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Price Performance (1-year)
Portfolio Summary
Seven polymetallic projects in Peru and Canada. Two Cu-Mo-Ag projects in Peru
Peru is the second largest copper producer in the world. Five projects in B.C.
Aurora Cu-Mo-Ag Project (Peru): Maiden Resources
The flagship Aurora project hosts a large copper-molybdenum-silver porphyry deposit, suitable for open-pit mining.
Located 65 km north of Cusco. Lies along the northern end of an underexplored porphyry belt. Access to paved and dirt roads, water, and power
Open-pittable resources totaling 10.2 Blbs CuEq, representing significant tonnage, at a relatively low grade. We are pleased with this estimate, as it exceeds the upper-end of our preliminary forecast of 9.7 Blbs
Resources (1.1 km long x 0.95 km wide x 1.0 km deep) are spread across two primary zones: a copper-rich zone, and a molybdenum-rich zone
Management is planning resource expansion/infill drilling ahead of a PEA in 2026.
We believe there is significant resource expansion potential as the deposit remains open in multiple directions. In addition, several copper oxide (CuOx) showings remain untested
Financials
Healthy balance sheet. In January 2025, DLP completed a $1.4M equity financing. Can raise up to $0.63M from in-the-money options
FRC Valuation
DLP remains one of the most undervalued juniors on our list of comparables. DLP is trading at just $0.006/lb (previously $0.007/lb) vs the sector average of $0.016/lb (previously $0.020/lb
Applying the sector average EV/lb of $0.016 to Auora’s maiden resource estimate, we arrived at a comparables valuation of $0.66/share (previously $0.56/share). Valuation increased as the maiden resource exceeded our forecast, partially offset by a lower sector EV/lb
We are reiterating our BUY rating, and raising our fair value estimate form $0.56 to $0.66/share. DLP has significantly enhanced the attractiveness of its Aurora project through a promising maiden resource estimate. The project's open-pittable nature and expansion potential are major advantages. We believe the current undervaluation compared to peers, along with anticipated M&A activity in a strong copper market, will likely drive greater market attention to the stock. Upcoming drilling and the PEA are vital for further project development, and boosting market confidence in the stock.
Risks
We believe the company is exposed to the following key risks (not exhaustive):
