Prismo extends milestone dates for Hot Breccia option

Executive Summary

• Prismo Metals Inc. has secured an extension on milestone obligations for its Hot Breccia copper project in Arizona from Walnut Mines LLC, providing additional time to complete cash payments and exploration expenditures.
• The extensions delay key financial milestones by approximately one year, allowing the company more flexibility to assess strategic alternatives and prepare for upcoming drilling activities.
• The release highlights the project's potential as a porphyry copper deposit, citing historical high-grade intercepts and geophysical data that support the company's plan to drill through prospective Paleozoic carbonate stratigraphy.

Key Details

• Extension Terms:
  • Exploration expenditure milestone of $1.75 million extended from Jan. 31, 2026, to Jan. 31, 2027.
  • Exploration expenditure milestone of $2.0 million extended from Jan. 31, 2027, to Jan. 31, 2028.
  • Final cash payment of $275,000 to Walnut Mines LLC extended from Jan. 31, 2026, to July 31, 2026.
• Project Location & Size: 1,420 hectares (227 contiguous mining claims) in the Arizona copper belt, near major mines including Morenci, Ray, and Resolution.
• Historical Drilling Results (Unverified):
  • Hole OC-1: 23 metres at 0.54% Cu at 640 metres depth.
  • Hole OCC-7: 18 metres at 1.4% Cu and 4.65% Zn at 830 metres depth.
  • Hole OCC-8: 7.6 metres at 1.73% Cu and 0.11% Zn at 703 metres depth; 4.6 metres at 1.4% Cu and 0.88% Zn at 716 metres depth.
• Geological Context: Mineralization is hosted in Paleozoic carbonate rocks underlying Cretaceous andesitic volcanic rocks. The target area measures 1,100 metres by 1,150 metres.
• Exploration Strategy: The drill program aims to penetrate the entire prospective Paleozoic carbonate stratigraphy into the postulated porphyry body/breccia zone. The team will use geological information from each hole to refine targeting for subsequent holes.
• Supporting Data: The mineralization model is supported by historical drilling, geophysical surveys, a 2023 ZTEM survey identifying a large conductive anomaly, and an AI study.

Notable Quotes

• Alain Lambert, CEO: "Prismo remains firmly committed to advancing the Hot Breccia project... We appreciate the co-operation of Walnut Mines LLC in extending certain milestone obligations, which provides the company with additional flexibility as we assess a range of strategic alternatives."
• Dr. Linus Keating, Manager, Walnut Mines: "Walnut and Prismo remain firmly dedicated to advancing Hot Breccia towards drill discovery... This extension will provide the necessary time and better focus resources to succeed at Hot Breccia."
• Dr. Craig Gibson, Chief Exploration Officer: "The copper exploration target at Hot Breccia has geophysical, geochemical and geological features characteristic of many porphyry copper deposits... The drill program is intended to drill through the entire prospective Paleozoic carbonate stratigraphy into the postulated porphyry body/breccia zone."