AW1 General Chat, page-1385

Key points from the AW1 Market Insights video session,

Exploration at Storm has been Seasonal but is increasing in length. Exploration duration was 2 months in 2022, by 2023 they achieved 6- 9 months of exploration and in 2024, AW1 is aiming for 12 months. AW1 is learning year by year how best to co-ordinate the exploration work to maximise geophysics and drilling. Admittedly, 2023 exploration season was cut short by wildfires impacting available flights in the region.

Storm drill program was 10 holes (2022) and 63 holes (2023). This was made up of Resource definition and exploration drilling using RC and Diamond drill rigs – AW1 is just getting better and better at hitting copper sulphide zones, Apparently, COPPER is everywhere!!!! With most of the copper being regarded as economic!!!

In 2023, AW1 also confirmed Storm to be a Sedimentary hosted Copper deposit making it a strategically important North American copper deposit.

Dave Broughton (external Geology Technical advisor, previous VP of Exploration at Ivanhoe Mines during discovery of Kamoa Cu (Central African Copperbelt deposit)) is currently looking at Storm drill core to help with confirmation of AW1 assumptions which will likely flow into the planning of the 2024 exploration program. An external audit & review of AW1’s technical assumptions should be considered good practice from a geological technical alignment and financial perspective.

Storm is a big system, Storm contains high grade copper (1 – 3% Cu), is flat layered and is regarded as a near surface structurally controlled sedimentary system. At depth, Storm contains a large volume of high-grade copper. Amazingly, AW1 have only explored 5% of the 110 km long copper belt.

Storm maiden Mineral Resource Estimate (MRE) is due for release in the months ahead for the near surface open-pit zone. It will contain the 1% to 3% Cu mineralisation thus ranking it as one of the highest grade Open-Pit copper mines globally.

Mineral Processing perspective: For upgrading Storm Ore, Dave indicated, No $200 million flotation plant is required which would have encompassed the use of chemicals, milling circuit, tailings, etc. All that is required is a simple Quarry Operation with Jigs and/or Ore Sorting equipment to upgrade the ore.

AW1 are speaking with Metal Traders who are indicating why produce a DSO 50% Cu product when the Australian industry only makes 25% Cu. Hence, there is an ability to make a lower grade copper product (blended down) for sale, achieve higher copper recoveries, produce more tonnes and higher revenue. Recovery is high because Storm’s copper sulphide minerals are in veinlets which breakup really well. Great ore liberation profile between the dolomite and copper sulphide minerals.

My understanding of Dave’s speech, he is seeing “the goal posts keep changing” for the better. The deposit is getting bigger. Multiple deposits are being found and the processing route is getting simpler. A Win-Win-Win situation for AW1 shareholders. The mineral processing flowsheet could encompass standard and much simpler “Wet or Dry Jigging” units for upgrading the ore, possibly doing away with the more electronically advanced X-Ray Ore Sorting system. The orebody is turning into a Perfect Storm situation. The scale of the copper resource increases with every new drill hole advanced. This is massively changing the development path of the Project. Therefore,

• Expect a Maidan Resource for Storm and further economic studies after that.
• Storm Mine Permitting is underway with the local government.
• Storm Environmental Study completed this year.
• Copper Warrior in Utah is a Tier 1 copper district, ideal for drilling during Storm off season. Currently spending <$500,000 on the initial 10x RC drill hole program. Aiming to generate significant value!!!
• AW1 have $7 million in the bank as of last quarterly reporting period.

Question on AW1 share price bouncing around from 5 cents, 40 cents and back to 10 cents, why the variability?

Answer: Has been frustrating from Dave’s perspective – AW1 team have completed the technical work, AW1 have a long-term strategy, AW1 have good people, have the money and are advancing the permitting (frontend-loading) to progress Storm to production and be the next ASX copper miner!!! However, possible factors driving the volatility include:

• Bear market (-ve)
• Recessionary environment (-ve)
• Short term shareholders taking profits (-ve)
• RM Capital Support(+ve)
• Multiple Capital Raises (-ve)
• No big institutional backing yet, but when AW1 was over $100 million market capitalization then the larger funds get interested. However, AW1 is still in conversations with large funds & large stakeholders in the stock.