welcome to CEO insights I'm Marilyn De Guzman with Inn I'm speaking with Robin da chairman and CEO of Nevada organic phosphate hi Robin good afternoon good to have you um let's start our conversation with just um sort of talking about the mor property you've just announced a significant expansion of the property what does this mean for your exploration strategy well we had first acquired the Murdoch mountain property in 2012 and then the price of phosphate and poach fell through the floor and it was


been 10 years before it came back it started to come back in 21 and 22 and so things been gaining momentto so we had about 6 and a/4 kilm of strike at Murdoch Mountain which is in Northeast Nevada and we've now made three more applications to the BLM because it's all federal land to increase that from 6 to 29 12 kilometers but what's really exciting is that it's all in the it looks like a a letter C with the top of the sea facing north and the open Parts facing south and so that's 12 and A4 square


miles and so what it means is all around the outer edge of the sea we like to say it's like a pie crust and the fruit and the pies in the middle because all uh at all the the dip whether you're on the east south west or north is all into the center at 27 degrees so it's homogeneous uh it's it's all rock phosphate uh it all starts at surface and we can drill into it and very shallow drill holes of be core holes and uh B it's a huge piece of property I mean 12 and a quar square miles is a


small city right so the whole idea is that because phosphate is homogeneous and that it's it seems to be consistent and grade throughout that when we go start drilling in March April then it will be reasonably consistent effort with shallow holes maybe 100 yards 100 meters down maybe 150 it's not deep at all and so it's just a matter of the large extent of it when you're drilling over 30 kilm distance and you're doing a hole every two 300 meters that's a lot of drilling even it's only


one 100 meter each so it's it prends that could be very exciting for us this year we had to go through the process of the environmental assessment with the Bureau of Land Management because it's all federal land all controlled by the BL M 75% of Nevada and so we had to do an economic assessment in EA took us 12 months 200,000 Canadian to finish it we filed it in uh in November they expect they tell us to be able to give us a prospecting permit in early mid-February which will permit us to start drilling


with the snow go so we have no idea when that will be because Murdoch mountain is up at 9,000 ft and so they then that drifts down to sort of 8,000 ft which is quite reasonable but uh because it's it's the whole mountain range we we started out calling it Murdoch Mountain but it's really the leech mountain range now um it's going to take some time to drill but we think that we'll be able to give people some really good results by the summer and drill right into November when it starts to snow again and have a


really good idea of what the grade and tonnage and the geometry of the or body are by that time so for um viewers that are not too familiar with um you know rock phosphate sary Rock phosphate could you explain what the economic and environmental uh benefits of that L well it's it's really an interesting and exciting idea because there is no Rock phosphate right now produced in North America all the phosphate either comes from Western Sahara or the or Morocco or from atafo in Ido or mosaic in Florida and it's all


contaminated with uranium thorium and cadmium even the stuff is s so it has to go through a process to separate it out into phosphoric acid and what they call phospho gypsum and the you get a ton of acid which you can use for fertilizer or other things and you get five tons of phosphogypsum which is radioactive you can't do anything with it right it becomes at mosaic north of Tampa they've got a mountain of this stuff five miles long and 500 feet high can't do anything with it Hough they they kind a pilot


project with the NADA department of highways to mix this radioactive stuff with the cement to put on the highways so I like to joke oh yeah how are going to glow in the dark no more accidents it's going to be real isy so you know it it's fun but the the fact of the matter is that the current phosphate that's produced from the acid is Blended with ammonium to make mono and diammonium phosphate and ammonium phosphate when it's spread on the fields is soluble in the rain and it runs off and if you've ever seen the


huge Ali blooms in rivers and lakes that comes from this phosphate runoff as well as your rea and a few other things but mainly phosphate so the federal provincial State Regulators K us Europe are going to shut down the use of acid-based phosphate fairly soon next couple of years so what's what's Mosaic going to do what's atopus going to do what's nutrient going to do we're the only answer we are the only potential raw Rock phosphate deposit in North America and it's really simple and the


