Magna Mining Levack Resource Estimate Reveals 11.3 Million Tonnes

Understanding Magna Mining's Strategic Position Through Resource Development

The global mining industry increasingly recognises the strategic value of historically productive regions where established infrastructure converges with untapped mineral potential. Within Ontario's renowned Sudbury Basin, operational synergies between legacy assets and modern exploration techniques are creating compelling investment scenarios for base metal development. The integration of existing underground networks with systematic resource expansion represents a paradigm shift from traditional greenfield development models toward infrastructure-leveraged mining strategies.

This strategic framework has particular relevance as North American governments prioritise domestic critical mineral production chains. The convergence of policy support, technological advancement, and geological understanding creates unique opportunities for companies positioned within established mining districts to capitalise on both known resources and exploration upside.

The evolution from historical production data to modern resource classification standards demonstrates how systematic geological understanding can unlock value from previously developed mining infrastructure. This transformation represents a fundamental shift in mining economics, where infrastructure replacement costs and permitting timelines provide significant competitive advantages over traditional development approaches.

Resource Classification Framework Establishes Development Foundation

The comprehensive Magna Mining Levack resource estimate released in November 2025 validates decades of geological understanding within the Sudbury Basin. The 6.1 million tonnes of indicated resources at 3.5% copper equivalent combined with 5.2 million tonnes of inferred resources at 3.6% copper equivalent establishes a substantial foundation for multi-decade extraction scenarios.

Resource Distribution Analysis:

• Contact-type indicated: 5.9 million tonnes at 3.2% copper equivalent
• Contact-type inferred: 4.8 million tonnes at 3.2% copper equivalent
• Footwall indicated: 178,000 tonnes at 15.5% copper equivalent
• Footwall inferred: 368,000 tonnes at 9.4% copper equivalent

The dual mineralisation styles provide operational flexibility that distinguishes Levack from conventional nickel-copper projects. Contact-type mineralisation, concentrated primarily above 750 metres depth, offers accessible tonnage suitable for early production scenarios. Meanwhile, footwall-style deposits deliver exceptional grades that can drive premium cash flow generation.

Strategic Resource Characteristics:

• Depth accessibility: Contact zones above 750m enable lower-cost extraction
• Grade optimisation: Footwall zones exceed 15% copper equivalent
• Infrastructure connectivity: Existing underground access reduces development risk
• Exploration expansion: Multiple untested targets identified throughout property

SVP Exploration and Geoscience Dave King emphasised that the resource estimate "confirms the presence of significant mineralisation, much of which can be accessed using existing infrastructure," highlighting both the expansion potential at Morrison and priority exploration targets in the footwall environment.

Morrison Footwall Discovery Transforms Project Economics

The Morrison Footwall deposit emerges as the strategic centrepiece of Levack's resource inventory, hosting 178,000 tonnes at 15.5% copper equivalent in the indicated category alongside 368,000 tonnes at 9.4% copper equivalent in the inferred classification. This exceptional mineralisation represents one of the highest-grade copper-PGE concentrations documented within the Sudbury Basin.

High-Grade Footwall Resource Portfolio:

The Morrison discovery validates geological models suggesting substantial untapped resources beneath historically mined contact zones throughout the Sudbury Basin. Furthermore, the deposit's enrichment in platinum group elements, palladium, and gold creates multiple value streams that enhance project economics beyond traditional base metal scenarios.

Precious Metal Enhancement Factors:

• Platinum group elements: Consistent enrichment across footwall zones
• Gold mineralisation: Significant precious metal content confirmed
• Processing synergies: Multi-metal recovery optimisation potential
• Market diversification: Reduced commodity price risk through product mix

CEO Jason Jessup noted that the resource estimate "exceeded expectations," particularly emphasising the grade quality of remaining Morrison mineralisation and the substantial tonnage of near-surface contact-type material. The combination positions 2026 as a pivotal year for advancing both restart studies and ongoing high-grade exploration activities.

However, the deposit remains open at depth and represents a priority for further drilling, indicating substantial exploration upside beyond current resource classifications. This expansion potential, combined with the exceptional grades already confirmed, establishes Morrison as a cornerstone asset for long-term value creation.

Infrastructure Integration Creates Operational Advantages

Magna Mining's strategic position leverages critical underground infrastructure that provides unparalleled competitive advantages within the Sudbury Basin. The property's connectivity to neighbouring operations creates operational synergies extending far beyond traditional mining economics, establishing a regional hub model for resource extraction.

