PDAC 2026: Pan Global Targets 100 Million Tonnes in Spain’s Iberian Pyrite Belt

(upbeat music) - Welcome back to Mining Sack Daily, Ian Wagner here live from Toronto, from the Investor Exchange floor of PDAC conference. I'm here with Jason Mercer, and Vice President of Investor Relations, of PAN Global Resources. They trade on the TSX Venture on your PGZ. And I believe Jason, you guys also on the OGC QB, or OGCQF? - Yeah, we are as well, we're in the QB at PGZ FF. - Right behind me on the banner. Well, listen Jason, thanks for taking some time. Appreciate it for any of our audience who's new to the PAN Global Story. Kind of give us that overview of the company kind of, just like where you guys are and what you're doing for what type of project. - Sure. - Well, we've got two main projects in Spain. Spain is our focus, we're an exploration company, and we're really focused on copper and gold. And so we've had a lot of success on that so far. We've found three different deposits on the two different projects altogether. And so that's something that's driven a lot of the interest from investors. We have the Ask a Scanner project, which is about a 25 minute drive Northwest of Seville. Excellent country, excellent area to be working in. Really good labor supply, electricity, is cheapest in Europe. A lot of people don't know that Spain is actually the second largest copper producer in Europe after Poland. And Poland, there's not really much way for an investor to participate in that market, but in Spain there is. There's a lot of companies working there, not as many exploration companies. So we're really looking to be, you know, Spain, and really Europe's next copper producer. Our project in the North, the Carmenas project, we made the first gold discovery in Spain of any significance in the last 30 years. We made that in the first quarter of 2025. So very exciting year ahead for us. Great, well thanks for that overview. Yeah, you know, for people who may be aren't familiar with Spain, you guys are in the Iberian Pyrite belt. And I want to talk about Ask a Scanner, because that's kind of the flagship, right? But like, a lot of drilling yet last year, right? You guys released your main resource that's coming into the end of the year. Kind of break down those numbers for us. I know you guys have spent a long time, and I think a lot of times the question was like, when versus how big versus how far do you want to get it? So like maybe tell us what those numbers are, and then how you guys were thinking about that. Do you want to grow it? Do you want to release it? Do you drill for now? Or do you drill for big? Like maybe unpack that a little bit? Sure, well, you know, with volcanic massive sulfide deposits, VMS deposits, every single line that's in operation, and there are a lot of them in Southern Spain, they're all a cluster. You're not looking for that one big deposit the way you might do, like say, a poor free. So with VMS deposits, they usually come in clusters. And we've found two already at Ask a Scanner. What you want to do is you want to make multiple discoveries that will be additive into a final tonnage number that you're looking for. So for us, our goal is to hit 100 million tons. We're quite certain that we're going to get 200 million tons and over. That's when you become really strong as a standalone mine to operate, and it's the IPA right now. So for us, what we're doing is we've got La Romana. We've got 32 million tons of measure and indicated. Incredibly high number, 80% of the resource is actually in measured category. That's really as close as you get to being reserved as you can get. So that is incredibly rare in the belts, but also in most copper projects around. When you start doing the comparables, you realize, oh, there's a very high level of certainty of what this has. So that's not because of the spacing. It's because of the nature of the deposit. The deposit is incredibly predictable. It's dipping 35 to 39 degrees to the north. It comes to surface. It's perfect for an open pit. So that coupled with the metallurgy, which makes it the cleanest project in the Iberian PyRide belt by far. And we've got a slide on our deck on that. That makes it a valuable project already, just with your first deposit. So we're now-- we just recently got the S. We've seen a self-property that's adjacent to this. And we've actually got one area to the west of La Romana where there's a 1 kilometer strip of copper coming to surface. And it has been mine selectively thousands of years ago. And that's where we're first going to start drilling when we get the final drill permits, which will come later this year. OK. OK. Yeah. So yeah, a couple things there. I guess just spoke using on the resource. I don't want to overlook the tin component, right? Because especially that's not a common-- I mean, it's not a common thing at least on this exchange floor. And I think you mentioned previously that part of that is due-- it just did not touch the ocean. It's right. And it's just some-- kind of an anomaly, right? Just tell me a little bit more about that. Because I'm not sure I fully understand, like, one, the geology of it, but two, like-- that's materials for your economics, right? That's not-- Absolutely. Yeah. It will be material. I mean, we estimate 15 to 20% of the insitio value is actually in tin. Incredibly rare in the belt, in general. The only other one that significance