Newcore Gold Hits Best-Ever Grade Thickness at Nyam

0:16Mining Stock Daily: All right, everybody, welcome back into Mining Stock Daily. We've got new drill results or we had new drill results from New Course Enchi project there in Ghana late, about a week ago. And so we're getting a corporate update on these new drill results coming out of NIAM, that NIAM deposit with the headline hole 3.67 grams per ton gold over 25.3 meters. That was the headline. And obviously this opens and continues to expand the NIAM deposit below that resource pit. So we're going to talk about these drill results and the continuing unlocking of the NSHE project with CEO Luke Alexander. Luke, good morning.

0:59Mining Stock Daily: Good to see you. How you been? Yeah, I've been doing well. How about yourself, Trevor? Yes, I'm doing pretty good. Thank you. Summer is reluctantly starting to come to an end, and I'm trying my best to stop that from happening, but without success. But let's continue. Let's talk about more work at NSHE. This is continue to expand mineralization at depth into that fresh rock material. important to note going forward post that PFS. Luke, walk us through these latest holes at NIAM and what's the important takeaways here. Yeah, so NIAM is our third largest deposit. We've had a lot of drill success at NIAM.

1:42We've identified a number of high-grade shoots across the deposit, and this is a follow-up drill, set of drill results from that area. We're looking at about 1 ,500 meters, five diamond holes released as part of this.

1:58Mining Stock Daily: That takes our total drilling up to about 46 ,000 of our 80 ,000 meter drill program. So lots of drill results still to come an additional roughly 34 ,000 meters. And encouragingly, we've been seeing mineralization in 99 % of the 288 holes that we've released to date. So it highlights that we've got a very good geological understanding of our project and the drilling that we're doing across the different deposits and greenfield targets. These results from NIAM, the highlight hole is almost 3.7 grams over 25 meters. That's actually the highest grade thickness intercept ever encountered at our NIAM deposit.

2:48So, you know, that's very encouraging where that intercept sits is right on the edge of our MRE pit and well below our reserve pit. So, um, you know, this for us, we think will drive the pits deeper at our NIAM deposit. And the reason why that's important is if you look at the PFS that we released at the end of June, you'll see that in the first three years, we averaged about 130 ,000 ounces of production. That compares to a nine-year mine life of 104 ,000 ounces. What drove that higher production in those first three years was higher grades of 0.8 grams on average over those first three years.

3:40So one of the things we're looking to do with this current 80 ,000 meter drill program is continue to prove out these higher grade areas on our project. What we'll then do is look to incorporate those into a future mine plan and push some of those lower grade ounces out further. What that will do is have a real meaningful impact on the overall NPV of the project, increase the overall production profile and ultimately drive better economics for the project. So these results that we've had at NIAM and some of the other results we've been putting out in 2026 are bang in line with what we're looking to achieve with this drill program.

4:25So 3.7 over 25 meters again that's the highest grade thickness intercept ever encountered on our project. We also, within this press release in hole 91, had 1.26 over 18 meters, hole 87, 1.1 over 14 meters.

4:43Mining Stock Daily: So again, very encouraging results from our NIAM deposit. And you're seeing some nice continuity. I mean, a month prior, you drilled another three and a half grams per ton over 21 meters. So, I mean, you know, a month prior, that was also a banger hole. throughout all of the NSHE drilling campaigns. So you're starting to see some nice continuity here. But it makes you question, I mean, obviously there's more drilling to be done because you start converting those ounces into potential reserves. Is that something on the book here, Luke? Yeah, so if you go to our press release and you look at the results that we put out last week, and then if you go back and look at that other press release from NIAM that you just highlighted, three and a half grams over 20 meters, you'll see that we've included some cross sections there.

5:39Within those cross sections, what you'll see is a reserve pit. So that reserve pit is what is ultimately used for that pre-feasibility study that we put out at the end of June. you'll then see a resource pit, which is deeper. And these results you'll see sit right on the edge and below that resource pit, both in our end of July news release, as well as our end of June news release, both from our NIAM deposit. So what we're expecting is that the reserve pit will get pulled deeper with these high-grade results that we're seeing. If it does get pulled deeper, that's where we then see those higher grades start to get included into our mine plan and potentially displace some of the lower grade material, which again would have a very positive impact on the overall mine plan and the NPV of the project.

6:46So these results are bang in line with what we're looking to achieve. Higher grades, right on the edge and just outside of the existing pits, which we think will then drive our reserve pits lower, which will then feed future studies that we do. Okay.

