US Gold Corp's CK Gold Adds Resource & Aggregate Upside Beyond the Feasibility Study

• US Gold Corp identifies 590,000 gold-equivalent ounces of measured and indicated (M&I) resources targeted for conversion to reserves.
• A further 677,000 gold-equivalent ounces of inferred resources are targeted for conversion to M&I resources.
• A non-binding letter of intent (LOI) and market studies indicate potential aggregate and rail-ballast offtake of 1 million tonnes per year.
• CK Gold’s proximity to Interstate 80 and major railways provides a potential transportation route for aggregate and rail ballast.
• The $632 million after-tax net present value (NPV5%) excludes resource conversion and aggregate or rail-ballast revenue.

New Disclosures Sit Outside the Feasibility Study's Base Case

US Gold Corp's (Nasdaq: USAU) discloses value levers at the CK Gold Project that sit outside the $632 million after-tax net present value (NPV5%) reported in the March 2026 Feasibility Study (FS), a resource conversion target, a non-binding aggregate and rail-ballast letter of intent (LOI), and initial construction on the mine access road. None of these items has been incorporated into the base-case FS economics. Each represents a distinct, separately conditioned addition to the project's disclosed value as it moves toward a construction decision targeted for the second half of 2026.

Resource Conversion Targets & an Aggregate Letter of Intent

The company quantifies two categories of resource growth beyond the current mine plan: 590,000 gold equivalent ounces held in measured and indicated (M&I) resources targeted for conversion to reserves, and 677,000 gold equivalent ounces of inferred resources targeted for conversion to M&I. Both figures stem from a drone magnetic survey paired with a ground gravity survey completed in mid-2026, which identified anomalies extending beyond and below the proposed pit. US Gold Corp describes the project as drill-limited, with a resource expansion drilling program under development and an anticipated drill program targeted for the second half of 2027 to test these targets and evaluate whether the identified resources can be converted to reserves.

Separately, the company discloses a non-binding LOI to deliver rail ballast to a major railway, as well as a stated interest in aggregate supply from construction firms. Market studies referenced in the presentation indicate potential offtake of 1 million tons per year, with the local quarry selling crushed stone at approximately $20 to $25 per ton as a reference price. On the ground, initial work on the mine access road includes a staging area located 4 miles from the planned open-pit works.

Wyoming Infrastructure Supports Both Upside Paths

CK Gold sits on State of Wyoming land approximately 20 minutes west of Cheyenne and about 3 miles north of Interstate-80, with the company describing established road, rail, water, and power infrastructure already serving the site. The project holds an approved Mine Operating Permit and an Industrial Siting Permit, the renewable term of which the company's August 2026 shareholder update describes as extended through December 2027, while the September presentation lists the permit as updated through June 2027. Both disclosures confirm the permit remains active and renewable, though the two documents state different expiry dates.

The project's proximity to Interstate-80 and major rail lines serves a dual purpose: providing logistics for core mining operations while enabling transportation for the potential aggregate and rail ballast off-take described above.

Why These Disclosures Matter to Investors

Each of these disclosures has a different precondition for adding value beyond the Feasibility Study. Resource conversion depends on a drilling program that has not yet begun. The aggregate and rail-ballast opportunity depends on a counterparty converting a non-binding letter of intent into a binding agreement. Mine access road construction is the one item already underway, giving it a different, more immediate evidentiary status than the other two.

None of the three has been incorporated into the FS base-case valuation. That distinction is what separates this update from a simple restatement of the March 2026 study. It identifies where the company sees potential value beyond the current mine plan, without asserting that any of it has yet been realized or priced in.

Feasibility Study Economics Remain the Baseline

The March 2026 FS, completed by Halyard Micon International, reports an after-tax net present value (NPV5%) of $632 million, a 27% after-tax internal rate of return (IRR), and a 2.5-year payback period, based on a base-case gold price of $3,250 per ounce. Initial capital is estimated at $394 million. Cash on hand is reported at approximately $31 million as of April 30, 2026, and at $30.7 million. These figures represent the project as currently modeled, before any resource conversion or aggregate and ballast revenue is included.

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