Sable Resources Launches a New Copper-Gold Drill Campaign in Argentina

0:15Welcome back into Mining Stock Daily. Ian Wagner here with a corporate introduction to SABRE resources. Sabre is a copper and gold explorer with a number of projects in San Juan, Argentina, as well as British Columbia. They host a market cap of about$16 million US. They trade on the TSX venture with the symbol SAE and on the OTCQB with the symbol SBLRF. And today we're going to get into the company's portfolio, recent share consolidation, newly commenced drill program at Soro, the Moxico-funded push at El Fiero and Cerro Negro. And with us today to talk about these projects and overall corporate strategy is the president and CEO, Dr.

1:01Ruben Padilla. Ruben, good to see you. Welcome to the podcast. I believe it's your first time.

1:08Dr. Ruben Padilla: Hi, Ian. Yes, it's the first time, and thank you for the opportunity. It's nice to be here. Yeah, absolutely. Let's jump right in. And why don't you talk first kind of about Now, what Sable is in terms of what's your vision for this company? And then maybe outline some of the key projects and how you guys are approaching them. Sable is a greenfield exploration company. And we focus on the discovery of large copper gold projects in well-endowed jurisdictions, mining-friendly jurisdictions of the Andes and in some parts of North America. and I'm emphasizing the green field side because with the green field for the listener is basically we look beyond the non-mines or deposit.

2:02Dr. Ruben Padilla: We look for new places. It's important because this is the early cycle of exploration. It's risky because we go to new places, but also the opportunity lies to have a big differential We have a good discovery. We are, like you mentioned, strongly focused in San Juan, Argentina for a few years now with a good portfolio of projects. We have a couple of good projects in Canada. And we, Sable is a company that, you know, like many explorers, we do an early stage. We need to be the capital discipline because we need to spend the money where we have to spend. And no, we just drill a hole for drilling drill holes is we need to manage the capital to be efficient and to have discipline, systematic exploration to pick the right projects and do the right work.

2:59One of the things that happens with a lot of companies that do have either large land packages or a lot of targets, it does become difficult to kind of allocate resources. And I think that's a good segue into how your strategy is with Soro and some of your joint ventures. So, you know, talking about staying in San Juan, you know, you have you have sort of which is self-funded and new. And so maybe we'll talk about that here shortly. But the difference between that and say El Fiero, which has a Mexico resources earn in, you know, multiple years of drilling and then Cerro Negro also with Mexico.

3:38Just talk about how you guys, you know, how you allocate resources because they can't all get attention or maybe you maybe you give some a little bit of attention and just kind of how you how you think you can add value there.

3:53Dr. Ruben Padilla: The way that we do it is always go through the simple process that we need to identify an exploration opportunity in a greenfield in the greenfield away from the non-mines. we need to acquire that. Once we do that, always with 100 % save of money, we also do the first stage exploration. We do all the, we call target definition. We define that if there is a target there to drill or there is not a target to drill. And we do all the work that we call systematic work that can involve a lot of work like mapping, sampling, geophysics. Sometimes, no. Sometimes the target is easy. You just, okay, let's go and drill.

4:34Dr. Ruben Padilla: But we do this systematic to take the decision. It's ready to drill. It's worth it. Most of the time, we do the first drilling in the project with our money. And what happened with projects, especially these large seasonal projects in the high Andes, very large and normally concealed targets. They are not really outcropping. The small evidence that we find, they turn complex through time. but more interesting because every data that we produce creates interest, but complex and expensive. And sometimes in those projects, we look for a partner, like in Moxico in this case, Moxico, and we advance the project in that way.

5:17Dr. Ruben Padilla: And so that's the case. In other cases, like you say, later on, we talk about Zorro, early stage, we are going to do the first drilling. and you know but the project after our first drilling looked that we are in the right place and we we can continue doing 100 financing by Sable but partners always a good option to advance the large portfolio project that we have yeah and some of that's dependent right on the on the cost involved with some of that drilling or just or or access right you know you talked we talked briefly offline just about wanting to be able to develop projects and advance them year round, right?

