Telegraph Mine Project FAQ

No. This FAQ is for informational purposes only and does not constitute an offer to buy or sell any security.

Statements about future plans, timelines, costs, capital needs, production, grades, recoveries, and economics are forward-looking and inherently uncertain. Actual results can differ materially.

Unless explicitly stated in a compliant technical report, any targets or conceptual estimates should not be treated as NI 43-101 compliant Mineral Resources or Reserves.

MRZ-2a is a California Geological Survey mineral land classification indicating a demonstrated mineral resource area under state definitions. It is supportive context, but not the same as an NI 43-101 Mineral Resource declaration.

Patented claims are private land. That matters because it increases control over the mine footprint compared with unpatented federal mining claims.

Vested rights generally refer to legally established rights to continue a historic mining use under certain frameworks. Practically, this can reduce discretionary permitting friction, while still requiring compliance with applicable laws and approvals (including reclamation requirements).

Telegraph is a past-producing, high-grade gold & silver mine on patented private land in San Bernardino County, California, with a phased restart strategy designed to prove operability first and scale second.

A restart-ready, high-grade private-land project with vested mining rights, using a small Phase 0 pilot to validate grade control and economics before scaling.

Development is structured in phases (Phase 0 pilot, Phase 1 NI 43-101 resource work, Phase 2 shallow open-pit). Current status depends on completion of near-term permitting/readiness work and financing milestones.

Because early mining risk is usually about grade control, dilution, payables/penalties, and operating variability. A phase-gated plan forces proof at small scale before committing to large-scale spend.

Near-term: Phase 0 operating proof and credibility. Mid-term: Phase 1 NI 43-101 resource publication. Longer-term: Phase 2 scaled mining and cash flow, plus down-dip/along-strike exploration upside.

Both gold and silver occur, though the strategy and economics are typically discussed primarily in terms of gold, with silver as a potential byproduct credit depending on metallurgy and payables.

Near Halloran Summit in San Bernardino County, California, within the Mojave National Preserve as a private-land inholding (patented claims).

The site is very close to Interstate-15 and is positioned to support trucking, equipment delivery, and logistics typical for phased mining operations.

Access relies on an existing historic dirt road route used historically for mine access. The operating posture emphasizes using the existing road prism rather than building new access corridors.

No. Mining can be permitted “subject to valid existing rights.” The project’s strategy emphasizes that the mine footprint is patented private land with vested rights, while still managing access/interface requirements responsibly.

It means the core mining claims are private land surrounded by Preserve lands. That improves control over the footprint but requires disciplined access/interface planning where activities interact with surrounding lands.

The site’s high-desert environment supports year-round operations, though all mining plans still account for seasonal weather, access conditions, and safety requirements.

Telegraph is described as a high-grade epithermal gold-silver quartz vein system.

Yes — the project materials describe surface exposure and strike continuity that support a phased validation approach.

Yes. The corporate presentation includes historic production figures and recovery results from prior operations.

Historical data can be highly useful for targeting and context, but modern validation (QA/QC, chain-of-custody, compliant reporting) is required before treating it as decision-grade for reserves/resources.

Project materials cite extensive historical work including drilling, sampling, mapping, and independent studies that support continuity along strike and down dip.

Vein deposits can carry very high grades but often require strict ore control to manage dilution. Bulk-tonnage deposits typically have lower grades but can tolerate more mixing. Telegraph’s strategy reflects a vein-style grade-control mindset.

It means mineralization is interpreted to extend beyond the limits of historical workings and drilling. Confirmatory work is needed to test continuity and grade distribution.

Yes — Phase 1 is designed to support an NI 43-101 mineral resource estimate based on modern data and QA/QC protocols.

Phase 0 is a small pilot mining program designed to generate real operating proof: delivered grade vs dilution, reconciliation, payables/penalties, settlement timing, and contractor/productivity performance before scaling.

The corporate presentation references a Phase 0 pilot of approximately 2,200 tons.

Project materials reference an approximately ~6-month window for Phase 0 permitting and readiness, subject to approvals and execution timing.

Key metrics include: mined vs delivered grade reconciliation, dilution control, payable metal and penalties, lot-level settlement behavior, cost per ton, schedule reliability, and compliance/access performance.

Phase 1 is focused on confirmatory drilling/sampling and publishing an NI 43-101 mineral resource estimate to support institutional-quality technical disclosure and planning.

The presentation references an indicative target range of approximately 120,000–220,000 oz Au (Indicated + Inferred) for Phase 1, pending compliant work and publication.

Phase 2 scales to shallow open-pit mining on patented claims, designed to demonstrate repeatable production KPIs and meaningful cash flow at higher tonnage.

