Fury Announces Results of Preliminary Economic Assessment for the Eau Claire Gold Deposit with a Base Case After-Tax NPV (5%) of $554M and After- Tax IRR of 41%
Fury Announces Results of Preliminary Economic Assessment for the Eau
Claire Gold Deposit with a Base Case After-Tax NPV (5%) of $554M and After-
Tax IRR of 41%
TORONTO, Sept. 02, 2025 -- Fury Gold Mines Limited (TSX and NYSE American: FURY) (“Fury” or the “Company”) is
pleased to announce results from a preliminary economic assessment (PEA) for the high-grade Eau Claire deposit located in
the Eeyou Istchee Territory of the James Bay region of Quebec. The PEA represents an initial conceptual evaluation of the
economic potential of Eau Claire’s mineral resources and was prepared in accordance with National Instrument 43-101 (“NI 43-
101”) by SGS Geological Services. All dollar amounts are in Canadian dollars unless otherwise specified.
Three scenarios, all based on the same mine plan, were evaluated, each returning an after-tax net present value at a 5%
discount rate (“NPV5”) and after-tax internal rate of return (“IRR”) at a gold price of US$2,400 per ounce (“oz”):
1. Full standalone operation with all processing on site (the “Base Case”)
◾ After-tax NPV5 of $554M and after-tax IRR of 41%
2. Hybrid case starting with two years of toll milling, followed by full standalone crushing, milling, and processing on site
(the “Hybrid Case”):
◾ After-tax NPV5 of $610M and after-tax IRR of 53%
3. Full toll milling scenario, processing mineralized material off-site at a third-party facility (the “Toll Milling Case”):
◾ After-tax NPV5 of $639M and after-tax IRR of 84%
Highlights
• Total recovered gold production of 834koz gold at an average diluted head grade of 4.46 g/t gold.
• Average annual production projected to be approximately 76k oz gold over an 11-year life of mine (“LOM”) at an all-in
sustaining cost (“AISC”) of US$1,140/oz for the Base Case; US$1,153/oz for the Hybrid Case, and US$1,170/oz of gold
for the Toll Milling Case.
• Low initial capital expenditures (“CapEx”) ranging from $117M in the Toll Milling Case to $217M in the Base Case.
• Rapid after-tax payback period of 2.5, 1.5, and 1.1 years based on the three cases, respectively.
• 76% of the ounces within the PEA mine plan are currently in the Measured and Indicated resource category,
demonstrating a timely pathway to a prefeasibility study (“PFS”) with minimal conversion drilling required.
"The Eau Claire PEA scenarios each demonstrate an exceptional internal rate of return and net present value," commented
Tim Clark, CEO of Fury. "The results validate our belief that the market has significantly undervalued the project within Fury’s
broader asset portfolio. With strong infrastructure in place, including access to hydro power and roads, combined with
favourable metallurgy, Eau Claire stands out as a highly attractive development opportunity with substantial exploration upside,
presently hosting a combined Eau Claire and Percival resource of 6.39 Mt at 5.64 g/t gold containing 1.16Moz gold Measured
and Indicated plus 5.45 Mt at 4.13 g/t gold containing 723koz gold Inferred."
PEA Summary
The PEA contemplates a primary underground mining operation complemented by 2 small open pits. Production from the
underground (“UG”) mine will start in year minus 1 with a small bulk sample, with full UG operations continuing through to year
11. In total, the underground would produce 702koz gold at an average diluted head grade of 5.22 g/t gold from 4.40Mt of
material (Table 1 and Figures 1 and 2). The conventional open pits (“OP”) will operate for 8 years, recovering a total of 132koz
gold at an average diluted grade of 2.50 g/t gold from 1.73Mt of material (Table 1 and Figures 1 and 2). Total taxes payable
over LOM at the study gold price range between $348M and $311M for the Base and Toll Milling, respectively.