5:55So let's talk about El Fiero, just because we haven't even really delineated kind of what that is. That is in San Juan. You know, that has three years of drilling on it. It's 120 kilometers south of Acuna. So what are you looking for there? And what did Mexico see that, you know, they wanted to get involved with this?

6:19Dr. Ruben Padilla: This is one of the classic things that companies, greenfield good explorers, can do. Fierro, in terms of this porphyry copper gold molly deposit, mineral system, that is located, like you say, 120 km south of Vicuna. It was, we can say, the most recent discovery of porphyry system in San Juan. Everything else that you know in San Juan was discovered many years before. And San Juan, Sierra is only a few years, two or three years ago that we discovered that. So that's a technical success, to get and discover a new porphyry system. Now, what it is, it's a very large, like a four kilometers by two and a half kilometer wide porphyry system, mostly concealed by soils and very few outcrops.

7:17Dr. Ruben Padilla: good geophysics, good soil geochemistry. We did the first round of drilling. We identified, okay, the porphyry is here the right edge. Important the edge in that part of the world, 20 million years old. And through time we said, okay, here is the porphyry, but we have two kilometers to go to the north, another two kilometers to go to the south. We need to go deep drilling deeper. So we have found in Fierro that we are finding interesting breaches with good grade, copper, gold, and molly grade. And we have a couple of kilometers to follow to the south. It's what we're going to do now in the next season that we'll start dealing in January next year.

8:04Dr. Ruben Padilla: New porphyry system with the chance to be a multi-million tons deposit in the Andes. Okay. Yeah, I'm just looking at kind of some of your presentation here. 2022 Looks like it was 14 holes, 5 ,000 meters, some drilling last year, another 15 holes and around 5 ,000 meters. So just talk about what's the breakdown then of what Moxico can, what they need to fund or are going to fund and what they get out of this, JV, and kind of how you see that developing. Moxico can fund up to completing feasibility study for 70%. So it's a very good thing for a junior like us in a big project like this. We basically don't have to put money until a discovery is done and the feasibility is complete.

8:56Dr. Ruben Padilla: And it's very good for a company like us. You know that thing. It's a billion-tons deposit in a porphyry system. 30 % is a lot of value. For a company like us, like you mentioned, it's$15,$60 million now. If we can have 30 % of a multi-million, a billion ton porphyry system, it's going to be a big value addition for us. So we can keep doing all this work while Mochico take all the cost of doing that. Okay. And they're going to start drilling there in January? And actually, so are they drilling that, or are they funding your drilling? You guys are the operator there. We are the operators, and by the way, we get paid between 8 % and 10 % management fees also during all the work that we do.

9:50Dr. Ruben Padilla: And yeah, the plan is to start drilling in January next year. And in the meantime, we are going to do a large MT, Magneto Telluricus Survey, probably starting in November. And also we are going to do more field work because the property is big, like 60 ,000 hectares. And we haven't done any work in the southwestern part of the property that has a great magnetic anomaly. So we're going to do work during the summer that's starting October and we will be drilling in January. I guess switching gears a little bit to press release you guys put out today, commencing the drill program at Soro, your 100 % owned, pretty newly discovered project, right?

10:41I was reading that really that you guys staked that in just December of 2025. So eight, nine months ago, right? And then did some surface work, sampling, IP work. Talk about what that is and what the drill campaign starting today or within the last couple of days or this week is. What are you guys drilling first?

11:06Dr. Ruben Padilla: Zorro is a project that is located in a completely different type of setting. It's also along the

11:20Dr. Ruben Padilla: 5 to 10 kilometers north of the discovery of South 32 with Mint Sud. It's lower elevation, 2 ,800 to 3 ,000 meters. We can work all year around there. We identified the project, you're right, in December last year, and the project moved very fast from a concept to a drill project that is now, we started the drilling yesterday, and really, really fast. It's just talking very good about the quality of the project and also the good jurisdiction that San Juan is for permitting, because we got all these permits relatively quickly. So we started there with one target that was called Soro copper. They identified at the beginning.

