Q2 2025 McEwen Mining Inc Earnings Call
Hello, ladies and gentlemen, welcome to McEwen Mining's second quarter 2025 operating and financial results conference call. Present from the company today are Robert McEwen, Chairman and Chief Owner; William Shaver, Chief Operating Officer; Perry, Chief Financial Officer; Jeff Chan, Vice President of Finance; Stefan Spears, Vice President of Corporate Development; Michael Medding, Vice President and General Manager of MCU and Copper; and Michael Swiston, President and CEO of Canadian Gold Court. After the speakers' presentations...
There will be a question and answer session. If you'd like to ask a question during this time, simply press star followed by the number 1 on your telephone keypad. If you would like to withdraw your question again, press star 1, I will now turn the call over to Mr. Raab, muan Chief owner, please go ahead, sir,
Thank you, operator. Good morning, and welcome fellow shareholders, ladies and gentlemen.
Today we're going to share with you our vision of the future from a Q&A.
And how our achievements in the first half of this year.
And our outlook for the balance of this year, we'll add to the momentum to reach our goal of doubling, our annual gold, and the silver production, the 250 to 300,000 gold equivalent ounces by 2030.
As you know,
Uh, we're big Believers in Exploration that it is the growth engine of the mining industry.
And we're big Believers in the potential of our properties. That will be revealed by exploration.
In the past 2 and a half years, we've invested 51 million in Exploration.
And recent drill results. Have been quite exciting uh building on our resource base and providing a solid foundation for increasing production. Extending mine life and lowering production costs.
Just 1 example, it's a beautiful assay result and was the discovery of high-grade at our fume West Zone uh of 36 G over 10 m.
That's equivalent to more than 1 oz over, 32 ft. Um,
I should point out that the fume mine was slated to close this year and now has a promise of a longer life.
And more potential.
so, let's talk about,
20.
We have a healthier treasury currently at 54 million up from 14 million. A year ago, our working capital of 62 million versus a negative -7 million at the end of last year, um, our adjusted ebit Daw
17.3 million or 32 cents a share more than double.
What it was uh, in the comparable period.
A year ago. Um,
so,
I'm looking at this and saying, well, we've got a lot of catalysts when
To move us towards our production goal of 250,000, to 300,000 gold equivalent ounces by 2030 and I just like to share those with you. We've got resource updates coming out of Nevada, uh, from the
Timberline property Bots but there's the windfall and Lookout Mountain projects that are close to the gold bar mine. Um and we're looking permitting that it's been initiated um there's a completion of the acquisition of Canadian gold Corp. And today we have a guest speaker. The president of Canadian gold Corp.
To speak about that, um, company and the properties. They have the exciting.
Aspects of becoming part of the queue and Mining. Um,
there's a free feasibility study coming out in the first half of next year for gray fox.
Which will be lifting our production in the Timmins District. Um,
there's production starting in mid.
Please. And we are experiencing technical difficulties with today's conference call. Please stay on the line, we'll resume momentarily.
all right, um,
we're just going to ask, um,
Bill Shaver, our Chief Operating Officer, will speak about.
uh, our production, our costs were a little high in the first half of this year but are expected to go down as production increases both at
The fox complex and gold bar is Bill. Could you jump in there?
Yep. Uh, thank you very much. Rob and welcome everyone to our call. I hope you all got back on the line.
Uh first of all I'd like just like to speak uh for a short moment about our safety record which continues to be very very good at muan. Uh there have been no loss. I'm accidents this year and Mexico is now celebrating 1 and a half years. Tim and 3 and a half years in. Nevada has worked over 5 years now without a lost time, injury, and that is exemplary. And you know, we're proud of that performance and we our sights are proud of their performance. And as Rob has mentioned
Our production in Q2 was slightly behind our objectives for the quarter.
For some reasons, some related to Manpower issues and to the impact of the stripping, uh, at gold bar but now we're, uh, have ourselves pretty well positioned to catch up our production in the second half. We will also increase the number of ounces of material that are on our leech pad that that are not yet under lead. So that'll help the second half as well.
