{"id":990914,"date":"2026-08-05T23:52:18","date_gmt":"2026-08-06T03:52:18","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/mcewen-q2-results-net-income-of-9-6m-0-16-per-share-compared-with-3-0m-0-06-per-share-in-q2-2025-exploration-results-driving-resource-growth-across-all-sites-new-stock-mine-in-timmins-near\/"},"modified":"2026-08-05T23:52:18","modified_gmt":"2026-08-06T03:52:18","slug":"mcewen-q2-results-net-income-of-9-6m-0-16-per-share-compared-with-3-0m-0-06-per-share-in-q2-2025-exploration-results-driving-resource-growth-across-all-sites-new-stock-mine-in-timmins-near","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/mcewen-q2-results-net-income-of-9-6m-0-16-per-share-compared-with-3-0m-0-06-per-share-in-q2-2025-exploration-results-driving-resource-growth-across-all-sites-new-stock-mine-in-timmins-near\/","title":{"rendered":"McEwen Q2 Results: Net Income of $9.6M ($0.16 per Share), Compared with $3.0M ($0.06 per Share) in Q2 2025; Exploration Results Driving Resource Growth Across All Sites; New Stock Mine in Timmins Nearing Production, with Mine Life Extended"},"content":{"rendered":"
\n

(See Glossary for Defined Terms)<\/p>\n

TORONTO, Aug. 05, 2026 (GLOBE NEWSWIRE) — McEwen Inc. (NYSE\/TSX: MUX)<\/strong> (\u201cMcEwen\u201d or the \u201cCompany\u201d) today announced its second quarter financial results for the period ended June 30, 2026 (Q2). In addition, the Company is providing an update on its development projects that are forecasted to increase annual<\/strong>production<\/strong>to<\/strong>250<\/strong>,000<\/strong>\u00a0\u2013<\/strong>300,000<\/strong>GEOs<\/strong>by<\/strong>2030<\/strong> and new<\/strong>exploration<\/strong>results<\/strong> that have intersected very encouraging high grades at the Grey\u00a0Fox Project, part of the Fox Complex (97.7<\/strong>gpt<\/strong>gold<\/strong> over 4.4<\/strong>meters<\/strong>, 64.8<\/strong>gpt<\/strong>gold<\/strong> over 3.3<\/strong>meters<\/strong> and 32.5<\/strong>gpt<\/strong>gold<\/strong> over 5.2<\/strong>meters<\/strong>) and Tartan Mine Project (17.8<\/strong>gpt<\/strong>gold<\/strong> over 15.9<\/strong>meters<\/strong> and 29.1<\/strong>gpt<\/strong>gold<\/strong> over 10.0<\/strong>meters<\/strong>). During Q2 the exploration teams at Grey Fox and Tartan have each made new discoveries near existing underground infrastructure, demonstrating the Company\u2019s ability to further drive organic growth.<\/p>\n

Management believes that estimated production will generate sufficient cash flow to self-fund production growth with limited to no share dilution, based on an average price of $4,000 per ounce of gold and $50 per ounce of silver.\u00a0<\/p>\n

\n Key<\/strong>
\n Project Updates \u2013 Path to 250,000 \u2013 300,000 Annual GEOs<\/strong>\n <\/p>\n

\n Canada<\/strong>\n <\/p>\n

In Canada, McEwen is increasing production guidance at the Fox Complex for the full year to 20,000\u00a0<\/strong>\u2013\u00a023,000\u00a0GEOs<\/strong> from 16,000 \u2013 19,000 GEOs, with AISC guidance remaining unchanged at $2,650 \u2013 $2,850 per GEO. Production is forecasted to grow to 100,000<\/strong>GEOs by 2029 <\/strong>with the completion of the Stock\u00a0Mine this year and Grey Fox in 2029. The Company will be developing these projects in phases, using the existing milling facility. Leveraging our current mill will allow us to limit initial capital expenditures versus building a new plant. Our continued commitment to investing in exploration was highlighted in Q2 with new high\u2011grade intersections across the Fox Complex and a new discovery at Grey Fox, which we believe has the potential to enhance our organic growth. These new results are contained in the exploration section of this news release.<\/p>\n

