Lahontan Gold Announces Updated Santa Fe Preliminary Economic Assessment Featuring an Eleven-Year Mine Life and Post-Tax NPV5 of US$820 Million
TORONTO, Oct. 14, 2026 (GLOBE NEWSWIRE) -- Lahontan Gold Corp. (TSXV:LG, OTCQB:LGCXF) (the "Company" or "Lahontan") is pleased to announce results from a positive Preliminary Economic Assessment ("PEA") on its flagship Santa Fe Mine gold-silver project located in Nevada’s prolific Walker Lane. The PEA was prepared by Kappes, Cassiday & Associates ("KCA") of Reno, Nevada with mine planning, mineral resource estimation, and production scheduling contributions from RESPEC Company LLC (“RESPEC”), Reno, Nevada, in accordance with Canadian National Instrument 43-101, Standards of Disclosure for Mineral Projects ("NI 43-101").
PEA Highlights
- Strong project economics: Post-tax net present value at a 5% discount rate (“NPV5”) of US$820.0 million and an internal rate of return (“IRR”) of 40.1%, based on the PEA base-case metal prices of US$3,600/oz gold and US$49/oz silver (Table 1).
- Significant cash-flow generation: Estimated life-of-mine (“LOM”) net cash flow of US$1.68 billion before taxes and US$1.32 billion after taxes over an 11-year active mine life, followed by one year of residual leaching (Table 1).
- Substantial revenue potential: Projected LOM revenue of US$3.68 billion over an 11-year active mine life, followed by one year of residual leaching, based on the base-case metal prices (Table 1).
- Attractive annual production profile: Average annual production of approximately 91,900 gold-equivalent ounces (“Au Eq”), comprising approximately 88,300 ounces of gold and 254,000 ounces of silver. Average annual production is projected to increase to approximately 112,500 Au Eq ounces during Years 4 through 11 of the mine life (Table 4).
- Competitive projected operating costs: Estimated gold cash costs of US$1,909/oz and all-in sustaining costs (“AISC”) of US$2,250/oz.
- Manageable initial capital requirements: Estimated pre-production capital costs of US$172.0 million, including a US$22.2 million contingency, with a projected payback period of 3.7 years, based on base-case metal prices (Table 2).
- Significant upside sensitivity to higher metal prices: At the PEA spot-price case of US$4,166/oz gold and US$59/oz silver (Table 1), post-tax NPV5 increases to US$1.13 billion and IRR increases to 50.4%.
Kimberly Ann, Founder, Chair, CEO and President of Lahontan Gold Corp., commented: “The results of the updated Santa Fe Mine PEA demonstrate the significant economic potential of this project. The base-case post-tax NPV5 of US$820 million represents an increase of more than fourteen-fold compared with the 2024 PEA (US$56.5 million), with a projected IRR of 40.1% over an 11-year active mine life and average annual production of nearly 92,000 gold-equivalent ounces. Production is expected to exceed 120,000 gold-equivalent ounces in four years of the mine plan. Estimated LOM net cash flow of US$1.68 billion before taxes highlights Santa Fe’s potential to generate substantial cash flow, supporting the development of the project and potentially providing capital to pursue additional growth opportunities.”
“The mine plan and production schedule developed for the PEA will inform the final Mine Plan of Operations (“MPOO”) to be submitted to the U.S. Bureau of Land Management (“BLM”). Environmental baseline studies have been completed, and Lahontan expects to obtain the federal and state permits required for mine construction in 2027.”
“Significant opportunities remain to expand Santa Fe’s potential through exploration adjacent to known resource areas and at depth, as well as through further evaluation of the historic heap leach pads. Santa Fe is the cornerstone of Lahontan’s strategy to become a gold and silver producer focused on Nevada, one of the world’s premier mining jurisdictions.”
The PEA is preliminary in nature, includes Inferred Mineral Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the PEA will be realized. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. The Company has not defined any Mineral Reserves at the Santa Fe Mine project.
