Company Overview - Pan Global Resources Inc. is actively exploring for copper-rich mineral deposits along with gold and other metals, with a focus on the long-term price outlook for copper as a critical metal for global electrification and energy transition, and gold attracting record prices [6][7] - The company's flagship Escacena Project is located in the Iberian Pyrite Belt in southern Spain, characterized by a favorable permitting track record, excellent infrastructure, and support for copper as a Strategic Raw Material by the European Commission [7] - The Escacena Project includes the La Romana copper-tin-silver deposit and the Cañada Honda gold-copper deposits, with maiden resources announced in December 2025 [7] Upcoming Events - Pan Global will present at the Centurion One Capital 9th Annual Toronto Growth Conference on March 5, 2026, at the Four Seasons Hotel in Toronto [1][3] - Jason Mercier, Vice President of Investor Relations, and Juan García Valledor, Director General for Spain, will attend investor meetings with select investors during the conference [2] Investment Highlights - The company has discovered three deposits to date at its two copper-gold projects in Spain and is expanding its drill program in 2026 to target further discoveries in copper and gold [3] - The Centurion One Capital Growth Conference is seen as an excellent opportunity for Pan Global to introduce itself to an audience of investors focused on small-cap companies [2]

Financial Data and Key Metrics Changes - In Q4 2025, adjusted EBITDA increased by 81% to $1.5 billion, driven by significantly higher copper prices and increased byproduct revenue, resulting in an adjusted EBITDA margin of approximately 50% [5][15][16] - For the full year 2025, adjusted EBITDA improved by 48% to $4.3 billion, supported by robust cash flow from operations and a return to a net cash position [6][15][16] Business Line Data and Key Metrics Changes - Copper production in Q4 was the strongest of the year at 55,000 tons, reflecting a 16,000-ton increase from Q3 2025, with gross profit before depreciation and amortization in copper improving by 47% to $1.1 billion [4][18] - Zinc segment gross profit before depreciation and amortization was $305 million, 5% lower than the same period last year, primarily due to a decrease in Red Dog zinc sales [22] Market Data and Key Metrics Changes - Copper prices reached record highs in Q4 2025, with the highest sequential quarterly price gain since early 2021, averaging over $5 per pound [33] - The long-term outlook for copper remains strong, driven by global electrification and increased demand for clean energy solutions [33][34] Company Strategy and Development Direction - The company is focused on becoming a global leader in critical minerals, highlighted by the announced merger with Anglo American, which is expected to create a top five global copper producer [3][35] - The Highland Valley Mine Life Extension project is underway, expected to extend the mine's life to 2046, producing an average of 132,000 tons of copper per annum [7][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in operational performance and reaffirmed annual production guidance for 2026 to 2028, despite some expected periodic downtime due to TMF development work [10][13] - The company anticipates strong cash flow generation, particularly if current copper prices are sustained, with potential EBITDA of $6.2 billion at an average copper price of $5.50 per pound [28] Other Important Information - The company achieved 100% renewable power in Chile as of October 1, 2025, and was recognized as one of Canada's top 100 employers for the ninth consecutive year [8] - The company maintained a strong balance sheet with $9.3 billion in liquidity, including $5.2 billion in cash, and returned $1.3 billion to shareholders through buybacks and dividends [27] Q&A Session Summary Question: Update on QB TMF timing and profile - Management confirmed that progress on the QB action plan is on track, with significant improvements in sand deposition rates and completion of the fourth rock bench, with the fifth bench already started [42][44] Question: Deferred stripping CapEx normalization timeline - Management indicated that elevated deferred stripping levels are expected to continue for a few years, normalizing around 2028 [46] Question: Discussions on Collahuasi and Zafranal projects - Management confirmed ongoing discussions regarding maximizing value from Collahuasi and stated that the feasibility study for Zafranal is progressing well, with a decision on construction expected after completion [49][50]

