Almadex Minerals (TSX-V: AMZ) Options Los Venados to Wolverine Minerals for C$30,000, Two Million Shares & 2% NSR

Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is President and CEO of Almadex Minerals, Mr. Morgan Poliquin. Morgan, how are you this afternoon?

Morgan Poliquin: I'm excellent, thank you. I hope you're well and thanks for having me on.

Gerardo Del Real: Thank you so much for your time. Doing well and thank you for asking, Morgan. Now, I wanted to reach out because you had a news release on November the 29th where Almadex is optioning the Los Venados Project to Wolverine Minerals. I know that the bulk of the attention recently has focused on El Cobre for obvious reasons. I did want to talk a little bit about the Los Venados Project, and what the strategy is behind starting to option some of the many projects that you have in the Almadex portfolio?

Morgan Poliquin: Thanks for that opportunity. Look, we do have over 20 projects in the portfolio. We hold all of them because we feel they each have a very good chance of discovery being made on them. It's very difficult to advance 20 at once, particularly when you've had the success we've had at El Cobre with early stage drilling of identifying some significant mineralization that needs following up aggressively. We've always focused on different ways of advancing projects and keeping whatever metaphor you want to use to describe the process, more irons in the fire and exposing our shareholders to discovery success. Certainly one of them is doing joint ventures, and we think this group will explore this property aggressively.

They have to spend half a million dollars pretty quickly, and the next stage is drilling. It's a small project, but it's well located with a very interesting and exciting target. We think this is a good deal for us because it will enable us to focus, while at the same time exposing our shareholders to discovery through the equity interest and the royalty interest we'll retain.

Gerardo Del Real: Excellent. Now, you mentioned the equity interest. I understand that you're receiving up to two million Wolverine shares over a three year period, and you're also retaining a 2% NSR. Is that accurate?

Morgan Poliquin: Yes, that's exactly right, Gerardo. We think that by retaining royalty interest, we're retaining significant interest in these projects. Equity interest allows us to ... Again, it's a fairly significant equity interest that would come our way here, and it also contemplates an aggressive expiration of the property. We feel that the half million U.S. that they need to spend will be adequate to do the initial and aggressive test of the property that's necessary. We have found that of the equity interest we've retained through these project deals have been very useful over the years in allowing us to keep the doors open and continue our exploration drilling, whereas a royalty interest is a long-term property interest that very often we see royalties are valued at different discounts by bankers than mining properties themselves. Those interests can be very significant.

Gerardo Del Real: Excellent. I'd just like to remind everybody that Almadex still holds a royalty on Ixtaca and Caballo Blanco. Is that correct?

Morgan Poliquin: That's absolutely correct. We have a portfolio of ... I'll have to consult here exactly to give you the exact number but over 20 royalties. They all come through our prospecting early stage exploration efforts. In the case of Ixtaca and Caballo Blanco, these are well defined near-production projects. That's right, our portfolio is led by those.

Gerardo Del Real: Excellent. Morgan, thank you very much for your time today. Have a great afternoon and we'll talk to you soon.

Morgan Poliquin: Excellent, Gerardo. Thank you ever so much for having me on again.

Gerardo Del Real: Anytime.

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