Emperor Metals’ (CSE: AUOZ; US-OTC: EMAUF) is carving out its place in Quebec’s Southern Abitibi Greenstone Belt – one of the world’s richest gold regions – by combining geological expertise with artificial intelligence to uncover high-grade gold potential others might miss.
Fresh off an $11 million (C$7.8 million) financing, the company is preparing to accelerate work across its two key assets, Duquesne West and Lac Pelletier, both advanced-stage projects with strong infrastructure advantages.
At the helm is John Florek, a veteran geologist with more than 30 years in the mining industry, who now leads Emperor as president and CEO. The Northern Miner’s Devan Murugan caught up with Florek to discuss the company’s growth strategy, its use of AI-driven exploration and how Emperor plans to turn discovery into development in one of Canada’s most prolific mining camps.
Devan Murugan: John, let’s start with the basics. For those hearing about Emperor Metals for the first time, how would you describe what the company does and where your focus is right now?
John Florek: We’re an explorer with two advanced-stage projects in the Rouyn-Noranda camp of Quebec. As you mentioned, our goal has been to build a company around assets in this jurisdiction because of its strong infrastructure. Our all-in drilling costs range from about $200 to $250 per metre. Many companies face heavy capital spending to reach production – some even go bankrupt – but that’s not likely to be our case. Both of our projects are within 30 to 45 minutes’ drive of six headframes, mills and tailings facilities.
These deposits could act as satellite deposits, providing supplemental feed to existing infrastructure in the region. That could save us anywhere from half a billion to a billion dollars in capital spending. It means a higher rate of return, a healthy net present value and a quick payback period. That’s the profile we wanted when guiding the company.
DM: You’ve just completed an $11 million financing. What does that mean for the company in practical terms? What comes next?
JF: Absolutely. If you’ve been following us this summer, we just doubled our resources – from 727,000 oz. to 1.46 million ounces. We held off on this financing until we released that maiden mineral resource update. Now that it’s out, this is our first major financing and we’re set to begin drilling by early November. We’ve planned a 10,000- to 15,000-metre drill program, plus about 8,000 metres of historical core that’s never been assayed – all within the conceptual open pit.
There are plenty of catalysts ahead, and even after this program, we’ll still have a healthy cash position. We’re excited to get started.
DM: The Duquesne West gold project has been a big part of your story. What makes it exciting and where do things stand right now?
JF: It’s really exciting because it has tier one potential. We just announced a maiden mineral resource of 1.46 million oz. – a key threshold that suggests meaningful mine life. That’s the kind of scale majors and mid-tier producers like to see. We’ve drilled only about 120,000 metres so far, but we estimate the project will ultimately require 600,000 to 700,000 metres to fully define – from a kilometre down to surface. So we’re only about 15% to 20% into the work and already have 1.5 million oz. defined. We’ve delivered on what we promised in 2023 and 2024, and we plan to keep building ounces as we move forward.
DM: You also hold the Lac Pelletier project nearby. How does that fit into the bigger picture – and could it become a near-term opportunity?
JF: Yes, we view Lac Pelletier as a near-term cash-flow opportunity. We acquired the subsurface rights earlier this year for $1 million in shares only – a remarkable deal given that about $70 million to $80 million has already been spent on the project. It includes 3.3 km of underground development and a ventilation raise – all of which we got for essentially a penny and a half on the dollar.
All we need to do now is dewater, rehabilitate and start mining. Historical bulk-sample work averaged about 4 grams gold per tonne, with 96% recovery. There’s already a mining permit for 1,000 tonnes per day, which translates to roughly 40,000 oz. a year – about $100 million in revenue at US$2,500 gold. If everything lines up, we think we could be in production by the fourth quarter of 2027.
DM: Every explorer wants to find gold faster – or smarter – and that’s where AI comes in. How has it helped guide your exploration so far?
JF: Absolutely. I was first introduced to AI when I served as chief geologist at Detour Lake Gold. We built internal grade-control models that completely changed how the mine operated – and shortly after, Kirkland Lake acquired Detour, then Agnico Eagle acquired Kirkland. That experience showed me what AI can do in a production environment and now we’re applying it in an exploration setting.
AI allows us to process and model huge datasets quickly. It still requires experienced geologists to clean and interpret that data properly. We take complex geological databases – sometimes with more than 100 rock types – and refine them into coherent, usable models. The result is faster, smarter targeting. After drilling a single hole, we can remodel the deposit in near-real time, updating our structural understanding and planning the next drill step more accurately. It’s been tremendously effective.
DM: You’re also watching what’s happening with gold prices – breaking records one week, easing the next. What does this kind of price environment mean for you?
JF: It’s an incredible time. No one’s ever mined at US$3,000 gold – and now we’re above US$4,000. The leverage this gives mining companies is enormous. I’m looking forward to seeing fourth-quarter earnings from the majors like Agnico Eagle – they’re already flush with cash, and they’ll be even more so.
That wealth will trickle down to companies like ours. Majors and mid-tiers are looking for inventory – for high-quality projects they can add to their pipelines. We’re sitting here as a junior with two advanced-stage projects, ready to go it alone if we need to. That’s why we’re so optimistic – especially with Lac Pelletier, which could get us into production and turn Emperor Metals into a mining company in its own right.
DM: It certainly does sound compelling. John Florek is a veteran geologist and the president and CEO of Emperor Metals. John, it’s been a real pleasure speaking with you.
JF: You too, Devan.
