High‑Grade Rowan Drill Hit Returns 141 g/t Gold in Red Lake

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1. Ownership and Share Structure Information

The information listed above was updated on the date this article was published and was compiled from information from the company and various other data providers.

West Red Lake Gold Mines Ltd. (WRLG:TSX.V; WRLGF:OTCQX; UJO:FSE) has released initial assay results from its ongoing infill and conversion drill campaign at the 100%-owned Rowan Project in Ontario's Red Lake Mining District. Of the 38 planned holes, 33 have now been completed, with fire assays reported for seven and additional results pending.

Among the most notable intervals was hole RLG-25-192b, which returned 1 meter grading 141.5 g/t gold from Vein 013, along with visible gold. That same hole also intersected 1 meter of 17.55 g/t gold in Vein 011. Other high-grade highlights included 1 meter of 55.8 g/t gold in Vein 006 and 1 meter of 12.5 g/t gold in Vein 013 (RLG-25-190), as well as 1 meter of 28.5 g/t gold in Vein 013 (RLG-25-187).

Additional intercepts include 0.75 meters of 6.54 g/t gold in Vein 018 (RLG-25-188), 2 meters of 3.74 g/t gold, including 1 meter at 5.88 g/t in Vein 013 (RLG-25-189), and 1 meter of 11.65 g/t gold in Vein 004 (RLG-25-193).

The current program is targeting infill drilling on Veins 006b and 013, and conversion drilling on Veins 001 and 004. The company noted the larger HQ-diameter drill core is providing strong grade representation with multiple visible gold occurrences. Vice President of Exploration Will Robinson commented, "It's great to be back drilling at Rowan, and we are very encouraged with the results from this first batch of assays."

Robinson noted that while the main focus remains on Veins 001, 004, 006b, and 013, the team is also intercepting mineralization along trend from other modeled veins. Based on early success, the program has been extended by 1,000 meters to continue testing Vein 001 along strike. Results from this program are expected to inform a revised Mineral Resource Estimate (MRE) targeted for Q2 2026.

Rowan's Preliminary Economic Assessment (PEA), released July 8, 2025, outlined a five-year underground operation averaging 35,230 ounces annually at a grade of 8.0 g/t gold. The updated drill campaign supports plans to upgrade Inferred resources to the Indicated category, aiding the design of a joint Pre-Feasibility Study (PFS) encompassing both Rowan and the Madsen Mine.

Permitting efforts are also underway to transition Rowan toward Advanced Exploration status by 2027, in line with Ontario's "One Project, One Process" framework.

Record Highs and Rising Volatility Define Gold's Current Market Cycle

In a January 27 commentary, Stewart Thomson pointed to a broader shift among investors "from government fiat and bonds to physical metal," with rising demand from foreign creditors who "now want unencumbered gold." He added, "An awesome bull era for the miners is ready to start now."

Mining reported on January 30 that global gold demand reached a record 5,002 tonnes in 2025, valued at US$555 billion. According to the World Gold Council, this was the first time demand surpassed 5,000 tonnes. Private investment surged 84% to 2,175.3 tonnes, ETF inflows reached 802 tonnes, and bar and coin demand hit a 12-year high of 1,374.1 tonnes. Meanwhile, mine supply rose slightly to 3,672 tonnes, and recycling increased just 3% to 1,404 tonnes. Central bank buying fell 21% to 863.3 tonnes but remained elevated by historical standards.

Shaokai Fan, the WGC's head of central banks and Asia-Pacific, attributed the gold rush to geopolitical instability, persistent inflation, and declining interest rates. He noted, "A lot of things happened last year, it probably felt like 10 years cramped into one."

According to a January 30 Bloomberg report, gold became the second-largest reserve "currency" held by central banks as of March 2024, ranking ahead of the euro. Bloomberg noted that "physical gold tends to be the most credible and reliable store of value amid extreme geopolitical events such as wars, even more so than the dollar nowadays." While price appreciation has driven most of the increase in central bank holdings, the report stated there remains "scope for further accumulation" as de-dollarization trends continue.

