McEwen Receives $49.4 Million Dividend from San Jose Mine - Strong Cash Generation Supports Growth Without Meaningful Share Dilution

On May 21, 2026, McEwen Inc. announced receipt of a $49.4 million dividend from its 49%‑owned San José mine in Argentina, bringing total 2026 dividends to $58.2 million – already above the full‑year guidance of $40–50 million. The release highlights strong cash generation that will help fund the company’s growth pipeline without meaningful share dilution. Operational updates confirm: - Stock Mine (Fox Complex) remains on track for initial production in H2 2026 and commercial production in 2027. - Grey Fox pre‑feasibility study (PFS) is nearing completion; release expected in coming months. - El Gallo mill construction set to start early Q3 2026, with Phase 1 production targeted for mid‑2027. - The company reiterates its target to double production to 250–300 k GEOs by 2030. - Cash and equivalents at March 31, 2026 were $56.5 million, plus marketable securities of $13.5 million and a McEwen Copper loan of $15.7 million. The company holds $110 million in convertible notes due 2030 and a $20 million term loan.

• The San José dividend itself is a positive but largely anticipated. The mine already paid $8.8 million in February 2026 (Q1 release) and the original guidance was $40–50 million for the full year; the aggregate of $58.2 million is a modest beat, not a game‑changer.
• The $49.4 million payment roughly matches the company’s cash balance at March 31, so it substantially boosts liquidity. However, the update does not change any production or cost guidance, nor does it unveil a new discovery or financing event.
• The project milestones (Stock, Grey Fox, El Gallo) are all in line with previously stated timelines. The Stock Mine startup and El Gallo Phase 1 are important for the 2030 doubling goal, but those milestones have been communicated repeatedly in prior releases (e.g., Q1 2026 results on May 6, 2026 and earlier).
• The only incremental surprising element is that San José dividends have already exceeded the full‑year range halfway through the year, suggesting the mine is performing better than expected. That is positive but not transformative.
• The news does not alter the company’s $110 million convertible note maturity (2030) or any capital‑raising needs. The company continues to emphasize internal funding.
• Overall, the release is a routine operational update that confirms the trajectory set in the Q1 2026 report. It adds confidence but lacks the unexpected, market‑moving substance of a “Material – Positive” or “Game Changer” rating.

McEwen Inc. is a diversified gold and precious metals producer with operations in Canada (Fox Complex, Stock Mine, Grey Fox), Nevada (Gold Bar Mine Complex, Windfall), Mexico (El Gallo), and a 49% interest in the San José silver‑gold mine in Argentina. The company also owns a 46.3% stake in McEwen Copper, which holds the Los Azules copper project in San Juan, Argentina – a world‑class undeveloped deposit with a completed feasibility study (NPV $2.94B at $4.35/lb Cu, IRR 19.8%). McEwen targets doubling its precious metals production to 250–300 k gold‑equivalent ounces by 2030 through internal projects (Stock Mine, Grey Fox, El Gallo Phase 1) and exploration upside. The Los Azules copper project is expected to be financed via project debt and potential IPO of McEwen Copper in 2026.