C3 Metals' Khaleesi Project: A High-Probability, Undrilled Copper-Gold Opportunity in a World-Class District

C3 Metals Inc. (C3:TSX.V) has positioned itself at the forefront of a compelling exploration story in one of the world's most geologically favorable copper-gold districts. The Khaleesi Project, located within the Andahuaylas-Yauri Porphyry-Skarn belt of Southern Peru, represents a rare, undrilled opportunity to unlock a multi-commodity system with analogies to nearby giants like Las Bambas (MMG) and Constancia (Hudbay Minerals). With all regulatory approvals secured and a 6,000-meter diamond drill program set to commence in September 2025, the company is primed to test a high-grade, interconnected porphyry-skarn-epithermal system that could redefine its value proposition.

Geological and Geophysical Upside: A Blueprint for a Major Discovery

The Khaleesi Project sits within a 3.3 km² alteration zone characterized by extensive skarn, epithermal, and porphyry-style mineralization. The presence of prograde magnetite skarn and retrograde garnet-diopside skarn over a 1,200m x 500m area, coupled with sheeted quartz veins and porphyry-style alteration, suggests a deep-seated hydrothermal system. Rock chip samples have returned up to 2.82% copper, 6.0 g/t gold, and 57.7 g/t silver, with geochemical anomalies spanning 1,900m x 650m for copper-molybdenum and 470m x 400m for copper-zinc. These metrics align closely with the geological architecture of Las Bambas, where similar skarn and porphyry systems feed high-grade mineralization.

Geophysical surveys further amplify the project's potential. Magnetic, induced polarization (IP), and magnetotelluric (MT) anomalies correlate with soil geochemical trends, indicating a vertically and laterally extensive system. The presence of phyllic and argillic alteration halos, along with elevated molybdenum and arsenic geochemistry, points to a porphyry driver—a critical component for large-scale deposits. Such a system could mirror the Montana de Cobre zone at C3's adjacent Jasperoide Project, which hosts a Measured and Indicated Resource of 51.9 million tonnes at 0.50% total copper and 0.20 g/t gold.

Strategic Positioning and Management Execution

C3 Metals' strategic acumen is evident in its ability to secure all regulatory permits in a politically sensitive region. The company has navigated social license challenges by securing Surface Access and Drilling Agreements with the Cancahuani community, while obtaining environmental and water-use authorizations. This regulatory clarity is a rare feat in Peru, where exploration delays often derail junior projects.

The management team, led by Dan Symons and Dr. Stephanie Sykora (Chief Geologist), brings a wealth of experience in discovering and developing large copper-gold systems. Symons' track record in corporate development and Sykora's expertise in porphyry-epithermal systems (notably her work on the Lihir gold deposit) underscore the company's technical depth. The planned 14-hole, 6,000-meter drill program is designed to test multiple skarn bodies, epithermal veins, and the potential porphyry core—a strategy that mirrors the successful exploration models of Las Bambas and Constancia.

Market Positioning and Investment Rationale

C3 Metals operates in a sector where copper demand is surging due to the global energy transition. The company's 31,000-hectare land package within 45 km of Las Bambas and Constancia positions it to capitalize on the Andahuaylas-Yauri belt's historical productivity. With a market cap of approximately CA$91.89 million, C3 is a junior explorer with a high-probability, low-cost entry into a district that has produced over 50 million tonnes of copper.

The Khaleesi Project's potential to host a porphyry system akin to Las Bambas—estimated to hold over 1 billion tonnes of inferred resources—could catalyze a step-change in valuation. For context, Las Bambas' 2023 production of 500,000 tonnes of copper generated $3.5 billion in revenue for MMG. Even a fraction of that scale at Khaleesi could transform C3 into a mid-tier producer.

Risk Mitigation and Path Forward

While exploration is inherently speculative, C3 has mitigated key risks through:
1. Geological analogies to proven deposits.
2. Regulatory readiness and community engagement.
3. Technical leadership with a track record of discovery.

The company's Phase 2 drilling at Jasperoide (which returned 21.15m at 2.79% Cu and 0.59 g/t Au) demonstrates its ability to generate high-grade intercepts. If Khaleesi mirrors Jasperoide's success, the combined resource base could attract strategic partners or joint ventures, accelerating development timelines.

Conclusion: A High-Conviction Play on a District-Scale Opportunity

C3 Metals' Khaleesi Project is a rare, undrilled asset in a world-class district with all the geological, geophysical, and strategic elements of a major discovery. With drilling imminent and a management team capable of executing a transformative drill program, the company offers investors a compelling opportunity to participate in a potential copper-gold megaproject. For those seeking exposure to the energy transition's critical metals, C3 Metals represents a high-conviction, high-reward investment in a sector poised for long-term growth.