READ TIME: 14 MINUTES / SPONSORED CONTENT /
—
In an in-depth discussion, Aldebaran Resources CEO John Black elaborates on the company’s financial position, exploration efforts at the Altar copper-gold project in Argentina, and strategic planning ahead of a the initial PEA which is planned for later this year. The conversation spans permitting, stakeholder partnerships, metallurgical testing with Nuton, and Argentina’s evolving investment climate.
TL;DR
- 1. As of March 31, 2025, Aldebaran had CAD $25.2 million in cash and minimal long-term liabilities, allowing them to get to PEA without having to raise capital.
- 2. The anticipated PEA has been delayed to Q3 2025 to ensure integration of Nuton test data and optimize project economics.
- 3. Ongoing metallurgical testing with Nuton could redefine processing approaches; success would trigger a $30M payment from Rio Tinto.
- 4. Argentina is considered transparent and efficient for permitting, with federal and provincial alignment improving.
- 5. The new investment regime (RIGI) offers tax and repatriation benefits that significantly enhance project viability for potential acquirers.
Why is the stock price not going up?
Despite a significant resource update that initially lifted the share price, Aldebaran’s stock has been relatively flat.
John Black attributes this to the current phase of drilling, which is generating data for the PEA rather than producing eye-catching exploration intercepts. “The next opportunity for a significant rerating… is when we come out with a critical PEA,” he explained, targeting Q3 2025.
He also noted that selling pressure isn’t concentrated among major holders: “We don’t see it particularly from one source… it’s coming from a number of different sources,” suggesting general profit-taking ahead of expected news.
Will they move exchanges?
Black affirmed Aldebaran’s commitment to the TSX Venture Exchange, stating, “We’re not a company that’s looking for a lot of turnover… our objective is really to find a deposit that has true merits.”
While the company is aware that some peers have sought alternative listings to accommodate potential buyers (e.g., Chinese firms facing Canadian regulatory hurdles), he emphasized that they “… haven’t particularly considered a different exchange,” citing the logistical complexity of redomiciling.
What work has been completed since January?
For the 2024/2025 field season, Aldebaran spent approximately $25 million, completing over 25,000 meters of drilling using up to six rigs. Work focused on collecting technical data for the upcoming PEA and future pre-feasibility study.
“It’s less about new exciting intercepts… and more about pit design, tailings location, water sourcing,” Black noted.
The company also launched a new community outreach office in Barreal and initiated off-season community development projects, including painting schools and improving local infrastructure.
Why delay the PEA?
Initially slated for mid-2025, the PEA was pushed to Q3 to allow time for integration of metallurgical data from Nuton testing and further scenario modeling.
“We realized we were rushing things,” Black said.
The PEA will evaluate two parallel processing approaches: a conventional mill/ concentrate route and Nuton’s primary sulfide heap leaching.
“We’re almost doing two PEAs in the same PEA,” he explained, adding that the delay ensures a more robust study considering economic scale and development pathways.
What would faster permitting look like?
Faster permitting hinges on project scale and capital staging. Smaller initial footprints reduce regulatory complexity and allow phased development.
“Most major mines start at one scale and expand… sometimes even changing processing technology,” Black stated. This phased approach aligns with both permitting ease and financial feasibility, especially in countries like Argentina that incentivize early-stage production.
Would Nuton require additional permitting?
Nuton’s heap leach technology could involve different permitting routes compared to conventional processing.
“Determining which pathway forward… is pretty critical,” Black said. He cautioned against prematurely applying for environmental permits before finalizing processing choices: “Rushing an environmental permit to be eligible under RIGI… makes some sense, but not if we change our processing technology.”
How long would the entire permitting process take?
Argentina is considered relatively efficient for mining permits.
“It’s one of the better jurisdictions… in terms of being able to move a project quickly to production,” Black said, while acknowledging that “quickly” in mining still means years.
The timeline projects a PEA in 2025, a pre-feasibility by late 2026, and potential production start in the early 2030s.
Would the tax incentives apply to the Nuton process?
Yes.
According to Black, Argentina’s new RIGI investment regime applies broadly to mining and isn’t specific to processing methods. “It doesn’t specify what type of processing,” he said. Qualifying projects over $200 million can benefit from tax reductions, accelerated VAT refunds, and profit repatriation, all of which would apply whether Altar proceeds with Nuton or conventional technology.
What does RIGI mean for Aldebaran?
