Prismo Metals completes exploration at Silver King

Executive Summary

• Prismo Metals completed an exploration program at the Black Diamond area of its Silver King project, identifying a large copper anomaly over the Black Diamond replacement body and confirming a mineralized felsic intrusion with stockwork veining.
• The U.S. Forest Service has accepted the company's drill plan as complete and will proceed with a categorical exclusion environmental analysis under NEPA, marking significant progress in permitting.
• The company is fully funded for two phases of drilling (totaling 2,000 meters) following a recent oversubscribed financing, with Phase 1 targeting the historic Silver King mine site and Phase 2 targeting newly identified polymetallic and copper vein targets.

Key Details

• Exploration Results (Black Diamond Area):
  • Mapping and sampling completed on the Black Diamond copper replacement body and a newly encountered strongly altered felsic intrusion.
  • Soil geochemistry grid identified a large copper anomaly over the Black Diamond replacement body and anomalous gold values.
  • Soil survey also revealed zinc, lead, silver, and antimony anomalies associated with the felsic intrusion.
  • The felsic intrusion is strongly sericitized and cut by moderate to strong stockwork quartz veins with locally abundant iron oxides after pyrite.
  • Hand-held XRF analysis of rock samples and quartz veinlets indicates the presence of silver, lead, zinc, and antimony.
  • 34 rock-chip samples were submitted to the laboratory for assay, with results expected in the coming weeks.
• IP Survey:
  • An Induced Polarization (IP) survey was initiated over the Silver King land package, with results expected by the first week of December.
• Drilling Permit Status:
  • The U.S. Forest Service determined the proposed drill plan meets regulatory requirements (36 CFR 228.4(c)) and is complete.
  • The agency will proceed with environmental analysis as a categorical exclusion (lowest level of review) under the National Environmental Policy Act (NEPA).
• Drilling Plans & Funding:
  • Company is fully funded for the first two phases of drilling due to a recent oversubscribed financing.
  • Phase 1: Approximately 1,000 meters of drilling planned at the historic Silver King mine site to test the upper half of the steeply dipping pipe-like mineralized body and potential mineralization adjacent to the historic stockwork.
  • Phase 2: An additional 1,000 meters of drilling planned to focus on newly identified targets outside the historic mining area, including polymetallic and copper veins, and the large body of replacement mineralization on the patented Black Diamond claim.
• Historical Context:
  • Silver King mine discovered in 1875, yielded nearly six million ounces of silver.
  • Located 3 km from Resolution Copper project (Rio Tinto/BHP joint venture).
  • Selected samples from late 1990s small-scale production returned grades up to 644 oz/t Ag and 0.53 oz/t Au.

Notable Quotes

• Dr. Craig Gibson, Chief Exploration Officer: "These results confirm Black Diamond as a copper-gold replacement body target, as was indicated from previous work, making this area a compelling drill target. The data collected from the felsic intrusion indicated that it is mineralized, a feature that was not indicated in reports from previous work by Fischer Watt in 1980, although they considered it a prime target based on alteration mineralogy and fluid inclusion studies."
• Alain Lambert, Chief Executive Officer: "We are pleased with the steady progress on the permitting front, especially given the now-resolved U.S. government shutdown."
• Alain Lambert, Chief Executive Officer: "With the closing of our recent oversubscribed financing, we are fully funded for the first two phases of drilling."