we're trying to find a way to supply these critical minerals minerals to an industry that doesn't it's really exist and so that's why we're focused on lithium and nickel [Music] hello and welcome to CEO insights I'm Marilyn De Guzman with investing News Network I'm speaking with Deepak varshney CEO of sander resources about his company's lithium strategy and his take on the critical metal supply chain hi Deepak hey good to meet you good to meet you so let's start off with


an overview of your company standard resources including your current exploration activities Xander is a company with a foothold in three different camps right so we're both base and precious metals um our Focus right now is on the nickel project uh we're drilling actually right by Canada nickel company in Timmins so we've got a very large claim block there but we also have two projects in Quebec both in prolific camps right in DeTour in the north and in Baldor in the South right and so Xander's story really is


area code you know zip code ZIP code ZIP code um we're well funded so we're just wrapping up the uh program in Timmins and now we're going to be proceeding with a drill program coming up this summer in Baldor right so you recently shared news about a strategy to explore lithium opportunities could you talk a bit more about that and what is the driver for this yeah I mean so you know I think that in this market right now what we're seeing is that companies are focused on critical metals are really being able to


drive Trail the value right I think that uh one of the biggest things we have in our company going for it is our nickel asset in Timmins right um you know I think that this is something that's on tip of everyone's tongue uh for us you know I've been able to find different assets which I think are priced fairly human negotiating them and I think what it does is really builds out our critical Metals portfolio to make us more attractive as an investment you know we're already in Quebec right I think a big challenge for


a lot of these companies is that they are entering a space and not familiar with but for us already operating in Quebec in Ontario this is something we're comfortable with and I think it's a fit for our portfolio right so you talk about critical Metal Supply um I want to get your opinion and your views on sort of the whole supply chain um you know creating a domestic supply chain in North America in your view is there enough market dynamics incent or incentives to truly develop a stable


domestic supply of critical minerals in North America yeah I mean I think it's something that everyone's waking up to now right even just uh yesterday I believe they added Brian to uh what considered you know qualifies for flow through right and it just shows that the government is acting um swiftly to help meet that Demand right right now there's only one operating mine in the lithium space that's in Nevada right we've got the tanko mine the very small mine in Manitoba you know there's there's just


isn't a supply of lithium available and same thing goes for nickel right I think nickel people often overlooked that we had a big spike earlier this year and it was you know the short squeeze for a reason right there it's the same issues right we're trying to find a way to supply these critical materials uh minerals to uh an industry that doesn't really exist and so that's why we're focused on lithium and nickel um the government's here to support us in Ontario they had the ojep program where


they put up uh you know 200 000 per project um support uh exploration for critical males right um with the critical Metals uh flow through tax credit right so I think the incentives are there to be um work in this sector and I think government's gonna keep working on it and keep supporting us because end of the day um you know with the geopol geopolitical issues going on in the world you know we we got to have our own Supply to make sure that we we can meet our own needs and that's where we're all going towards


right are there still in your view some gaps so you've mentioned there's support governments increasing support uh to increase critical uh Metal Supply do you still see some gaps that need to be addressed to sort of you know get fully on board in in this I I yeah I mean I I would say I think one of the big challenges still today is permitting right um you know the they're really helping out with the funding side of things right um making it easier for juniors you know I mean we're talking about companies


that are size right we have three and a half million market cap but we have access to these funds and um but I think permitting is something where we're hoping they will help right and help because the end of the day we have a lot of these projects that are getting close to development but they're not there yet and they're different hold ups and so I think as you see governments step in and help these projects move towards real production that'll be something with a big Catalyst


overall for the industry right so Center resources you're an Explorer and you know in in terms of your role what do you see the Explorer's role in this race to decarbonization and what challenges are you still experiencing as an Explorer exploration company yeah I mean I you know I where I see we fit in is that we're gonna get gobbled up right um I think you know my my strategy here with Xander my strategy with Xander has always been let's go find projects near Majors right I think


um there's a whole different skill set involved in developing mine than there is in finding a mine right so you know what we're hoping to accomplish I mean Timmins is a great example of this right um we've got a very strategic plan package right next to what's going to be a world-class company and deposit with Canada nickel right and our goal here is to just drill it out kind of be their farm team develop the project to a stage where it's attractive to them and then they'll want to take it off from us


right and I think that's the in my mind that's the best strategy for the companies that are you know at our level right um you know obviously um we all want to grow the company to a billion dollars but I think that to my mind you know the way to deliver shareholder value is find assets developing to a stage because there's a big lull also an exploration side that comes in like once you find something and you start developing it it takes time it's not something that happens quickly right and I think end of the day


let these guys take over take this and let us be you know we contribute to the decarbonation decarbonization that way right we'll find the next mine for them to go develop mm-hmm so in addition to where you are right now and as you mentioned in timbinson and Quebec are you exploring or you know you know considering other areas in Canada or North America where you see there's opportunities yeah for sure right so and that's part of the lifting strategy right we want to be I think Ontario and Quebec are very much


burgeoning centers of lithium development in the worldwide right um you know we're hoping to land a project in James Bay we've had our eyes on I've been negotiating with these guys um and I think that that's going to be something where we can contribute um Ontario's the same way right uh there are a number of world-class projects in Ontario and we're you know we're trying to find assets that are priced well that we can then um take on and join that story right so what does 2023 look like for


the company lots of drilling right uh you know we will have drilled off Justin Timmins here 3 700 meters and change um we we have 650 000 and flow through or 628 000 sorry and flow through for Quebec um that we have to spend on our goal you know primarily in our gold asset but uh you know and then we're requiring more projects I hope to drill this year too right so uh you know drill drill drill right so if you're talking to a an investor right now why should they be looking at sender research


you know I think that you know yeah the valuation here you know when you look at the value proposition you know we try to mark up three and a half million dollars while we still have working capital over 1.2 million right so um we've got a very healthy balance sheet we've got three projects that are being drilled or have been drilled right with assays pending assay is coming you know there's a lot of um I think there's a lot of potential here right and so when I look at our company I see you know I look at it I


say you know not say lottery tickets but I see you at three shots here at um a discovery right and that's really what you're hoping to do and you know when you put it all together like I said in a three and a half million dollar market cap you know there's a I think there's a lot of upside to come that's great very well put well thank you for joining us today and coming on board to share your company news and your insights on the market I appreciate it thank you take care and thanks everyone for watching join us


again next time for another engaging conversation on CEO insights [Music] foreign