West Red Lake Gold Mines Ltd. (WRLG:TSX.V; WRLGF:OTCQX; UJO:FSE) announced new assay results from its ongoing infill and conversion drilling program at the 100% owned Rowan Project in the Red Lake Mining District of Ontario. The fully funded drill campaign, targeting approximately 6,000 meters, has completed 33 of 38 planned holes. Fire assay results have been received for seven holes to date, with additional results pending.
Highlights include hole RLG-25-192b, which intersected 1 meter grading 141.5 g/t gold in Vein 013, with visible gold observed in quartz veining. The same hole also returned 1 meter of 17.55 g/t gold in Vein 011. Hole RLG-25-190 intersected 1 meter grading 55.8 g/t gold in Vein 006, also accompanied by visible gold, and 1 meter of 12.5 g/t gold in Vein 013. Hole RLG-25-187 reported 1 meter at 28.5 g/t gold in Vein 013, with visible gold noted.
Other results from the program include 0.75 meters at 6.54 g/t gold in Vein 018 (RLG-25-188), 2 meters at 3.74 g/t gold including 1 meter at 5.88 g/t gold in Vein 013 (RLG-25-189), and 1 meter at 11.65 g/t gold in Vein 004 (RLG-25-193).
The current program focuses on infill drilling on Veins 006b and 013, and conversion drilling on Veins 001 and 004. The company noted that the larger HQ diameter drill core being used is yielding strong grade representation and multiple occurrences of visible gold. According to Will Robinson, Vice President of Exploration, in the news release, "It's great to be back drilling at Rowan and we are very encouraged with the results from this first batch of assays."
Robinson added, "The main targets for this program are Veins 001, 004, 006b and 013, but we are also intercepting mineralization along trend of other modeled veins in the system." He stated that the intercepts are expected to support an updated Mineral Resource Estimate planned for the second quarter of 2026. Based on early results, the company has expanded the drill program by an additional 1,000 meters to continue testing Vein 001 along strike.
The company previously reported a Preliminary Economic Assessment for Rowan on July 8, 2025, outlining an average annual production of 35,230 ounces over a five-year mine life at an average grade of 8.0 g/t gold. The updated program includes efforts to upgrade Inferred resources to the Indicated category and support potential mine design work for a planned Pre-Feasibility Study covering both the Rowan and Madsen projects.
Permitting efforts are ongoing to advance Rowan toward Advanced Exploration status by 2027, in line with Ontario's One Project, One Process permitting framework.
Record Highs and Rising Volatility Define Gold's Current Market Cycle
In a January 27 commentary, Stewart Thomson highlighted a broader shift in investor behavior, noting, "At the current time, the big theme is a move from government fiat and bonds to physical metal." He pointed to growing concerns among foreign creditors who "now want unencumbered gold," suggesting that such sentiment was gaining traction. Thomson further remarked, "An awesome bull era for the miners is ready to start now," referring to junior gold equities.
Gold demand surged to unprecedented levels in 2025, reaching 5,002 tonnes and a record value of US$555 billion, according to a January 30 report by Mining. The World Gold Council confirmed this marked the first time demand exceeded 5,000 tonnes, driven primarily by private investment, which grew 84% year-over-year to 2,175.3 tonnes. "A lot of things happened last year, it probably felt like 10 years cramped into one," said Shaokai Fan, the WGC's global head of central banks and head of Asia-Pacific. Fan attributed the demand spike to a combination of geopolitical instability, inflation, and falling interest rates globally, which "really made gold a very standout investment choice for many investors in 2025." ETF inflows also reached their second-strongest year on record, totaling approximately 802 tonnes, while bar and coin demand hit a 12-year high of 1,374.1 tonnes. Despite gold's average price rising 44% over the year, mine supply only rose slightly to 3,672 tonnes and recycling climbed just 3% to 1,404 tonnes, suggesting limited supply response. Central bank buying declined 21% to 863.3 tonnes but remained above pre-pandemic levels. Fan noted that "unlike previous peaks in the gold price, this time doesn't coincide with a major economic shock," which may explain the restrained response from recycled supply.