Regional Infrastructure Network:

• Haulage drift connection: Direct 1600-level access to McCreedy West mine
• Secondary egress provision: Serves Glencore's Craig mine and Onaping Depth project
• Integrated dewatering: Shared water management infrastructure
• Ventilation systems: Regional air circulation network support

The existing underground infrastructure represents decades of development investment that would require substantial capital to replicate in current construction environments. This operational foundation reduces development risk while accelerating project advancement timelines through established connectivity and proven systems.

Development Timeline Framework:

Phase 1 – Engineering Studies: Contractors currently advancing engineering studies for hoisting capabilities re-establishment, with potential initiation in early 2026.

Phase 2 – Shaft Refurbishment: Historic No. 2 shaft restoration for high-grade footwall material extraction.

Phase 3 – Ramp Completion: 3900 Level ramp connection to 3600 Level expected June 2026 quarter.

The planned surface ramp construction provides alternative access to shallower contact-type deposits, creating operational flexibility between shaft-based and ramp-based extraction methodologies. This dual-access approach optimises extraction costs while maintaining development optionality across varying market conditions.

Operational Integration Benefits:

• Shared infrastructure costs: Regional dewatering and ventilation optimisation
• Haulage efficiency: Direct ore transport without surface infrastructure requirements
• Emergency systems: Secondary egress capabilities enhance safety protocols
• Operational synergies: Coordinated scheduling with neighbouring operations

The property currently functions as secondary egress for Glencore's Craig mine operations, demonstrating integrated operational value within the regional mining network. This connectivity creates potential revenue streams through infrastructure services while reducing individual operational costs.

Economic Assessment Framework Evaluates Multiple Development Scenarios

The preliminary economic assessment scheduled for 2026 completion will evaluate comprehensive development scenarios capitalising on Levack's unique resource distribution and infrastructure advantages. The study contemplates integrated access strategies combining surface ramp development for shallow deposits with historic No. 2 shaft refurbishment for high-grade footwall material extraction.

PEA Development Parameters:

• Study completion: 2026 (NI 43-101 compliant assessment)
• Access methodology: Combined surface ramp and shaft refurbishment
• Resource base: 11.3 million tonnes total inventory
• Grade optimisation: High-grade footwall prioritisation potential

What Development Scenarios Are Being Considered?

Scenario A: Phased Development Approach

This conservative scenario prioritises accessible contact-type mineralisation above 750 metres depth, representing 10.7 million tonnes of the total resource inventory. The approach emphasises gradual infrastructure rehabilitation with lower initial capital requirements.

• Resource focus: Contact-type mineralisation (3.2% copper equivalent)
• Infrastructure timeline: Gradual system rehabilitation
• Capital profile: Lower initial investment, extended payback
• Risk mitigation: Sequential development reduces operational complexity

Scenario B: Integrated High-Grade Strategy

This aggressive scenario pursues simultaneous development of footwall and contact zones, leveraging the 622,000 tonnes of high-grade footwall material to accelerate cash flow generation while developing bulk tonnage resources in parallel.

• Dual-zone development: Simultaneous footwall and contact extraction
• Shaft acceleration: Expedited No. 2 shaft refurbishment
• Capital intensity: Higher initial investment for enhanced returns
• Cash flow optimisation: Premium grades drive early revenue generation

Scenario C: Regional Hub Model

This strategic scenario leverages connectivity advantages for toll milling arrangements and shared infrastructure cost optimisation, creating revenue diversification beyond direct mining operations.

• Infrastructure monetisation: Toll processing and shared services
• Partnership opportunities: Regional operators collaboration
• Cost optimisation: Shared infrastructure reduces individual operational costs
• Revenue diversification: Non-mining income streams from infrastructure services

The forthcoming assessment will model varying commodity price assumptions, capital cost structures, and operational timelines to establish economic viability across multiple market scenarios. This comprehensive analysis provides investment decision frameworks for varying risk tolerance and capital availability conditions.

Resource Quality Positions Levack Among Premier Global Projects

The Magna Mining Levack resource estimate establishes Levack within the upper tier of global nickel-copper projects when considering grade distribution, infrastructure accessibility, and jurisdictional stability. The combination of contact-type and footwall mineralisation creates operational flexibility rarely encountered in single-deposit mining scenarios.

