Copper-Silver Junior to Advance High-Grade North American Projects

1. Metallic Minerals Corp. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000. In addition, Metallic Minerals has a consulting relationship with Street Smart an affiliate of Streetwise Reports. Street Smart Clients pay a monthly consulting fee between US$8,000 and US$20,000. 
2. As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of Metallic Minerals Corp.
3. Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. 
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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

Metallic Minerals Corp. (MMG:TSX.V; MMNGF:OTCQB) has successfully completed its previously announced and upsized "bought deal" private placement, achieving aggregate gross proceeds of CA$10,294,335.80, according to a June 22 release.

This total includes the partial exercise of the underwriters' option. In this offering, the company issued 18,906,985 units at a price of CA$0.28 per unit, generating CA$5,293,955.80, and 12,988,000 flow-through units priced at CA$0.385 each, totaling CA$5,000,380 in gross proceeds.

Red Cloud Securities Inc. led the offering as the lead underwriter and sole bookrunner, supported by a syndicate including ATB Capital Markets Corp. and Integrity Capital Group Inc. Each unit sold comprises one common share and one-half of one common share purchase warrant, with each whole warrant enabling the holder to purchase one non-flow-through common share of the company at CA$0.40 anytime from August 22, 2026, to June 22, 2029.

"We are very pleased with the strong investor demand that allowed us to upsize this financing," Chairman and Chief Executive Officer Greg Johnson said. "This reflects growing recognition of the quality of our copper, silver, and critical minerals portfolio — underscored by the recent 23% expansion of our La Plata resource and the first quantification of platinum-group elements and other co-occurring critical minerals — as well as the increasing strategic importance of domestically and responsibly produced critical minerals."

Co. Says It Is Poised for Active Year

With this additional funding, Johnson said MMG is positioned for an active year ahead as it advances discovery and resource-growth-focused exploration at its La Plata copper-silver-gold-PGE and critical minerals project in southwest Colorado, its Keno Silver project in the central Yukon, and to continue building out the company's Yukon gold royalty business.

"We remain committed to advancing this work safely and responsibly, in ongoing engagement with the local communities, Tribes and First Nations, who are essential partners in these projects," Johnson continued.

Johnson highlighted the company's high-quality portfolio, which includes recent expansions and the identification of critical minerals, emphasizing the strategic importance of domestically and responsibly produced critical minerals.

The net proceeds from the unit sales are designated for exploration and development of the La Plata Project, general corporate purposes, and working capital, Metallic Minerals said. Meanwhile, the proceeds from the flow-through units will finance eligible Canadian exploration expenses at the Keno Silver Project, with all qualifying expenditures to be renounced in favor of the subscribers by December 31.

The offering was conducted in accordance with National Instrument 45-106 – Prospectus Exemptions, allowing the securities issued to Canadian purchasers to be immediately freely tradeable. An amended and restated offering document related to the offering, dated June 3, 2026, is available on the company's SEDAR+ profile and its website. The completion of the offering is subject to the final approval of the TSX Venture Exchange.

Analyst Predicts Record Production, Cash Flow This Year

In a May 27 report, Couloir Capital maintained a BUY rating on Metallic Minerals, adjusting its fair value estimate to CA$1.15 per share from a current price of CA$0.31, indicating a projected upside of 272.1%.

The firm praised progress at the La Plata project, where an updated NI 43-101 resource estimate confirmed an inferred resource of 181.4 million tonnes with a 0.36% copper equivalent grade. Couloir highlighted recent metallurgical testing in collaboration with Columbia University, which achieved nearly 70% copper recovery from whole sulphide material and produced 99.9% pure copper, enhancing the project’s processing and metallization potential.

Regarding the Keno Silver project, Couloir noted a planned 5,000-meter drill program aimed at resource expansion and new discoveries. This program is expected to build on an existing inferred resource of 18.2 million ounces (Moz) of silver equivalent (AgEq), with all deposits remaining open for further exploration. The firm also pointed out that current silver prices are significantly higher than the US$22.50/ounce assumption used in the 2024 Mineral Resource Estimate, supporting potential resource growth and future updates.

Couloir also emphasized the growth in Metallic Minerals' Yukon alluvial royalty portfolio, noting that the company had tripled its producing alluvial royalty operations across the Klondike and Mayo districts. The firm anticipates a record production and cash flow year in 2026, building on the substantial royalty gold value generated since 2023.

For the La Plata project, Couloir highlighted two major milestones achieved in 2026: a significant expansion of the NI 43-101 resource and a metallurgical breakthrough producing 99.9% pure copper directly from sulphide material, which they believe materially de-risks the project’s future processing pathway and strengthens the development case for a large-scale U.S.-based critical minerals system.

