tech sectors. He has more than 20 years of advisory and leadership experience having begun his career in 1992 as an investment advisor and then moving into management roles at both public and private companies. During his career he has organized and structured numerous equity and debt financings, mergers and acquisitions, joint venture partnerships and strategic alliances. Mr. Cantore serves on the boards of various companies both private and public.
What is your rationale for taking part in 121 Mining Investment?
Looking for on market support, an upcoming resource report, followed by a PEA will be a catalyst for a future move in the share price.
What recent news would you like to highlight to investors attending?
9 January 2025 – Amex Expands Multiple Gold Zones at the Perron Gold Project
27 December 2024 – Amex Announces Filing of PEA Technical Report for the Perron Gold Project
13 November 2024 – AMEX Exploration Delivers Exceptional PEA on Perron Gold Project
6 November 2024 – Amex Drills 134.36 g/t Au over 1.8 m to Expand the Central Polymetallic Zone and Reports High-Grade Intercepts from Multiple Gold Zones
What are your key goals for the next 3, 6 and 12 months?
3 Months:
Continue to build ounces on the Perron Project through drilling known zones and areas identified as potentially mineralized.
6 Months:
• Expand Gratien and Grey Cat Zones to west and at depth
• Continue drilling newly discovered JT Zone and complete
geochronology studies on the felsic intrusion
• Search for additional felsic intrusions intruding into the Beaupré
Block and follow their orientations for new discoveries
• Infill drilling between Team and old 210 and E3 zones to better
define mineralization along a 1.4km strike length
• Continue hyperspectral program to define alteration packages
surrounding orebodies to aid with expansion and exploration
• VMS drilling on multiple targets and expand QF Zone footprint
12 Months:
Update resource estimate and optimize PEA. Discover more high grade zones.
What do you see as the key risks and challenges facing your company at the moment and how are you overcoming these?
The market cap of the company does not reflect the underlying value of the Perron project therefore Amex is doing a lot of marketing, ie. interviews, conferences, meetings and articles to get the story out to as many people as possible.
What do you think makes your company such a compelling investment?
The PEA shows compelling economics on the project for a stand alone operation with low capex and opex with a pre-Tax IRR 59.5% and NPV C$948 M at US$2,000/oz Au. There is potential to make more high-grade gold discoveries on the project and expand the copper-rich VMS zones. The access to infrastructure and location in a previous mining town is attractive to many mid-tier mining companies in the Abitibi looking to replenish their depleting gold ounces.
What are the top 3 key investor takeaways?
1. Eldorado Gold’s 9.9% interest validates the future potential of this project becoming a mine and provides enough cash for further exploration and development.
2. The economics of the PEA , the high-grade gold discoveries and VMS discoveries on the project, in addition to a robust treasury, derisks Amex from other exploration projects.
3. The current share price provides an attractive entry point for investors as the PEA provides a value for the future production potential of the project and it does not include any drill results from June 30th, 2024, therefore newsflow of assay results could provide upside to the share price.