Ann: Chairman's Letter to Shareholders, page-9

Mixie, as mentioned, there are many benefits for AW1 transitioning from explorer to developer and it looks like AW1 has plenty of options on the radar.

• The massive Storm Copper prospect will have its JORC information released in coming months stating its maiden resource size and grade. AW1 plan to release Ore Sorting results around the same timing during Q4 2023 to commence the ball rolling for advancing the high-grade copper Direct Shipment Ore (DSO) treatment option. AW1 is also evaluating the merits of copper recovery via flotation because of the massive reserves of copper bearing ore at Storm. Ore Sorting systems are effective for treating a few million tonnes each year but the economics for building a larger flotation plant become more attractive as larger ore tonnages are required to be treated. This is a very positive indicator of the scale of the Storm copper project.
• While in North American, the Utah site at West Desert, the company reported a JORC compliant mineral resource estimate (MRE) of 33.7 Mt at 3.83%Zn, 0.15% Cu and 9.1 g/t Ag. The MRE incorporated pit shell analysis and stope optimization plus review of the mineral resources based on Open-pit Heap Leach oxide material treatment, Open-pit Mill Leach oxide material treatment, or Open-pit / Underground Mill Flotation sulphide material treatment scenarios. The company elected to exclude the West Desert Indium resource estimate (54 Moz at 26g/t Indium) that is associated with the copper and zinc rich mineralization because of the absence of indium assays in some historic drill holes. The AW1 annual report states the, “MRE underpins development potential. The studies have shown that a phased mining approach combining open-pit and underground scenarios is likely to be the most appropriate way to mine the ores of the West Desert Deposit based on known mineral resources. The proposed open-pit will be staged with an initial heap leach and wet mill for the oxide/transitional mineralisation, followed by a sulphide flotation plant for the fresh material. Recent metallurgical test work by American West has confirmed the amenability of oxide ore to heap and mill leach processing with excellent recoveries of zinc and copper, and with relatively low sulphuric acid consumption. The underground development is proposed to be accessed with an open-pit highwall portal, with ore being processed at the sulphide floatation circuit of the wet mill. The ore lenses of the underground portion of the orebody are amenable to traditional long hole open stoping methods and a minimum stope width of 3-5m has been used in the evaluation”. Therefore, mining and processing of the West Desert Cu-Zn-Ag orebody is getting closer to reality. AW1 also note, Magnetite iron-ore and molybdenum mineralisation within the porphyry regions have been identified at the Copper Zone, thus further increasing the value of the West Desert asset.

Therefore, transitioning from explorer to developer offers,

Financial benefits: Mine development is a capital-intensive process, but it can also be very lucrative. If American West Metals is successful in developing the Storm copper mine, it could generate significant revenue (capital growth & dividends) for the company and its shareholders.

Growth potential: Mine development can lead to significant growth for a company. Once the Storm mine is operational, American West Metals will be able to produce and sell copper, which is becoming a valuable commodity. This could lead to increased revenue and profits, and it could also allow the company to expand its operations and create new jobs. This can boost the local economy and provide employment opportunities for people in the Nunavut surrounding area.

Strategic benefits: Mine development can also give a company a strategic advantage in the market. By developing the Storm mine, American West Metals will be able to secure a supply of copper, which is an essential commodity for many industries. This could give the company a competitive advantage in North America over other companies that do not have their own copper mines.

Reduced risk. Exploration is a risky business, as there is no guarantee that a deposit of minerals will be found during an exploration period. Developing a mine is less risky, as the company already knows that there is copper and zinc present across its prospects and progressive development brings stable cashflow.

In the case of American West Metals, the transition from explorer to developer is also seen as an opportunity to grow the company and create value for shareholders. The company's new chairman, Dan Lougher, has a proven track record in mine building and operation. His appointment suggests that the company is serious about developing its Storm copper project and other prospects in its portfolio.

The company's annual report also states that it is looking to test the full potential of its multi-kilometre Storm copper prospects at its large regional-scale landholding. This suggests that the company is confident in the potential of its assets and is committed to developing them into a world-class mining operation.

Overall, the transition from explorer to developer is a positive step for American West Metals. It has the potential to create significant benefits for the company, its shareholders, and the local economy.