Integra Resources' New Feasibility Study: 8 Things You Need to Know

• Integra Resources completed a robust Feasibility Study for its DeLamar gold-silver project in Idaho, confirming strong economics with a 46% after-tax IRR and $774 million NPV at base case prices ($3,000/oz gold, $35/oz silver)
• The project delivers exceptional returns at current metal prices: $1.7 billion NPV and 89% IRR using spot prices of $4,250/oz gold and $60/oz silver - nearly double the base case assumptions
• DeLamar will produce 1.1 million ounces of gold equivalent over 10 years at below-industry-average costs ($1,480/oz AISC), with a rapid 1.8-year payback period
• Initial capital requirement of $389 million is manageable given Integra's existing Florida Canyon Mine operations generating cash flow and $81 million cash balance
• Federal permitting expected to commence early 2026, positioning the project to advance during one of the strongest precious metals price environments in history

DeLamar Project Overview

The DeLamar Project is a past-producing gold and silver mine located in southwestern Idaho, approximately 80 kilometers southwest of Boise. Integra acquired the property in 2017 and has since expanded the resource through drilling and advanced engineering studies.

The project comprises two main deposits - DeLamar and Florida Mountain - that will be developed as conventional open-pit heap leach operations. Heap leaching is a cost-effective extraction method where crushed ore is stacked on lined pads and treated with cyanide solution to dissolve gold and silver, which are then recovered through processing facilities.

1. The Numbers: Economic Highlights

At base case metal prices of $3,000/oz gold and $35/oz silver, DeLamar generates strong returns. However, the real story emerges when considering current market prices, which have surged significantly above the conservative assumptions used in the study.

The Feasibility Study shows an after-tax NPV of $774 million and 46% IRR at base case prices. Using spot prices of $4,250/oz gold and $60/oz silver, reflecting recent market strength, these metrics improve dramatically to $1.7 billion NPV and 89% IRR. This sensitivity to higher metal prices provides substantial upside potential for investors.

The project requires $389 million in initial capital and will generate average annual production of 106,000 ounces gold equivalent over a 10-year mine life. Early production is particularly strong, averaging 119,000 ounces annually in years one through five, supporting rapid capital payback of just 1.8 years at base case prices (improving to 1.1 years at spot prices).

2. Production Profile: Consistent Cash Flow

DeLamar's production strategy emphasizes early cash generation by prioritizing higher-grade material from the Florida Mountain deposit in the first four years. This approach front-loads revenue and accelerates payback, reducing financing risk.

The mine plan schedules 120 million tonnes of ore to be processed over 10 years, with an additional two years of residual leaching. Gold recovery averages 72.3% and silver recovery 33.2% through heap leaching, which are standard recoveries for this type of operation.

Total life-of-mine production includes 910,000 ounces of payable gold and 17.4 million ounces of payable silver, combining for 1.1 million gold equivalent ounces. The production profile remains smooth throughout mine life, avoiding dramatic grade or tonnage variations that can create operational challenges.

3. Cost Structure: Below Industry Average

Operating costs are competitive, with all-in sustaining costs of $1,480/oz gold equivalent on a co-product basis. This compares favorably to the World Gold Council's reported industry average of $1,578/oz as of Q2 2025.

The cost breakdown includes mining at $3.87/tonne processed, processing at $4.91/tonne, and general administrative costs at $1.51/tonne, totaling $10.29/tonne for total site operating costs. These costs benefit from efficient mining with a low strip ratio of just 0.54:1 (waste to ore), meaning the project moves relatively little waste rock compared to ore.

Cash costs net of silver by-product credits are $772/oz gold, providing substantial margins even in lower gold price scenarios. This cost advantage stems from the simplified two-heap-leach facility design, two-stage crushing circuit, and refurbishment of existing infrastructure from the historic mine.

4. Capital Requirements: Realistic & Financeable

The Feasibility Study outlines $389 million in initial capital, including $347 million for pre-production development, $38 million in owner's costs, and $4 million in bonding cash collateral. Sustaining capital over the mine life totals $305 million.

Integra's financing pathway is strengthened by its operating Florida Canyon Mine in Nevada, which generates ongoing cash flow. As of Q3 2025, the company held approximately $81 million in cash, providing a strong foundation for project financing.

The capital estimate assumes mobile equipment financing for mining fleet, reducing upfront cash requirements. Pre-production capital includes $10 million in pre-stripping to expose ore and $277 million for processing facilities, with the balance allocated to mining equipment, infrastructure, and general/administrative facilities.

5. Higher Metal Prices: The Current Opportunity

Since the Feasibility Study's base case assumptions were set ($3,000/oz gold, $35/oz silver), precious metals markets have strengthened considerably. Gold is currently trading around $4,941/oz and silver near $85/oz (at the time of publishing), representing 65% and 143% increases, respectively.

