Discovery Mining Extends Main Zone Half a Kilometer as Borden Drilling Returns 31.04 g/t Gold Intercept

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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.

Gold investors are taking note of the latest assay results from an exploration company.

Key Takeaways

• Discovery Mining Ltd. (DSV:TSX; DSVSF:OTC) reported 22 drill holes at its Borden Mine, confirming and expanding both the Main zone and East Lower zone.
• Underground drilling returned Main zone grades of 9.16 g/t Au (gold) over 25.9 m (meters) and 21.52 g/t Au over 4.8 m.
• East Lower zone results included 13.33 g/t Au over 13.2 m, with a high-grade section of 31.04 g/t Au over 4.7 m.
• Surface drilling extended the Main zone over half a kilometer (km) down plunge to the northeast, returning 6.34 g/t Au over 8.7 m.
• Four underground and two surface drills remain active, with plans to keep testing extensions to the northeast.

Surface Hole Extends Main Zone

Discovery Mining Ltd. announced what the company called "continued exploration success" at its Borden Mine on August 10, 2026, extending the Main zone over half a kilometer down plunge to the northeast while confirming and expanding both the Main and East Lower zones through ongoing underground and surface drilling.

The results are part of Discovery's broader 255,000- to 285,000-meter exploration program for 2026, with the latest release covering 22 holes totaling 7,411.6 m drilled from both surface and underground. Fourteen underground holes, spanning 4,187.6 m, targeted the Main zone from cut-outs in the 585-exploration drift, while seven holes totaling 1,880 m tested the East Lower zone from the 585 level. One surface hole added a further 1,344 m.

Underground drilling in the Main zone returned some of the program's strongest intercepts to date, including:

• 9.16 g/t Au over 25.9 m, with a higher-grade section of 21.52 g/t Au over 4.8 m
• 12.79 g/t Au over 7.3 m
• 9.23 g/t Au over 14.0 m
• 7.01 g/t Au over 10.2 m, with several holes drilled approximately 75 to 100 m beyond the current inferred resource.

In the East Lower zone, drilling returned:

• 13.33 g/t Au over 13.2 m, including a 31.04 g/t Au section over 4.7 m
• 6.92 g/t Au over 12.9 m
• 5.25 g/t Au over 15.4 m

According to the press release, several of these intercepts are near the current limit of the inferred resource, with the Main zone remaining open to depth.

Discovery's press release reported that the most notable result came from hole BL26-001119, drilled from surface 350 m along strike from the current resource, which intersected 6.34 g/t Au over 8.7 m, including 11.04 g/t Au over 3.7 m. This result extended the Main zone's known footprint by more than half a kilometer down plunge to the northeast.

Tony Makuch, Discovery's President, CEO, and Chairman, commented: "Exploration drilling at Borden continues to generate excellent results. Borden includes an extensive land position in a highly-prospective, underexplored greenstone belt in the Abitibi. Today's results include further progress with resource conversion and expansion drilling in the Main and East Lower zones, where we continue to produce intersections that are as good as, or better than, those included in the current resource model. In addition, we have been ramping up surface drilling to begin assessing Borden's larger-scale potential for growth."

Makuch continued, stating: "Early results from surface drilling have been very encouraging, including returning intersections that extend the Main Zone by over half a kilometer down plunge to the northeast from the current inferred resource. These results highlight the prospectivity of the area and are a great start to our plan to build out the Borden operation. We plan to continue drilling to the northeast to find additional extensions as we work to demonstrate that there is much more gold to be discovered on our 1,000 km² land position in the Abitibi near Chapleau."

The Borden Mine is located within the Borden Lake Greenstone Belt, roughly 190 km southwest of the Dome Mill near Chapleau, Ontario. The Main zone has been traced along a strike length of over 1.7 km, tracking the east-west trending Genesis Deformation zone near the contact between felsic gneiss and amphibolite. The East Lower zone runs parallel, approximately 500 m west of the Main zone.

Discovery is continuing the program with four underground drills advancing resource conversion and extension, alongside two surface drills operating northeast of the Main Zone, with work also underway to extend the 585-exploration drift to provide additional drill platforms.

