Magna Mining Sets 2026 Production Target and Advances Development Projects

• McCreedy West Mine projected to produce 16.0 to 18.0 million pounds of copper equivalent in 2026 from the 700 Copper Zone
• Cash costs forecast between US$3.40 and US$3.80 per pound copper equivalent, excluding precious metals stream payments
• All-in sustaining costs estimated at US$4.20 to US$4.70 per pound copper equivalent, excluding stream obligations
• Preliminary Economic Assessment for Levack Mine restart expected by third quarter 2026, with ore hoisting capability targeted for second half of year
• Pre-Feasibility Study for Crean Hill Mine on track for third quarter completion, with underground dewatering potentially commencing in second quarter 2026

Magna Mining Inc. (TSXV: NICU) is a Sudbury-based producing mining company focused on copper, nickel, and platinum group metals. The company currently operates the McCreedy West Mine and maintains a portfolio of previously productive properties including Levack, Crean Hill, Podolsky, and Shakespeare. This asset base positions the company to generate value through ongoing production at McCreedy West whilst developing additional mines to expand operational capacity in the coming years.

2026 Production Guidance of 16.0 to 18.0 Million Pounds Copper Equivalent from McCreedy West Mine

The company has established production targets for its flagship McCreedy West operation, projecting output between 16.0 and 18.0 million pounds of payable copper equivalent for the year. This guidance reflects extraction from the 700 Copper Zone, where the company has spent nearly twelve months optimising operations since taking over as operator. The forecast demonstrates management's confidence in consistent production levels from this zone throughout the year.

Mining grades during the first quarter are expected to fall at the lower end of the annual range, a deliberate strategy to capitalise on current commodity prices that exceed the company's internal budget assumptions. This tactical approach allows the operation to generate stronger near-term revenues whilst higher-grade material remains available for extraction later in the year. The company is nearing completion of its inaugural Mineral Reserves report for McCreedy West, which will inform optimised stope sequencing going forward.

Chief Operating Officer Jeff Huffman stated: "The guidance provided for McCreedy West demonstrates what we believe can be accomplished consistently and efficiently from the 700 Copper Zone in 2026. After almost twelve months as operator of the mine, we have increased both diamond drilling footage and mine development rates to match our medium-term production requirements. Throughout 2026 we will continue to evaluate production opportunities at McCreedy West, as we receive new diamond drilling information and continually optimize our plan to increase production and profitability. We are also very excited to be advancing both our Levack and Crean Hill projects towards re-start decisions." The company is also evaluating the potential restart of the Intermain Nickel Zone at McCreedy West, which could add nickel ore sales within months of a positive decision, potentially enhancing the mine's overall economics.

Cash Costs and AISC Guidance Excluding Stream Payments

Magna has guided cash costs for 2026 between US$3.40 and US$3.80 per pound of copper equivalent, excluding precious metals stream payment obligations. These figures represent the direct costs of production and provide investors with a clear view of operational efficiency at current production levels. The cost structure reflects the company's focus on maintaining competitive operating margins whilst ramping up development activities.

All-in sustaining costs, which include capital expenditures required to maintain operations, are projected between US$4.20 and US$4.70 per pound copper equivalent, also excluding stream payments. This broader cost metric encompasses sustaining capital investments in mine development and infrastructure necessary to support ongoing production. The guidance assumes commodity prices of US$4.88 per pound for copper, US$7.72 per pound for nickel, and various precious metal prices, with a Canadian dollar exchange rate of 1.37 to the US dollar.

It is worth noting that precious metals stream payments, whilst excluded from the headline cost figures, add approximately US$0.78 to US$0.92 per pound to overall costs at budgeted commodity prices. This impact varies with metal price movements, meaning actual stream costs could differ depending on market conditions throughout the year. Investors should factor these additional obligations when assessing total cost structures and cash flow generation potential.

Preliminary Economic Assessment Underway at Levack Mine with Pre-Feasibility Study at Crean Hill Mine

The company is advancing multiple studies to evaluate the restart potential of two previously producing assets in its portfolio. The Preliminary Economic Assessment for Levack Mine is progressing towards a third quarter 2026 completion, whilst engineering work continues in parallel to restore operational capabilities. This dual-track approach allows the company to advance technical understanding whilst simultaneously preparing infrastructure for a potential restart decision.

At Levack, underground development work is establishing connections and drilling platforms to support ongoing exploration of the R2 Footwall Zone. A ramp is being developed from the 3900 Level of the Morrison Footwall deposit to connect with the 3600 Level drift, expected to be completed in the second quarter. This connection will provide secondary egress for a neighbouring operation and create additional platforms for diamond drilling. Four drill rigs are currently active testing the R2 Footwall Zone and other targets, with additional assay results expected during the first quarter. The company anticipates re-establishing ore and waste hoisting capabilities at the Levack No. 2 shaft during the second half of 2026.

The Pre-Feasibility Study for Crean Hill Mine is similarly targeted for third quarter completion, with engineering work advancing on power and permanent dewatering infrastructure. Dewatering of the underground workings could commence during the second quarter, representing a significant milestone towards potential production restart. These concurrent development programmes position Magna to potentially operate multiple mines, diversifying production sources and enhancing overall operational resilience.

Looking Ahead

Key 2026 milestones include the release of McCreedy West's inaugural Mineral Reserves report, additional Levack exploration results in the first quarter, and completion of both the Levack Preliminary Economic Assessment and Crean Hill Pre-Feasibility Study in the third quarter. Physical progress centres on re-establishing hoisting capabilities at Levack in the second half and commencing Crean Hill dewatering in the second quarter. The company's dual focus on optimising current production whilst advancing its development pipeline positions it to expand operations whilst maintaining cost discipline.

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