Tudor Gold Refines 21.66 Million Ounce Resource Model to Unlock High-Grade Underground Mining Potential

• Tudor Gold is transitioning from exploration to development under new leadership with mine-building experience from the nearby Brucejack Mine, focusing on advancing the 21.66 million ounce gold resource at Treaty Creek toward production
• The company is refining its block model from 10m to 5m blocks to better identify high-grade zones (2-3 g/t) within the deposit, targeting 50-100 million tons in this range for a potential 8-10,000 ton per day underground longhole stope operation
• Tudor Gold acquired American Creek to increase ownership to 80% and reduce carried interest burdens, with plans to potentially consolidate the remaining 20% held by Teuton Resources
• A tunnel route dispute with neighboring Seabridge Gold requires resolution as KSM's planned 22km twin tunnels would intersect Tudor's deposit; management expects negotiations to conclude within months with a potential 1km northward shift
• An updated mineral resource estimate is targeted for November 2025, incorporating 175,000 meters of drilling with refined block modeling, followed by underground portal development permits expected by May 2026

Tudor Gold is executing a strategic pivot from exploration to mine development at its Treaty Creek project in British Columbia's Golden Triangle. Under the leadership of President and CEO Joe Ovsenek and a team with proven track records building the nearby Brucejack Mine, the company is working to transform one of Canada's largest recent gold discoveries into a producing operation. With 21.66 million ounces of indicated gold resources at 0.92 g/t, Tudor Gold is implementing a focused development strategy centered on higher-grade underground mining rather than bulk tonnage approaches.

The new management team, which joined in May, brings direct experience from the Golden Triangle region and familiarity with local stakeholders, infrastructure challenges, and geological characteristics. This regional expertise is proving critical as Tudor navigates permitting processes, resolves land access issues with neighbors, and designs a mine plan suited to the district's operational realities.

Leadership Transition Enables Development Focus

The management transition at Tudor Gold represents a natural evolution as the project moves from discovery to development. Ken Konkin, who led the exploration program that defined the Goldstorm deposit, has transitioned to Senior Vice President of Exploration, allowing him to focus on his geological expertise while the new team handles development responsibilities.

"The previous management team did a great job of discovering this incredible deposit, Ken Konkin didn't want to run all the boring stuff about moving it towards production. So he's moved over to keeping up with the exploration. We have lots of potential for other things."

The incoming team includes Ken McNaughton as Vice President of Project Development, Michelle Romero as Vice President of External Affairs, and Grant Bond as CFO. All worked together at Pretium Resources on the Brucejack Mine, located just 15 kilometers south of Treaty Creek. This shared history provides operational continuity and established relationships in the region.

Refined Resource Modeling Targets High-Grade Zones

A cornerstone of Tudor's development strategy involves re-blocking the geological model to better identify high-grade mineralization suitable for selective underground mining. The original resource estimate used 10m x 10m x 10m blocks appropriate for bulk tonnage planning, but this approach averaged grades across larger volumes and obscured discrete higher-grade lenses.

The team has remodeled the deposit using 5m x 5m x 5m blocks, effectively increasing resolution eightfold. This refinement allows geologists to better define zones where grades reach 2-3 g/t gold significantly higher than the overall resource grade and more economically attractive for underground extraction.

"What that does is it gives you a better definition of the higher-grade mineralization, Essentially you get more pixels, so instead of one pixel you get eight pixels in a spot. We're taking that and outlining the higher grade mineralization and estimating within those higher grade lenses."

The technical work focuses on identifying 50 to 100 million tons within this higher-grade range. If successful, this would support a mine producing 250,000 to 300,000 ounces annually over a minimum 10-year life, a scale Tudor's team has successfully built and operated before.

Underground Development Strategy

Tudor's emphasis on underground longhole stopping rather than open pit or block cave mining reflects both the geological characteristics of Treaty Creek and the operational realities of the Golden Triangle. The region receives approximately 22 meters of snowfall annually, creating significant challenges for surface mining operations that persist for six months each year.

"My experience is I would rather see an underground mine in the Golden Triangle. At Brucejack there's six months where you're constantly clearing snow. If you're in an open pit and you have a strip ratio, well if your strip ratio is 3-to-1, well you're stripping 3-to-1 snow as well. Underground you don't worry about it."

