EDM Announces Positive Ore Sorting Testwork Results for the Scotia Mine

EDM Resources announced positive ore sorting testwork results from its 100% owned Scotia Mine. Conducted by SGS Canada and Steinert USA, the XRF sensor-based sorting technology demonstrated significant grade upgrades and waste rejection. Zinc grade increased by 26.1% to 20.7%, and lead grade increased by 27.9% to 19.4%. Retained products achieved 93.2% zinc and 94.8% lead recovery. 25.2% of feed mass was rejected as waste, with retained ore representing 58.8% of original feed.

Capital cost savings are estimated at approximately $2 million compared to Dense Media Separation (DMS), with ore sorting at approximately $1.5 million versus DMS at approximately $3.5 million. Ore sorting outperformed previous DMS testwork in zinc recovery by 6.7% and grade increase by 41.8%, though DMS had slightly better lead recovery by 4.1%. The company cautions that these results are not a direct like-for-like comparison due to different feed samples and operating conditions.

Administrative updates include stock option grants of 1.5 million units at C$0.70 and RSU vestings of 575,000 units.

EDM Resources Inc. (EDM) has completed testwork demonstrating a viable, lower-cost alternative to dense media separation (DMS) for processing ore from the Scotia Mine, a development that directly supports the company’s updated Preliminary Feasibility Study (PFS). The proposed method offers approximately $2 million in capital expenditure savings and higher zinc recovery rates, improvements that enhance project economics and reduce execution risk.

The findings align with the company’s Q2 2026 announcement regarding the evaluation of ore sorting equipment. Rather than representing a sudden paradigm shift, the results constitute a logical optimization step in the project’s development. While the news does not immediately impact the 2027 restart timeline, it strengthens the technical case for the updated PFS. Additionally, recent administrative equity grants are viewed as standard compensation practices that do not materially impact the technical narrative.

EDM Resources Inc. is a development-stage mining company focused on restarting the Scotia Mine in Nova Scotia, Canada. The Scotia Mine is a 100% owned, past-producing open-pit zinc-lead-gypsum operation located approximately 60 km northeast of Halifax. The project benefits from substantial existing infrastructure, including a processing plant, tailings management facilities, grid power, and proximity to the Port of Halifax and CN Railway.

The 2021 Preliminary Feasibility Study outlined a 14-year mine life, C$31 million initial capital expenditure, and a 69% after-tax IRR. The company is currently updating the resource estimate and PFS to incorporate new processing technologies, revised cost assumptions, and updated commodity pricing.