Below is a commentary from Crescent Securites a couple months ago.
AMC continues to deliver on milestones with Western Conductor drill permit approval
SUMMARY
- AMC has received approval from the BLM for two new drill pads (W1, W2) located ~1.2 km west of the Kay mine.
- These new pads will allow targeting the Western target as well as additional coincident anomalies located b/w the Western & Central targets.
- Western Conductor has one of the largest geophysical signatures at Kay with ~1 km strike and 70 m wide with at least 400 m vertical extent.
- Management plans to commence road construction to the Western target post confirmation of a bond with the BLM planned for this week.
- Drilling at Western is expected in Q1/23.
- Road construction to Central drill pads (C1, C2) is currently underway with drilling expected to commence in November.
CONCLUSION
- AMC continues to deliver on milestones with successful drill permitting of the Western Conductor target.
- Kay drilling to date is confirming excellent continuity of the wide fold hinge zone (~50 – 60 m) while confirming our estimated 24 Mt at ~5% CuEq which is based just on the ~320 m strike at Kay and down to ~1 km depth.
- Our est. does not include any along-strike extension potential at Kay or the potential at Central & Western/regional targets.
- In our opinion, both Central & Western targets (never explored before) have the potential to host another Kay, drilling dependent.
- If drilling is successful at either, it could conceptually drive the resource potential at the project to 2x – 3x our current est.
- With ~C$60 MM, AMC is well funded for the ongoing Phase 2 program (18,000 m remaining) and Phase 3 (budgeted 76,000 m or $27 MM).