The company is targeting an 8,000 to 10,000 ton per day operation, a scale the team has experience building and managing. This approach requires less capital than large-scale block cave operations and can be permitted and constructed more quickly, accelerating the path to cash flow.

An updated mineral resource estimate is scheduled for November, incorporating approximately 175,000 meters of drilling completed through 2023, plus the refined block modeling. This will provide the foundation for preliminary economic assessments and engineering work.

Interview with Chief Executive Officer, Joe Ovsenek

Seabridge Tunnel Route Dispute

A significant near-term challenge involves resolving a land access dispute with Seabridge Gold, whose KSM project neighbors Treaty Creek. Seabridge's development plans include twin 22-kilometer tunnels connecting its ore deposits southwest of Treaty Creek to its planned mill facility to the northeast. The currently proposed route passes directly through Tudor's Goldstorm deposit.

"The route they laid out runs right through where our deposit is. Our Goldstorm deposit wasn't discovered until after this route for the tunnels came into being. So the way we look at it, let's just sit down, talk, and work out a solution where we can advance our deposit and you guys build your tunnels."

Tudor Gold has proposed shifting the tunnel route approximately one kilometer north, which preliminary analysis suggests would encounter similar rock conditions potentially even more favorable ground away from a major geological fault. The company has initiated discussions with Seabridge, regulatory authorities, and provincial officials to resolve the matter.

"I believe that we can come to an agreement. If you look at the region and the potential and where their mill is, there's something that can be done to make this all work."

Multiple legal proceedings are underway as leverage points, but management views direct negotiation as the preferred resolution path. Given Seabridge's significantly larger market capitalization and the mutual benefits of regional cooperation, Tudor expects to reach agreement within the coming months.

American Creek Acquisition Improves Project Economics

In a strategic move to improve project economics and exploration flexibility, Tudor Gold acquired American Creek Resources, increasing its ownership in Treaty Creek from 60% to 80%. Under the previous ownership structure, the two 20% partners were carried through to a production decision, creating substantial financial burdens that constrained exploration activities beyond the main Goldstorm deposit.

"One of the first things we did when I came on was acquire one of those outfits, American Creek. We now have 80%. We can justify doing more exploration, owning 80% and only carrying 20%."

The remaining 20% interest is held by Teuton Resources, which recently announced plans to spin out or transfer its other assets, leaving only the Treaty Creek joint venture interest in the main company. This corporate simplification may facilitate future consolidation discussions.

"At that point in time, the idea is we'd sit down and talk, and if it makes sense for us there's always a price. If it makes sense for us, we'd love to consolidate." 

Full ownership would eliminate carried interest obligations, simplify decision-making, and potentially enhance the project's attractiveness to potential partners or acquirers, though management remains focused on advancing development rather than seeking a sale.

Permitting Timeline Supports Underground Access

Tudor Gold is advancing permits for underground portal development, with approvals targeted for May 2026. A government employee strike in British Columbia has slowed the process, but management remains confident in the timeline.

The underground program will serve dual purposes: providing bulk samples and metallurgical data while establishing drill stations for close-spaced infill drilling of high-grade zones and the SC-1 structural corridor. Surface drilling to these targets requires expensive 1,200-meter holes that are difficult to direct accurately, whereas underground platforms enable shorter, more precise holes.

"We want to get down to a place where we can set up our drill stations and infill drill that SC-1 zone with 100-200 meter drill holes that we can bang off really fast. When you're in tight, you can get nice drill fans that really let you estimate what's there."

The portal location has been selected to avoid avalanche zones and navigate surface rights issues with Seabridge. Development will proceed through some mineralization, providing sampling and mapping opportunities, before reaching optimal drill station locations approximately one year after mobilization.

Perfectstorm Expands Regional Exploration Potential

While management focuses on advancing Goldstorm toward production, the property hosts additional exploration targets. Perfectstorm, located southwest of Goldstorm, has produced encouraging early results from limited drilling, including 100 meters of 1.23 g/t gold in approximately the tenth hole.

"Perfectstorm has 7,700 meters of drilling, so it's in the very early stages. With more drilling we think it will develop into something like a Goldstorm."

The geological similarities between Perfectstorm and Goldstorm both are gold-bearing intrusive bodies suggest potential for resource expansion, though the target remains at an early stage compared to the 190,000 meters of drilling that defined Goldstorm.