Table 1: Eau Claire PEA Key Economic Assumptions and Results
Production
PEA Life of Mine (LOM) Years 11
LOM Production Resource Tonnes Tonnes 6.1M
LOM diluted head grade g/t Au 4.46
Average Diluted Grade (OP) g/t Au 2.5
Average Diluted Grade (UG) g/t Au 5.22
Average Gold Recovery % 95
Contained Gold oz 878,281
Recovered Gold oz 834,367
Average Annual production oz 75,852
OP LOM Strip Ratio 7.73
Capital Costs
Base Case Hybrid Toll Milling
Initial CapEx (incl UG development) C$ $217M $216M $117M
Sustaining Capital C$ $66M $66M $66M
Contingency included in Capital C$ $36M $36M $10M
Total Capital C$ $283M $282M $184M
Total Operating Costs C$ $1,019M $1,036M $1,153M
Cash Costs (LOM) USD/oz $892 $906 1,009
AISC (LOM)1 USD/oz $1,140 $1,153 $1,170
Financial Summary
Gold Price USD $2,400
Exchange Rate USD/C$ 0.73
After-Tax NPV(5%) C$ $554M $610M $639M
After-Tax IRR % 41 53 84
After-Tax Payback Years 2.5 1.5 1.15
1. AISC is calculated as the sum of treatment and refining charges, onsite operating costs, sustaining capital costs, and
closure costs, divided by the quantity of ounces sold.
Figure 1: Long Section and Cross Section views of the proposed Eau Claire OP and UG mine plan.
The PEA is subject to a number of assumptions and risks, including, among others, that all required permits and other rights
will be obtained in a timely manner, that development of the Eau Claire deposit will have the support of the First Nations,
stakeholders, and government, and that geotechnical, hydrogeological, and metallurgical assumptions will be confirmed. The
Company has not confirmed whether any toll milling arrangements will be reached with any facility within a reasonable
distance from the project. The Toll milling assumptions used in the PEA includes provision for on-site crushing, an on-site
sample tower, one-way 205 km road haulage, and toll milling costs with life of mine costs ranging between $61.89/tonne and
$58.21/tonne for the Hybrid and Toll Milling Cases, respectively.
Figure 2: Annual Gold Production
Eau Claire Mineral Resource Estimate
The PEA is based on the current Mineral Resource Estimate for Eau Claire with an effective date of May 10, 2024, and is
reported using a gold price of US$1,900/oz (Table 2), see Eau Claire NI43-101 report titled “Mineral Resource Estimate Update
for the Eau Claire Project, Eeyou Istchee James Bay Region of Quebec, Canada” dated June 25, 2024 filed under Fury’s
profile on SEDAR+.
“When Fury acquired the Eau Claire project in October 2020, we saw a clear pathway for the existing deposit to grow
significantly and the potential to define additional deposits within the project area through systematic, disciplined exploration.
The steepening of the vein model in the eastern portion of the Eau Claire deposit has opened additional targets throughout the
resource area itself and bodes well for the next stage of the project. This PEA will act as a road map for further growth and
derisking of not only the Eau Claire Deposit itself, but the entire 55,000-hectare land package,” stated Bryan Atkinson, SVP of
Exploration at Fury.
Table 2: Mineral Resource Estimate for the Eau Claire Deposit
Category Tonnes Au g/t Contained Au (oz)
Open Pit
(base case cut-off grade of 0.5 g/t Au)
Measured 1,157k 5.19 193k
Indicated 1,291k 4.19 174k
Measured & Indicated 2,448k 4.66 367k
Inferred 69k 4.39 10k
Underground
(base case cut-off grade of 2.5 g/t Au)
Measured 455k 6.9 101k
Indicated 3,490k 6.17 692k
Measured & Indicated 3,945k 6.25 793k
Inferred 2,566k 6.08 502k
Combined Open Pit and Underground
Measured 1,612k 5.67 294k
Indicated 4,781k 5.64 866k
Measured & Indicated 6,393k 5.65 1,160k
Inferred 2,635k 6.04 512k
(1) The effective date of the Eau Claire project Mineral Resource Estimates (“MREs”), including the Eau Claire and
Percival deposit estimates, is May 10, 2024.
(2) The Mineral Resource Estimates were estimated by Maxime Dupéré, B.Sc., géo. of SGS Geological Services and
is an independent Qualified Person as defined by NI 43-101.
