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TICKERS: MUX

Gold Miner Profit More Than Triples as Drilling Hits 97.7 g/t

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McEwen Inc. (MUX:TSX; MUX:NYSE) reported Q2 net income of US$9.6 million as revenue rose 27%, while high-grade drilling, new discoveries, and advancing mine projects added to its production growth plans.

McEwen Inc. (MUX:TSX; MUX:NYSE ) reported second-quarter net income of US$9.6 million, or US$0.16 per share, compared with US$3.0 million, or US$0.06 per share, in the same period of 2025. Revenue increased 27% to US$59.2 million from US$46.7 million, while gross profit rose to US$20.1 million from US$12.3 million.

The company sold 13,948 gold equivalent ounces (GEOs) during the quarter, compared with 14,549 GEOs in Q2 2025. Its average realized gold sale price per GEO increased 35% to US$4,454 from US$3,298. Adjusted EBITDA was US$22.2 million, or US$0.37 per share, compared with US$17.3 million, or US$0.32 per share, a year earlier.

Cash and equivalents totaled US$78.9 million at June 30, up from US$51.0 million at the end of 2025. Marketable securities were valued at US$12.8 million, compared with US$21.1 million at December 31. Debt principal remained US$130.0 million, consisting of US$110.0 million in convertible notes due in 2030 and US$20.0 million under a term loan facility.

McEwen increased its full-year exploration program to US$25.7 million from US$22.0 million across its portfolio after investing US$11.4 million in exploration during Q2, compared with US$5.4 million a year earlier.

At the Fox Complex in Ontario, Q2 production totaled 7,000 GEOs. Cash costs were US$1,972 per GEO sold and all-in sustaining costs were US$2,701 per GEO. McEwen increased its 2026 production guidance for the Fox Complex to 20,000 to 23,000 GEOs from 16,000 to 19,000 GEOs, while maintaining AISC guidance of US$2,650 to US$2,850 per GEO.

Development at the Stock Mine continued on time and within its initial budget during Q2. McEwen invested US$12.8 million in the project during the quarter and US$52.2 million since the start of last year. Mineralized material encountered during ramp development was sent to the mill. Mining is expected to begin in Q4 2026, followed by commercial production in 2027.

Additional engineering and mine planning completed during Q2 led the Stock Mine team to believe the mine life can be extended to 8.5 years from the previously disclosed six years, based on the current Mineral Resource Estimate.

Continued exploration results and resource growth also remained among the identified catalysts. At Grey Fox, active drilling had returned high-grade results and a new mineralized zone during Q2. At Tartan, drilling had discovered the new Central Zone while also targeting resource upgrades and extensions. In Nevada, approximately 70 holes had been completed at Windfall and Lookout Mountain during Q2, with drilling focused on converting Inferred Resources to Measured and Indicated Resources. Additional drilling was planned at the Water Well Zone, where mineralization remained open to the north and east.

On June 8, McEwen released a new Mineral Reserve Estimate for Grey Fox containing 980,300 ounces of gold in Probable Reserves from 9.41 million tonnes grading 3.24 g/t gold. Mineral Resources exclusive of Reserves totaled 701,000 ounces Indicated and 388,000 ounces Inferred.

At the Tartan Mine Project in Manitoba, Q2 exploration drilling discovered the new Central Zone between the Main and South zones. The Central Zone spans 60 meters along strike and 225 meters vertically, from 535 meters to 760 meters below surface, and remains open at depth. Results included 5.8 g/t gold over 8.3 meters and 4.1 g/t gold over 9.0 meters. Drilling along the eastern and western flanks returned 29.1 g/t gold over 10.0 meters, including 572.0 g/t gold over 0.5 meters, and 17.8 g/t gold over 15.9 meters, including 241.6 g/t gold over 1.0 meter.

At the Gold Bar Complex in Nevada, McEwen reduced its 2026 production guidance to 30,000 to 33,000 GEOs from 39,000 to 43,000 GEOs and increased AISC guidance to US$2,900 to US$3,200 per GEO. The changes followed lower-than-planned ore placement on the heap leach pad due to an assay lab outage during Q2 and more carbonaceous material being associated with the ore than anticipated.

