Star Royalties Highlights Positive Copperstone Construction Decision and PFS Results by Minera Alamos

Minera Alamos has made a positive construction decision for its Copperstone Gold Project in Arizona after releasing a Pre‑Feasibility Study that significantly upgrades the project’s economics and resource base. Star Royalties holds a 4% gold stream on the mine. The PFS shows an after‑tax NPV5% of $374 million (base‑case $3,500/oz gold) rising to $537 million at $4,500/oz spot. Initial production is planned for mid‑2027 with a 1‑year build, averaging 46 koz gold annually over 6.3 years at AISC of $1,314/oz. The measured and indicated resource ballooned 110% to 630 koz gold (4.05 Mt grading 4.83 g/t), and the project received maiden proven and probable reserves of 303 koz. Star’s stream is projected to deliver about $39 million in pre‑tax life‑of‑mine cash flow at spot gold prices. The company calls this a “major value creation catalyst.”

The PFS and construction decision are the culmination of a well‑telegraphed development path. Since early 2025, Star had flagged that a construction decision and PFS were imminent, most recently in the Q1 2026 report (May 27) that stated “PFS results expected in May 2026” and “production anticipated in Q1 2027.” The news does not alter the broad investment thesis; rather, it confirms economics that are even stronger than the earlier PEA, thanks largely to a higher gold price assumption and a larger resource. The resource increase is significant, but it was foreshadowed by exploration potential highlighted in earlier updates. With the Summit Royalties merger at C$0.60 per share as a fixed exchange ratio, the standalone valuation impact is capped. The news is unequivocally positive and de‑risks the key asset, yet it is an expected milestone, not a game‑changing surprise. Therefore, the announcement qualifies as routine positive.

Star Royalties Ltd. is a North American‑focused precious metals royalty and streaming company. Its cornerstone asset is a 4% gold stream on the Copperstone Gold Project in Arizona, owned by Minera Alamos Inc. Copperstone is a past‑producing, high‑grade gold deposit that has been re‑engineered for a fast‑track restart with a 900‑tpd processing plant. Other income‑generating assets include a sliding‑scale gross revenue royalty on the Keysbrook titanium sands mine in Australia and a 45.9% interest in Green Star Royalties, a carbon‑offset royalty vehicle. The company also holds an equity stake of approximately 7.8 million shares in Minera Alamos, providing additional exposure to the operator.