McEwen Mining: Grey Fox Gold Resources Hit a Significant Milestone
McEwen Mining (NYSE: MUX) has reported significant increases in gold resources at its Grey Fox deposit as of December 31st, 2024. The Indicated Resource increased by 32% to 1,538,000 ounces of gold, while the Inferred Resource grew by 95% to 458,000 ounces.
The resource growth was achieved at a discovery cost of US $14.46 per ounce. The deposit comprises six zones: Contact, 147, 147 NE, Grey Fox South, Gibson, and Whiskey-Jack. Notable increases were seen in the Gibson zone, where Indicated resources grew 181% to 290,000 oz and Inferred resources increased 80% to 245,000 oz.
The resource update reflects a lower cut-off grade (from 2.30 g/t Au to 1.60 g/t Au) due to higher gold prices (US$2,000/oz vs US$1,750/oz previously used). The Grey Fox deposit contains over 150 distinct mineralized lenses across 1.4 square kilometers, with many extending to bedrock surface.
McEwen Mining (NYSE: MUX) ha riportato un significativo aumento delle risorse d'oro presso il suo deposito Grey Fox al 31 dicembre 2024. La Risorsa Indicata è aumentata del 32% a 1.538.000 once d'oro, mentre la Risorsa Presunta è cresciuta del 95% a 458.000 once.
La crescita delle risorse è stata ottenuta con un costo di scoperta di 14,46 USD per oncia. Il deposito comprende sei zone: Contact, 147, 147 NE, Grey Fox South, Gibson e Whiskey-Jack. Aumenti notevoli sono stati osservati nella zona Gibson, dove le risorse Indicate sono cresciute del 181% a 290.000 oz e le risorse Presunte sono aumentate dell'80% a 245.000 oz.
L'aggiornamento delle risorse riflette un grado di cut-off più basso (da 2,30 g/t Au a 1,60 g/t Au) a causa dei prezzi dell'oro più elevati (2.000 USD/oz rispetto ai 1.750 USD/oz precedentemente utilizzati). Il deposito Grey Fox contiene oltre 150 lenti mineralizzate distinte in un'area di 1,4 chilometri quadrati, molte delle quali si estendono fino alla superficie della roccia madre.
McEwen Mining (NYSE: MUX) ha informado sobre un aumento significativo en los recursos de oro en su depósito Grey Fox al 31 de diciembre de 2024. Los Recursos Indicados aumentaron un 32% a 1,538,000 onzas de oro, mientras que los Recursos Inferidos crecieron un 95% a 458,000 onzas.
El crecimiento de los recursos se logró a un costo de descubrimiento de 14.46 USD por onza. El depósito comprende seis zonas: Contact, 147, 147 NE, Grey Fox South, Gibson y Whiskey-Jack. Se observaron aumentos notables en la zona Gibson, donde los recursos Indicados crecieron un 181% a 290,000 oz y los recursos Inferidos aumentaron un 80% a 245,000 oz.
La actualización de recursos refleja un grado de corte más bajo (de 2.30 g/t Au a 1.60 g/t Au) debido a los precios más altos del oro (2,000 USD/oz frente a 1,750 USD/oz utilizados anteriormente). El depósito Grey Fox contiene más de 150 lentes mineralizadas distintas en una superficie de 1.4 kilómetros cuadrados, muchas de las cuales se extienden hasta la superficie del lecho de roca.
맥에웬 마이닝 (NYSE: MUX)은 2024년 12월 31일 기준으로 그레이 폭스(Grey Fox) 광산의 금 자원에서 중요한 증가를 보고했습니다. 보고된 자원은 32% 증가하여 1,538,000온스의 금으로 늘어났고 추정 자원은 95% 증가하여 458,000온스에 이릅니다.
자원 성장은 온스당 14.46달러의 발견 비용으로 이루어졌습니다. 이 광산은 Contact, 147, 147 NE, Grey Fox South, Gibson, Whiskey-Jack의 여섯 개 구역으로 구성되어 있습니다. Gibson 구역에서는 보고된 자원이 181% 증가하여 290,000 oz에 이르고, 추정 자원은 80% 증가하여 245,000 oz에 달하는 주목할 만한 증가가 있었습니다.
