Pre-Feasibility Study for Grey Fox at Fox Complex — High Returns, Manageable Capital, Mine Life Extended to 2041
Press Release
June 8, 2026
ORONTO, June 08, 2026 — McEwen Inc. (NYSE, TSX: MUX) (“McEwen” or the “Company”) is pleased to announce the results of the Pre-Feasibility Study (“PFS”) for its 100%-owned Grey Fox Project, located near Timmins, Ontario. Grey Fox is expected to become a major source of ore for the Fox Complex and play a key role in increasing production. With the addition of Grey Fox, gold production at the Fox Complex is projected to reach ~100,000 gold ounces in 2029 and average ~87,000 gold ounces annually from 2028 through 2041. This production growth is expected to support the Company’s near-term objective of increasing total annual production to 250,000–300,000 gold equivalent ounces (“GEOs”) by 2030.
Based on current prices of over $4,000 per ounce of gold and over $50 per ounce of silver, management believes that our forecast production will generate sufficient cash flow to self-fund production growth with limited to no share dilution. Grey Fox is expected to benefit from the combination of utilizing the Company’s Stock Mill and tailings facilities, along with its existing workforce.
Grey Fox PFS Highlights
- Grey Fox will extend the Fox Complex mine life by 15 years to 2041, with mine reserves totalling approximately 40% of the current resource, leaving opportunity to further extend the mine life supported by significant exploration upside.
- From 2028 to 2035, Grey Fox is projected to contribute an average of 43,000 gold ounces to annual production for the Fox Complex, with the balance being sourced from the Stock Mine.
- From 2035 to 2040, Grey Fox will become the sole source of production, averaging 87,000 gold ounces per year, and tapering off in 2041. For comparison, the Fox Complex production in 2026 is projected at 16,000–19,000 gold ounces.
- Initial capital expenditures (“CAPEX”) are estimated to be $181 million. Based on current gold prices of over $4,000 per ounce, capital expenditures are expected to be funded primarily internally, from treasury and operating cash flow. CAPEX requirements will be spread out as follows: $17 million in 2026, $60 million in 2027, $80 million in 2028 and $24 million in 2029.
- Cash costs and all-in sustaining costs (“AISC”) per ounce over the life of mine of $1,833 and $2,212, respectively, at a gold price of $3,000 per ounce (base case).
- Cash costs and AISC per ounce over the life of mine of $2,042 and $2,421, respectively, at a gold price of $4,500 per ounce (enhanced case).
- At a gold price of $3,000 per ounce: Pre-tax NPV (5%) of $429 million, IRR of 31%, and payback of 3.9 years; Post-tax NPV (5%) of $282 million, IRR of 25%, and payback of 4.6 years.
- At a gold price of $4,500 per ounce: Pre-tax NPV (5%) increases to $1.25 billion, with an IRR of 70%, and payback of 2 years; Post-tax NPV (5%) increases to $841 million, with IRR of 55% and payback of 2.3 years.
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