(3) The classification of the current Mineral Resource Estimates into Measured, Indicated and Inferred mineral
resources is consistent with current 2014 CIM Definition Standards - For Mineral Resources and Mineral Reserves.
(4) All figures are rounded to reflect the relative accuracy of the estimate and numbers may not add due to rounding.
(5) The mineral resources are presented undiluted and in situ, constrained by continuous 3D wireframe models, and are
considered to have reasonable prospects for eventual economic extraction.
(6) Mineral resources which are not mineral reserves do not have demonstrated economic viability. An Inferred Mineral
Resource has a lower level of confidence than that applying to an Indicated Mineral Resource and must not be
converted to a Mineral Reserve. It is reasonably expected that most Inferred Mineral Resources could be upgraded
to Indicated Mineral Resources with continued exploration.
(7) The Project mineral resource estimates are based on a validated database which includes data from 1202 surface
diamond drill holes totalling 406,431 m, and 426 surface channels (Eau Claire deposit) for 1,345 m. The resource
database totals 273,402 drill hole assay intervals representing 267,721 m of data and 2,254 channel assays for
1,316 m.
(8) The MRE for the Eau Claire deposit is based on 280 three-dimensional (“3D”) resource models representing the
450, 850 and hinge zones. The MRE for the Percival deposit is based on 29 3D resource models representing high
grade and lower grade halo zones.
(9) Grades for Au were estimated for each mineralization domain using 1.0 metre capped composites assigned to that
domain. To generate grade within the blocks, the inverse distance cubed (ID 3) interpolation method was used for all
domains of the Eau Claire deposit and ID 2 for Percival deposit. An average density value was assigned to each
domain.
(10) Based on the location, surface exposure, size, shape, general true thickness, and orientation, it is envisioned that
parts of the Eau Claire and Percival deposits may be mined using open-pit mining methods. In-pit mineral
resources are reported at a base case cut-off grade of 0.5 g/t Au. The in-pit resource grade blocks are quantified
above the base case cut-off grade, above the constraining pit shell, below topography and within the constraining
mineralized domains (the constraining volumes).
(11) The pit optimization and base-case cut-off grade consider a gold price of $1,900/oz and considers a gold recovery
of 95%. The pit optimization and base case cut-off grade also considers a mining cost of US$2.80/t mined, pit
slope of 55⁰ degrees, and processing, treatment, refining, G&A and transportation cost of USD$19.00/t of
mineralized material.
(12) The results from the pit optimization, using the pseudoflow optimization method in Whittle 4.7.4, are used solely for
the purpose of testing the “reasonable prospects for economic extraction” by an open pit and do not represent an
attempt to estimate mineral reserves. There are no mineral reserves on the Property. The results are used as a
guide to assist in the preparation of a Mineral Resource statement and to select an appropriate resource reporting
cut-off grade. A Whittle pit shell at a revenue factor of 0.52 was selected as the ultimate pit shell for the purposes
of this mineral resource estimate.
(13) Based on the size, shape, general true thickness, and orientation, it is envisioned that parts of the Eau Claire and
Percival deposits may be mined using underground mining methods. Underground mineral resources are reported at
a base case cut-off grade of 2.5 g/t Au. The mineral resource grade blocks were quantified above the base case
cut-off grade, below surface/pit surface and within the constraining mineralized wireframes (considered mineable
shapes). Based on the size, shape, general thickness, and orientation of the mineralized structures, it is
envisioned that the deposits may be mined using a combination of underground mining methods including sub-level
stoping (SLS) and/or cut and fill (CAF) mining.
(14) The underground base case cut-off grade of 2.5 g/t Au considers a mining cost of US$65.00/t mined, and
processing, treatment, refining, G&A and transportation cost of USD$19.00/t of mineralized material.
(15) The estimate of Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation,
socio-political, marketing, or other relevant issues.
Mining
The Eau Claire deposit extends over 1.4 km along a northwest–southeast trend. It consists primarily of a series of en echelon
quartz-tourmaline veins, with individual veins reaching up to 1 metre (m) in thickness. This moderately dipping vein system
outcrops at surface and extends to depths beyond 600 m. The mineralized widths, including closely stacked veins and
mineralized alteration haloes, range from 1.8 m to 12 m, with an average thickness of approximately 3.0 m.
