FORTUNE BAY ANNOUNCES UPDATED PEA FOR GOLDFIELDS, SASKATCHEWAN

Executive Summary

• Fortune Bay released an Updated PEA for its 100% owned Goldfields gold project in northern Saskatchewan, showing a after‑tax NPV (5%) of C$1.25 billion at a spot gold price of US$3,650/oz and an IRR of 74%.
• The study highlights a low‑cost, capital‑efficient open‑pit operation (sub‑5,000 tpd) with initial capex of C$301 M, sustaining capex of C$142 M, and strong free cash flow generation (C$1.8 billion after‑tax over life of mine at the spot price).
• The company plans to advance to a Pre‑Feasibility Study, pursue additional permitting, and execute a 2,000–3,000 m drilling program for resource growth; a live webinar will be held on Sept 25, 2025.

Key Details

• Economic Highlights (Base Case – US$2,600/oz):
• After‑tax NPV(5%): C$610 M
• After‑tax IRR: 44%
• Payback period: 1.7 years
• Cash cost: US$1,207/oz; AISC: US$1,330/oz
• Economic Highlights (Spot Price – US$3,650/oz):
• After‑tax NPV(5%): C$1,253 M
• After‑tax IRR: 74%
• NPV/CAPEX ratio: 4.2
• Project Scale:
• Mine life: 13.9 years (≈896 k oz payable gold)
• Throughput: 4,950 tpd (average 1.8 Mtpa)
• Total mill feed: 25.2 Mt at 1.16 g/t Au
• Capital Requirements:
• Initial CAPEX: C$301 M (includes C$51 M contingency)
• Sustaining CAPEX: C$142 M over LOM
• Closure cost: C$15 M
• Operating Costs:
• Cash cost per ounce: US$1,207
• AISC per ounce: US$1,330 (includes sustaining capex & closure)
• Resource Estimate (effective 11‑Sep‑2025):
• Indicated: 24.0 Mt @ 1.28 g/t Au = 989.6 k oz (Box 16.2 Mt @ 1.41 g/t; Athona 7.8 Mt @ 1.02 g/t)
• Inferred: 7.4 Mt @ 0.90 g/t Au = 214.2 k oz
• Metallurgy: Whole‑ore leach with gravity recovery and CIP; recoveries ~95.9% (Box) & 93.5% (Athona). Ongoing SGS test work for high‑grade concentrate production.
• Permitting: Existing 2008 EIS valid for ≤5,000 tpd open‑pit operation; additional approvals being pursued for updated mine plan and waste/tailings facilities.
• Next Steps:
• Commence Pre‑Feasibility Study (metallurgical testing, geotechnical work, engineering, permitting updates).
• Execute a 2,000–3,000 m drilling program (≈15–20 holes) to test resource expansion at Box, Athona, Frontier Lake, Golden Pond & Triangle.
• Continue community and Indigenous engagement; baseline environmental studies ongoing for 2026 regulatory submissions.
• Webinar: Live presentation of Updated PEA results on Sept 25, 2025 at 12 PM EDT (registration link provided).

Notable Quotes

“The Updated PEA demonstrates the exceptional economics of Goldfields… we are now focused on securing additional permits, advancing key de‑risking PFS studies, and preparing for resource‑growth drilling.” – Dale Verran, CEO, Fortune Bay Corp.