Uh and as Rob mentioned the room, mine will now continue well into 2026 and we're continuing to drill there. And so you know, we see the the future of the room West deposit bring keeping uh from in production into uh, the third quarter of 2026 for sure. And perhaps
Longer because we're still uh, Diamond drilling there. Looking for the final extension of these War zones
The development of the stock ramp is now going reasonably well, and according to expectation, uh, right now we're exceeding the rate that we have in our schedule of 6 meters a day. So this will allow the ramp to access the fourth level of the stock Pine uh, by year end 2025
and,
As we, uh, mentioned we already have access uh, to the old part of the mine, via the old stock mine shaft, which we have the watered, uh, down to the fourth level and we're in the midst of rehabilitating. Uh, the development, uh, that is underground at the present time, so that when we break into the mine will be in a good position to, uh, you know, start production as quickly as possible.
Has a great Fox PE pea study that we're doing on the gray fox. Uh deposit has lots of potential for attaining the objectives. The long-term objectives of being in the 200 to 250,000 ounces per year. That study is Rob said would be completed in the second quarter. Uh, the economics of that board project are very robust with both underground and open pit components at this stage.
Uh so we're looking forward to start the the permitting process so that we can hit the ground running as quickly after we get all of the components of the study in place.
Us, uh, having a mil uh over uh in the vicinity of the old prune mine.
Yeah, we're very happy to have uh uh Michael Swindon here. This morning from Canadian gold car and we're looking forward to closing that uh acquisition and that has a is a really good fit into our organization. It will be a relatively high grade operation in the mind friendly.
Jurisdiction with the potential for hiring local. Local mining people who are now out you know, now not at work.
so, I guess in
in summary, you know, we see the the future as being very positive
Uh, we have lots of scope to uh continue the, our growth and we're looking for more opportunities as we move into the future.
And we're particularly happy about, you know what, we see as a successful second half of this year.
I'll turn it back over to you Rob.
Thank you, Bill. Um, you gave the introduction to Michael, why don't we use this opportunity to ask Michael swisson. How, um,
Canadian gold, Corp looks and
What he sees its future to be.
Thank you rob. Yeah, uh, and uh, I'm pretty excited to be on the first um uh muan call. Uh it's an exciting time for for Canadian gold Corp. We have a uh a very interesting uh uh property in The Tartan property in Manitoba. Uh the story of tartan just as a quick overview is, is that it was a mind that operated for only 2 years in the 1987 to 1988 and early to 89 produced about 40 just over 40,000 oz of gold. Um, it shut down because of the poor economics of gold at the time, they had frankly, having too much debt, uh, it's that dormant. And then, uh, it was spun out of code resources and 2017, the, uh, there was a 43101 done that showed that a 240,000 Oz, uh, with another 37,000 Oz, uh, inferred, the 240,000 Oz.
an average rate of 6.8, uh, grams per ton,
uh, my mistake 6.3 grams per tonne, uh, and that resource estimate had was really contained into 2 primary zones from that initial mine, which was was called main Zone. And that 43101 was based on a depth to 575 metres vertical depth from surface. And then the South Zone, which is a parallel Zone separated by 100 meters laterally that had, uh, uh, the 43101 only went down to, uh, just over 225 metres, vertical depth, uh, in the last 4 years, we've drilled 27,000 meters of new holes, 60 new holes, into primarily the main Zone and extended the the, uh, uh, resource. Uh, what we found for resource down to a 1000 M, consistently finding minable, uh, widths and high grades consistent with, uh, what was in the 2017 resource estimate? And what we're actually finding at depth. When you get down to 1 hole at uh, 8, 9 0.
From surface, we had an interval of 53, M of width at 4, uh, 0.3 grams per ton with a an intersect of over 12 grams per tonne, uh, over 8 meters. So, uh, these, these, uh, zones are a lie on What's called, the, The Tartan Shear Zone, uh, which is a a, uh, the, uh, geological, um,
Flynn Flynn, which is a a real town has a Walmart and a Canadian Tire and uh, precludes the need for us to have a camp. So all the elements are in there for a very accelerated, mine restart. We have had excellent, uh, relations with the the government of Manitoba, uh, the government of Manitoba just recently, uh, had a uh, celebrated the the Alamos project at Lynn Lake a little further north from us which uh is going to go in production in 2028, uh, they view uh, our project at at Tartan, as an ability to revitalize Flynn, which uh, was a hub. They town for for going back to the 1930s but had uh, has had the primary uh, mind uh, uh, dmss operation, shut down. So, we are in an area that has great, uh, opportunity. Uh, this year, we have uh, added 2 properties.