According to a January 30 report from Bloomberg, gold has become the second largest reserve "currency" held by global central banks since March 2024, ranking ahead of the euro and just behind the US dollar when measured alongside fiat holdings. The analysis stated 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," noting its ability to circumvent sanctions and asset freezes. Bloomberg also observed that central banks' gold reserves have increased sharply since 2022, driven largely by price appreciation. While some institutions may tactically sell to lock in gains, the report noted there remains "scope for further accumulation, as gold remains a credible alternative currency if de-dollarization themes intensify."
Analyst Commentary on Madsen Operations and Development Plans
Analysts have weighed in on West Red Lake's latest announcements. In a November 18 research note, Craig Stanley of Raymond James stated that "ore production is the result of mined waste now being stored underground since mid-September, allowing trucking capacity to be focused on moving ore." Stanley reported that Madsen produced 35.7 kilotonnes of ore in Q3 2025 at an average grade of 5.4 g/t Au, with daily mining rates increasing from 435 tonnes in July to 463 tonnes in August. He added that the mine achieved 1,000 tonnes on several days in late September, including a record of 1,400 tonnes. Stanley rated the stock Outperform 2 with a target price of CA$1.75 per share. He also noted that a pre-feasibility study combining Madsen with the Rowan deposit was planned for Q3 2026 and that WRLG had strengthened its operations team with several new hires, including a mine general manager and vice president of operations.
According to a November 26 note by Paul O'Brien of Velocity Trade Capital, "after a ramping-up period at Madsen, we estimate average production of 67,000 oz/yr Au at AISC of US$1,600/oz Au in the first full four years (2026 to 2029)." O'Brien maintained an Outperform rating and a target price of CA$2.05 per share. He described WRLG's Fork deposit as "a shallow resource of approximately 80,000 ounces of gold" near the existing Madsen infrastructure, and stated, "the capital required to be modest (less than CA$3 million)." O'Brien added that the company had identified a high-grade core within Fork and that development from Level 3 could unlock underground exploration between Fork and Madsen. He wrote, "we expect further details on a 2026 mine plan with the addition of Fork, more details and timing on Rowan, as well as further guidance on 2026E production." O'Brien emphasized WRLG's leverage to gold price movements, writing, "WRLG's NAV is highly sensitive to gold price changes, with a +/-17% change for each +/-10% fluctuation in gold prices."
In a January 12 research note, Matthew O'Keefe of Cantor Fitzgerald described West Red Lake Gold's announcement of commercial production at Madsen as "a significant milestone," noting it "demonstrat[es] a successful transition from construction and commissioning to stable operations." O'Keefe reported that the mine poured 20,000 ounces of gold during the 2025 ramp-up, realizing an average price of US$3,650 per ounce and generating US$73 million in sales. He stated that WRLG met its commercial production threshold by averaging 689 tonnes per day in December 2025, or 86% of the permitted 800 tpd. O'Keefe wrote, "we maintain our Buy rating and CA$2.50 per share price target."
On January 13 Taylor Combaluzier of Red Cloud Securities wrote, "we maintain our BUY rating and target price of CA$2.30/share," noting a 106% potential gain from the share price at the time. He reported that Madsen produced 3,215 ounces of gold in December 2025 from 21,389 tonnes of ore at an average grade of 4.94 g/t Au and 94.6% recovery. In Q4 2025, the mine produced 7,379 ounces from 49,162 tonnes at 5.06 g/t Au and 95% recovery. Combaluzier noted that WRLG ended the year with CA$46 million in cash and gold receivables. He also referenced upcoming catalysts, including "ongoing infill and regional drilling assays and continued ramp-up of the Madsen mine." He added that the company plans to incorporate the Fork deposit into its mine plan and is evaluating a higher-grade area known as the 904 Complex.