7:05Mining Stock Daily: It's been over a month since the pre-feasibility study had been published and the market has digested that. but I think it's finally people are recognizing that you are incorporating a CIL flow sheet within NSHE and that was maybe where the volatility came from but now that that's kind of being accepted how important is those new potential ounces in reserves in the fresh rock how important is that for the company to kind of continue to bring towards to the market and start on paper, at least feeding that CIL flow sheet? Yeah. So if you look at gold today, trading around$4 ,200,$4 ,300, announced, let's say at$4 ,200, we're looking at an after-tax NPV of$650 million for our project, after-tax IRR of 45 % and a 1.4 year payback.

8:08So at today's gold prices, we have very robust economics for the project. As I kind of highlighted in the first three years, which is what drives a lot of the NPV for any project out there when you discount it back to today, we've got roughly 130 ,000 ounces of production, which is driven by 0.8 gram per ton material, which takes our all-in sustaining costs below$2 ,000. One of our goals with this drill program is to add additional, call it 0.8 gram per ton material to our mine plan and push out some of the lower grade material that we're seeing coming into the mine plan in years four, five, and six.

8:58That could have a very meaningful impact on the NPV and the overall economics of the project. So the results that we put out a month ago, as well as the results that we just put out last week, um, with, you know, three and a half gram plus material, that's the type of, um, uh, those are the types of intercepts that we think can drive our pits lower and into higher grade material, which then can have a very positive impact on mine plans and future economics for the project. So very encouraged by the results that we're seeing today. And at the end of the day, when you look at our NSHE project, it does provide a lot of leverage to the gold price.

9:45I mean, I just spoke to you about where the economics sit at a$4 ,200 gold price. But if we go back to when we commissioned this PFS at the end of January, beginning of February, gold was trading around$5 ,000 an ounce. At$5 ,000 an ounce, we're producing an after-tax NPV of 960 million, IRR of 58 % and a 1.1 year payback. That's almost double the base case that we used for our PFS. So this project does provide a lot of leverage to the gold price for investors as well, and something that we're very excited about. Yeah.

10:35Mining Stock Daily: So I want to highlight and maybe break down, since the PFS, and obviously you've expanded this drill program, I think twice to a total of 80 ,000 meters in the budget, uh, which is great. But now that the, everything from the PFS has been digested and there's a lot of, you know, questions have been, have been asked, has the execution of the drill program evolved at all to kind of tackle some of those overhanging questions from the last month and a half? yeah i mean the the drill program i mean we all of the results we've put out in 2026 all the drill results none of those have been included in the pfs we had a cutoff date of october for our for our pfs so you know we're obviously very encouraged with all of those results we've seen in 2026 You know, our internal modeling points to it having a positive impact on the resource, on the conversion of ounces, on the grade.

11:43So for all those reasons, we're very encouraged by the ongoing drill program. And also, you know, we still have another 34 ,000 meters of drill results to come. That's a significant drill program in and of itself, but obviously it's incorporated into this much bigger 80 ,000 meter drill program. So yeah, the results we've been getting, we're very encouraged by them. All of our deposits do remain open along strike and at depth. So Boeing, Sioum, NIAM, those are the main focuses. Those are our three largest deposits. We've got four drill rigs turning at the moment and we'll continue to get lots of results back through the end of 2026 and into 2027.

12:30Mining Stock Daily: Okay. Anticipation for a resource and reserves update, you know, maybe somewhere in 2027 at all, Luke? Is that something that's being discussed or will you just kind of maybe incorporate that into a full feasibility study? What is the catalyst for the next six months here? The catalyst for the next six months really is drill results. So we will continue to aggressively drill across our project. Typically, we'll put out results anytime we get, call it 5 to 10 holes, call it 1 ,500 to 4 ,000 meters. So you kind of do the back of the envelope on that. We're probably looking at what would that be another seven or eight news releases with just, you know, exploration drill results.

13:22Actually, more than that, be more like, yeah, probably around 10 or 12 news releases with the bulk or with the remainder of this drill program that we've got going. so lots of drill results to come uh we're continuing to do other de-risking work on the project hydrological work geotech work uh net work so as we get relevant um work back then we'll look to release that to the uh to the market as well and then the other thing we're going to look to do is apply for a mining lease one of the key things you need in ghana to be able to apply for a mine lease is reserves. So obviously our PFS fulfilled that requirement for us and we'll look to get a mine lease in place in 2027.

14:12So that we think could be a big catalyst for the company as well.

14:16Mining Stock Daily: All right. Well, you and I have lots of discussions here over the next six months. A lot of drill results, some more de-risking news to hit the tape here. We'll be along for the ride. I am a shareholder of Nucor Gold Air, They're also a partner of Mining Stock Daily. They trade on the venture with the symbol NCAU and on the OTCQX with NCAUF. Luke, good to see you once again and have a great rest of your week. Thanks, Trevor. The information presented should not be considered investment advice. Mining Stock Daily and its affiliates are not responsible for any loss arising from any investment decision in connection with the material presented herein.

14:53Mining Stock Daily: Please do your own research or speak with a licensed financial representative before making any investment decisions.