Given its vein-like nature and vertical extent, underground mining is considered the most suitable extraction method, except for
the portion near the surface that will be mined by open pit. The selected approach for this study proposes a hybrid mining
approach that combines longitudinal longhole stoping for the underground portion with backfill and conventional open-pit mining
(Table 3). In the underground operation, all material will be hauled to surface using a fleet of 40-tonne underground trucks via a
ramp, at a rate of 1,200 tonnes per day (“tpd”) once the mine reaches full production. The PEA is based on contract mining.
Parameters used to optimize OP and UG mineability of the Eau Claire resource are summarized in Table 3 and Figure 3. The
OP and UG optimization parameters utilized resulted in a potentially mineable portion of the resource shown in Table 4 and
Figure 3.
Table 3: Mining Parameters
Open Pit Underground
Methodology Conventional Longitudinal Longhole Stoping
Dimensions Block Sizes: 5x5x5 m
Minimum Mining Width: 1.8 m
Sublevel Interval 15 m
Stope Length 15 m
Overall Pitwall Slope: 55 degrees Minimum Stope Dip 45 Degrees
Dilution 5% Dilution Factor Dilution – 1.0 m Total
Table 4: Potentially Mineable Portion of the Resource
Category Tonnes Diluted Au g/t Contained Ounces Au
(oz)
Underground
Measured Resource 549k 4.83 85k
Indicated Resource 2,711k 5.11 446k
Measured & Indicated 3,260k 5.06 531k
Inferred Resource 1,143k 5.68 209k
In-pit
Measured Resource 1,292k 2.55 106k
Indicated Resource 423k 2.40 33k
Measured & Indicated 1,715k 2.51 139k
Inferred Resource 12k 1.59 597
Figure 3: Eau Claire PEA Model.
On-Site Mineral Processing and Metallurgical Testing
Metallurgical test programs conducted on the Eau Claire Project have demonstrated that the ore is amenable to a gravity plus
cyanidation carbon-in-leach (“CIL”) processing strategy, achieving consistently high gold recoveries and confirming the
robustness of the selected flowsheet.
Overall gold recoveries of 96%–98% were achieved under optimized cyanidation conditions, with rapid leaching kinetics (within
8 to 24 hours), moderate reagent consumption 1.25 kg/t NaCN, and minimal preg-robbing risk. Gravity recovery tests (“GRG”)
showed a GRG value of 39%, with bulk gravity separation recovering 24% of the gold, underscoring the importance of including
a gravity circuit as a primary step in the flowsheet. For the purposes of the PEA, a conservative global gold recovery of 95%
was assumed.
Comminution testing yielded a Bond Ball Mill Work Index (BWI) of 11.2 kWh/t, classifying the ore as moderately soft and
suitable for conventional grinding circuits with low energy requirements. Environmental assessments confirmed that the tailings
are non-acid-generating (NP/AP = 3.4), with strong alkaline buffering, low metal mobility, and negligible leaching risks. These
findings support the safe re-use of tailings as backfill under both neutral and acidic conditions, complying with Canadian and
international environmental standards.
Based on the test work results, the recommended flowsheet for Eau Claire includes primary gravity recovery using Knelson
and Mozley units, followed by cyanidation of gravity tailings in a CIL circuit. Elution, electrowinning, and doré smelting are
proposed for final gold recovery (Figure 3). Further work is recommended to fine-tune cyanide and lime dosages, optimize pre-
aeration time, assess CIL vs. carbon-in-pulp (“CIP”) performance, and characterize preg-robbing potential across variable ore
types. Overall, the metallurgical performance supports a robust and economically viable gold recovery strategy for the Eau
Claire Project.
Given the relatively conventional processing and recoveries of the Eau Claire mineralization, recoveries of 95% were assumed
for the toll milling included in the Hybrid and Toll Milling Cases. Further test work to determine the actual recoveries at existing
mills in the region is required.
Figure 4: Conceptual Flow Sheet for the Eau Claire Deposit.