자원 업데이트는 금 가격이 상승함에 따라 컷오프 등급이 낮아진 것을 반영합니다 (2.30 g/t Au에서 1.60 g/t Au로 변경됨; 이전 기준 가격은 1,750 USD/oz이었고 현재는 2,000 USD/oz입니다). 그레이 폭스 광산은 1.4제곱킬로미터에 걸쳐 150개 이상의 독립적인 광화 렌즈를 포함하며, 많은 렌즈가 암석표면까지 확장됩니다.
McEwen Mining (NYSE: MUX) a rapporté des augmentations significatives des ressources en or sur son dépôt de Grey Fox au 31 décembre 2024. La ressource indiquée a augmenté de 32 % pour atteindre 1 538 000 onces d'or, tandis que la ressource inférée a crû de 95 % pour atteindre 458 000 onces.
Cette croissance des ressources a été réalisée à un coût de découverte de 14,46 USD par once. Le dépôt se compose de six zones : Contact, 147, 147 NE, Grey Fox South, Gibson et Whiskey-Jack. Des augmentations notables ont été constatées dans la zone Gibson, où les ressources indiquées ont augmenté de 181 % pour atteindre 290 000 oz et les ressources inférées ont crû de 80 % pour atteindre 245 000 oz.
La mise à jour des ressources reflète un seuil de coupure plus bas (de 2,30 g/t Au à 1,60 g/t Au) en raison de la hausse des prix de l'or (2 000 USD/oz contre 1 750 USD/oz précédemment utilisés). Le dépôt de Grey Fox contient plus de 150 lentilles minéralisées distinctes sur 1,4 kilomètre carré, dont beaucoup s'étendent jusqu'à la surface de la roche sous-jacente.
McEwen Mining (NYSE: MUX) hat bis zum 31. Dezember 2024 erhebliche Zuwächse bei den Goldressourcen seines Grey Fox Deposits gemeldet. Die angezeigte Ressource stieg um 32% auf 1.538.000 Unzen Gold, während die vermutete Ressource um 95% auf 458.000 Unzen zunahm.
Das Wachstum der Ressourcen wurde zu entdeckenden Kosten von 14,46 USD pro Unze erzielt. Das Depot umfasst sechs Zonen: Contact, 147, 147 NE, Grey Fox South, Gibson und Whiskey-Jack. In der Gibson-Zone gab es bemerkenswerte Zuwächse, wo die angezeigten Ressourcen um 181% auf 290.000 oz und die vermuteten Ressourcen um 80% auf 245.000 oz wuchsen.
Das Update der Ressourcen spiegelt eine niedrigere Grenzgradierung wider (von 2,30 g/t Au auf 1,60 g/t Au), bedingt durch die höheren Goldpreise (2.000 USD/Unze im Vergleich zu zuvor verwendeten 1.750 USD/Unze). Das Grey Fox Depot enthält über 150 verschiedene mineralisierte Linsen über eine Fläche von 1,4 Quadratkilometern, von denen viele bis zur Festgesteinsoberfläche reichen.
- 32% increase in Indicated Resource to 1,538,000 oz gold
- 95% increase in Inferred Resource to 458,000 oz gold
- Low discovery cost of US$14.46 per ounce
- Gibson zone showed 181% increase in Indicated resources
- Whiskey-Jack zone shows high grade of 5.7 g/t Au with 116,000 oz gold
- 24% decrease in Indicated Resource grade
- 25% decrease in Inferred Resource grade
Insights
The substantial resource expansion at Grey Fox represents a significant value creation for McEwen Mining, with several notable aspects that deserve attention:
The discovery cost of
The Gibson zone's 181% increase in Indicated resources is particularly strategic due to the existing ramp infrastructure, which could accelerate the path to production while minimizing capital requirements. The historical bulk sample grading 27 g/t from this zone suggests the potential for high-grade mining zones within the broader resource.