Contact-Type Mineralisation Benchmarks:

• Grade profile: 3.2% copper equivalent across 10.7 million tonnes
• Depth accessibility: Concentrated above 750 metres depth
• Processing compatibility: Established metallurgical understanding
• Infrastructure advantage: Existing underground access network

Footwall Mineralisation Excellence:

• Ultra-high grades: Up to 15.5% copper equivalent confirmed
• Precious metal enrichment: Platinum, palladium, and gold content
• Exploration expansion: Multiple untested targets identified
• Processing optimisation: Multi-metal recovery potential

The Morrison Footwall's 15.5% copper equivalent grade represents approximately 4.8 times higher mineralisation than contact-type zones, creating operational scenarios where high-grade material subsidises bulk tonnage extraction economics. In addition, this grade differential provides strategic flexibility across varying commodity price environments.

Comparative Grade Analysis:

• Morrison Footwall (indicated): 15.5% copper equivalent
• No. 3 Footwall (inferred): 13.4% copper equivalent
• Combined contact zones: 3.2% copper equivalent
• Average resource grade: 3.55% copper equivalent (total inventory)

The geological understanding developed through decades of Sudbury Basin mining provides systematic exploration frameworks for resource expansion beyond current classifications. Historical production data combined with modern exploration techniques creates compelling scenarios for systematic resource growth.

Quality Indicators:

• Geological continuity: Proven mineralisation along established trends
• Infrastructure accessibility: Existing underground development
• Metallurgical characteristics: Known processing parameters
• Regulatory environment: Established mining jurisdiction

Critical Mineral Supply Chain Strategic Positioning

The Magna Mining Levack resource estimate arrives strategically as North American governments prioritise domestic critical mineral production for electric vehicle manufacturing and renewable energy infrastructure. Levack's nickel, copper, and platinum group element content directly addresses identified supply chain vulnerabilities in energy transition strategy sectors.

Critical Mineral Content Profile:

• Nickel mineralisation: Essential for EV battery cathode materials
• Copper concentration: Fundamental to electrical infrastructure expansion
• Platinum group elements: Catalytic applications and hydrogen economy development
• Gold content: Portfolio stability and processing economics enhancement

The Sudbury Basin's established position within North American critical mineral supply chains provides strategic advantages including proximity to manufacturing centres, established transportation infrastructure, and proven regulatory frameworks. These geographic and jurisdictional factors reduce project development risk while accelerating market access timelines.

Supply Chain Advantages:

• Geographic proximity: Access to North American manufacturing centres
• Transportation infrastructure: Established rail and highway networks
• Regulatory stability: Proven mining jurisdiction with established frameworks
• Skilled workforce: Regional mining expertise and training programs

Government initiatives supporting critical mineral development create potential acceleration opportunities for projects demonstrating strategic mineral content and development readiness. Levack's resource profile aligns directly with policy priorities while existing infrastructure reduces typical development timelines.

Market Positioning Factors:

• Energy transition demand: Growing nickel and copper consumption
• Supply security: Domestic production reduces import dependencies
• Strategic stockpiling: Government mineral reserve programmes
• Investment incentives: Policy support for critical mineral projects

The combination of established infrastructure, proven resource base, and strategic mineral content positions Levack favourably within evolving North American critical mineral policies. This positioning creates potential partnerships with government agencies and end-users seeking supply chain security.

Market Conditions Influence Development Timeline Acceleration

The 2026 preliminary economic assessment timeline strategically aligns with anticipated base metal pricing improvements and increased investor focus on North American mining assets. Furthermore, market dynamics surrounding critical mineral security could accelerate development scenarios beyond traditional project timelines through policy support and strategic partnerships.

Commodity Market Considerations:

• Nickel price recovery: Gradual improvement from recent cyclical lows
• Sustained copper demand: Energy transition infrastructure requirements
• PGE market dynamics: Supply constraints supporting price stability
• Gold portfolio balance: Precious metal content provides economic stability

Current market conditions demonstrate increasing institutional investment focus on North American mining assets offering critical mineral exposure with established infrastructure advantages. Consequently, this investment environment creates favourable conditions for project financing and strategic partnership development.

Investment Climate Factors:

• Government incentives: Critical mineral project development support
• ESG investment criteria: Preference for established mining jurisdictions
• Infrastructure funding: Government spending supporting mining development
• Strategic partnerships: End-user supply chain security initiatives

The convergence of commodity price recovery, policy support, and infrastructure advantages creates compelling investment scenarios across multiple market conditions. Project economics benefit from diversified metal content providing stability during individual commodity price volatility periods, which aligns with mining industry evolution trends.

