Tudor Gold Advances Treaty Creek Toward Production with High-Grade Focus & Exploration Expansion

• Tudor Gold aims to release an updated resource estimate by end of January 2026, targeting 5+ million ounces at 2+ grams per ton gold, focusing on high-grade mineralisation within the Treaty Creek deposit
• The company filed permits in August 2025 for underground exploration via decline, expecting approval in 2026, which would enable year-round drilling at half the surface cost ($200-225/meter vs $500/meter)
• Tudor raised approximately $26 million ($16M flow-through, $10M non-flow-through) to fund 2026 programs, including exploration of new deposits along the Sulphurets Thrust Fault targeting 5-10 million additional ounces
• A Preliminary Economic Assessment (PEA) is scheduled for Q3 2026, outlining economics for a potential 250,000-300,000 ounce per year tier-one gold producer from a 10,000 ton per day underground operation
• The company continues negotiations with Seabridge Gold on permitting overlaps while advancing road access plans to reduce helicopter dependency and operational costs in the Golden Triangle

Tudor Gold Corp. (TSXV:TUD) is advancing one of the largest gold discoveries in recent years through a pivotal phase of development. With the Treaty Creek project located in British Columbia's Golden Triangle, the company is transitioning from resource definition to production planning while simultaneously pursuing additional discoveries on its extensive property. President and CEO Joseph Ovsenek outlined the company's strategic priorities for 2026 in a recent interview, emphasising a dual-track approach: refining the existing Gold Storm deposit's high-grade component and exploring for additional deposits along a highly prospective geological structure.

The Golden Triangle region has produced numerous world-class deposits, and Tudor Gold's Treaty Creek property sits in advantageous proximity to key infrastructure - just 40 kilometers from both a paved highway to Alaska and a major transmission line. As the company works toward demonstrating the economic viability of Treaty Creek, it faces the technical challenges common to large-scale northern projects while leveraging lessons learned from similar developments in the region.

Updated Resource Estimate Targets High-Grade Mineralisation

Tudor Gold is finalising an updated resource estimate for the Gold Storm deposit, with release targeted for the end of January 2026. This technical work represents a fundamental shift in how the company conceptualises the project. 

"The big thing is going to be that focus on the high-grade. We're working on an updated resource estimate where we're looking to better define the higher grade mineralisation. So, a more refined model."

The company has set specific targets for this update: north of 5 million ounces at grades exceeding 2 grams per ton of gold. This focus on high-grade zones within the broader deposit reflects a strategic recognition that the path to economic viability in the Golden Triangle requires concentration on the richest mineralisation. The current indicated resource stands at 21.66 million ounces of gold, with approximately 80% in the indicated category - a strong foundation that provides confidence in the overall mineral endowment.

This refined resource model will serve as the basis for subsequent economic studies and mine planning. By isolating and quantifying the high-grade structural corridors within the deposit, Tudor aims to demonstrate that Treaty Creek can support a substantial underground mining operation with attractive economics.

Preliminary Economic Assessment Scheduled for Mid-2026

Following the updated resource estimate, Tudor Gold plans to release a Preliminary Economic Assessment (PEA) in Q3 2026, ideally toward the beginning of the quarter. This study will be the first comprehensive economic analysis of the project, providing stakeholders with critical information about capital requirements, operating costs, production profiles, and financial returns.

"If it looks good, we'll try to put a mine plan around the mineralisation and come up with a PEA so we can actually start talking about economics and what this project can deliver." 

The mine concept envisions a 10,000 ton per day underground operation - a substantial undertaking that Ovsenek characterises as "a big underground mine."

"You need that scale because you have a lot of costs involved with mining up in the Golden Triangle. We feel Treaty Creek has the potential to be a 250-300,000 ounce gold producer. That's, for most major gold companies, a tier one asset."

