Falco Resources updating feasibility study for Horne 5

Executive Summary

• Falco Resources Ltd. has initiated an update to the 2021 feasibility study for its flagship Horne 5 project in Rouyn-Noranda, Quebec.
• The updated study is expected to be completed in the second quarter of 2026 and will incorporate current long-term commodity pricing and project cost assumptions to reflect the changing economic environment for gold, silver, copper, and zinc.
• The company continues to work toward receiving the necessary ministerial decree authorizing the project, having completed the public hearing process with the Office of Public Hearings on the Environment last year.

Key Details

• Project Scope: The Horne 5 project is a massive sulphide polymetallic deposit (gold, silver, copper, and zinc) located beneath the former Horne mine.
• Production Estimates (from 2021 Study):
  • Anticipated production of more than 220,000 ounces of gold per year.
  • Approximately 15-year life-of-mine (LOM).
  • Estimated LOM production of 247 million pounds of copper and 1.19 billion pounds of zinc.
• Financial Assumptions (2021 Study):
  • Gold price: $1,600 USD per oz.
  • Silver price: $21 USD per oz.
• Regulatory Status: The corporation completed the public hearing process with the Office of Public Hearings on the Environment (Quebec) last year and is awaiting the ministerial decree.
• Strategic Context: Management cites recent acquisitions of major projects in Quebec (Windfall by Gold Fields Ltd. and Croinor by Fresnillo PLC) as indicators of the value of Falco's project.
• Qualified Person: Luc Lessard, PEng, President and CEO, is the qualified person for this news release under National Instrument 43-101.

Notable Quotes

• Luc Lessard, President and CEO: "Updating the Horne 5 project's 2021 feasibility study with current long-term commodity pricing and project cost assumptions is exciting. The 2021 feasibility study, while describing significant potential economic returns, does not capture the rapidly changing gold, silver, copper and zinc pricing environment. The current metal values are expected to enhance the Horne 5 project's potential economic returns."
• Sean Roosen, Special Adviser: "We believe that once a decree is in hand, it will put Falco in the enviable position of having one of the few large-scale polymetallic gold projects to be developed in North America. With this there could be continued rerate potential through additional milestones such as financing and project development execution strategies."