FORTUNE BAY ANNOUNCES UPDATED PEA FOR GOLDFIELDS, SASKATCHEWAN Ausenco-led study delivers after-tax NPV of C$1.25 billion at spot gold price; Permitting underway
TSXV: FOR | FWB: 5QN | OTCQB: FTBYF
fortunebaycorp.com
NEWS RELEASE
1969 Upper Water Street, Suite 2001, Purdy’s Wharf Tower II, Halifax, NS B3J 3R7 T 902.422.1421 | F 902.491.4281
FORTUNE BAY ANNOUNCES UPDATED PEA FOR GOLDFIELDS, SASKATCHEWAN
Ausenco-led study delivers after-tax NPV of C$1.25 billion at spot gold price; Permitting underway
HALIFAX, NS September 23, 2025 – Fortune Bay Corp. (TSXV: FOR) (FWB: 5QN) (OTCQB: FTBYF)
(“Fortune Bay” or the “Company”) is pleased to announce results from an independent Updated Preliminary
Economic Assessment (“ Updated PEA”) for its 100% owned Goldfields Gold Project (“Goldfields” or the
“Project”) located in northern Saskatchewan.
Updated PEA Highlights:
• Expedited Path to Production: Sub-5,000 tpd open-pit scenario designed to remain within provincial
permitting, leveraging a valid EIS (2008), existing infrastructure, and past-producing status.
• Strong Economics; High-Sensitivity to Gold Price:
Gold Price/oz USD 2,600 (Base Case) USD 3,650 (Spot Price 1)
After-Tax NPV5% C$610M C$1,253M
After-Tax IRR 44% 74%
After-tax NPV5%/CAPEX 2.0 4.2
1. Gold spot price as of September 19, 2025
• Robust Financing Fundamentals: 14-year mine life with 8 96,000 oz payable production; favorable
NPV/Capex ratio; and strong Free Cash Flow (after-tax cumulative C$914M FCF base case; C$1,817M
FCF at US$3,650/oz).
• Low-Cost, Capital Efficient: Attractive operating costs (US$1,207/oz cash cost; US$1,330/oz AISC),
supported by a modest initial capital requirement of C$301M, that includes a C$51M contingency.
• Grade, Recovery, Strip Advantage: Among highest-grade open-pit developments in the Americas 2
(1.2 g/t Mill Head Grade), 95.4% gold recovery, and only 3:1 waste-to-resource ratio.
• De-Risked Pathway: 97% Indicated ounces incorporated in the Updated PEA mine plan, reconciled
with historical production; supported by established infrastructure, well-developed community relations,
and a clear permitting pathway that builds on existing EIS.
• Growth Potential: Resource expansion at Box and Athona plus multiple advanced targets (Frontier
Lake, Golden Pond, Triangle).
• Premier Jurisdiction: Saskatchewan ranks #1 in Canada and #7 globally for mining investment
attractiveness (Fraser Institute, 2024).
“The Updated PEA demonstrates the exceptional economics of Goldfields, establishing it as a significant
development asset within Canada’s gold mining sector, while underscoring the disconnect between the
project’s intrinsic value and Fortune Bay’s market valuation,” commented Dale Verran, CEO of Fortune
Bay. “With 97% of ounces in the mine plan classified as Indicated and supported by extensive historic al
datasets, established infrastructure and a valid EIS, Goldfields is comparatively de-risked for a PEA-stage
project and is uniquely positioned for near-term development. We are now focused on securing additional
permits, advancing key de -risking PFS studies, and preparing for resource -growth drilling. We are also
evaluating alternative options for an accelerated production pathway.”
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The Company will be hosting a Live Webinar at 12PM EDT Thursday September 25, 2025 to present the
Updated PEA results. Follow this link to subscribe: http://bit.ly/46F05kf
Description of the Updated PEA
The Updated PEA outlines a development approach for Goldfields’ current mineral resource through
conventional open-pit mining and onsite gold recovery at a 4,950 tpd processing facility.
This assessment positions Goldfields for expedited advancement toward mine development. While different
production scenarios were considered, all of which demonstrate robust economics, the Updated PEA
focuses on a mine plan tailored to accelerate the path to production—maintaining throughput below 5,000
tpd to proceed without requiring a federal impact assessment . This expedited pathway is underpinned by
established infrastructure, a de-risked resource base with 97% of ounces in the Indicated category, and the
benefit of a Provincially-approved Environmental Impact Statement (“EIS”) from 2008 for a 5,000 tpd open-
pit operation.
The Updated PEA was prepared by Ausenco Engineering Canada ULC (“Ausenco”) in accordance with
National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”). The Updated PEA
NI-43-101 Technical Report will be filed on SEDAR (www.sedar.com) within 45 days of this News Release.