To the west of us uh, 1 property option from HUD Bay uh which added an additional 36 and a half Square, kilometres, and 8 kilometers of The Tartan Shear Zone uh to our land base. Uh, we're on the property right now doing some surface work reconfirming work that was, uh, done back in the 1980s and we've also optioned from Searchlight resources, uh, a property. We call Flynn, uh, flin flon North, which actually runs into Saskatchewan, so it gives us a combined, uh,
Control of that part and your zone of about 29 and a half kilometers of that zone all the way along there. There has been historic, uh, hydrate mineralization that have been found of gold and
This is a, a much, uh, bigger story than when I joined the company. Just over a year ago and I couldn't be more excited about uh, uh getting, uh, getting somebody involved like uh, muan uh, that can as a company that can bring these resources and really helped us accelerate us accelerate us into the restart. Uh, I don't want to take the whole conference call. I could go on, I'm pretty excited about it. So I go on a long. So I'll just end it there and I'll wait for questions. Thanks a lot.
Thank you, Mike. That's great. Um, I'd now like to call on another Michael, Michael meding. Who is the
Vice president of general manager, of Mulan copper.
to just give us an update on the feasibility on regi application and
the projects, the political environments in Argentina.
Thank you so much, Rob. Uh, good day everyone. I'm pleased to present the latest updates on MCU and copper and our Flagship loss, as well as project Argentina.
First of all, our commitment to safety remains our highest priority. I'm proud to report another quarter of zero incidents. We have now surpassed 1.8 million work hours without lost time, incident a record. We've maintained since July of last year, this achievement is a testament to the dedication of our entire team on the ground.
financially, we invested 15.6 million during the second quarter driving significant progress towards the publication of our definitive feasibility, study which we aim to deliver end of the third quarter of 2025,
Our engineering teams are diligently. Advancing, the study with a sharp focus on optimizing the project economics,
we actively refining cost estimates to reflect current market conditions and implementing strategies to reduce upfront, Capital expenditures to enhancements to the Mind plan, construction, schedule, and infrastructure layout,
Key priorities for the upcoming quarter include finalizing, geotechnical inputs, and completing an optimized mind schedule. We are collaborating with renowned riddle Consulting on extended strategic. Mind planning.
This work covers both our base case, which utilizes conventional bioe bleaching and scenarios incorporating riotinto. Innovative new technologies, the results will finalize. Our life of mine production, profile, capital and operating cost estimates, and the API design,
On the regulatory front, we have taken major steps to secure long-term, stability and benefits for the projects. We submitted. Our initial application for Argentina's regime for the incentive of large Investments or regi in February.
As the project has advanced significantly, we submitted a revised Consolidated application in July to streamline the approval process.
Furthermore, we see another very positive development in Argentina's economic policy. The government today issued decree 563, which, among other things, eliminates the export duty for copper, reducing it from a potential 4.5% to 8% down to 0%.
While the region framework already provides for zero. Export duties, after 3 years, this degree offers immediate benefits and reinforced the government's commitment to improving project economics for the mining sector.
Exploration and development teams have had a productive quarter. We successfully completed the necessary, geotechnical hydrogeological and condemnation drilling for the feasibility study.
And finalized our updated resource model. Excitingly our exploration workers identified 3. Copper targets nearby. Mercedes Tango Franco, which we plan to drill in the late fall.
We look forward to sharing more details on our progress at several upcoming events in September, you can find us at the Jeffrey industrial conference in New York.
The Pres the precious metals Summit in Viva Creek, the mining Forum America's in Colorado Springs and the Latin America Day in Germany in October, we will be at the Nordic fund and mind Summit, the RBC copper development Summit in Toronto and the lme week in London.