While the overall grade decreased by
The Whiskey-Jack zone emerges as a potential early-stage mining target with its superior grade of 5.7 g/t and wider mineralization (5-7 meters), which could provide attractive early cash flows. Its proximity to the Gibson Ramp (350 meters) further enhances its near-term production potential.
TORONTO, Feb. 03, 2025 (GLOBE NEWSWIRE) -- McEwen Mining Inc. (NYSE: MUX) (TSX: MUX) is pleased to report a significant increase in the estimated gold (Au) resources at the Fox Complex’s Grey Fox deposit to December 31st, 2024, compared to the last estimate in the 2021 Fox Complex PEA (refer to Table 1). The discovery cost of this increase was US
The increase in resources at Grey Fox can be attributed to a number of factors: exploration drilling discovering and extending new and existing gold lenses; a higher gold price used to calculate the resource, from US
Rob McEwen, Chairman and Chief Owner, said, “Our investment in exploration on the Fox Complex properties has successfully expanded our gold resources, which will enable us to both increase annual production and extend the mine life. Grey Fox is one of several exploration targets contributing to the growth of gold resources and enhancing the future production at our Fox Complex.”
Table 1. Grey Fox Mineral Resource Update
| Grey Fox Mineral Resource Update as of December 31st, 2024 | ||||||
| Resource | Cut-off Grade | Quantity | Grade Gold | Contained Metal | ||
| Classification | Gold (g/t) | ('000 t) | (g/t) | Gold (oz) | ||
| Measured | 1.60 | - | - | - | ||
| Indicated | 1.60 | 13,135 | 3.64 | 1,538,000 | ||
| Total Measured + Indicated | 1.60 | 13,135 | 3.64 | 1,538,000 | ||
| Inferred | 1.60 | 4,319 | 3.30 | 458,000 | ||
| Total Inferred | 1.60 | 4,319 | 3.30 | 458,000 | ||
The Grey Fox deposit is located approximately 3 kilometers South-East of McEwen Mining’s Black Fox Mine and about 75 kilometers East of Timmins, Ontario, Canada (see Figure 1). The geology of the Fox Complex shown in Figure 1 is highly favourable for structurally controlled gold mineralization principally due its proximity to the world-class Porcupine-Destor Fault Zone and subordinate splay faults such as the A-1 and Gibson-Kelore. In addition, there is a large intrusive porphyry (syenite) body at Grey Fox which could also have been a ‘heat-engine’ for much of the gold mineralization. Current geological modeling of Grey Fox by McEwen Mining indicates the presence of over 150 distinct mineralized lenses in an area of about 1.4 square kilometers, with many of the lenses extending to the bedrock surface. The high concentration of lenses in such a compact area may indicate a robust mineralized system at Grey Fox. This is especially evidenced at the Gibson zone, where our drilling has confirmed mineralization from near surface (<25 m) down to vertical depths exceeding 800 m. In addition, the majority of these mineralized lenses remain open at depth.
