Star Gold releases economic study for Nevada gold-silver project

Star Gold Corp. (OTCQB: SRGZ) released results of a Preliminary Economic Assessment (PEA) for its Longstreet Gold-Silver Project in Nye County, Nevada, prepared by Kappes, Cassiday & Associates in accordance with S-K 1300 regulations.

At base-case prices of $3,600 per ounce gold and $48 per ounce silver, the study estimates a pre-tax net present value (NPV) of $87 million at a 5% discount rate and an internal rate of return (IRR) of 48%, with a payback period of 1.7 years. On an after-tax basis, the NPV is $67 million with a 40% IRR and a 1.8-year payback. At $4,000 per ounce gold and $60 per ounce silver, the pre-tax NPV rises to $122 million with a 63% IRR.

The PEA envisions a conventional open-pit, crushed heap-leach operation processing approximately 6.55 million tons of ore at 5,500 tons per day. Life-of-mine payable production is estimated at 88,587 ounces of gold and 354,701 ounces of silver, averaging roughly 20,000 ounces of gold annually. All-in sustaining cost is estimated at $1,729 per ounce. Initial capital, including working capital, is estimated at approximately $70 million.

The mine plan draws from a subset of the larger mineral resource reported in the company's December 2025 technical report, which identified 11.1 million tons containing 132,414 ounces of gold and 4.84 million ounces of silver. The PEA pit plan accounts for 105,461 ounces of that gold inventory.

Star Gold's 2026 work program, authorized by the U.S. Forest Service and Bureau of Land Management, includes resource-expansion drilling, metallurgical core drilling, hydrologic wells, and the first deep hole at the Opal Ridge target area. The company states results will support an updated mineral resource estimate and progress toward an Environmental Impact Statement.

The PEA is preliminary in nature and includes inferred mineral resources. There is no certainty that the results will be realized or that mineral resources will be converted into mineral reserves.

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