Loyalist Exploration Commences Preliminary Economic Assessment on Tully Gold Project
News related to:Loyalist Exploration Limited · 2 min read
Loyalist Exploration Limited, a Canadian mining company focused on the development of high-quality mineral projects in the Timmins Gold Camp, has announced the commencement of a Preliminary Economic Assessment (PEA) on its 100%-owned Tully Gold Project. The PEA will determine the economic viability of producing gold from the Tully Deposit and is expected to be a significant step towards a production decision.
The PEA is being led by Eugene Puritch, P.Eng., FEC, CET, President of P&E Mining Consultants Inc., as a Qualified Person under National Instrument 43-101, Standards of Disclosure for Mineral Projects. This assessment aims to complement the company’s recent Mineral Resource Estimate (MRE) for the Tully Project, which was filed on SEDAR+ on August 21, 2026. The MRE established a 164,000 ounce Indicated Mineral Resource (1.62 Mt at 3.16 g/t Au) and a 62,000 ounce Inferred Mineral Resource (0.95 Mt at 2.03 g/t Au).
Errol Farr, President and CEO of Loyalist Exploration Limited, commented on the significance of this milestone. “The commencement of the Tully PEA is a major step in our vision to become a gold-producing mining company in the Timmins mining camp. With the MRE and the ongoing efforts to advance permitting and secure construction financing, we are well-positioned to make a production decision in 2027.”
The 2026 MRE for the Tully Gold Project, prepared independently by P&E Mining Consultants Inc., provides a comprehensive assessment of the project’s potential. Charles Spath, M.Sc., P.Geo., and Eugene Puritch, P.Eng., FEC, CET, of P&E served as independent Qualified Persons under NI 43-101. The MRE supports the establishment of a significant Indicated Mineral Resource, with 73% of the contained gold classified as Indicated, indicating a high level of geological confidence.
The geological model used in the MRE defines a larger and more continuous underground gold system, with improved geometry that may support underground stopes potentially approaching 20 metres in width. Mineralization remains open along strike and at depth, providing significant potential for further exploration and expansion of the deposit.
The MRE incorporates modern 3D geological modeling, refined mineralized domains, one-metre compositing, domain-specific grade capping, ID³ interpolation, and comprehensive model validation. These methods have contributed to the significant increase in the Indicated Mineral Resource from 93,140 ounces in the 2008 historical estimate to 164,000 ounces, a 76% increase.
The Tully Gold Project, located in the prolific Timmins Gold Camp, is a growing underground gold project with significant exploration potential and excellent development prospects. Supported by a high-confidence Indicated and Inferred Mineral Resource Estimate, favourable infrastructure, and a modern geological model, the project provides a strong platform for continued development and expansion.
Loyalist Exploration Limited is committed to maintaining the highest standards of technical excellence and responsible development throughout all stages of project advancement. The company is focused on systematically advancing the Tully Gold Project to production while exploring opportunities to expand its portfolio of high-quality mineral assets.