McEwen Announces Major Gold Resource Estimate and Expansion Potential at Tartan Mine Project

Key Highlights from the Latest Report

• 308,900 oz Indicated and 302,700 oz Inferred Gold Resources at Tartan Mine Project in Flin Flon, Manitoba, calculated at a gold price of US\$3,000/oz.
• Potential for Resource Expansion: Recent drilling, especially around the Main Zone’s Western and Eastern Flanks and at depth, points to significant upside.
• Development Plans: McEwen targets doubling overall production to 250,000–300,000 oz gold by 2030, with Tartan Mine expected to contribute an initial 30,000 oz/year and potentially up to 55,000 oz/year after throughput expansion.
• Exploration Budget: \$6 million allocated for 2026 to expand resources and test additional targets.
• Metallurgical & Environmental Work: Ongoing test work to optimize plant design and investigate cyanide-free recovery technologies, positioning Tartan as a low-impact, environmentally progressive operation.
• Comparison to Previous Estimates: Significant growth in Inferred Resources since 2017 and updated methodology using Mineable Stope Optimizer shapes.

Detailed Analysis and Facts Investors Should Know

1. Substantial Gold Resource at Tartan Mine Project

The newly released Mineral Resource Estimate for the Tartan Mine Project outlines 308,900 ounces of Indicated gold resources (2.62 million tonnes grading 3.67 g/t) and 302,700 ounces of Inferred gold resources (2.83 million tonnes grading 3.32 g/t), both calculated at a gold price of US\$3,000/oz. This marks an important milestone for McEwen as it integrates the historically significant Tartan Mine into its strategic growth plan.

The resource is open for expansion, with immediate upside potential identified in three directions: along the Western and Eastern Flanks of the Main Zone, vertically at both Main and South Zones, and onto the adjacent Tartan West property, where recent surface and historic drilling have shown promising gold grades.

2. Growth Strategy and Production Outlook

The Tartan Mine Project is central to McEwen’s goal of doubling gold production to 250,000–300,000 ounces per year by 2030. The initial production scenario at Tartan is for approximately 30,000 ounces of gold per year, with the potential to expand mill throughput from 500 to 1,000 tonnes per day. If realized, this could boost annual output to 45,000–55,000 ounces. This expansion is subject to future permit modifications and successful resource growth from ongoing exploration efforts.

3. Exploration and Technical Programs

McEwen has earmarked a robust \$6 million exploration budget for 2026, targeting further resource expansion and testing of both near-mine and regional drill targets. Metallurgical test work and underground mine planning are in progress, with a focus on optimizing the process plant and examining innovative, cyanide-free gold recovery methods.

The company is also reviewing its environmental licenses to ensure compliance with the current 500 tpd authorization. The goal is to position Tartan as a low-impact, environmentally advanced operation.

4. Comparison with Historic Resource Estimate

The 2026 resource estimate represents significant growth versus the 2017 NI 43-101 estimate (now considered historical). At a comparable 3.0 g/t cut-off:

• 2026 Indicated Resources: 1.23 million tonnes @ 5.94 g/t for 234,700 oz Au
• 2026 Inferred Resources: 1.26 million tonnes @ 5.16 g/t for 209,500 oz Au
• 2017 Indicated: 1.18 million tonnes @ 6.32 g/t for 240,000 oz Au
• 2017 Inferred: 240,000 tonnes @ 4.89 g/t for 37,000 oz Au

Notably, the Inferred resource more than quadrupled, highlighting the impact of recent exploration and the new modeling approach.

5. Drill Results Indicate Significant Expansion Potential

Recent high-grade intercepts at the resource limits further support the case for resource expansion, with notable results including:

• Western Flank: 7.5 g/t over 18.9m, 12.3 g/t over 14.0m, 6.6 g/t over 7.0m
• Eastern Flank: 9.7 g/t over 4.2m, 6.6 g/t over 6.0m, 12.6 g/t over 2.9m
• At Depth: 4.2 g/t over 53.7m, 12.7 g/t over 3.2m

These results underscore the potential for significant resource growth with further drilling.

6. Strategic and Corporate Developments

– McEwen is advancing underground mine plans to restart production at the previous 500 tpd rate, with initial output of ~30,000 oz/year.
– The company is also exploring a doubling of capacity to 1,000 tpd (potential 45,000–55,000 oz/year).
– Tartan is a key asset within McEwen’s broader portfolio, which includes gold and silver mines in Nevada, Ontario, Argentina, and a significant copper development project (Los Azules) in Argentina.

7. Additional Corporate News

• McEwen holds a 46.3% stake in McEwen Copper, with its interest valued at US\$456 million as per the last financing, and Los Azules is planned to be a carbon-neutral copper mine by 2038.
• The company recently acquired 27.3% of Paragon Advanced Labs Inc., which is deploying innovative PhotonAssay™ units globally, a technology with the potential to become the new industry standard for precious and base metals assay.
• Chairman and Chief Owner Rob McEwen has invested over US\$250 million personally, takes a \$1 salary, and remains highly aligned with shareholders.

Potential Price Sensitive/Shareholder Information

• Material increase in gold resources and the likelihood of further growth could make Tartan a significant value driver for McEwen.
• Plans to boost production and expand mill capacity, if realized, could have a positive impact on future cash flows and valuation.
• The company’s investment in new assay technology (PhotonAssay™) and its copper asset portfolio add further upside and diversification.
• Active focus on environmental leadership and innovative processing techniques may attract ESG-focused investors and partners.
• The significant personal investment and alignment of interests by Rob McEwen may be seen as a vote of confidence in the company’s prospects.

Conclusion

McEwen’s latest update on the Tartan Mine Project provides several positive catalysts for investors: a significant increase in gold resources, clear plans for production restart and expansion, ongoing drilling with a substantial exploration budget, and a strong commitment to environmental stewardship and innovation. The combination of these factors, alongside a diversified precious metals and copper portfolio, positions McEwen for potential re-rating and share price appreciation as project milestones are achieved.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with a qualified financial adviser before making investment decisions. Forward-looking statements in this article are subject to significant risks and uncertainties, and actual results may differ materially.

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