Los Andes Copper Ltd.

Los Andes Copper Ltd. is a junior copper development company headquartered in Vancouver, Canada, operating primarily in South America. The company's portfolio consists of 1 development project. Key assets include Vizcachitas. The business model is centered on the development of an advanced-stage deposit, leveraging a process design that incorporates significant technological and environmental advantages. The operational approach detailed in feasibility work emphasizes the use of high-pressure grinding roll (HPGR) technology, which is projected to reduce power consumption by approximately 25% compared to previous designs. A key element of the processing plan involves utilizing desalinated water, which entirely eliminates the need to draw from continental water sources. Furthermore, the planned implementation of dry stacked filtered tailings represents a core operational characteristic, designed to reduce water consumption by an estimated 50% while concurrently minimizing seismic and environmental risks by obviating the need for a conventional tailings dam. This integrated approach to process engineering and resource management aims to create a competitive advantage through enhanced efficiency, lower operational risk, and a reduced environmental footprint, positioning the enterprise for development in a context of increasing environmental and social standards. The focus on these advanced, de-risked technical solutions is central to the company's value proposition.

Strategic focus centers on systematic de-risking and resource expansion through targeted technical programs. A key initiative involved a 2024 UAV magnetic survey to delineate extensions to mineralization and identify new prospective targets, with data integrated into a revised geological model to better target higher-grade zones. This exploration-led approach is complemented by a sophisticated financing strategy that utilizes a blend of royalty and convertible debt instruments to fund development studies and pre-development activities. The organization has successfully secured capital through multiple royalty agreements and a series of convertible debentures, demonstrating an ability to access diverse funding sources while advancing its core asset. Management priorities also include proactive market outreach and investor communications, with roadshows conducted in North America and the United Kingdom to enhance market awareness. The long-term objective is to advance the project towards a development decision, supported by ongoing technical optimization studies and continuous stakeholder engagement aimed at securing a social license to operate. This disciplined, multi-faceted strategy balances technical advancement with prudent financial management.

Executive leadership is headed by a CEO with a background as a lawyer and former VP of Corporate Affairs for the Americas at a major global resources company. The board of directors is composed of 6 members, of which 3 are independent. A significant feature of the ownership structure is the large equity position held by directors and executive officers, who as a group beneficially own or control approximately 49.06% of the issued shares, primarily through an affiliated entity. This high level of insider ownership aligns management interests closely with those of external shareholders. Governance is structured through specialized board committees, including an Audit Committee and an ESG Committee, each with a formal charter. The Audit Committee consists of 3 members, 2 of whom are independent, and meets at least 4 times annually to oversee financial reporting and internal controls. The ESG Committee, also comprising 3 members with 2 being independent, meets at least quarterly to guide strategy on environmental, social, and regulatory matters. This framework provides robust oversight of key business areas.

The organization's sustainability approach is deeply integrated into its core project design, emphasizing proactive environmental management and robust governance. A cornerstone of the environmental strategy is the planned use of desalinated water for all processing needs, completely avoiding the use of local freshwater resources. This is complemented by the adoption of a dry stacked filtered tailings system, a method that significantly reduces water consumption by approximately 50% and eliminates the long-term risks associated with conventional tailings dams. The design projects low Scope 1 and nil Scope 2 emissions. Governance of sustainability is formalized through a dedicated ESG Committee of the board, which operates under a detailed charter. This committee, comprising 3 directors including 2 independents, provides strategic guidance and oversight on all ESG matters, including community relations, regulatory compliance, and performance monitoring. The company also pursues ongoing community and stakeholder engagement programs intended to position its development as a source of sustainable local benefit, although it faces legal challenges from some local groups regarding its environmental licenses.

The corporate structure is defined by significant financing partnerships and a concentrated ownership profile. The company has entered into multiple material royalty agreements to fund its activities, including a 2019 agreement with RCF VI CAD LLC, a subsequent 2020 agreement with RCF, a 2023 agreement with Ecora Resources PLC for US$20 million, and a streamlined 2024 agreement with Franco-Nevada. These agreements grant royalties on future production in exchange for upfront capital. A key financing partner is Queen's Road Capital Investment Ltd., which has provided a total of US$14 million through 3 separate convertible debenture agreements executed in 2021 and 2022. Ownership is significantly influenced by Turnbrook Mining Limited, an entity with which several directors and officers are affiliated, contributing to a collective insider ownership of approximately 49.06%. Operationally, key assets and concessions are held through wholly-owned subsidiaries, including Compañía Minera Vizcachitas Holding and Sociedad Legal Minera San José Uno de Lo Vicuña, El Tártaro y Piguchén de Putaendo. Another subsidiary, Rocin SPA, holds non-consumptive water rights.