The Financing Test Behind US Gold Corp's CK Gold Development

• US Gold Corp (NASDAQ: USAU) is prioritizing debt financing over new equity issuance to construct its CK Gold gold-copper project near Cheyenne, Wyoming, in order to protect its share structure.
• The company reports approximately 16.5 million shares outstanding, though Norman cited 16 million when calculating market capitalization; company presentation materials list 16,526,163 shares outstanding as of June 1, 2026.
• The definitive feasibility study (DFS) shows an after-tax net present value at a discount rate 5% (NPV5%) of $632 million, with an after-tax internal rate of return (IRR) of 27% and a pre-tax IRR of just under 30.7%, at a base-case gold price of $3,250 per ounce.
• CK Gold is fully permitted at the state level in Wyoming, which management says reduces exposure to mid-construction legal challenges compared to federal or Canadian jurisdictions.
• Norman says 80% of drill holes extending beyond the current reserve boundary continued to show mineralization, pointing to more than 1 million potential additional ounces.

US Gold Corp (NASDAQ: USAU) is preparing to finance construction of its CK Gold gold-copper project near Cheyenne, Wyoming, using a capital structure the company says it intends to protect through debt rather than new equity. Chairman Luke Norman said the company holds approximately 16.5 million shares outstanding, a figure he described as unusually low for a junior mining company.

Fully Permitted Reserve Underpins Development Case

CK Gold is fully permitted, reserve backed, and supported by a Definitive Feasibility Study (DFS). The reserve stands at 1.7 million ounces, though Norman later corrected the figure to 1.6 million ounces of gold equivalent. He said the company sees potential for 2.5 to 3 million ounces of gold equivalent across the broader deposit. The project carries an 11-year mine life, with copper accounting for approximately 30% of project economics.

Wyoming Permit Seen as Shield Against Legal Challenge

Norman attributed the project's permitted status to Wyoming's state-level regulatory process, contrasting it with federal or Canadian permitting environments, where a permit can be challenged mid-construction. He noted that Wyoming's public comment period has already closed for CK Gold, reducing that risk.

On financing, Norman said the company's low share count reflects a preference for debt over equity, and that management intends to rely on debt financing as much as possible while avoiding streaming arrangements where feasible.

Chief Executive Officer (CEO) George Bee joined the company 5 years ago after a tenure at Barrick that included managing the Goldstrike Betze Post mine. Independent director Johanna Fipke is a partner at Fasken Martineau Dumoulin LLP focused on mining and land related law.

Site Sits on Interstate 80 Mining Corridor

CK Gold sits approximately 20 miles from Cheyenne and just across the border from Colorado, 2.5 miles from the Interstate 80 corridor, which Norman said connects to mining service hubs in Reno, Elko, and Salt Lake City. Power infrastructure is being extended from within 16 miles.

Martin Marietta Materials, a New York Stock Exchange listed company Norman valued at over $50 billion, operates an open-pit quarry 2 miles south. CK Gold's process involves crushing and grinding ore before separating metals through a flotation circuit, with no onsite smelting. Norman cited the Jameson Cell as a key engineering optimization. The site footprint covers approximately 2 square miles, including an 88-acre open pit. Wyoming regulators required a synthetic tailings liner in place of the originally planned clay base.

Feasibility Study Shows $632 Million After-Tax NPV

The DFS uses a base-case gold price of $3,250 per ounce, below analyst consensus of approximately $3,800. At that base case, after-tax net present value at a 5% discount rate (NPV5%) is $632 million with an after-tax internal rate of return (IRR) of 27% and a pre-tax IRR of 30.7%. Payback is approximately 2.5 years. Norman said project financing should be finalized within 3 months, and a built asset at target production could be valued at up to $1.5 billion or more based on comparable peer groups.

Shares Trade at $260 Million Market Cap

Shares have traded around $15, with a 52-week high of $23, putting market capitalization at approximately $260 million based on the 16 million shares Norman cited when discussing valuation. As of June 1, 2026, company presentation materials list 16,526,163 shares outstanding and a market capitalization of $266.7 million. Norman attributed part of the earlier valuation gap to the Nasdaq listing, which he said trades at a discount relative to Toronto-based, or "Bay Street," mining peers.

Drilling Points to Mineralization Beyond Current Reserve

Norman said 80% of drill holes extending beyond the reserve boundary continued to show mineralization, pointing to more than 1 million additional potential ounces below the pit, plus lateral extension targets identified through geophysics. Waste rock at the site matches the grade of granite sold by Martin Marietta for $20 to $25 per ton, a revenue source not yet included in project economics. Additional gold in tailings material was also cited as a longer-term opportunity.

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