is Nevis Corvo on the Portuguese side of the belt. So that was actually Europe's biggest tin mine, at some point, in the past when the ins operated it. Now it's believed in the past that project. So this is a unique deposit in that way, and that the metallurgy is incredibly clean and low in pyrite. And the tin is an indicator that it was a hotter system, which is partly part of the reason is it never really broke the surface of the ocean. Therefore, it's an intrusive system. And because it was hot, it didn't get those same arsenic and mercury issues, bismuth, other contaminants that will cause you costs for treatment charges when you take it to the smelter. In fact, this deposit-- anything that comes out of this deposit can be processed 70 kilometers away at the wellness smelter, which is a free-port smelter. Most of the other projects that are operating right now in the Iberium Hyrule have to ship either to Africa or to China to get processed. And so not only do they have that extra cost of shipping, but they also have to then pay treatment charges once you get some-- >> Sure. >> Yeah, so it's a double whammy. And again, as an investor, you don't see any of that. But as a company operating, the investors will benefit from a clean or like this. >> Yeah, absolutely. Okay, so let's talk about the 2026. As you mentioned, I think 36 million times the goal-- you guys have always been very clear about that 100 million mark. >> Yeah, but there's a big gap there between 36 and 100, right? >> Sure. >> So how do you do that? How do you bridge that? Is that as Cassena South, like carrying that heavy lifting? Is it other targets, like Kenyatta Honda, like walk us through the drilling for this year and just kind of how you guys are-- you're going to get there? >> Well, we've taken a really conservative approach, as you, I think alluded to earlier, about putting out a resource that's a really high quality resource. And partly, I think it's because most of the team are X, Ria, Tinto, and so they're very, very methodical in their approach, but the data that we produce was very high quality. So when we talk about 36 million tons, which is with everything with the infertile as well, that's really at a 0.2% cutoff. Every operating line in the area uses about 0.15 or 0.12. If you look at it as a 0.15 cutoff, we're actually closer to 50 million tons. So we're happily to the goal right out of the gate with the first resource. So I think that really is something where there's actual value there that you can recognize when you look at it as an investor, and which, for example, one of the larger companies would look at it the same way. And that's why our property now is completely staked around by four large operators. So they all know that this is a juicy piece in the middle, and if we find another discovery, I think it'll be sort of game on when it comes to that. But what we're doing this year to find other discoveries is we're looking at the Alposo target, which is 1.6 kilometer long target. It's, we've got the geochemistry, we've got IP on it, we've got electromagnetic, and we just better release on that last week that shows you how we're targeting that. There was Alposo actually means shaft or well. And so it's really an old mine shaft that was there from previous mining. So that indicates that there was copper at surface at one point in time. So that's a really good indicator of, we're going to drill in this area first. And then we've got other targets at Cortillo. And then as I said, the Eskisinosau, the Carmen and Trindau will be our first targets when we get on to that later this year. OK. And so what I guess from a numbers perspective, either on spend or just meters, what does this campaign kind of look like? And is it enough? It's probably not the right question. But what would success look like in terms of this kind of drill campaign? Success is going to be obviously a decent hit. VMS deposits are interesting in that. If you get sort of 1%, 20 meters, that's >> Thank you. >> Thank you. All of our holes are sort of 200 to 300 meters, so they're all near surface. We're obviously looking for more open, credible material. The fact that Carmen Trinidad and we have this quite a big area that's all at surface, that's a really good indicator that we can find another deposit near surface. That's about its perspective as it gets. There's another area just to the south of La Romana, where we've got a three kilometer area, where there's been copper samples that were taken by Exxon in the early 1980s. They were just testing the depth of the cover. So they were just going and they were hitting copper 10 to 30 meters below the surface. And so that's without targeting. That was just randomly testing the copper. So in our case, I think there's a very good chance that we're going to be able to very quickly with muffle hits. Because you've already got an existing deposit, the fact that that VNMest deposits tend to go on clusters will lead people to kind of connect the dots and realize, oh wait, this is going to be a hundred billion times stand-alone operation. Okay, and then just to get you on the record. So what's the numbers in terms of the spender, the meters you guys are envisioning here? Yeah, we're looking at, we're going to be doing 10,000 meters between the two projects, but with the bulk of it, it's going to be happy in us, you see that. So I would say, is there 80% of that it's going