McEwen sees Tartan mine boosting output by 30,000 oz.

McEwen (NYSE, TSX: MUX) has confirmed its newly acquired Tartan mine project in Flin Flon, Manitoba could add at least 30,000 oz. of annual gold output once it restarts production following a resource update.

At a cut-off grade of 1.35 grams per tonne gold, Tartan holds 2.62 million indicated tonnes grading 3.67 grams gold for 308,900 contained oz. and 2.83 million inferred tonnes grading 3.32 grams gold for 302,700 contained oz., the Canadian miner said Monday in a statement.

McEwen regards Tartan — acquired through its takeover of Canadian Gold in October — as a contributor to its goal of doubling gold production to 250,000-300,000 oz. gold by 2030.

The size of the resource can be expanded through additional drilling along the western and eastern flanks of the project’s main zone, vertically at the main and south zones, and at the adjacent Tartan West property, McEwen noted.

The resource update “confirms expected resource accretion, validates the company’s M&A decision, lends de-risking to the planned Tartan restart and reinforces McEwen’s production growth trajectory,” National Bank Financial mining analyst Don DeMarco said Monday in a note.

McEwen has budgeted $6 million (US$4.4 million) this year to test near-mine and regional drill targets and expand the resource, the company said.

Shares of McEwen rose 2.2% to $25.95 in Toronto Monday, in line with a broader market recovery. The Toronto-based miner has a market capitalization of about $1.5 billion.

Mine restart

Tartan covers 26.7 sq. km and 20 mineral claims along the Flin Flon Greenstone Belt. Exploration on the property began as early as the 1920s, but mine construction did not occur until the 1980s. During a brief period of operation between 1987-1989, it produced approximately 47,000 oz. of gold.

McEwen acquired the project with a view to restarting the historic mine and expanding its Canadian production pipeline. The site currently has a 450-tonne-per-day processing plant, related surface infrastructure, and a decline providing access to developed mining blocks within the main and south zone.

The company contemplates that a doubled throughput through future permit modifications could result in annual production reaching 45,000-55,000 oz. per year. Metallurgical test work is currently underway to optimize process plant design, along with underground mine planning.

At the time of acquisition, McEwen noted that Tartan has many similarities — such as ramp access, mining method and proposed process plant design — to its Fox Complex in Ontario.

In 2026, the company is projected to produce 114,000-126,000 oz. across its three mines in Canada, the U.S. and Argentina. It expects to add a fourth operation at El Gallo in Mexico next year.