Mining Press Roundup: Newmont's Red Chris Price Tag Tests Canada's Copper Funding Case

Newmont (NYSE, ASX: NEM) put a price of up to $4.8 billion on taking its Red Chris copper-gold mine underground in British Columbia, with commercial production targeted for 2033, according to MINING.COM. The figure sits well above the earlier study, and it rests on a federal contribution whose terms are not final and on a board decision still to come. That makes Red Chris a clear test of whether the copper projects Ottawa has chosen to back can actually be funded and built.

Newmont: Red Chris Underground Gets a Capital Price

The Red Chris estimate of $4.2-billion to $4.8-billion includes contingency but excludes the cost of transitioning from open-pit to underground mining, MINING.COM reported. It assumes a C$500-million federal contribution, and the terms of that contribution have yet to be finalized.

The spending estimate is well above the $2.1 billion in Newcrest's 2021 prefeasibility study, though the scope has changed. That plan covered three mining blocks over 31 years, while Newmont's initial stage covers two blocks over 13 years. On the third-quarter analyst call, President and CEO Natascha Viljoen described the redesign: "The cave is now larger and it's also orientated to prevent any intersection with major fault lines."

Newmont said the underground project would produce an annual average of 275,000–325,000 oz. of gold and 65,000–85,000 tonnes of copper from 2035 through 2040. Red Chris is about 1,030 km northwest of Vancouver. Newmont owns 70% of the mine and operates it alongside Imperial Metals (TSX: III), which holds the balance.

Viljoen said the feasibility study is nearing completion, with an investment decision expected early next year. Construction could begin in 2027, subject to board approvals. B.C. granted key permits in June through a consent-based process with the Tahltan Nation. Ottawa referred the expansion to its Major Projects Office in September last year, placing it among the first five projects selected for help coordinating regulatory approvals and financing.

Newmont expects to fund construction from internal cash flow. It sees potential for a mine life of up to 70 years through further development, including East Ridge, which is not in the initial plan.

Scotiabank analyst Tanya Jakusconek wrote that Newmont's capital spending outlook for 2027 "may be overshadowed by the higher capex" at Red Chris. She estimates Red Chris represents about 2% of Newmont's net asset value. Newmont expects development spending to rise by about $500 million next year from this year's $1.4-billion budget, and Viljoen said Red Chris accounts for about $250 million of that increase, subject to project approval.

Newmont: Lower Cost Guidance, Strong Cash Flow

Alongside the Red Chris update, Newmont cut its gold all-in sustaining cost forecast, after by-product credits, to $1,520 per oz. from $1,680. It maintained production guidance of about 5.3 million ounces. Third-quarter adjusted earnings rose 23% to $2.3 billion, or $2.20 a share, and free cash flow totalled $1.9 billion.

The company ended September with $8.8 billion in cash, before a planned $1.95-billion payment to Barrick Mining this quarter under their amended Nevada Gold Mines agreement. Shares fell 2% to $111.81 on Friday morning in New York, valuing the company at $116.1 billion.

Elsewhere in the portfolio, Newmont brought forward commercial production at Tanami Expansion 2 in the Northern Territory to the end of June next year, from the second half of 2027. It also warned that El Niño conditions affecting water supply could intensify through year-end at Lihir in Papua New Guinea and hurt production and costs.

New Found Gold: Queensway PEA Lifts the Projected Value

New Found Gold (TSX, NYSE-A: NFGC) has raised the projected value of its Queensway gold project in Newfoundland to C$1.73 billion ($1.23 billion). It also expanded measured and indicated resources by 38%, according to a revised preliminary economic assessment. The revised plan assumes a gold price of $3,600 per oz., 44% above the earlier $2,500 assumption. It estimates initial capital costs at C$150 million. Last year's study estimated an after-tax net present value of C$743 million at a 5% discount rate.

The mine plan projects an after-tax internal rate of return of 126%, payback in less than a year, all-in sustaining costs of $1,375 an ounce, and first processing targeted for late 2027. Queensway would give New Found a projected average output of 116,000 oz. annually over 15 years, with annual output peaking at 190,000 oz. in 2032.

The resource stands at measured and indicated 27.3 million tonnes grading 2.19 grams gold per tonne for 1.92 million oz. There are also inferred 12.5 million tonnes grading 1.51 grams gold for 606,000 ounces, effective July 6. New Found held about C$167 million in cash at Sept. 30 against C$70 million in debt, with a further C$35-million debt facility available subject to conditions.

