Copper Jr. Uses AI Co. To Eye New Targets

Infinitum Copper Corp. (INFI:TSX) said the operator of its Hot Breccia project in Arizona has engaged a company that uses artificial intelligence (AI) to optimize drill planning.

Operator Prismo Metals Inc. is working with ExploreTech Inc. from California to apply its xFlare system to the site.

"The xFlare AI approach is specifically designed to combine surface geology and drilling results with computationally intensive remodeling of existing geophysical datasets to optimize targeting of covered targets," Infinitum said in a release.

The process generates thousands of solutions from the geological and geophysical data and then notes drill hole trajectories designed to cut those clusters most effectively.

The project has the right elements for significant porphyry copper and skarn mineralization, ExploreTech's founder and Chief Executive Officer Alex Miltenberger said.

"The Hot Breccia ZTEM (Z-Axis Tipper Electromagnetic) anomaly is very strong, and xFlare was designed precisely to refine these kinds of data to match what is known of the geology and the target model," he said.

After a funding last year, the company's stock stayed sideways but was "free to advance soon" as the "technical setup remains strongly bullish," Technical Analyst Clive Maund wrote in April 2023.

ExploreTech notes on its website that its founders, Ph.D. geoscientists, spent ten years developing the technology, which has been "applied successfully by some of the largest mining companies in the world."

"Assessing drill targets in greenfield or brownfield exploration is a big investment," the company noted in its brochure for xFlare.

"You collect data, hire experts to analyze it, and then decide how to prioritize the target. What if this took only a few days instead of weeks or months?"

The Catalyst: New Conductive Zone Identified

Infinitum said the ZTEM survey showed "a large conductive body at depth below the surface exposure of a large dike swarm that hosts the namesake breccias. Anomalous copper and gold assays are locally present at the surface in this area, … and high-grade copper and zinc assays are present above this anomaly in historic drill holes completed by major copper producers in the 1970s and early 1980s."

Historic drill holes intersected hydrothermal alteration within the volcanic rocks that overlie the Paleozoic carbonate rocks with increasing alteration intensity downwards, the company said, but no historic drilling targeted this newly identified conductive zone identified in the ZTEM survey.

"The carbonate host units above the anomaly have several copper intercepts reported to exceed 1% copper and elevated zinc levels," Infinitum noted.

The survey "identified a very attractive, large, drill target in a highly complex area of the project, Infinitum President and Chief Executive Officer Matt Hudson has said. "This is especially exciting for Infinitum because of the highly significant deposits that have been found along this historic copper belt."

After a funding last year, the company's stock stayed sideways but was "free to advance soon" as the "technical setup remains strongly bullish," Technical Analyst Clive Maund wrote in April 2023.

"We therefore stay long, and Infinitum Copper continues to be rated a Strong Speculative Buy," Maund wrote.

Growth in Electronics Pushing Need

Electric vehicles (EVs), their charging infrastructure, solar panels, wind, and batteries all require much more copper than fossil fuel-based technology. EVs use more than three times as much copper as gas-burning cars.

According to Acumen Research and Consulting, the global copper market was worth US$304.1 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 5.1% from 2023 to 2032 to US$496.8 billion.

"The increasing demand for copper could be met through developments in mining technology, well-organized designs for ore processing, and the discovery of new copper reserves," Acumen's report noted. "According to the United States Geological Survey (USGS), international copper reserves rose by approximately 720 million tons in 2017, and undiscovered copper reserves are estimated to be approximately 3,500 million tons."

The world's largest copper companies are expanding their mines or looking for new deposits.

"We gotta find more copper," newsletter writer Rick Mills wrote.

New copper production — and investment in exploration — will be needed to fuel the supply of those vehicles in the long term, analysts have said.

"Some of the major factors driving the growth of this market include the upgrading of living standards and the growing purchasing power of people, especially in developing economies. This will propel the copper market," Acumen's report said. "The incredible growth in the number of electronic gadgets such as laptops, cell phones, smart devices, and television sets across the globe is increasing the demand for the product."

Co. Applies for Permit at Mexico Project

Infinitum recently announced it had also applied for a mining permit from the environmental authority in Mexico for its La Adelita project.

A Mining Impact Assessment (MIA) has been completed and submitted to the Secretaria de Medio Ambiente y Recursos Naturales (SEMARNAT), the department responsible for issuing the project's permits.

"We are very pleased with the results of the metallurgical test work" at La Adelita, Hudson said. "With these results in hand, we will look to find an offtake partner among the many operating mines in the surrounding area."

Infinitum recently reported the results of six drill holes from the project and that it had earned 80% of La Adelita from Minaurum Gold Inc.

The terms of the earn-in agreement for the project with Minaurum stated that Infinitum must make a CA$3 million expenditure on the project, which the company met by spending CA$3,042,090.

Ownership and Share Structure

Refinitiv provided a breakdown of the company's ownership and share structure, where management and insiders own approximately 12.07% of the company.

Refinitiv reports that Chairman Stephen Blake Robertson owns 3.98% of the company with 2.93 million shares, Director Ivan Chan Po Kwong owns 2.72% of the company with 2.00 million shares, Director Michael Andrew James Wood owns 2.38% of the company with 1.75 million shares, Director Marco Ivan Baptista Roque owns 1.97% of the company with 1.45 million shares, Director Mahendra Naik owns 0.57% of the company with 0.42 million shares, Director Garrick Allen Mendham owns 0.44% of the company with 0.33 million shares, and Director Melinda Hsu owns 0.01% of the company with 0.01 million shares.

Refinitiv reports no institutional investors.

According to Refinitiv, there are 73.59 million shares outstanding with 64.71 million shares outstanding, while the company has a market cap of CA$1.47 million and trades in a 52-week range of CA$0.01 and CA$0.08.

Important Disclosures:

1. Infinitum Copper Corp. has a consulting relationship with an affiliate of Streetwise Reports, and pays a monthly consulting fee between US$8,000 and US$20,000.
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Infinitum Copper Corp.
3. Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
4.  This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company. 

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