Magna Mining Continues to Intersect Copper and Precious Metal Bearing Veins in Multiple Drill Holes at Levack Mine's R2 Target in Sudbury, Including 25.0% Copper, 34.7 g/t Pt+Pd+Au, and 151 g/t Silver over 0.4 metres
Magna Mining's Sudbury Bet Hinges on Exploration as Operations Bleed Cash
On December 9, 2025, Magna Mining announced continued high-grade copper and precious metal intersections from its drilling at the R2 exploration target at the past-producing Levack Mine in Sudbury, Ontario. Key intercepts include: - 25.0% Copper (Cu), 34.7 g/t Platinum+Palladium+Gold (Pt+Pd+Au), and 151 g/t Silver (Ag) over 0.4 metres. - 18.6% Cu, 38.5 g/t Pt+Pd+Au, and 105.0 g/t Ag over 0.6 metres. - 12.3% Cu, 22.2 g/t Pt+Pd+Au, and 78.9 g/t Ag over 1.3 metres.
The drilling has extended the known vertical extent of the R2 mineralization to over 200 metres, and the zone remains open for expansion. Management noted that while the individual vein intersections are narrow, they believe the mineralization is part of a regionally significant system and that such veins can thicken quickly over short distances. Drilling continues with four active rigs.
This news is materially positive as it continues to confirm the presence of a high-grade mineralizing system at the Levack Mine's R2 target, a key future growth asset for the company. However, the impact is tempered by several critical factors when viewed in the context of historical news.
Progression of News
The company has consistently reported high-grade, precious metal-rich intercepts from the Levack footwall throughout the second half of 2025 (July 9, August 28, October 23). This latest release reinforces the geological model and confirms the continuity of the system over a significant vertical extent. On November 18, the company released a substantial initial mineral resource for Levack (6.1M tonnes Indicated @ 3.5% CuEq), establishing it as the company's flagship development project. These new drill results will contribute to expanding that resource.
Operational Context
While the exploration results at Levack are encouraging, they must be weighed against the company's operational performance. The Q3 2025 financial results, reported on November 25, revealed significant challenges at the producing McCreedy West Mine. The company reported a net loss of $10.6 million, negative operating cash flow of $10.8 million, and high All-In Sustaining Costs (AISC) of US$6.54 per copper equivalent pound. The CEO's comments confirmed the company is in a heavy investment cycle, focusing on underground development to access higher-grade stopes with the goal of achieving profitable production in 2026.
Conclusion
The latest drill results are excellent from a grade perspective and successfully de-risk the exploration thesis at Levack. However, the consistent theme of high grades over narrow widths persists, a point candidly acknowledged by management in the release. This raises questions about the potential for bulk-mineable tonnage, a key factor for future economic viability.
The news does not address the immediate and pressing issue of cash burn at McCreedy West. While the company is well-funded following a $50 million financing at $2.40/share in September, the operational turnaround at McCreedy West is paramount to funding long-term growth without further dilution. These exploration results provide positive momentum for the long-term story but do not alter the near-term financial risks.
Magna Mining is a Canadian mining company focused on copper, nickel, and precious metals in the Sudbury Basin, Ontario. In February 2025, the company transformed from an exploration/development company into a producer by acquiring a large portfolio of assets from KGHM International, including the currently producing McCreedy West Mine and several past-producing mines.
While McCreedy West is the sole source of current revenue, the company's flagship asset is the Levack Mine. Levack is a past-producing mine for which Magna published a substantial initial Mineral Resource Estimate in November 2025. The company's intensive exploration program is focused on expanding this resource and advancing Levack towards a production restart, making it the primary long-term value driver.