Figure 1. Plan View Map of the Eastern Fox Complex
Referring to Table 2 below it can be seen that the 2024 resource update resulted in an increase (compared to the 2021 PEA) in contained gold for all six zones, for both the Indicated and Inferred categories. Of particular interest are the increases at Gibson because of the historical Gibson Ramp which, when recommissioned, could provide access for early production ounces from Grey Fox. Gibson’s Indicated resource increased
Table 2. Comparison by Zone Between the 2021 PEA Resource and the December 31st, 2024 Resource Update
| Classification | Zone | Quantity ('000 t) | Grade Gold (g/t) | Contained Metal - Gold (oz) | |||||||||
| PEA 2021 | Dec 2024 | % Change | PEA 2021 | Dec 2024 | % Change | PEA 2021 | Dec 2024 | % Change | |||||
| Indicated | Contact Zone | 2,346 | 3,449 | 47 | % | 5.06 | 3.61 | -20 | % | 382,000 | 400,000 | 47 | % |
| 147 Zone | 1,952 | 3,159 | 62 | % | 4.89 | 3.85 | -15 | % | 307,000 | 391,000 | 59 | % | |
| 147NE Zone | 863 | 1,247 | 44 | % | 5.40 | 4.01 | -19 | % | 150,000 | 161,000 | 17 | % | |
| South Zone | 1,267 | 1,547 | 22 | % | 4.69 | 3.62 | -24 | % | 191,000 | 180,000 | 31 | % | |
| Gibson Zone | 1,137 | 3,097 | 172 | % | 3.79 | 2.91 | -20 | % | 139,000 | 290,000 | 181 | % | |
| WJ Zone | - | 636 | - | - | 5.69 | - | - | 116,000 | - | ||||
| Inferred | Contact Zone | 259 | 609 | 135 | % | 4.58 | 3.34 | -23 | % | 38,000 | 65,000 | 97 | % |
| 147 Zone | 246 | 532 | 116 | % | 4.85 | 4.23 | -21 | % | 38,000 | 72,000 | 78 | % | |
| 147NE Zone | 64 | 120 | 88 | % | 7.51 | 5.28 | -23 | % | 15,000 | 20,000 | 16 | % | |
| South Zone | 135 | 460 | 241 | % | 4.38 | 3.52 | -24 | % | 19,000 | 52,000 | 39 | % | |
| Gibson Zone | 982 | 2,587 | 164 | % | 3.95 | 2.94 | -24 | % | 125,000 | 245,000 | 80 | % | |
| WJ Zone | - | 11 | - | - | 9.40 | - | - | 3,000 | - | ||||
Also noteworthy to mention is that the resource for the Whiskey-Jack (WJ) zone is categorized as
The discovery cost per ounce of gold (since the 2021 PEA resource estimate) was US
Table 3 provides a comparison of the 2021 PEA resource estimate with the December 31st, 2024 resource update. The decrease in grade reflects the lower cut-off used in the calculation of mineral resources using potential underground mining scenario shapes due to an increase in the gold price used, which has risen from US
Table 3. Comparison of the 2021 PEA Resource Estimate to the Year-End 2024 Resource Estimate
| PEA 2021 | ||||
| Classification | Cut-off Grade | Quantity | Grade Gold | Contained Metal |
| Gold (g/t) | ('000 t) | (g/t) | Gold (oz) | |
| Measured Resource | 2.30 | - | - | - |
| Indicated Resource | 2.30 | 7,566 | 4.80 | 1,168,000 |
| Total Measured + Indicated | 2.30 | 7,566 | 4.80 | 1,168,000 |
| Inferred Resource | 2.30 | 1,685 | 4.36 | 236,000 |
| Total Inferred | 2.30 | 1,685 | 4.36 | 236,000 |
| Grey Fox Mineral Resource Update as of December 31st, 2024 | ||||
| Classification | Cut-off Grade | Quantity | Grade Gold | Contained Metal |
| Gold (g/t) | ('000 t) | (g/t) | Gold (oz) | |
| Measured Resource | 1.60 | - | - | - |
| Indicated Resource | 1.60 | 13,135 | 3.64 | 1,538,000 |
| Total Measured + Indicated | 1.60 | 13,135 | 3.64 | 1,538,000 |
| Inferred Resource | 1.60 | 4,319 | 3.30 | 458,000 |
| Total Inferred | 1.60 | 4,319 | 3.30 | 458,000 |
| Changes in the Elements of the Resource Estimation - December 31st, 2024 versus PEA 2021 | ||||
| Classification | Quantity | Grade Gold | Contained Metal | |
| ('000 t) | (g/t) | Gold (oz) | ||
| Measured Resource | - | - | - | |
| Indicated Resource | - | |||
| Total Measured + Indicated | 74% | - | 32% | |
| Inferred Resource | - | |||
| Total Inferred | 156% | - | 95% | |
Technical Information
Technical information pertaining to the Fox Complex exploration contained in this news release has been prepared under the supervision of Sean Farrell, P.Geo., Exploration Manager, who is a Qualified Person as defined by Canadian Securities Administrators National Instrument 43-101 "Standards of Disclosure for Mineral Projects."