Financial Data and Key Metrics Changes - In Q4 2025, adjusted EBITDA increased by 81% to $1.5 billion, driven by significantly higher copper prices and increased byproduct revenue, resulting in an adjusted EBITDA margin of approximately 50% [5][14][15] - For the full year 2025, adjusted EBITDA improved by 48% to $4.3 billion, supported by robust cash flow from operations and a return to a net cash position [5][14][16] - The company returned $1.3 billion to shareholders through share buybacks and dividends in 2025 [5][27] Business Line Data and Key Metrics Changes - Copper production in Q4 2025 was the strongest of the year at 55,000 tons, reflecting a 10% increase from Q4 2024, with significant contributions from Highland Valley and Antamina [4][18] - The zinc segment reported a gross profit of $305 million in Q4, which was 5% lower than the same period last year, primarily due to decreased sales at Red Dog [21][23] Market Data and Key Metrics Changes - Copper prices reached record highs in Q4 2025, with the quarterly average exceeding $5 per pound for the first time, supported by strong financial flows and robust metal consumption [33] - The long-term outlook for copper remains strong, driven by global electrification and the need for significant investment in grid infrastructure [33][34] Company Strategy and Development Direction - The company is focused on becoming a global leader in critical minerals, highlighted by the announced merger with Anglo American, which is expected to create a top five global copper producer [3][35] - The Highland Valley Mine Life Extension project is underway, expected to extend the mine's life to 2046, producing an average of 132,000 tons of copper per annum [6][27] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in operational performance and reaffirmed production guidance for 2026 to 2028, despite some expected variability across operations [4][19] - The company anticipates strong cash flow generation, particularly if current copper prices are sustained, with potential EBITDA of $6.2 billion at an average copper price of $5.50 per pound [28] Other Important Information - Teck achieved a 50% reduction in the high potential incident frequency rate for controlled operations, marking a significant improvement in safety performance [7] - The company reached 100% renewable power in Chile, enhancing its sustainability initiatives [8] Q&A Session Summary Question: Update on QB TMF timing and profile - Management confirmed that progress is on track, with significant improvements in sand deposition rates and completion of the fourth rock bench, with the fifth bench already started [42][44] Question: Deferred stripping CapEx normalization timeline - Management indicated that elevated deferred stripping levels are expected to continue for a few years, normalizing around 2028 [45][46] Question: Discussions on Collahuasi QB and Zafranal project readiness - Management confirmed ongoing discussions regarding Collahuasi and stated that the feasibility study for Zafranal is progressing well, with a decision on construction expected after completion [50][51]

Core Viewpoint - Pan Global Resources Inc. has filed an independent Technical Report for its Escacena Project, providing initial Mineral Resource Estimates that indicate a strong foundation for future studies and potential resource expansion [1]. Group 1: Mineral Resource Estimates - La Romana (Cu-Sn-Ag) Mineral Resources at a cut-off grade of 0.2% Cu include: - Inferred: 4.0 million tonnes (Mt) containing 15.8 thousand tonnes (kt) Cu, 0.3 kt Sn, 0.2 million ounces (Moz) Ag with average grades of 0.40% Cu, 71 parts per million (ppm) Sn, 1.4 grams per tonne (g/t) Ag [1] - Measured and Indicated: 32.4 Mt containing 119.5 kt Cu, 8.8 kt Sn, 1.7 Moz Ag with average grades of 0.37% Cu, 270 ppm Sn, 1.7 g/t Ag [1] - Cañada Honda (Au-Cu-Ag) Mineral Resources at a cut-off grade of 0.25 g/t Au include: - Inferred: 5.0 Mt containing 104 thousand ounces (koz) Au, 6.8 kt Cu, 0.2 Moz Ag with average grades of 0.65 g/t Au, 0.14% Cu, 1.2 g/t Ag [1] Group 2: Project Details - The Escacena Project has expanded from 5,760 hectares to over 10,000 hectares with the addition of new mineral rights [1] - The project is located near the operating mine at Riotinto and adjacent to former mines, indicating a favorable mining environment [1] - Pan Global is actively exploring for copper-rich deposits, with a focus on the Iberian Pyrite Belt, which is recognized for its strategic importance in the European market [1]

Core Insights - The global refined copper production capacity and output are projected to increase annually from 2018 to 2024, with a capacity of 33.236 million tons and an output of 27.486 million tons expected in 2024, resulting in a capacity utilization rate of 82.70% [1] - The global refined copper consumption is also on the rise, expected to reach 27.348 million tons in 2024, reflecting a year-on-year increase of 2.8% [5] - Major consumption sectors for refined copper include consumer and general products, refrigeration, and electronics, accounting for approximately 23% of total consumption, while the construction sector represents 26% [7] Production and Capacity - The refined copper production capacity is forecasted to reach 33.236 million tons by 2024, with a production output of 27.486 million tons, including 4.581 million tons of recycled refined copper, which is a 2.0% increase year-on-year [1] - The compound annual growth rate (CAGR) for global copper smelting output is estimated at 3.3% from 2024 to 2028, with a projected output of 33.20 million tons by 2030 [11] Demand Drivers - The demand for refined copper is primarily driven by the acceleration of global electrification, the booming electric vehicle industry, and large-scale renewable energy projects, all of which require copper for its excellent conductivity [14] - Additional demand growth is anticipated from the recovery of the global economy and increased infrastructure investments in construction, industrial, and consumer goods sectors [14] - The refined copper usage is expected to grow at a CAGR of 3.0% from 2025 to 2030, reaching 32.75 million tons by 2030 [14]