While not immediately impactful to Aldebaran as a developer, RIGI greatly enhances project attractiveness to potential buyers. “We can have a great project, but if it’s not attractive to someone to build it, they won’t be interested,” Black said. RIGI includes favorable tax treatment, customs and import flexibility, forex freedom, and the ability to repatriate dividends, which are all features designed to bring Argentina “on par or slightly better than neighboring countries.”
Could the provincial government slow down the process?
According to John Black, there is increasing alignment between Argentina’s federal and provincial governments when it comes to mining policy.
“We’re starting to see the provincial governments and the federal government be more closely aligned,” he said. Provinces like Mendoza, historically anti-mining, are now actively seeking mining investment. In San Juan, where Altar is located, the permitting process is already favorable and well-established. “San Juan has always been one of the more favorable provinces,” he added.
How is inflation influencing operations?
Economic reforms under President Milei have begun stabilizing Argentina’s economy, but prices have risen.
“A meal in a restaurant now is notably more expensive,” Black acknowledged. The unification of multiple exchange rates is ending the era of deeply discounted local costs for foreign explorers. “We’re moving toward one official exchange rate… I would trade off economic stability for slightly higher prices any day,” he said, reflecting a net positive view of the economic reforms.
“You used to be able to get the best steak dinner with good wine for $15… now it’s maybe $30,” he said. Buenos Aires remains more expensive than San Juan, but the cost is now more in line with global standards.
How is the Nuton testing going?
Testing is progressing well, according to John.
Phase 1 column tests using one-meter samples are underway and expected to yield results before the PEA. “We will be provided with results… I’m not certain if we’ll be in a position to announce those results prior to the PEA,” Black stated.
Phase 2, involving ten-meter column tests, is also beginning, with 7 million tons of material sent to a lab in Australia. “All indications are right now that the primary sulfide leaching option will be a viable pathway,” he added.
Will they release Nuton results before the PEA?
While the results are due before the PEA, releasing them publicly depends on Nuton’s approval.
“It’s done under confidentiality,” Black explained, but noted they’ll “lobby hard” to release data ahead of the PEA if possible. He stressed that the results will be incorporated into the PEA regardless: “They’ll come out by then for certain.”
What happens to Altar if Nuton doesn’t work?
The project would proceed using a conventional mill/concentrate processing route.
“If [Nuton] didn’t work, we’re going forward with a conventional approach,” Black said.
The Nuton agreement with Rio Tinto includes milestone payments ($30 million upon delivery of the PEA) toward a 20% project stake. If Nuton declines to proceed, Aldebaran has alternate financing strategies: “I would have full confidence that we could finance the project… but I don’t anticipate we’ll need to.”
How much money do they have now?
As of the interview, Aldebaran had approximately $8 million remaining.
Much of the past year’s $25 million budget was funded by Rio Tinto’s staged payments. Additionally, partner Sibanye Stillwater has indicated it intends to co-fund its 20% joint venture share. “They have given us indications that that’s their intent,” Black noted.
Was the drilling mostly in-fill or also step-outs?
The campaign included both.
Of the 25,180 meters drilled, about 6,000 meters were large-diameter core for metallurgical testing. The remaining drilling was split between infill and marginal step-out work. “It was a combination of things,” Black said. Drilling along deposit margins helps define low- grade material that might otherwise be classified as waste, thus improving project economics.
What’s the drilling really telling them?
Drilling is helping refine assumptions around cutoff grades and strip ratios.
However, Black declined to disclose specifics: “I can’t say much about it until we have the actual numbers.” He emphasized the importance of conservative modeling, using major-miner standards rather than peak copper prices.
“We’re trying to use economic evaluation parameters that are much closer to what potential buyers or operators would be using,” he said.
Are they worried about CAPEX?
CAPEX does not appear to be a significant concern. “The project will be economically viable, there’s no doubt on that,” Black stated.
He described the PEA phase as an “exciting stage” that involves evaluating creative development scenarios. “We want a project that has a clear, executable pathway… and is economically viable,” he added, describing the planning as a “fun puzzle” rather than a point of anxiety.
What would be a good time to sell Altar?
John Black emphasized that there is no fixed timeline for selling the Altar project. He reiterated that most large copper assets are typically acquired at the pre-feasibility stage.
“There are cases where they get sold earlier at a PEA… but very few get sold as a resource,” he said. Aldebaran’s current strategy is to advance the project to pre-feasibility, de-risk it, and thereby command a higher valuation from a prospective acquirer. “We kind of view that accomplishing the PEA is a very important step,” he added.
How do they not lose the market’s attention?
To maintain interest, Aldebaran is focusing on delivering substantive updates and maintaining active investor communication.
