Prospectiva Resources (TSXV:PSVA) - Brazil Copper Drilling Towards a 2027 Resource

Dan James (0:00)

Well, good morning. Thank you for joining. So I'm Dan James. I'm the CEO of Prospectiva Resources. So we are a newly listed company listed on the TSX-V under the ticker PSVA.

And we are currently drilling our flagship project down in northern Brazil, called the São Francisco. It's a high-grade near-surface VMS system.

SPEAKER_2 (0:19)

Dan, good to meet you. And first time on the platform for you and the company.

Maybe just kind of kick off for folks listening to this, watching this, reading about it. A bit of background on yourself. Where have you been? What have you done? How's it relevant to what you're doing today?

Dan James (0:32)

So I'm a geologist. So coming up for 30 years in the industry next summer, believe it or not. And I have previously been running companies. So prior to this, I was involved in a private equity group out of the Netherlands. I was involved in a lot of early stage work there. Prior to that, I was running a public company called Medgold Resources, which led on to a discovery back in about 2018, I think that was.

And then co-founded Prospectiva Resources very recently, in the last couple of years. So here we are now with a newly listed company.

SPEAKER_2 (1:05)

Great. Well, we're going to dive into a little bit. I mean, first of all, maybe tell us, how did you pick up the asset? You picked it up from Yamana. How did that come about?

Dan James (1:14)

Yeah. So we've spent about 18 months doing a target generation into Brazil. We identified obviously Brazil was a great jurisdiction for mineral potential exploration and all the permitting pathway through to mining. So we spent a lot of time focused into Brazil with my partner, Jeremy Martin. He's obviously got a very deep knowledge into Brazil as well.

We identified this target that was sitting within Pan American Silver. So it was an asset previously identified, discovered by Yamana Gold, a mid-tier gold producer. Then Pan American acquired Yamana back in 2023 So we were able to acquire the project directly out of Pan American Silver. It has not been in the market. It has not been talked about before. It had a bit of news around it in the discovery days around 2019 by Yamana. But all the tentative purposes, it's a new to the market project. It has already had quite a bit of work done on it previously. So we've been able to acquire that project for 100%.

And that sits as a large land portfolio. And yeah, we acquired that, closed the transaction in January earlier this year.

SPEAKER_2 (2:21)

Can you just talk about that? When you say picks it up in terms of payments, royalties, any other obligations, what's it gonna cost you?

Dan James (2:29)

Yeah, so it's a two-stage, two-stage acquisition. So we acquired 100% on day one with a half a million dollar spend. So that's been paid, so that's gone.

We've got a second payment coming up, the 350,000 US coming in beginning of next year. And then we've got a milestone after that. So if we identify a million ounce gold equivalent, then there's a 3 million US payment, and then there's a 1% NSR sitting underneath it. And then that is the deal, that's all there is to it. So for us, as a small early stage company, we have acquired a very good asset for what we think is a pretty decent price with a large land package and a really very good asset.

SPEAKER_2 (3:08)

Okay, so when you set out to identify a potential asset, what were you looking for and what indeed have you picked up and what data allowed you to assess that this might be the one for you?

Dan James (3:22)

Well, obviously, the first pass is to tap into national data. And my previous experience, I've had a lot of time and experience doing project generation, so that was perfectly within our wheelhouse to go through that process. But we were having most success tapping into existing contacts within Brazil. So this is where the project from Pan American Silver came from. It was a contact that we had into the company. We were then able to enter into the bidding process. So that's how we acquired that one. But we've been looking, and this was a combination of a long piece of work. We were initially looking for Copper-Gold. We came in with a very specific remit of needs to be Copper-Gold. We were fairly open-minded as to the mineral model, i.e. ICG or VMS or even an orogenic gold system.

But I think we needed to see that it was in an area where it could be worked. Obviously, projects that can be found, but there obviously needs to be a clear route forward to get it into a mine. There are areas of Brazil which are clearly very good for this.