Figure 5: Annual Mining Schedule of Resource Material and Grade Profile
Infrastructure
The infrastructure required for the Eau Claire Project will include:
• Haulage roads and site roads;
• Two portals and ventilation raises;
• Waste dump and overburden stockpile;
• Sampling tower (Toll Milling Case);
• Overall water management plan;
• Water management structures;
• Electrical site reticulation; and
• Warehouse, offices, facilities, weighing scale, and other services.
The property is accessible, year-round, by the Route du Nord an all-season gravel road extending from the town of
Chibougamau to the Cree village of Nemaska (and onto Hydro Québec's installation at EM-1). Road access to the project
involves crossing the Eastmain Reservoir and the EM-1 spillway via an all-season road installed and maintained by Hydro
Québec. Access beyond the Hydro Quebec spillway is along a 6 km long resource road maintained by the Company. An
existing 40-person camp is operational but is planned for relocation to add capacity.
The main infrastructure will be located on the east side of the pits, and a planned process plant platform is to be located south
of the pits. The waste rock stockpile with a capacity of 17 Mt will be located on the north side of the pits, which is sufficient to
accommodate waste from the pits and underground waste from development. A haul road is planned to connect the pits to the
waste stockpile, overburden stockpile, process plant, and tailings storage facility (Figure 6).
Figure 6: Haul road connecting the pits to the waste stockpile, overburden stockpile, process plant, and tailings storage
facility.
Tailings Management
For the on-site process milling option in the Base and Hybrid Cases, the Tailings Storage Facility (“TSF”) design will take
advantage of the existing topographic and ground conditions in the western part of the Project site. In a TSF, the percentage of
tailings used for underground backfill can vary significantly, but it is common to see a range from 25% to 75% being backfilled
underground, while the remainder is stored on the surface. This percentage is influenced by factors like specific mine needs,
capacity of the underground workings, and characteristics of the tailings and waste rock.
The Eau Claire TSF is initially designed with a capacity of 880,000 cubic metres. Further study will be undertaken for the use
of the tailings as backfill material for the underground stopes to reduce the tailings footprint. A tailings deposit basin will
be created by building a perimeter road and berm at an elevation of 248 masl. The process plant tailings will be pumped to the
TSF through an approximate 2 km pipeline and will be thickened before deposition. The reclaimed water system will consist of
a reclaim barge equipped with reclaim water pumps.
Power Infrastructure
The power demand of the overall Eau Claire site is approximately 9.3 MW. Electricity will be supplied to the site at a voltage
level of 120 kV originating from the nearby Hydro-Quebec substation, approximately 18 km away.
At site, the substation will lower the incoming voltage (120 kV from Hydro-Québec) to 4.16 kV using a main transformer, rated
120kV - 5 kV, 10/12.5 MVA, and will supply power to all operations on site.
Figure 7: Eau Claire location and infrastructure.
Capital and Operating Cost Estimates
The initial capital is estimated to range between $117M and $217M with an additional $66M in sustaining capital (Table 4). The
PEA is based on contract mining. Operating costs were developed from unit costs for projects of a similar scale in Canada
(Table 5).
Table 5: Capital and Operating Cost Summary
Input Base Case Hybrid Toll Milling
Initial Capital
Pre-Production Engineering & Design $9M $9M $2M
Process Plant $86M $86M
Tailings $5M $5M
Site Facilities $16M $17M $17M
Power Line from Quebec Hydro 18 km $13M $13M $13M
Surface Support Equipment $2.3M $2.3M $2.3M
OP Mining $549k $549k $549k
UG Non-Development Capital $6.4M $6M $6M
UG Development Capital $66M $66M $66M
Non-Mining Development Contingency $10M $10M $10M
Pre-Production G&A $3M
Initial Capital Sub-total $217M $216M $117M
Sustaining Capital
OP Mining $155k $155k $155k
UG Non-Development Capital $240k $245k $245k
UG Development Capital $61M $61M $61M
Site Closure $5M $5M $5M
Sustaining Capital Sub-total $66M $66M $66M
Total Capital Costs $283M $282M $184M
Operating Costs
OP Direct Mining Costs $86M $86M $86M
UG Direct Mining Costs $504M $504M $504M
Indirect Mining Costs $70M $70M $70M