Economic Sensitivities
Sensitivity of the project economics to metals prices is shown in Table 1, showing the base case metal prices used for the PEA, as well as a low case, a high case and the spot case.
Table 1: Santa Fe Project 2026 PEA Economics
| Low Case | Base Case | Spot Case (1) | |
| Gold Price (US$/oz) | 3,000 | 3,600 | 4,166 |
| Silver Price (US$/oz) | 30.00 | 49.00 | 59.00 |
| Net Revenue (US$) | 3,035.2 M | 3,680.1 M | 4,266.0 M |
| Pre-Tax NCF (2) (US$) | 1,041.8 M | 1,684.7 M | 2,268.7 M |
| Pre-Tax NPV5(3) (US$) | 620.8 M | 1,060.8 M | 1,460.3 M |
| Pre-Tax IRR (4) | 31.4% | 45.9% | 57.5% |
| After-Tax NCF (2) (US$) | 817.8 M | 1,317.7 M | 1,773.2 M |
| After-Tax NPV5(3) (US$) | 476.2 M | 819.8 M | 1,132.5 M |
| After-Tax IRR (4) | 27.3% | 40.1% | 50.4% |
| Payback Period (5) (years) | 4.31 | 3.68 | 3.34 |
(1) As of October 13, 2026
(2) NCF means net cash flow
(3) NPV5 refers to net present value at 5% discount rate
(4) IRR means internal rate of return
(5) Pre-production capital, excluding sustaining capital, includes one year of mine construction
Capital Costs
Capital costs for the project are summarized in Table 2. Capital costs associated with the mining operation were estimated by RESPEC and based on mining by contractor. Pre-stripping costs were based on the operating costs discussed below. Capital costs associated with processing such as crushing, heap leaching and metal recovery, along with support and infrastructure costs associated with laboratory, water and power distribution and general site services were estimated by KCA. Reclamation and closure costs of $34.5 M were estimated by KCA as an allowance based on tonnes processed.
Table 2: Project Capital Costs
| Pre-Production (US$ M) |
LOM Sustaining (US$ M) |
|
| Mining | 5.0 | 1.7 |
| Processing, Support & Infrastructure | 103.4 | 116.0 |
| EPCM, Indirect & Owner’s Costs | 21.1 | 17.4 |
| Initial Fills | 0.7 | 0.0 |
| Working Capital (1) | 19.7 | 0.0 |
| Contingency | 22.2 | 23.1 |
| TOTAL (2) | 172.0 | 158.2 |
(1) Working capital is credited in Year 11
(2) Values are rounded and may not sum perfectly
Operating Costs
Operating costs for the project are summarized in Table 3. Mining operating costs were estimated by RESPEC and based on estimated anticipated equipment hours and personnel requirements at a 25% markup for contractor rates. The off-road red-dye diesel fuel price in this estimate was assumed to be $0.78/L. All other operating costs were estimated by KCA and based on first principles on certain components where possible, such as reagent and power consumption, along with benchmarking with similar operations for other components, such as labor, maintenance and discretionary expenses
Table 3: Project Operating Costs
| LOM Total (US$ M) |
Per Tonne Processed ($/t) |
|
| Mining | 1,120.8 | 17.85 |
| Processing | 435.2 | 6.93 |
| Support & Infrastructure | 32.7 | 0.52 |
| G&A | 59.0 | 0.94 |
| TOTAL (1) | 1,647.7 | 26.24 |
(1) Values are rounded and may not sum perfectly
Mine Production Schedule
The PEA mine production schedule includes mining of leach material and waste for the Santa Fe, Calvada, Slab, and York deposits. Leach material was assumed to be sent to a centralized leach pad and the waste material was sent to designed waste rock storage facilities (WRSF) or used as partial backfill into the Calvada pit. Table 4 shows the mine production schedule.