Project Overview
The 100% owned Goldfields Project (“Goldfields” or the “Project”) is located approximately 13 kilometres
south of Uranium City, Saskatchewan. Goldfields hosts the Box and Athona gold deposits, as well as
additional gold showings within the prospective Goldfields Syncline. The Box deposit was historically mined
underground between 1939 and 1942, producing 64,000 ounces of gold.
The Project is located within a historical mining area and benefits from established infrastructure, including
a road and hydro-powerline to the Box deposit. Nearby facilities and services in Uranium City include bulk
fuel, civils contractors, and a commercial airport.
Location of the Goldfields Project
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Base Case Economic Results
The Updated PEA is preliminary in nature, given that it includes inferred mineral resources that are
considered too speculative geologically to have the economic considerations applied to them that would
enable them to be categorized as mineral reserves, and there is no certainty that the preliminary economic
assessment will be realized.
The Updated PEA for Goldfields is based upon a subset of mineral resources comprising 97% indicated
mineral resources and 3% inferred mineral resources.
General Inputs LOM
Gold Price US$/oz $2,600
Exchange Rate US$:C$ 0.74
Production
Strip Ratio Waste:Resource 3:1
Mill Head Grade g/t 1.2
Mill Gold Recovery % 95.4
Mine Life yr 13.9 years
Total Material Mined Mt 100.2
Average Annual Mined Material ktpa 7,190
Total Mill Feed Mt 25.2
Average Annual Mill Feed ktpa 1,807
Total Payable Au koz 896
Average Annual Payable Au koz 64
Average Annual Payable Au (Years 1-4) koz 99
Revenue & Earnings Metrics
Total Revenue C$M $3,144
Average Annual Revenue C$M $226
EBITDA C$M $1,685
Average Annual EBITDA C$M $121
Operating Costs per Ounce
Cash Costs per Ounce US$/oz Au $1,207
All-In Sustaining Cost (AISC) per Ounce US$/oz Au $1,330
Royalty NSR % 2%
Capital Cost
Initial Capex C$M $301
Sustaining Capex C$M $142
Closure Cost C$M $15
Before-Tax Economics
NPV (5%) C$M $839
IRR % 54.7%
Payback yr 1.4
NPV (5%) / Initial Capex - 2.8
After-Tax Economics
NPV (5%) C$M $610
IRR % 44.0%
Payback yr 1.7
NPV (5%) / Initial Capex - 2.0
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Notes:
• Cash Costs per ounce reflect direct mining, processing, site general & administrative, refining, transport, and royalty
costs, divided by payable gold ounces.
• All-in Sustaining Costs (AISC) per ounce include cash costs plus sustaining capital, sustaining exploration, and site-level
closure costs, divided by payable gold ounces. Growth capital, corporate G&A, financing costs, and income taxes are
excluded.
• Initial Capex represents upfront expenditures to construct and commission the mine, plant, and supporting infrastructure.
• Sustaining Capex represents ongoing capital expenditures required to maintain production during the life of mine.
• Payback Period represents the number of years from start of production to achieve cumulative positive after-tax free cash
flow, including sustaining capital.
• Non-IFRS financial measures are presented for additional information and benchmarking purposes only. They do not
have standardized definitions under IFRS and may not be directly comparable to similar measures reported by other
issuers.
After-Tax Unlevered Free Cash Flow (Base Case US$2,600/oz)
Sensitivity
After-Tax Sensitivity Summary
Gold Price
(US$/oz) US$2,100 Base Case
US$2,600 US$3,100 Spot Gold
US$3,650 1
NPV5% $303 $610 $916 $1,253
IRR 27.3% 44.0% 59.0% 74.2%
NPV5%/CAPEX 1.01 2.03 3.04 4.16
Payback (Years) 2.60 1.67 1.25 0.98
1. Gold spot price as of September 19, 2025
After-Tax NPV5% Sensitivity
Gold Price
(US$/oz)
After-Tax NPV5%
Base Case
Initial CAPEX Total OPEX FX
-20% +20% -20% +20% -20% +20%
US$2,100 $303 $360 $247 $441 $165 $625 $88
US$2,600 $610 $667 $553 $747 $472 $1,008 $344
US$3,100 $916 $973 $860 $1,054 $779 $1,391 $600
US$3,650 $1,253 $1,310 $1,196 $1,390 $1,116 $1,812 $881
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After-Tax IRR Sensitivity
Gold Price
(US$/oz)
After-Tax IRR
Base Case
Initial CAPEX Total OPEX FX
-20% +20% -20% +20% -20% +20%
US$2,100 27.3% 37.0% 20.5% 34.0% 19.4% 44.8% 12.9%
US$2,600 44.0% 56.7% 35.3% 49.7% 37.9% 63.3% 29.7%
US$3,100 59.0% 74.3% 48.4% 64.1% 53.6% 80.2% 43.5%
US$3,650 74.2% 92.2% 61.7% 78.9% 69.4% 97.5% 57.3%
Capital and Operating Costs
• Initial CAPEX: C$301 million, including contingency of C$51 million.