This pricing environment transforms project economics. The sensitivity analysis in the Feasibility Study shows that at $4,250/oz gold and $60/oz silver, the after-tax NPV increases to $1.71 billion (more than doubling from the base case) and IRR improves to 89% (nearly doubling from 46%). Payback period compresses to just 1.1 years.

These elevated prices are driven by multiple factors including Federal Reserve policy, geopolitical tensions, inflation concerns, and surging industrial demand for silver. While metal prices fluctuate, the project's strong economics at base case provide downside protection while offering significant leverage to continued strength in precious metals.

6. Simplified Design: Reducing Development Risk

Integra's engineering team made several strategic decisions to simplify the project compared to the 2022 Pre-Feasibility Study, reducing both capital costs and execution risk.

The updated design features two separate heap leach facilities (one near each deposit) rather than a single large facility, improving operational flexibility and reducing truck haulage distances. The crushing circuit was simplified from three stages to two stages, lowering capital costs and maintenance requirements.

By focusing exclusively on oxide ore amenable to heap leaching, and excluding sulphide material from the mine plan, Integra streamlined permitting requirements and eliminated the need for more complex processing infrastructure. This oxide-only approach reduces the project footprint by approximately 25% compared to earlier concepts, addressing environmental concerns and community feedback.

The project will refurbish existing infrastructure from the historic DeLamar mine, including power transmission lines, water treatment facilities, maintenance shops, and site roads. This approach reduces initial capital while maintaining operational reliability.

7. Permitting & Timeline: Advancing Toward Development

The Bureau of Land Management (BLM) has issued a Mine Plan of Operations completeness determination, and environmental baseline studies supporting the National Environmental Protection Act (NEPA) analysis are complete. Federal permitting is expected to commence in early 2026.

The permitting process will advance through parallel federal, State of Idaho, and Owyhee County processes addressing mine reclamation, air and water quality, wetland impacts, and cyanidation. Integra has reduced the project footprint by approximately 25% through design optimization, which should support permitting progress.

The company has established a Relationship Agreement with the Shoshone-Paiute Tribes of the Duck Valley Indian Reservation and is advancing discussions with additional Tribal Nations. Local community support remains strong, built on years of stakeholder engagement.

While permitting timelines for large mining projects can extend several years, Integra's proactive approach and simplified project design position DeLamar favorably compared to greenfield projects starting the permitting process from scratch.

8. Resources Beyond the Mine Plan: Upside Potential

The Feasibility Study focuses on oxide ore amenable to heap leaching, but the DeLamar resource also includes significant sulphide material not included in current reserves. The updated mineral resource statement shows 90.3 million tonnes of Measured and Indicated sulphide resources containing 1.3 million ounces of gold and 72.2 million ounces of silver.

These sulphide resources represent potential future expansion opportunities if processing technology advances or market conditions justify additional capital investment. DeLamar hosts one of the largest undeveloped silver resources in the United States.

The property also includes multiple near-mine exploration targets open along strike and at depth, supported by a largely underexplored district-scale land package. The simplified heap leach infrastructure contemplated in the Feasibility Study provides flexibility for potential future throughput expansion.

For Investors: Key Takeaways

• Exceptional leverage to higher metal prices: At current gold ($4,250/oz) and silver ($60/oz) prices, DeLamar generates $1.7 billion NPV and 89% IRR, more than double base case returns, demonstrating extraordinary sensitivity to the current precious metals bull market
• Capital-efficient development: $389 million initial capital with 1.8-year payback (1.1 years at spot prices) and 2.0 NPV-to-capex ratio makes DeLamar one of the most capital-efficient large-scale U.S. gold projects advancing toward permitting
• Below-industry costs with strong margins: $1,480/oz AISC is below the industry average, providing profitability across a wide range of gold price scenarios and protecting downside while maximizing upside leverage
• Near-term catalyst path: Federal permitting expected early 2026 represents a significant de-risking milestone, while Integra's existing Florida Canyon operations provide cash flow to support development without dilutive financing
• Unique positioning: DeLamar is one of the few large-scale precious metals projects in the U.S. at Feasibility Study stage actively advancing toward federal permitting, offering scarcity value in a market increasingly focused on domestic production

The Bottom Line

Integra Resources has delivered a robust Feasibility Study that confirms DeLamar as a high-quality, capital-efficient precious metals project with exceptional economics in the current price environment. The simplified heap leach design, below-industry costs, and rapid payback position the project favorably for financing and development.

With federal permitting expected to commence in early 2026, DeLamar is advancing at an opportune time, during one of the strongest gold and silver price environments in history, supported by favorable U.S. permitting dynamics. For investors seeking exposure to a near-term development project with significant leverage to precious metals prices, proven management executing at the adjacent Florida Canyon operation, and a clear pathway to production, DeLamar represents a compelling opportunity in the U.S. gold-silver sector.