Table 4: Projected Production Summary
| Year | Tonnes Processed (kt) | Gold Grade (g/t) | Silver Grade (g/t) | Gold Produced (koz) | Silver Produced (koz) | Gold Equivalent Produced (1) (koz) |
| 1 | 4,291 | 0.37 | 1.64 | 22.7 | 14.7 | 22.9 |
| 2 | 4,563 | 0.51 | 2.33 | 39.2 | 30.7 | 39.7 |
| 3 | 4,563 | 0.49 | 2.37 | 47.3 | 35.7 | 47.7 |
| 4 | 6,205 | 1.00 | 14.1 | 115.3 | 553.5 | 122.8 |
| 5 | 6,222 | 0.89 | 6.12 | 118.2 | 530.0 | 125.4 |
| 6 | 6,205 | 0.96 | 6.10 | 119.8 | 365.8 | 124.8 |
| 7 | 6,205 | 0.69 | 2.82 | 90.7 | 237.5 | 93.9 |
| 8 | 6,205 | 0.54 | 3.50 | 66.8 | 195.1 | 69.5 |
| 9 | 6,222 | 0.89 | 6.19 | 112.0 | 314.8 | 116.3 |
| 10 | 6,205 | 0.98 | 4.71 | 130.5 | 313.4 | 134.8 |
| 11 | 5,903 | 0.83 | 2.83 | 108.5 | 203.3 | 111.2 |
| 12 (2) | 0 | 0 | 0 | 15.6 | 56.3 | 16.4 |
| TOTAL (3) | 62,788 | 0.76 | 5.03 | 986.6 | 2,850.8 | 1,025.4 |
(1) Equivalent gold calculation is based on base case metal prices
(2) Residual leaching production only
(3) Values are rounded and may not sum perfectly
Table 5 shows the key production parameters for the mine and processing units used in the generation of the production and cash flow profiles.
Table 5: Key Mining and Processing Production Parameters
| LOM | |
| Mining | |
| Total Waste Tonnes Mined (Mt) | 193.5 |
| Total Processed Tonnes Mined (Mt) | 62.8 |
| Total Tonnes Mined (Mt) | 256.3 |
| Heap Recovery – Gold | |
| Santa Fe Oxide | 71% |
| Santa Fe Transition | 49% |
| Santa Fe Sulfide | 68% |
| Calvada Oxide | 71% |
| Calvada Transition | 45% |
| Slab Oxide | 52% |
| York Oxide | 60% |
| York Transition | 45% |
| Heap Recovery – Silver | |
| Santa Fe Oxide | 30% |
| Santa Fe Transition | 30% |
| Santa Fe Sulfide | 30% |
| Calvada Oxide | 13% |
| Calvada Transition | 0% |
| Slab Oxide | 10% |
| York Oxide | 0% |
| York Transition | 0% |
Mining and Processing
The mineralized material will be mined by standard open-pit mining methods using a contractor-owned and operated mining fleet consisting of 92-tonne haul trucks and 11.5-m3 loading units and transported to the crushing circuit for processing.
Mineralized material from the Santa Fe, Calvada, Slab and York deposits will be processed by conventional heap leaching methods. The nominal processing rate will be 4.6 million tonnes per annum or 12,500 tonnes per day for the first three years of operation and expanding to 6.2 million tonnes per annum or 17,000 tonnes per day thereafter. Three-stage crushing of the material to 12.7 mm, will be followed by conveyor stacking on to a multi-lift heap leach pad. Dilute sodium cyanide solution will be applied to the heap, with the pregnant gold and silver-bearing solution effluent from the heap being processed in a carbon adsorption-desorption-recovery (ADR) plant. Gold and silver will be produced in the form of doré bars from the on-site smelting process. Sulfide material from the Santa Fe pit will be pre-oxidized on an on-off type leach pad prior to being reclaimed, stacked and leached with cyanide on the permanent heap leach pad.
