Troy Minerals: A Pivotal Play in Critical Minerals Amid Global Shortages

In an era of escalating demand for clean energy and advanced technologies, critical minerals have emerged as the bedrock of the global economy's transition to sustainability. Among the companies positioned to capitalize on this shift, Troy Minerals Inc. (CSE:TROY)(OTCQB:TROYF)(FSE:VJ3) stands out, particularly through its high-purity silica assets and emerging scandium/vanadium projects. With production timelines set for 2025–2026, Troy's strategic portfolio—anchored by the Tsagaan Zalaa (Mongolia) and Table Mountain (British Columbia) projects—offers investors a rare combination of near-term cash flow potential and long-term growth in critical minerals.

The Tsagaan Zalaa Project: A Near-Term Production Catalyst

Troy's Tsagaan Zalaa Project in southern Mongolia represents its most advanced asset, targeting high-purity silica (SiO₂) production with purity levels exceeding 99%—a specification critical for applications in solar panels, semiconductors, and fiber optics. The project is strategically located within 200 km of the China-Mongolia border, granting direct access to Asia's booming clean energy markets, including China, Japan, and South Korea.

As of Q2 2025, Troy submitted its mining license application for Tsagaan Zalaa, with approval anticipated by year-end. The company plans to employ a cost-effective "Blast-Scoop-Load" method, eliminating the need for a processing plant and accelerating time-to-market. This approach, paired with the deposit's low strip ratio and minimal overburden, positions Tsagaan Zalaa to generate near-term cash flow, a rarity in early-stage mining ventures.

Table Mountain: A World-Class Silica Resource with NI 43-101 Validation

While Tsagaan Zalaa focuses on speed, the Table Mountain Project in British Columbia exemplifies scale and technical rigor. The project's maiden Inferred Mineral Resource Estimate (MRE), released in June 2025, highlights 56.9 million tonnes of silica averaging 98.91% SiO₂, with purity ranges from 95.82% to 99.82%—a spectrum suitable for both industrial and high-tech applications.

Crucially, the MRE adheres to NI 43-101 standards, with a Technical Report expected by late July 2025. This report will solidify the project's credibility, providing investors with transparent data on resource confidence, metallurgical test results, and economic viability. The deposit's open-pit geometry and proximity to existing infrastructure—near the Huckleberry Mine and the CN Rail line—further enhance its development potential.

Production is slated to begin in 2026, with plans for a phased expansion to 1.5 million tonnes per year. Given North America's reliance on imported silica (80% of US demand is met by China and Brazil), Table Mountain could become a domestic supplier to critical industries, reducing geopolitical risks for US and Canadian manufacturers.

Lake Owen: Diversifying into Scandium and Vanadium

While silica dominates Troy's near-term narrative, its Lake Owen Project in Wyoming introduces a compelling diversification play. This project targets scandium (Sc) and vanadium (V)—critical metals for advanced alloys, energy storage, and defense applications. Recent drilling intersected 240 meters of scandium mineralization averaging 69.7 ppm Sc₂O₃, with higher-grade zones reaching 82.7 ppm. Vanadium values averaged 0.10% V₂O₅, with sub-intervals exceeding 0.12%.

Scandium, often grouped with rare earth elements, is vital for high-strength aluminum alloys used in aerospace and electric vehicles. Vanadium's role in redox flow batteries positions it as a cornerstone of grid-scale energy storage. With the USGS supporting exploration via its Earth MRI initiative, Lake Owen is poised to become a domestic source of these metals, addressing supply shortages exacerbated by China's dominance in rare earth markets.

Why Invest in Troy Minerals Now?

1. Near-Term Production: Both Tsagaan Zalaa (2025) and Table Mountain (2026) offer tangible milestones to validate the company's growth story.
2. Technical Credibility: NI 43-101 compliance and third-party reports (e.g., Ray GeoConsulting) reduce execution risk.
3. Strategic Diversification: Silica's role in solar/semiconductors and scandium/vanadium's use in energy storage and defense create a multi-pronged exposure to critical minerals demand.
4. Supply Chain Resilience: North American projects like Table Mountain and Lake Owen align with US/Canada policies to reduce reliance on Chinese imports.

Risks and Considerations

• Regulatory Delays: Mining license approvals, particularly in Mongolia, carry execution risk.
• Commodity Price Volatility: Silica and vanadium prices depend on solar panel demand and energy storage adoption rates.
• Project Scaling Costs: Achieving full production at Table Mountain may require additional capital.

Investment Thesis

Troy Minerals is a high-conviction pick for investors seeking exposure to the critical minerals boom. With two near-term production assets and a pipeline of high-potential projects, the company is well-positioned to capitalize on shortages in silica and rare metals. The NI 43-101 Technical Report for Table Mountain (due July 2025) and Tsagaan Zalaa's license approval are key catalysts that could drive valuation multiples higher.

Recommendation: Consider a buy rating for TROY, with a target price of CAD 2.00–2.50 over the next 12–18 months, assuming successful production ramp-ups and positive scandium/vanadium drill results.

Troy Minerals embodies the paradigm shift in critical minerals investing—where geology meets geopolitics, and where companies with strategic assets can thrive in a resource-constrained world.