SmallCaps Spotlight: Flagship Minerals (FLG) — Isidora gold/copper milestones, Whipsaw copper upside & Calsoon tungsten pathway

## Episode overview In this edition of **SmallCaps Spotlight**, host *James Whelan* speaks with **Paul Lock (Managing Director)** of **Flagship Minerals (ASX: FLG)**.

Paul walks through: - Why **gold and copper** remain the primary strategic focus after the **$5.8m cash sale** of the **RK Lithium project** - The latest **environmental baseline** and technical work underway at the **Isidora Gold Project** in **Chile** - Expected timing for key **assay, MRE update, PFS, and EIA/mining licence** steps - The investment thesis behind **Whipsaw** (copper prospect) and potential corporate actions - An update on **Calsoon tungsten** and how Flagship may monetise the asset

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## Flagship at a glance **Flagship Minerals (FLG)** is an **ASX-listed pre-revenue** explorer and development company advancing projects with an emphasis on: - **Gold and copper** in **Chile** (and Canada mentioned in the company overview) - Core value focus on the **Isidora Gold Project**

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## Strategy update: lithium sale, focus on gold & copper Paul explains that following the **RK Lithium project sale for $5.8m cash**, Flagship’s current approach prioritises projects where the company believes it can improve the probability of success.

**Key points discussed:** - Management’s view that **gold and copper** sit in **larger, deeper markets** than lithium - A philosophy that when deploying **shareholder funds**, the company wants exposure to markets where there is a **credible pathway to development** (including cost-curve positioning considerations)

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## Isidora Gold Project (Chile): environmental baseline & technical milestones ### Environmental work: EIA baseline studies Paul says baseline studies commenced **late 2025**, with the team working through multiple seasons in Chile.

**What’s included:** - Seasonal baseline collection (flora and fauna) - A more **conservative “hypothetical mine footprint”** approach that also incorporates: - mine plan - **transport corridors** - **energy corridors** - **water corridors**

**Why this matters:** - Flagship aims to reduce future schedule pressure by running broader baseline work **in parallel** with progressing studies (rather than waiting until later feasibility steps)

### Metallurgical and recovery thresholds Paul indicates that following metallurgical drilling and trenching, the company expects numbers to start coming through **later in the year**.

- Timing for results: **around November** (conservative timing) - Management references historic metallurgical work and is testing leaching on **sulphides** to move **recoveries towards ~80%** (as described in the discussion) - Trenching/drilling is designed to check **consistency of mineralisation** across the orebody

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## Catalysts: next 6–12 months Paul outlines a staged roadmap:

**Milestone 1 (update and assays):** - Assays from trenching and related work expected to feed into updates **into late Sep / October** - A **short targeted drilling programme** planned to target mineralised zones **unclassified in the current MRE**, particularly in the **top of the orebody** - MRE update: **around December**

**Milestone 2 (PFS):** - **PFS targeted for early next year**

**Milestone 3 (EIA / licensing):** - **EIA delivery and mining licence submissions expected in 1H 2027**

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## Whipsaw (copper): thesis and potential corporate action Whipsaw is presented as a pathway to add **material copper exposure** while Flagship seeks to drive Isidora toward **cashflow**.

**Highlights from the discussion:** - Whipsaw location: **southern British Columbia**, near the US border, with access described as relatively straightforward (near highways/freeways) - Exploration target discussed: **~0.5 to 1 billion tonnes at ~0.2% to 0.4%** (as per the conversation) - Geological/operational points: - **drill-supported exploration target** - **at surface** nature highlighted - setting described as within forestry, potentially improving practical access for early-stage work

**Near-term objective:** - Use historical data and potentially geophysics to “put some meat on the bones” - Potentially **spin out** Whipsaw into a **new listing vehicle** (described as an in-species distribution of shares) - A pathway to progress toward **PFS**, with comparisons drawn to Canadian peer valuation ranges at PFS

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## Calsoon tungsten: update and monetisation pathway Flagship also holds the **Calsoon/Kasuan tungsten** asset.

**Management themes:** - Tungsten described as having had past mining activity and strong historical performance - Paul characterises the deposit style as **high-grade, pure “fewerite style”** and indicates drilling exists but higher-density infill is needed - Near-term work described as an **exploration target** update - Strategy preference: **spin out** or pursue a **cash deal** - rationale: Flagship is not positioned as a specialist critical/metals company

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## Where to from here? For FLG investors, the near-term watchpoints are: - **Assays** and incorporation of trenching/trial drilling into the **updated MRE (December)** - Progress toward an **early next-year PFS** - Timing around **EIA and mining licence submissions (1H 2027)** - Any formal developments around **Whipsaw** (spin-out roadmap, technical updates) - Continued progress and potential monetisation steps for **Calsoon tungsten**

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## Disclaimers This podcast is for information only and does not constitute financial advice. Always consider risks, including resource estimation, permitting, metallurgical variability, market dynamics, and execution risk common to pre-development companies.