Thank you so much and back over to you Rob.
Please stand by ladies and gentlemen.
Okay. Um, Perry Inge was just now speak up is our Chief Financial Officer on some points.
Of elaboration, thanks Rob. Uh, good morning everyone. So again, um, I think we, um, had a very successful second quarter. Um, as you as Rob highlighted, uh, both are, uh, growth and profitability and adjusted Eva just a couple points. Uh, I'll make in terms of, you know why we feel confident in terms of, uh, our overall, uh, plan and cash generation for uh, 2025.
I know that, you know, uh, we did have 13 million dollars of inventory, build in the first half, uh, primarily uh, due to additions to, uh, the heat Leach PAD as Bill pointed out in at goldbar, in Nevada, uh, as well as a significant increase in, uh, in circuits inventory as well. So, you know, 13 million is, is kind of the cost base of of that. If you look at, you know, on a realized, uh, gold basis. Uh, we're looking at, uh, uh, you know, over 20 million dollars which will be released, uh, you know, between the the third primarily between the third and fourth quarters of this year.
And just noting in terms of our treasury, uh, in addition to the the 54 million in cash that Rob mentioned, we also have uh 16 million remarkable Securities uh of which, you know, we have uh, significant unrealized uh, gains on. So in terms of our cash and market growth Securities, uh, total balance, uh, it's a
Approximately 70 million dollars. And we do see, despite, um, significant, uh, spending on the stock ramp, we expect to continue to add to our treasury balance, uh, between the 3rd and fourth quarters of this year. So, uh, overall I think, uh, we are in a sound financial position, uh, and, uh, you know, our bonds, uh, from our convertible notes are trading. Well, well above par, uh, and overall. We're well positioned to execute, uh, the growth plans that, uh, Rob outlined
Thank you, Perry.
I, I'd like to conclude with.
A statement on our performance and going from September of 22. When we
Closed. Our first financing on Mulan copper.
Until today. Well, until August 6th. Um,
X index of the seniors up 100 and just under 150 gdxj up just over 150.
NASDAQ up at 80; gold up just under 100%; silver up 112.
Copper up 29% and the Dow up 40%. And I'd just like to say that
the performance, we're experiencing I believe, is
Due to our Diversified asset base, composed of gold silver production.
Which is the foundation of wealth preservation in my mind, and of copper, which is a critical.
Metal for modern civilization for the energy transition. And as Goldman Sachs says, it's the new oil.
um,
I think we have a very good project. Uh we have excellent exploration potential on our properties.
and our production growth profile is only just starting
So with that, I'd like to open the session for questions and hopefully our internet connection doesn't break off with the first question.
Certainly as a reminder, to ask a question, you will need to press star followed by the number 1 on your telephone keypad. If you wish to withdraw your question, press star 1 again,
Your first question today comes from the line of Hico, IL from HC, Wayne Wright. Your line is open.
Hello Aiko.
Hey, Robin team. Uh this is case on behalf of Hico here today. Hope everything's good on your end.
Okay. Uh, 2 questions, uh, first is San Jose. Uh, the production was down a bit, just a lower grades recovery rates. Uh, next week will be halfway through Q3. Uh, can you give you us a bit of color about what you're seeing at site? Uh, I know production growth in the second half as it seems. So presumably, this is just a blip and we can leave our models, The Way They Were
Yeah, very well. Um, sure address that question. Yeah, thanks cassa. Uh, so we have been working with the team at harsh child's. Uh, and at site on this, um, they have experienced lower recovery rates than they were planning. Um, I think recovery is our kind of in the low to mid 80s rather than in the high 80s. Um, there's there's, you know, uh,
The attributed, um, some of those cars to, um, uh, the orb blend with the, which they're trying to resolve that site, um, as well. Um, throughputs. Um, is, I would say slightly above budget, but the grade has been a little bit below plan as well. So, uh, as of now, uh, together, we have not adjusted, uh, our expectations for, uh, 2025 as a whole, uh, so far July has been pretty good, um, and we do expect, uh, the mind to achieve full year guidance, but obviously, uh, we will update that, uh, with our third quarter results.
