Generation Mining Receives Final Federal Approval for Fisheries Act Authorization

Rhea-AI Summary

Generation Mining (TSX:GENM, OTCQB: GENMF) has received the Fisheries Act Authorization (FAA) for its Marathon Palladium-Copper Project. This represents the final federal approval needed to begin construction. The FAA, issued by Fisheries and Oceans Canada, approves the company's plan to mitigate impacts on fish and fish habitat during project development.

The authorization specifically allows for the construction of the tailings storage facility and water management structures essential for the project. With this approval, Gen Mining now awaits three remaining provincial approvals from Ontario's environmental and natural resources ministries, expected in the coming months. Once received, the project will have all key government permits required for construction.

Positive

• Received final federal approval (Fisheries Act Authorization) for the Marathon Project
• Authorization allows construction of critical infrastructure for the project
• Project is progressing towards full regulatory approval for construction

Negative

• Still awaiting three provincial approvals, which could potentially delay project commencement

TORONTO--(BUSINESS WIRE)-- Generation Mining Limited (TSX:GENM, OTCQB: GENMF) (“Gen Mining” or the “Company”) is pleased to announce receipt of the Fisheries Act Authorization (“FAA”) for the Marathon Palladium-Copper Project (the “Marathon Project”). The FAA, issued by Fisheries and Oceans Canada, approves the Company’s plan to avoid, mitigate and offset impacts to fish and fish habitat related to the development of the Marathon Project. Specifically, the authorization allows for the construction of the tailings storage facility and water management structures required for the construction and operation of the Marathon Project.

Jamie Levy, President and CEO says, “This represents the final federal approval required to commence construction of the Marathon Project, and yet another important milestone in bringing Canada’s next critical mineral mine into production. We are very happy with this approval and look forward to receiving the necessary provincial permits and approvals in the coming months.”

The Project requires three remaining provincial approvals to be issued by the Ministry of the Environment, Conservation and Parks and the Ministry of Natural Resources. These are expected in the coming months. Following which, the Project will have all of the key government permits and approvals required for construction.

About Generation Mining Limited

Gen Mining’s focus is the development of the Marathon Project, a large undeveloped palladium-copper deposit in Northwestern Ontario, Canada. On May 31, 2024, the Company filed an Amended Feasibility Study Update for the Marathon Project with an effective date of December 31, 2022 (the “Feasibility Study”).

The Feasibility Study estimates a Net Present Value (using a 6% discount rate) of C$1.16 billion, an Internal Rate of Return of 25.8%, and a 2.3-year payback. The mine is expected to produce an average of 166,000 ounces of payable palladium and 41 million pounds of payable copper per year over a 13-year mine life (“LOM”). Over the LOM, the Marathon Project is anticipated to produce 2,122,000 ounces of palladium, 517 million lbs of copper, 485,000 ounces of platinum, 158,000 ounces of gold and 3,156,000 ounces of silver in payable metals. For more information, please review the Feasibility Study filed under the Company’s profile at www.sedarplus.ca or on the Company’s website at https://genmining.com/projects/feasibility-study/.

The Marathon Property covers a land package of approximately 26,000 hectares, or 260 square kilometres. Gen Mining owns a 100% interest in the Marathon Project.

Qualified Person

The scientific and technical content of this news release was reviewed, verified, and approved by Drew Anwyll, P.Eng., M.Eng, Chief Operating Officer of the Company, and a Qualified Person as defined by Canadian Securities Administrators’ National Instrument 43-101 - Standards of Disclosure for Mineral Projects.

Forward-Looking Information

This news release contains certain forward-looking information and forward-looking statements, as defined in applicable securities laws (collectively referred to herein as "forward-looking statements"). Forward-looking statements reflect current expectations or beliefs regarding future events or the Company’s future performance. All statements other than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues", "forecasts", "projects”, “predicts”, “intends”, “anticipates”, “targets” or “believes”, or variations of, or the negatives of, such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved, including statements related to the anticipated life of mine; mineral production estimates, payback period, and financial returns from the Marathon Project.

Although the Company believes that the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the statements. In particular, there can be no assurance that the life of mine; mineral production estimates, payback period, and financial returns from the Marathon Project will achieve the anticipated results described herein. There are other factors that could also cause actual results to differ materially from those in the forward-looking information. These include the timing for a construction decision; the progress of development at the Marathon Project, including progress of project expenditures and contracting processes, the Company’s plans and expectations with respect to liquidity management, continued availability of capital and financing, the future prices of palladium, copper and other commodities, permitting timelines, exchange rates and currency fluctuations, increases in costs, requirements for additional capital, and the Company’s decisions with respect to capital allocation, and the impact of COVID-19, inflation, global supply chain disruptions, global conflicts, including the wars in Ukraine and Israel, the project schedule for the Marathon Project, key inputs, staffing and contractors, continued availability of capital and financing, uncertainties involved in interpreting geological data and the accuracy of mineral reserve and resource estimates, environmental compliance and changes in environmental legislation and regulation, the Company’s relationships with Indigenous communities, results from planned exploration and drilling activities, local access conditions for drilling, and general economic, market or business conditions, as well as those risk factors set out in the Company’s annual information form for the year ended December 31, 2023, and in the continuous disclosure documents filed by the Company on SEDAR+ at www.sedarplus.ca.

Readers are cautioned that the foregoing list of factors is not exhaustive of the factors that may affect forward-looking statements. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements in this news release speak only as of the date of this news release or as of the date or dates specified in such statements. The Company disclaims any intention or obligation to update or revise any forward- looking information, whether as a result of new information, future events or otherwise, other than as required by law. For more information on the Company, investors are encouraged to review the Company’s public filings on SEDAR+ at www.sedarplus.ca.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240807525006/en/

Jamie Levy

President and Chief Executive Officer

(416) 640-2934 (O)

(416) 567-2440 (M)

jlevy@genmining.com

Source: Generation Mining Limited

FAQ

What is the significance of the Fisheries Act Authorization for Generation Mining's Marathon Project?

The Fisheries Act Authorization is the final federal approval needed for Generation Mining (GENMF) to begin construction on its Marathon Palladium-Copper Project. It allows the company to proceed with building essential infrastructure like the tailings storage facility and water management structures.

What approvals does Generation Mining (GENMF) still need for the Marathon Project?

Generation Mining (GENMF) still needs three provincial approvals for the Marathon Project. These are expected to be issued by Ontario's Ministry of the Environment, Conservation and Parks and the Ministry of Natural Resources in the coming months.

When can Generation Mining (GENMF) start construction on the Marathon Project?

Generation Mining (GENMF) can start construction on the Marathon Project once it receives the three remaining provincial approvals. These are expected in the coming months, after which the project will have all key government permits and approvals required for construction.

What does the Fisheries Act Authorization allow Generation Mining (GENMF) to do?

The Fisheries Act Authorization allows Generation Mining (GENMF) to construct the tailings storage facility and water management structures required for the construction and operation of the Marathon Palladium-Copper Project, while mitigating impacts on fish and fish habitat.