The technical information related to resource and reserve estimates in this news release has been reviewed and approved by Luke Willis, P.Geo., McEwen Mining’s Director of Resource Modelling and is a Qualified Person as defined by SEC S-K 1300 and Canadian Securities Administrators National Instrument 43-101 "Standards of Disclosure for Mineral Projects."
Footnotes to Tables 1-3
- Mineral resources are not mineral reserves and do not have demonstrated economic viability.
- All figures are rounded to reflect the relative accuracy of the estimates.
- Composites were capped where appropriate.
- Historical mineral resources stated for the 2021 PEA are reported at a cut-off grade of 2.30 g/t gold, assuming an underground extraction scenario, a gold price of US
$1,725 per ounce, and a metallurgical recovery of 90 percent. - Updated mineral resources for December 2024 are reported at a cut-off grade of 1.60 g/t gold, assuming an underground extraction scenario, a gold price of US
$2,000 per ounce, and a metallurgical recovery of 90 percent.
CONCERNING FORWARD-LOOKING STATEMENTS
This news release contains certain forward-looking statements and information, including "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements and information expressed, as at the date of this news release, McEwen Mining Inc.'s (the "Company") estimates, forecasts, projections, expectations or beliefs as to future events and results. Forward-looking statements and information are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive uncertainties, risks and contingencies, and there can be no assurance that such statements and information will prove to be accurate. Therefore, actual results and future events could differ materially from those anticipated in such statements and information. Risks and uncertainties that could cause results or future events to differ materially from current expectations expressed or implied by the forward-looking statements and information include, but are not limited to, fluctuations in the market price of precious metals, mining industry risks, political, economic, social and security risks associated with foreign operations, the ability of the Company to receive or receive in a timely manner permits or other approvals required in connection with operations, risks associated with the construction of mining operations and commencement of production and the projected costs thereof, risks related to litigation, the state of the capital markets, environmental risks and hazards, uncertainty as to calculation of mineral resources and reserves, foreign exchange volatility, foreign exchange controls, foreign currency risk, and other risks. Readers should not place undue reliance on forward-looking statements or information included herein, which speak only as of the date hereof. The Company undertakes no obligation to reissue or update forward-looking statements or information as a result of new information or events after the date hereof except as may be required by law. See McEwen Mining's Annual Report on Form 10-K for the fiscal year ended December 31, 2023, Quarterly Report on Form 10-Q for the three months ended March 31, 2024, June 30, 2024, and September 30, 2024, and other filings with the Securities and Exchange Commission, under the caption "Risk Factors", for additional information on risks, uncertainties and other factors relating to the forward-looking statements and information regarding the Company. All forward-looking statements and information made in this news release are qualified by this cautionary statement.
The NYSE and TSX have not reviewed and do not accept responsibility for the adequacy or accuracy of the contents of this news release, which has been prepared by the management of McEwen Mining Inc.
ABOUT MCEWEN MINING
McEwen Mining Inc. is a gold and silver producer with operations in Nevada (USA), Canada, Mexico, and Argentina. The company also owns
Focused on enhancing productivity and extending the life of its assets, the Company's goal is to increase its share price and provide investor yield. Rob McEwen, Chairman and Chief Owner, has a personal investment in the companies of US
McEwen Mining's shares are publicly traded on the New York Stock Exchange (NYSE) and the Toronto Stock Exchange (TSX) under the symbol "MUX".
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FAQ
What is the new Indicated Resource at McEwen Mining's Grey Fox deposit as of December 2024?
How much did MUX's Grey Fox Inferred Resource increase in the December 2024 update?
What was the discovery cost per ounce for MUX's Grey Fox resource expansion?
How many mineralized lenses does MUX's Grey Fox deposit contain?
What is the new cut-off grade for MUX's Grey Fox resource calculation?
