Tesoro Gold (OTCPK:TSOR.F) 2025 Conference Transcript

Summary of Tesoro Gold Ltd. Conference Call Company Overview - Company: Tesoro Gold Ltd. - Project: El Zorro Gold Project located in Chile - Market Symbols: OTCQB: TESORF, ASX: TSO - Current Status: Single-asset company developing a significant gold deposit Key Points and Arguments 1. Project Scale and Resource Update: - The El Zorro Gold Project hosts one of the largest undeveloped gold deposits in Chile, with an updated mineral resource of 2 million ounces at 1.07 grams per ton gold, or 1.82 million ounces at 1.1 grams constrained within a $3,000 per ounce pit [2][3][9] 2. Technical and Economic Viability: - A recent scoping study indicates a technically simple and economically robust project, with a post-tax NPV of $663 million at a gold price of $2,750 per ounce [5][10] - The all-in sustaining cost is projected to be around $1,200 per ounce, with a modest upfront capital requirement of just under $250 million [11][12] 3. Strategic Location: - The project is situated in a coastal location with access to essential infrastructure such as power, water, and workforce within 25 kilometers [3][8] - The average elevation of the project is around 650 meters, with a desalination plant located 20 kilometers away for water supply [18] 4. Shareholder Support: - Gold Fields Limited, a major gold producer, holds approximately 50% of the company's issued capital and has invested over $14 million in the project [6][21] - Institutional investors have shown strong interest, with the company recently raising $34 million Australian from institutional investors [5] 5. Future Development Plans: - The company is moving towards a pre-feasibility study, expected to be completed by April 2026, which will enable the announcement of the first ore reserve [12][13] - An aggressive exploration campaign is planned across the El Zorro district, with up to 11,000 meters of drilling to discover additional deposits [14][15] 6. Market Conditions and M&A Potential: - The current gold price environment is favorable, with potential for increased M&A activity in the sector [20] - The company remains open to M&A opportunities, particularly given the interest from Gold Fields Limited [19][20] Additional Important Information - Metallurgy: The deposit exhibits high metallurgy with over 94% gold recovery at a coarse grind size of 125 microns, indicating efficient processing capabilities [4][16] - Environmental Considerations: The project is in a well-established mining region, with a straightforward permitting process that has seen over $100 billion in mining projects permitted in Chile in the last two years [13] - Exploration Targets: The company is actively exploring high-priority targets within its concession holding, with the potential for significant resource growth [14][15] Conclusion - Tesoro Gold Ltd. is positioned for significant growth with its El Zorro Gold Project, backed by strong shareholder support and a clear development pathway towards production. The upcoming months are expected to be critical for advancing the project and exploring additional gold deposits.