Discovery Mining Ltd. is a Canadian precious metals company focused on gold production in Ontario and development of the Cordero silver project in Chihuahua State, Mexico

Gold Nears US$4,366 After Fed Bets Calm

Junior miners and exploration companies hit the ground running this year after gold rallied at a high of US$5,500 per ounce in January. Many companies chose to begin exploration or production amid these highs. While prices have since fallen, and even dipped below US$4,000 in June, rates are still up 24% compared to July 2025, and Gold.org wrote that: "[T]he stage is set for a possible breakout. On the upside, clear catalysts — a worsening economy or renewed geopolitical shock, a shift towards lower interest-rate expectations, or a wave of dip buying — could reignite gold's momentum and lift it back towards US$4,500/oz or above."

On August 10, 2026, Trading Economics reported that gold prices were trading around US$4,366 per ounce. The article said: " Signs of a softening labor market supported rate futures to reflect more positions of a hold rather than a hike in the Federal Reserve's upcoming rate decision in September . . .  Lower energy prices also contributed to softer risks of higher rates for bullion holders. Lesser strikes against Iran by the US were consistent with Washington's rhetoric that a deal with Iran may be reached, driving energy costs to hold below recent peaks."

Despite the recent volatility of gold, the broader metals sector has also strengthened, with the World Bank Group forecasting a 17% increase in overall metals prices in 2026. On May 7, 2026, Brian Taylor of Recycling Today said that the World Bank Group has predicted that overall global metals prices will rise by 17% in 2026, which would mark the first overall market increase since 2022.

Expert Expects Value Boost

Peter Krauth of The Silver Stock Investor discussed the company, stating that its latest results are "exciting" and that they are likely to further boost the company's value.

Krauth wrote: "I continue to hold my shares, impressed with these results but a patient eye to the eventual permitting of the massive Cordero silver project in Mexico."

On June 10, 2026, CIBC's Cosmos Chiu reiterated a "Buy" rating, with a price target of CA$15.

On May 14, 2026, Kevin O'Halloran of BMO Capital reiterated a "Buy" rating, with a price target of CA$12.50. 

Dome Studies Targeted for Late 2026

Discovery is continuing its 2026 drill program with four underground drills advancing resource conversion and extension, alongside two surface drills operating northeast of the Main zone, with work also underway to extend the 585-exploration drift to provide additional drill platforms.

According to the company's investor presentation, Discovery expects late 2026 to include catalysts such as:

• Completing studies to evaluate resuming mining at Dome
• Optimizing and expanding Dome Mill
• Releasing an initial NI 43-101 resource for TVZ
• Updating the Porcupine technical report
• Planning for the Kidd Met site and the Kidd Creek Mine

Ownership & Share Information¹

Discovery Mining Ltd. has a market cap of CA$8.91 billion, with 813.89 million shares outstanding. The company's 52-week range is CA$3.59-CA$12.48. Institutions own 36.39% of shares, while Strategic Investors own 33.03%. Management & Insiders own 2.34% of shares.

Frequently Asked Questions

Q: What is step-out drilling?
A: Step-out drilling involves drilling beyond known mineralization to determine whether a deposit continues into previously untested areas. Successful step-out holes can expand the known size of a mineralized zone.

Q: What does "open to depth" mean in mining?
A: When a mineralized zone is described as open to depth, it means drilling has encountered mineralization but has not yet established its deepest extent. Additional drilling below existing results could determine whether the zone continues farther underground.

Q: What does "down plunge" mean in gold exploration?
A: Down plunge refers to following a mineralized zone deeper along the direction in which its geological structure extends. Drilling down plunge can help determine whether a deposit continues at greater depths.

Q: What is an inferred mineral resource?
A: An inferred mineral resource is a mineral resource category based on limited geological evidence and sampling. It has a lower level of confidence than indicated or measured resources, meaning additional exploration is generally needed before it can be used with the same level of certainty in economic planning.

Q: What is an NI 43-101 mineral resource?
A: NI 43-101 is a Canadian reporting standard that establishes requirements for publicly disclosed information about mineral projects. A mineral resource reported under the standard is classified according to geological confidence, including measured, indicated and inferred categories.

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