McEwen Mining reports increase in estimated gold resources at Grey Fox

McEwen Mining (MUX) reported an increase in the estimated gold resources at the Fox Complex’s Grey Fox deposit to December 31st, 2024, compared to the last estimate in the 2021 Fox Complex PEA. The discovery cost of this increase was $14.46 per ounce. The deposit itself is subdivided into six different zones: Contact, 147, 147 NE, Grey Fox South, Gibson & Whiskey-Jack. An intriguing historic public government record reports that a bulk sample of 8,000 tonnes taken in 1989 from the Gibson zone ramp yielded an average grade in excess of 27 g/t gold. Mineralization at Grey Fox is in close proximity to the highly prolific Porcupine-Destor fault, which historically has been associated with the production of some 110 million ounces of gold. A complete update of the mineral resources at the Fox Complex will be published in the coming weeks. 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 $1,750, used in 2021 to $2,000 today that allowed for a lower cut-off grade, from 2.30 g/t Au to 1.60 g/t Au, which also benefited from foreign exchange rates, used in the evaluation of potential underground mining scenario shapes. Rob McEwen, Chairman, 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.”