Core Insights - The financial landscape in early 2026 has shifted from digital growth to a focus on physical assets, with commodities being the primary beneficiaries as the U.S. dollar declines to levels not seen since the early pandemic era [1] Group 1: Commodity Market Dynamics - The commodity market has historically posed challenges for do-it-yourself investors due to complex tax structures, particularly the K-1 partnership form, which can lead to late filings and increased accounting fees [2] - The Invesco Optimum Yield Diversified Commodity Strategy No K-1 ETF (PDBC) addresses these issues by utilizing a C-Corp structure that allows for broad commodity exposure while issuing a standard 1099 form, simplifying ownership [3] Group 2: PDBC Performance and Portfolio - PDBC is currently near multi-year highs, with a year-to-date gain of over 6% as of late January 2026, building on strong performance from 2025, and is projected to rise further towards $17 [4] - PDBC's portfolio includes a diverse range of heavily traded commodities, with energy and industrial metals driving performance due to high demand from sectors like artificial intelligence and global electrification [5] - The ETF has increased its holdings in gold and silver, which now make up 16% of its total assets, reflecting ongoing interest in these precious metals amid market conditions [6]

Core Insights - 2025 has been a historic year for precious metals, with silver outperforming gold significantly, surging 132% to nearly $69 per ounce, while gold gained 68% [1][9] Market Dynamics - Silver's record rally is attributed to a combination of factors, including a severe and persistent supply squeeze, with five consecutive years of supply deficits [5] - Over 60% of silver demand now comes from industrial applications, particularly in photovoltaic cells and electric vehicles, which require significantly more silver than traditional engines [6] - Investment capital has returned to silver through ETFs, with notable inflows contributing to the price surge, alongside macroeconomic factors such as Federal Reserve interest rate cuts weakening the U.S. dollar [7] Future Outlook - Analysts remain optimistic about silver's trajectory into 2026, expecting the structural supply-demand deficit to persist, with potential price targets reaching $100 per ounce by late 2026 [8][10] - Market sentiment is positive, with over 50% of retail traders predicting silver will be the top-performing metal in 2026 [11] Investment Vehicles - For investors looking to capitalize on silver's momentum, several ETFs are highlighted: - **abrdn Physical Silver Shares ETF (SIVR)**: AUM of $5.15 billion, market price of $62.25, up 132.1% YTD [13] - **iShares Silver Trust (SLV)**: Largest silver ETF with net assets of $33.97 billion, market price of $60.93, up 131.4% YTD [14] - **Global X Silver Miners ETF (SIL)**: AUM of $4.82 billion, market price of $84.73, up 167.2% YTD [15]

Core Insights - The International Copper Study Group (ICSG) forecasts a refined copper deficit of approximately 150,000 tons in 2026, with other analysts predicting a shortfall exceeding 400,000 tons, indicating a significant supply-demand imbalance that is expected to drive copper prices higher in 2026 [1][5][14] Supply Constraints - Structural supply issues such as declining ore grades, lack of new significant mine discoveries, and operational disruptions at existing mines are anticipated to constrain production, worsening the supply deficit [2][14] Demand Drivers - Analysts project a moderate global economic growth increase from 3% in 2025 to around 3.2% in 2026, with ongoing urbanization in the Asia-Pacific region driving demand for construction and electrical applications [3][14] - The expansion and upgrade of power grids to accommodate new energy sources and increased consumption will significantly increase copper demand [4][14] - The push for decarbonization and energy security, alongside the rollout of renewables and electric vehicles, is expected to require substantial amounts of copper [4][14] Market Trends - Copper prices are on an upward trajectory as the market anticipates a significant deficit in 2026, with global demand expected to surpass new supply by a considerable margin [5][14] - The March 2026 copper futures contract has been in an uptrend since September 2022, setting multiple new contract highs, indicating strong market momentum [7][15] Seasonal Analysis - A 15-year seasonal pattern indicates a seasonal low around mid-August, with historical data showing that March copper prices have closed higher on February 21 than on November 21 for 13 of the past 15 years, suggesting a favorable trading window [9][14] Technical Picture - The technical setup supports a bullish outlook, with March 2026 copper futures trading near all-time highs and a reliable seasonal pattern indicating strength from late November into February [15]

Group 1 - Small cap stocks have had a mixed performance in 2025, but there is potential for improvement driven by rising global electricity demand, particularly from AI data centers, semiconductors, EVs, and buildings [1][2] - Smaller companies are positioned to innovate in areas such as supply chain management and battery technology, with nuclear power being highlighted as a sector where small cap firms could present exciting investment opportunities [2][3] - The performance of small caps may outperform large caps due to their concentrated focus on specific areas, allowing them to benefit significantly from surges in demand [3] Group 2 - The Avantis International Small Cap Value ETF (AVDV) is suggested as a strong candidate for investment, with a low fee of 36 basis points and a year-to-date return of 38%, outperforming its category average [3]

Core Insights - WEG has successfully transformed from a regional motor manufacturer to a diversified energy and automation platform, positioning itself well in the global industrial sector [1] Company Overview - WEG is recognized as one of the best-positioned industrial companies worldwide, indicating strong competitive advantages and market presence [1] Industry Positioning - The company has clear visibility into long-duration themes, suggesting a strategic focus on sustainable growth and innovation within the energy and automation sectors [1]