American West Metals Limited (AWMLF)

@StableBread 25m ago

Fajasy on X

On August 13, 2026, I wrote up a company that owns 80% of the Storm copper project in Nunavut (Arctic Canada) and all of the West Desert zinc-indium deposit in Utah. Storm alone was worth about what the market paid for the whole company, leaving West Desert’s indium priced near zero. I also flagged that Storm’s pre-feasibility study (PFS), the more detailed study that follows a first-pass preliminary economic assessment (PEA), could disappoint the usual way, with “higher capex or lower recoveries than the PEA assumed.” The PFS came out on November 5, 2026, with higher capex but better recoveries, plus Storm’s first ore reserve. Then on November 9, the company added a maiden exploration target of up to 2.2Mt of contained copper, 7.9x Storm’s current resource. That company is American West Metals $AWMLF, which closed at AUD$0.029 (~US$0.020) on the ASX that day, 9.4% below where I wrote it up and 35.6% below the AUD$0.045 it raised at in its last two placements (stock sales to selected investors). The PFS improved on the PEA: → All 11 years of the mine plan come from the reserve, with inferred tonnes (the lowest-confidence resource category) treated as waste. → The plant recovers 68% of the copper in the ore, or 103,000t over the mine life, up from ~61% in the PEA plan. But the PFS also made Storm more expensive: → Storm needs US$108.3M before first copper, up 74.4% from US$62.1M. → Over the copper the plant recovers, operating costs come to ~US$3.17/lb vs. ~US$2.66/lb in the PEA, or 19.4% more per pound. Meanwhile, $AWMLF had just ~1.6 quarters of cash left as of September 30. So how does a ~US$25M company fund its ~US$55M share of the build? That’s what I answer in my new ~3,400-word update on $AWMLF, including my updated valuation and whether I’d hold through the next placement.