This production target would indeed place Treaty Creek among the most significant gold operations globally, potentially positioning the asset for partnership with or acquisition by major mining companies seeking to replace reserves and extend mine life.

Underground Exploration Program to Enable Year-Round Drilling

A critical component of Tudor's development strategy involves transitioning from surface-based exploration to underground access. The company filed a permit application in August 2025 for an underground decline and exploration program. While the government requested additional information, Ovsenek remains confident: "We still expect to get the permit this year."

The rationale for underground access is compelling on multiple fronts. Surface drilling at Treaty Creek is constrained to approximately four to five months annually due to weather conditions. Underground access would enable year-round drilling programs, tripling the effective drilling season. 

"Once you're underground you can be drilling all year round. Right now from the surface it's about a four, if you push it, maybe a five month season but that's it."

The economic advantages are equally significant. Surface drilling at Treaty Creek costs approximately $500 per meter, while Tudor's experience at the nearby Brucejack mine demonstrated that underground drilling costs about $200-225 per meter - less than half the surface cost. These shorter holes (100-200 meters versus 900 meters from surface) are not only cheaper but also more accurate, as deep holes from surface tend to wander due to drill torque.

Underground access also provides direct observation of geological structures and mineralisation, offering insights impossible to obtain from drill core alone. "It allows us to open up...maybe do some tighter drilling, but also lets us see what's happening underground as we drive through it," Ovsenek explained.

Interview with Joseph Ovsenek, President & CEO of Tudor Gold

Geological Understanding and Structural Controls

The high-grade mineralisation at Treaty Creek occurs along discrete structural corridors that the company can identify through drilling. The SC-1 zone, identified in 2024, exemplifies this structural style, though these mineralising structures extend throughout the main orebody at depths of 600 to 900 meters.

Understanding grade continuity along these structures is paramount for mine planning. 

"If you're mining that higher grade, you want to have continuity so you can go in, set up your stopes, and...when you mine them, you're getting the ore that you expected to have there," Ovsenek explained. This requires drill density that is prohibitively expensive from surface but becomes feasible from underground positions.

Ovsenek draws parallels to the Brucejack deposit while noting important differences. At Brucejack, high-grade mineralisation occurred in quartz stockworks with erratic grade distribution - extremely high grades adjacent to barren rock. At Treaty Creek's SC zone, the mineralisation shows more consistency: "We see more consistent grade along the structure...nice consistent 10-20 m of 8 to 10 g."

This consistency, if confirmed through additional drilling, would be highly favorable for underground mining, as it reduces grade risk and enables more predictable mine planning.

Exploration Targeting Additional Deposits Along the Sulphurets Thrust

While advancing Gold Storm toward production, Tudor plans to allocate significant resources - approximately $16 million in flow-through funding - to explore for additional deposits on its property. The company's attention focuses on the Sulphurets Thrust Fault, a major geological structure that hosts multiple deposits.

"If you look at Seabridge, they...have five deposits strung along that fault. Well, that fault runs through our property," Ovsenek noted. The Gold Storm deposit sits on this fault, but other high-potential targets remain underexplored. Tudor has set an ambitious target of defining an initial resource of 5 to 10 million ounces at these new targets.

The Perfect Storm target will receive particular attention in 2026, along with the CP, CBS, and Eureka zones. Success in this exploration program would substantially increase the project's overall mineral inventory and potentially extend mine life or enable multiple mining areas to feed a central processing facility.

Geologically, Ovsenek believes Tudor occupies the most favorable portion of the fault system. The Gold Storm indicated grade of 0.92 grams per ton gold "is...for the golden triangle...pretty good grade for a big bulk tonnage deposit," he observed, comparing favorably to adjacent deposits along the same structure.

Financial Position & Capital Allocation for 2026

Tudor Gold entered 2026 with approximately $26 million in funding following recent financings. This includes roughly $16 million in flow-through funds (requiring expenditure on eligible exploration activities) and $10 million in non-flow-through capital providing operational flexibility.