other phosphate you have to put it through a benefication process that's expensive to produce the acid then you have to mix it with the ammonium and then you have to granulate it capsulate it and set it up ours we blow it up dig it up grind it up bag it up and ship it out right we're we're six miles from Montello which is a major highway Hub it's the end or it's a spur of the Union Pacific Railway so when we say this is what we're going to do we get a good old boy with some black plastic caps to


break up the rock a good old boy with a front end loader to dig it up put it in a couple of trucks drun by couple of Contracting good old boys will'll take it down to Montell dump it on a pad somebody else on contract will throw it through a grer or micronizer it'll all flow in like a sand into a 4 Cube bag that you get your top soil in and we take that F 4 Cube bag across the street across the two-lane highway to a rail car at the rail a we load the the freight container or the you know the


the box car and when it's full we ship it to California that's it no contamination nothing no no uh no no contaminant no uh waste it's all simple Rock Dust right so you're talking to an investor um and you know it's the most fun you can have for five cents this year right you anticipated my question um so what were some of the what can you talk about some of the Milestones uh from the from the company from 23 well the the big milestone of 23 was getting through the review process for the


environmental assessment so they say that took 12 months and 200,000 Canadian to get it done to the BM satisfaction now it's s November in the process of reviewing it and the next Milestone will be in mid February where they say here's your prospecting permit you can go and drill it drill as much as you want and then when you sort of work out your or body and you do your preliminary economic assessment you come back to us and then you apply for another permit to go into production but then we don't


have to redo the environmental assessment because be the same but those are the major hurdles for us the next Milestone is to get permission to drill in mid-February the next is for the snow to go away to melt in March April and then to get drilling when the drilling starts we'll drill right through November and so because this is homogeneous and it's shallow like it's not hard rock like we're drilling for gold or silver or base medals where you're down to thous ft 2,000 ft you're


looking for grbs per ton this is a 100 meters down from surface and it's contiguous Tage it's homogeneus is the same thing it's not a vein structure it's not epithermal um it's it's a sedimentary sand that runs throughout this so it it's to start with it's an old ocean that becomes a lake and evaporates over a millennia and the so and the the salts from that Lake are phosphoric salts and they become a layer that's not over usually over over has an overburden over of uh in this case


calcium chloride calcium carbonate pardon me which is just Limestone they use it for for roads so that's the a w of foot wall and that has 3% p25 in it so we have to dilute the 15% p25 phate to use as a fertilizer to get it to 6 8% so it doesn't burn the crops then we blend it with the hanging wall of foot wall calcium carbonate uh two for one so instead of having maybe half a billion tons we got a billion and a half tons 5% so this could be very very large very quickly we'll know by the end


of November how big it is which is unusual for any mining operation right so you know we're here it BR I in Vancouver what's the key message you'd like the investors attending here to know about very simple it's Unique there's no other raw Rock organic phosphate produced in North America and we're not sure if there's any in the world because we're a level where at 15% we're just below Horizon over 177% uh the that's when all the bad stuff kicks in so we don't have any so


it's Unique and it's needed and we're going to create a market for it and the three big guys Mosaic and the T fos nutrient are going to need our product to replace their organic or their liquid uh soluble phosph they're using now that's going to go to business what are they going to do they have to come to us and I'm not looking for a drit veter partner I got to drill this up myself because it's easy to do it's not expensive to have institutions in the North east of the US Boston New York who


will give me money if I can get the stock up by 5 cents and my objective I go on the road in four in a week for four weeks to like John the Baptist crying in the wilderness get the story told get the stock up raise a couple of million dollars and go drill so come along have some fun you know it's an easy story to understand it's not complex it's in Northeast Nevada we've got road we got Railroad and uh it's a simple easy story don't make it too complex don't make it harder to


understand that it is you won't have an easier story to tell this year great well thanks Robin for sharing your company updates and your insights today my pleasure thefa.com there you go thanks everyone for watching join us again next time for another engaging conversation on coo Insight thank you if you like this video make sure you subscribe to our Channel and turn on notifications so you don't Miss future updates and interviews see you next [Music] time