Gold Bar produced 5,842 GEOs during Q2, with cash costs of US$2,705 per GEO sold and AISC of US$3,197 per GEO. During the quarter, drilling at Windfall and Lookout Mountain focused on converting Inferred Resources to Measured and Indicated Resources, with approximately 70 holes completed.

McEwen's 49% interest in the San José Mine accounted for 17,019 GEOs of Q2 production, 17% above Q1 and 24% above Q2 2025. The company received a US$49.4 million dividend from San José during the quarter, bringing dividends received during 2026 to US$58.2 million, above its previously announced estimate of US$40 million to US$50 million.

"During Q2, the exploration teams at Grey Fox and Tartan have each made new discoveries near existing underground infrastructure, demonstrating the Company's ability to further drive organic growth," McEwen said in its news release.

Full-year 2026 consolidated production guidance was updated to 109,000 to 120,000 GEOs, including attributable production from McEwen's 49%-owned San José Mine and using a 77:1 silver-to-gold ratio. Consolidated guidance was updated to US$2,200 to US$2,450 per ounce for cash costs and US$2,500 to US$2,750 per ounce for AISC.

Gold Markets Hold Near Elevated Levels

Gold remained above US$4,300 per ounce early August 10 following a week of sharp gains that coincided with weaker U.S. labor data, changing expectations for Federal Reserve policy, and signs of renewed investment demand.

Live spot pricing at 6:32 a.m. EDT placed gold at US$4,355.65 per ounce, an increase of US$6.18, or 0.14%. Gold was also priced at US$140.04 per gram and US$140,037.40 per kilogram. The pricing source noted that spot gold can fluctuate by the second in response to investment supply and demand and other factors.

The move followed a week in which gold gained nearly US$300, according to Kitco News. Gold moved above US$4,300 per ounce after U.S. data showed the economy lost 23,000 jobs in July, compared with expectations for an increase of 85,000.

Sentiment in Kitco's Weekly Gold Survey on August 7 was predominantly bullish. Sixteen of 19 participating analysts, or 84%, expected prices to rise, compared with 11% who were bearish and 5% who were neutral. Among 241 retail respondents, 68.9% expected higher prices.

Adrian Day, president of Adrian Day Asset Management, said the employment report had "significantly diminished pressure on the Federal Reserve to hike rates," adding, "The bottom is in for gold."

Barchart.com Senior Market Analyst Darin Newsom pointed to central bank purchases and increased investor participation. "Central banks have been buying gold all along, giving it fundamental support; now we see some of the investment side," Newsom said. He characterized the recent movement as tied more closely to economic conditions than inflation, saying, "It isn't an inflation play, it's an economic play."

Yahoo Finance reported August 9 that gold had recorded its strongest week since February, rising nearly 7%. The metal reclaimed its 50-day moving average and broke the downtrend that had been in place since March.

The advance followed a substantial decline in precious-metals ETF investment. Rolling 125-day ETF flows had fallen from nearly US$40 billion in February to nearly negative US$20 billion by the preceding Monday. More recently, Chinese gold ETFs recorded inflows for 14 consecutive sessions totaling approximately US$1.2 billion.

Central bank demand also remained a factor. The World Gold Council's latest survey found that 89% of reserve managers expected global official gold holdings to increase over the following year, while a record 45% expected their own institutions to purchase additional gold. Baird Strategas ETF strategist Todd Sohn said, "[ETF] flows suggest a low bar for tactical long exposure."

International gold futures also finished the week substantially higher. On the 9th, The Times of India reported that December-delivery futures gained US$292.70, or 7%, during the week to close at US$4,399.70 per ounce.

Jateen Trivedi, vice president and research analyst for commodity and currency at LKP Securities, attributed the rally in part to weaker-than-expected U.S. labor data and expectations surrounding Federal Reserve policy, while also pointing to a weaker U.S. dollar as a factor behind renewed precious-metals buying.