Development Acceleration Factors:

• Policy alignment: Government critical mineral priority designation
• Infrastructure readiness: Existing systems reduce development timelines
• Resource certainty: NI 43-101 compliant estimates support financing
• Operational flexibility: Multiple development scenarios accommodate market conditions

Exploration Upside Expands Resource Potential Beyond Current Classifications

The current Magna Mining Levack resource estimate represents initial systematic evaluation of Levack's mineral potential, with significant exploration targets identified throughout the property based on decades of geological understanding. The Morrison Footwall remains open at depth and represents a priority for further drilling, indicating substantial expansion opportunities beyond current resource classifications.

Priority Exploration Targets:

Morrison Footwall Extension: The deposit remains open at depth with high-grade mineralisation continuity indicated through geological modelling. Advanced geophysical targets have been identified for systematic drilling programmes designed to expand current resource classifications.

No. 3 Footwall Development: Current 76,000 tonnes at 13.4% copper equivalent (inferred classification) represents initial evaluation of this high-grade zone. Exceptional platinum, palladium, and gold values confirmed through preliminary sampling suggest significant step-out drilling potential.

Regional Footwall Environment: Multiple untested geophysical anomalies have been identified throughout the property based on systematic geological surveys. Structural controls are well understood from historical mining, enabling targeted exploration programmes designed for resource expansion.

How Does Systematic Exploration Support Resource Growth?

Systematic Exploration Framework:

• Geological continuity: Established mineralisation trends guide target selection
• Structural understanding: Historical mining provides geological control data
• Geophysical anomalies: Systematic surveys identify untested targets
• Resource expansion: Step-out drilling programmes designed for classification upgrades

The geological understanding developed through decades of Sudbury Basin mining provides systematic frameworks for resource expansion programmes. Historical production data combined with modern exploration techniques creates compelling scenarios for systematic resource growth beyond current estimates, reflecting broader gold & copper exploration opportunities.

Exploration Value Drivers:

• Open-ended resources: Morrison deposit confirmed open at depth
• Untested targets: Multiple geophysical anomalies identified
• Grade continuity: High-grade zones demonstrate geological continuity
• Infrastructure access: Existing underground development enables efficient exploration

The combination of proven geological continuity, established infrastructure access, and systematic target identification creates compelling exploration scenarios for resource expansion across multiple deposit types and depth ranges.

Strategic Positioning Establishes Multi-Decade Value Creation Framework

The comprehensive Magna Mining Levack resource estimate establishes a robust foundation for sustainable mining operations within one of North America's premier mining districts. The combination of high-grade resources, existing infrastructure, and strategic location creates multiple pathways for value realisation across varying market scenarios and development timelines.

The 2026 preliminary economic assessment will provide crucial economic validation for development scenarios positioning Magna as a significant North American producer of critical minerals essential to energy transition infrastructure. The systematic evaluation of multiple development approaches accommodates varying risk profiles while capitalising on established infrastructure advantages unavailable to traditional development projects, which aligns with modern mine planning principles.

Strategic Value Creation Elements:

• Resource certainty: 11.3 million tonnes of NI 43-101 compliant inventory
• Infrastructure leverage: Existing underground systems reduce development costs
• Grade optimisation: High-grade footwall zones provide cash flow acceleration
• Exploration expansion: Systematic target identification enables resource growth

The integration of bulk tonnage contact-type mineralisation with exceptional high-grade footwall deposits creates operational scenarios supporting extended mine life projections while maintaining premium cash flow generation capabilities. This resource profile provides operational flexibility across varying commodity price environments and market conditions, establishing Levack within premier deposit tiers guide classifications.

Long-Term Strategic Advantages:

• Regional integration: Connectivity with neighbouring operations optimises costs
• Critical mineral content: Alignment with North American supply chain priorities
• Jurisdictional stability: Established regulatory framework reduces development risk
• Infrastructure replacement value: Existing systems represent substantial replacement costs

With exploration upside remaining substantial and infrastructure advantages providing competitive differentiation, Levack represents a compelling demonstration of strategic resource development within established mining districts. The convergence of geological understanding, infrastructure leverage, and market alignment creates compelling value creation scenarios extending across multiple decades of potential operations.

The project's strategic positioning within the Sudbury Basin, combined with systematic resource development and established infrastructure advantages, provides a foundation for sustainable value creation while contributing to North American critical mineral supply chain security objectives. For instance, companies like Magna Mining Inc. are demonstrating how systematic resource development can unlock substantial value within established mining districts, while comprehensive analysis from Mining Weekly confirms the strategic significance of these developments within the broader mining sector.

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