On May 20, Peter Krauth of Silver Stock Investor provided an update on Metallic Minerals' expanding Yukon alluvial gold royalty business. He noted that the company had grown from managing a single operation to overseeing a multi-operator platform spanning the Klondike and Mayo goldfields. Krauth highlighted agreements with operators at Australia Creek, Dominion Creek, and South Keno/Granite Creek for the 2026 production season, with all three properties gearing up for production. He reported that Australia Creek had generated over CA$1.1 million in royalty gold value since 2023, marking 2025 as its most successful year yet. Krauth expressed optimism for 2026, anticipating a record year in royalty production and cash flow due to multiple operations entering production and a significant 64-square-kilometer land position. He also mentioned ongoing drilling efforts at Australia Creek aimed at expanding production areas, Dominion Creek's move towards full production, and the development of South Keno/Granite Creek as a drill-supported gold system.

Krauth explained that the royalty model allows operators to fund mining activities while Metallic Minerals earns royalties ranging from 10% to 15%, which supports near-term cash flow as the company progresses its Keno Silver and La Plata projects.

He shared his personal investment in the company, stating, "I own a position because this can help fund operations, while the team advances its Keno Silver and La Plata projects."

The Catalyst: Silver Volatile, Copper Needed For AI Energy

Silver prices have paused their three-day decline, stabilizing at around US$65.90 per troy ounce during Monday's Asian trading session, according to a June 22 report by Akhtar Faruqui for FX Street. Despite this halt, the outlook for silver remains uncertain due to escalating geopolitical tensions and economic policies that could influence the metal's value. Recent developments in the US-Iran relations have reintroduced concerns that could potentially drive silver prices down further. These concerns are fueled by the risk of inflation and the possibility of prolonged high interest rates, which are key factors for investors.

Tensions escalated following a report by CNBC on Sunday, stating that U.S. President Donald Trump issued a stern warning to Iran, threatening direct strikes if Hezbollah continues its attacks on Israel. This statement has significantly dampened hopes for any diplomatic progress between the U.S. and Iran. Complicating matters, President Trump also threatened to dismantle the existing peace framework, even as diplomatic engagements such as the meeting between Vice President JD Vance and Iranian officials occur under an interim deal.

Adding to the geopolitical strain, Iran announced the closure of the strategic Strait of Hormuz and, according to Iranian state media, has halted all negotiations in response to Trump’s aggressive remarks. However, sources close to the situation suggest that discussions might still be continuing behind the scenes.

From an economic perspective, silver, which does not yield interest, is likely to be impacted by the Federal Reserve's monetary policy stance. Last week, the Fed maintained interest rates but signaled a hawkish future outlook. Notably, nearly half of the Fed policymakers anticipate at least one rate hike within the year, with market expectations leaning towards an increase as early as September.

Alan Long, writing for TradingKey on June 20, noted that since April 2025, copper prices have seen a significant increase of over 60%, primarily driven by the escalating demand for copper in the rapidly expanding artificial intelligence (AI) sector. The development of AI technologies has not only increased the need for chips, servers, and optical modules but has also had a profound impact on power systems, where copper is a crucial component.

AI data centers have emerged as a major driver of this increased copper demand. These centers require significantly more computing power, power supply, and heat dissipation capabilities compared to traditional data centers. The infrastructure of large-scale AI data centers, including transformers, switchgears, busbars, cables, uninterruptible power supplies (UPS), power distribution units, and cooling systems, relies heavily on copper.

According to Wall Streetcn, a single 1-gigawatt (GW) AI factory could use up to 50,000 metric tons of copper. With the industry aiming to build 15 GW of capacity annually, this translates to an additional 750,000 metric tons of copper demand each year solely from data centers, Long said.

Furthermore, the expansion of AI data centers is expected to necessitate extensive development of external power infrastructure such as grids, substations, and transmission and distribution lines, potentially increasing copper demand even more than the data centers themselves. The International Energy Agency (IEA) projects that global data center electricity consumption will reach about 945 terawatt-hours (TWh) by 2030, effectively doubling from current levels. Goldman Sachs has also highlighted that the share of peak summer power demand from U.S. data centers is expected to increase from 4.1% in 2025 to 8.5% in 2027, indicating a shift of AI data centers from being marginal power loads to becoming critical factors in grid planning, according to the report.

Ownership and Share Structure¹

Metallic Minerals Corp. has a market cap of CA$44.89 million, with 213.53 million shares outstanding. The company's 52-week range is CA$0.20-CA$0.47.

Insiders and Management own 15% of shares, while Institutions own 20%. Strategic Investors, including Newmont (9.5%) and Eric Sprott (10.5%), own 20%, and the remaining 45% of shares are held by Retail.