"Overall, volatility is expected to remain elevated in the coming week," Trivedi said. "The combination of US economic data, Federal Reserve expectations, and ongoing geopolitical uncertainty is likely to keep gold highly reactive."

Third Parties Point to Organic Growth, Los Azules, and Production Expansion

In an August 6 company update, Alliance Global Partners analyst Jake Sekelsky reiterated a Buy rating and a US$31.00 price target on McEwen. Sekelsky wrote, "We expect the San Jose dividends to support exploration and development work across MUX's portfolio geared toward achieving a consolidated production target of 250,000-300,000 AuEq ounces per year by 2030." He also stated, "We continue to believe MUX's stake in McEwen Copper underpins the company's valuation at current levels and expect various milestones at Los Azules to unlock additional value in the coming quarters." Alliance Global Partners said its valuation remained based on a NAV analysis of the company's three producing assets using an 8% discount rate, with the implied value of McEwen's approximately 46.3% ownership in McEwen Copper and net cash added to arrive at its valuation. Sekelsky wrote that updated estimates reflecting the revised guidance ranges had "a limited impact on our overall valuation of the company."

Also on August 6, Cantor Fitzgerald analyst Mike Kozak reiterated a Buy rating while reducing his one-year target to US$37.00 from US$38.00. Kozak characterized the Q2 results as "Modest Negative" and wrote, "Q2/26 was a bottom line miss and 2026 guidance was revised to the downside." Cantor reported that Q2 production of 30.9 kGEO came in 7% above its 28.9 kGEO estimate, while consolidated AISC of US$2,919 per ounce was 12% above its US$2,613 per ounce estimate. The report also said diluted EPS of US$0.14 was below its US$0.46 estimate and consensus of US$0.28. After incorporating the Q2 results and updated guidance, Kozak wrote, "We reiterate our Buy rating on McEwen and expect the IPO of its copper subsidiary (Los Azules) in H2/26 to be a value accretive catalyst for MUX shares."

On August 7, Chen Lin of "What Is Chen Buying? What Is Chen Selling?" discussed McEwen following its guidance reduction and said the company had "a few miners up and running in the next 12 months." Lin also highlighted McEwen's stated production plans, writing, "The gold and silver production has a clear path to 250-300Koz by 2030. This should more than justify the current stock price." He pointed to McEwen's 46.3% ownership of the Los Azules copper project and its 1.25% royalty, and said, "Investors are getting the copper asset for free." Lin disclosed that he had added to his McEwen position following the stock's decline, writing, "I added more MUX even though I already have a big position."

Also on August 7, H.C. Wainwright analysts Heiko F. Ihle, CFA, and Case Bongirne reiterated a Buy rating on McEwen and lowered their price target to US$28.00 from US$29.50 following the company's second-quarter results and revised full-year production guidance. The analysts identified portfolio-wide organic growth as their main takeaway and wrote that they viewed "organic growth as one of the firm's primary catalysts." Their US$28.00 target was based on a net asset value calculation of US$28.14 per share, including a combined US$1.2 billion valuation for McEwen's core assets and US$561.3 million for Los Azules, Tartan, and other non-core assets, along with US$106.0 million in cash and inventory and US$126.6 million in debt.

Ihle and Bongirne valued Los Azules through a discounted cash flow analysis and said "our estimates are purposefully conservative," given the work required to reach first production. They also identified ongoing progress at Los Azules as the company's primary catalyst and remained confident in management's long-term outlook for gold production at reasonable costs. Their analysis additionally highlighted the Grey Fox Pre-Feasibility Study and near- and intermediate-term milestones at the project.

In an August 10 research report, Roth Capital Partners analyst Joe Reagor maintained a Buy rating and reduced his 12-month price target to US$31.00 from US$35.00. Reagor wrote, "While Q2 results were disappointing, the long-term outlook of the company remains positive, in our view." Roth estimated production of 115,700 GEOs in 2026 and said it believed McEwen remained on track to achieve its stated goal of increasing annual production to 250,000 to 300,000 GEOs by 2030. Reagor added, "the potential is clearly there, in our opinion." Roth said its valuation combined a DCF and sum-of-the-parts analysis and resulted in a valuation of US$2.3 billion, or US$31.38 per estimated future fully diluted share, which it rounded down to its US$31.00 target.

