Interview with Sam Lee, President & CEO of NorthIsle Copper & Gold Inc.

Our previous interview: https://www.cruxinvestor.com/posts/northisle-copper-gold-ncx-exciting-copper-gold-porphyry-in-british-columbia-3223-8180e

Recording date: 2nd April 2024

NorthIsle Copper & Gold (TSXV:NCX) is advancing the North Island Project, a district-scale copper-gold porphyry discovery located on Vancouver Island, British Columbia. With a large established resource, extensive existing infrastructure, and strong government and First Nations support, NorthIsle offers investors an attractive opportunity to gain exposure to rising copper and gold prices.

The company's flagship North Island Project covers over 34,000 hectares of mineral claims prospective ground and hosts several porphyry copper-gold deposits, including the advanced-stage Hushamu and Red Dog deposits. These deposits host combined Indicated resources of 5 million ounces of gold and 3 billion pounds of copper, positioning North Island among the largest undeveloped copper-gold projects in Canada.

Importantly, the project benefits from extensive existing infrastructure, including paved road access, a deep-water port, and an ample supply of low-cost hydroelectric power. This infrastructure advantage significantly reduces the capex and development timeline compared to more remote projects. NorthIsle has also established strong relationships with the local First Nations, signing consent agreements that provide a clear framework for consultation and economic participation. 

While the 2021 PEA demonstrated robust economics for a large-scale, 22-year mine at North Island, NorthIsle has recently pivoted to a phased development approach to fast-track the project to production. The company plans to first develop a smaller, higher-grade starter pit operation focused on the Red Dog and Northwest Expo zones, with the larger Hushamu deposit serving as a longer-term growth opportunity.

Recent drilling at Northwest Expo has intercepted multiple zones of near-surface, high-grade copper-gold mineralization, including 96 m grading 1.42 g/t gold eq. and 87m grading 1.46g/t gold eq. These results underscore the potential for NorthIsle to develop a low-cost, high-margin initial mining operation with a small footprint and low strip ratio. By starting small, the company can significantly reduce upfront capital costs and accelerate the timeline to first production and cash flow.

Importantly, NorthIsle is fully funded to execute on this strategy after raising $6.4 million in an oversubscribed private placement in December 2023. The financing was anchored by several prominent resource-focused funds and positions the company to aggressively advance the project through drilling, economic studies, and permitting in 2024.

Looking ahead, NorthIsle offers investors multiple paths to value creation. In the near-term, the company is focused on expanding and upgrading the resource at Northwest Expo and Red Dog to support the development of the starter pit operation. Continued exploration success and the completion of engineering studies and permitting milestones should help to re-rate the stock as the project advances towards a construction decision.

Longer-term, NorthIsle has significant optionality to expand the operation to incorporate the larger Hushamu resource as market conditions warrant. The company also controls a large prospective land package with several untested exploration targets that could deliver new discoveries to further enhance the project. With a proven management team, a world-class copper-gold asset, and a clear path forward, NorthIsle is well-positioned to capitalize on the strong long-term fundamentals for critical metals.

View NorthIsle Copper & Gold's company profile: https://www.cruxinvestor.com/companies/northisle-copper-gold

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