FireFly makes another significant high-grade copper-gold VMS discovery

FireFly Metals Ltd. (FFM) has announced the discovery of a new copper-gold Volcanogenic Massive Sulphide (VMS) system at the Mount Joy prospect, part of its Green Bay Copper-Gold Project in Newfoundland. The deposit is located approximately 35km east of the company’s flagship Ming Mine and roughly 2.6km from the Nugget Pond mill, which is currently on care and maintenance.

Initial drilling results highlight significant mineralization in the discovery hole FFR26-071, which returned 22.5m @ 2.5% CuEq (1.87% Cu, 0.64 g/t Au, 1.8 g/t Ag, 0.38% Zn) from 109.0m. This interval includes a higher-grade segment of 9.0m @ 3.9% CuEq (2.95% Cu, 0.95 g/t Au, 3.1 g/t Ag, 0.35% Zn). The first hole drilled, FFR26-064, intersected 6.5m @ 2.0% CuEq (0.81% Cu, 1.19 g/t Au, 2.7 g/t Ag, 0.57% Zn) from 15.55m, including 4.5m @ 2.6% CuEq (1.1% Cu, 1.4 g/t Au).

A follow-up hole, FFR26-076, encountered approximately 40m of logged semi-massive sulphide between depths of ~240m and ~280m, with stringer sulphides identified beyond 400m. These results are visual only, as assays are pending. Assays remain pending for five of the seven holes reported (FFR26-065, -067, -069, -074, -076), with results received only for FFR26-064 and FFR26-071.

Intersections are reported above a cutoff of 0.5% Cu or 0.5 g/t Au, allowing for a maximum of 6m internal waste. All stated widths are described as approximate true thickness. The Mount Joy prospect sits on the same prospective stratigraphic contact as the historic Tilt Cove mine, and DHEM surveys have identified off-hole conductors.

FireFly Metals aims to deliver a maiden Mineral Resource Estimate (MRE) for the Main Mine regional target, alongside an updated Green Bay MRE and Feasibility Study, in the first quarter of 2027. A Final Investment Decision (FID) is expected by mid-2027. The company reported a financial position of approximately A$368M in cash and liquid investments (unaudited) as at 31 July 2026.

FireFly Metals Ltd. (FFM) is a late-stage developer with a 60.2Mt M&I resource, a completed PEA (NPV ~A$2.2B base case), and a A$1.1B market capitalisation. For such a company, a single satellite discovery hole does not change the resource, the DFS, the mine plan or the NAV today.

The discovery adds a NEW VMS centre on a newly tested greenfields prospect, 2.6km from the existing Nugget Pond mill and 35km from Ming. If it develops, it is a prospective satellite feed — strategically useful given the mill is on care and maintenance and the flagship needs mill feed. The DFS/FID thesis is unchanged.

The stock has round-tripped hard — from A$2.28 (Jun 2026) to A$1.20 (23 Oct 2026), now A$1.30. It trades well below the A$1.78 price of the August 2026 raise, and below the December 2025 placement price (A$1.70). The market clearly assumes very little. A genuine discovery is therefore a rare positive in a tape that has priced negativity — but it is neither scaled nor graded to re-rate a A$1.1B developer.

Nor does the "unpriced positive" upside case fully apply, because this result is NOT materially better in grade-and-width than anything previously demonstrated — it is a lower-grade satellite vs the flagship. It lands squarely in the "encouraging, not deposit-defining" bucket.

FireFly Metals Ltd (ASX, TSX: FFM), an emerging copper-gold developer listed in Australia and Canada, holds a 100% interest in the 346 km² Green Bay Copper-Gold Project in Newfoundland & Labrador, Canada. The project comprises the Ming Mine, Little Deer, the Tilt Cove–Betts Cove targets including Mount Joy, and Nugget Pond infrastructure.

The company reports a Mineral Resource of 60.2Mt @ 2.43% CuEq Measured and Indicated, containing 1,155kt Cu, 908koz Au, and 8.17moz Ag, plus 23.5Mt @ 2.51% CuEq Inferred. The high-grade core consists of 18.1Mt @ 4.3% CuEq Measured and Indicated and 7.0Mt @ 4.4% CuEq Inferred, calculated at a 1.0% Cu cutoff.

A Preliminary Economic Assessment (PEA) dated August 2026 outlines a base case at 1.8Mtpa with an NPV7% of approximately A$2.2B, an IRR of approximately 41%, a mine life of approximately 32 years, and a payback period of approximately 1.9 years. An alternative case at 4.6Mtpa yields an NPV of approximately A$3.0B and an IRR of approximately 39%. First concentrate is targeted for mid-2029.

Infrastructure includes an existing underground portal, camp, hydro grid connection, and a deep-water port approximately 5km away, alongside the Nugget Pond mill which is on care and maintenance. The balance sheet as of 31 July 2026 (unaudited) shows approximately A$368M in cash and liquid investments, zero debt, and indicative debt capacity exceeding US$350M for the base case.

FireFly Metals previously sold its Ontario gold assets, consisting of 70% of Pickle Crow and 100% of Sioux Lookout, to Bellavista Resources, with shares distributed in specie to FireFly holders. Prior-period context indicates a net loss of approximately A$23.6M for FY-2026 (to 30 June 2026) and a net loss of approximately A$0.7M for H1-2026 (to 31 December 2025). Shares outstanding were 768.5M at 31 December 2025, increasing to 872.7M per the presentation.