Entrepreneurs generally, and in this case those in mineral exploration, can experience significant challenges!
Pierre Leveille has seen his share in Southern Africa. Currently focused on the Haib copper deposit in Namibia, and working to renew the exploration license, Deep-South Resources is also investigating other opportunities with accessible infrastructure in stable countries. Pierre suggests that the difference between successful and less successful entrepreneurs in the exploration space can be found primarily in the quality and experience of the team. Of course an element of luck counts too. Listen in for more on the success and challenges, as well as why focus in copper mining is so important.
Detail
After starting his career as a stock broker in Canada and developing the ability to fund mineral projects Perre Leveille found an opportunity to focus on mine development in Africa. Later electing to sell the first opportunity back to the majority partner, due to conflicts that existed between the partnership agreement and need to disclose information in compliance with public company regulations, Pierre identified an opportunity in copper mining in Namibia, Southern Africa. Deep-South Resources is now focused on the Haib Copper project in Namibia, and working to identify other opportunities in stable countries that also have accessible infrastructure.
The area was explored in the 19th and 20th centuries but found to be sub-economic, Teck Resources initially owned 70% of Deep-South Resources and conducted exploration. When Teck divested Deep-South assumed full ownership and listed in 2017; Teck remains the largest shareholder. The area is now believed to be economic due to a combination of commodity prices driven by demand for copper, and improvements in exploration technology. The proposed use of bioleaching that allows for extraction of the copper at significantly lower capex spend and low operating cost, and newer drilling methodology, where significant advances have been made since the early exploration, have made it feasible.
A feasibility study commenced in early 2021 was cut short when the Namibian Minister of Mines and Energy failed to renew their license. Believing the decision may have been made with inadequate information, or misinformation, Deep-South launched a challenge and is seeing early success. Of course the stock price tumbled on the news! In the interim they are investigating other opportunities with the option to develop a larger portfolio of exploration projects to guard against similar delays in future.
Pierre projects that copper will continue trading at high prices for many years, due to high and increasing demand. There is inadequate supply because the past 20 years have seen inadequate base mineral exploration. Copper, along with lithium, zinc, nickel and cobalt, is required in the green vehicle industry, wiring for the 5G industry, cloud storage, batteries, bitcoin mining, and so much more.
Tune in to hear about:
- The small percentage of exploration projects that actually become a mine.
- Carbon fueled vehicles contain around 23kg of copper, how much does that increase in green vehicles?
- How stockpiles and discarded rock from bioleaching is more stable and avoids polluting ground and water.
- Significant research to green-up mine vehicles and improve mining generally.
- And more.
Mentioned in this episode
Deep-South Resources website
Email: info@DSR.com
