Sun Metals (TSX-V: SUNM) CEO Steve Robertson on Successful 2018 Drill Campaign & Excitement Heading into 2019 at the Stardust Project
Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the President and CEO of Sun Metals (TSX-V: SUNM)(OTC: SMTTF), Mr. Steve Robertson. Steve, how are you today?
Steve Robertson: Doing great, Gerardo. Thanks very much.
Gerardo Del Real: Well, thanks for taking time. I know it's the holiday season, everybody's winding down. A lot of news. You had some exciting news this morning. You got the final results from a very successful 2018 drill program. I want to start by mentioning something, because the results today were good. You had some good numbers. You had an intercept of 5.5 meters grading 1.72% copper, 0.93 grams per tonne gold, and 29.1 grams per tonne silver.
But these holes that were announced today are not follow-up results to that exciting hole SD-421. And that's going to be a big focus in 2019. Am I accurate in stating it that way, Steve?
Steve Robertson: Yeah, that's correct. The 2018 season was really a fairly widespread exploration effort to try to find exactly what we found in hole 421. That was the answer to our program. The other results that we reported today are great. If it wasn't for hole 421, we would be talking about these results with quite a bit of enthusiasm, because this is the type of mineralization that makes up the current 43-101 resource that we've got.
But hole 421 is a game-changer for us. It really puts us into a different league. Our goals and aspirations are quite a bit different now, after having seen that we have that type of mineralization. We know that we're getting down closer to the proximal part of the system. It very much appears as though we've got into this stronger, more persistent, consistent high-grade mineralization we're hoping to be able to find more of in 2019.
Gerardo Del Real: And just a little context. Hole 421 returned 100 meters of 2.51% copper, 3.03 grams per tonne gold, and 52.5 grams per tonne silver for a 4.99% copper equivalent. Just an absolutely phenomenal hole. You have to be excited going into 2019.
You're also in the process of finishing a financing. You're finalizing that as we speak, if I'm not mistaken. Can we talk about that and what that will allow you to do here in early 2019?
Steve Robertson: Yeah, that's a pretty exciting milestone for us. We were actually able to raise over $5.1 million dollars for our 2019 program. We did it at quite a premium to the market. We raised the money at $0.413. So that's going to set us up well to do a very robust program to follow up on the results of hole 421 in 2019. We're hoping to get out on the ground early and get to work on it.
Gerardo Del Real: Do you have an idea of how many meters you'll be drilling initially in 2019?
Steve Robertson: Well, we haven't exactly laid out the final details on the program for 2019. We're talking a look at doing a new type of – I don't know if it's a new type of diamond drilling – but a new style of drilling where we're going to be able to completely control where the drill hole is going. And that's going to give us very defined step-out from this mineralization in hole 421, so we know exactly where we're going. There's no guessing in trying to predict the deviation of the drill holes. If we want to step out 12.5 or 20 meters, we'll be able to do exactly that.
So that's going to bump up the drilling costs, but we've got such a great logistical area there. You can drive right onto the property. We've got good access. The drilling costs as a result were extremely low in 2018. Less than $200 a meter. And so we think that with this new system we're looking at, it's going to maybe make the cost more like $250 a meter. And so I think that we can still expect to get at least 15,000 meters of drilling out of this program in 2019.
Gerardo Del Real: Steve, I appreciate you taking the time for the update. I'm looking forward to having you back on as soon as we get more details on what that drill program will look like. Obviously, the follow-up to the exciting hole 421 is going to be a big deal, and I think it's going to be well received. Tax-loss selling season has been tough for most everybody in the resource space, but we're a few days away from getting through that. I'm excited for 2019. What are you feelings going into this new year?
Steve Robertson: Oh, well we couldn't be more excited. The results from 2018 have us very pumped up about the prospects on the Stardust property. I think that our crew can hardly wait to get out onto the property and do the follow-up work that we need to do this year. It's going to be an exciting year for us. We've set ourselves up well. We've got the financing in place, and we've got a great team assembled here. I think it's going to be a very exciting result, and I look forward to talking more about it with you.
Gerardo Del Real: Thank you so much for your time, Steve. Have a great holiday. Enjoy it.
Steve Robertson: Okay. Thanks, Gerardo.