Mineral Resource Estimation
The mineral resource estimate (“MRE”) was prepared in accordance with the CIM Definition Standards and Canadian National Instrument NI-43-101. The effective date of the MRE is October 1, 2026. The MRE is shown in Table 6.
Table 6: Project-wide Resources, Santa Fe Mine, Mineral County, Nevada
Notes:
- The estimate of mineral resources was done by Michael S. Lindholm, C.P.G. of RESPEC in metric tonnes.
- In-situ mineral resources are classified in accordance with CIM Standards.
- The base case reported mineral resources at a cutoff grade based on a gold price of $3,200/oz Au and a silver price of $40.00/oz Ag is shown in bold and has an effective date of August 13, 2026.
- Mineral resources are reported using a cut-off grade of 0.10 g/t Au Eq for oxide and transitional resources which are reported together, and 0.30 g/t Au Eq for sulfide resources. Au Eq for the purpose of cut-off grade and reporting the Mineral Resources is based on the following assumptions: gold price/silver price ratio of 70:1, oxide gold recoveries ranging from 60% to 79%, oxide silver recoveries ranging from 0% to 30%, transitional gold recoveries ranging from 28% to 45%, transitional silver recoveries ranging from 0 to 13%, and non-oxide gold and silver recoveries of 68% except for the York deposit where non-oxide recoveries are estimated to be 0%.
- An optimized open-pit shell was used to constrain the Mineral Resource and was generated using Lerchs-Grossman algorithm utilizing the following parameters: gold price of US$3,200/oz gold, silver price of US$40.00/oz silver, gold selling costs of US$29.25/oz gold. Mining costs for ore and waste of US$2.50/t, processing cost (oxide) US$3.50/t, processing cost (non-oxide) US$18/t, G&A cost US$1.06/t. Royalties for the Slab, York and Calvada deposits are 1.25%, and maximum pit slope angles of 50 degrees.
- The average grades of the tabulations are comprised of the weighted average of block-diluted grades within the optimized pits.
- Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
- Rounding may result in apparent discrepancies between tonnes, grade, and contained metal content.
Estimation Approach
Lithology, alteration and low-grade gold and silver domain wireframes were modelled using Seequent Leapfrog Geo Version 2026.1.2 (with legacy project migration from Version 2025.1). More detailed mid- and high-grade domain polygons were modeled in MinePlan on 30m-spaced sections using the lithology and low-grade wireframes as a guide. The polygons were snapped to drill holes in 3D space and modeled on 6m-spaced plans or long-sections, depending on the orientation of the mineralization in each deposit. Each plan or long-section was modeled at midblock locations in the block models. Gold and silver domains were modeled separately, and the domain grade breaks were defined based on cumulative probability plots for all gold or silver data. Metallurgical domains for oxide, transition and non-oxide were modelled based on ratio of cyanide leachable gold assay values to fire assay gold values in addition to drillhole logs recording abundance of pyrite and oxidation intensity. Oxide and transition material represent approximately 11% and 25% of tonnes, respectively, in the Santa Fe deposit MRE. Essentially all MRE tonnes in the Slab, Calvada Central, Calvada East and York deposits are oxide material.
Two block models with a block size of 6 m x 6 m x 6 m were created, one for the Santa Fe deposit and the other for the SCY deposits. Average bulk densities were assigned to the block model using a combination of lithology, alteration and gold domains. The bedrock densities generally vary from 2.35 t/m3 to 2.7 t/m3; clay alteration, Quaternary alluvium and dump material were assigned density values of 2.24 t/m3, 1.8 t/m3 and 1.8 t/m3, respectively.