“We’re well aware that it’s a challenge,” Black acknowledged, referring to the lull between exploration results and economic studies. He suggested that releasing preliminary Nuton results ahead of the PEA could help bridge that gap and keep the market engaged.
What is Sibanye telling them about all of this?
Sibanye Stillwater, which holds a 20% interest in the Altar project, is described as a supportive and engaged partner.
While Black didn’t quote specific guidance from Sibanye, he indicated alignment on project development strategy and confirmed that Sibanye has signaled its intention to co-fund future expenditures.
“They have given us indications that that’s their intent,” he said.
Is there still room for more strategic investors?
Aldebaran is not currently seeking additional strategic investors but remains open to compelling opportunities.
“We’re not actively looking to complicate it by having more dance partners,” said CEO John Black. Existing partnerships with South32 and Rio Tinto were formed when raising capital was more difficult. Agreements were structured to avoid exclusivity: “They can’t block interest from other parties.” While unlikely, Black added, “There could be certain circumstances where a party brings something particularly attractive to the table.”
What is going on with Radio/QDM?
While the conversation did not go into deep specifics, Black confirmed that Radio and QDM remain part of the broader asset portfolio and are under active strategic review. He implied these assets could be monetized separately in the future but did not elaborate on any immediate developments during this portion of the interview.
Will they spin out or option out Radio and/or QDM?
Although no final decision has been made, Black acknowledged the possibility. “We keep lines of communication open for alternatives,” he said. Whether through spin-outs, options, or partnerships, Aldebaran is evaluating options to unlock value from these non-core assets while maintaining its strategic focus on Altar.
What happens between now and the PEA?
The company plans to finalize and release drilling results, complete metallurgical test analysis, and continue scenario modeling for the PEA.
“You’ll see the results from the drilling come out in probably two releases… over the next few weeks and months,” Black explained. The company is also preparing community engagement reports and fine-tuning economic modeling with partner input.
What are they doing for marketing before the PEA?
ldebaran has increased efforts further as the PEA approaches.
“We’ve certainly stepped up our marketing.”
The company is targeting new investors, particularly in Europe, where interest in copper as a key metal for the energy transition is rising. “We’re seeing a lot of younger investors come in… copper is necessary to transmit that electricity,” he noted. Marketing spend is expected to increase, “It often takes investors two or three looks… so we’ve been laying that groundwork.”
What keeps John up at night?
John Black is more concerned about global market indecisiveness and geopolitical uncertainty than project-specific issues.
“It’s not the regulatory regime, it’s not the money,” he said, noting that external factors can delay M&A activity. Broader geopolitical tensions could impact acquisition timelines. Ultimately, Black said, “I’m not losing sleep because I’m having fun… envisioning how we develop a good project.”
What’s happening with Regulus Resources?
Regulus is no longer drilling, as the AntaKori deposit is already well-defined and comparable in scale to Altar.
“It’s not necessary to find more mineralization,” said John Black. The focus now is on consolidating resource data with neighboring operators (Southern Copper, Buenaventura, and Espro) to produce a joint resource estimate. While publication requires mutual consent, the goal is to attract acquirers by revealing the full scale of the project, which could exceed 13 billion pounds of copper and 10 million ounces of gold. A mid-year update is expected, pending partner cooperation.
Aldebaran CEO Interview With John Black
VERY IMPORTANT WARNING
Please note that Resource Talks has received monetary compensation from Aldebaran Resources for the production of this content. This website is not a research platform – it’s a business that aims to receive compensation for the creation and publication of content from the parties that it covers. This means there will always be a potential conflict of interest which means you can never rely on anything said herein.
By consuming this content, you acknowledge that Resource Talks and/or its affiliates and/or their personnel may own, have owned, or will own interests in and/or may have a business relationship with some or all companies/entities mentioned/featured in this publication. You further acknowledge that entities which may be referenced or featured in this publication or their related parties may hold an interest in Resource Talks or its affiliates, which may create further conflict of interest.
The information provided herein is general & impersonal in nature and meant for entertainment purposes only. The reader acknowledges and agrees that the information does not constitute a solicitation of an offer to buy or sell any security or instrument or to participate in any trading strategy. The author is not a licensed investment advisor. He is just another talking head on the internet. He might own shares of companies mentioned in this publication. Always assume he doesn’t know much more than a potato does. The mining & exploration space is among the riskiest sectors to invest in. The risk of anything mentioned in this publication is 100% loss of capital. If you don’t read the official documents provided by the company on http://www.SedarPlus.ca, you will lose all of your money.