\n Stock Mine (Fox Complex, Timmins, Ontario)<\/strong> \u2013 Stock is expected to result in lower-cost gold production at the Fox\u00a0Complex compared to current operations, due to lower royalty burden, shorter haulage distance to the mill, and the benefits of processing softer material. <\/em>Development continued on time and within the initial budget during Q2. We invested $12.8 M into Stock during Q2 and $52.2 M since the start of last year. Mineralized material encountered during development of the ramp has been sent to the mill, with mining expected to begin in Q4 2026 and commercial production in 2027. Production from Stock has not been included in 2026 guidance. Based on the results of additional engineering and mine planning during Q2, the team at the Stock Mine believes the mine life can be extended to 8.5 years from the previously disclosed 6\u00a0years based on the current Mineral Resource Estimate. There is potential to extend the life further, as additional underground drilling is completed.<\/p>\n

\n Grey Fox (Fox Complex, Timmins, Ontario) <\/strong>\u2013 Gold production at the Fox Complex is projected to reach 100,000 GEOs<\/strong> in 2029 and average 87,000 GEOs <\/strong>from 2028 to 2041, based on the Grey Fox Prefeasibility study (PFS) released in Q2. Grey Fox has high financial returns with manageable initial capital. Recent high\u2011grade exploration results demonstrate our ability to further extend the mine life.
Next steps include 1) Completing detailed engineering and initiating long-lead purchases, 2)\u00a0Submitting water permit and closure plan, 3) H1 2027 construction, and 4) 2029 commercial production.<\/p>\n

\n Tartan Mine Project (Flin Flon, Manitoba) <\/strong>\u2013 The Company is currently reviewing a larger mine and mill scenario (ranging between 1,000 and 1,500 tpd), versus the initial plan of using a smaller staged approach (500 tpd expanding to 1,000 tpd). This would result in incremental upfront capital, which would be more than offset by higher gold production and lower operating costs. Based on the new mine design being contemplated, Tartan has the potential to produce 40,000<\/strong>\u2013<\/strong>65,000<\/strong>GEOs<\/strong> per year over a 7-10 year life based on the Mineral Resource Estimate.<\/p>\n

During Q2 the Company\u2019s exploration drilling successfully discovered the new Central<\/strong>Zone<\/strong>, located between the Main and South Zone. Drilling has intersected the Central Zone over a relatively large area and has the potential to meaningfully increase the Mineral Resource Estimate. Highlights from Q2 drilling at Tartan are presented in the exploration section of this news release.<\/p>\n

\n USA<\/strong>\n <\/p>\n

In Nevada, McEwen is reducing its production guidance at the Gold Bar Complex from 39,000 \u2013 43,000 GEOs to 30,000 \u2013 33,000 GEOs<\/strong> and raising its AISC cost guidance to $2,900 \u2013<\/strong> $3,200 per GEO for 2026. These changes are due to less ore being placed on the heap leach pad than planned. This occurred due to 1) The mine assay lab being down for a period during Q2, which caused the team to focus on mining non-mineralized material to advance open pit development and 2) More carbonaceous material being associated with the ore than anticipated. This increase in carbon content is expected to impact production during Q3 and Q4, resulting in the lower production guidance.<\/p>\n

Despite the lower than expected production, the Gold Bar Complex is expected to see production reach 90,000 \u2013 110,000 GEOs<\/strong> by 2030, driven by Windfall, Lookout Mountain and Trinity Ridge. Management will look to leverage the current infrastructure at site to reduce capital expenditures.<\/p>\n

\n Windfall, Lookout Mountain and Trinity Ridge<\/strong>
\n (Gold Bar Mine Complex)<\/strong> – Gold Bar\u2019s transformation into a long-life mine with increased production reached another milestone with the publication of the Windfall Mineral Resource Estimate during Q2. The global Resources and Reserves for the Gold Bar Mine Complex now total Indicated Resources <\/strong>of 792,000 gold ounces<\/strong> (38,602,800 tonnes at 0.64 gpt Au) and Inferred Resources<\/strong> of 281,000 gold ounces<\/strong> (11,256,200 tonnes at 0.78 gpt Au). This is in addition to Probable Reserves<\/strong> of 168,000\u00a0gold ounces<\/strong> (8,624,000 tonnes at 0.61 gpt Au).<\/p>\n