12:05Dr. Ruben Padilla: It's basically corridors, wide corridors, multiple corridors with good copper gray on the surface, 0.3 to 3-something percent copper. Very good dry on surface. Never explored or drilled in the past. But the good surprise for us is that we went and started mapping the thing and just outcropping and finding five corridors, wide corridors with this mineralization. And we are drilling, that's the first drill hole that we are drilling right now. But the surprise came also with the property. You can start noticing with the property it's really behaving very well when you start doing more reconnaissance and finding more and more targets.

12:45Dr. Ruben Padilla: We moved a little bit to the north, and we found what we called Zorro North. Also, it's a place now with two kilometers by one kilometer copper anomaly, soil anomaly. You're going to be drilled after Zorro copper. We also found some brechas, hydrothermal brechas that we need to test right to the south of Zorro North. And we run some IP lines to do the recognizing IP line. And for our surprise, we found a really large IP anomaly, you know, very strong IP anomaly on the east side of the big magnetic anomaly that characterized this property. So anyway, I think it's good to see when you have a project that is behaving the way that we want.

13:32Dr. Ruben Padilla: We like to have projects that have district scale, multi-targets, because this is what it can give you to have what we really want is to find no deposit by the district. So you have multiple targets in the area to give you more chances of discovery. And then Fierro in a very short time, they have the right thing, has a big magnetic anomaly that is related to a big intrusive center. Important to in the Andes to be related to magmas. Multiple copper anomalies that are worth all to be drilled. IP anomalies. in a great, great logistic area, you know, where we can be drilling for lower cost. And if we have success, it's a project that can go for, we can be drilling all year around.

14:20Yeah, you noticed, you noted that it was kind of a lower elevation, right? About 2 ,000 feet or 2 ,000 meters?

14:27Dr. Ruben Padilla: 2 ,000 meters, 2 ,500, 800 meters. That's a very good thing in the Andes, you know, you can, it's a good elevation. Yeah, absolutely. So just in terms of nuts and bolts, like of this drill campaign, what do you, so you're starting, you're starting with Zorto Copper, right? And then you'll move up to North. How many, how many drill holes, how many meters, what are you, and are you looking, what kind of depths are you looking at? Like all these multi-targets projects, normally the common rule in this thing is that we always want to drill between 1 ,000 to 1 ,500 meters first test in each target.

15:09Dr. Ruben Padilla: So that's a rule you can follow for every explorer normally to do this kind of thing. And then you go, we're planning 2 ,500 meters in this moment, probably 1 ,000, 1 ,000 Zorro Norte and Zorro Copper, and a couple of holes just to test the nature of the IP anomaly. because I don't want to get too crazy with that P anomalies. It's better to put a couple of holes to see what is really producing that. Is it really a sulfide system or is it a lithological anomaly? So that's the plan, to do those 2 ,500 meters to start. But I need to mention, Ian, that at the same time, we are advancing another thing, the breaches, preparing the breaches for drilling because they have to be drilled.

15:56Dr. Ruben Padilla: We also identified a new anomaly in the last soil sampling we call soro gold that we're also doing more work. Maybe it will be worth it to put some holes. So 2 ,500 meters to start, a couple of months of drilling. And I will say that it's very likely that we will have to drill breaches at least before this. And depending on the results, we just keep going for a little while to drill a few more holes. Yeah, so you could be drilling there just at Zorro for the next four to six months, really, just based on how you move in order from breccia to veins to north to gold from copper, right? Yeah, and we get the time to get results back and evaluate them and decide if the project is worth it.

16:47Dr. Ruben Padilla: And it's worth it that more drilling, what is the most efficient way to do the next round of drilling? Okay. So that's exciting. Do you want to talk about kind of what you're looking for in BC, what the nature of those targets, if they're JVs versus 100 % owned, and just kind of what the current status of those targets are? Yeah, we have two projects, basically. There is copper. We call copper Queens. It's west of Williams Lake. It's with the same mineral belt with Ike. The porphyry Ike is located. Great H, that one is maybe under-recognized the potential of all the mineral bale. Now they are what we call Laramide in Arizona.