Grade capping and outlier restrictions were evaluated independently for each gold and silver domain. Top cut values were not determined to be necessary for low- and mid-grade gold domains but were applied to the high-grade and outside modeled gold domains, and to all silver domains prior to compositing to 3.04 m lengths that honor domain boundaries. Estimation was completed in MinePlan software using Inverse Distance cubed (ID3) interpolants. The MRE’s were classified in accordance with the 2014 CIM Definition Standards. The nominal drill-hole spacing for Indicated and Inferred Mineral Resources is 60 m or less and 120 m or less, respectively.
Prospects for eventual economic extraction were evaluated by performing pit optimization using Lerchs-Grossman algorithm with the following parameters: gold price of US$3,200/oz gold, silver price of US$40.00/oz silver, selling costs of US$29.25/oz gold. Mining costs for resource and waste of US$2.50/t, processing cost (oxide) US$3.49/t, processing cost (non-oxide) US$19/t, G&A cost US$1.06/t. Royalties for the Slab, York and Calvada deposits are 1.25%. Maximum pit slope is 50 degrees. Processing recoveries for oxide gold range from 60% to 79%, oxide silver recoveries range from 0% to 30%, transitional gold recoveries range from 28% to 45%, transitional silver recoveries range from 0 to 13%, and non-oxide gold and silver recoveries are 68% except for the York deposit where non-oxide recoveries are estimated to be 0%.
More information regarding the Santa Fe Mine project’s MRE is included in the NI 43-101 Santa Fe Project Technical Report with an effective date of October 1, 2026, Report Date: October 4, 2026*.
Qualified Persons
The qualified persons are Caleb Cook, P.E. of Kappes, Cassiday & Associates; Thomas Dyer, P.E. and Michael Lindholm C.P.G. of RESPEC; each of whom is an independent “Qualified Person” under NI 43-101. A technical report supporting the results disclosed herein will be published within 45 days. The effective date of the technical report will be October 14, 2026.
About Lahontan Gold Corp.
Lahontan Gold Corp. is a Nevada-focused mine development company advancing a portfolio of four gold and silver projects in mining-friendly Nevada’s prolific Walker Lane. The Company’s primary focus is the restart of its flagship, the 28.3 km² Santa Fe Mine project, with a targeted return to production in 2027.
- Santa Fe Mine historic production: 359,202 ounces of gold and 702,067 ounces of silver, open pit mining with heap-leach processing (1988-1995; Nevada Bureau of Mines).
- Current Resources: The Santa Fe Mine has a NI 43-101 compliant Indicated Mineral Resource of 1,195,000 oz Au Eq (47,532,000 tonnes grading 0.72 g/t Au and 5.55 g/t Ag, together grading 0.78 g/t Au Eq) and an Inferred Mineral Resource of 1,190,000 oz Au Eq (60,605,000 tonnes grading 0.59 g/t Au and 2.40 g/t Ag, together grading 0.61 g/t Au Eq), all pit constrained (Au Eq is inclusive of recovery, please see Santa Fe Project Technical Report and note below*).
- Objectives 2026:
- Complete an updated Preliminary Economic Assessment (“PEA”) for the Santa Fe Mine, including the first analysis of mining and processing sulfide resources,
- Advancing mine permitting activities with the objective of commencing construction in 2027,
- Continue drill testing the satellite West Santa Fe project, with a maiden resource estimate targeted by year-end,
- Conduct exploration drilling at Santa Fe focused on expanding known gold and silver mineralization,
- Drill test historic heap-leach pads to evaluate residual gold and silver mineralization for potential future reprocessing opportunities.
For more information, please visit our website: www.lahontangoldcorp.com
* Please see the Santa Fe Project Technical Report, Authors: Michael Lindholm C.P.G. and Caleb Cook, P. Eng., Effective Date: October 1, 2026, Report Date: October 4, 2026. The Technical Report is available on the Company’s website and SEDAR+.
