Ladies and gentlemen, welcome to Comstock's 2022 Third Quarter business results webcast. Here is Comstock's Executive Chairman and CEO; Mr. Corrado De Gasperis.

Good afternoon, everyone, and welcome to Comstock Inc.'s third quarter update. I'll provide a business update, including the information from today's press release and our recently filed third quarter report on Form 10-Q. If you don't have a copy of today's press release, you'll find a copy on our website at www.comstock.inc. at the top of the Investor page in the Newsroom section. Our Form 10-Q is also available on the website on the Investor page under SEC filings and also via Edgar on www.sec.gov. Please let me remind you that we will make forward-looking statements on this call and in any statements relating to matters that are not historical facts may constitute forward-looking statements. Our statements are based on our most current expectations and are subject to the same risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties are detailed in previous reports filed by the company and the SEC and in our most recent press release, and all forward-looking statements made during this call are subject to those same and other risks that we can't identify. Once we complete the prepared remarks, Zach will accept and direct all questions. Let me start today with a corporate update, including our financial position as there's a number of valuable developments that I really want to cover first. Our recently reported assets totaled over $116 million, while our market valuation is barely $35 million. All of our work, transactionally and operationally is now focused on unlocking an incredible amount of existing value while also working very hard to creating much, much more. We closed on the Denny Ranch last quarter, and that was great to finally complete. We recorded a gain of well over $1 million and validated what we see happening in this region…

Yes, Corrado do. It's in regards to our mining. And this person would like to know what the projected value of our mining assets is? And what is the next step for our mining properties?

So thank you for the question. So the very next step will be the publication of the SK 1300 report. I am thrilled to be able to give you highlights, especially those resource numbers and ounces. That report will be published this month for sure. But in a stake in the ground, we will put out a very nice communication that puts a very, very large report into very nice context. And summarizes not only the ounces that now have been validated in the ground, but from the day in resource, the exploration potential for two miles of continuous strike to the south of that resource. And in a certain case, in the Occidental case, 1.5 miles of continuous strike to the north. So we've gotten already significant indirect inquiry about the acquisition of those assets, and we're evaluating other alternatives to unlock those assets should we fail to be able to recognize the value in our share price. If you ask me what the value is, I'll leave it to say not 8 figures, it's nine figures plus.

Our next question is on lithium battery recycling. Why is Linaco's lithium battery recycling process better than others in the marketplace/

Yes. It's a great question. I want to emphasize that what we're developing in crushing and separating what we're developing in conditioning of the black mass and what were then correlating to efficient extraction of lithium is novel. And so we have the ability to crush safely, efficiently batteries that haven't been previously discharged. We have the ability to crush all sizes of batteries. The technology is remarkably scalable up and down. We process the materials in a dry environment, the dry environment of voids any cross-contamination and then we burn off all of the contaminants at a temperature that gives us an extremely pure black mass material without burning off and losing any of the lithium contact. So we do not see anyone in the marketplace, having this let's say, amalgamation compilation of technology all working together to give such an efficient result and the scalability is something that we really, really are looking at. We've already announced that we can do large-scale crushing and separating, we could do very small scale crushing and separating. So we're learning quite a bit as we develop this system. It's novel. It's protected by IP, and I believe it's going to be very valuable to us. And I think it could be very valuable to the industry and certain partners in the industry with us.

Okay. And then pivoting to BiOlium, what is the difference with your process working with BiOlium and renewable fuels and why is that process better?

So fundamentally, right, we do not see anybody that can efficiently take woody biomass of any nature. We're talking hardwoods, softwoods willow, [indiscernible] We do not see anybody that's able to efficiently process. We can already today use half of that feedstock to produce cellulosic ethanol. Cellulosic ethanol is molecularly identical to corn ethanol. There's two big differences. One, the feedstock is much, much less expensive, costs much, much less, and it's abundant, so there's three. The feedstock is much less expensive, and it's abundant. And it has a much better carbon impact, the carbon score of using cellulosic ethanol versus corn ethanol is 4 to 5 times greater, which means we get much, much more revenue at a much lower feedstock cost for the same product. Now currently, that's profitable at scale and the other half of the wood can be used as a substitute for burning natural gas. This gives you even higher carbon impact and even better carbon impact core. However, our breakthrough is now being able to process and treat the other half of that feedstock into what we're calling Biolia [ph] which will then produce drop-in fuels. Drop-in fuels like drop in diesel, like sustainable aviation fuel, like marine fuel goes directly into the existing infrastructure into the existing gas tank. What that means is you get 100% of the carbon impact of that fuel as opposed to having to blend the ethanol 10%, 15% with fossil fuels. So the breakthrough with Biolium enhances the yield from the same ton of wood but exponentially impacts the carbon reduction. So from a decarbonization standpoint, we think we have the breakthrough solution from a yield and cost, we think we have the best advantage. And from revenue, we get the most out of the lease. And so as we're developing the drop in fuel from the Biolium, the breakthrough we can produce Biolia. It is a bio intermediary. The EPA and the government are now giving carbon credit for selling biointermediaries. So this is so exciting to us because we can produce these bio intermediaries and sell them to partners who can then produce the drop-in fuels. This will all result in a monstrous acceleration of decarbonization and I'll just say for the record, and I know I've said this to a couple of you one-on-one. Electrification is great. We're excited about the recycling of these metals. But the notion that electrification is going to replace liquid fuels, we think is nonsense. We also think that the notion that electrification is decarbonizing is nonsense, right? The huge decarbonizing impact that this enterprise will have is with these cellulosic fuels.