The SC-1 zone represents another exploration opportunity, featuring quartz stockwork systems similar to those at Brucejack but with more consistent grades averaging 8-12 g/t rather than the extreme grade variability characteristic of the Brucejack orebody. Underground access will enable efficient evaluation of this target's potential.

Accelerated Development Path Forward

Tudor Gold is pursuing an accelerated development schedule based on management's experience and current market conditions. Following the November resource update, the team will evaluate whether identified high-grade zones support mine plan development. If the 50-100 million ton target is achieved, preliminary economic assessment work would begin immediately, with a six-month completion target.

Feasibility studies would follow, though some work can proceed in parallel with underground development and infill drilling. The underground ramp is expected to reach suitable drill station depths within one year of portal development, with three to four months of infill drilling providing confirmatory data for final mine design.

"We're a couple years away from being able to do that infill. In the meantime we can do all the engineering for the mine design and all the surface design. We'll try to do them in tandem just to speed things up."

Engineering for an 8,000-10,000 ton per day operation can proceed based on current resource confidence, with final optimization dependent on infill drilling results. This parallel path approach compresses overall development timelines compared to sequential studies.

Capital Markets Environment Supports Aggressive Timeline

Tudor Gold is operating in an improved capital markets environment for gold developers. Management reports regular inquiries from potential investors a marked change from recent years when exploration and development companies struggled to attract funding.

"On the access to capital part, we're getting phone calls all the time from people wanting to place capital. The world's changed a lot in the last six months."

This capital availability enables aggressive advancement of engineering, permitting, and underground development activities. The strategy emphasises moving the project forward rapidly to derisk it for potential partners, joint venture participants, or acquirers, with each advancement step increasing project value.

"The best way to create value for your shareholders is to move that project forward and forward and forward. If anybody's coming in, they have to pay for that derisking that you're doing as you move it along."

The Investment Thesis for Tudor Gold

• Proven Management Team: Leadership with direct experience building and operating Brucejack Mine 15km away, bringing established relationships, regional expertise, and relevant technical knowledge to accelerate development
• High-Grade Underground Potential: Refined 5m block modeling targeting 50-100 million tons at 2-3 g/t within the 21.66Moz resource, supporting potential 250,000-300,000 oz/year production over 10+ years
• Accelerated Development Timeline: Focused longhole stope strategy enables faster permitting and construction compared to bulk tonnage approaches, with underground portal permits expected May 2026 and development providing both sampling and drill platforms
• Improved Project Economics: American Creek acquisition increased ownership to 80%, reducing carried interest burdens and enabling broader exploration while simplifying future consolidation or partnership opportunities
• Strategic Location and Infrastructure: Golden Triangle position with proximity to Seabridge's planned KSM infrastructure and existing relationships with regional operators provides potential development synergies and reduces standalone capital requirements
• Exploration Upside Preserved: Perfectstorm target and SC-1 structural zones offer resource expansion potential beyond current Goldstorm focus, providing optionality for district-scale development scenarios
• Favorable Market Timing: Strong gold price environment combined with improved capital availability for developers creates optimal conditions for advancing projects toward production decisions and attracting strategic partners

Macro Thematic Analysis

Tudor Gold's development trajectory aligns with a fundamental shift in gold markets as declining mine grades, depleting reserve bases, and extended development timelines create structural supply constraints. Major producers increasingly seek advanced, permitted assets in stable jurisdictions to replace declining production profiles. The Golden Triangle's infrastructure development, including Seabridge's KSM project and Newmont's Brucejack operations, has de-risked the district significantly. Tudor's strategy of targeting selective underground mining at 2-3 g/t grades roughly triple the global average for gold deposits positions the project competitively against bulk tonnage operations facing inflationary cost pressures. Management's regional experience and focus on accelerated timelines to cash flow addresses investor preferences for near-term production over speculative exploration. As Ovsenek noted: 

"We took this role on because we were intrigued by the potential to build another mine close to where we were."

TL;DR

Tudor Gold is advancing its 21.66Moz Treaty Creek gold deposit toward production under experienced mine-builders from nearby Brucejack. Refined geological modeling targets 50-100Mt at 2-3 g/t for an 8,000-10,000 ton underground operation producing 250,000-300,000 oz annually. American Creek acquisition increased ownership to 80%, improving economics while tunnel route negotiations with Seabridge Gold progressed toward resolution. November resource update will inform PEA work as underground permits target May 2026 approval.

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