Marathon Gold Corp Stock Price, News & Analysis

Marathon Gold Corporation reported its financial results for Q4 and the year ending December 31, 2022. The company holds cash and equivalents of $132.9 million and incurred capital expenditures of $18.5 million for Q4, totaling $74.6 million for the year. The Valentine Gold Project's estimated cost to complete has decreased to $422 million. The company reported a net loss of $2.1 million for Q4 and $8.7 million for the year. Highlights include the completion of federal and provincial environmental assessments, a 26% increase in total measured and indicated mineral resources to 4.0 Moz Au, and progress towards first gold production by Q1 2025.

Marathon Gold Corporation showcased its Valentine Gold Project at the 2023 PDAC convention in Toronto, highlighting its exploration potential. The project, under construction, aims to be Atlantic Canada's largest gold mine, targeting a production of 195,000 oz Au annually with an all-in sustaining cost of US$1,007 per oz for 12 years. Proven and probable reserves are estimated at 2.7 Moz Au. Ongoing drilling at various deposits, including Berry and Victory, revealed promising results, such as 3.50 g/t Au over 9.6m. The company plans to extend exploration efforts in 2023, focusing on discovering new mineral resources while construction continues, with first gold expected in Q1 2025.

Marathon Gold Corporation provided a construction update for its Valentine Gold Project in Newfoundland. The project, which aims to produce 195,000 oz Au annually at an AISC of US$1,007 per oz over a 14.3-year mine life, has completed 21% of overall construction by January 2023. As of this date, project expenses totaled C$29M, with C$438M required for completion. Major construction mobilization started in January 2023, with a projected first ore delivery by late 2024 and first gold production anticipated in Q1 2025. The company currently employs 442 workers, largely from Newfoundland, and has maintained a safe work environment amid winter challenges.

Marathon Gold Corporation announced assay results from the final 26 in-fill drill holes at the Berry Deposit within the Valentine Gold Project. In 2022, the company completed 21,039 meters of diamond drilling, primarily targeting areas deemed un-mineralized. Notable findings include 1.96 g/t Au over 26 meters and 5.96 g/t Au over 8 meters, indicating significant mineralization outside current modeled domains. The success of this drilling could enhance the Project's mine plan by potentially adding mineable gold ounces. The results align with the company's expectations of delineating additional valuable mineralization.

Marathon Gold Corporation has amended its term loan facility with Sprott Resource Corporation, increasing the loan amount to US$225 million from US$185 million. This funding will support the construction and development of the Valentine Gold Project in Newfoundland and Labrador. The facility features a 7.0% interest rate, and the company plans to issue 10 million warrants to Sprott as part of the agreement. Marathon has already received necessary approvals and commenced early works on the project. The Updated Feasibility Study projects an annual output of 195,000 ounces of gold for 12 years.

Marathon Gold Corporation has reported promising assay results from its 2022 infill drilling program at the Berry Deposit of the Valentine Gold Project in Newfoundland. Key findings include intersections of 5.01 g/t Au over 18m and 3.50 g/t Au over 14m, indicating the potential to add mineable ounces to the project's existing mine plan. A total of 20,931 metres were drilled, focusing on previously underexplored areas. The results align with the company's goal to expand its resource base and validate mineralization models as they prepare for future exploration phases.