TNR Gold says Los Azules copper project advances toward final investment decision

TNR Gold says Los Azules copper project advances toward final investment decision

Mon, August 10, 2026 at 4:23 PM GMT+3 2 min read

TNR Gold Corp (TSX-V:TNR, FRA:TNW, OTC:TRRXF) said Monday that the Los Azules copper project in Argentina is advancing toward a final investment decision.

The operator, McEwen Copper Inc, reported roughly 27% of the planned FID work program completed as of June 30 and the remainder targeted for the fourth quarter.

TNR holds a 0.4% net smelter returns royalty on the project, which is held by McEwen Copper and is itself 46.3%-owned by McEwen Mining.

McEwen's update outlined activities including vendor engineering for the SX/EW plant, sulfuric acid plant and crushing systems, mining fleet evaluation, power supply assessment and EPCM contractor selection, along with construction of the access road and site camp. The company also completed its planned field campaign of geotechnical, condemnation and hydrogeological drilling.

The 2025 feasibility study for Los Azules confirmed initial five-year average production of 205,000 tonnes of copper cathodes per year on average and a $1.71 per pound C1 cash cost over a 22 year mine life, with potential to extend operations by another 33 years under a preliminary Nuton case.

McEwen also owns a 1.25% NSR royalty on the project. Under the feasibility study's base case of $4.35 per pound copper, that royalty is projected to generate approximately $389.5 million of undiscounted pre-tax cash flow over the initial 22-year period, with a further $633.5 million potentially available under the Nuton extension case.

Société Générale was appointed exclusive financial advisor for the project's debt financing process, and preparations were initiated for a potential initial public offering. McEwen Copper is also reviewing an enhanced financing proposal from a European export credit agency. Construction is targeted to begin in early 2027, with production slated for 2030, subject to financing and approvals.

Kirill Klip, TNR Gold's CEO, said the company was pleased McEwen Copper had reached the milestone following the release of the feasibility study and securing of an environmental permit for the project. "The collaboration between McEwen Copper and International Finance Corporation (IFC), and admission to the Argentina Regime of Incentives for Investment (RIGI) could move the Los Azules copper project development closer to a construction decision," Klip told investors.

"The green energy revolution relies on the supply of critical metals like copper. Delivering 'green copper' to Argentina and the world will contribute to the clean energy transition and electrification of transportation and energy industries," he added.

TNR Gold holds royalty interests across several Argentine and Alaskan assets, including the Mariana Lithium Project, the Batidero I and II properties of the Josemaria Project, and the Shotgun Gold porphyry project, and says it is not required to contribute capital toward the development of Los Azules.