17:31Dr. Ruben Padilla: It's a very productive H of porphyry systems. And we have between that property, that property called Copper Queens and Copper Prince is more closer to Copper Mountain in the South. We have around 20 ,000 hectares. We own a hundred percent of land. take their land like three years ago. We did like typical work that we do, early work. We have more properties at the beginning, but we end up with these two properties because like a good exploration, you need to go over a lot of property before you pick the two that really look good. So Copper Queens, the one that I mentioned more west of Williams Lake, That one has a target defined, you know, like a three-target drill ready.

18:25Dr. Ruben Padilla: Copper, good copper brechas, there to be drilled. Another target also more porphyry related. We had a drill permit. We had a community permit. So we are ready to go at any time that we want to start drilling. In the case of Copper Prince, it's the one close to Copper Mountain and next to Kodiak. just east of Kodiak, really, next to the east of Neighborhood Kodiak. Really also good technical support for the target. It's ready to drill from the technical point of view, but we are working on the permitting process in this moment that normally takes another nine months to get it. What is the plan with those projects?

19:05Dr. Ruben Padilla: In this moment, we're going to be concentrating on one. If there is, I have some conversation going with some companies about finding a partner to do the exploration on those two projects. And that maybe is what's going to happen. But if that doesn't happen, maybe next season, not this season, the following summer season, if I don't have the right partner, we probably go and do the first round of dealing with our cash. Okay. So kind of ongoing conversations, drill this year, San Juan, and then kind of revisit while you're doing some of the background permit work there as well. Yeah. Yeah. So let's switch over to some corporate side.

19:42So, you know, one of the things that struck me, I mean, was your guys' valuation right now. And, you know, you're essentially trading just cash is essentially kind of the value of where you guys are trading and not getting a lot of love for really the land packages, the targets that you guys have. I wonder if you want to talk about that and also kind of you just did a share consolidation. Talk about that and if you think that will open you guys up to a different class of investor, just more investors, kind of what's the corporate strategy there?

20:18Dr. Ruben Padilla: In terms of the valuation, yeah, you are right. We have over$13.5 million in the bank, 13, one, three in the bank in this moment. and the value of the company today, I think it's like a$15 million Canadian. One five. Right there. We have a portfolio of projects that for sure has a lot more value than that. And there is a great opportunity really for investors to cash a company that is very undervalued. We will keep, I will keep doing that. We will keep working on the technical side to have success, to come really with a solid mineral system that show the company has a sustainable value in a good mineral system that is proved with drill holes.

21:12Dr. Ruben Padilla: And that has a good chance to really re-buy the company. And fortunately, we don't have to raise money. We don't have to dilute. We haven't diluted any shareholder for years now. We have one of the important things that I have in my head as a corporate strategy is capital discipline. We really keep our money. We pick the right project. We don't overdrill. We drill the right numbers of drill holes. We partner where we need to partner. And we decide to do the rollback in this moment because, you know, the company, when Sable started, it was a company that already has a bunch of shares. It was not the right way to start.

21:57Dr. Ruben Padilla: We had a whole bunch of shares. And through the time that I've been the CEO since 2020, we haven't really put too many shares in the market. But we already were at 320 million shares. And having this market valuation solo and the capital that we have, the cash that we have, the project that we have coming, it just makes sense in this moment to do the rollback. we will stay probably in the worst case scenario at the$15 million valuation for a little while until people start recognizing that we are undervalued or that all the drill holes show that we have something really good in Soro now and now we are back with the company steady 2 million shares with the kind of project that we have with a mature portfolio of projects high quality people doing this work a strong investor support.