• Sustaining Capital: C$142 million over LOM.
• Operating Costs: C$41.0/t milled, including mining (38%), processing (37%), and G&A (25%).
• Closure Costs: C$15 million at end of mine life.
Mineral Resources
An updated Mineral Resource Estimate (“ MRE”), effective date September 11, 2025 , was completed as
part of the Updated PEA to reflect a slightly lower cut-off grade due to increases in the gold price. Mineral
resources are constrained within a conceptual open -pit shell. The updated MRE was prepared by SRK
Consulting (Canada) Inc. (“SRK”) in accordance with CIM Guidelines and NI 43 -101. This updated MRE
replaces the previous MRE with an effective date of September 1, 2022, also completed by SRK, who used
the same resource estimation procedures. SRK is also responsible for the development of the supporting
mineralization models which were based upon structural and petrographic studies conducted by SRK.
The MRE reconciles to within 1% of historical mine production at Box when the historically reported process
plant recovery of 96% is applied, providing additional confidence in the estimate.
Goldfields Mineral Resource Statement, effective date September 11, 2025.
Deposit Category Tonnes
(Mt)
Au Grade
(g/t)
Total Au
(000’s oz)
Box Indicated 16.2 1.41 734.3
Athona Indicated 7.8 1.02 255.4
Total Indicated 24.0 1.28 989.6
Box Inferred 3.4 1.04 114.1
Athona Inferred 4.0 0.78 100.1
Total Inferred 7.4 0.90 214.2
Notes:
• Mineral resources are not mineral reserves and do not have demonstrated economic viability.
• Mineral resources are reported at a cut-off grade of 0.28 g/t gold, constrained within a conceptual open-pit shell.
• Mineral resources are reported based on an updated gold price of US$2,600/oz.
• All figures are rounded to reflect the relative accuracy of the estimate.
Mining and Processing
• Mining Method: Conventional open-pit mining with drill, blast, load and haul methods. Mine plan
includes Box and Athona pits with phased pushbacks to optimize early higher-grade feed.
• Mine Life: 13.9 years, including 11 years of direct mill feed from pit operations and subsequent low-
grade stockpile rehandling.
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• Throughput: Average 1.8 Mtpa (4,950 tpd).
• Production: 25.2 Mt of mill feed at average grade of 1.16 g/t Au, recovering 896,000 ounces of
payable gold.
• Processing: Whole ore leach with gravity recovery and carbon-in-pulp (CIP), based on SGS
Canada - Lakefield testwork from 2015. Average recoveries of 95.9% at Box and 93.5% at Athona.
Mine Plan Summary
Mill Feed Summary
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Simplified Process Flowsheet
Infrastructure
The Project benefits from historical investment and proximity to existing infrastructure:
• Road access to Uranium City (25 km), with municipal infrastructure, commercial airport (year-round
commercial flights) and civils contractors.
• Power to be supplied via refurbishment of existing (currently inactive) 115 kV line from hydro-power
stations, with peak demand of 12 MW. Line assessment currently underway by SaskPower.
• Freshwater supply from nearby Lake Athabasca.
• Tailings storage facility (“TSF”) designed for 21.9 Mt capacity, to be constructed in two phases.
• Waste rock storage facilities (“WRSF”) and low-grade stockpiles integrated into mine plan.
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Site Layout
Environmental, Social, and Permitting
• EIS approval granted in 2008 for an open-pit mine at Box and a 5,000 tpd processing facility remains
valid.
• Additional approvals required for Updated PEA mine plan to address the time-lapse since original
assessment work and changes in project footprint, including the addition of open-pit mining at the
Athona deposit and the management of relatively larger volumes of waste rock and tailings.
• Environmental baseline studies have been initiated, to build upon and validate 10+ years of
environmental data, with terrestrial and aquatic studies ongoing. The studies have been designed to
establish a foundation for Provincial regulatory engagement and advancement in 2026.
• Well-developed community relationships, including Exploration Agreement (Nov 2022) providing
consent up to and including bankable feasibility study.
• Engagement on p roject development has been initiated with Indigenous Nations and local
Municipalities, with initial meetings to commence Q4 2025.
• At this time, no material environmental or social risks have been identified that cannot be reasonably
mitigated.
Key Opportunities
Accelerated Production Alternative: Onsite Concentrate Production
• Fast-Tracked Development: Unique to Goldfields, the Project benefits from its past-producing status
and a valid 2008 EIS, enabling investigation of a fast-tracked, lower-capex route to production.
• High-Grade Concentrates: Prior SGS Canada - Lakefield testwork (2019) demonstrated exceptional
potential—gravity coarse gold concentrates >1,000 g/t and subsequent sulphide flotation
concentrates >200 g/t. New metallurgical studies ( SGS - Sept, 2025) are underway to optimize
recovery and assess marketability of high-grade gold concentrates.