With hundreds of millions of pounds of copper, money in the bank and an ideal Canadian location, Abitibi Metals (AMQ.c AMQFF) has emerged as a high-potential play running up as much as 600% in the past 3 months, which can likely be attributed to four main achievements:
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Advanced Project: Significant resource at its B26 Project including 400 million pounds of copper and 286,000 ounces of gold, along with notable zinc and silver
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Location: Deposit is located in Quebec, Canada, an area recognized as a favorable mining province, and spans a continuous strike length with strong growth potential
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Experienced Management: Management team has substantial experience in mining and capital markets with a proven ability to raise money
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Money's Not an Issue: Raised almost $15M in 2023, proving their ability to finance exploration work in tough markets
"With a tightly held, warrant-free structure, significant insider ownership, and a share count below 100 million, the Abitibi Metals narrative is precisely the kind that captivates astute retail investors. The pieces are falling into place, and the momentum is growing."
Having never been owned by a public company, substantial real price discovery remains at the B26 Deposit, especially given AMQ is fully funded and ready for 2024.
According to the 2018 Resource Estimate, the Deposit has an indicated resource of 6.97Mt at 2.94% CuEq and an inferred resource of 4.41Mt at 2.97% CuEq.
Spanning ~3,327 hectares with road access and powerlines directly overhead, B26 is located 90km west of Mattagami and 100km north of La Sarre near the former Selbaie Mine
AMQ has a 7-year option to earn 80% from SOQUEM Inc. which includes 9.9% Equity, a $14M work commitment and $400k cash.
Management Team & Capital Structure
"With the key man and his expert team at the helm, and a compelling project in the midst of a copper boom, Abitibi Metals finds itself in a prime position, benefitting from a critical commodity tailwind.
Tightly held by the Deluce Family who commands the majority of the 90M outstanding shares, known for significant contributions to the mining industry, AQM's CEO Jon Deluce is a noteworthy executive who brings a wealth of experience & influence.
With robust financial backing for the venture due to Deluce's success & executive connections to financiers worldwide, AMQ has almost $15M in cash secured through two strategic financings, one of which was upsized following the participation of Frank Giustra and Greg Chamandy joining the investor roster, while avoiding unnecessary dilution.
Demonstrating the immense potential for growth in this story, AMQ experienced a significant surge in value on substantial trading volume following securing the option for the B26 deposit. This saw an impressive day-one re-rating of 88%, indicating the substantial impact of this strategic move.
Posted on Behalf of Abitibi Metals Corp.