Trigon Metals

Website: www.trigonmetals.com
Primary ticker: TSXV:TM
Stage of development: Exploration, Development
Commodity: Copper, Silver
Project to promote: Silver Hill Copper and Silver Project
Project location: Morocco
Company presentation:  Click here
Company video: Click here
Live financials

Cash: CAD$3M
Debt: CAD$400K

Major shareholders:
Eric Sprott – 19.9%
Aberdeen – 12%
SilverCorp – 8%
Jed Richardso – 8%
Stephan Theron – 3.5%
Management Ownership – 15%

Trigon Metals is positioned to create shareholder value due to near term production potential, extensive existing infrastructure, low capital expenditure profile, and large underexplored mining licences with known copper mineralization.Trigon Metals, holds an 80% interest in five Mining Licences in the Otavi Mountainlands, an area of Namibia particularly known for its high-grade copper deposits. Within these licences are three past-producing properties.The Kombat Mine’s extensive infrastructure includes the an 800m vertical shaft, which was completed in 2006, two other vertical shafts, three decline shafts with ramp systems, extensive underground workings, mine buildings, a tailings facility, a mill and concentrator. The Kombat Mine produced 12.46 million tonnes of ore grading 2.6% Cu. from 1962 to 2008.

Management Profile

Jed Richardson, President & CEO

Mr. Richardson is a qualified mine engineer with a background that includes mine finance and resource development over a 20-year career. As CEO of Great Quest, a fertilizer resource development active in Mali, West Africa, he gained valuable experience operating in Africa. He has also held an executive position at Amazon Mining developing resource assets in Brazil. Mr. Richardson spent a large portion of his career in capital markets working as a research analyst at Sprott Securities and RBC Capital Markets. He also worked as a Mining Engineer for Alcan Aluminum after graduating from the University of Toronto. Mr. Richardson holds a B.A.Sc in Mineral and Geological Engineering.


What is your rationale for attending 121 Mining Investment?

To connect with investors who wish to fund solid projects in mine-friendly jurisdictions in Africa.


What recent news would you like to highlight to investors attending?

January 9, 2020 – Can Copper Be the Metal of the Future with Deficits? Financial Post
January 8, 2020 – Eric Sprott Announces Investment in Trigon Metals
January 8, 2020 – Trigon Metals Closes Oversubscribed Private Placement Financing
November 19, 2019 – Trigon Metals Enters into Agreement to Acquire to the High Potential ‘Silver Hill’ Copper and Silver Project in Morocco.


What are your key goals for the next 3, 6 and 12 months?

3 Months:

– Silver Hill land consolidation (Morocco)
– First drill results (Morocco)
– Investor site visits (Namibia)

6 Months:

– Drill program (Morocco)
– Secure off-take partners for concentrate (Namibia)

12 Months:

– Initial resource estimate (Morocco)
– Kombat mine to begin production


What do you think makes your company such a compelling investment?

High-potential copper assets in mining-friendly jurisdictions as copper demand is set to rise and supply is expected to decrease.

Analyst Insight – provided by Independent Investment Research

Trigon Metals is a TSX-V-listed company that holds an 80% interest in five Mining Licences in the Otavi Mountainlands, an area of Namibia particularly known for its high-grade copper deposits. Within these licenses are three past-producing mines including the company’s flagship property, the Kombat Mine.

The project is attractive due to its near-term production potential, extensive existing infrastructure, low capital expenditure profile, and large underexplored mining licences with known copper mineralization. Trigon Metals acquired 80% of the mine and related assets in 2012.

The Kombat Mine’s extensive infrastructure includes the Asis Far West 800-metre vertical shaft, which was completed in 2006, two other vertical shafts, three decline shafts with ramp systems, extensive underground workings, mine buildings, a tailings facility, a mill and concentrator. The Kombat Mine originally opened in 1962 and from 1962 to 2008 produced 12.46 million tonnes of ore grading 2.6% Cu.

During mid-2018 the company announced the filing of its updated National Instrument 43-101 technical report NI 43-101 Mineral Resource estimate for the Kombat Mine, comprising both the surface accessible (targeted open-pit) and underground. It comprises 1.529 million tonnes of Indicated Mineral Resources at a grade of 1.14% copper, 0.72% lead and 2.88 g/t silver and 5.511 million tonnes of Inferred Mineral Resources (open pit and underground) at a grade of 3.05% copper, 1.25% lead and 22.93 g/t silver.

The company also announced in mid-2018 positive Feasibility Study results that confirmed the Phase 1 of the restart program to self-fund mill refurbishment and the reopening of the AFW shaft. The results estimate a robust base-case after-tax IRR of 103.4%, with start-up capital cost for the Kombat open-pits of US$6.4 million, includes US$4.7 million for plant refurbishment. Commencing in 2020, 10.7 million lb of copper are forecast to be produced, generating projected revenue of US$30.7 million at a copper price of US$3.10/lb and a C1 cash cost of US$1.85/lb (base-case).

Base-case free cash flows are estimated at US$5.7 million (US$7.7 million, at a high-case copper price of US$3.28/lb) to be utilized to fund exploration at AFW underground mine to achieve life of mine strategy.