 
 
 

Project Timelines and Exploration Programs Set Out Next Steps

In its July presentation, McEwen identified exploration, production growth, development projects, and work at Los Azules among its stated catalysts. The presentation outlined a target of 250,000 to 300,000 GEOs of annual production by 2030 and identified exploration aimed at expanding the resource base, extending mine lives, and increasing production as part of that plan.

For Los Azules, the presentation laid out detailed engineering, sectoral permits, and a Final Investment Decision during 2026. The project schedule called for a 33-month construction period from 2027 through 2029, followed by commissioning in Q4 2029, first copper cathode production, and a ramp-up to capacity in 2030. The presentation listed average copper cathode production of 205 kilotonnes per annum, or 452 million pounds, during the first five years, followed by an average of 148 kilotonnes per annum, or 326 million pounds. It described a 21-year base mine life and an additional 33 years associated with the potential application of Nuton technology.

McEwen Copper financing was another item identified in the presentation for 2026-2027, with debt, a partner, and a potential initial public offering listed as financing alternatives. The presentation stated that the Los Azules Final Investment Decision was expected following financing arrangements.

The presentation also identified Grey Fox, Gold Bar, Tartan, and Fenix as development projects for 2026-2027. At Grey Fox, it referenced the advancement of the prefeasibility study and environmental assessment. The Fox Complex had 3.4 million ounces of cumulative gold production to date, with an established mill, processing, and mine infrastructure. The presentation also noted an active exploration program and a ramp under construction to the Stock West, Main, and East zones.

Exploration at the Fox Complex was supported by an H1 2026 exploration budget of US$5.1 million. The presentation reported 2.8 million ounces of gold in Measured and Indicated Resources at 3.14 g/t and 1.0 million ounces at 2.53 g/t in Inferred Resources, with those figures stated inclusive of Reserves.

In Nevada, the presentation set a 2026 exploration budget of US$7 million and called for 36,000 meters of drilling during the year. Active projects included Eureka on the Battle Mountain-Eureka Trend and Seven Troughs north of Lovelock, along with North Tonkin. The presentation separately identified ongoing 2026-2027 drilling at the Fox Complex, Eureka, Seven Troughs, Tartan, and Los Azules for resource growth.

At the Gold Bar Mine, the presentation identified Gold Bar South and the Pick zones as near-mine resource expansion areas and included the Eureka projects in its Nevada exploration portfolio. Lookout Mountain and Windfall were listed with Measured and Indicated Resources of 402,300 and 227,500 ounces of gold, respectively.

In Mexico, the presentation described the Fenix Project at the former El Gallo mine site as having existing permits and infrastructure and reported Measured and Indicated Resources of 20 million ounces of silver and 0.2 million ounces of gold. A mineral resource update was expected during 2026.

The presentation also identified ongoing drilling at Tartan as part of the 2026-2027 exploration program. Tartan was listed with 308,900 ounces of gold in Measured and Indicated Resources and 302,700 ounces in Inferred Resources.

streetwise book logoStreetwise Ownership Overview*

McEwen Inc. (MUX:TSX; MUX:NYSE )

Restructures
Date Old Symbol Old Shares New Symbol New Shares
07/28/22 MUX:TSX 10 MUX:TSX 1
01/27/12 UXG:TSX 1 MUX:TSX 1
*Share Structure as of 8/10/2026

Across its gold and silver assets, the presentation reported 1.25 million ounces of Proven and Probable gold Reserves, 2.81 million ounces of Measured and Indicated gold Resources exclusive of Reserves, and 1.77 million ounces of Inferred gold Resources. The presentation listed the combined gold resource base at 5.8 million ounces, along with 37.5 million ounces of silver.