Analyst Commentary on Madsen Operations and Development Plans

Analysts have offered insight into recent developments at West Red Lake Gold. In a November 18 note, Craig Stanley of Raymond James reported that ore production rose in Q3 2025 after mined waste was stored underground to free up haulage for ore. He noted 35.7 kilotonnes of ore were mined at an average grade of 5.4 g/t Au, with daily rates increasing from 435 tpd in July to 463 tpd in August, and peaking at 1,400 tpd later in September. Stanley rated the stock Outperform 2 with a CA$1.75 target and said a PFS combining Rowan and Madsen is expected in Q3 2026.

In a November 26 research note, Paul O'Brien of Velocity Trade Capital maintained an Outperform rating and a CA$2.05 target price. He described the Fork deposit as "a shallow resource of approximately 80,000 ounces of gold" and noted that "the capital required to be modest (less than CA$3 million)." He added, "WRLG's NAV is highly sensitive to gold price changes, with a +/-17% change for each +/-10% fluctuation in gold prices."

On January 12, Matthew O'Keefe of Cantor Fitzgerald called WRLG's commercial production announcement "a significant milestone," writing that it "demonstrat[es] a successful transition from construction and commissioning to stable operations." He reported the company poured 20,000 ounces of gold in 2025, generating US$73 million in sales, and maintained a Buy rating with a CA$2.50 price target.

In a January 13 note, Taylor Combaluzier of Red Cloud Securities also reiterated a Buy rating and CA$2.30 target. He reported Q4 2025 production of 7,379 ounces at 5.06 g/t Au and 95% recovery, and noted that the company ended the year with CA$46 million in cash and receivables. Combaluzier cited "ongoing infill and regional drilling assays and continued ramp-up of the Madsen mine" as key near-term developments.

In the January 13 edition of What Is Chen Buying? What Is Chen Selling?, Chen Lin stated, "WRLG.v, the up and coming producer, reached commercial production," noting that the company had "40+ million in the bank and look like over the most challenging period of the company." He added, "The next key news is free cash flow from operations," and concluded, "I do think WRLG is an easy takeover target if their share price does not appreciate fast from here." No formal rating or target price was provided.

A January 14 article by Robert Sinn confirmed that the Madsen Mine achieved commercial production as of January 1, 2026, with the mill averaging 689 tonnes per day in December 2025, or 86% of permitted throughput. Sinn reported, "3,215 ounces of gold [were] poured and an average of 689 tons per day throughput at the mill," and noted that recent gold sales were transacted "north of US$4,600/oz." No rating or target price was disclosed.

In a January 29 commentary published by The Gold Advisor, Jeff Clark and Daniel Flynn wrote that initial assays from Rowan "confirm high-grade continuity across the system," highlighting Hole RLG-25-192b, which returned "1m @ 141.5 g/t gold from Vein 013." They described the start as "strong" and noted the program had been expanded by an additional 1,000 meters to total 6,000 meters. The authors pointed to two upcoming milestones: "an updated Mineral Resource Estimate in Q2" and "a combined PFS for Rowan and Madsen in Q3." They assigned a recommendation of "BUY ON DIPS" but did not include a formal target price.

Upcoming Milestones and Operational Developments

West Red Lake Gold has identified several near-term priorities across the Rowan and Madsen projects, outlined in its January 2026 investor presentation.

At Rowan, the drill program now totals 6,000 meters, targeting Veins 006b and 013 for infill and Veins 001 and 004 for conversion drilling. These efforts aim to support a combined Madsen-Rowan PFS and an updated Mineral Resource Estimate expected in Q2 2026.

The company has also begun the permitting process to advance Rowan to Advanced Exploration status by 2027, consistent with Ontario's streamlined One Project, One Process framework. A permit application is scheduled for submission in Q4 2026.

Meanwhile, at the Madsen Mine, commercial production was declared in January 2026 following completion of key infrastructure, including a 1.4-kilometer connection drift and underground waste storage. Shaft commissioning is expected in Q1 2026 and will support up to 350 tpd of ore hoisting.

Development of the nearby Fork deposit remains under consideration, and results from Fork, Rowan, and the 904 zone at Madsen are expected in the first half of 2026. 

Ownership and Share Structure¹

Institutional investors hold approximately 30% of West Red Lake Gold's shares, with insiders and advisors holding another 10%. The remaining 60% is held by retail investors. The company's current market cap is CA$507.79 million, with a 52-week trading range of CA$0.54 to CA$1.31.