Mineral resources are reported using a cut-off grade of 0.10 g/t AuEq for oxide and transition resources and 0.30 g/t AuEq for non-oxide resources. AuEq for the purpose of cut-off grade and reporting the Mineral Resources is based on the following assumptions gold price of US$3,250/oz, silver price of US$40.00/oz, and oxide gold recoveries ranging from 60% to 79%, oxide silver recoveries ranging from 0% to 30%, transitional gold recoveries ranging from 28% to 45%, transitional silver recoveries ranging from 0 to 13%, and non-oxide gold and silver recoveries of 68% except for the York deposit where non-oxide recoveries are estimated to be 0%.
Qualified Person
Brian J. Maher, M.Sc., CPG-12342, is a “Qualified Person” as defined under Canadian National Instrument 43-101, Standards of Disclosure for Mineral Projects, and has reviewed and approved the content of this news release in respect of all technical disclosure other than the Mineral Resource Estimate and Preliminary Economic Assessment as noted above. Mr. Maher is Senior Vice President, Mine Development & Exploration for Lahontan Gold and has verified the data disclosed in this news release, including the sampling, analytical and test data underlying the disclosure.
On behalf of the Board of Directors
Kimberly Ann
Founder, CEO, President, and Director
FOR FURTHER INFORMATION, PLEASE CONTACT:
Lahontan Gold Corp.
Kimberly Ann
Founder, Chief Executive Officer, President, Director
Phone: 1-530-414-4400
Email:
Kimberly.ann@lahontangoldcorp.com
Website: www.lahontangoldcorp.com
Cautionary Note Regarding Forward-Looking Statements:
This news release contains "forward-looking statements" and "forward-looking information" (collectively, "forward-looking statements") within the meaning of Canadian and United States securities legislation, including the United States Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, are forward-looking statements. Forward-Looking statements in this news release relate to, among other things: the Company's strategic plans; the results of the PEA; the economic potential and merits of the Project; the estimated amount and grade of mineral resources at the Project; precious metals prices; the PEA representing a viable development option for the Santa Fe Mine project (“the Project”); the timing and particulars of the development phases as identified in the PEA; estimates with respect to LOM, operating costs, sustaining capital costs, capex, AISC, cash costs, LOM production, processing plant throughput, NPV and after-tax IRR, payback period, production capacity and other metrics; the estimated economic returns from the Project; mining methods and extraction techniques; the exploration potential of the Project and its inclusion in future mining studies.
These forward-looking statements reflect the Company's current views with respect to future events and are necessarily based upon several assumptions that, while considered reasonable by the Company, are inherently subject to significant operational, business, economic and regulatory uncertainties and contingencies. These assumptions include, among other things: conditions in general economic and financial markets; tonnage to be mined and processed; grades and recoveries; prices for silver and gold remaining as estimated; currency exchange rates remaining as estimated; reclamation estimates; reliability of the updated MRE and the assumptions upon which it is based; future operating costs; prices for energy inputs, labor, materials, supplies and services (including transportation); the availability of skilled labor and no labor related disruptions at any of the Company's operations; no unplanned delays or interruptions in scheduled production; performance of available laboratory and other related services; availability of funds; all necessary permits, licenses and regulatory approvals for operations are received in a timely manner; the ability to secure and maintain title and ownership to properties and the surface rights necessary for operations; and the Company's ability to comply with environmental, health and safety laws. The foregoing list of assumptions is not exhaustive.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Forward-looking statements are based on the opinions and estimates at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking statements including, but not limited to delays or uncertainties with regulatory approvals, including that of the TSXV. There are uncertainties inherent in forward-looking information, including factors beyond the Company’s control. The Company undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change except as required by law. The reader is cautioned not to place undue reliance on forward-looking statements. Additional information identifying risks and uncertainties that could affect financial results is contained in the Company’s filings with Canadian securities regulators, which filings are available at www.sedar.com
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Table 6: Project-wide Resources, Santa Fe Mine, Mineral County, Nevada
Table 6: Project-wide Resources, Santa Fe Mine, Mineral County, Nevada
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