Canagold Resources Ltd (TSX:CCM, OTCQB:CRCUF) has released results of a feasibility study for its 100%-owned New Polaris gold-antimony project in northwestern British Columbia, outlining strong project economics, low capital costs, and significant upside from critical mineral antimony.
The study estimates an after-tax net present value (NPV) of C$425 million and an internal rate of return (IRR) of 30.9% at a base case gold price of US$2,500 per ounce. Using a spot gold price of US$3,300, the NPV rises to C$793 million with a 47.3% IRR.
The projected payback period on pre-production capital expenditures of C$250 million is 2.4 years at the base case and 1.7 years at spot pricing.
“The feasibility study results demonstrate exceptional economics, low capex and low AISC for the New Polaris gold-antimony project,” said Canagold CEO Catalin Kilofliski. “Even at a $2,500 gold price, the projected cash flow and economics are outstanding.”
The company reported life-of-mine (LOM) after-tax free cash flow of C$649 million at US$2,500 gold and C$1.1 billion at US$3,300. The high-grade underground mine is expected to produce 805,589 ounces of recovered gold over an 8.3-year mine life at an average diluted grade of 9.94 grams per tonne.
All-in sustaining costs are estimated at US$1,247 per ounce of gold.
“Our primary focus is now shifting toward completing the permitting process to advance New Polaris toward a construction and production decision,” Kilofliski added.
Antimony potential adds strategic value
While not included in the current financial model, the project also hosts significant antimony mineralization—a critical metal facing global supply constraints. The feasibility study includes 5,173 tonnes of antimony within the mine plan, though additional metallurgical and economic analysis is underway to evaluate its potential contribution to revenues.
Antimony has long been recognized at New Polaris, but its economic importance has grown due to its use in flame retardants, military applications, and energy storage technologies. Canagold is conducting test work to produce a high-grade antimony-gold concentrate and assessing downstream processing options.
Modern underground mine and processing plan
The New Polaris project is designed as a mechanized underground mine with mill feed averaging 9.9 g/t gold. Ore will be processed at a 1,000 tonnes-per-day flotation plant to produce a bulk sulphide concentrate grading over 100 g/t gold, which will be shipped offsite via Juneau, Alaska.
Waste rock and filtered tailings will be stored in an integrated dry-stack facility near the plant site.
An independent marketing study confirmed the project’s concentrate is suitable for sale to Asian gold roasters, smelters, and metal traders, with average net smelter return of 87.9% projected over the mine life.
Community engagement and environmental goals
Canagold acknowledged the Taku River Tlingit First Nation (TRTFN) for their collaboration, with TRTFN spokesperson Charmaine Thom noting the company’s recognition of traditional territory and pursuit of a Consent Based Agreement as “a true testament of what reconciliation looks like.”
To reduce its environmental footprint, Canagold is studying the potential for on-site run-of-river hydroelectric generation to displace diesel power and lower carbon emissions.
Shares of Canagold added 11.4% in Toronto at C$0.39 on Monday afternoon.