P2 Gold’s recent drilling at the Lucky Strike Zone strengthens the Gabbs investment case, with
33 holes confirming a large, structurally controlled gold-copper system consistent with Sullivan.
Broad, near- surface intercepts and a combined mineralized thickness of up to ~125 meters
support continuity and open-pit potential, while drilling to date covers only a ~700-meter-by-
500-meter footprint, leaving the system open in all directions. Based on current results, we view
management’s assessment that Lucky Strike could exceed Sullivan in scale as well supported.
In parallel, the acquisition of 2,500 ac-ft/yr of water rights represents a key de-risking milestone,
securing a critical long-lead input with ~67% excess capacity for expansion. At Sullivan, recent
drilling continues to validate a thick, laterally continuous system (up to ~175 meters combined
thickness) that underpins the PEA mine plan while remaining open at depth. Together, ongoing
drilling success and early infrastructure de-risking position Gabbs with clear visibility on
resource growth and feasibility catalysts through 2026. The Company remains on track for a
mid-2026 resource update and a Q4-2026 feasibility study.
Investment Highlights
- P2 Gold Inc. (TSXV: PGLD) (the “Company”) is an exploration company advancing its gold
and copper Gabb’s Project in Nevada, USA.
- Lucky Strike Zone: Scale Emerging, Potential to Exceed Sullivan: Drilling at Lucky Strike
is emerging as a material upside driver, with 33 holes to date confirming ore controls identical to
Sullivan and a combined mineralized package of up to 125 meters. Headline intercepts include
GBR-089 (0.71 g/t Au and 0.31% Cu over 54.86 meters, including 1.28 g/t Au and 0.43% Cu
over 22.86 meters). The current drilling covers only the western half of the zone (700 meters x
500 meters), with the eastern half and all down-dip extensions remaining untested. Management
has stated that Lucky Strike has the potential to exceed Sullivan in scale.
- Maiden NI 43-101 MRE commissioned: The 24-hole, 4,120-meter Sullivan infill and
expansion programme has been completed, with results consistently validating the Mineral
Resource model that underpins the 2025 PEA mine plan. Results confirm a thick, laterally
continuous gold-copper system reaching 175 meters in combined thickness. The zone remains
open to the east and down-dip to the southwest, and P2 intends to return the RC drill to Sullivan
following completion of the Lucky Strike program.
- Water rights secured: A Critical De-Risking Milestone: P2 secured 2,500 ac-ft/yr of water
rights for US$10.625 million, exceeding its estimated requirement of ~1,500 ac-ft/yr, with the
surplus attributable to expansion optionality. With only US$100,000 payable upfront and the
balance deferred to NDWR approval (expected 6-12 months), the transaction de-risks the project
ahead of the Q4-2026 feasibility study.
- We reiterate our BUY rating with a fair value per share estimate of C$0.93 per share
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may fall outside of the ranges due to market price movements and/or short-term volatility.
Overall Risk Rating
Very High Risk: Venture-type companies or more established micro, small, mid or large-cap companies whose risk profile parameters and/or lack of liquidity warrant such a designation. These companies are only appropriate for investors who have a very high tolerance for risk and volatility and who can incur a temporary or permanent loss of a very significant portion of their investment capital.
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