Okay. Thank you for Corrado. Our next question is an overall finance question. for 2023, what are your sources and uses of cash?

Thank you very much. So obviously, we are keen to monetize the sale of the Sears Springs opportunity fund investment and the assets that we're selling to them, that will be $18 million. We have another investment that we're monetizing. The amount could be much more significant, but we're banking on about $7 million to $10 million. Those 2 sums alone total to over $30 million, $28 million, $30 million and we think those will be the primary sources of our capital. To the extent that we monetize those assets and we're sitting on - I'm going to offer this up because I've gotten bombarded by these inquiries. To the extent that we're sitting on $25 million, $30 million of cash and our share price doesn't respond, which I believe strongly it will, given our market cap, then we would look to seriously buy back some of our stock if it doesn't respond. I think it will respond. I think our achievements and these monetizations will force a response. And if we're lucky, we'll get some turn in the market, which, of course, has been horrible this year, hopefully, we'll be a bit better next year, but we're not banking on the market.

We have had a few questions on this next topic. What is the time line for the grant application with the DOE?

Yes. So the grant, I think it's imminent. Like from what we understood in terms of their time frames, it was going to be - or the latest that we understood was early November. So we expect to hear back any day now, we're very optimistic about it. I'll just repeat what I said on the last call, that grant that funding opportunity was a catalyst for us. I mean it resulted in - initially to 10 to 12 engagements with industry partners and relevant parties. That number is easily over two dozen to maybe even three dozen. We are fully engaged in the market now with the recognition that our technology is here and can do some things immediately and that our technology is here and has developments that are very near term to do even more. So it will be a nice validation from the government to win that grant. It's only one of about seven pathways that are being developed. The other six are moving forward. And so hopefully, we'll hear very soon.

Okay. Corrado, Shifting over to Genmab. There is an upcoming satellite launch. And people would also like you to elaborate a little further on the different milestones that you have with Genmab?

Thank you for that question. Look, with Genmab, we have said in the past that we're not a majority owner of Genmab, first of all. We're very, very close to the incredible work that they're doing. And I'm happy to speak at a very high level about what's happening there and what it might entail. We won't get into any specifics or details about their research and development, but I think it would probably be fair to clarify a few things. Look, Genmab's, you asked about the objectives or the milestone. So Genmab's first objective is to validate through a proof of concept that there programs, their artificial intelligence, they're artificially intelligent algorithms, if you will, can define certain critical properties of known materials. By known properties, I mean material characteristics, things like the band gap of a specific material or the electrical or the thermal conductivity of a material. What's incredible is that they can take a simulation or an analysis that can take months upon months upon months worth of conventional research and development from some of the most advanced companies on the planet. And Genmab today can do that in just a few days. They can do it in just a few days with classical computing hardware. And they can do that today. I mean, we believe Genmab's is the first company in the world that can actually do this. As this capability evolves, they'll be able to enhance these materials and ultimately generate new material capabilities and ultimately, create even new materials, right? Hence, the name of the company, Quantum generative materials, Genmab for short. As their programs develop as their AI evaluates these materials, and it evaluates these materials at the atomic and the quantum mechanical level. right? So we're doing things at a level of precision heretofore not done before. And it's this capability. It's this artificial intelligence that ultimately will be able to enable other types of material dissemination such as mineral discovery. So you asked and I believe Genmab has already publicly disclosed that they're launching a satellite that has one of the most powerful hyper spectral arrays and imagers from space and what is it able to do? Well, hopefully, it's going to be enable some high-precision prospecting of minerals - minerals on mine sites, right? So we don't - we haven't talked about our plans specifically. And I guess there's more to come in that regard soon. But Genmab is pioneering. They're on the frontier of these developments in an absolutely tangible and real way, like they're already achieving these objectives.

Corrado, that does it for our questions today. We did receive several questions on our various lines of business. So I definitely want to thank everyone for those questions. Corrado De Gasperis Thank you all. I really appreciate this update. I have to say that what our management team has scheduled and on tap for the next two or three months is more than I've seen in front of us. I say that in an exciting way, right? The opportunities are manifesting. The partners are engaging. The technology is developing, and we will be we will be absolutely communicating the achievements as soon as they come online. Thank you, everyone, for your time.