Okay, awesome. Thank you. Uh, second question. First, congrats on the Canadian gold deal. You have a lot of strong working capital right now, but still a decent amount of debt. Maybe a philosophical question on my end, but have your thoughts on your balance sheet changed at all when compared to the beginning of the year for M&A versus debt repayment?
Mary. Yeah, I mean, I think, uh, first things first is to execute on our growth plan. I mean, we we expect to be able to undertake a lot of that uh, with uh, organic growth from free cash flow from our existing operations. Uh, as we as we increase production sequentially, I think you'll see, um, you know, operating cash,
Lie. Uh, we will continue to look for m&a opportunities. I think Rob has always looked for both uh, exploration and other opportunities as they present themselves. But uh, uh, we think Canadian gold is, is, is a great project and as well, uh, gray fox and then our Timberline projects overall. You know, we're very happy with our asset base but, uh, we always continue to keep our eyes on the ground as well.
Thank you. I'll hop back in queue.
Thank you.
You're next question comes from the line of Mike kak from Cantor, Fitzgerald. Your line is open.
Hello, Mike? Yeah, uh, yeah good, uh, good afternoon, uh, Rob and team. Um, thanks for. Thanks for hosting the call 2 questions from me. Uh, first. Um, you're now guiding to the feasibility study at losses in late Q3, um, is that still contingent upon uh, a capital raise within the copper subsidiary. And and if that's still the case, how how much are we talking about?
So if I may take that uh, Novia Finance to the feasibility, that's not a problem. Um, we we guided towards the, the end of Q3 mostly because of additional optimization work that we're doing, um, we had seen some, some costing cheeses. Um, there are those the PA that we published in June 2023?
And we wanted to take a little bit more time uh, to optimize um, versus what we had seen in Argentina. In terms of US dollar cost increases as well as internationally, and we wanted to have a little bit more time to also um do package negotiations uh with potential suppliers which um relatively speaking. Uh then offsets um uh part of the of those cost increases.
And uh, we are thinking of a slightly different production profile that should fit better and um we think will be more interesting for investors going forward, but coming back to the initial part of your question. We financed towards the feasibility that is not a problem.
Okay. That's, that's fantastic. I appreciate that. Michael. Uh, and then my second question, uh, is kind of on along the same similar line, um, you know, you submitted a revised Reggie application in mid July. The original 1 was submitted in February, so I was just you gave a bit of color in your prepared remarks. But I was hoping to get for a bit more detail. Like did you get any feedback from your first February application? That's that's LED you to revise this 1 or. Is it just the change in scope? Any more detail? You can provide would be would be very helpful.
Absolutely. So, generally speaking, the interaction with the regulatory body... So then,
The state Secretary, um, Daniel Gonzalez, the substantiating, um, Secretary of mining is, uh, Flawless. We have lots of potent back, we answered. Um, a lots of questions, uh, that we had in the meantime, uh, all of them technical in nature. Um, what happened is that you remember that when we filed in February, um, we filed, uh, 2 uh, 227, um, million initial and then a face, um, a failed expansion, uh, with the capex, we just Consolidated the 2. Yeah. That that's the, that's the big change. Uh, why did we do that? Uh, because we think that, um, it is easier for the regulator to, to fit us in their understanding of the, um, uh, of the applicable law and that is the only change we did, you know, uh, we think that because, uh, already in the initial filing the information that we've been giving was encompassing the whole project. Um, this should now streamline the approval process and um, we
Expect, um, we expect the the regulatory body to to prove us relatively soon.
Okay, very helpful. Thank you. I'll uh, jump back into you.
Thanks Mike.
Again it's star 1 to ask a question. Your next question comes from the line of Don DeMarco from National Bank. Your line is open.
Hi Don.
Oh, hi Rob. Uh, thank you, Aubrey and Rob. Uh, congratulations on a on the quarter and uh the acquisition of Canadian gold, Corp and so on um maybe um Mike. If I could just continue on the discussion uh related to loss of Zulus.