22:54Dr. Ruben Padilla: And like you say, now we have probably this kind of valuation of 50, 60 cents or probably soon to$1. We have all kinds of investors that can now get pay attention to Sable. And so you can see probably what happened is that we have been maturing as a company from being a high-end seasonal projects only to have projects that are high quality in this environment, Sierra, Don Julio, the Canadian assets that are also seasonable. We get good partners to do the more complex seasonal job. We bring projects like Zorro with five targets now ready to drill. And we probably bring more of that, a lot of elevation.

23:39Dr. Ruben Padilla: We're doing a lot of work on that respect. So the company, I'm sure to this moment, I think it's a moment for us to start having meetings, interviews like the interview with you, Ian, to create awareness. Really, we are not raising money. We are not looking to be financing the short, but it's awareness. Like if people start saying, okay, Sable exists, then it'd be maybe a good place to put some money, to see the company, to play for a possible success. Yeah, one of those people who has put some money into the company and does have a presence, right, is Osisko. And certainly a name that is probably very well known to this audience.

24:17You know, talk about how they came on board, what their presence is, and what did they see in you that maybe someone who's listening to this for the first time that isn't familiar with Sable, you know, what's Osisco seeing that maybe someone else should see too?

24:34Dr. Ruben Padilla: Yeah, Osisco Royalty is our closer and stronger really supporter in terms of capital and as a partner. Mochico has been coming lately to help us. And we also have Franklin Templeton and Merck behind us. Really good groups. But Mochico has been, Osisco Royals has been the one in the back believing us, having confidence that we are the right group of people to find our deposits. Because I would say at the beginning, it was more investing in people. Investing in us. They like the experience that we have, the record that we have for discovery. And they put the money right away at the beginning when we started this thing.

25:20Dr. Ruben Padilla: Now it's possible royalties in future discoveries. And that helped us to really go there and form the company that we have today. That is a more mature portfolio project without too much dilution. And I would say that they put their money in people. And I feel confident now that we are moving in the right directions. And they will say one day that this was a great investment. If you're an investor looking at Sable, sort of why you guys, why now, and maybe what are they getting? What is someone who invests in Sable, what are they getting? I think we could process three or four things. One is going back to the idea that we are greenfield explorers that are the earliest stage in the exploration cycle, where companies that have success there, it can have a great, great value differential from$50 million to$200 million.

26:20Dr. Ruben Padilla: That's a huge differential. It doesn't take too much really to do it. The second one is that we have projects on different stages. One financed completely by Moxico that is moving with previous good results. So next year can be the year of Fierro. We have Zorro with three up to five targets in this moment that can be the one that produced the results within the next three or four months. we have the money to do the work like I say Fierro 100 % finance and in the case of Zorro this first round of drilling is going to cost us no more than 1.4 million Canadians so we have 13.5 % in the bank so we finished drilling we still have good money in the bank to keep going to follow up on good results or in the case that something goes wrong to go to the next project and we have another chance to keep going.

27:31So it's a company that offers opportunities

27:36Dr. Ruben Padilla: to get success and has the money and the right people to do it in the right places. We will look to catch up with you, Ruben, again as the fall drill campaign kind of goes on. And I think that's a great kind of primer on Sable. And if people want to know more, talk to you, how do they find out? Where do they go? What do they do? They go to my email directly as

28:06Dr. Ruben Padilla: ruben.parillasableresources.com and they can go straight to my phone. If I have WhatsApp or directly on my phone, my phone is 520. 488 2520. I'm happy to talk to anybody who wants to know more about Sable. Well, that's great. Thanks, Ruben. I really appreciate you coming on today to give everybody an overview of Sable and what you guys are doing. Okay. Thank you very much, Ian. See you next time. Next time. That is Dr. Ruben Padilla, CEO and President of Sable Resources. They trade on the TSX Venture under the symbol SAE and on the OTCQB with the symbol SBLRF.

28:52The information presented should not be considered investment advice. Mining Stock Daily and its affiliates are not responsible for any loss arising from any investment decision in connection with the material presented herein. Please do your own research or speak with a licensed financial representative before making any investment.

29:13Thank you.