The capital allocation strategy balances advancement of the existing deposit with exploration for new discoveries. The flow-through funds will primarily support the regional exploration program targeting new deposits, while non-flow-through capital and existing treasury will fund the updated resource estimate, PEA work, permitting activities, and baseline environmental studies.

This financial position appears adequate for the planned 2026 work programs, though additional capital will ultimately be required to fund underground development and advance the project through feasibility studies and toward construction. At current gold prices above $4,500 per ounce, however, the environment for gold project financing has improved substantially from recent years.

Infrastructure Advantages & Permitting Progress

Treaty Creek benefits from advantageous infrastructure positioning within the Golden Triangle. The 40-kilometer distance to both paved road and transmission line infrastructure substantially reduces development capital requirements compared to more remote projects.

The company is also planning to pursue road access to the site, which would eliminate the substantial helicopter costs that currently consume a significant portion of the exploration budget. "With a helicopter...a third of your budget at times can be...helicopter cost," Ovsenek observed.

Permitting discussions continue with both government authorities and Seabridge Gold regarding overlapping permit areas. Tudor is pursuing multiple paths including direct negotiations, government channels, and court proceedings to protect its rights. "Ultimately we believe the...best way for this to work out is to just sit down, negotiate a solution and make it work for everyone," Ovsenek stated.

First Nations engagement remains at an early stage appropriate to the project's development level, with work agreements and cooperation agreements in place. As the project advances, these will evolve toward impact and benefit agreements.

The Investment Thesis for Tudor Gold

• Substantial Resource Base with High-Grade Potential: The 21.66 million ounce indicated resource provides significant scale, with upcoming work focused on defining 5+ million ounces at higher grades (2+ g/t) suitable for underground mining
• Tier-One Asset Positioning: Target production of 250,000-300,000 ounces annually would rank Treaty Creek among globally significant gold operations, attracting major company interest for partnership or acquisition
• Cost-Effective Development Pathway: Underground access enables year-round drilling at half the cost of surface drilling, dramatically improving capital efficiency and accelerating technical understanding
• Exploration Upside on Property Scale: 5-10 million ounce targets on underexplored portions of the Sulphurets Thrust Fault offer substantial blue-sky potential beyond the existing deposit
• Advantageous Infrastructure Position: Proximity to road and power infrastructure reduces development capital requirements relative to other Golden Triangle projects
• Favorable Gold Price Environment: With gold above $4,500/ounce, large-scale, long-life gold projects have become increasingly attractive to both investors and potential acquirers
• Experienced Management Team: Leadership with direct Golden Triangle experience including development of the nearby Brucejack mine provides credibility and technical understanding

Macro Thematic Analysis

Tudor Gold's advancement of Treaty Creek occurs against a backdrop of declining global gold reserves at major mining companies and a structural shortage of new tier-one discoveries. The company's focus on high-grade underground mining aligns with industry trends favoring quality over quantity as development costs escalate. The Golden Triangle has produced multiple world-class deposits, and consolidation in the region continues as majors seek to leverage existing infrastructure investments. 

With gold prices sustained above $4,500 per ounce by monetary uncertainty and geopolitical risk, large-scale, long-life projects in stable jurisdictions command premium valuations. Tudor's strategy of parallel advancement - de-risking the existing deposit while exploring for additional discoveries - positions the company to capture value both from near-term economic demonstration and longer-term resource growth. 

TL;DR

Tudor Gold is advancing its 21.66 million ounce Treaty Creek deposit toward production through an updated resource estimate (targeting 5M+ oz at 2+ g/t) due January 2026 and PEA in Q3 2026, while simultaneously exploring for 5-10 million ounce additional deposits along the prospective Sulphurets Thrust Fault. Underground access will enable year-round drilling at half the cost of surface programs, supporting a potential 250,000-300,000 oz/year tier-one operation in a favorable gold price environment.

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