The Corporate Presentation references shallow open-pit mining to approximately ~70 feet depth on patented claims as part of Phase 2.

Shallow, engineered mining can reduce complexity and capex while validating grade consistency, mining methods, and operating cost structure before pursuing deeper or larger-scale expansions.

That’s the point of Phase 0: it is designed to reveal issues early. If results miss targets, the plan is to adjust mining method, ore control, sampling, processing route, or project pacing rather than scaling prematurely.

No. Vested rights can reduce certain discretionary mining permit requirements, but the project still must comply with applicable approvals and laws, including reclamation and environmental protections.

SMARA is California’s Surface Mining and Reclamation Act. It governs reclamation plans and requires financial assurance to ensure reclamation can be completed.

CEQA is California’s environmental review framework for discretionary approvals. Whether CEQA review is required (and at what level) depends on the approvals triggered and the project scope.

By keeping early operations small, using previously disturbed historic mining ground where possible, and pursuing an administrative posture for required approvals (including reclamation planning and financial assurance), while maintaining strict compliance standards.

Typical clearances can include biological/botanical surveys and cultural resources (archaeological) review. The exact scope depends on disturbance footprint and agency requirements.

Reclamation planning is a core requirement under SMARA. The approach emphasizes defined disturbance limits, operational discipline, and the financial assurance framework required by regulators.

The strategy is explicitly low-impact: use historic access routes and focus early work on patented claims and previously disturbed areas, avoiding unnecessary new disturbance.

Ministerial/administrative approvals are decisions made against clear standards without broad discretionary judgment. Projects often pursue this posture in early phases to reduce timeline uncertainty when legally appropriate.

Early phases are designed to be simple and controlled: a small pilot (Phase 0) to establish operating proof, then shallow open-pit scaling (Phase 2) on patented claims.

Vein-style systems can be very sensitive to dilution. Tight ore control, disciplined dig lines, and lot-level reconciliation are essential to preserve delivered grade and economics.

Dilution is waste rock mixed into ore during mining, lowering delivered grade. It’s managed through selective mining, clear ore/waste boundaries, careful loading, and sampling-based reconciliation.

Reconciliation compares expected grade/tons (from sampling and modeling) versus delivered mill results. Strong reconciliation builds confidence that mining and sampling are working as intended.

Early-phase strategy emphasizes capital discipline. Many phased restarts use trucking/toll processing first rather than building a new onsite mill immediately, especially in pilot and early scale-up stages.

When ore is processed offsite, payment depends on payable metals, treatment/refining charges, and potential penalties for impurities. Phase 0 is designed to measure these real-world commercial terms.

Modern best practice includes chain-of-custody controls, sealed samples, independent lab analysis, QA/QC inserts, controlled stockpile management, and lot-level documentation.

Dust control, stormwater management, safe handling of fuels/lubricants, waste management, and reclamation compliance are standard expectations regardless of land ownership status.

The Corporate Presentation shows a $1.1M capital raise at a $17.2M valuation.

The Corporate Presentation shows post-raise investor equity of 6.4%.

The use of funds is shown for Phase 0–2 permitting, startup, and working capital, with future phases intended to be funded via cash flow.

The Corporate Presentation highlights a $4,000 gold price assumption and an average grade assumption around ~0.21 oz/ton (among other pro forma assumptions described in supporting materials).

Extremely sensitive. Small changes in delivered grade can materially change margins, cash flow, and payback — which is why Phase 0 emphasizes reconciliation and dilution control before scaling.

NPV is a discounted cash flow measure. “NPV10” uses a 10% discount rate, which is common in mining as a rough risk-adjusted benchmark, though real risk can be higher or lower depending on project specifics.

IRR is the discount rate that sets NPV to zero. It can be useful, but it can overstate attractiveness if the model assumes fast payback or ignores risks like delays, dilution, variability, or refinancing.

Because it converts a story into measured operating proof: real-grade delivery, real costs, real settlement, and real execution. That dramatically improves investor confidence for later capital or scaling.

That is the intended strategy described in the Corporate Presentation: validate economics and then use cash flow to fund future phases where feasible.

Financing and timing; permitting/approval execution; achieving consistent delivered grade with controlled dilution; commercial payables/penalties; cost and contractor performance; and broader gold price/market conditions.

Start with the Investors and Resources pages on this site for the current Corporate Presentation and technical references.

Yes. Use the Contact page to request access for drill data, assays, maps, models, and supporting documentation.

A practical diligence path is: (1) Corporate Presentation (master), (2) technical report references, (3) development plan logic (phases and gating), (4) questions on permitting posture and Phase 0 execution controls, (5) data room (if appropriate).

Use the Contact page on this website.