to be on us, you see that at this point? Okay, yeah, and then let's shift up north, right? Let's tell us about Carmenas, because it's quite different. It's really, it's a different part of the Spain goal. Right, you mentioned the discovery there, I guess just unpacked that. And like, how does that fit into, I guess, your story in terms of like, do you get questions about like, are you guys a copper company or a gold company? Is it just, you know, what we have it and we'll drill it and we'll see what happens. Kind of thing. We know, it's a fair comment, because obviously we were very focused on copper here, but we also got 10. And so what happened up north at Carmenas is there had been mining merit up until the 1930s in the in the old lines that we acquired with the property. We tested the evidence here, the first target in that mine. And it was, it was through soil sampling from our geo team as we were preparing for that, that we discovered a goal. And that's why I say it was, it was completely out of the blue, it wasn't the original target. We knew it was polymetallic, because we knew they produced a copper, cobalt and nickel out of that mine. So we knew that we had a polymetallic, mostly basemetals, but the other thing that's really interesting is there's also platinum and palladium in there as well. And it's really just a rich sort of typical breccia type pipe that we've got. What I think is great this year is we're going to actually be looking at an IB target that's just below the old mine that looks particularly strong. So we're going to be testing that at Carmanus this year, as well as we're already preparing the first drill area to start drilling there, hopefully within the next month. And that'll be, that'll be looking at still the bullet targets. We found some other areas and some more news to come out of that. That's very interesting. So I'm looking forward to telling you about that later. Okay, great. Well, we'll look for that. I just have two more. I want to ask you about kind of the treasury, but also the warrants, because you guys have a lot of warrants outstanding, I think, right kind of in different levels. I mean, you guys are training around, I think, depending on the week, $1,516 Canadian, a number of warrants coming in, I think in May, can you kind of just tell us how you guys are sitting on cash right now, or what you're expecting or how you're thinking about the warrants? Well, we're definitely in a good position for this year for budget for cash. So while the warrants being exercised is something that we want to happen, I think if it doesn't happen, it's not going to affect the program for the year. We had a strategic investor actually come in in January. That really is a big driver. We had a fundraiser in the fall. That helped us get well into the year, and with the extra funds that came in in January, we're well funded for this year. We had about 32 million warrants that come up, and they're not a wrap where we're training at right now. So the larger holders may exercise those because they can get increased their size of their position. And then others, if it gets shared pricing is higher, then we're going to see some more of those exercise which will really just help the treasury more. And you're not looking at any real change from what we had with the strategic investor. We didn't have any warrants or anything associated with that. So it's a small dilution for a big gain in what you could do for meters drilled this year. Yeah, okay, thanks for the last one. I guess you release the MRE, right? Are you going to PEA or are you going to drill to, are you going to PEA the cluster? Like how should people think about like, does the PEA come after the cluster of minds? And that 100 number? Or how are you guys thinking about that in terms of just like? I think from our side of things, you know, PEA is, I'm not sure how much stock a lot of people put into them. I mean, they're interesting. You get some of the economics around it. I think people who realize how good the mineralogy is and we put a lot of information out there about the mineralogy, they understand that this will be a very robust economic project with a pretty quick payback. But I think the way to really look at it is that if we had another deposit that has the potential over, so essentially grow this to 100 million times because if it's similar size to what La Romana is, we'll probably just go straight to free fees ability at that point. It'd be permitting in Spain is extraordinarily quick. It has been for decades. Usually it's within 27 months of your original application. You get your final permit. Obviously you have to be able to construct and everything else after that. There's time for construction, but it's conceivable if you were just starting today with La Romana. If we were applying today, we would be in production by 2030. So that's really quick compared to most places in the world. Yeah, okay. Well listen Jason, thanks for giving us a color around that. I really appreciate it. It's an interesting set of projects. I wish you guys success the rest of the year. That's great. Really good to talk to you. The information presented should not be considered investment advice, mining stock daily and affiliates are not responsible for any loss arising from any investment decision and connection with the material presented herein. 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