The next deposit for which a Mineral Resource Estimate is set to be published within the Gold Bar Mine Complex is Trinity Ridge, where we will look at merging the smaller existing open pits into one enlarged pit that captures a meaningful amount of gold mineralization excluded from the current Mineral Resource Estimate. The new Mineral Resource Estimate is expected by early 2027. Drill highlights for Trinity Ridge since our last announcement on December 8, 2025, are presented in the exploration section of this news release. The Company also sees meaningful resource growth potential based on its ongoing review of historic exploration results.<\/p>\n

\n Argentina<\/strong>\n <\/p>\n

\n San Jos\u00e9 Mine<\/strong> \u2013 During Q2 the Company received a $49.4M<\/strong> dividend from the San Jos\u00e9 Mine. This brings the 2026 dividends received from San Jos\u00e9 to $58.2M<\/strong>, exceeding our previously announced estimate of $40 \u2013 $50M. The operation is benefiting from the recently completed process plant expansion, higher mining rates and gold recoveries, resulting in increased production. At current gold and silver prices, San Jos\u00e9 is expected to be an important source of capital that the Company will use to expand production at its other sites. Production attributable to McEwen\u2019s 49% interest is targeted at 60,000 <\/strong>\u2013 70,000 GEOs<\/strong> per year (based on a 77:1 silver-to-gold ratio).<\/p>\n

\n Mexico<\/strong>\n <\/p>\n

In Mexico, McEwen is forecasting 20,000 GEOs<\/strong> production per year starting H2 2027.\u00a0<\/p>\n

\n El Gallo <\/strong>\u2013 The Company is targeting Phase 1 production during H2 2027. Detailed engineering, final geotechnical drilling and establishing onsite power for the mill are being completed, with construction expected to begin in late Q3 2026. Phase 1 is expected to operate for at least 10 years, producing approximately 20,000 GEOs<\/strong> annually once commercial production is achieved. The Company is reviewing opportunities within its land package that would require minimal capital to extend Phase 1. Permit approval for Phase 2 (El Gallo Silver) would materially extend the mine life and increase production to approximately 40,000 – 50,000 GEOs<\/strong> (based on 77:1 silver-to-gold ratio) due to higher grades being processed. The Company is currently updating the Mineral Resource Estimate, which will include all resources around the proposed mill site and will be released later in Q3 2026.<\/p>\n

\n Significant Ownerships<\/strong>\n <\/p>\n

\n McEwen Copper<\/strong>\n <\/p>\n

McEwen owns a 46.3% equity stake in McEwen Copper. The 2025 Feasibility Study for McEwen Copper\u2019s Los\u00a0Azules project confirmed robust project economics, including initial 5-year average production of 205 ktpa of copper cathodes<\/strong> and a $1.71\/lb C1 cash cost<\/strong> over a 22-year mine life. The study also identified the potential to extend the mine life by an additional 33 years under the Nuton case for a total of 55 years, with average copper cathode production of approximately 141 ktpa<\/strong>. The Nuton case is preliminary in nature and is not supported by Mineral Reserves.<\/p>\n

McEwen also owns a 1.25% NSR royalty on McEwen Copper\u2019s Los Azules copper project. \u00a0<\/p>\n

Under the 2025 Feasibility Study base case of $4.35\/lb<\/strong> copper, the royalty is projected to generate approximately $389.5 M<\/strong> of undiscounted pre-tax cash flow over the initial 22-year operating period. Under the PEA-level Nuton case, which assumes a copper price of $4.80\/lb<\/strong> and could potentially extend the mine life by an additional 33 years, the royalty is projected to generate a further approximately $633.5 M<\/strong>.<\/p>\n

