[Video Enhanced] West Red Lake Gold CEO Discusses Integrated Madsen Mine and Rowan Project PFS

West Red Lake Gold Mines Ltd. (WRLG) released updated commentary on its Integrated Preliminary Feasibility Study (PFS) for the Madsen and Rowan projects, incorporating remarks from a recent webcast with Chief Executive Officer. The quantitative data presented in this update mirrors the information disclosed in the company’s November 4, 2026 announcement, with no new assays, financials, or guidance introduced.

The integrated plan outlines a 10-year mine life with approximately 884,000 ounces of recovered gold, averaging 88,000 ounces per year. Production is projected to peak at 119,000 ounces annually between 2029 and 2034. The combined grade for the operation is estimated at 6.8–7.0 grams per tonne, with the Madsen deposit averaging approximately 6 grams per tonne and Rowan approximately 9 grams per tonne.

The study reports an All-In Sustaining Cost (AISC) of US$2,400–2,500 per ounce and development capital expenditure of approximately US$200 million. Reserves are described as just under one million ounces, representing an 85% increase from the previous pre-feasibility study.

Regarding future exploration, approximately 65,000 metres drilled in 2026 are not included in the reserve or resource numbers contained within this study. Additionally, the company indicated an aspiration to increase Rowan’s annual production scale from the 35,000 ounces per year cited in the Preliminary Economic Assessment (PEA) to 50,000 ounces per year.

The update also details a mill target of 1,350 tonnes per day, which requires upgrades to grinding, gravity separation, thickening, leaching, and Carbon-in-Column (CIP) circuits, alongside permitting amendments. The company acknowledged that tailings management and infrastructure work represent additional capital expenditure not included in the Rowan PEA.

Discrepancies exist between the webcast commentary and the original November 4 release regarding economic assumptions. The CEO stated a long-term gold price of US$3,500, whereas the November 4 release specified a base case of US$3,568 per ounce and a life-of-mine average of US$3,782 per ounce. Furthermore, while the November 4 headline cited a C$764 million post-tax Net Present Value (NPV), the body of the release presented the figure as "$764 million" alongside US-dollar cost assumptions, leaving the currency designation of the NPV unresolved.

West Red Lake Gold Mines Ltd. (WRLG) provided updated commentary on its Preliminary Feasibility Study (PFS) on November 4, including remarks from the company’s CEO. The presentation highlighted a 50 koz/yr production aspiration for the Rowan project and confirmed that 65,000 metres of planned drilling for 2026 fall outside the scope of the current study.

Market reaction to the PFS data was limited. The stock closed at C$0.53 on November 3, rose 5.7% to C$0.56 on November 4, the day the PFS was released, and returned to C$0.53 on November 5 before closing at C$0.56 on November 6. The study, which calculated an after-tax net present value (NPV) of C$764 million against a C$232 million market capitalization, generated a one-day price increase that was fully reversed within 48 hours.

Since the October 26 close of C$0.69, the stock has declined 19%. Compared to the August 26 post-Q2 close of C$0.96, the share price is down 42%. The market appears to be discounting the prospect of a 2029 second mine, which would require C$200 million in growth capital financing. This assessment comes as the company holds C$31 million in cash and negative C$4.1 million in working capital, following a 26% reduction in operating mine guidance.

West Red Lake Gold Mines Ltd. (WRLG) is a Canadian gold producer operating in the Red Lake district of northwestern Ontario. The company acquired the past-producing Madsen Mine in June 2023, refurbished and re-started the operation, and declared commercial production effective January 1, 2026. With a market capitalization of roughly C$232 million, it is classified as a small-cap producer with a development pipeline.

The Madsen Mine, the company’s 100% owned flagship asset, features a fully permitted mill with an 800 tpd capacity and a nameplate capacity of approximately 1,100 tpd. The total Indicated resource stands at 1.44 moz at 5.8 g/t, while Probable reserves in the new integrated PFS are 662 koz at 6.06 g/t. Mining operations draw from the Austin, South Austin (4447 and 960 complexes), McVeigh, and the 8 Zone, with the 904 Complex being developed for H1 2027.

The Rowan Project, a satellite development located approximately 80 km by road from Madsen, covers 31 km² and includes three past producers: Rowan, Mount Jamie, and Red Summit. The Rowan deposit holds a Probable reserve of 300 koz at 9.23 g/t, an Indicated resource of 335 koz at 13.04 g/t, and an Inferred resource of 179 koz at 15.31 g/t. Development is scheduled to begin in 2028, with first production expected in 2029. The project will operate at approximately 500 tpd for six years, with ore trucked to Madsen for processing.

The Fork Deposit is located approximately 250 m southwest of Madsen and is accessible from existing underground workings without new permits. It contains an Indicated resource of 20.9 koz at 5.3 g/t and an Inferred resource of 49.5 koz at 5.2 g/t. Production of this deposit has slipped from a 2026 target to the 2027 production profile.

Starratt-Olsen, the second-largest historical producer on the property with 164 koz at 6.17 g/t produced between 1948 and 1956, saw its first modern drilling in 2026. Results from the first five of twelve holes returned 16.16 g/t over 1.5 m and 5.16 g/t over 4.5 m.

Other assets include the Wedge deposit with 56 koz Indicated at 5.6 g/t, the Russet deposit, and Mount Jamie with 50 koz Indicated at 14.02 g/t. Exploration is also underway at Upper 8 and North Shore.