Morning Briefing: Magna Mining Publish Levack PEA and Give Approval for Restart

SPEAKER_1 (0:02)

Good morning and welcome back to the Mining Stock Daily Morning Briefing, presented by the Clear Commodity Network and delivering today's top news in mining and mineral exploration. From the new Clearcom Studios, here's your host, Trevor Hall.

Trevor Hall (0:18)

Good morning, everybody. Welcome back to the Mining Stock Daily Morning Briefing. It is Thursday, October 8th.

Gold is finding some footing this morning at $4,122 an ounce. That's up a quarter of a percent after sliding to a two month low yesterday. Silver continues weaker, down nearly 2% to $58.75 an ounce. Copper is also easing slightly to $6.58 a pound. The sell-off in gold yesterday brought the price to $4,113 an ounce. It was the lowest since early August, as a strengthening US dollar and 10-year treasury yields did hit a multi-decade high, it all weighed down the metal. Markets are now pricing in an 85% chance of a December rate hike from the Federal Reserve, and Fed officials this week signaled further tightening may still be needed. The once structural counterweight, China's central bank, continued buying in September. It was its 23rd consecutive month of additions. Meanwhile, Newmont CEO, Ms. Natasha Veljuin, offered the gold industry some pointed advice at a mining conference in Johannesburg this week. She warned that the margins available at current prices are exactly the environment where producers tend to make bad capital decisions. Her message was strictly to the point. The biggest mistake the industry can make right now is losing discipline.

We'll get to the news out of the miners and explorers here in just a moment, but first a quick mention of today's sponsor.

This episode of the morning briefing is brought to you by Revival Gold. Revival is one of the largest pure gold mine developers operating in the United States. The company is advancing the Merkur Gold Project in Utah with mine permitting preparations and ongoing exploration also happening at Bear Track, Arnett and Idaho. Revival Gold is listed on the venture exchange under the ticker symbol RVG and trades on the OTCQX market with the symbol RVLGF. Learn more about the company at revivalgold.com.

SPEAKER_3 (2:34)

Hi, this is Chris Barry, host of the Power Current Podcast. Throughout my investing life, I've been obsessed with a single question. What happens when commodities, geopolitics and technology collide? About 15 years ago, I founded an advisory firm to help answer this question for both companies and investors alike and the Power Current Podcast is an extension of this effort.

Each episode, we dive deep into the current state of the most important markets, companies and technologies that will power the revolution in energy today and into the future. Find the Power Current Podcasts wherever you get your podcasts.

Trevor Hall (3:15)

Here's what you need to know this morning. The lead story today is out of Sudbury. Magna Mining has released a preliminary economic assessment for the restart of the Levack Mine in the Sudbury Basin in Ontario, and its Board of Directors has formally approved the restart plan. The base case PEA outlines 7.3 years of commercial production at an average of 36.8 million payable copper equivalent pounds per year, all in sustaining costs come in at $3.71 per pound. It comes with an after-tax NPV of $227 million Canadian with 92.4% IRR and a payback of just over half a year. At September 2026 spot prices, those numbers climbed to $313.6 billion of an NPV and 115.8% IRR. Initial capital is estimated at $70.1 million Canadian, but pre-commercial production cash flows and tax credits reduced the net funding requirements to approximately $8.6 million Canadian. Commercial production is targeted for mid-2028. The Levack Mine last operated in 2018 and shares infrastructure with Magna's currently producing McCready West Mine. Magna Mining trades on the Toronto Stock Exchange as NICU and on the OTCQX with MGMNF.

Hot Chili is continuing to build out its La Verde Copper Gold Porphyry discovery in Chile's coastal range, with three new results reinforcing the scale and continuity of the near-surface high-grade zone ahead of a Maiden Mineral Resource Estimate targeted for later this year. Headline Hole 75 returned 188 m of .56% copper equivalent from 24 m depth. Hole 78 delivered 240 m of .43% copper equivalent. Hole 67 returned 112 m of .47% copper equivalent.

Integration of La Verde into a revised pre-feasibility study for Costa Fuego CopperGill Project is expected to materially improve the project's economics with an environmental impact assessment submission targeted for Q2 of next year. Hot Chili trades on the Venture Exchange with HCH and on the OTCQX with HHLKF.

Arras Minerals has released results from its Piskaga project in Kazakhstan that point to two distinct styles of mineralization on the same land package. At the Beresky Central Porphyry Target, the company has intersected 574 meters of 0.4% copper equivalent. It's one of the longest intersections in the company's history and consistent with the bulk tonnage character of that system. In the same release this morning, a separate new epithermal target returned 22.8 meters of 5.37 grams per ton gold, introducing a high-grade gold system on the property that will require its own follow-up program. The combination of a large copper equivalent porphyry and a high-grade gold epithermal is in proximity as a meaningful discovery signal for the broader district. Arras Minerals trades on the venture exchange with ARK.