Ownership and Share Structure1

In terms of ownership and share structure of McEwen Inc., 14 strategic entities own 15.61%. Of these, Rob McEwen's company, 2190303 Ontario Inc., is the largest insider shareholder with 15.02%. More than 100 institutions hold 45.13%. The Top 3 are Mirae Asset Global Investments (USA) LLC with 3.6%, State Street Investment Management US with 3.23%, and Van Eck Associates Corp. with 3.04%. The rest is with retail investors.

As of August 10, McEwen Inc. has 59.7M shares outstanding and a market cap of approximately US$1.18B. Its 52-week range is US$9.82–US$29.70/share.

 

Frequently Asked Questions

What were McEwen Inc.'s Q2 2026 earnings?

McEwen Inc. (NYSE/TSX: MUX) reported Q2 2026 net income of US$9.6 million, or US$0.16 per share, compared with US$3.0 million, or US$0.06 per share, in Q2 2025. Revenue increased 27% to US$59.2 million from US$46.7 million.

How much gold did McEwen produce in Q2 2026?

McEwen reported consolidated Q2 production of 13,852 gold equivalent ounces (GEOs). The Fox Complex produced 7,000 GEOs, and the Gold Bar Complex produced 5,842 GEOs. McEwen's 49% interest in the San José Mine accounted for 17,019 GEOs of attributable production.

What is McEwen's 2026 gold production guidance?

McEwen updated its full-year 2026 production guidance to 109,000 to 120,000 GEOs, including attributable production from its 49%-owned San José Mine and based on a 77:1 silver-to-gold ratio. The guidance does not include early pre-commercial production from the Stock Mine.

Why did McEwen lower its Gold Bar production guidance?

McEwen reduced 2026 Gold Bar Complex production guidance to 30,000 to 33,000 GEOs from 39,000 to 43,000 GEOs. The company attributed the change to less ore being placed on the heap leach pad than planned because the mine assay lab was down for a period during Q2, and more carbonaceous material was associated with the ore than anticipated.

When will McEwen's Stock Mine begin production?

Mining at the Stock Mine in Timmins, Ontario, is expected to begin in Q4 2026, with commercial production expected in 2027. Based on additional engineering and mine planning during Q2, the Stock Mine team believes the mine life can be extended to 8.5 years from the previously disclosed six years, based on the current Mineral Resource Estimate.

What were McEwen's latest Grey Fox gold drill results?

Q2 exploration at Grey Fox included results of 97.7 g/t gold over 4.4 meters true width, 64.8 g/t gold over 3.3 meters, and 32.5 g/t gold over 5.2 meters at Whiskey Jack. The exploration team also discovered what it believes is a new mineralized zone approximately 850 meters southeast of the current Grey Fox Mineral Resource Estimate.

What were McEwen's latest Tartan Mine drill results?

McEwen discovered the new Central Zone at the Tartan Mine Project in Manitoba during Q2. Drilling along the eastern and western flanks included 29.1 g/t gold over 10.0 meters, including 572.0 g/t gold over 0.5 meters, and 17.8 g/t gold over 15.9 meters, including 241.6 g/t gold over 1.0 meter.

What is McEwen's gold production target for 2030?

McEwen has outlined a target of 250,000 to 300,000 GEOs of annual production by 2030. The company's plans include development and production growth across assets, including Stock, Grey Fox, Tartan, Gold Bar, and El Gallo.

How much of McEwen Copper and Los Azules does McEwen own?

McEwen reported a 46.3% equity stake in McEwen Copper, which owns the Los Azules copper project in Argentina. McEwen also owns a 1.25% net smelter return royalty on Los Azules.

What is the latest analyst rating and price target for McEwen stock?

H.C. Wainwright analysts Heiko F. Ihle, CFA, and Case Bongirne reiterated a Buy rating on McEwen on August 7 and lowered their price target to US$28.00 from US$29.50. Their analysis identified organic growth across McEwen's portfolio as a primary catalyst and ongoing progress at Los Azules as the company's primary catalyst.


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Important Disclosures:

  1. James Guttman wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. 
  2.  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.





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