I think, can you just confirm? I think I heard you say that you're expecting approval soon. And, um,
uh,
yeah, I think I think that's probably about it. I mean the you know we're we're encouraged to hear the the reduced expert Duty. You mentioned um
But, of course, if you get Reggie approved, that wouldn't even matter. Right? So, but so you're looking thinking approval soon before the the DFS.
Somewhere along that time frame.
for the regulator to come back, um, with an um, within the public or ejection
However, anytime there is an informational request that clock stops. So it's a little bit like playing speed chess.
Um, we are very quick with responding to information requests.
but how long um the the process will take a little bit difficult to say, um, could be 2 months, could be 3 months could be 1 month,
um it it depends on on any kind of potential questions that um,
The Regulatory Agencies May raise in the meantime and the time that we need to to respond to. Those having said that in the past, we have been very quick. Um,
We think that there's a good understanding of our project uh on National level. So we are cautiously optimistic
Okay. And, um,
Are you, is there any time pressure from your end? I mean, you know if it is 2 months, 3 months, or even 6 months?
I mean, you can accommodate any kind of whatever the decision time frame is, is that right?
Yes. But on the other hand, um, it is very helpful. I mean, we we we are aiming for an IPO going forward, right? So, uh, obviously, um, having the, um, definitive bankable feasibility out, uh, and having the, um, the regi approval, uh, is making a significant difference in terms of, um,
Potential investor interest. Therefore, for us, we think that,
we should, uh, we should wait for the
Uh, for the VG approval, uh, before before going for an IPO. It's not required. But I think it would be better. Okay? And then, uh, and then finally, I mean, maybe just a comment. I mean, you you applied in February, you resubmitted an application in July, it sounds like things are really moving back and forth. Um, has their how many other applications have been submitted and is there any risk of like the whole review process getting backlogged?
Um, so we are the only copper project that has uh that has applied um for for the region. So far.
We expect others uh to file soon. Uh namely via. Um but when this is going to take place we don't know. Um what I can tell you however is that there is
increased interest.
From the national governments.
To speed up the processes.
I mean, remember, this is a totally new, um, regulatory legal framework, so obviously, um, the involved, um, the involved Ministries. Um, they want to do, um,
Appropriate due diligence appropriate work.
So I guess that going forward. Well, there should be more applications coming in.
I don't think that this will lead to, um, back like backlog on the um, on the regulatory body side.
Okay.
Okay.
Well that's great, thank you for that. Um, maybe just a quick question on Canadian, gold, Corp. Then, uh turning to um uh the other mic. Um, so Mike, you mentioned that the Tartan mine had operated for 2 years, can you just give some comment on, on the condition of the infrastructure? And, um, you know, some of the key items that are needed to be updated in order to restart both in terms of
Underground development or processing.
Sure, uh, yeah, the, the the ramp is, is flooded like we'll have to do water that, uh, that and, uh, we estimate that that'll cost, uh, somewhere in the vicinity of about 3 million dollars, uh, to go through dewatering process, you know, it's a relatively, you know, it was, you know, the, the ramp was built in the 80s. So, uh, it's it's a relatively modern technology. And from what we understand from folks that were underground there was done. Well, um, so we're hopeful once we get into that. Uh, that'll look good. Uh, the road infrastructure and the, uh, uh, Power infrastructure. The hydro line in is is intact. We actually had a forest fire, you know, extensive forest fires in the Flint, 1 area and a a number of those of the wooden
Polls for the hydro line were burnt. And, and I got to say, Manitoba Hydro was right on at the, uh, they've already restored. The, uh, replaced, the, the polls that were damaged so that's back up.
Containment, which is, of course, Very uh, uh, uh, important is, has has been is still in very good condition and has a lot of capacity because the minority operated for, you know, essentially 2 years. Uh, so we're really excited about that. And, and from when we were talking with the people inside the province of Manitoba, uh, what they're excited about is that we can restart this within the, the, uh, the surface footprint of the, of the old operation. Um, and so that's that's also very appealing that we don't have to uh uh disturb any uh, any uh, virgin forest or any of the surrounding lands. So um, a lot of things to uh uh, that are obviously a plus. And the big thing is being that close to the town of Flynn where we don't actually have to have a camp and our, our Workforce can go home at night.