In a January 13 edition of What Is Chen Buying? What Is Chen Selling?, Chen wrote that “WRLG.v, the up and coming producer, reached commercial production,” adding that the company had “40+ million in the bank and look like over the most challenging period of the company.” He stated, “The next key news is free cash flow from operations,” and wrote, “I do think WRLG is an easy takeover target if their share price does not appreciate fast from here.” Chen did not disclose a formal rating or target price for the company.
According to a January 14 article by Robert Sinn, 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 wrote that December was described as a strong operating month, with “3,215 ounces of gold poured and an average of 689 tons per day throughput at the mill.” He also reported that the most recent gold sales were transacted “north of US$4,600/oz.” The article did not disclose a formal rating or target price.
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 stated, “It’s a strong start,” and noted that the results were “strong enough that WRLG is adding another 1,000 meters, taking the program to 6,000M total.” The authors referenced two upcoming milestones for Rowan, including “an updated Mineral Resource Estimate in Q2” and “a combined PFS for Rowan and Madsen in Q3.” The commentary included a stated recommendation of “BUY ON DIPS,” but did not disclose a specific target price.
Upcoming Milestones and Operational Developments
West Red Lake Gold has outlined several near-term developments and workstreams across both the Rowan and Madsen projects, each supported by specific plans and timelines in its investor presentation.
At Rowan, the company has extended its HQ-diameter diamond drill program to approximately 6,000 meters. This includes infill drilling on Veins 006b and 013, aimed at providing data for potential inclusion in a planned combined Pre-Feasibility Study (PFS) for the Rowan and Madsen projects. In addition, conversion drilling is underway on Veins 001 and 004 to support the possible upgrade of Inferred resources to the Indicated category. These two veins account for the majority of production tonnes in the Preliminary Economic Assessment (PEA) mine plan.
The company has also initiated permitting efforts required to advance Rowan to Advanced Exploration status. These include ongoing geotechnical, metallurgical, and engineering studies to inform the upcoming PFS. The submission of the Rowan permit application is scheduled for the fourth quarter of 2026, with approval targeted for 2027. This process aligns with Ontario's One Project, One Process framework, which is designed to shorten review timelines for Designated Projects/
An updated Mineral Resource Estimate for Rowan is planned for the second quarter of 2026. The combined Madsen-Rowan PFS is scheduled to be released in the third quarter of 2026 and will evaluate integrated mine planning between the two assets.
Streetwise Ownership Overview*
West Red Lake Gold Mines Ltd. (WRLG:TSX.V; WRLGF:OTCQX; UJO:FSE)
In parallel, the company is advancing development at the Madsen Mine. Commercial production was achieved in January 2026 following ramp-up and completion of key infrastructure projects in 2025, including a 1.4-kilometer connection drift, underground waste storage, mobile fleet readiness, and a 2026 detailed mine plan. The refurbished shaft is expected to become operational in the first quarter of 2026, moving up to 350 tonnes per day and reducing haulage costs.
The company also plans to start development of the Fork deposit, pending a decision, and begin consultation related to the Rowan project. Drilling results from the Fork and Rowan areas are expected in the first half of 2026, with high-grade intercepts from Rowan already reported.
Finally, the long-term mine planning process includes consideration of expanding mining into the 904 zone at Madsen beginning in the second half of 2026. This area represents high-grade, non-remnant material near existing infrastructure.
Ownership and Share Structure1
Institutions own about 30% of West Red Lake Gold, while management, insiders, and advisors hold around 10%. The remaining shares are held by retail investors. The company's market capitalization is CA$507.79 million, with a 52-week stock price range of CA$0.54-CA$1.31.
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Important Disclosures:
- West Red Lake Gold Mines is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$3,000 and US$6,000.
- As of the date of this article, officers, contractors, shareholders, and/or employees of Streetwise Reports LLC (including members of their household) own securities of West Red Lake Gold Mines.
- James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
- This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company.
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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.