Queensway still requires environmental clearance and subsequent permits. Later deposits, underground development and processing expansions would need their own regulatory approvals. At Hammerdown, which reached commercial production on Aug. 19, third-quarter output totalled 4,863 oz. That brought year-to-date production to 10,670 oz., according to the company's Oct. 15 operating update.

Boroo: Agreement to Acquire Victoria Gold and Restart Eagle

Private entity Boroo has agreed to acquire Victoria Gold for up to C$140 million (about $100 million). The deal advances plans to potentially restart the Eagle gold mine in the Yukon more than two years after a heap-leach collapse. The Singapore-based buyer would pay C$40 million upfront and another C$100 million as permitting and commercial-production milestones are met.

Boroo expects to spend about C$800 million between 2027 and 2029 on rehabilitation, water treatment, site stabilization and a phased restart. It did not disclose a firm production restart date. An independent review attributed Eagle's June 24, 2024 failure to static liquefaction, and about 1.8 million tonnes escaped containment.

Receiver PricewaterhouseCoopers intends to seek approval from the Ontario Superior Court of Justice in early December, targeting closing around Dec. 31. Yukon has authorized loans of up to C$220 million to the receiver, secured by a priority claim over other creditors. That ceiling doesn't represent the amount ultimately spent or recovered. Boroo is privately held and ultimately controlled by Mongolian investor Tulga Erdenebileg, according to its June financial statements.

Southern Copper: Cuajone Expansion Under Evaluation

Southern Copper (NYSE, LON: SCCO) is evaluating a $680-million expansion of its Cuajone mine in southern Peru to counter declining ore grades. The proposal would increase milling capacity by 33%, from 90,000 to 120,000 tonnes per day. Projected average annual production would be 55,000 tonnes of copper and 1,400 tonnes of molybdenum. The company has yet to announce a final investment decision or timetable.

The grade problem is visible in the results. Southern Copper's copper production fell 2.9% to 693,602 tonnes in the first nine months of 2026, largely because of lower ore grades at its Peruvian mines, according to third-quarter results released Oct. 20. BloombergNEF estimates the industry needs $332 billion in new mine investment to avert a copper supply shortage likely to begin in 2028.

Aura Energy: Tiris Study Holds Value Despite Higher Costs

Aura Energy's bankable feasibility study for its Tiris uranium project in Mauritania outlined a $500-million valuation, despite a 52% increase in construction costs to $350 million. The study gives a post-tax internal rate of return of 28%, 11 percentage points lower than in a 2024 technical report. The uranium price assumption rose 12% to $90 per pound over the same period.

Aura is in discussions with the U.S. International Development Finance Corporation for about $150–170 million of senior debt. A final investment decision is planned for December.

Ottawa and Ontario: Ring of Fire Road Money

Ottawa has pledged up to C$1 billion ($712 million) to help build roads into Ontario's Ring of Fire. The pledge matches the province's long-standing billion-dollar commitment and was announced Wednesday by Prime Minister Mark Carney and Ontario Premier Doug Ford. Neskantaga First Nation has opposed the wider industrial corridor and said it hasn't consented to the proposed Northern Road Link across its homelands.

What It Means

Several of today's announcements share one theme: a price tag is not the same as funding. Red Chris carries a higher estimate than the earlier study, and that estimate leans on a federal contribution still to be finalized. Aura's Tiris study kept its valuation despite a steep rise in construction costs, but it still needs senior debt from a U.S. agency. Boroo's Eagle plan depends on court approval and on milestone payments tied to permitting. In each case, public or quasi-public money and regulatory consent sit alongside the company's own balance sheet.

Ore grades are also pushing capital toward existing assets. Southern Copper is weighing Cuajone to offset declining grades, and Newmont is extending the Red Chris life of mine. Markets were not forgiving in the latest session: according to market data, the copper miners ETF COPX and the uranium ETF URA both closed lower, and gold and silver were down against their prior closes. Whether Canadian projects like Red Chris can close their funding gaps will be tested by the investment decision Newmont expects early next year.

This roundup covers press releases published on October 23, 2026. Company announcements are sourced from mining industry wire services. For corrections or updates, contact contact@stakeandpaper.com.