Cassiar Gold: Building Towards 5 Million Ounce Target in Tier-One Canadian Jurisdiction

• Cassiar Gold increased its mineral resource estimate to 1.93 million ounces inferred plus 410,000 ounces indicated, up from 1.4 million ounces, with 48% of resources within 50 meters of surface
• Company aims to reach 5 million ounces before considering production or potential acquisition by major producers, having drilled less than 0.3% of their 590 square kilometer land package
• Possesses fully permitted mill and mining permits, plus five past-producing mines with excellent access infrastructure in tier-one jurisdiction of northern British Columbia
• Pursuing both bulk tonnage disseminated gold (1.4+ grams per ton) and high-grade underground veins (10-20 grams per ton, with intercepts up to 270 grams per ton)
• Management taking measured approach to development, prioritizing geological understanding and resource expansion over rushing to production

Cassiar Gold (TSXV:GLDC) represents one of the most noteworthy exploration stories in North America, according to President and CEO Marco Roque, who outlined the company's ambitious growth trajectory in a comprehensive discussion of their flagship Cassiar Gold Project in northern British Columbia. The company has demonstrated significant progress in expanding its resource base while maintaining a conservative approach to development that emphasizes geological understanding over rapid production timelines.

Updated Resource Delivers Substantial Growth

The company's latest mineral resource estimate represents a significant milestone, expanding from 1.4 million ounces to 1.93 million ounces inferred, while adding 410,000 ounces in the higher-confidence indicated category. Roque emphasized the quality of this resource expansion, noting that "48% of those are within 50 meters from surface," which provides substantial advantages for future mining economics and development timelines.

The indicated category now averages 1.43 grams per ton, providing greater geological confidence for potential economic extraction. This improvement reflects both enhanced geological modelling and increased drill density in key areas, though Roque clarified that upgrading confidence levels wasn't the primary objective but rather expanding the footprint of the inferred resource.

Management has set an ambitious target of reaching 5 million ounces before considering production or acquisition scenarios. Roque explained the strategic rationale: 

"Our objective is when we get to 5 million ounces, or even before potentially, either put this into production or you know more likely probably getting taken out by one of the big producers."

The company's confidence in achieving this target stems from the early-stage nature of their exploration program. With drilling covering less than 0.3% of their 590 square kilometer land package, the potential for significant additional discoveries remains substantial. Roque noted that 

"We're really, you know, barely scratching the surface here."

Unique Infrastructure and Jurisdictional Advantages

Cassiar Gold possesses several competitive advantages that distinguish it from typical exploration projects. The company owns fully permitted mill and mining facilities, along with mining permits for five past-producing mines within their land package. Roque emphasized this unique positioning: 

"Most exploration projects don't have access, most exploration projects don't have infrastructure and most exploration projects do not have fully owned permitted mill and mining permits. We have all of the above."

Operating in northern British Columbia provides access to excellent infrastructure including power, water, road access, and favourable topography without glacial interference. The tier-one jurisdiction offers political stability and established mining regulations, reducing development risks commonly associated with exploration projects in less mining-friendly jurisdictions.

Dual-Track Mining Strategy

The company is pursuing two distinct mineralization styles that offer different development pathways. The bulk tonnage disseminated gold system comprises the majority of current resources, with mineralization occurring in large envelopes around quartz veining systems. This material averages over 1.4 grams per ton in the indicated category and offers the potential for large-scale open-pit mining operations.

Complementing this is a high-grade underground vein system in the southern portion of the property, where historical production occurred. These discrete veins average three meters wide and carry grades between 10-20 grams per ton, with intercepts reaching up to 270 grams per ton. Roque noted the development potential: 

"We also have part of the 25 kilometers of underground workings. It will take us straight from the surface into the un-mined sections of the high grade veins which we've extended."

Interview with CEO Marco Roque

Conservative Development Approach

Despite having infrastructure advantages that could facilitate rapid development, management is taking a measured approach to avoid premature production decisions. Roque explained the philosophy: 

"If we have to choose between trying to go fast, to try to be heroes and start cashing as soon as possible, in risking the company versus just taking a year or two more to safely get there without risking losing your shirts, we tend to be more conservative."