Based on the 2025 Feasibility study and using a recent copper spot price of $6.50\/lb<\/strong>, McEwen\u2019s royalty is projected to generate approximately $584 M<\/strong> from the initial case and $860 M<\/strong> from the potential Nuton extension, for a combined undiscounted pre-tax royalty cash flow of approximately $1.4 B<\/strong>.<\/p>\n

\n Los Azules<\/strong> continued to advance toward a Final Investment Decision (\u201cFID\u201d) during Q2, with approximately 27%<\/strong> of the planned FID work program deliverables completed as of June 30, 2026, and the balance targeted for completion in Q4 2026. Key activities included advancing vendor engineering for the SX\/EW plant, sulfuric acid plant and crushing systems, progressing mining fleet evaluation, power supply assessment and EPCM contractor selection, and commencing construction of the access road and site camp. The Company also completed its planned H1 2026 field campaign of geotechnical, condemnation and hydrogeological drilling.<\/p>\n

During Q2, Soci\u00e9t\u00e9 G\u00e9n\u00e9rale was appointed as exclusive financial advisor for the project\u2019s debt financing process and preparations were initiated for a potential initial public offering. McEwen Copper is also reviewing an enhanced financing proposal received from European export credit agency. Management remains focused on completing the FID work program, with construction targeted to commence in early 2027 and production in 2030, subject to project financing and customary approvals.<\/p>\n

\n Paragon Advanced Labs <\/strong>\n <\/p>\n

In July 2026, McEwen entered into a memorandum of understanding (“MOU”) with Paragon Advanced Labs (“Paragon”) to develop advanced laboratory services, including PhotonAssay\u2122 technology at the Gold Bar Mine Complex in Nevada. The MOU also contemplates future PhotonAssay\u2122 laboratory services at the Fox Complex in Timmins and the El Gallo Mine in Mexico. Paragon would grant McEwen a 3% royalty on gross revenues generated by the laboratory from third-party clients.<\/p>\n

\n Mineral Resource & Exploration<\/strong>
\n Update\u00a0 <\/strong>\n <\/p>\n

\n
\n Fox Complex, Ontario (100% owned)<\/u>
\n <\/strong>\n <\/p>\n

\n
\n Exploration at Grey Fox <\/em>
\n <\/strong>\n <\/p>\n

Exploration drilling during Q2 focused on three areas at Grey Fox: 1) Whiskey Jack, 2) Gibson and 3) Grey Fox South (Fig. 1, 2, 3, 4 & 5<\/strong>). Each area returned significant results, with multiple holes returning high gold grades over good thicknesses. These results have the potential to expand the Mineral Resource Estimate contained in the Grey\u00a0Fox PFS that was released in Q2 and to extend our planned mine life beyond 2041. Discovering higher grades similar to these results is central to making Grey Fox an even stronger project financially. Higher grades can increase production, lower costs, and drive higher rates of return without requiring additional capital. Following up on these new results is a top priority for the Company.<\/p>\n

On June 8, 2026, <\/em>a new Mineral Reserve Estimate was released for Grey Fox as the basis for the PFS that outlined 980,300 gold ounces<\/strong> Probable<\/strong> (9.41 million tonnes at 3.24 gpt Au). In addition, Grey\u00a0Fox contains Mineral Resources exclusive of Reserves of 701,000 gold ounces Indicated<\/strong> (9.68 million tonnes at 2.25 g\/t Au) and 388,000 gold ounces Inferred<\/strong> (4.70 million tonnes at 2.57 g\/t Au).<\/p>\n

\n Figure 1. Plan Map for the Grey Fox Deposit<\/strong>\n <\/p>\n

\n \n <\/p>\n

\n Figure 2. Plan Map for Grey Fox Project Highlighting Q2 Drill Results <\/strong>\n <\/p>\n

\n \n <\/p>\n

\n
\n Whiskey Jack<\/u>
\n <\/strong>\n <\/p>\n

Whiskey Jack is the highest-grade zone at Grey Fox. Two new recent holes intersected very high grades and are located along the northwest limit of the current Mineral Resource Estimate (Fig. 2<\/strong>). There also appears to be good potential to further extend this mineralization at depth.<\/p>\n