Goliath Drills Multiple High-Grade Gold Intervals Up To 10.72 g/t Au Over 7.83 Meters, Including 20.37 g/t Au Over 4.10 Meters At The 1.8 Km2 Surebet Discovery That Remains Wide Open, Golddigger Property, Golden Triangle, B.C

The most recent news release, dated October 27, 2025, is from Goliath Resources Limited, a company in which McEwen Inc. holds a strategic investment. The release details multiple high-grade gold intervals from its 2025 drill program at the Surebet Discovery in British Columbia's Golden Triangle. Highlights include an intercept of 10.72 g/t Au over 7.83 meters, which includes a higher-grade section of 20.37 g/t Au over 4.10 meters. The release notes that the company has completed its 110-hole, 64,364-meter drill program for 2025 and assays for 84 holes are still pending, of which 66 (79%) contain visible gold. The company also states it is fully funded for its 2026 drill program.

This analysis systematically reviews news from November 2024 to October 2025 to provide context for the most recent release.

The latest news from Goliath Resources is positive for McEwen Inc., validating its strategic investment made in March 2025. The continued high-grade drill results from the Surebet project increase the value and potential of Goliath, and by extension, McEwen's investment portfolio. However, for a diversified producer and developer like McEwen, the impact of these results is not material to its overall valuation. It is a routine, positive development that confirms good capital allocation on a small scale.

The truly material news for McEwen Inc. in the recent period has been internal: - Los Azules Feasibility Study (October 7, 2025): This is a game-changing, positive de-risking event for McEwen. The Feasibility Study on its 46.4%-owned Los Azules copper project confirms a robust, large-scale, long-life project with an after-tax NPV (8%) of $2.9 billion and an IRR of 19.8%. The initial CAPEX is a very substantial $3.17 billion, which introduces significant financing risk. However, securing the Environmental Impact Assessment (EIA) in December 2024 and acceptance into Argentina's RIGI incentive regime in September 2025 have substantially lowered the project's political and regulatory risk profile. The collaboration with the IFC announced in September 2025 further bolsters its financing prospects. - Canadian Gold Corp. Acquisition (October 14, 2025): McEwen announced a definitive agreement to acquire Canadian Gold Corp. in an all-share deal that implies a 96.7% premium over the pre-announcement closing price. While this adds a high-grade, past-producing project (Tartan Lake) in a stable jurisdiction, the extremely high premium and resulting ~8% dilution to McEwen shareholders is a material negative from a capital discipline perspective. This appears to be a costly acquisition. - Exploration & Development Progress: Throughout the past year, the company has consistently delivered positive exploration results. The February 2025 resource update at Grey Fox (Fox Complex) showed a 32% increase in Indicated ounces and a 95% increase in Inferred ounces. Subsequent drilling at Grey Fox (May, September 2025) and the newly acquired Windfall project in Nevada (March, September, October 2025) has continued to expand mineralization. The start of ramp construction at the Stock Mine in June 2025 is a key milestone toward replacing higher-cost production from the Froome mine. - Financials & Balance Sheet: The company shored up its balance sheet by closing a $110 million convertible note offering in February 2025, providing funds for the Fox Complex expansion. Financial results (Q3-Q4 2024, Q1-Q2 2025) have shown the benefits of higher gold prices, but have been plagued by high all-in sustaining costs (AISC) and net losses driven by expensing costs related to the Los Azules project. Q2 2025 showed a return to net income, but AISC at its 100%-owned mines remained high at $2,120/GEO.

In summary, the Goliath news is a minor positive. The overarching story for McEwen is the massive, long-term potential of the de-risked Los Azules project, weighed against the immense challenge of financing its $3.17B CAPEX. The core gold business is undergoing a necessary transition at the Fox Complex to lower costs, but current operational costs remain a concern. The high-premium acquisition of Canadian Gold is a red flag regarding disciplined capital allocation.

McEwen Inc. is a producer and explorer of gold, silver, and copper with a diversified portfolio of assets in Argentina, Canada, and the United States. Its operating assets include the Gold Bar Mine in Nevada, the Fox Complex in Ontario, and a 49% interest in the San José Mine in Argentina.

The company's undisputed flagship project is its 46.4% ownership of McEwen Copper, which holds the 100% owned Los Azules copper project in San Juan, Argentina. Los Azules is one of the world's largest undeveloped copper porphyry deposits. A positive Feasibility Study released in October 2025 outlines a 21-year mine life with low operating costs, positioning it as a potential tier-1 copper mine with leading ESG credentials.