This conservative stance reflects the experience of the executive team, which has a track record of discovering, building, and operating mines across multiple jurisdictions. The approach prioritises building sufficient resource inventory before committing to production, particularly for the high-grade underground potential where Roque targets "at least 300,000-500,000 ounces, ideally something close to 20 grams per ton" before advancing economic studies.

Geological Confidence and Exploration Efficiency

The company has demonstrated improving exploration efficiency through enhanced geological understanding and systematic application of learnings across target areas. Roque described the compounding effect: 

"There's a compounding effect really on the drilling just because the nature of the deposit that we have which is orogenic, So there's a lot of patterns, there's a lot of repetition, there's a lot of periodicity. So you can apply the learnings from one zone to the other and we can regularly see those patterns reoccurring again and again and again."

Recent completion of 70 square kilometers of geophysical surveys has provided additional targeting confidence, highlighting multiple anomalous areas for follow-up exploration. The systematic approach includes surface sampling, structural analysis, and application of multiple geophysical methods to build comprehensive geological models.

Drilling Economics and Timeline Projections

The current resource of approximately 2.34 million ounces (combining inferred and indicated categories) was established through 65,000 meters of drilling at a cost of approximately $200 Canadian per meter including assays. Roque suggested that reaching the 5 million ounce target could potentially require a similar amount of additional drilling: 

"One could argue that eventually to get to 5 million ounces another 65,000 meters of drilling could be enough, you know, if the grade widths in our hit ratio remains high."

This drilling program could potentially be completed within a couple of seasons with adequate funding, though the company is balancing exploration pace with market conditions and dilution concerns in the junior mining sector.

Strategic Partnerships and Market Position

While the company doesn't require strategic partnerships to advance their program, management remains open to discussions with potential partners or major producers. Roque acknowledged both the benefits and risks: 

"Sometimes having one of the big producers on a share registry, becoming a strategic investor, gives a lot of confidence to people. The downside is that you can actually also limit your ultimate upside."

The company currently has approximately $5 million in cash and plans to selectively raise additional capital as needed. With drilling operations set to commence and results expected around August, the near-term focus remains on systematic resource expansion across multiple target areas.

The Investment Thesis for Cassiar Gold

• Substantial Resource Growth Trajectory: Current ~2.34 million ounce resource base represents less than 0.3% of 590 square kilometer land package, with systematic drilling approach targeting 5 million ounces
• Unique Infrastructure Advantage: Fully permitted mill and mining facilities with existing underground access provide significant development optionality and reduced capital requirements compared to greenfield projects
• Tier-One Jurisdiction Benefits: Northern British Columbia location offers political stability, established mining regulations, and excellent infrastructure access including power, water, and transportation
• Dual Mining Optionality: Both bulk tonnage (1.4+ g/t) surface potential and high-grade underground veins (10-20 g/t) provide multiple development pathways and production scenarios
• Experienced Management Team: Executive team with proven track record of mine discovery, development, and operation across multiple jurisdictions provides execution confidence
• Conservative Development Approach: Management prioritizing geological understanding and resource inventory over premature production reduces development risks while maximizing long-term value creation
• Exploration Efficiency Gains: Systematic geological approach and pattern recognition across orogenic gold system enabling more targeted drilling and resource expansion
• Strategic Position for Sector Recovery: Undervalued junior gold stock positioned for potential acquisition interest as major producers seek to replace depleting reserves

Macro Thematic Analysis

The junior gold exploration sector is positioned at an inflection point as record gold prices and exceptional producer margins drive increased interest in resource replacement and acquisition activity. Cassiar Gold exemplifies the opportunity within this thematic, combining substantial resource growth potential with unique infrastructure advantages in a tier-one jurisdiction. The company's systematic approach to building a multi-million ounce resource base through efficient exploration positions it favorably for the anticipated revival in junior mining valuations.

Current market conditions show unprecedented margin expansion for gold producers, creating strong incentives for resource acquisition and development acceleration. Major producers face increasing pressure to replace depleting reserves, particularly in favorable jurisdictions with established infrastructure. Cassiar's combination of growing resources, existing permits, and operational infrastructure provides exactly the type of asset profile that commands premium valuations during sector recovery periods.

The disconnect between producer valuations and junior exploration companies has reached historical extremes, creating significant potential for valuation re-rating as the sector cycle progresses. Companies like Cassiar that can demonstrate systematic resource growth while maintaining development optionality through infrastructure ownership are particularly well-positioned to benefit from this thematic convergence.