McEwen Mining (NYSE:MUX) announced a significant expansion of the gold resource at its Grey Fox project in Ontario, marking a key milestone for the company’s broader Fox Complex.
The Year-End 2025 Mineral Resource Estimate shows Indicated resources have grown to 1.89 million ounces, a 23% increase compared to the previous year.
The updated estimate, which also includes 436,000 Inferred ounces, was calculated using a gold price of $3,000 per ounce, reflecting the record highs seen in the bullion market.
The resource growth stems from a strategic shift in the project’s development model.
While Grey Fox was previously envisioned primarily as an underground mine, the company is now balancing both underground and open-pit methods.
This approach is designed to maximize long-term project value while providing early access to high-return gold through existing underground infrastructure.
Management is specifically looking at the Gibson and Whiskey Jack zones for potential early underground mining to accelerate the production timeline.
Near-term catalysts for the project are building momentum as the company enters 2026.
A Pre-Feasibility Study is on track for release in the second quarter of this year, which will outline the phased development and production economics for the combined mining approach.
Additionally, McEwen plans to validate and incorporate the adjacent Stroud Property, which hosts a historical resource of approximately 270,000 ounces, into future updates.
To maintain this exploration pace, the company has budgeted between $5 million and $10 million for its 2026 drill program at Grey Fox.
The news comes as McEwen Mining continues to pivot from developer to mid-tier producer, with the Fox Complex serving as a cornerstone of its goal to reach a production profile of 300,000 gold equivalent ounces by the end of the decade.