Okay great. And then just final question, what do you think the timing of a potential restart might be? I mean, is it going to be uh you do Implement a drilling program and and kind of see how that goes for a little while uh potentially even a year plus or or are you really kind of going to head directly toward a PDA and then
Then get a little more clarity on when you might restart it.
Well, as, as an independent prior to, to the, uh, negotiations, with muan and the loan. Uh, Our intention was was to finish the phase 4 drill program. Uh, at the end of this year, uh, and immediately go to a an updated 43101, an updated resource estimate and a uh, and in immediately almost simultaneously a pea. So that was our original plan. Uh, I still think that we're on for that. Uh, and then uh, really we have
Uh, in terms of timelines for uh for restarting the mine. We uh have spoken with the province. There was an existing uh mine permit for 500 ton per day operation,
We would be looking at, uh, at amending that permit and essentially going in and, uh, and looking at putting it back in production pretty quickly. So, again, it really is a mind restart. It's not, we don't have to start from scratch, but clearly, we would be bringing in better technology and more environmentally, uh, benign practices that would improve the operations. So, you know, I I think, you know, realistically, 2 to 3 years, we, we back in production,
Okay, okay. Well, thanks a lot for that. Mike and, uh, and thanks Rob. That's all for me. Good luck with the rest of the quarter.
Thank you. Don appreciate it.
Your next question comes from a line of Jake Sakowski from Alliance Global Partners. Your line is open.
Hi Jake. Hey Rob, thanks for taking my questions.
So, just uh, building on the last question. Um, you know, in the restart plans there I'm just curious from a high level where do you see this acquisition fitting in the broader portfolio development queue and and sort of from a capital allocation standpoint um relative to to growth plans at Fox
Um, we're looking at a feasibility.
Or pea, um, for Fox mid year? I I'd say Tartan is probably running ahead of box right now in terms of timing.
Got it. Okay. That's very helpful.
Um and then just a quick 1 on permitting in, in Nevada, are you able to provide any color on what that passed forward and and timeline looks like at at windfall and Lookout Mountain. Um, once the resources out later this year,
Uh, Bill, would you compare to, um,
Thank you. Uh, yeah. Thanks very much, Jake, for your question. Yeah, you know, the...
the permitting in Nevada will take 2 to 3 years, but you know, we'll H H, you know, we're going to work diligently to get those projects up and running as quickly as possible.
And, you know, I think the, uh, We've we're now well on our way, uh, to establishing resources on, you know, both that windfall, uh, you know, and, and the other surrounding area, we've had some discussions with I 80. Uh, you know, I I think the, uh,
There are 2.
Uh types of property there. Some some of uh the property is uh basically wholly owned uh by um human Mining and and some of it is still BLM land.
Relatively quickly. So it'll it will be a case of figuring out what we actually want to do there. Uh, are we going to put a leech pad, uh, down? Uh, next to the our body and then do the processing, uh, at goldbar and I think that's where we're headed. Uh, but the the other possibility is, uh, is to work with. I 80. They have some space that they, uh, that we've had a conversation with them about that might might allow, uh, them for us to use part of their plant. That's not being used at the present time. So, so some of that is, uh, news to come. But, uh, yeah, we're we're really happy with the the drilling that we're doing there, confirming the data that we, uh, that we got from the previous owners, you know, that's all falling into place quite nicely. And now it's the, you know, the next step of
Be to put together uh, some kind of a, a study to uh, you know, put that together to get all the economics and so on. But at the present time, there's no plan to, uh, build a big plant. Uh, on these properties, it'll be a leech pad where we then uh, truck carbon back over, uh, the gold bar.
Oh, it should be 1 that we're able to start very quickly after we get a permit.
Makes sense. Okay, thanks for that.
That's all on my end. Congrats again on the quarter.
Thank you. Jay.
And there are no further questions at this time. Mr. Raab, I turn the call back over to you.
Thank you, operator.
I want to thank everyone on the call for their patience with the interruptions and the internet issues we experienced. Thank you for your interest, and I look forward to sharing our advances as we go.
Thank you.
This concludes today's call. You may now disconnect.