Adriatic Metals Poised for Growth in Bosnia and Serbia

• Adriatic Metals (ADT) has various polymetallic projects in Bosnia and Serbia.
• Updates since February include permits received and ongoing exploration activities.
• CEO Paul Cronin discussed fundraising plans expected around July.
• Company focused on environmental and community aspects, setting up a foundation.
• Project financing, deep drilling, and exploration programs are in progress.

About Adriatic Metals

Adriatic Metals PLC is a precious and base metals developer focused on advancing its flagship Vares Silver Project in Bosnia & Herzegovina towards production. The company also holds the Raska Project in Serbia and is engaged in active exploration across its portfolio to discover new zones and extend known mineralization. With significant development activity underway and further exploration upside, Adriatic Metals presents an attractive opportunity for investors seeking exposure to high-grade polymetallic deposits in Europe.

Interview with CEO, Paul Cronin

Advancing Flagship Vares Project Towards Near-Term Production

Adriatic Metals has made considerable progress at its flagship Vares Silver Project since the last update in February 2021. The company has commenced its 2021 exploration program at the high-grade Rupice deposit and continues to advance exploration at the nearby Raska prospect. Adriatic is also finalizing a Definitive Feasibility Study (DFS) for the Vares Project, with completion expected in the coming weeks.

The DFS and ongoing exploration work have the goal of supporting a targeted construction start in late August 2021. Securing the necessary permits and project financing are on track to meet this schedule according to Adriatic CEO Paul Cronin. The company is working through due diligence and structuring debt facilities to fund construction of what will be a cornerstone asset in Adriatic’s portfolio.

While permitting and financing work have represented the core focus over recent months, Cronin emphasized that things are “all progressing very well” across the board. With over $10 million in cash, Adriatic is fully funded to continue advancing the Vares Project on schedule.

Exploration Continues to Unlock Additional Value

In parallel with development activities at Vares, Adriatic has an active exploration program across its licenses in Bosnia and Serbia. At Vares, the focus is on expanding mineralization at the Rupice deposit as well as testing several nearby targets. Drilling is underway to test for depth extensions at Rupice, with early results indicating the system remains open. Further afield, the company sees considerable exploration upside at the newly granted Veovača license, situated only 10km from the Rupice deposit.

Adriatic also holds the past-producing Raska base metals project in Serbia. Recent geophysical surveys have defined several compelling drill targets near the existing mineral resource that the company will test in the coming months. Success at growing Raska could provide a ‘phase 2’ development project to complement Vares.

In the CEO’s words, the opportunity in Bosnia and Serbia is to “demonstrate we can build and operate mines in the heart of Europe safely, environmentally responsibly, and contribution to local communities.” Adriatic’s commitment to transparency, governance and sustainability initiatives aims to build confidence and goodwill amongst all stakeholders.

Well Positioned to Create Value for Shareholders

With construction imminent at the Vares Silver Project, Adriatic Metals is on the cusp of transitioning to a producer. The company’s ongoing exploration programs provide significant upside potential to grow resources across its portfolio. Supported by a robust balance sheet, experienced management team and tier-one jurisdiction, Adriatic is primed to deliver value for shareholders in the near to medium term.

As development activities ramp up, investors should keep a close eye on this emerging European precious and base metals producer. Adriatic Metals has the assets and team to become a marquee mining success story.

Risks & Opportunities

Risks

• Construction delays or cost overruns at the Vares Silver Project could negatively impact the share price and financing ability.
• Exploration results may fail to expand resources and underground mine life as anticipated.
• Permitting delays are possible, especially at the earlier-stage Raska Project.
• Future equity financings could dilute current shareholders if required.
• Commodity price volatility could affect project economics and profitability.

Opportunities

• Production at Vares will transform Adriatic into a cash-flow generating producer by 2023.
• Significant exploration upside exists to substantially grow resources and extend initial 10-year mine life.
• Adriatic's portfolio provides organic growth pipeline from Raska and other exploration targets.
• First mover advantage in under-explored region of Europe with proven high-grade deposits.
• Potential for Adriatic to get acquired as a production-ready asset in a bull metals market.
• Strong ESG principles could enhance access to financing and partnerships.

Conclusion

Adriatic Metals presents a compelling investment case thanks to its near-term production potential, exploration upside and commitment to shareholders. Investors looking for exposure to European polymetallic deposits would be wise to consider opening or adding to a position in Adriatic Metals. With key catalysts approaching, now is the time to get in on the ground floor with this promising minerals developer.

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